2012 Annual Report

RiverSource Retirement Advisor

Variable Annuity^® – Band 3

S-6477 V (4/13) Issued by: RiverSource Life Insurance Company

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Annual Financial Information

REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM

TO THE BOARD OF DIRECTORS OF
RIVERSOURCE LIFE INSURANCE COMPANY

In our opinion, the accompanying statement of assets and liabilities and the related statements of operations and of changes in net assets present fairly, in all material respects, the financial position of each of the divisions of RiverSource Variable Account 10 that is offered through RiverSource Retirement Advisor Variable Annuity^® – Band 3 (the Account) sponsored by RiverSource Life Insurance Company, referred to in Note 1, at December 31, 2012, the results of their operations for the period then ended, and the changes in their net assets for the periods presented, in conformity with accounting principles generally accepted in the United States of America. These financial statements are the responsibility of the management of RiverSource Life Insurance Company; our responsibility is to express an opinion on these financial statements based on our audits. The financial statements of the divisions of the Account, including the financial highlights which appear in the footnotes, for the periods ended December 31, 2010 and prior were audited by another independent registered public accounting firm whose report dated April 22, 2011 expressed an unqualified opinion. We conducted our audits of these financial statements in accordance with the standards of the Public Company Accounting Oversight Board (United States). Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements, assessing the accounting principles used and significant estimates made by management, and evaluating the overall financial statement presentation. We believe that our audits, which included confirmation of securities at December 31, 2012 by correspondence with the affiliated and unaffiliated mutual fund managers, provide a reasonable basis for our opinion.

PricewaterhouseCoopers LLP

April 22, 2013

RIVERSOURCE RETIREMENT ADVISOR VARIABLE ANNUITY – BAND 3 – 2012 ANNUAL REPORT  1

Statements of Assets and Liabilities

	AB VPS Global		AB VPS		AB VPS		AC VP		AC VP
	Thematic Gro,		Gro & Inc,		Intl Val,		Intl,		Mid Cap Val,
Dec. 31, 2012	Cl B		Cl B		Cl B		Cl I		Cl II
Assets
Investments, at fair value(1),(2)		$8,574,701	$	105,999,692	$	215,932,578	$	14,312,511		$41,208,208
Dividends receivable		—		—		—		—		—
Accounts receivable from RiverSource Life for contract purchase payments		2,521		23,406		15,300		16,278		964
Receivable for share redemptions		10,526		129,511		347,887		16,604		129,853
Total assets		8,587,748		106,152,609		216,295,765		14,345,393		41,339,025
Liabilities
Payable to RiverSource Life for:
Mortality and expense risk fee		6,680		77,793		159,933		10,266		32,302
Contract terminations		3,846		51,717		187,954		6,338		97,551
Payable for investments purchased		2,521		23,406		15,300		16,278		964
Total liabilities		13,047		152,916		363,187		32,882		130,817
Net assets applicable to contracts in accumulation period		8,546,046		105,859,443		215,514,999		14,267,301		41,139,376
Net assets applicable to contracts in payment period		28,655		140,250		417,579		45,210		68,832
Net assets applicable to seed money		—		—		—		—		—
Total net assets		$8,574,701	$	105,999,693	$	215,932,578	$	14,312,511		$41,208,208
(1) Investment shares		522,211		5,130,672		16,817,179		1,602,745		2,824,415
(2) Investments, at cost		$8,265,688	$	105,412,052	$	269,349,493	$	13,897,378		$36,717,560
	AC VP		AC VP		BlackRock				Col VP
	Ultra,		Val,		Global Alloc,		Calvert VP		Bal,
Dec. 31, 2012 (continued)	Cl II		Cl I		Cl III		SRI Bal		Cl 3
Assets
Investments, at fair value(1),(2)	$	26,222,211		$44,738,585		$11,367,882	$	24,109,219	$	212,150,540
Dividends receivable		—		—		—		—		—
Accounts receivable from RiverSource Life for contract purchase payments		38,549		—		10,760		1,601		22,545
Receivable for share redemptions		27,392		119,549		17,014		99,687		—
Total assets		26,288,152		44,858,134		11,395,656		24,210,507		212,173,085
Liabilities
Payable to RiverSource Life for:
Mortality and expense risk fee		19,788		32,119		8,649		17,345		180,096
Contract terminations		7,604		87,430		8,365		82,342		47,572
Payable for investments purchased		38,549		—		10,760		1,601		—
Total liabilities		65,941		119,549		27,774		101,288		227,668
Net assets applicable to contracts in accumulation period		26,210,273		44,335,655		11,332,298		24,037,972		208,413,646
Net assets applicable to contracts in payment period		11,938		402,930		35,194		71,247		3,531,669
Net assets applicable to seed money		—		—		390		—		102
Total net assets	$	26,222,211		$44,738,585		$11,367,882	$	24,109,219	$	211,945,417
(1) Investment shares		2,462,179		6,861,746		792,739		12,629,240		13,111,900
(2) Investments, at cost	$	22,967,958		$45,424,025		$11,125,666	$	22,429,868	$	185,675,250

See accompanying notes to financial statements.

2  RIVERSOURCE RETIREMENT ADVISOR VARIABLE ANNUITY – BAND 3 – 2012 ANNUAL REPORT

Statements of Assets and Liabilities

	Col VP		Col VP		Col VP		Col VP		Col VP
	Cash Mgmt,		Div Bond,		Divd Opp,		Emer Mkts,		Global Bond,
Dec. 31, 2012 (continued)	Cl 3		Cl 3		Cl 3		Cl 3		Cl 3
Assets
Investments, at fair value(1),(2)	$	294,874,723	$	1,004,346,637	$	708,881,992	$	272,579,039	$	326,338,666
Dividends receivable		242		—		—		—		—
Accounts receivable from RiverSource Life for contract purchase payments		873,688		262,795		68,795		16,761		26,972
Receivable for share redemptions		—		—		—		—		—
Total assets		295,748,653		1,004,609,432		708,950,787		272,595,800		326,365,638
Liabilities
Payable to RiverSource Life for:
Mortality and expense risk fee		230,568		780,787		547,252		219,821		254,739
Contract terminations		191,255		229,039		192,407		239,440		144,781
Payable for investments purchased		—		—		—		—		—
Total liabilities		421,823		1,009,826		739,659		459,261		399,520
Net assets applicable to contracts in accumulation period		294,879,604		999,210,084		704,669,253		271,389,502		325,345,166
Net assets applicable to contracts in payment period		447,226		4,389,522		3,541,875		747,037		620,952
Net assets applicable to seed money		—		—		—		—		—
Total net assets	$	295,326,830	$	1,003,599,606	$	708,211,128	$	272,136,539	$	325,966,118
(1) Investment shares		294,874,723		89,116,827		49,711,220		16,846,665		26,727,164
(2) Investments, at cost	$	294,806,253	$	940,650,437	$	601,305,044	$	218,710,246	$	295,777,456
	Col VP		Col VP		Col VP		Col VP		Col VP
	Hi Yield Bond,		Inc Opp,		Intl Opp,		Lg Cap Gro,		Lg Core Quan,
Dec. 31, 2012 (continued)	Cl 3		Cl 3		Cl 3		Cl 3		Cl 3
Assets
Investments, at fair value(1),(2)	$	458,585,589		$223,410,959		$99,524,320	$	122,892,407	$	374,253,352
Dividends receivable		—		—		—		—		—
Accounts receivable from RiverSource Life for contract purchase payments		7,403		3,710		5,557		52,046		2,540
Receivable for share redemptions		—		—		—		—		—
Total assets		458,592,992		223,414,669		99,529,877		122,944,453		374,255,892
Liabilities
Payable to RiverSource Life for:
Mortality and expense risk fee		358,565		170,311		86,252		88,720		308,982
Contract terminations		151,204		91,022		48,017		128,639		232,172
Payable for investments purchased		—		—		—		—		—
Total liabilities		509,769		261,333		134,269		217,359		541,154
Net assets applicable to contracts in accumulation period		455,483,952		222,664,778		98,388,094		122,335,910		369,334,714
Net assets applicable to contracts in payment period		2,599,271		488,558		1,007,514		391,184		4,380,024
Net assets applicable to seed money		—		—		—		—		—
Total net assets	$	458,083,223		$223,153,336		$99,395,608	$	122,727,094	$	373,714,738
(1) Investment shares		63,604,104		21,216,615		8,231,954		15,497,151		16,166,452
(2) Investments, at cost	$	419,672,785		$209,004,143		$89,341,775	$	115,926,511	$	363,797,027

See accompanying notes to financial statements.

RIVERSOURCE RETIREMENT ADVISOR VARIABLE ANNUITY – BAND 3 – 2012 ANNUAL REPORT  3

Statements of Assets and Liabilities

			Col VP		Col VP		Col VP
	Col VP		Marsico		Mid Cap		Mid Cap		Col VP
	Marsico Gro,		Intl Opp,		Gro Opp,		Val Opp,		S&P 500,
Dec. 31, 2012 (continued)	Cl 1		Cl 2		Cl 3		Cl 3		Cl 3
Assets
Investments, at fair value(1),(2)	$	167,644,485	$	45,384,951		$86,971,805	$	79,204,322	$	133,998,830
Dividends receivable		—		—		—		—		—
Accounts receivable from RiverSource Life for contract purchase payments		27,753		23,479		4,847		1,306		77,489
Receivable for share redemptions		—		—		—		—		—
Total assets		167,672,238		45,408,430		86,976,652		79,205,628		134,076,319
Liabilities
Payable to RiverSource Life for:
Mortality and expense risk fee		127,257		35,295		72,061		60,021		99,700
Contract terminations		182,721		31,072		149,602		106,802		43,643
Payable for investments purchased		—		—		—		—		—
Total liabilities		309,978		66,367		221,663		166,823		143,343
Net assets applicable to contracts in accumulation period		166,993,399		45,159,239		86,052,231		78,962,837		133,297,374
Net assets applicable to contracts in payment period		368,861		182,440		702,758		75,968		635,533
Net assets applicable to seed money		—		384		—		—		69
Total net assets	$	167,362,260	$	45,342,063		$86,754,989	$	79,038,805	$	133,932,976
(1) Investment shares		7,554,957		2,931,844		6,334,436		6,672,647		13,254,088
(2) Investments, at cost	$	130,827,741	$	56,072,853		$72,122,748	$	75,624,518	$	104,482,833
									DWS Alt
	Col VP Select		Col VP Select		Col VP		CS		Asset
	Lg Cap Val,		Sm Cap Val,		US Govt Mtge,		Commodity		Alloc VIP,
Dec. 31, 2012 (continued)	Cl 3		Cl 3		Cl 3		Return		Cl B
Assets
Investments, at fair value(1),(2)		$25,324,496	$	48,672,808	$	231,036,452	$	72,693,382		$8,148,073
Dividends receivable		—		—		—		—		—
Accounts receivable from RiverSource Life for contract purchase payments		12,557		579		12,450		40,475		98,544
Receivable for share redemptions		—		—		—		62,327		5,971
Total assets		25,337,053		48,673,387		231,048,902		72,796,184		8,252,588
Liabilities
Payable to RiverSource Life for:
Mortality and expense risk fee		18,924		35,431		175,937		55,878		5,971
Contract terminations		43,225		92,181		177,001		6,449		—
Payable for investments purchased		—		—		—		40,475		98,544
Total liabilities		62,149		127,612		352,938		102,802		104,515
Net assets applicable to contracts in accumulation period		25,265,651		48,428,333		230,140,144		72,510,987		8,138,105
Net assets applicable to contracts in payment period		9,253		117,442		555,820		182,395		9,344
Net assets applicable to seed money		—		—		—		—		624
Total net assets		$25,274,904	$	48,545,775	$	230,695,964	$	72,693,382		$8,148,073
(1) Investment shares		2,170,051		3,925,226		22,024,447		10,369,955		587,037
(2) Investments, at cost		$21,292,077	$	45,117,132	$	226,917,196	$	96,529,251		$7,947,708

See accompanying notes to financial statements.

4  RIVERSOURCE RETIREMENT ADVISOR VARIABLE ANNUITY – BAND 3 – 2012 ANNUAL REPORT

Statements of Assets and Liabilities

	EV VT		Fid VIP		Fid VIP		Fid VIP		Fid VIP
	Floating-Rate		Contrafund,		Gro & Inc,		Mid Cap,		Overseas,
Dec. 31, 2012 (continued)	Inc		Serv Cl 2		Serv Cl		Serv Cl		Serv Cl
Assets
Investments, at fair value(1),(2)	$	247,086,149	$	429,506,378		$53,538,005	$	109,281,306		$19,241,299
Dividends receivable		876,016		—		—		—		—
Accounts receivable from RiverSource Life for contract purchase payments		79,194		59,271		107		31		19,524
Receivable for share redemptions		211,432		598,304		77,153		160,768		22,713
Total assets		248,252,791		430,163,953		53,615,265		109,442,105		19,283,536
Liabilities
Payable to RiverSource Life for:
Mortality and expense risk fee		190,888		329,445		38,247		77,884		13,758
Contract terminations		20,544		268,859		38,906		82,884		8,955
Payable for investments purchased		955,210		59,271		107		31		19,524
Total liabilities		1,166,642		657,575		77,260		160,799		42,237
Net assets applicable to contracts in accumulation period		246,770,231		428,365,194		53,326,191		108,317,197		19,021,193
Net assets applicable to contracts in payment period		315,918		1,140,747		211,814		964,109		220,106
Net assets applicable to seed money		—		437		—		—		—
Total net assets	$	247,086,149	$	429,506,378		$53,538,005	$	109,281,306		$19,241,299
(1) Investment shares		26,119,043		16,519,476		3,694,824		3,595,963		1,201,080
(2) Investments, at cost	$	241,065,342	$	426,569,017		$51,876,300	$	85,056,419		$21,637,267
	FTVIPT Frank		FTVIPT Frank		GS VIT		GS VIT Structd		GS VIT
	Global Real Est,		Sm Cap Val,		Mid Cap Val,		Sm Cap Eq,		Structd U.S. Eq,
Dec. 31, 2012 (continued)	Cl 2		Cl 2		Inst		Inst		Inst
Assets
Investments, at fair value(1),(2)	$	157,516,454	$	146,397,984	$	233,128,258		$7,007,542	$	134,878,428
Dividends receivable		—		—		—		—		—
Accounts receivable from RiverSource Life for contract purchase payments		7,158		8,523		—		558		48,087
Receivable for share redemptions		213,019		290,839		386,316		4,974		133,770
Total assets		157,736,631		146,697,346		233,514,574		7,013,074		135,060,285
Liabilities
Payable to RiverSource Life for:
Mortality and expense risk fee		115,900		108,873		168,455		4,974		98,251
Contract terminations		97,119		181,966		217,861		—		35,519
Payable for investments purchased		7,158		8,523		—		558		48,087
Total liabilities		220,177		299,362		386,316		5,532		181,857
Net assets applicable to contracts in accumulation period		157,189,847		146,052,867		232,313,910		6,973,615		134,366,167
Net assets applicable to contracts in payment period		326,607		344,671		814,348		33,927		512,261
Net assets applicable to seed money		—		446		—		—		—
Total net assets	$	157,516,454	$	146,397,984	$	233,128,258		$7,007,542	$	134,878,428
(1) Investment shares		11,038,294		8,030,608		15,207,323		551,341		11,110,249
(2) Investments, at cost	$	210,161,107	$	111,603,625	$	214,568,916		$6,175,823	$	132,573,390

See accompanying notes to financial statements.

RIVERSOURCE RETIREMENT ADVISOR VARIABLE ANNUITY – BAND 3 – 2012 ANNUAL REPORT  5

Statements of Assets and Liabilities

	Invesco VI		Invesco VI		Invesco VI		Invesco VI		Invesco VI
	Global Hlth,		Intl Gro,		Am Fran,		Comstock,		Mid Cap Gro,
Dec. 31, 2012 (continued)	Ser II		Ser II		Ser I		Ser II		Ser I
Assets
Investments, at fair value(1),(2)	$	27,189,712	$	94,833,170	$	13,577,633	$	208,333,851	$	15,113,697
Dividends receivable		—		—		—		—		—
Accounts receivable from RiverSource Life for contract purchase payments		48,898		5,057		3,069		77,971		44
Receivable for share redemptions		20,979		142,889		10,628		268,838		16,587
Total assets		27,259,589		94,981,116		13,591,330		208,680,660		15,130,328
Liabilities
Payable to RiverSource Life for:
Mortality and expense risk fee		20,656		71,385		9,582		154,485		10,839
Contract terminations		323		71,504		1,045		114,353		5,747
Payable for investments purchased		48,898		5,057		3,069		77,971		44
Total liabilities		69,877		147,946		13,696		346,809		16,630
Net assets applicable to contracts in accumulation period		27,153,230		94,752,794		13,531,484		208,177,689		15,049,427
Net assets applicable to contracts in payment period		36,482		80,376		46,150		156,162		64,271
Net assets applicable to seed money		—		—		—		—		—
Total net assets	$	27,189,712	$	94,833,170	$	13,577,634	$	208,333,851	$	15,113,698
(1) Investment shares		1,326,975		3,195,188		374,246		15,758,990		3,855,535
(2) Investments, at cost	$	22,976,719	$	84,035,766	$	13,910,632	$	193,975,980	$	15,378,635
	Janus Aspen		Janus Aspen		Janus Aspen		Janus Aspen		Janus Aspen
	Enterprise,		Global Tech,		Janus,		Gbl Alloc Mod,		Overseas,
Dec. 31, 2012 (continued)	Serv		Serv		Serv		Serv		Serv
Assets
Investments, at fair value(1),(2)	$	13,636,151	$	16,994,542	$	56,511,650		$457,286	$	68,216,101
Dividends receivable		—		—		—		—		—
Accounts receivable from RiverSource Life for contract purchase payments		1,363		63		14,122		35,205		22
Receivable for share redemptions		9,590		27,318		114,264		312		123,683
Total assets		13,647,104		17,021,923		56,640,036		492,803		68,339,806
Liabilities
Payable to RiverSource Life for:
Mortality and expense risk fee		9,435		11,972		43,278		312		49,032
Contract terminations		156		15,346		70,986		—		74,651
Payable for investments purchased		1,363		63		14,122		35,205		22
Total liabilities		10,954		27,381		128,386		35,517		123,705
Net assets applicable to contracts in accumulation period		13,636,150		16,853,188		56,490,613		455,875		67,940,405
Net assets applicable to contracts in payment period		—		141,354		20,026		—		275,696
Net assets applicable to seed money		—		—		1,011		1,411		—
Total net assets	$	13,636,150	$	16,994,542	$	56,511,650		$457,286	$	68,216,101
(1) Investment shares		315,798		2,758,854		2,162,711		41,647		1,842,185
(2) Investments, at cost	$	11,211,635	$	14,315,749	$	47,371,201		$448,757	$	65,863,254

See accompanying notes to financial statements.

6  RIVERSOURCE RETIREMENT ADVISOR VARIABLE ANNUITY – BAND 3 – 2012 ANNUAL REPORT

Statements of Assets and Liabilities

	MFS		MFS		MFS		MS UIF		MS UIF
	Inv Gro Stock,		New Dis,		Utilities,		Global Real Est,		Mid Cap Gro,
Dec. 31, 2012 (continued)	Serv Cl		Serv Cl		Serv Cl		Cl II		Cl II
Assets
Investments, at fair value(1),(2)	$	72,076,929	$	52,917,514	$	239,436,746	$	65,057,029		$43,946,049
Dividends receivable		—		—		—		—		—
Accounts receivable from RiverSource Life for contract purchase payments		4,305		19,146		42,436		1,143		2,662
Receivable for share redemptions		81,976		42,046		202,972		94,861		143,523
Total assets		72,163,210		52,978,706		239,682,154		65,153,033		44,092,234
Liabilities
Payable to RiverSource Life for:
Mortality and expense risk fee		53,621		38,426		181,969		49,982		34,653
Contract terminations		28,355		3,620		21,003		44,879		108,870
Payable for investments purchased		4,305		19,146		42,436		1,143		2,662
Total liabilities		86,281		61,192		245,408		96,004		146,185
Net assets applicable to contracts in accumulation period		71,963,112		52,818,369		238,960,463		64,976,933		43,882,764
Net assets applicable to contracts in payment period		113,817		99,145		475,720		80,096		62,748
Net assets applicable to seed money		—		—		563		—		537
Total net assets	$	72,076,929	$	52,917,514	$	239,436,746	$	65,057,029		$43,946,049
(1) Investment shares		6,041,654		3,525,484		8,773,791		6,877,064		4,130,268
(2) Investments, at cost	$	59,748,765	$	50,581,210	$	215,855,353	$	58,324,133		$45,722,407
	NB AMT		Oppen		Oppen Global		Oppen Main St		PIMCO
	Intl Eq,		Global VA,		Strategic Inc		Sm Cap VA,		VIT All Asset,
Dec. 31, 2012 (continued)	Cl S		Serv		VA, Srv		Serv		Advisor Cl
Assets
Investments, at fair value(1),(2)	$	17,984,152	$	92,609,727	$	823,175,337	$	62,202,732	$	298,500,037
Dividends receivable		—		—		—		—		—
Accounts receivable from RiverSource Life for contract purchase payments		24,520		5,998		147,837		115,398		155,607
Receivable for share redemptions		34,086		173,820		810,930		57,561		251,174
Total assets		18,042,758		92,789,545		824,134,104		62,375,691		298,906,818
Liabilities
Payable to RiverSource Life for:
Mortality and expense risk fee		13,714		71,025		632,625		47,836		232,080
Contract terminations		20,371		102,795		178,305		9,726		19,094
Payable for investments purchased		24,520		5,998		147,837		115,398		155,607
Total liabilities		58,605		179,818		958,767		172,960		406,781
Net assets applicable to contracts in accumulation period		17,961,706		92,360,257		820,996,577		62,119,926		296,913,940
Net assets applicable to contracts in payment period		22,447		248,549		2,178,760		82,103		1,585,688
Net assets applicable to seed money		—		921		—		702		409
Total net assets	$	17,984,153	$	92,609,727	$	823,175,337	$	62,202,731	$	298,500,037
(1) Investment shares		1,811,093		2,871,619		142,171,906		3,116,369		26,001,745
(2) Investments, at cost	$	18,510,215	$	85,052,421	$	753,095,742	$	51,645,874	$	288,278,290

See accompanying notes to financial statements.

RIVERSOURCE RETIREMENT ADVISOR VARIABLE ANNUITY – BAND 3 – 2012 ANNUAL REPORT  7

Statements of Assets and Liabilities

	PIMCO VIT Glb		Put VT		Royce
	Multi-Asset,		Multi-Cap Gro,		Micro-Cap,		Third Ave		VP Aggr,
Dec. 31, 2012 (continued)	Advisor Cl		Cl IB		Invest Cl		Val		Cl 2
Assets
Investments, at fair value(1),(2)		$3,354,617		$24,654,927		$31,894,272		$29,223,183		$846,751,351
Dividends receivable		—		—		—		—		—
Accounts receivable from RiverSource Life for contract purchase payments		162		5,930		11		22		32,634
Receivable for share redemptions		4,503		74,854		39,568		49,229		—
Total assets		3,359,282		24,735,711		31,933,851		29,272,434		846,783,985
Liabilities
Payable to RiverSource Life for:
Mortality and expense risk fee		2,621		17,474		22,978		21,027		682,148
Contract terminations		1,881		57,380		16,590		28,202		99,416
Payable for investments purchased		162		5,930		11		22		—
Total liabilities		4,664		80,784		39,579		49,251		781,564
Net assets applicable to contracts in accumulation period		3,353,760		24,589,923		31,658,641		29,041,335		845,783,075
Net assets applicable to contracts in payment period		—		65,004		235,631		181,848		219,316
Net assets applicable to seed money		858		—		—		—		30
Total net assets		$3,354,618		$24,654,927		$31,894,272		$29,223,183		$846,002,421
(1) Investment shares		262,901		1,098,215		2,912,719		2,027,979		68,066,829
(2) Investments, at cost		$3,297,793		$19,810,648		$26,092,241		$33,315,564		$766,670,866
			VP BR Gl
	VP Aggr,		Infl Prot Sec,		VP Conserv,		VP Conserv,		VP Mod,
Dec. 31, 2012 (continued)	Cl 4		Cl 3		Cl 2		Cl 4		Cl 2
Assets
Investments, at fair value(1),(2)	$	1,491,417,987	$	250,582,143	$	967,938,921	$	1,916,683,600	$	6,071,286,858
Dividends receivable		—		—		—		—		—
Accounts receivable from RiverSource Life for contract purchase payments		18,840		22,563		163,942		1,326,362		1,017,215
Receivable for share redemptions		—		—		—		—		—
Total assets		1,491,436,827		250,604,706		968,102,863		1,918,009,962		6,072,304,073
Liabilities
Payable to RiverSource Life for:
Mortality and expense risk fee		1,146,884		191,094		828,383		1,545,327		5,073,718
Contract terminations		1,017,627		72,125		508,343		803,548		673,371
Payable for investments purchased		—		—		—		—		—
Total liabilities		2,164,511		263,219		1,336,726		2,348,875		5,747,089
Net assets applicable to contracts in accumulation period		1,489,272,316		250,259,273		966,637,409		1,915,661,087		6,065,948,501
Net assets applicable to contracts in payment period		—		82,214		128,708		—		608,463
Net assets applicable to seed money		—		—		20		—		20
Total net assets	$	1,489,272,316	$	250,341,487	$	966,766,137	$	1,915,661,087	$	6,066,556,984
(1) Investment shares		119,696,468		26,211,521		83,084,886		164,522,197		496,020,168
(2) Investments, at cost	$	1,175,598,212	$	249,544,629	$	907,936,885	$	1,715,123,300	$	5,484,688,454

See accompanying notes to financial statements.

8  RIVERSOURCE RETIREMENT ADVISOR VARIABLE ANNUITY – BAND 3 – 2012 ANNUAL REPORT

Statements of Assets and Liabilities

			VP Mod		VP Mod		VP Mod		VP Mod
	VP Mod,		Aggr,		Aggr,		Conserv,		Conserv,
Dec. 31, 2012 (continued)	Cl 4		Cl 2		Cl 4		Cl 2		Cl 4
Assets
Investments, at fair value(1),(2)	$	10,953,998,189	$	3,353,976,463	$	5,966,960,416	$	1,974,071,232	$	3,657,994,079
Dividends receivable		—		—		—		—		—
Accounts receivable from RiverSource Life for contract purchase payments		556,466		389,351		52,211		582,401		230,676
Receivable for share redemptions		—		—		—		—		—
Total assets		10,954,554,655		3,354,365,814		5,967,012,627		1,974,653,633		3,658,224,755
Liabilities
Payable to RiverSource Life for:
Mortality and expense risk fee		8,675,533		2,733,627		4,617,185		1,662,017		2,941,196
Contract terminations		951,593		762,310		2,565,707		455,628		2,111,516
Payable for investments purchased		—		—		—		—		—
Total liabilities		9,627,126		3,495,937		7,182,892		2,117,645		5,052,712
Net assets applicable to contracts in accumulation period		10,944,927,529		3,348,758,847		5,959,829,735		1,972,144,907		3,653,172,043
Net assets applicable to contracts in payment period		—		2,111,010		—		391,061		—
Net assets applicable to seed money		—		20		—		20		—
Total net assets	$	10,944,927,529	$	3,350,869,877	$	5,959,829,735	$	1,972,535,988	$	3,653,172,043
(1) Investment shares		894,203,934		270,918,939		481,206,485		165,471,185		305,852,348
(2) Investments, at cost	$	8,874,669,102	$	3,023,841,670	$	4,757,635,194	$	1,814,812,640	$	3,108,348,880
	VP Ptnrs		VP Sit		VP Vty
	Sm Cap Val,		Divd Gro,		Estb Val,		Wanger		Wanger
Dec. 31, 2012 (continued)	Cl 3		Cl 3		Cl 3		Intl		USA
Assets
Investments, at fair value(1),(2)		$137,260,753		$40,886,506		$13,836,078		$318,049,091		$344,355,060
Dividends receivable		—		—		—		—		—
Accounts receivable from RiverSource Life for contract purchase payments		3,159		7,152		2,436		3,838		1,755
Receivable for share redemptions		—		—		—		—		—
Total assets		137,263,912		40,893,658		13,838,514		318,052,929		344,356,815
Liabilities
Payable to RiverSource Life for:
Mortality and expense risk fee		100,450		31,002		10,320		236,650		254,222
Contract terminations		172,038		24,580		31,160		219,444		230,851
Payable for investments purchased		—		—		—		—		—
Total liabilities		272,488		55,582		41,480		456,094		485,073
Net assets applicable to contracts in accumulation period		136,674,526		40,778,105		13,773,812		317,110,020		343,252,164
Net assets applicable to contracts in payment period		316,898		59,971		23,222		486,815		619,578
Net assets applicable to seed money		—		—		—		—		—
Total net assets		$136,991,424		$40,838,076		$13,797,034		$317,596,835		$343,871,742
(1) Investment shares		8,293,701		3,831,912		1,130,399		10,197,149		10,175,977
(2) Investments, at cost		$106,702,899		$33,396,705		$12,074,705		$266,882,811		$283,078,688

See accompanying notes to financial statements.

RIVERSOURCE RETIREMENT ADVISOR VARIABLE ANNUITY – BAND 3 – 2012 ANNUAL REPORT  9

Statements of Assets and Liabilities

	WF Adv VT		WF Adv VT		WF Adv VT
	Index Asset Alloc,		Intl Eq,		Sm Cap Gro,
Dec. 31, 2012 (continued)	Cl 2		Cl 2		Cl 2
Assets
Investments, at fair value(1),(2)	$	28,892,653	$	49,421,445	$	63,273,528
Dividends receivable		—		—		—
Accounts receivable from RiverSource Life for contract purchase payments		14,753		2,263		20,265
Receivable for share redemptions		20,971		57,296		55,875
Total assets		28,928,377		49,481,004		63,349,668
Liabilities
Payable to RiverSource Life for:
Mortality and expense risk fee		20,960		37,556		48,619
Contract terminations		11		19,740		7,256
Payable for investments purchased		14,753		2,263		20,265
Total liabilities		35,724		59,559		76,140
Net assets applicable to contracts in accumulation period		28,679,244		49,273,418		63,213,899
Net assets applicable to contracts in payment period		213,409		148,027		59,252
Net assets applicable to seed money		—		—		377
Total net assets	$	28,892,653	$	49,421,445	$	63,273,528
(1) Investment shares		2,144,963		9,964,001		8,029,636
(2) Investments, at cost	$	26,393,125	$	45,824,772	$	58,694,404

See accompanying notes to financial statements.

10  RIVERSOURCE RETIREMENT ADVISOR VARIABLE ANNUITY – BAND 3 – 2012 ANNUAL REPORT

Statements of Operations

	AB VPS Global			AB VPS			AB VPS			AC VP			AC VP
	Thematic Gro,			Gro & Inc,			Intl Val,			Intl,			Mid Cap Val,
Year ended Dec. 31, 2012	Cl B			Cl B			Cl B			Cl I			Cl II
Investment income
Dividend income		$       —			$ 1,454,300			$ 2,906,818			$  132,267			$  752,149
Variable account expenses		86,217			948,733			1,963,015			126,396			374,999
Investment income (loss) — net		(86,217	)		505,567			943,803			5,871			377,150
Realized and unrealized gain (loss) on investments — net
Realized gain (loss) on sales of investments:
Proceeds from sales		4,244,816			22,533,426			55,566,825			4,606,349			10,118,397
Cost of investments sold		4,287,899			23,454,466			74,021,204			4,938,615			9,342,442
Net realized gain (loss) on sales of investments		(43,083	)		(921,040	)		(18,454,379	)		(332,266	)		775,955
Distributions from capital gains		—			—			—			—			2,233,365
Net change in unrealized appreciation or depreciation of investments		1,266,117			16,947,214			45,443,074			3,066,524			2,265,079
Net gain (loss) on investments		1,223,034			16,026,174			26,988,695			2,734,258			5,274,399
Net increase (decrease) in net assets resulting from operations		$1,136,817			$16,531,741			$27,932,498			$2,740,129			$5,651,549
	AC VP			AC VP			BlackRock						Col VP
	Ultra,			Val,			Global Alloc,			Calvert VP			Bal,
Period ended Dec. 31, 2012 (continued)	Cl II			Cl I			Cl III(1)			SRI Bal			Cl 3
Investment income
Dividend income		$       —			$   885,167			$165,965			$  295,572			$        —
Variable account expenses		242,824			394,522			36,200			211,680			2,161,710
Investment income (loss) — net		(242,824	)		490,645			129,765			83,892			(2,161,710	)
Realized and unrealized gain (loss) on investments — net
Realized gain (loss) on sales of investments:
Proceeds from sales		6,232,703			10,545,726			745,970			3,764,458			36,250,454
Cost of investments sold		5,530,702			11,166,427			733,068			3,521,199			32,792,216
Net realized gain (loss) on sales of investments		702,001			(620,701	)		12,902			243,259			3,458,238
Distributions from capital gains		—			—			36,840			—			—
Net change in unrealized appreciation or depreciation of investments		2,802,864			6,150,898			242,216			1,944,162			25,206,058
Net gain (loss) on investments		3,504,865			5,530,197			291,958			2,187,421			28,664,296
Net increase (decrease) in net assets resulting from operations		$3,262,041			$ 6,020,842			$421,723			$2,271,313			$26,502,586

⁽¹⁾ For the period April 30, 2012 (commencement of operations) to Dec. 31, 2012.

	Col VP			Col VP			Col VP			Col VP			Col VP
	Cash Mgmt,			Div Bond,			Divd Opp,			Emer Mkts,			Global Bond,
Year ended Dec. 31, 2012 (continued)	Cl 3			Cl 3			Cl 3			Cl 3			Cl 3
Investment income
Dividend income		$     32,685			$ 39,181,055			$         —			$ 1,046,618			$ 9,040,347
Variable account expenses		3,044,814			9,320,589			6,894,513			2,605,122			3,144,644
Investment income (loss) — net		(3,012,129	)		29,860,466			(6,894,513	)		(1,558,504	)		5,895,703
Realized and unrealized gain (loss) on investments — net
Realized gain (loss) on sales of investments:
Proceeds from sales		149,672,300			135,480,730			166,998,354			56,737,370			60,460,706
Cost of investments sold		149,635,119			126,637,956			148,686,200			49,421,300			55,657,340
Net realized gain (loss) on sales of investments		37,181			8,842,774			18,312,154			7,316,070			4,803,366
Distributions from capital gains		—			26,128,545			—			6,155,220			1,788,655
Net change in unrealized appreciation or depreciation of investments		(37,242	)		(269,237	)		82,437,103			36,274,035			5,448,099
Net gain (loss) on investments		(61	)		34,702,082			100,749,257			49,745,325			12,040,120
Net increase (decrease) in net assets resulting from operations		$  (3,012,190	)		$ 64,562,548			$ 93,854,744			$48,186,821			$17,935,823

See accompanying notes to financial statements.

RIVERSOURCE RETIREMENT ADVISOR VARIABLE ANNUITY – BAND 3 – 2012 ANNUAL REPORT  11

Statements of Operations

	Col VP			Col VP			Col VP			Col VP			Col VP
	Hi Yield Bond,			Inc Opp,			Intl Opp,			Lg Cap Gro,			Lg Core Quan,
Year ended Dec. 31, 2012 (continued)	Cl 3			Cl 3			Cl 3			Cl 3			Cl 3
Investment income
Dividend income		$33,191,600			$14,193,432			$ 1,577,154			$        —			$        —
Variable account expenses		4,200,975			1,952,408			1,050,810			1,085,615			3,846,439
Investment income (loss) — net		28,990,625			12,241,024			526,344			(1,085,615	)		(3,846,439	)
Realized and unrealized gain (loss) on investments — net
Realized gain (loss) on sales of investments:
Proceeds from sales		66,305,824			31,305,957			25,214,560			25,629,297			66,947,099
Cost of investments sold		62,451,441			29,965,356			24,140,001			25,234,631			66,808,644
Net realized gain (loss) on sales of investments		3,854,383			1,340,601			1,074,559			394,666			138,455
Distributions from capital gains		—			4,407,781			—			—			—
Net change in unrealized appreciation or depreciation of investments		28,990,865			9,821,379			14,086,091			22,786,646			51,416,258
Net gain (loss) on investments		32,845,248			15,569,761			15,160,650			23,181,312			51,554,713
Net increase (decrease) in net assets resulting from operations		$61,835,873			$27,810,785			$15,686,994			$22,095,697			$47,708,274
				Col VP			Col VP			Col VP
	Col VP			Marsico			Mid Cap			Mid Cap			Col VP
	Marsico Gro,			Intl Opp,			Gro Opp,			Val Opp,			S&P 500,
Year ended Dec. 31, 2012 (continued)	Cl 1			Cl 2			Cl 3			Cl 3			Cl 3
Investment income
Dividend income		$ 1,250,191			$   435,611			$        —			$        —			$        —
Variable account expenses		1,650,795			434,358			936,705			752,043			1,191,161
Investment income (loss) — net		(400,604	)		1,253			(936,705	)		(752,043	)		(1,191,161	)
Realized and unrealized gain (loss) on investments — net
Realized gain (loss) on sales of investments:
Proceeds from sales		44,479,525			13,641,624			23,373,430			22,621,021			27,012,030
Cost of investments sold		34,738,554			18,276,036			19,524,257			23,274,941			21,731,160
Net realized gain (loss) on sales of investments		9,740,971			(4,634,412	)		3,849,173			(653,920	)		5,280,870
Distributions from capital gains		—			—			—			—			—
Net change in unrealized appreciation or depreciation of investments		11,330,902			11,952,584			6,875,079			14,998,190			14,181,827
Net gain (loss) on investments		21,071,873			7,318,172			10,724,252			14,344,270			19,462,697
Net increase (decrease) in net assets resulting from operations		$20,671,269			$ 7,319,425			$ 9,787,547			$13,592,227			$18,271,536
	Col VP Select			Col VP Select			Col VP			CS			DWS Alt
	Lg Cap Val,			Sm Cap Val,			US Govt Mtge,			Commodity			Asset Alloc VIP,
Period ended Dec. 31, 2012 (continued)	Cl 3			Cl 3			Cl 3			Return			Cl B(1)
Investment income
Dividend income		$       —			$        —			$ 2,207,804			$        —			$     —
Variable account expenses		227,956			438,135			2,154,511			736,864			22,567
Investment income (loss) — net		(227,956	)		(438,135	)		53,293			(736,864	)		(22,567	)
Realized and unrealized gain (loss) on investments — net
Realized gain (loss) on sales of investments:
Proceeds from sales		8,601,724			11,759,882			63,500,630			19,845,217			230,516
Cost of investments sold		7,719,796			11,599,641			62,514,086			25,887,728			225,995
Net realized gain (loss) on sales of investments		881,928			160,241			986,544			(6,042,511	)		4,521
Distributions from capital gains		—			—			—			—			—
Net change in unrealized appreciation or depreciation of investments		3,437,791			8,202,024			665,950			4,469,156			200,365
Net gain (loss) on investments		4,319,719			8,362,265			1,652,494			(1,573,355	)		204,886
Net increase (decrease) in net assets resulting from operations		$4,091,763			$ 7,924,130			$ 1,705,787			$ (2,310,219	)		$182,319

⁽¹⁾ For the period April 30, 2012 (commencement of operations) to Dec. 31, 2012.

See accompanying notes to financial statements.

12  RIVERSOURCE RETIREMENT ADVISOR VARIABLE ANNUITY – BAND 3 – 2012 ANNUAL REPORT

Statements of Operations

	EV VT			Fid VIP			Fid VIP			Fid VIP			Fid VIP
	Floating-Rate			Contrafund,			Gro & Inc,			Mid Cap,			Overseas,
Year ended Dec. 31, 2012 (continued)	Inc			Serv Cl 2			Serv Cl			Serv Cl			Serv Cl
Investment income
Dividend income		$10,251,012			$ 4,793,669			$ 1,133,790			$   564,600			$   346,058
Variable account expenses		2,239,367			4,018,176			472,875			1,005,763			170,185
Investment income (loss) — net		8,011,645			775,493			660,915			(441,163	)		175,873
Realized and unrealized gain (loss) on investments — net
Realized gain (loss) on sales of investments:
Proceeds from sales		39,784,207			79,346,509			12,162,950			32,115,528			5,513,312
Cost of investments sold		39,039,709			82,043,555			12,205,359			23,320,416			6,615,540
Net realized gain (loss) on sales of investments		744,498			(2,697,046	)		(42,409	)		8,795,112			(1,102,228	)
Distributions from capital gains		2,828,139			—			25,430			8,631,268			63,028
Net change in unrealized appreciation or depreciation of investments		3,511,096			64,573,543			8,420,458			(1,051,949	)		4,507,883
Net gain (loss) on investments		7,083,733			61,876,497			8,403,479			16,374,431			3,468,683
Net increase (decrease) in net assets resulting from operations		$15,095,378			$62,651,990			$ 9,064,394			$15,933,268			$ 3,644,556
	FTVIPT Frank			FTVIPT Frank			GS VIT			GS VIT Structd			GS VIT Structd
	Global Real Est,			Sm Cap Val,			Mid Cap Val,			Sm Cap Eq,			U.S. Eq,
Year ended Dec. 31, 2012 (continued)	Cl 2			Cl 2			Inst			Inst			Inst
Investment income
Dividend income		$         —			$ 1,165,269			$ 2,670,416			$   82,254			$ 2,445,840
Variable account expenses		1,325,122			1,308,316			2,096,854			63,234			1,220,270
Investment income (loss) — net		(1,325,122	)		(143,047	)		573,562			19,020			1,225,570
Realized and unrealized gain (loss) on investments — net
Realized gain (loss) on sales of investments:
Proceeds from sales		24,114,536			35,638,256			56,724,398			1,950,589			27,192,770
Cost of investments sold		35,846,679			29,615,074			55,191,187			1,752,390			27,303,516
Net realized gain (loss) on sales of investments		(11,732,143	)		6,023,182			1,533,211			198,199			(110,746	)
Distributions from capital gains		—			—			—			—			—
Net change in unrealized appreciation or depreciation of investments		48,187,345			17,830,486			37,616,461			661,672			17,015,835
Net gain (loss) on investments		36,455,202			23,853,668			39,149,672			859,871			16,905,089
Net increase (decrease) in net assets resulting from operations		$ 35,130,080			$23,710,621			$39,723,234			$  878,891			$18,130,659
	Invesco VI			Invesco VI			Invesco VI			Invesco VI			Invesco VI
	Global Hlth,			Intl Gro,			Am Fran,			Comstock,			Mid Cap Gro,
Period ended Dec. 31, 2012 (continued)	Ser II			Ser II			Ser I(1)			Ser II			Ser I(1)
Investment income
Dividend income		$       —			$ 1,215,942			$        —			$ 3,153,420			$        —
Variable account expenses		235,435			855,947			79,332			1,887,478			90,403
Investment income (loss) — net		(235,435	)		359,995			(79,332	)		1,265,942			(90,403	)
Realized and unrealized gain (loss) on investments — net
Realized gain (loss) on sales of investments:
Proceeds from sales		5,383,299			19,979,499			1,957,792			45,162,135			2,510,773
Cost of investments sold		4,791,540			18,713,677			2,053,738			44,450,729			2,641,239
Net realized gain (loss) on sales of investments		591,759			1,265,822			(95,946	)		711,406			(130,466	)
Distributions from capital gains		—			—			—			—			4,955
Net change in unrealized appreciation or depreciation of investments		4,164,068			11,195,754			(332,999	)		33,669,078			(264,938	)
Net gain (loss) on investments		4,755,827			12,461,576			(428,945	)		34,380,484			(390,449	)
Net increase (decrease) in net assets resulting from operations		$4,520,392			$12,821,571			$ (508,277	)		$35,646,426			$ (480,852	)

⁽¹⁾ For the period April 27, 2012 (commencement of operations) to Dec. 31, 2012.

See accompanying notes to financial statements.

RIVERSOURCE RETIREMENT ADVISOR VARIABLE ANNUITY – BAND 3 – 2012 ANNUAL REPORT  13

Statements of Operations

	Janus Aspen			Janus Aspen			Janus Aspen			Janus Aspen Gbl		Janus Aspen
	Enterprise,			Global Tech,			Janus,			Alloc Mod,		Overseas,
Period ended Dec. 31, 2012 (continued)	Serv			Serv			Serv			Serv(1)		Serv
Investment income
Dividend income		$        —			$        —			$   255,481			$ 6,694		$   458,477
Variable account expenses		115,432			150,266			534,514			1,532		661,973
Investment income (loss) — net		(115,432	)		(150,266	)		(279,033	)		5,162		(203,496	)
Realized and unrealized gain (loss) on investments — net
Realized gain (loss) on sales of investments:
Proceeds from sales		3,073,626			4,808,681			15,406,609			43,575		27,428,596
Cost of investments sold		2,694,198			4,227,544			13,278,822			41,820		26,502,747
Net realized gain (loss) on sales of investments		379,428			581,137			2,127,787			1,755		925,849
Distributions from capital gains		—			—			1,007,953			3,395		8,437,952
Net change in unrealized appreciation or depreciation of investments		1,841,022			2,576,648			6,727,572			8,529		(108,913	)
Net gain (loss) on investments		2,220,450			3,157,785			9,863,312			13,679		9,254,888
Net increase (decrease) in net assets resulting from operations		$2,105,018			$3,007,519			$ 9,584,279			$18,841		$ 9,051,392

⁽¹⁾ For the period April 30, 2012 (commencement of operations) to Dec. 31, 2012.

	MFS			MFS			MFS		MS UIF			MS UIF
	Inv Gro Stock,			New Dis,			Utilities,		Global Real Est,			Mid Cap
Year ended Dec. 31, 2012 (continued)	Serv Cl			Serv Cl			Serv Cl		Cl II			Gro, Cl II
Investment income
Dividend income		$   163,498			$         —			$15,472,662		$   340,677			$         —
Variable account expenses		647,519			482,326			2,183,108		569,649			514,156
Investment income (loss) — net		(484,021	)		(482,326	)		13,289,554		(228,972	)		(514,156	)
Realized and unrealized gain (loss) on investments — net
Realized gain (loss) on sales of investments:
Proceeds from sales		14,546,579			14,851,639			42,932,689		13,321,534			23,837,410
Cost of investments sold		12,150,278			14,131,393			39,166,904		13,310,247			24,312,762
Net realized gain (loss) on sales of investments		2,396,301			720,246			3,765,785		11,287			(475,352	)
Distributions from capital gains		3,603,337			5,254,319			—		—			6,826,382
Net change in unrealized appreciation or depreciation of investments		5,147,807			4,808,626			10,835,655		15,853,782			(1,829,908	)
Net gain (loss) on investments		11,147,445			10,783,191			14,601,440		15,865,069			4,521,122
Net increase (decrease) in net assets resulting from operations		$10,663,424			$10,300,865			$27,890,994		$15,636,097			$ 4,006,966
	NB AMT			Oppen			Oppen Global		Oppen Main St			PIMCO VIT
	Intl Eq,			Global VA,			Strategic Inc VA,		Sm Cap VA,			All Asset,
Year ended Dec. 31, 2012 (continued)	Cl S			Serv			Srv		Serv			Advisor Cl
Investment income
Dividend income		$  146,575			$ 1,747,815			$ 46,788,767		$   207,333			$13,456,222
Variable account expenses		164,766			825,862			7,568,769		573,466			2,499,577
Investment income (loss) — net		(18,191	)		921,953			39,219,998		(366,133	)		10,956,645
Realized and unrealized gain (loss) on investments — net
Realized gain (loss) on sales of investments:
Proceeds from sales		5,264,806			18,774,112			131,674,591		12,485,513			22,691,387
Cost of investments sold		5,886,696			18,902,901			123,188,653		10,904,367			22,543,270
Net realized gain (loss) on sales of investments		(621,890	)		(128,789	)		8,485,938		1,581,146			148,117
Distributions from capital gains		—			—			9,009,884		—			—
Net change in unrealized appreciation or depreciation of investments		3,579,774			15,632,054			38,652,915		8,448,040			23,405,916
Net gain (loss) on investments		2,957,884			15,503,265			56,148,737		10,029,186			23,554,033
Net increase (decrease) in net assets resulting from operations		$2,939,693			$16,425,218			$ 95,368,735		$ 9,663,053			$34,510,678

See accompanying notes to financial statements.

14  RIVERSOURCE RETIREMENT ADVISOR VARIABLE ANNUITY – BAND 3 – 2012 ANNUAL REPORT

Statements of Operations

	PIMCO VIT		Put VT			Royce
	Glb Multi-Asset,		Multi-Cap Gro,			Micro-Cap,			Third Ave			VP Aggr,
Period ended Dec. 31, 2012 (continued)	Advisor Cl(1)		Cl IB			Invest Cl			Val			Cl 2
Investment income
Dividend income		$ 44,335		$   63,594			$         —			$   257,960			$         —
Variable account expenses		10,051		219,367			310,617			253,451			7,674,309
Investment income (loss) — net		34,284		(155,773	)		(310,617	)		4,509			(7,674,309	)
Realized and unrealized gain (loss) on investments — net
Realized gain (loss) on sales of investments:
Proceeds from sales		128,975		5,448,389			10,835,942			7,859,041			81,409,928
Cost of investments sold		126,920		4,536,609			8,828,609			9,882,494			76,614,161
Net realized gain (loss) on sales of investments		2,055		911,780			2,007,333			(2,023,453	)		4,795,767
Distributions from capital gains		12,843		—			701,260			—			—
Net change in unrealized appreciation or depreciation of investments		56,824		3,133,386			83,209			9,052,126			91,313,090
Net gain (loss) on investments		71,722		4,045,166			2,791,802			7,028,673			96,108,857
Net increase (decrease) in net assets resulting from operations		$106,006		$3,889,393			$ 2,481,185			$ 7,033,182			$88,434,548

⁽¹⁾ For the period April 30, 2012 (commencement of operations) to Dec. 31, 2012.

				VP BR
	VP Aggr,			Gl Infl Prot Sec,			VP Conserv,			VP Conserv,			VP Mod,
Year ended Dec. 31, 2012 (continued)	Cl 4			Cl 3			Cl 2			Cl 4			Cl 2
Investment income
Dividend income		$          —			$11,450,617			$          —			$          —			$          —
Variable account expenses		14,352,981			2,343,145			8,065,480			16,398,722			55,455,553
Investment income (loss) — net		(14,352,981	)		9,107,472			(8,065,480	)		(16,398,722	)		(55,455,553	)
Realized and unrealized gain (loss) on investments — net
Realized gain (loss) on sales of investments:
Proceeds from sales		332,355,665			48,363,101			128,607,675			214,944,289			258,869,575
Cost of investments sold		273,132,999			48,184,319			122,205,368			195,044,464			240,915,196
Net realized gain (loss) on sales of investments		59,222,666			178,782			6,402,307			19,899,825			17,954,379
Distributions from capital gains		—			3,219,948			—			—			—
Net change in unrealized appreciation or depreciation of investments		145,997,903			(619,035	)		46,459,634			98,300,203			519,855,907
Net gain (loss) on investments		205,220,569			2,779,695			52,861,941			118,200,028			537,810,286
Net increase (decrease) in net assets resulting from operations		$190,867,588			$11,887,167			$ 44,796,461			$101,801,306			$482,354,733
				VP Mod			VP Mod			VP Mod			VP Mod
	VP Mod,			Aggr,			Aggr,			Conserv,			Conserv,
Year ended Dec. 31, 2012 (continued)	Cl 4			Cl 2			Cl 4			Cl 2			Cl 4
Investment income
Dividend income		$            —			$          —			$            —			$          —			$          —
Variable account expenses		103,110,328			31,161,680			57,528,402			17,221,585			33,619,715
Investment income (loss) — net		(103,110,328	)		(31,161,680	)		(57,528,402	)		(17,221,585	)		(33,619,715	)
Realized and unrealized gain (loss) on investments — net
Realized gain (loss) on sales of investments:
Proceeds from sales		931,220,565			274,221,758			1,109,405,973			131,388,843			290,466,600
Cost of investments sold		780,895,884			256,272,653			920,859,506			123,301,791			253,030,610
Net realized gain (loss) on sales of investments		150,324,681			17,949,105			188,546,467			8,087,052			37,435,990
Distributions from capital gains		—			—			—			—			—
Net change in unrealized appreciation or depreciation of investments		971,622,712			327,210,835			538,744,942			127,832,579			256,736,922
Net gain (loss) on investments		1,121,947,393			345,159,940			727,291,409			135,919,631			294,172,912
Net increase (decrease) in net assets resulting from operations		$1,018,837,065			$313,998,260			$  669,763,007			$118,698,046			$260,553,197

See accompanying notes to financial statements.

RIVERSOURCE RETIREMENT ADVISOR VARIABLE ANNUITY – BAND 3 – 2012 ANNUAL REPORT  15

Statements of Operations

	VP Ptnrs			VP Sit			VP Vty
	Sm Cap Val,			Divd Gro,			Estb Val,			Wanger		Wanger
Year ended Dec. 31, 2012 (continued)	Cl 3			Cl 3			Cl 3			Intl		USA
Investment income
Dividend income		$         —			$         —			$        —			$3,815,762		$1,068,739
Variable account expenses		1,254,784			401,703			121,616			2,883,310		3,123,877
Investment income (loss) — net		(1,254,784	)		(401,703	)		(121,616	)		932,452		(2,055,138	)
Realized and unrealized gain (loss) on investments — net
Realized gain (loss) on sales of investments:
Proceeds from sales		34,849,128			12,516,235			3,336,775			73,994,795		73,888,991
Cost of investments sold		28,620,379			10,448,713			3,081,649			62,904,409		62,572,083
Net realized gain (loss) on sales of investments		6,228,749			2,067,522			255,126			11,090,386		11,316,908
Distributions from capital gains		—			—			—			30,227,779		17,590,243
Net change in unrealized appreciation or depreciation of investments		12,354,287			2,682,063			1,880,905			18,935,284		35,541,585
Net gain (loss) on investments		18,583,036			4,749,585			2,136,031			60,253,449		64,448,736
Net increase (decrease) in net assets resulting from operations		$17,328,252			$ 4,347,882			$2,014,415			$61,185,901		$62,393,598
							WF Adv VT			WF Adv VT		WF Adv VT
							Index Asset Alloc,			Intl Eq,		Sm Cap Gro,
Year ended Dec. 31, 2012 (continued)							Cl 2			Cl 2		Cl 2
Investment income
Dividend income								$  435,376			$   670,224		$         —
Variable account expenses								260,808			457,717		634,902
Investment income (loss) — net								174,568			212,507		(634,902	)
Realized and unrealized gain (loss) on investments — net
Realized gain (loss) on sales of investments:
Proceeds from sales								7,097,471			11,885,155		17,837,999
Cost of investments sold								6,652,796			11,400,274		15,941,455
Net realized gain (loss) on sales of investments								444,675			484,881		1,896,544
Distributions from capital gains								—			3,342,324		3,324,732
Net change in unrealized appreciation or depreciation of investments								2,874,271			1,919,681		517,703
Net gain (loss) on investments								3,318,946			5,746,886		5,738,979
Net increase (decrease) in net assets resulting from operations								$3,493,514			$ 5,959,393		$ 5,104,077

See accompanying notes to financial statements.

16  RIVERSOURCE RETIREMENT ADVISOR VARIABLE ANNUITY – BAND 3 – 2012 ANNUAL REPORT

Statements of Changes in Net Assets

	AB VPS
	Global			AB VPS			AB VPS			AC VP			AC VP
	Thematic Gro,			Gro & Inc,			Intl Val,			Intl,			Mid Cap Val,
Year ended Dec. 31, 2012	Cl B			Cl B			Cl B			Cl I			Cl II
Operations
Investment income (loss) — net	$	(86,217	)	$	505,567		$	943,803		$	5,871		$	377,150
Net realized gain (loss) on sales of investments		(43,083	)		(921,040	)		(18,454,379	)		(332,266	)		775,955
Distributions from capital gains		—			—			—			—			2,233,365
Net change in unrealized appreciation or depreciation of investments		1,266,117			16,947,214			45,443,074			3,066,524			2,265,079
Net increase (decrease) in net assets resulting from operations		1,136,817			16,531,741			27,932,498			2,740,129			5,651,549
Contract transactions
Contract purchase payments		209,287			1,411,444			3,910,635			158,233			564,673
Net transfers(1)		(2,118,119	)		(5,875,048	)		(28,434,630	)		(1,666,217	)		(62,222	)
Transfers for policy loans		770			(18,825	)		84,777			(5,669	)		2,351
Adjustments to net assets allocated to contracts in payment period		(1,334	)		25,053			(52,515	)		(2,941	)		(8,434	)
Contract charges		(9,793	)		(86,731	)		(307,122	)		(6,896	)		(43,790	)
Contract terminations:
Surrender benefits		(817,141	)		(11,876,246	)		(21,428,725	)		(2,307,350	)		(3,386,652	)
Death benefits		(8,688	)		(1,151,128	)		(1,993,667	)		(146,612	)		(372,286	)
Increase (decrease) from contract transactions		(2,745,018	)		(17,571,481	)		(48,221,247	)		(3,977,452	)		(3,306,360	)
Net assets at beginning of year		10,182,902			107,039,433			236,221,327			15,549,834			38,863,019
Net assets at end of year	$	8,574,701		$	105,999,693		$	215,932,578		$	14,312,511		$	41,208,208
Accumulation unit activity
Units outstanding at beginning of year		10,598,044			96,883,271			203,415,085			14,468,886			35,063,145
Contract purchase payments		201,584			1,164,626			3,674,043			134,855			446,984
Net transfers(1)		(2,045,756	)		(4,646,325	)		(23,384,819	)		(1,416,790	)		(31,415	)
Transfers for policy loans		706			(14,841	)		66,963			(4,530	)		2,213
Contract charges		(9,453	)		(71,055	)		(245,686	)		(5,901	)		(36,197	)
Contract terminations:
Surrender benefits		(791,299	)		(9,648,433	)		(16,707,045	)		(1,974,529	)		(2,938,252	)
Death benefits		(8,779	)		(939,827	)		(1,706,232	)		(127,749	)		(306,661	)
Units outstanding at end of year		7,945,047			82,727,416			165,112,309			11,074,242			32,199,817

⁽¹⁾ Includes transfer activity from (to) other divisions and transfers from (to) RiverSource Life’s fixed account.

See accompanying notes to financial statements.

RIVERSOURCE RETIREMENT ADVISOR VARIABLE ANNUITY – BAND 3 – 2012 ANNUAL REPORT  17

Statements of Changes in Net Assets

	AC VP			AC VP			BlackRock						Col VP
	Ultra,			Val,			Global Alloc,			Calvert VP			Bal,
Period ended Dec. 31, 2012 (continued)	Cl II			Cl I			Cl III(2)			SRI Bal			Cl 3
Operations
Investment income (loss) — net	$	(242,824	)	$	490,645		$	129,765		$	83,892		$	(2,161,710	)
Net realized gain (loss) on sales of investments		702,001			(620,701	)		12,902			243,259			3,458,238
Distributions from capital gains		—			—			36,840			—			—
Net change in unrealized appreciation or depreciation of investments		2,802,864			6,150,898			242,216			1,944,162			25,206,058
Net increase (decrease) in net assets resulting from operations		3,262,041			6,020,842			421,723			2,271,313			26,502,586
Contract transactions
Contract purchase payments		492,535			542,320			1,266,850			458,705			3,603,078
Net transfers(1)		(657,760	)		(1,861,031	)		10,053,489			(99,710	)		(4,446,351	)
Transfers for policy loans		10,015			25,453			(2,311	)		4,073			66,186
Adjustments to net assets allocated to contracts in payment period		(503	)		(5,382	)		33,778			(8,210	)		(419,953	)
Contract charges		(25,886	)		(18,601	)		(2,801	)		(22,577	)		(172,554	)
Contract terminations:
Surrender benefits		(2,295,969	)		(7,027,458	)		(392,697	)		(2,306,698	)		(20,519,670	)
Death benefits		(179,766	)		(493,481	)		(10,149	)		(102,964	)		(3,955,729	)
Increase (decrease) from contract transactions		(2,657,334	)		(8,838,180	)		10,946,159			(2,077,381	)		(25,844,993	)
Net assets at beginning of year		25,617,504			47,555,923			—			23,915,287			211,287,824
Net assets at end of year	$	26,222,211		$	44,738,585		$	11,367,882		$	24,109,219		$	211,945,417
Accumulation unit activity
Units outstanding at beginning of year		24,049,782			27,809,976			—			21,308,769			156,898,748
Contract purchase payments		405,515			295,309			1,267,196			375,420			2,568,741
Net transfers(1)		(517,998	)		(1,001,493	)		10,148,466			(69,824	)		(3,606,766	)
Transfers for policy loans		8,554			13,967			(2,355	)		3,457			30,256
Contract charges		(21,979	)		(10,167	)		(2,780	)		(18,751	)		(117,853	)
Contract terminations:
Surrender benefits		(1,950,631	)		(3,835,533	)		(387,377	)		(1,909,180	)		(13,962,892	)
Death benefits		(156,555	)		(272,938	)		(9,957	)		(83,414	)		(2,803,442	)
Units outstanding at end of year		21,816,688			22,999,121			11,013,193			19,606,477			139,006,792

(1)	Includes transfer activity from (to) other divisions and transfers from (to) RiverSource Life’s fixed account.
(2)	For the period April 30, 2012 (commencement of operations) to Dec. 31, 2012.

See accompanying notes to financial statements.

18  RIVERSOURCE RETIREMENT ADVISOR VARIABLE ANNUITY – BAND 3 – 2012 ANNUAL REPORT

Statements of Changes in Net Assets

	Col VP			Col VP			Col VP			Col VP			Col VP
	Cash Mgmt,			Div Bond,			Divd Opp,			Emer Mkts,			Global Bond,
Year ended Dec. 31, 2012 (continued)	Cl 3			Cl 3			Cl 3			Cl 3			Cl 3
Operations
Investment income (loss) — net	$	(3,012,129	)	$	29,860,466		$	(6,894,513	)	$	(1,558,504	)	$	5,895,703
Net realized gain (loss) on sales of investments		37,181			8,842,774			18,312,154			7,316,070			4,803,366
Distributions from capital gains		—			26,128,545			—			6,155,220			1,788,655
Net change in unrealized appreciation or depreciation of investments		(37,242	)		(269,237	)		82,437,103			36,274,035			5,448,099
Net increase (decrease) in net assets resulting from operations		(3,012,190	)		64,562,548			93,854,744			48,186,821			17,935,823
Contract transactions
Contract purchase payments		17,149,735			11,112,224			10,924,407			4,456,206			3,384,037
Net transfers(1)		(22,855,834	)		31,027,011			(81,608,611	)		(23,876,908	)		(13,865,435	)
Transfers for policy loans		334,584			105,982			293,084			124,271			77,135
Adjustments to net assets allocated to contracts in payment period		(1,342,433	)		(751,859	)		(492,992	)		(36,170	)		(68,790	)
Contract charges		(280,577	)		(1,074,426	)		(696,076	)		(318,386	)		(354,442	)
Contract terminations:
Surrender benefits		(76,865,493	)		(105,338,691	)		(76,724,238	)		(26,760,396	)		(34,243,547	)
Death benefits		(5,775,198	)		(13,841,929	)		(7,902,232	)		(1,858,118	)		(4,610,831	)
Increase (decrease) from contract transactions		(89,635,216	)		(78,761,688	)		(156,206,658	)		(48,269,501	)		(49,681,873	)
Net assets at beginning of year		387,974,236			1,017,798,746			770,563,042			272,219,219			357,712,168
Net assets at end of year	$	295,326,830		$	1,003,599,606		$	708,211,128		$	272,136,539		$	325,966,118
Accumulation unit activity
Units outstanding at beginning of year		335,562,699			642,765,007			533,664,505			148,253,781			208,801,446
Contract purchase payments		15,490,669			7,236,358			7,441,680			2,410,210			2,058,581
Net transfers(1)		(21,513,103	)		18,565,015			(52,210,359	)		(12,051,537	)		(8,157,280	)
Transfers for policy loans		282,546			62,466			169,634			68,362			40,368
Contract charges		(243,207	)		(668,324	)		(466,893	)		(157,509	)		(206,161	)
Contract terminations:
Surrender benefits		(66,591,588	)		(62,925,269	)		(47,286,502	)		(13,103,247	)		(18,877,138	)
Death benefits		(5,220,553	)		(8,704,919	)		(5,065,635	)		(949,697	)		(2,733,277	)
Units outstanding at end of year		257,767,463			596,330,334			436,246,430			124,470,363			180,926,539

⁽¹⁾ Includes transfer activity from (to) other divisions and transfers from (to) RiverSource Life’s fixed account.

See accompanying notes to financial statements.

RIVERSOURCE RETIREMENT ADVISOR VARIABLE ANNUITY – BAND 3 – 2012 ANNUAL REPORT  19

Statements of Changes in Net Assets

	Col VP			Col VP			Col VP			Col VP			Col VP
	Hi Yield Bond,			Inc Opp,			Intl Opp,			Lg Cap Gro,			Lg Core Quan,
Year ended Dec. 31, 2012 (continued)	Cl 3			Cl 3			Cl 3			Cl 3			Cl 3
Operations
Investment income (loss) — net	$	28,990,625		$	12,241,024		$	526,344		$	(1,085,615	)	$	(3,846,439	)
Net realized gain (loss) on sales of investments		3,854,383			1,340,601			1,074,559			394,666			138,455
Distributions from capital gains		—			4,407,781			—			—			—
Net change in unrealized appreciation or depreciation of investments		28,990,865			9,821,379			14,086,091			22,786,646			51,416,258
Net increase (decrease) in net assets resulting from operations		61,835,873			27,810,785			15,686,994			22,095,697			47,708,274
Contract transactions
Contract purchase payments		4,812,200			2,271,338			1,637,660			1,922,876			5,707,761
Net transfers(1)		6,124,901			16,218,310			(11,049,252	)		(8,495,453	)		(18,098,100	)
Transfers for policy loans		59,237			1,566			138,299			109,219			471,026
Adjustments to net assets allocated to contracts in payment period		(356,282	)		150,142			(99,959	)		(65,696	)		(608,613	)
Contract charges		(273,723	)		(278,123	)		(87,062	)		(139,218	)		(790,551	)
Contract terminations:
Surrender benefits		(47,993,025	)		(21,470,037	)		(11,700,525	)		(12,285,433	)		(40,980,079	)
Death benefits		(5,735,322	)		(2,389,397	)		(1,151,259	)		(894,003	)		(3,813,734	)
Increase (decrease) from contract transactions		(43,362,014	)		(5,496,201	)		(22,312,098	)		(19,847,708	)		(58,112,290	)
Net assets at beginning of year		439,609,364			200,838,752			106,020,712			120,479,105			384,118,754
Net assets at end of year	$	458,083,223		$	223,153,336		$	99,395,608		$	122,727,094		$	373,714,738
Accumulation unit activity
Units outstanding at beginning of year		242,258,810			131,374,587			101,841,682			183,233,997			398,158,310
Contract purchase payments		2,614,512			1,412,252			1,451,800			2,489,558			5,203,540
Net transfers(1)		3,819,171			10,169,443			(10,309,280	)		(11,718,028	)		(18,691,867	)
Transfers for policy loans		30,760			1,106			121,178			153,567			387,204
Contract charges		(141,857	)		(171,363	)		(78,133	)		(183,968	)		(777,478	)
Contract terminations:
Surrender benefits		(24,290,786	)		(13,026,683	)		(10,288,334	)		(16,402,679	)		(38,022,181	)
Death benefits		(2,974,205	)		(1,470,328	)		(1,020,449	)		(1,208,412	)		(3,704,740	)
Units outstanding at end of year		221,316,405			128,289,014			81,718,464			156,364,035			342,552,788

⁽¹⁾ Includes transfer activity from (to) other divisions and transfers from (to) RiverSource Life’s fixed account.

See accompanying notes to financial statements.

20  RIVERSOURCE RETIREMENT ADVISOR VARIABLE ANNUITY – BAND 3 – 2012 ANNUAL REPORT

Statements of Changes in Net Assets

				Col VP			Col VP			Col VP
	Col VP			Marsico			Mid Cap			Mid Cap			Col VP
	Marsico Gro,			Intl Opp,			Gro Opp,			Val Opp,			S&P 500,
Year ended Dec. 31, 2012 (continued)	Cl 1			Cl 2			Cl 3			Cl 3			Cl 3
Operations
Investment income (loss) — net	$	(400,604	)	$	1,253		$	(936,705	)	$	(752,043	)	$	(1,191,161	)
Net realized gain (loss) on sales of investments		9,740,971			(4,634,412	)		3,849,173			(653,920	)		5,280,870
Distributions from capital gains		—			—			—			—			—
Net change in unrealized appreciation or depreciation of investments		11,330,902			11,952,584			6,875,079			14,998,190			14,181,827
Net increase (decrease) in net assets resulting from operations		20,671,269			7,319,425			9,787,547			13,592,227			18,271,536
Contract transactions
Contract purchase payments		2,764,904			1,623,534			1,446,990			1,387,623			4,331,597
Net transfers(1)		(22,819,241	)		(8,923,266	)		(10,864,819	)		(13,926,212	)		(2,539,572	)
Transfers for policy loans		11,015			14,740			100,695			22,504			47,229
Adjustments to net assets allocated to contracts in payment period		(29,992	)		(20,012	)		(82,281	)		(5,730	)		(61,149	)
Contract charges		(231,651	)		(35,874	)		(93,666	)		(71,627	)		(103,777	)
Contract terminations:
Surrender benefits		(17,330,025	)		(3,551,326	)		(10,843,635	)		(7,216,813	)		(14,460,953	)
Death benefits		(1,360,436	)		(216,114	)		(853,528	)		(691,050	)		(1,173,566	)
Increase (decrease) from contract transactions		(38,995,426	)		(11,108,318	)		(21,190,244	)		(20,501,305	)		(13,960,191	)
Net assets at beginning of year		185,686,417			49,130,956			98,157,686			85,947,883			129,621,631
Net assets at end of year	$	167,362,260		$	45,342,063		$	86,754,989		$	79,038,805		$	133,932,976
Accumulation unit activity
Units outstanding at beginning of year		174,066,949			56,806,756			83,644,662			74,819,732			134,954,041
Contract purchase payments		2,327,129			1,692,596			1,160,174			1,155,982			3,924,497
Net transfers(1)		(19,381,209	)		(9,579,251	)		(8,324,426	)		(11,045,902	)		(2,559,326	)
Transfers for policy loans		8,204			15,982			85,648			16,627			45,232
Contract charges		(194,758	)		(38,311	)		(74,195	)		(57,294	)		(98,440	)
Contract terminations:
Surrender benefits		(14,862,163	)		(3,863,988	)		(8,513,321	)		(5,545,340	)		(13,785,227	)
Death benefits		(1,165,028	)		(229,445	)		(676,992	)		(555,693	)		(1,105,384	)
Units outstanding at end of year		140,799,124			44,804,339			67,301,550			58,788,112			121,375,393

⁽¹⁾ Includes transfer activity from (to) other divisions and transfers from (to) RiverSource Life’s fixed account.

See accompanying notes to financial statements.

RIVERSOURCE RETIREMENT ADVISOR VARIABLE ANNUITY – BAND 3 – 2012 ANNUAL REPORT  21

Statements of Changes in Net Assets

	Col VP Select			Col VP Select			Col VP			CS			DWS Alt
	Lg Cap Val,			Sm Cap Val,			US Govt Mtge,			Commodity			Asset Alloc VIP,
Period ended Dec. 31, 2012 (continued)	Cl 3			Cl 3			Cl 3			Return			Cl B(2)
Operations
Investment income (loss) — net	$	(227,956	)	$	(438,135	)	$	53,293		$	(736,864	)	$	(22,567	)
Net realized gain (loss) on sales of investments		881,928			160,241			986,544			(6,042,511	)		4,521
Distributions from capital gains		—			—			—			—			—
Net change in unrealized appreciation or depreciation of investments		3,437,791			8,202,024			665,950			4,469,156			200,365
Net increase (decrease) in net assets resulting from operations		4,091,763			7,924,130			1,705,787			(2,310,219	)		182,319
Contract transactions
Contract purchase payments		291,546			781,140			4,239,067			1,436,443			692,317
Net transfers(1)		(986,335	)		(5,501,215	)		(2,986,339	)		(6,443,194	)		7,441,598
Transfers for policy loans		12,970			3,791			26,285			9,096			533
Adjustments to net assets allocated to contracts in payment period		(1,947	)		(16,779	)		(97,389	)		(19,209	)		9,124
Contract charges		(17,702	)		(42,177	)		(157,816	)		(52,203	)		(1,389	)
Contract terminations:
Surrender benefits		(2,552,431	)		(5,107,094	)		(30,511,793	)		(7,831,968	)		(176,429	)
Death benefits		(228,850	)		(366,711	)		(3,448,635	)		(569,711	)		—
Increase (decrease) from contract transactions		(3,482,749	)		(10,249,045	)		(32,936,620	)		(13,470,746	)		7,965,754
Net assets at beginning of year		24,665,890			50,870,690			261,926,797			88,474,347			—
Net assets at end of year	$	25,274,904		$	48,545,775		$	230,695,964		$	72,693,382		$	8,148,073
Accumulation unit activity
Units outstanding at beginning of year		21,869,264			33,500,716			204,129,898			99,282,625			—
Contract purchase payments		241,712			506,180			3,545,613			1,610,290			713,641
Net transfers(1)		(689,091	)		(3,266,824	)		(1,975,013	)		(7,309,638	)		7,602,746
Transfers for policy loans		10,116			2,001			16,614			10,391			541
Contract charges		(14,390	)		(25,398	)		(122,539	)		(58,970	)		(1,410	)
Contract terminations:
Surrender benefits		(2,023,291	)		(2,942,015	)		(23,370,456	)		(8,842,786	)		(177,911	)
Death benefits		(184,102	)		(221,669	)		(2,687,181	)		(644,405	)		—
Units outstanding at end of year		19,210,218			27,552,991			179,536,936			84,047,507			8,137,607

(1)	Includes transfer activity from (to) other divisions and transfers from (to) RiverSource Life’s fixed account.
(2)	For the period April 30, 2012 (commencement of operations) to Dec. 31, 2012.

See accompanying notes to financial statements.

22  RIVERSOURCE RETIREMENT ADVISOR VARIABLE ANNUITY – BAND 3 – 2012 ANNUAL REPORT

Statements of Changes in Net Assets

	EV VT			Fid VIP			Fid VIP			Fid VIP			Fid VIP
	Floating-Rate			Contrafund,			Gro & Inc,			Mid Cap,			Overseas,
Year ended Dec. 31, 2012 (continued)	Inc			Serv Cl 2			Serv Cl			Serv Cl			Serv Cl
Operations
Investment income (loss) — net	$	8,011,645		$	775,493		$	660,915		$	(441,163	)	$	175,873
Net realized gain (loss) on sales of investments		744,498			(2,697,046	)		(42,409	)		8,795,112			(1,102,228	)
Distributions from capital gains		2,828,139			—			25,430			8,631,268			63,028
Net change in unrealized appreciation or depreciation of investments		3,511,096			64,573,543			8,420,458			(1,051,949	)		4,507,883
Net increase (decrease) in net assets resulting from operations		15,095,378			62,651,990			9,064,394			15,933,268			3,644,556
Contract transactions
Contract purchase payments		2,904,905			11,951,795			545,532			1,305,110			263,528
Net transfers(1)		6,232,092			(31,693,622	)		(3,115,379	)		(14,205,918	)		(2,465,586	)
Transfers for policy loans		11,246			53,819			62,848			52,332			4,344
Adjustments to net assets allocated to contracts in payment period		(38,521	)		(42,849	)		(4,339	)		(104,619	)		(14,408	)
Contract charges		(217,434	)		(312,183	)		(28,249	)		(55,627	)		(9,171	)
Contract terminations:
Surrender benefits		(25,903,213	)		(41,172,635	)		(7,956,003	)		(16,971,965	)		(2,831,980	)
Death benefits		(3,206,413	)		(3,703,225	)		(500,016	)		(1,114,692	)		(121,829	)
Increase (decrease) from contract transactions		(20,217,338	)		(64,918,900	)		(10,995,606	)		(31,095,379	)		(5,175,102	)
Net assets at beginning of year		252,208,109			431,773,288			55,469,217			124,443,417			20,771,845
Net assets at end of year	$	247,086,149		$	429,506,378		$	53,538,005		$	109,281,306		$	19,241,299
Accumulation unit activity
Units outstanding at beginning of year		214,406,518			414,277,574			52,168,699			36,566,346			20,617,994
Contract purchase payments		2,393,372			10,234,461			461,024			352,745			238,623
Net transfers(1)		4,752,304			(27,560,465	)		(2,632,346	)		(3,852,427	)		(2,227,876	)
Transfers for policy loans		9,281			45,772			53,602			13,984			4,367
Contract charges		(178,582	)		(270,367	)		(23,976	)		(15,077	)		(8,324	)
Contract terminations:
Surrender benefits		(21,217,705	)		(36,005,291	)		(6,741,220	)		(4,582,019	)		(2,565,882	)
Death benefits		(2,642,079	)		(3,233,772	)		(430,079	)		(304,393	)		(113,780	)
Units outstanding at end of year		197,523,109			357,487,912			42,855,704			28,179,159			15,945,122

⁽¹⁾ Includes transfer activity from (to) other divisions and transfers from (to) RiverSource Life’s fixed account.

See accompanying notes to financial statements.

RIVERSOURCE RETIREMENT ADVISOR VARIABLE ANNUITY – BAND 3 – 2012 ANNUAL REPORT  23

Statements of Changes in Net Assets

	FTVIPT Frank			FTVIPT Frank			GS VIT			GS VIT Structd			GS VIT Structd
	Global Real Est,			Sm Cap Val,			Mid Cap Val,			Sm Cap Eq,			U.S. Eq,
Year ended Dec. 31, 2012 (continued)	Cl 2			Cl 2			Inst			Inst			Inst
Operations
Investment income (loss) — net	$	(1,325,122	)	$	(143,047	)	$	573,562		$	19,020		$	1,225,570
Net realized gain (loss) on sales of investments		(11,732,143	)		6,023,182			1,533,211			198,199			(110,746	)
Distributions from capital gains		—			—			—			—			—
Net change in unrealized appreciation or depreciation of investments		48,187,345			17,830,486			37,616,461			661,672			17,015,835
Net increase (decrease) in net assets resulting from operations		35,130,080			23,710,621			39,723,234			878,891			18,130,659
Contract transactions
Contract purchase payments		2,482,576			3,086,159			2,469,716			89,945			1,510,286
Net transfers(1)		(6,598,706	)		(18,913,991	)		(27,882,780	)		(761,887	)		(10,726,919	)
Transfers for policy loans		53,873			43,134			(15,236	)		3,361			37,566
Adjustments to net assets allocated to contracts in payment period		(38,293	)		97,015			(82,051	)		(3,402	)		33,008
Contract charges		(123,956	)		(99,598	)		(270,333	)		(4,277	)		(328,213	)
Contract terminations:
Surrender benefits		(13,606,794	)		(13,780,056	)		(26,796,045	)		(978,197	)		(13,246,488	)
Death benefits		(1,204,299	)		(1,307,579	)		(2,032,043	)		(50,398	)		(1,162,757	)
Increase (decrease) from contract transactions		(19,035,599	)		(30,874,916	)		(54,608,772	)		(1,704,855	)		(23,883,517	)
Net assets at beginning of year		141,421,973			153,562,279			248,013,796			7,833,506			140,631,286
Net assets at end of year	$	157,516,454		$	146,397,984		$	233,128,258		$	7,007,542		$	134,878,428
Accumulation unit activity
Units outstanding at beginning of year		92,120,697			78,143,554			99,503,413			4,519,644			141,994,411
Contract purchase payments		1,630,830			1,970,523			938,486			47,817			1,386,801
Net transfers(1)		(3,216,724	)		(9,230,365	)		(10,227,611	)		(406,793	)		(9,809,030	)
Transfers for policy loans		25,723			15,160			(1,929	)		2,017			34,607
Contract charges		(70,096	)		(47,697	)		(99,500	)		(2,283	)		(300,752	)
Contract terminations:
Surrender benefits		(7,170,188	)		(6,087,973	)		(9,778,478	)		(521,307	)		(12,213,822	)
Death benefits		(656,687	)		(613,775	)		(757,260	)		(28,168	)		(1,082,824	)
Units outstanding at end of year		82,663,555			64,149,427			79,577,121			3,610,927			120,009,391

⁽¹⁾ Includes transfer activity from (to) other divisions and transfers from (to) RiverSource Life’s fixed account.

See accompanying notes to financial statements.

24  RIVERSOURCE RETIREMENT ADVISOR VARIABLE ANNUITY – BAND 3 – 2012 ANNUAL REPORT

Statements of Changes in Net Assets

	Invesco VI			Invesco VI			Invesco VI			Invesco VI			Invesco VI
	Global Hlth,			Intl Gro,			Am Fran,			Comstock,			Mid Cap Gro,
Period ended Dec. 31, 2012 (continued)	Ser II			Ser II			Ser I(2)			Ser II			Ser I(2)
Operations
Investment income (loss) — net	$	(235,435	)	$	359,995		$	(79,332	)	$	1,265,942		$	(90,403	)
Net realized gain (loss) on sales of investments		591,759			1,265,822			(95,946	)		711,406			(130,466	)
Distributions from capital gains		—			—			—			—			4,955
Net change in unrealized appreciation or depreciation of investments		4,164,068			11,195,754			(332,999	)		33,669,078			(264,938	)
Net increase (decrease) in net assets resulting from operations		4,520,392			12,821,571			(508,277	)		35,646,426			(480,852	)
Contract transactions
Contract purchase payments		381,119			1,398,897			240,992			2,340,848			140,845
Net transfers(1)		1,051,431			(6,475,074	)		15,075,400			(24,099,877	)		16,835,309
Transfers for policy loans		(20,562	)		35,229			7,093			35,411			10,404
Adjustments to net assets allocated to contracts in payment period		33,460			(10,383	)		47,849			(38,104	)		65,961
Contract charges		(21,023	)		(112,423	)		(6,502	)		(550,725	)		(7,388	)
Contract terminations:
Surrender benefits		(1,908,928	)		(8,570,067	)		(1,206,268	)		(16,862,456	)		(1,300,252	)
Death benefits		(99,306	)		(759,874	)		(72,653	)		(1,767,720	)		(150,329	)
Increase (decrease) from contract transactions		(583,809	)		(14,493,695	)		14,085,911			(40,942,623	)		15,594,550
Net assets at beginning of year		23,253,129			96,505,294			—			213,630,048			—
Net assets at end of year	$	27,189,712		$	94,833,170		$	13,577,634		$	208,333,851		$	15,113,698
Accumulation unit activity
Units outstanding at beginning of year		21,100,384			78,212,612			—			184,224,749			—
Contract purchase payments		305,158			1,079,170			254,381			1,881,064			149,674
Net transfers(1)		883,669			(4,911,757	)		15,046,959			(18,686,298	)		16,782,020
Transfers for policy loans		(16,593	)		25,646			7,863			26,069			11,075
Contract charges		(16,993	)		(86,633	)		(6,871	)		(425,178	)		(7,810	)
Contract terminations:
Surrender benefits		(1,551,235	)		(6,356,201	)		(1,268,189	)		(13,024,031	)		(1,375,718	)
Death benefits		(80,523	)		(575,222	)		(77,360	)		(1,376,448	)		(158,496	)
Units outstanding at end of year		20,623,867			67,387,615			13,956,783			152,619,927			15,400,745

(1)	Includes transfer activity from (to) other divisions and transfers from (to) RiverSource Life’s fixed account.
(2)	For the period April 27, 2012 (commencement of operations) to Dec. 31, 2012.

See accompanying notes to financial statements.

RIVERSOURCE RETIREMENT ADVISOR VARIABLE ANNUITY – BAND 3 – 2012 ANNUAL REPORT  25

Statements of Changes in Net Assets

	Janus Aspen			Janus Aspen			Janus Aspen			Janus Aspen			Janus Aspen
	Enterprise,			Global Tech,			Janus,			Gbl Alloc Mod,			Overseas,
Period ended Dec. 31, 2012 (continued)	Serv			Serv			Serv			Serv(2)			Serv
Operations
Investment income (loss) — net	$	(115,432	)	$	(150,266	)	$	(279,033	)	$	5,162		$	(203,496	)
Net realized gain (loss) on sales of investments		379,428			581,137			2,127,787			1,755			925,849
Distributions from capital gains		—			—			1,007,953			3,395			8,437,952
Net change in unrealized appreciation or depreciation of investments		1,841,022			2,576,648			6,727,572			8,529			(108,913	)
Net increase (decrease) in net assets resulting from operations		2,105,018			3,007,519			9,584,279			18,841			9,051,392
Contract transactions
Contract purchase payments		198,608			219,804			1,056,994			34,268			918,009
Net transfers(1)		(984,655	)		(1,570,460	)		(6,730,728	)		419,111			(15,357,895	)
Transfers for policy loans		23,075			14,243			18,965			—			16,487
Adjustments to net assets allocated to contracts in payment period		—			(4,624	)		(1,758	)		—			(46,198	)
Contract charges		(11,016	)		(11,772	)		(133,190	)		(11	)		(44,782	)
Contract terminations:
Surrender benefits		(1,754,867	)		(1,968,120	)		(4,870,731	)		(14,923	)		(11,579,038	)
Death benefits		(67,085	)		(137,034	)		(614,080	)		—			(525,341	)
Increase (decrease) from contract transactions		(2,595,940	)		(3,457,963	)		(11,274,528	)		438,445			(26,618,758	)
Net assets at beginning of year		14,127,072			17,444,986			58,201,899			—			85,783,467
Net assets at end of year	$	13,636,150		$	16,994,542		$	56,511,650		$	457,286		$	68,216,101
Accumulation unit activity
Units outstanding at beginning of year		20,139,443			34,118,371			64,495,877			—			70,950,056
Contract purchase payments		256,523			381,650			1,037,784			32,336			706,999
Net transfers(1)		(1,285,919	)		(2,731,934	)		(6,609,220	)		420,979			(11,928,494	)
Transfers for policy loans		30,331			25,159			18,557			—			12,521
Contract charges		(14,330	)		(20,335	)		(131,314	)		(11	)		(34,794	)
Contract terminations:
Surrender benefits		(2,287,271	)		(3,389,431	)		(4,784,799	)		(14,183	)		(8,960,428	)
Death benefits		(88,375	)		(247,223	)		(605,059	)		—			(424,119	)
Units outstanding at end of year		16,750,402			28,136,257			53,421,826			439,121			50,321,741

(1)	Includes transfer activity from (to) other divisions and transfers from (to) RiverSource Life’s fixed account.
(2)	For the period April 30, 2012 (commencement of operations) to Dec. 31, 2012.

See accompanying notes to financial statements.

26  RIVERSOURCE RETIREMENT ADVISOR VARIABLE ANNUITY – BAND 3 – 2012 ANNUAL REPORT

Statements of Changes in Net Assets

	MFS			MFS			MFS			MS UIF			MS UIF
	Inv Gro Stock,			New Dis,			Utilities,			Global Real Est,			Mid Cap Gro,
Year ended Dec. 31, 2012 (continued)	Serv Cl			Serv Cl			Serv Cl			Cl II			Cl II
Operations
Investment income (loss) — net	$	(484,021	)	$	(482,326	)	$	13,289,554		$	(228,972	)	$	(514,156	)
Net realized gain (loss) on sales of investments		2,396,301			720,246			3,765,785			11,287			(475,352	)
Distributions from capital gains		3,603,337			5,254,319			—			—			6,826,382
Net change in unrealized appreciation or depreciation of investments		5,147,807			4,808,626			10,835,655			15,853,782			(1,829,908	)
Net increase (decrease) in net assets resulting from operations		10,663,424			10,300,865			27,890,994			15,636,097			4,006,966
Contract transactions
Contract purchase payments		1,070,457			636,743			6,472,624			949,289			1,843,128
Net transfers(1)		(1,476,143	)		(7,057,856	)		(11,911,170	)		(2,607,613	)		(14,949,180	)
Transfers for policy loans		(2,450	)		(13,252	)		6,402			(3,128	)		8,029
Adjustments to net assets allocated to contracts in payment period		(13,922	)		(5,156	)		22,892			(126,271	)		(33,349	)
Contract charges		(53,750	)		(42,764	)		(169,597	)		(57,578	)		(39,638	)
Contract terminations:
Surrender benefits		(7,806,065	)		(6,254,871	)		(21,129,459	)		(6,014,433	)		(4,757,391	)
Death benefits		(561,856	)		(329,378	)		(2,974,721	)		(543,639	)		(321,293	)
Increase (decrease) from contract transactions		(8,843,729	)		(13,066,534	)		(29,683,029	)		(8,403,373	)		(18,249,694	)
Net assets at beginning of year		70,257,234			55,683,183			241,228,781			57,824,305			58,188,777
Net assets at end of year	$	72,076,929		$	52,917,514		$	239,436,746		$	65,057,029		$	43,946,049
Accumulation unit activity
Units outstanding at beginning of year		89,085,787			47,311,942			121,679,827			61,295,983			47,463,286
Contract purchase payments		1,121,597			465,097			3,499,001			867,508			1,376,088
Net transfers(1)		(2,161,548	)		(5,367,980	)		(5,118,185	)		(2,446,876	)		(11,617,434	)
Transfers for policy loans		170			(10,712	)		(3,424	)		(2,703	)		5,778
Contract charges		(60,794	)		(32,081	)		(82,153	)		(52,766	)		(30,181	)
Contract terminations:
Surrender benefits		(9,159,908	)		(4,678,399	)		(9,700,050	)		(5,531,347	)		(3,674,036	)
Death benefits		(611,055	)		(236,364	)		(1,421,976	)		(505,285	)		(249,247	)
Units outstanding at end of year		78,214,249			37,451,503			108,853,040			53,624,514			33,274,254

⁽¹⁾ Includes transfer activity from (to) other divisions and transfers from (to) RiverSource Life’s fixed account.

See accompanying notes to financial statements.

RIVERSOURCE RETIREMENT ADVISOR VARIABLE ANNUITY – BAND 3 – 2012 ANNUAL REPORT  27

Statements of Changes in Net Assets

	NB AMT			Oppen			Oppen Global			Oppen Main			PIMCO
	Intl Eq,			Global VA,			Strategic Inc VA,			St Sm Cap VA,			VIT All Asset,
Year ended Dec. 31, 2012 (continued)	Cl S			Serv			Srv			Serv			Advisor Cl
Operations
Investment income (loss) — net	$	(18,191	)	$	921,953		$	39,219,998		$	(366,133	)	$	10,956,645
Net realized gain (loss) on sales of investments		(621,890	)		(128,789	)		8,485,938			1,581,146			148,117
Distributions from capital gains		—			—			9,009,884			—			—
Net change in unrealized appreciation or depreciation of investments		3,579,774			15,632,054			38,652,915			8,448,040			23,405,916
Net increase (decrease) in net assets resulting from operations		2,939,693			16,425,218			95,368,735			9,663,053			34,510,678
Contract transactions
Contract purchase payments		276,572			3,047,045			9,024,356			1,757,261			8,400,304
Net transfers(1)		(1,919,664	)		(9,383,623	)		(25,538,145	)		(4,919,337	)		34,241,288
Transfers for policy loans		1,134			(6,395	)		13,346			9,769			99,701
Adjustments to net assets allocated to contracts in payment period		11,301			(35,143	)		(68,858	)		5,235			162,367
Contract charges		(36,794	)		(60,629	)		(767,303	)		(45,395	)		(248,765	)
Contract terminations:
Surrender benefits		(1,460,923	)		(6,423,035	)		(80,474,890	)		(4,901,464	)		(22,288,637	)
Death benefits		(132,671	)		(898,412	)		(11,290,074	)		(440,999	)		(2,305,456	)
Increase (decrease) from contract transactions		(3,261,045	)		(13,760,192	)		(109,101,568	)		(8,534,930	)		18,060,802
Net assets at beginning of year		18,305,505			89,944,701			836,908,170			61,074,608			245,928,557
Net assets at end of year	$	17,984,153		$	92,609,727		$	823,175,337		$	62,202,731		$	298,500,037
Accumulation unit activity
Units outstanding at beginning of year		22,062,692			70,702,104			601,875,970			48,318,473			192,032,118
Contract purchase payments		298,106			2,402,612			6,196,982			1,349,688			6,336,874
Net transfers(1)		(2,130,101	)		(6,680,834	)		(17,719,602	)		(3,486,953	)		24,780,017
Transfers for policy loans		1,658			(5,175	)		8,839			6,719			73,554
Contract charges		(40,571	)		(44,044	)		(519,622	)		(32,618	)		(181,414	)
Contract terminations:
Surrender benefits		(1,641,967	)		(4,521,784	)		(53,948,419	)		(3,415,544	)		(16,300,906	)
Death benefits		(149,151	)		(666,244	)		(7,717,219	)		(307,559	)		(1,697,328	)
Units outstanding at end of year		18,400,666			61,186,635			528,176,929			42,432,206			205,042,915

⁽¹⁾ Includes transfer activity from (to) other divisions and transfers from (to) RiverSource Life’s fixed account.

See accompanying notes to financial statements.

28  RIVERSOURCE RETIREMENT ADVISOR VARIABLE ANNUITY – BAND 3 – 2012 ANNUAL REPORT

Statements of Changes in Net Assets

	PIMCO VIT Glb			Put VT			Royce
	Multi-Asset,			Multi-Cap Gro,			Micro-Cap,			Third Ave			VP Aggr,
Period ended Dec. 31, 2012 (continued)	Advisor Cl(2)			Cl IB			Invest Cl			Val			Cl 2
Operations
Investment income (loss) — net	$	34,284		$	(155,773	)	$	(310,617	)	$	4,509		$	(7,674,309	)
Net realized gain (loss) on sales of investments		2,055			911,780			2,007,333			(2,023,453	)		4,795,767
Distributions from capital gains		12,843			—			701,260			—			—
Net change in unrealized appreciation or depreciation of investments		56,824			3,133,386			83,209			9,052,126			91,313,090
Net increase (decrease) in net assets resulting from operations		106,006			3,889,393			2,481,185			7,033,182			88,434,548
Contract transactions
Contract purchase payments		376,685			491,082			471,626			332,363			133,967,462
Net transfers(1)		2,938,955			(2,005,761	)		(5,232,780	)		(3,849,758	)		(13,030,448	)
Transfers for policy loans		488			12,780			3,401			21,159			7,650
Adjustments to net assets allocated to contracts in payment period		—			(4,252	)		10,567			(34,142	)		(12,314	)
Contract charges		(366	)		(25,020	)		(15,063	)		(13,781	)		(5,916,139	)
Contract terminations:
Surrender benefits		(62,610	)		(3,226,559	)		(5,359,582	)		(3,792,617	)		(12,553,596	)
Death benefits		(4,540	)		(160,708	)		(305,913	)		(224,918	)		(4,708,025	)
Increase (decrease) from contract transactions		3,248,612			(4,918,438	)		(10,427,744	)		(7,561,694	)		97,754,590
Net assets at beginning of year		—			25,683,972			39,840,831			29,751,695			659,813,283
Net assets at end of year	$	3,354,618		$	24,654,927		$	31,894,272		$	29,223,183		$	846,002,421
Accumulation unit activity
Units outstanding at beginning of year		—			24,076,778			11,615,939			13,372,455			612,448,732
Contract purchase payments		373,078			412,064			131,156			130,732			115,326,039
Net transfers(1)		2,943,936			(1,682,139	)		(1,473,438	)		(1,524,575	)		(10,697,285	)
Transfers for policy loans		481			11,216			1,104			8,672			8,190
Contract charges		(367	)		(20,995	)		(4,209	)		(5,464	)		(5,078,245	)
Contract terminations:
Surrender benefits		(61,104	)		(2,709,707	)		(1,485,023	)		(1,489,921	)		(10,755,108	)
Death benefits		(4,568	)		(134,105	)		(86,759	)		(89,245	)		(4,072,153	)
Units outstanding at end of year		3,251,456			19,953,112			8,698,770			10,402,654			697,180,170

(1)	Includes transfer activity from (to) other divisions and transfers from (to) RiverSource Life’s fixed account.
(2)	For the period April 30, 2012 (commencement of operations) to Dec. 31, 2012.

See accompanying notes to financial statements.

RIVERSOURCE RETIREMENT ADVISOR VARIABLE ANNUITY – BAND 3 – 2012 ANNUAL REPORT  29

Statements of Changes in Net Assets

				VP BR Gl
	VP Aggr,			Infl Prot Sec,			VP Conserv,			VP Conserv,			VP Mod,
Year ended Dec. 31, 2012 (continued)	Cl 4			Cl 3			Cl 2			Cl 4			Cl 2
Operations
Investment income (loss) — net	$	(14,352,981	)	$	9,107,472		$	(8,065,480	)	$	(16,398,722	)	$	(55,455,553	)
Net realized gain (loss) on sales of investments		59,222,666			178,782			6,402,307			19,899,825			17,954,379
Distributions from capital gains		—			3,219,948			—			—			—
Net change in unrealized appreciation or depreciation of investments		145,997,903			(619,035	)		46,459,634			98,300,203			519,855,907
Net increase (decrease) in net assets resulting from operations		190,867,588			11,887,167			44,796,461			101,801,306			482,354,733
Contract transactions
Contract purchase payments		20,997,404			1,879,579			100,317,018			10,230,485			942,404,723
Net transfers(1)		(238,691,853	)		(3,781,534	)		243,782,216			364,936,796			426,326,042
Transfers for policy loans		(91,313	)		(5,984	)		86,056			60,712			(191,982	)
Adjustments to net assets allocated to contracts in payment period		(912,352	)		(7,259	)		(164,857	)		(2,551,520	)		(1,400,634	)
Contract charges		(8,865,145	)		(480,058	)		(4,798,854	)		(9,736,451	)		(41,139,387	)
Contract terminations:
Surrender benefits		(66,009,124	)		(24,467,784	)		(40,540,249	)		(139,345,150	)		(134,466,171	)
Death benefits		(4,584,060	)		(3,124,101	)		(11,030,628	)		(25,797,567	)		(31,222,884	)
Increase (decrease) from contract transactions		(298,156,443	)		(29,987,141	)		287,650,702			197,797,305			1,160,309,707
Net assets at beginning of year		1,596,561,171			268,441,461			634,318,974			1,616,062,476			4,423,892,544
Net assets at end of year	$	1,489,272,316		$	250,341,487		$	966,766,137		$	1,915,661,087		$	6,066,556,984
Accumulation unit activity
Units outstanding at beginning of year		1,479,263,646			202,744,871			593,897,374			1,512,637,106			4,072,927,735
Contract purchase payments		18,020,405			1,396,077			91,193,666			9,265,159			824,547,530
Net transfers(1)		(204,439,377	)		(2,763,061	)		218,248,887			323,077,489			370,159,211
Transfers for policy loans		(79,911	)		(4,546	)		77,243			54,177			(168,223	)
Contract charges		(7,613,369	)		(353,959	)		(4,303,898	)		(8,762,358	)		(35,550,343	)
Contract terminations:
Surrender benefits		(56,557,397	)		(18,042,866	)		(36,456,171	)		(125,589,831	)		(116,210,455	)
Death benefits		(3,925,777	)		(2,314,104	)		(9,905,151	)		(23,313,437	)		(27,089,661	)
Units outstanding at end of year		1,224,668,220			180,662,412			852,751,950			1,687,368,305			5,088,615,794

⁽¹⁾ Includes transfer activity from (to) other divisions and transfers from (to) RiverSource Life’s fixed account.

See accompanying notes to financial statements.

30  RIVERSOURCE RETIREMENT ADVISOR VARIABLE ANNUITY – BAND 3 – 2012 ANNUAL REPORT

Statements of Changes in Net Assets

				VP Mod			VP Mod			VP Mod			VP Mod
	VP Mod,			Aggr,			Aggr,			Conserv,			Conserv,
Year ended Dec. 31, 2012 (continued)	Cl 4			Cl 2			Cl 4			Cl 2			Cl 4
Operations
Investment income (loss) — net	$	(103,110,328	)	$	(31,161,680	)	$	(57,528,402	)	$	(17,221,585	)	$	(33,619,715	)
Net realized gain (loss) on sales of investments		150,324,681			17,949,105			188,546,467			8,087,052			37,435,990
Distributions from capital gains		—			—			—			—			—
Net change in unrealized appreciation or depreciation of investments		971,622,712			327,210,835			538,744,942			127,832,579			256,736,922
Net increase (decrease) in net assets resulting from operations		1,018,837,065			313,998,260			669,763,007			118,698,046			260,553,197
Contract transactions
Contract purchase payments		75,525,133			541,709,202			65,420,357			247,286,344			18,536,503
Net transfers(1)		112,402,482			(70,862,589	)		(723,819,904	)		350,896,336			340,174,635
Transfers for policy loans		298,231			(26,818	)		(110,231	)		(139,450	)		132,614
Adjustments to net assets allocated to contracts in payment period		(8,213,096	)		(127,467	)		(2,367,350	)		(293,470	)		(2,687,801	)
Contract charges		(61,889,916	)		(25,329,182	)		(35,176,413	)		(10,842,271	)		(18,228,674	)
Contract terminations:
Surrender benefits		(667,021,422	)		(53,989,363	)		(296,572,098	)		(67,163,570	)		(230,413,617	)
Death benefits		(94,875,129	)		(8,803,897	)		(30,334,129	)		(14,408,721	)		(45,175,387	)
Increase (decrease) from contract transactions		(643,773,717	)		382,569,886			(1,022,959,768	)		505,335,198			62,338,273
Net assets at beginning of year		10,569,864,181			2,654,301,731			6,313,026,496			1,348,502,744			3,330,280,573
Net assets at end of year	$	10,944,927,529		$	3,350,869,877		$	5,959,829,735		$	1,972,535,988		$	3,653,172,043
Accumulation unit activity
Units outstanding at beginning of year		9,718,866,971			2,443,393,783			5,802,273,051			1,249,525,463			3,079,882,051
Contract purchase payments		65,653,139			468,230,739			56,274,766			220,414,543			16,382,126
Net transfers(1)		92,249,145			(60,468,325	)		(621,933,925	)		309,608,959			296,759,969
Transfers for policy loans		258,682			(24,597	)		(94,961	)		(124,126	)		118,083
Contract charges		(53,631,262	)		(21,750,357	)		(30,244,711	)		(9,536,552	)		(16,076,261	)
Contract terminations:
Surrender benefits		(578,527,983	)		(46,460,528	)		(254,654,727	)		(59,116,540	)		(203,400,915	)
Death benefits		(82,350,757	)		(7,578,141	)		(25,968,718	)		(12,761,678	)		(39,829,379	)
Units outstanding at end of year		9,162,517,935			2,775,342,574			4,925,650,775			1,698,010,069			3,133,835,674

⁽¹⁾ Includes transfer activity from (to) other divisions and transfers from (to) RiverSource Life’s fixed account.

See accompanying notes to financial statements.

RIVERSOURCE RETIREMENT ADVISOR VARIABLE ANNUITY – BAND 3 – 2012 ANNUAL REPORT  31

Statements of Changes in Net Assets

	VP Ptnrs			VP Sit			VP Vty
	Sm Cap Val,			Divd Gro,			Estb Val,			Wanger			Wanger
Year ended Dec. 31, 2012 (continued)	Cl 3			Cl 3			Cl 3			Intl			USA
Operations
Investment income (loss) — net	$	(1,254,784	)	$	(401,703	)	$	(121,616	)	$	932,452		$	(2,055,138	)
Net realized gain (loss) on sales of investments		6,228,749			2,067,522			255,126			11,090,386			11,316,908
Distributions from capital gains		—			—			—			30,227,779			17,590,243
Net change in unrealized appreciation or depreciation of investments		12,354,287			2,682,063			1,880,905			18,935,284			35,541,585
Net increase (decrease) in net assets resulting from operations		17,328,252			4,347,882			2,014,415			61,185,901			62,393,598
Contract transactions
Contract purchase payments		1,509,777			561,611			218,084			4,421,682			4,825,661
Net transfers(1)		(17,230,590	)		(6,963,267	)		(203,624	)		(38,817,675	)		(36,411,588	)
Transfers for policy loans		32,173			(554	)		577			36,211			67,785
Adjustments to net assets allocated to contracts in payment period		(64,265	)		(8,774	)		16,689			(116,578	)		11,582
Contract charges		(328,392	)		(133,632	)		(12,882	)		(370,018	)		(356,387	)
Contract terminations:
Surrender benefits		(14,179,791	)		(3,423,999	)		(1,125,540	)		(30,378,784	)		(33,953,668	)
Death benefits		(1,423,562	)		(508,881	)		(123,752	)		(2,321,697	)		(2,389,723	)
Increase (decrease) from contract transactions		(31,684,650	)		(10,477,496	)		(1,230,448	)		(67,546,859	)		(68,206,338	)
Net assets at beginning of year		151,347,822			46,967,690			13,013,067			323,957,793			349,684,482
Net assets at end of year	$	136,991,424		$	40,838,076		$	13,797,034		$	317,596,835		$	343,871,742
Accumulation unit activity
Units outstanding at beginning of year		86,377,890			49,564,946			10,544,132			167,899,223			200,493,549
Contract purchase payments		861,908			546,910			170,580			2,350,348			2,709,001
Net transfers(1)		(9,466,439	)		(6,841,864	)		(116,643	)		(17,901,430	)		(18,439,804	)
Transfers for policy loans		15,861			(440	)		(391	)		9,735			27,586
Contract charges		(179,946	)		(130,422	)		(9,497	)		(173,130	)		(183,868	)
Contract terminations:
Surrender benefits		(7,259,306	)		(3,377,564	)		(816,531	)		(13,320,502	)		(16,744,548	)
Death benefits		(784,091	)		(503,290	)		(91,945	)		(1,063,569	)		(1,230,688	)
Units outstanding at end of year		69,565,877			39,258,276			9,679,705			137,800,675			166,631,228

⁽¹⁾ Includes transfer activity from (to) other divisions and transfers from (to) RiverSource Life’s fixed account.

See accompanying notes to financial statements.

32  RIVERSOURCE RETIREMENT ADVISOR VARIABLE ANNUITY – BAND 3 – 2012 ANNUAL REPORT

Statements of Changes in Net Assets

	WF Adv VT			WF Adv VT			WF Adv VT
	Index Asset Alloc,			Intl Eq,			Sm Cap Gro,
Year ended Dec. 31, 2012 (continued)	Cl 2			Cl 2			Cl 2
Operations
Investment income (loss) — net	$	174,568		$	212,507		$	(634,902	)
Net realized gain (loss) on sales of investments		444,675			484,881			1,896,544
Distributions from capital gains		—			3,342,324			3,324,732
Net change in unrealized appreciation or depreciation of investments		2,874,271			1,919,681			517,703
Net increase (decrease) in net assets resulting from operations		3,493,514			5,959,393			5,104,077
Contract transactions
Contract purchase payments		389,069			809,505			2,092,593
Net transfers(1)		(887,854	)		(5,561,925	)		(8,471,009	)
Transfers for policy loans		20,469			13,017			8,772
Adjustments to net assets allocated to contracts in payment period		(24,177	)		(11,372	)		(7,386	)
Contract charges		(27,415	)		(81,498	)		(42,881	)
Contract terminations:
Surrender benefits		(3,922,474	)		(4,416,359	)		(6,882,720	)
Death benefits		(602,842	)		(470,603	)		(526,020	)
Increase (decrease) from contract transactions		(5,055,224	)		(9,719,235	)		(13,828,651	)
Net assets at beginning of year		30,454,363			53,181,287			71,998,102
Net assets at end of year	$	28,892,653		$	49,421,445		$	63,273,528
Accumulation unit activity
Units outstanding at beginning of year		23,245,624			48,128,062			51,889,028
Contract purchase payments		274,059			737,206			1,427,616
Net transfers(1)		(629,348	)		(4,697,260	)		(5,657,103	)
Transfers for policy loans		14,673			8,132			6,131
Contract charges		(19,462	)		(76,381	)		(28,740	)
Contract terminations:
Surrender benefits		(2,789,677	)		(3,662,056	)		(4,555,867	)
Death benefits		(431,141	)		(397,800	)		(357,461	)
Units outstanding at end of year		19,664,728			40,039,903			42,723,604

⁽¹⁾ Includes transfer activity from (to) other divisions and transfers from (to) RiverSource Life’s fixed account.

See accompanying notes to financial statements.

RIVERSOURCE RETIREMENT ADVISOR VARIABLE ANNUITY – BAND 3 – 2012 ANNUAL REPORT  33

Statements of Changes in Net Assets

	AB VPS
	Global			AB VPS			AB VPS			AC VP			AC VP
	Thematic Gro,			Gro & Inc,			Intl Val,			Intl,			Mid Cap Val,
Year ended Dec. 31, 2011	Cl B			Cl B			Cl B			Cl I			Cl II
Operations
Investment income (loss) — net	$	(79,777	)	$	249,095		$	8,692,877		$	128,554		$	107,312
Net realized gain (loss) on sales of investments		698,115			(3,729,052	)		(13,280,723	)		(242,456	)		779,372
Distributions from capital gains		—			—			—			—			1,161,772
Net change in unrealized appreciation or depreciation of investments		(4,147,422	)		9,536,260			(58,263,957	)		(2,250,598	)		(2,918,483	)
Net increase (decrease) in net assets resulting from operations		(3,529,084	)		6,056,303			(62,851,803	)		(2,364,500	)		(870,027	)
Contract transactions
Contract purchase payments		349,234			1,684,682			5,214,226			212,641			780,134
Net transfers(1)		(3,137,471	)		(7,268,602	)		(46,052,745	)		(2,153,202	)		(1,424,795	)
Transfers for policy loans		(328	)		19,906			85,152			8,957			7,446
Adjustments to net assets allocated to contracts in payment period		(1,589	)		(36,592	)		(35,026	)		(3,172	)		(8,123	)
Contract charges		(13,923	)		(89,672	)		(382,522	)		(8,761	)		(49,599	)
Contract terminations:
Surrender benefits		(1,173,748	)		(9,200,421	)		(27,099,478	)		(3,955,017	)		(3,467,940	)
Death benefits		(30,133	)		(723,272	)		(2,358,900	)		(141,584	)		(248,744	)
Increase (decrease) from contract transactions		(4,007,958	)		(15,613,971	)		(70,629,293	)		(6,040,138	)		(4,411,621	)
Net assets at beginning of year		17,719,944			116,597,101			369,702,423			23,954,472			44,144,667
Net assets at end of year	$	10,182,902		$	107,039,433		$	236,221,327		$	15,549,834		$	38,863,019
Accumulation unit activity
Units outstanding at beginning of year		14,008,038			110,774,810			253,175,514			19,455,369			39,382,920
Contract purchase payments		301,872			1,546,562			4,386,226			175,701			658,593
Net transfers(1)		(2,655,307	)		(6,374,889	)		(33,107,626	)		(1,791,104	)		(1,500,825	)
Transfers for policy loans		120			17,160			68,703			7,629			7,404
Contract charges		(12,040	)		(82,353	)		(272,827	)		(7,269	)		(43,959	)
Contract terminations:
Surrender benefits		(1,018,642	)		(8,345,693	)		(19,108,502	)		(3,254,750	)		(3,215,098	)
Death benefits		(25,997	)		(652,326	)		(1,726,403	)		(116,690	)		(225,890	)
Units outstanding at end of year		10,598,044			96,883,271			203,415,085			14,468,886			35,063,145

⁽¹⁾ Includes transfer activity from (to) other divisions and transfers from (to) RiverSource Life’s fixed account.

See accompanying notes to financial statements.

34  RIVERSOURCE RETIREMENT ADVISOR VARIABLE ANNUITY – BAND 3 – 2012 ANNUAL REPORT

Statements of Changes in Net Assets

	AC VP			AC VP						Col VP			Col VP
	Ultra,			Val,			Calvert VP			Bal,			Cash Mgmt,
Year ended Dec. 31, 2011 (continued)	Cl II			Cl I			SRI Bal			Cl 3			Cl 3
Operations
Investment income (loss) — net	$	(240,986	)	$	631,678		$	99,240		$	(2,281,869	)	$	(3,467,722	)
Net realized gain (loss) on sales of investments		323,766			(2,233,119	)		(75,665	)		857,819			74,754
Distributions from capital gains		—			—			—			—			—
Net change in unrealized appreciation or depreciation of investments		42,971			1,693,051			914,829			4,921,407			(74,756	)
Net increase (decrease) in net assets resulting from operations		125,751			91,610			938,404			3,497,357			(3,467,724	)
Contract transactions
Contract purchase payments		488,179			569,075			549,750			4,351,615			23,063,387
Net transfers(1)		(694,061	)		(2,955,141	)		(1,768,531	)		(10,855,107	)		64,679,456
Transfers for policy loans		188			20,200			(26,956	)		84,551			468,742
Adjustments to net assets allocated to contracts in payment period		1,099			(25,964	)		(8,592	)		(451,659	)		(1,172,715	)
Contract charges		(25,589	)		(21,142	)		(23,513	)		(189,643	)		(311,347	)
Contract terminations:
Surrender benefits		(2,473,243	)		(11,336,352	)		(2,405,913	)		(23,250,050	)		(106,848,408	)
Death benefits		(91,397	)		(542,246	)		(190,551	)		(3,833,234	)		(5,899,680	)
Increase (decrease) from contract transactions		(2,794,824	)		(14,291,570	)		(3,874,306	)		(34,143,527	)		(26,020,565	)
Net assets at beginning of year		28,286,577			61,755,883			26,851,189			241,933,994			417,462,525
Net assets at end of year	$	25,617,504		$	47,555,923		$	23,915,287		$	211,287,824		$	387,974,236
Accumulation unit activity
Units outstanding at beginning of year		26,549,812			36,229,066			24,838,317			182,003,855			361,513,048
Contract purchase payments		443,621			334,426			488,101			3,352,654			20,939,641
Net transfers(1)		(560,049	)		(1,740,253	)		(1,626,442	)		(9,129,092	)		50,289,552
Transfers for policy loans		78			12,485			(24,256	)		44,108			405,751
Contract charges		(23,421	)		(12,485	)		(21,085	)		(139,908	)		(270,211	)
Contract terminations:
Surrender benefits		(2,276,662	)		(6,687,749	)		(2,169,513	)		(16,443,126	)		(92,144,290	)
Death benefits		(83,597	)		(325,514	)		(176,353	)		(2,789,743	)		(5,170,792	)
Units outstanding at end of year		24,049,782			27,809,976			21,308,769			156,898,748			335,562,699

⁽¹⁾ Includes transfer activity from (to) other divisions and transfers from (to) RiverSource Life’s fixed account.

See accompanying notes to financial statements.

RIVERSOURCE RETIREMENT ADVISOR VARIABLE ANNUITY – BAND 3 – 2012 ANNUAL REPORT  35

Statements of Changes in Net Assets

	Col VP			Col VP			Col VP			Col VP			Col VP
	Div Bond,			Divd Opp,			Emer Mkts,			Global Bond,			Hi Yield Bond,
Year ended Dec. 31, 2011 (continued)	Cl 3			Cl 3			Cl 3			Cl 3			Cl 3
Operations
Investment income (loss) — net	$	37,756,779		$	(8,232,608	)	$	659,838		$	7,429,148		$	34,719,669
Net realized gain (loss) on sales of investments		13,675,488			13,800,032			17,178,854			6,521,962			3,784,798
Distributions from capital gains		—			—			5,337,046			1,890,127			—
Net change in unrealized appreciation or depreciation of investments		7,084,217			(56,233,013	)		(105,474,270	)		(998,771	)		(16,698,462	)
Net increase (decrease) in net assets resulting from operations		58,516,484			(50,665,589	)		(82,298,532	)		14,842,466			21,806,005
Contract transactions
Contract purchase payments		11,104,060			13,083,990			5,651,513			4,134,257			5,384,619
Net transfers(1)		(79,636,224	)		(97,952,644	)		(34,105,456	)		(24,577,754	)		(28,056,746	)
Transfers for policy loans		258,150			299,570			45,943			18,875			12,272
Adjustments to net assets allocated to contracts in payment period		(900,085	)		(807,254	)		(91,050	)		(148,609	)		(407,197	)
Contract charges		(1,190,305	)		(815,267	)		(382,490	)		(408,015	)		(288,148	)
Contract terminations:
Surrender benefits		(118,212,074	)		(87,606,474	)		(36,168,231	)		(41,765,064	)		(54,514,417	)
Death benefits		(13,901,893	)		(8,921,072	)		(2,432,016	)		(4,853,245	)		(5,808,635	)
Increase (decrease) from contract transactions		(202,478,371	)		(182,719,151	)		(67,481,787	)		(67,599,555	)		(83,678,252	)
Net assets at beginning of year		1,161,760,633			1,003,947,782			421,999,538			410,469,257			501,481,611
Net assets at end of year	$	1,017,798,746		$	770,563,042		$	272,219,219		$	357,712,168		$	439,609,364
Accumulation unit activity
Units outstanding at beginning of year		773,782,511			652,140,493			179,451,951			247,731,021			288,798,686
Contract purchase payments		7,685,651			9,169,060			2,816,379			2,653,614			3,132,405
Net transfers(1)		(53,506,063	)		(65,120,514	)		(15,950,634	)		(14,585,197	)		(16,184,608	)
Transfers for policy loans		154,596			182,243			28,166			10,013			6,514
Contract charges		(790,509	)		(568,769	)		(175,896	)		(245,464	)		(163,223	)
Contract terminations:
Surrender benefits		(75,474,599	)		(56,221,619	)		(16,746,058	)		(23,855,555	)		(30,056,406	)
Death benefits		(9,086,580	)		(5,916,389	)		(1,170,127	)		(2,906,986	)		(3,274,558	)
Units outstanding at end of year		642,765,007			533,664,505			148,253,781			208,801,446			242,258,810

⁽¹⁾ Includes transfer activity from (to) other divisions and transfers from (to) RiverSource Life’s fixed account.

See accompanying notes to financial statements.

36  RIVERSOURCE RETIREMENT ADVISOR VARIABLE ANNUITY – BAND 3 – 2012 ANNUAL REPORT

Statements of Changes in Net Assets

	Col VP			Col VP			Col VP			Col VP			Col VP
	Inc Opp,			Intl Opp,			Lg Cap Gro,			Lg Core Quan,			Marsico Gro,
Year ended Dec. 31, 2011 (continued)	Cl 3			Cl 3			Cl 3			Cl 3			Cl 1
Operations
Investment income (loss) — net	$	17,416,195		$	409,246		$	(1,189,996	)	$	(4,048,062	)	$	(1,292,927	)
Net realized gain (loss) on sales of investments		2,007,191			2,051,591			(2,225,485	)		(9,131,865	)		3,568,768
Distributions from capital gains		5,791,385			—			—			—			—
Net change in unrealized appreciation or depreciation of investments		(14,394,751	)		(19,930,127	)		(1,515,229	)		31,222,628			(9,443,234	)
Net increase (decrease) in net assets resulting from operations		10,820,020			(17,469,290	)		(4,930,710	)		18,042,701			(7,167,393	)
Contract transactions
Contract purchase payments		2,212,144			2,041,240			2,410,949			6,445,647			3,542,166
Net transfers(1)		(5,637,089	)		(10,211,612	)		(12,087,578	)		(25,404,171	)		(22,898,266	)
Transfers for policy loans		(11,092	)		92,286			46,985			614,881			30,846
Adjustments to net assets allocated to contracts in payment period		(32,765	)		(40,158	)		(59,145	)		(607,713	)		(43,213	)
Contract charges		(299,404	)		(107,604	)		(151,694	)		(871,932	)		(269,518	)
Contract terminations:
Surrender benefits		(19,173,946	)		(15,883,928	)		(13,694,349	)		(45,721,134	)		(19,312,298	)
Death benefits		(2,676,203	)		(1,505,197	)		(1,121,618	)		(4,581,224	)		(1,834,224	)
Increase (decrease) from contract transactions		(25,618,355	)		(25,614,973	)		(24,656,450	)		(70,125,646	)		(40,784,507	)
Net assets at beginning of year		215,637,087			149,104,975			150,066,265			436,201,699			233,638,317
Net assets at end of year	$	200,838,752		$	106,020,712		$	120,479,105		$	384,118,754		$	185,686,417
Accumulation unit activity
Units outstanding at beginning of year		148,511,955			124,227,630			218,834,713			471,052,959			211,659,373
Contract purchase payments		1,514,493			1,741,446			3,306,348			6,583,867			3,154,816
Net transfers(1)		(3,883,278	)		(9,561,484	)		(17,685,759	)		(28,490,179	)		(21,220,656	)
Transfers for policy loans		(7,368	)		68,137			71,520			593,997			28,372
Contract charges		(201,887	)		(92,562	)		(218,460	)		(951,944	)		(241,987	)
Contract terminations:
Surrender benefits		(12,757,617	)		(13,224,454	)		(19,524,845	)		(45,809,230	)		(17,649,427	)
Death benefits		(1,801,711	)		(1,317,031	)		(1,549,520	)		(4,821,160	)		(1,663,542	)
Units outstanding at end of year		131,374,587			101,841,682			183,233,997			398,158,310			174,066,949

⁽¹⁾ Includes transfer activity from (to) other divisions and transfers from (to) RiverSource Life’s fixed account.

See accompanying notes to financial statements.

RIVERSOURCE RETIREMENT ADVISOR VARIABLE ANNUITY – BAND 3 – 2012 ANNUAL REPORT  37

Statements of Changes in Net Assets

	Col VP			Col VP			Col VP						Col VP
	Marsico			Mid Cap			Mid Cap			Col VP			Select
	Intl Opp,			Gro Opp,			Val Opp,			S&P 500,			Lg Cap Val,
Year ended Dec. 31, 2011 (continued)	Cl 2			Cl 3			Cl 3			Cl 3			Cl 3
Operations
Investment income (loss) — net	$	(72,067	)	$	(1,208,041	)	$	(940,379	)	$	(1,226,644	)	$	(247,383	)
Net realized gain (loss) on sales of investments		(3,132,754	)		5,397,917			(1,685,013	)		3,763,318			63,916
Distributions from capital gains		—			—			—			—			—
Net change in unrealized appreciation or depreciation of investments		(7,837,202	)		(24,183,586	)		(6,685,342	)		(1,115,552	)		(1,286,569	)
Net increase (decrease) in net assets resulting from operations		(11,042,023	)		(19,993,710	)		(9,310,734	)		1,421,122			(1,470,036	)
Contract transactions
Contract purchase payments		1,827,761			2,194,491			1,756,106			3,684,735			410,496
Net transfers(1)		(9,417,816	)		(9,465,355	)		(17,101,477	)		(7,821,985	)		3,001,667
Transfers for policy loans		19,042			128,416			(5,608	)		60,165			(23,393	)
Adjustments to net assets allocated to contracts in payment period		(64,266	)		(91,035	)		(12,687	)		(190,383	)		(12,430	)
Contract charges		(45,853	)		(116,334	)		(87,898	)		(110,295	)		(20,090	)
Contract terminations:
Surrender benefits		(5,497,868	)		(13,435,097	)		(8,533,956	)		(14,559,679	)		(2,273,228	)
Death benefits		(412,057	)		(1,228,604	)		(931,619	)		(1,555,514	)		(294,503	)
Increase (decrease) from contract transactions		(13,591,057	)		(22,013,518	)		(24,917,139	)		(20,492,956	)		788,519
Net assets at beginning of year		73,764,036			140,164,914			120,175,756			148,693,465			25,347,407
Net assets at end of year	$	49,130,956		$	98,157,686		$	85,947,883		$	129,621,631		$	24,665,890
Accumulation unit activity
Units outstanding at beginning of year		70,989,115			100,047,912			94,586,316			156,454,136			21,861,680
Contract purchase payments		1,852,806			1,663,481			1,478,962			3,635,294			361,518
Net transfers(1)		(9,928,083	)		(6,786,868	)		(13,649,026	)		(8,159,128	)		1,848,628
Transfers for policy loans		20,752			101,763			(4,013	)		65,977			(20,587	)
Contract charges		(46,878	)		(88,427	)		(71,388	)		(114,862	)		(17,301	)
Contract terminations:
Surrender benefits		(5,674,348	)		(10,358,224	)		(6,746,249	)		(15,256,251	)		(1,918,520	)
Death benefits		(406,608	)		(934,975	)		(774,870	)		(1,671,125	)		(246,154	)
Units outstanding at end of year		56,806,756			83,644,662			74,819,732			134,954,041			21,869,264

⁽¹⁾ Includes transfer activity from (to) other divisions and transfers from (to) RiverSource Life’s fixed account.

See accompanying notes to financial statements.

38  RIVERSOURCE RETIREMENT ADVISOR VARIABLE ANNUITY – BAND 3 – 2012 ANNUAL REPORT

Statements of Changes in Net Assets

	Col VP Select			Col VP			CS			EV VT			Fid VIP
	Sm Cap Val,			US Govt Mtge,			Commodity			Floating-Rate			Contrafund,
Year ended Dec. 31, 2011 (continued)	Cl 3			Cl 3			Return			Inc			Serv Cl 2
Operations
Investment income (loss) — net	$	(520,846	)	$	19,709		$	1,602,737		$	8,977,829		$	(762,632	)
Net realized gain (loss) on sales of investments		(479,484	)		1,170,383			(2,963,750	)		395,373			(9,218,645	)
Distributions from capital gains		—			—			—			—			—
Net change in unrealized appreciation or depreciation of investments		(4,730,321	)		133,477			(12,984,704	)		(6,202,068	)		(7,113,432	)
Net increase (decrease) in net assets resulting from operations		(5,730,651	)		1,323,569			(14,345,717	)		3,171,134			(17,094,709	)
Contract transactions
Contract purchase payments		940,529			4,424,691			2,319,797			3,833,310			13,617,283
Net transfers(1)		(3,914,194	)		(26,048,491	)		9,121,944			29,074,541			(31,652,180	)
Transfers for policy loans		15,554			(14,609	)		(13,280	)		(97,960	)		(36,515	)
Adjustments to net assets allocated to contracts in payment period		(99,501	)		(391,780	)		1,980			(26,384	)		(12,470	)
Contract charges		(48,508	)		(179,610	)		(64,413	)		(242,121	)		(350,136	)
Contract terminations:
Surrender benefits		(6,351,593	)		(35,263,403	)		(9,160,866	)		(28,520,870	)		(41,450,187	)
Death benefits		(405,639	)		(3,219,731	)		(568,588	)		(2,922,315	)		(3,430,483	)
Increase (decrease) from contract transactions		(9,863,352	)		(60,692,933	)		1,636,574			1,098,201			(63,314,688	)
Net assets at beginning of year		66,464,693			321,296,161			101,183,490			247,938,774			512,182,685
Net assets at end of year	$	50,870,690		$	261,926,797		$	88,474,347		$	252,208,109		$	431,773,288
Accumulation unit activity
Units outstanding at beginning of year		39,283,530			251,534,231			98,349,809			214,175,050			474,193,233
Contract purchase payments		627,143			3,667,132			2,269,480			3,282,765			12,367,647
Net transfers(1)		(2,332,609	)		(21,183,315	)		8,479,116			24,123,521			(30,176,100	)
Transfers for policy loans		8,025			(9,483	)		(10,341	)		(82,831	)		(36,219	)
Contract charges		(30,086	)		(140,177	)		(64,031	)		(206,871	)		(323,363	)
Contract terminations:
Surrender benefits		(3,781,066	)		(27,217,539	)		(9,166,266	)		(24,367,574	)		(38,537,769	)
Death benefits		(274,221	)		(2,520,951	)		(575,142	)		(2,517,542	)		(3,209,855	)
Units outstanding at end of year		33,500,716			204,129,898			99,282,625			214,406,518			414,277,574

⁽¹⁾ Includes transfer activity from (to) other divisions and transfers from (to) RiverSource Life’s fixed account.

See accompanying notes to financial statements.

RIVERSOURCE RETIREMENT ADVISOR VARIABLE ANNUITY – BAND 3 – 2012 ANNUAL REPORT  39

Statements of Changes in Net Assets

	Fid VIP			Fid VIP			Fid VIP			FTVIPT Frank			FTVIPT Frank
	Gro & Inc,			Mid Cap,			Overseas,			Global Real Est,			Sm Cap Val,
Year ended Dec. 31, 2011 (continued)	Serv Cl			Serv Cl			Serv Cl			Cl 2			Cl 2
Operations
Investment income (loss) — net	$	423,575		$	(1,155,757	)	$	72,577		$	11,238,357		$	(307,210	)
Net realized gain (loss) on sales of investments		(2,156,781	)		13,908,024			(1,335,927	)		(16,077,128	)		4,739,036
Distributions from capital gains		—			239,016			63,092			—			—
Net change in unrealized appreciation or depreciation of investments		2,333,200			(30,659,723	)		(3,662,601	)		(5,103,085	)		(13,122,936	)
Net increase (decrease) in net assets resulting from operations		599,994			(17,668,440	)		(4,862,859	)		(9,941,856	)		(8,691,110	)
Contract transactions
Contract purchase payments		680,281			1,564,503			337,238			2,912,900			4,226,546
Net transfers(1)		(5,984,374	)		(18,513,456	)		(3,600,603	)		(7,527,190	)		(18,864,587	)
Transfers for policy loans		(7,398	)		(8,036	)		12,622			40,404			38,057
Adjustments to net assets allocated to contracts in payment period		(13,916	)		(15,687	)		(15,981	)		(49,114	)		(16,281	)
Contract charges		(31,872	)		(67,932	)		(11,699	)		(132,455	)		(115,029	)
Contract terminations:
Surrender benefits		(12,948,282	)		(31,283,725	)		(6,674,055	)		(15,370,902	)		(15,173,862	)
Death benefits		(587,027	)		(1,139,986	)		(437,864	)		(1,118,698	)		(1,203,416	)
Increase (decrease) from contract transactions		(18,892,588	)		(49,464,319	)		(10,390,342	)		(21,245,055	)		(31,108,572	)
Net assets at beginning of year		73,761,811			191,576,176			36,025,046			172,608,884			193,361,961
Net assets at end of year	$	55,469,217		$	124,443,417		$	20,771,845		$	141,421,973		$	153,562,279
Accumulation unit activity
Units outstanding at beginning of year		69,939,704			49,947,106			29,437,972			103,134,885			91,828,282
Contract purchase payments		640,208			419,277			286,579			2,053,337			2,707,593
Net transfers(1)		(5,635,188	)		(5,079,029	)		(3,076,616	)		(3,375,804	)		(8,747,173	)
Transfers for policy loans		(4,019	)		(2,709	)		12,605			17,208			21,210
Contract charges		(30,165	)		(18,367	)		(10,047	)		(79,200	)		(57,666	)
Contract terminations:
Surrender benefits		(12,194,766	)		(8,392,804	)		(5,661,676	)		(8,956,951	)		(7,030,501	)
Death benefits		(547,075	)		(307,128	)		(370,823	)		(672,778	)		(578,191	)
Units outstanding at end of year		52,168,699			36,566,346			20,617,994			92,120,697			78,143,554

⁽¹⁾ Includes transfer activity from (to) other divisions and transfers from (to) RiverSource Life’s fixed account.

See accompanying notes to financial statements.

40  RIVERSOURCE RETIREMENT ADVISOR VARIABLE ANNUITY – BAND 3 – 2012 ANNUAL REPORT

Statements of Changes in Net Assets

				GS VIT			GS VIT
	GS VIT			Structd			Structd			Invesco			Invesco
	Mid Cap Val,			Sm Cap Eq,			U.S. Eq,			VI Global Hlth,			VI Intl Gro,
Year ended Dec. 31, 2011 (continued)	Inst			Inst			Inst			Ser II			Ser II
Operations
Investment income (loss) — net	$	(459,108	)	$	(14,863	)	$	1,163,461		$	(208,660	)	$	335,789
Net realized gain (loss) on sales of investments		(885,891	)		171,078			(3,232,826	)		153,227			1,482,624
Distributions from capital gains		—			—			—			—			—
Net change in unrealized appreciation or depreciation of investments		(18,837,323	)		(103,854	)		7,411,743			697,429			(10,148,003	)
Net increase (decrease) in net assets resulting from operations		(20,182,322	)		52,361			5,342,378			641,996			(8,329,590	)
Contract transactions
Contract purchase payments		3,231,712			129,812			1,857,530			375,062			1,664,851
Net transfers(1)		(31,713,750	)		(954,238	)		(17,242,232	)		2,157,506			(6,665,349	)
Transfers for policy loans		57,644			11,837			23,260			(6,326	)		13,656
Adjustments to net assets allocated to contracts in payment period		268,584			(3,298	)		258,557			(80	)		(7,411	)
Contract charges		(308,323	)		(4,868	)		(361,060	)		(18,711	)		(132,596	)
Contract terminations:
Surrender benefits		(29,344,229	)		(2,141,560	)		(15,415,169	)		(1,990,968	)		(10,559,862	)
Death benefits		(2,199,731	)		(188,137	)		(1,345,689	)		(155,950	)		(649,851	)
Increase (decrease) from contract transactions		(60,008,093	)		(3,150,452	)		(32,224,803	)		360,533			(16,336,562	)
Net assets at beginning of year		328,204,211			10,931,597			167,513,711			22,250,600			121,171,446
Net assets at end of year	$	248,013,796		$	7,833,506		$	140,631,286		$	23,253,129		$	96,505,294
Accumulation unit activity
Units outstanding at beginning of year		122,523,113			6,309,038			174,646,997			20,785,101			90,302,409
Contract purchase payments		1,267,769			73,765			1,853,965			329,079			1,273,306
Net transfers(1)		(12,100,741	)		(545,319	)		(17,352,156	)		1,932,580			(4,970,206	)
Transfers for policy loans		23,505			6,597			23,453			(5,268	)		11,682
Contract charges		(117,631	)		(2,787	)		(362,896	)		(16,500	)		(102,427	)
Contract terminations:
Surrender benefits		(11,247,063	)		(1,217,410	)		(15,470,116	)		(1,786,235	)		(7,809,045	)
Death benefits		(845,539	)		(104,240	)		(1,344,836	)		(138,373	)		(493,107	)
Units outstanding at end of year		99,503,413			4,519,644			141,994,411			21,100,384			78,212,612

⁽¹⁾ Includes transfer activity from (to) other divisions and transfers from (to) RiverSource Life’s fixed account.

See accompanying notes to financial statements.

RIVERSOURCE RETIREMENT ADVISOR VARIABLE ANNUITY – BAND 3 – 2012 ANNUAL REPORT  41

Statements of Changes in Net Assets

	Invesco VI			Janus Aspen			Janus Aspen			Janus Aspen			Janus Aspen
	Comstock,			Enterprise,			Global Tech,			Janus,			Overseas,
Year ended Dec. 31, 2011 (continued)	Ser II			Serv			Serv			Serv			Serv
Operations
Investment income (loss) — net	$	1,159,900		$	(136,164	)	$	(183,494	)	$	(336,430	)	$	(613,788	)
Net realized gain (loss) on sales of investments		(2,718,564	)		218,090			471,149			1,908,786			9,570,472
Distributions from capital gains		—			—			—			—			1,361,065
Net change in unrealized appreciation or depreciation of investments		(5,040,416	)		(427,497	)		(2,302,883	)		(6,032,184	)		(59,965,825	)
Net increase (decrease) in net assets resulting from operations		(6,599,080	)		(345,571	)		(2,015,228	)		(4,459,828	)		(49,648,076	)
Contract transactions
Contract purchase payments		2,726,753			255,438			307,902			1,488,356			1,322,704
Net transfers(1)		(19,503,052	)		(1,615,817	)		(2,088,680	)		(14,118,981	)		(21,921,723	)
Transfers for policy loans		34,518			13,055			(4,079	)		(19,950	)		15,877
Adjustments to net assets allocated to contracts in payment period		12,657			—			(3,804	)		(1,680	)		49,143
Contract charges		(616,234	)		(12,457	)		(13,760	)		(160,361	)		(69,376	)
Contract terminations:
Surrender benefits		(17,510,778	)		(2,521,938	)		(3,324,659	)		(6,080,876	)		(18,420,092	)
Death benefits		(1,924,303	)		(70,470	)		(172,959	)		(677,964	)		(620,533	)
Increase (decrease) from contract transactions		(36,780,439	)		(3,952,189	)		(5,300,039	)		(19,571,456	)		(39,644,000	)
Net assets at beginning of year		257,009,567			18,424,832			24,760,253			82,233,183			175,075,543
Net assets at end of year	$	213,630,048		$	14,127,072		$	17,444,986		$	58,201,899		$	85,783,467
Accumulation unit activity
Units outstanding at beginning of year		214,858,132			25,641,936			43,886,351			85,312,666			97,399,090
Contract purchase payments		2,335,170			353,532			556,565			1,550,251			834,808
Net transfers(1)		(16,282,695	)		(2,293,339	)		(3,990,972	)		(15,119,360	)		(15,209,227	)
Transfers for policy loans		29,109			19,033			(7,778	)		(19,322	)		8,884
Contract charges		(509,668	)		(17,512	)		(25,054	)		(168,909	)		(44,793	)
Contract terminations:
Surrender benefits		(14,574,162	)		(3,466,681	)		(5,986,587	)		(6,346,495	)		(11,642,276	)
Death benefits		(1,631,137	)		(97,526	)		(314,154	)		(712,954	)		(396,430	)
Units outstanding at end of year		184,224,749			20,139,443			34,118,371			64,495,877			70,950,056

⁽¹⁾ Includes transfer activity from (to) other divisions and transfers from (to) RiverSource Life’s fixed account.

See accompanying notes to financial statements.

42  RIVERSOURCE RETIREMENT ADVISOR VARIABLE ANNUITY – BAND 3 – 2012 ANNUAL REPORT

Statements of Changes in Net Assets

	MFS			MFS			MFS			MS UIF			MS UIF
	Inv Gro Stock,			New Dis,			Utilities,			Global Real Est,			Mid Cap Gro,
Year ended Dec. 31, 2011 (continued)	Serv Cl			Serv Cl			Serv Cl			Cl II			Cl II
Operations
Investment income (loss) — net	$	(472,866	)	$	(555,885	)	$	4,983,716		$	1,659,226		$	(416,392	)
Net realized gain (loss) on sales of investments		2,121,422			872,919			1,775,221			(913,941	)		1,179,982
Distributions from capital gains		—			8,256,051			—			—			25,621
Net change in unrealized appreciation or depreciation of investments		(1,774,771	)		(16,395,393	)		6,180,189			(8,308,301	)		(6,049,699	)
Net increase (decrease) in net assets resulting from operations		(126,215	)		(7,822,308	)		12,939,126			(7,563,016	)		(5,260,488	)
Contract transactions
Contract purchase payments		1,187,096			709,120			6,782,722			1,240,236			2,409,481
Net transfers(1)		(6,009,280	)		6,805,395			12,747,115			(2,235,158	)		5,841,127
Transfers for policy loans		3,566			6,434			(13,275	)		13,699			(2,654	)
Adjustments to net assets allocated to contracts in payment period		(10,699	)		(7,606	)		(12,141	)		12,945			(11,172	)
Contract charges		(54,851	)		(47,340	)		(167,934	)		(66,997	)		(43,059	)
Contract terminations:
Surrender benefits		(7,365,026	)		(6,307,647	)		(18,917,674	)		(6,235,511	)		(5,343,334	)
Death benefits		(327,232	)		(350,453	)		(2,124,328	)		(458,365	)		(368,481	)
Increase (decrease) from contract transactions		(12,576,426	)		807,903			(1,705,515	)		(7,729,151	)		2,481,908
Net assets at beginning of year		82,959,875			62,697,588			229,995,170			73,116,472			60,967,357
Net assets at end of year	$	70,257,234		$	55,683,183		$	241,228,781		$	57,824,305		$	58,188,777
Accumulation unit activity
Units outstanding at beginning of year		105,423,462			47,234,660			121,459,411			69,096,688			45,796,859
Contract purchase payments		1,336,278			525,047			3,867,628			1,185,054			1,735,530
Net transfers(1)		(7,909,417	)		4,582,702			6,749,597			(2,445,854	)		4,172,715
Transfers for policy loans		5,766			7,668			(5,847	)		14,239			(2,745	)
Contract charges		(67,761	)		(35,834	)		(86,244	)		(64,560	)		(31,560	)
Contract terminations:
Surrender benefits		(9,292,959	)		(4,733,507	)		(9,203,371	)		(6,042,193	)		(3,931,939	)
Death benefits		(409,582	)		(268,794	)		(1,101,347	)		(447,391	)		(275,574	)
Units outstanding at end of year		89,085,787			47,311,942			121,679,827			61,295,983			47,463,286

⁽¹⁾ Includes transfer activity from (to) other divisions and transfers from (to) RiverSource Life’s fixed account.

See accompanying notes to financial statements.

RIVERSOURCE RETIREMENT ADVISOR VARIABLE ANNUITY – BAND 3 – 2012 ANNUAL REPORT  43

Statements of Changes in Net Assets

	NB AMT			Oppen			Oppen Global			Oppen Main St			PIMCO VIT
	Intl Eq,			Global VA,			Strategic Inc VA,			Sm Cap VA,			All Asset,
Year ended Dec. 31, 2011 (continued)	Cl S			Serv			Srv			Serv			Advisor Cl
Operations
Investment income (loss) — net	$	1,146,098		$	163,302		$	18,499,297		$	(345,904	)	$	16,461,652
Net realized gain (loss) on sales of investments		(374,706	)		(153,182	)		10,178,219			1,061,944			(27,797	)
Distributions from capital gains		—			—			11,696,484			—			—
Net change in unrealized appreciation or depreciation of investments		(3,725,955	)		(9,678,483	)		(40,369,088	)		(2,786,302	)		(13,922,833	)
Net increase (decrease) in net assets resulting from operations		(2,954,563	)		(9,668,363	)		4,912			(2,070,262	)		2,511,022
Contract transactions
Contract purchase payments		390,112			4,053,570			11,148,025			1,743,482			8,160,214
Net transfers(1)		(11,449	)		(3,592,432	)		(58,457,272	)		(8,700,356	)		18,044,185
Transfers for policy loans		6,666			(4,622	)		(22,226	)		16,970			(49,031	)
Adjustments to net assets allocated to contracts in payment period		(2,775	)		(13,365	)		(177,406	)		(9,951	)		(31,322	)
Contract charges		(44,177	)		(70,342	)		(856,703	)		(49,780	)		(256,664	)
Contract terminations:
Surrender benefits		(1,686,559	)		(7,640,071	)		(90,129,639	)		(5,898,842	)		(24,200,990	)
Death benefits		(196,113	)		(797,290	)		(9,949,275	)		(516,928	)		(2,279,735	)
Increase (decrease) from contract transactions		(1,544,295	)		(8,064,552	)		(148,444,496	)		(13,415,405	)		(613,343	)
Net assets at beginning of year		22,804,363			107,677,616			985,347,754			76,560,275			244,030,878
Net assets at end of year	$	18,305,505		$	89,944,701		$	836,908,170		$	61,074,608		$	245,928,557
Accumulation unit activity
Units outstanding at beginning of year		23,891,737			76,283,213			706,223,975			58,249,701			192,370,650
Contract purchase payments		404,310			3,096,065			7,987,509			1,390,505			6,422,214
Net transfers(1)		(140,317	)		(2,644,988	)		(41,369,104	)		(6,464,866	)		14,126,001
Transfers for policy loans		7,842			(6,752	)		(16,904	)		12,923			(39,056	)
Contract charges		(46,525	)		(50,420	)		(605,106	)		(37,971	)		(198,282	)
Contract terminations:
Surrender benefits		(1,842,217	)		(5,351,755	)		(63,244,312	)		(4,416,295	)		(18,866,635	)
Death benefits		(212,138	)		(623,259	)		(7,100,088	)		(415,524	)		(1,782,774	)
Units outstanding at end of year		22,062,692			70,702,104			601,875,970			48,318,473			192,032,118

⁽¹⁾ Includes transfer activity from (to) other divisions and transfers from (to) RiverSource Life’s fixed account.

See accompanying notes to financial statements.

44  RIVERSOURCE RETIREMENT ADVISOR VARIABLE ANNUITY – BAND 3 – 2012 ANNUAL REPORT

Statements of Changes in Net Assets

	Put VT			Royce
	Multi-Cap Gro,			Micro-Cap,			Third Ave			VP Aggr,			VP Aggr,
Year ended Dec. 31, 2011 (continued)	Cl IB			Invest Cl			Val			Cl 2			Cl 4
Operations
Investment income (loss) — net	$	(173,651	)	$	637,303		$	346,417		$	(4,488,953	)	$	(16,139,816	)
Net realized gain (loss) on sales of investments		775,407			4,163,075			(2,955,771	)		(71,100	)		36,792,625
Distributions from capital gains		—			—			—			—			—
Net change in unrealized appreciation or depreciation of investments		(2,204,844	)		(11,145,299	)		(6,801,055	)		(27,216,458	)		(85,403,261	)
Net increase (decrease) in net assets resulting from operations		(1,603,088	)		(6,344,921	)		(9,410,409	)		(31,776,511	)		(64,750,452	)
Contract transactions
Contract purchase payments		498,588			477,872			419,138			390,801,189			30,615,117
Net transfers(1)		(2,481,877	)		(5,028,125	)		(5,654,222	)		101,125,629			(89,002,429	)
Transfers for policy loans		35,422			6,834			23,463			(145,600	)		11,123
Adjustments to net assets allocated to contracts in payment period		(3,197	)		(17,128	)		(26,983	)		219,494			(99,897	)
Contract charges		(28,296	)		(18,584	)		(17,757	)		(1,788,309	)		(9,981,618	)
Contract terminations:
Surrender benefits		(3,839,580	)		(10,695,979	)		(8,593,852	)		(5,319,789	)		(81,782,353	)
Death benefits		(239,807	)		(599,593	)		(345,253	)		(2,005,122	)		(9,566,639	)
Increase (decrease) from contract transactions		(6,058,747	)		(15,874,703	)		(14,195,466	)		482,887,492			(159,806,696	)
Net assets at beginning of year		33,345,807			62,060,455			53,357,570			208,702,302			1,821,118,319
Net assets at end of year	$	25,683,972		$	39,840,831		$	29,751,695		$	659,813,283		$	1,596,561,171
Accumulation unit activity
Units outstanding at beginning of year		29,434,323			15,792,239			18,734,516			186,003,988			1,623,317,828
Contract purchase payments		442,707			125,794			158,674			347,255,380			27,149,757
Net transfers(1)		(2,196,616	)		(1,356,475	)		(2,170,015	)		87,663,870			(81,339,985	)
Transfers for policy loans		33,510			2,318			9,482			(134,470	)		14,446
Contract charges		(25,249	)		(4,924	)		(6,718	)		(1,667,685	)		(8,934,063	)
Contract terminations:
Surrender benefits		(3,396,714	)		(2,789,036	)		(3,226,168	)		(4,848,468	)		(72,558,968	)
Death benefits		(215,183	)		(153,977	)		(127,316	)		(1,823,883	)		(8,385,369	)
Units outstanding at end of year		24,076,778			11,615,939			13,372,455			612,448,732			1,479,263,646

⁽¹⁾ Includes transfer activity from (to) other divisions and transfers from (to) RiverSource Life’s fixed account.

See accompanying notes to financial statements.

RIVERSOURCE RETIREMENT ADVISOR VARIABLE ANNUITY – BAND 3 – 2012 ANNUAL REPORT  45

Statements of Changes in Net Assets

	VP BR
	Gl Infl Prot Sec,			VP Conserv,			VP Conserv,			VP Mod,			VP Mod,
Year ended Dec. 31, 2011 (continued)	Cl 3			Cl 2			Cl 4			Cl 2			Cl 4
Operations
Investment income (loss) — net	$	16,952,707		$	(3,761,505	)	$	(13,513,950	)	$	(30,692,100	)	$	(105,753,467	)
Net realized gain (loss) on sales of investments		(315,021	)		1,502,990			22,388,357			2,721,276			133,484,565
Distributions from capital gains		3,347,936			—			—			—			—
Net change in unrealized appreciation or depreciation of investments		2,921,865			8,542,996			22,529,730			(28,156,897	)		(85,113,845	)
Net increase (decrease) in net assets resulting from operations		22,907,487			6,284,481			31,404,137			(56,127,721	)		(57,382,747	)
Contract transactions
Contract purchase payments		2,705,160			183,173,769			14,301,225			2,265,560,632			118,303,025
Net transfers(1)		(7,953,950	)		287,199,532			320,774,032			574,158,723			(214,839,503	)
Transfers for policy loans		2,212			(130,889	)		(43,473	)		(188,465	)		182,489
Adjustments to net assets allocated to contracts in payment period		(94,178	)		(62,635	)		(3,469,457	)		(514,658	)		(8,199,808	)
Contract charges		(536,757	)		(1,768,474	)		(7,492,545	)		(14,448,350	)		(62,555,188	)
Contract terminations:
Surrender benefits		(24,927,707	)		(19,069,845	)		(126,135,297	)		(61,028,426	)		(679,542,651	)
Death benefits		(3,061,850	)		(5,400,800	)		(23,221,782	)		(16,512,317	)		(83,940,910	)
Increase (decrease) from contract transactions		(33,867,070	)		443,940,658			174,712,703			2,747,027,139			(930,592,546	)
Net assets at beginning of year		279,401,044			184,093,835			1,409,945,636			1,732,993,126			11,557,839,474
Net assets at end of year	$	268,441,461		$	634,318,974		$	1,616,062,476		$	4,423,892,544		$	10,569,864,181
Accumulation unit activity
Units outstanding at beginning of year		230,071,826			176,204,428			1,349,528,344			1,584,363,240			10,566,948,821
Contract purchase payments		2,154,754			172,926,089			13,487,690			2,058,155,344			107,009,564
Net transfers(1)		(6,880,723	)		269,630,807			297,658,127			514,546,341			(206,483,405	)
Transfers for policy loans		1,501			(122,697	)		(41,505	)		(171,610	)		168,292
Contract charges		(423,897	)		(1,672,281	)		(7,072,221	)		(13,387,930	)		(56,793,587	)
Contract terminations:
Surrender benefits		(19,725,088	)		(17,998,049	)		(118,980,129	)		(55,464,722	)		(615,745,361	)
Death benefits		(2,453,502	)		(5,070,923	)		(21,943,200	)		(15,112,928	)		(76,237,353	)
Units outstanding at end of year		202,744,871			593,897,374			1,512,637,106			4,072,927,735			9,718,866,971

⁽¹⁾ Includes transfer activity from (to) other divisions and transfers from (to) RiverSource Life’s fixed account.

See accompanying notes to financial statements.

46  RIVERSOURCE RETIREMENT ADVISOR VARIABLE ANNUITY – BAND 3 – 2012 ANNUAL REPORT

Statements of Changes in Net Assets

	VP Mod			VP Mod			VP Mod			VP Mod			VP Ptnrs
	Aggr,			Aggr,			Conserv,			Conserv,			Sm Cap Val,
Year ended Dec. 31, 2011 (continued)	Cl 2			Cl 4			Cl 2			Cl 4			Cl 3
Operations
Investment income (loss) — net	$	(18,853,259	)	$	(64,412,082	)	$	(8,868,256	)	$	(31,026,461	)	$	(1,494,022	)
Net realized gain (loss) on sales of investments		1,227,058			110,367,314			2,060,489			40,621,726			6,102,542
Distributions from capital gains		—			—			—			—			—
Net change in unrealized appreciation or depreciation of investments		(65,055,187	)		(205,202,717	)		9,434,660			27,264,700			(13,816,553	)
Net increase (decrease) in net assets resulting from operations		(82,681,388	)		(159,247,485	)		2,626,893			36,859,965			(9,208,033	)
Contract transactions
Contract purchase payments		1,548,819,538			98,046,130			514,770,554			30,280,076			1,995,557
Net transfers(1)		236,668,553			(385,470,691	)		351,219,659			195,891,612			(23,106,147	)
Transfers for policy loans		(126,863	)		(38,416	)		(45,837	)		68,615			21,943
Adjustments to net assets allocated to contracts in payment period		2,036,054			(3,418,139	)		(650,782	)		(5,584,876	)		(53,135	)
Contract charges		(8,670,726	)		(39,108,384	)		(3,956,617	)		(16,132,105	)		(376,134	)
Contract terminations:
Surrender benefits		(28,268,292	)		(328,142,496	)		(28,111,434	)		(202,011,291	)		(13,532,325	)
Death benefits		(5,003,145	)		(26,333,360	)		(7,446,037	)		(41,111,215	)		(1,659,575	)
Increase (decrease) from contract transactions		1,745,455,119			(684,465,356	)		825,779,506			(38,599,184	)		(36,709,816	)
Net assets at beginning of year		991,528,000			7,156,739,337			520,096,345			3,332,019,792			197,265,671
Net assets at end of year	$	2,654,301,731		$	6,313,026,496		$	1,348,502,744		$	3,330,280,573		$	151,347,822
Accumulation unit activity
Units outstanding at beginning of year		891,746,819			6,431,039,211			486,156,330			3,111,864,848			106,424,676
Contract purchase payments		1,386,314,947			87,557,150			476,807,391			27,951,906			1,201,319
Net transfers(1)		203,354,695			(364,663,629	)		322,877,872			179,316,331			(12,788,388	)
Transfers for policy loans		(117,006	)		(36,804	)		(42,594	)		64,569			9,006
Contract charges		(8,002,769	)		(35,020,652	)		(3,694,252	)		(14,900,292	)		(215,038	)
Contract terminations:
Surrender benefits		(25,407,554	)		(292,883,789	)		(25,710,045	)		(186,498,298	)		(7,300,732	)
Death benefits		(4,495,349	)		(23,718,436	)		(6,869,239	)		(37,917,013	)		(952,953	)
Units outstanding at end of year		2,443,393,783			5,802,273,051			1,249,525,463			3,079,882,051			86,377,890

⁽¹⁾ Includes transfer activity from (to) other divisions and transfers from (to) RiverSource Life’s fixed account.

See accompanying notes to financial statements.

RIVERSOURCE RETIREMENT ADVISOR VARIABLE ANNUITY – BAND 3 – 2012 ANNUAL REPORT  47

Statements of Changes in Net Assets

	VP Sit			VP Vty									WF Adv VT
	Divd Gro,			Estb Val,			Wanger			Wanger			Index Asset Alloc,
Year ended Dec. 31, 2011 (continued)	Cl 3			Cl 3			Intl			USA			Cl 2
Operations
Investment income (loss) — net	$	(487,057	)	$	(126,315	)	$	15,834,515		$	(3,579,648	)	$	695,295
Net realized gain (loss) on sales of investments		2,229,951			189,724			(12,389,211	)		7,422,440			(222,834	)
Distributions from capital gains		—			—			9,992,764			37,345,076			—
Net change in unrealized appreciation or depreciation of investments		(4,084,293	)		(1,130,547	)		(75,765,979	)		(55,601,899	)		1,306,560
Net increase (decrease) in net assets resulting from operations		(2,341,399	)		(1,067,138	)		(62,327,911	)		(14,414,031	)		1,779,021
Contract transactions
Contract purchase payments		647,526			368,746			5,682,272			5,692,849			440,095
Net transfers(1)		(8,673,104	)		556,095			(37,794,420	)		(43,140,767	)		(3,368,680	)
Transfers for policy loans		13,029			(2,521	)		(6,633	)		34,694			27,112
Adjustments to net assets allocated to contracts in payment period		(22,045	)		(20,260	)		(102,555	)		(145,445	)		(11,512	)
Contract charges		(161,438	)		(13,374	)		(438,215	)		(405,171	)		(28,323	)
Contract terminations:
Surrender benefits		(4,455,225	)		(932,191	)		(36,708,123	)		(36,961,636	)		(3,959,568	)
Death benefits		(613,612	)		(191,329	)		(2,835,207	)		(2,884,094	)		(516,580	)
Increase (decrease) from contract transactions		(13,264,869	)		(234,834	)		(72,202,881	)		(77,809,570	)		(7,417,456	)
Net assets at beginning of year		62,573,958			14,315,039			458,488,585			441,908,083			36,092,798
Net assets at end of year	$	46,967,690		$	13,013,067		$	323,957,793		$	349,684,482		$	30,454,363
Accumulation unit activity
Units outstanding at beginning of year		63,233,786			10,675,740			199,413,566			240,629,120			29,126,578
Contract purchase payments		654,734			292,993			2,902,557			3,378,713			350,920
Net transfers(1)		(8,981,632	)		432,431			(17,107,732	)		(22,333,408	)		(2,678,683	)
Transfers for policy loans		13,413			(2,467	)		6,588			16,615			21,410
Contract charges		(164,835	)		(10,127	)		(201,279	)		(220,324	)		(22,452	)
Contract terminations:
Surrender benefits		(4,565,399	)		(707,055	)		(15,806,567	)		(19,348,224	)		(3,143,031	)
Death benefits		(625,121	)		(137,383	)		(1,307,910	)		(1,628,943	)		(409,118	)
Units outstanding at end of year		49,564,946			10,544,132			167,899,223			200,493,549			23,245,624

⁽¹⁾ Includes transfer activity from (to) other divisions and transfers from (to) RiverSource Life’s fixed account.

See accompanying notes to financial statements.

48  RIVERSOURCE RETIREMENT ADVISOR VARIABLE ANNUITY – BAND 3 – 2012 ANNUAL REPORT

Statements of Changes in Net Assets

	WF Adv VT			WF Adv VT
	Intl Eq,			Sm Cap Gro,
Year ended Dec. 31, 2011 (continued)	Cl 2			Cl 2
Operations
Investment income (loss) — net	$	(518,520	)	$	(775,985	)
Net realized gain (loss) on sales of investments		2,396,920			2,102,923
Distributions from capital gains		2,903,463			—
Net change in unrealized appreciation or depreciation of investments		(13,726,538	)		(6,401,488	)
Net increase (decrease) in net assets resulting from operations		(8,944,675	)		(5,074,550	)
Contract transactions
Contract purchase payments		1,008,594			2,904,320
Net transfers(1)		(6,196,601	)		(18,022,798	)
Transfers for policy loans		2,014			1,868
Adjustments to net assets allocated to contracts in payment period		(15,734	)		(7,979	)
Contract charges		(96,109	)		(54,390	)
Contract terminations:
Surrender benefits		(6,457,878	)		(7,298,040	)
Death benefits		(644,687	)		(531,721	)
Increase (decrease) from contract transactions		(12,400,401	)		(23,008,740	)
Net assets at beginning of year		74,526,363			100,081,392
Net assets at end of year	$	53,181,287		$	71,998,102
Accumulation unit activity
Units outstanding at beginning of year		57,744,964			68,151,085
Contract purchase payments		866,755			2,012,323
Net transfers(1)		(4,859,345	)		(12,804,108	)
Transfers for policy loans		1,826			2,336
Contract charges		(84,498	)		(38,196	)
Contract terminations:
Surrender benefits		(4,999,219	)		(5,068,671	)
Death benefits		(542,421	)		(365,741	)
Units outstanding at end of year		48,128,062			51,889,028

⁽¹⁾ Includes transfer activity from (to) other divisions and transfers from (to) RiverSource Life’s fixed account.

See accompanying notes to financial statements.

RIVERSOURCE RETIREMENT ADVISOR VARIABLE ANNUITY – BAND 3 – 2012 ANNUAL REPORT  49

Notes to Financial Statements

1.  ORGANIZATION

RiverSource Variable Account 10 (the Account) was established under Minnesota law as a segregated asset account of RiverSource Life Insurance Company (RiverSource Life). The Account is registered as a unit investment trust under the Investment Company Act of 1940, as amended (the 1940 Act) and exists in accordance with the rules and regulations of the Insurance Division, Department of Commerce of the State of Minnesota.

The Account is used as a funding vehicle for RiverSource Retirement Advisor Variable Annuity^® – Band 3 (RAVA Band 3) contracts issued by RiverSource Life.

The Account is comprised of various divisions. Each division invests exclusively in shares of the following funds or portfolios (collectively, the Funds), which are registered under the 1940 Act as open-end management investment companies. The name of each Fund offered through RAVA Band 3 contracts and the corresponding division name are provided below. There are various other divisions offered in the Account that are not available under RAVA Band 3 contracts. Each division is comprised of subaccounts. Individual variable annuity accounts invest in subaccounts. These financial statements are of the Divisions of the Account offered through RAVA Band 3.

Division	Fund
AB VPS Global Thematic Gro, Cl B	AllianceBernstein VPS Global Thematic Growth Portfolio (Class B)
AB VPS Gro & Inc, Cl B	AllianceBernstein VPS Growth and Income Portfolio (Class B)
AB VPS Intl Val, Cl B	AllianceBernstein VPS International Value Portfolio (Class B)
AC VP Intl, Cl I	American Century VP International, Class I
AC VP Mid Cap Val, Cl II	American Century VP Mid Cap Value, Class II
AC VP Ultra, Cl II	American Century VP Ultra®, Class II
AC VP Val, Cl I	American Century VP Value, Class I
BlackRock Global Alloc, Cl III	BlackRock Global Allocation V.I. Fund (Class III)
Calvert VP SRI Bal	Calvert VP SRI Balanced Portfolio
Col VP Bal, Cl 3	Columbia Variable Portfolio – Balanced Fund (Class 3)
Col VP Cash Mgmt, Cl 3	Columbia Variable Portfolio – Cash Management Fund (Class 3)
Col VP Div Bond, Cl 3	Columbia Variable Portfolio – Diversified Bond Fund (Class 3)
Col VP Divd Opp, Cl 3	Columbia Variable Portfolio – Dividend Opportunity Fund (Class 3) (previously Columbia Variable Portfolio – Diversified Equity Income Fund (Class 3))
Col VP Emer Mkts, Cl 3	Columbia Variable Portfolio – Emerging Markets Fund (Class 3) (previously Columbia Variable Portfolio – Emerging Markets Opportunity Fund (Class 3))
Col VP Global Bond, Cl 3	Columbia Variable Portfolio – Global Bond Fund (Class 3)
Col VP Hi Yield Bond, Cl 3	Columbia Variable Portfolio – High Yield Bond Fund (Class 3)
Col VP Inc Opp, Cl 3	Columbia Variable Portfolio – Income Opportunities Fund (Class 3)
Col VP Intl Opp, Cl 3	Columbia Variable Portfolio – International Opportunity Fund (Class 3)
Col VP Lg Cap Gro, Cl 3	Columbia Variable Portfolio – Large Cap Growth Fund (Class 3)
Col VP Lg Core Quan, Cl 3	Columbia Variable Portfolio – Large Core Quantitative Fund (Class 3) (previously Columbia Variable Portfolio – Dynamic Equity Fund (Class 3))
Col VP Marsico Gro, Cl 1	Columbia Variable Portfolio – Marsico Growth Fund (Class 1)
Col VP Marsico Intl Opp, Cl 2	Columbia Variable Portfolio – Marsico International Opportunities Fund (Class 2)
Col VP Mid Cap Gro Opp, Cl 3	Columbia Variable Portfolio – Mid Cap Growth Opportunity Fund (Class 3)
Col VP Mid Cap Val Opp, Cl 3	Columbia Variable Portfolio – Mid Cap Value Opportunity Fund (Class 3)
Col VP S&P 500, Cl 3	Columbia Variable Portfolio – S&P 500 Index Fund (Class 3)
Col VP Select Lg Cap Val, Cl 3	Columbia Variable Portfolio – Select Large-Cap Value Fund (Class 3)
Col VP Select Sm Cap Val, Cl 3	Columbia Variable Portfolio – Select Smaller-Cap Value Fund (Class 3)
Col VP US Govt Mtge, Cl 3	Columbia Variable Portfolio – U.S. Government Mortgage Fund (Class 3) (previously Columbia Variable Portfolio – Short Duration U.S. Government Fund (Class 3))
CS Commodity Return	Credit Suisse Trust – Commodity Return Strategy Portfolio
DWS Alt Asset Alloc VIP, Cl B	DWS Alternative Asset Allocation VIP, Class B
EV VT Floating-Rate Inc	Eaton Vance VT Floating-Rate Income Fund
Fid VIP Contrafund, Serv Cl 2	Fidelity® VIP Contrafund® Portfolio Service Class 2
Fid VIP Gro & Inc, Serv Cl	Fidelity® VIP Growth & Income Portfolio Service Class
Fid VIP Mid Cap, Serv Cl	Fidelity® VIP Mid Cap Portfolio Service Class
Fid VIP Overseas, Serv Cl	Fidelity® VIP Overseas Portfolio Service Class
FTVIPT Frank Global Real Est, Cl 2	FTVIPT Franklin Global Real Estate Securities Fund – Class 2
FTVIPT Frank Sm Cap Val, Cl 2	FTVIPT Franklin Small Cap Value Securities Fund – Class 2
GS VIT Mid Cap Val, Inst	Goldman Sachs VIT Mid Cap Value Fund – Institutional Shares
GS VIT Structd Sm Cap Eq, Inst	Goldman Sachs VIT Structured Small Cap Equity Fund – Institutional Shares
GS VIT Structd U.S. Eq, Inst	Goldman Sachs VIT Structured U.S. Equity Fund – Institutional Shares
Invesco VI Global Hlth, Ser II	Invesco V.I. Global Health Care Fund, Series II Shares
Invesco VI Intl Gro, Ser II	Invesco V.I. International Growth Fund, Series II Shares
Invesco VI Am Fran, Ser I	Invesco V.I. American Franchise Fund, Series I Shares(1) (previously Invesco Van Kampen V.I. American Franchise Fund, Series I Shares)

50  RIVERSOURCE RETIREMENT ADVISOR VARIABLE ANNUITY – BAND 3 – 2012 ANNUAL REPORT

Division	Fund
Invesco VI Comstock, Ser II	Invesco V.I. Comstock Fund, Series II Shares (previously Invesco Van Kampen V.I. Comstock Fund, Series II Shares)
Invesco VI Mid Cap Gro, Ser I	Invesco V.I. Mid Cap Growth Fund, Series I Shares(2) (previously Invesco Van Kampen V.I. Mid Cap Growth Fund, Series I Shares)
Janus Aspen Enterprise, Serv	Janus Aspen Series Enterprise Portfolio: Service Shares
Janus Aspen Global Tech, Serv	Janus Aspen Series Global Technology Portfolio: Service Shares
Janus Aspen Janus, Serv	Janus Aspen Series Janus Portfolio: Service Shares
Janus Aspen Gbl Alloc Mod, Serv	Janus Aspen Series Global Allocation Portfolio – Moderate: Service Shares (previously Janus Aspen Series Moderate Allocation Portfolio: Service Shares)
Janus Aspen Overseas, Serv	Janus Aspen Series Overseas Portfolio: Service Shares
MFS Inv Gro Stock, Serv Cl	MFS® Investors Growth Stock Series – Service Class
MFS New Dis, Serv Cl	MFS® New Discovery Series – Service Class
MFS Utilities, Serv Cl	MFS® Utilities Series – Service Class
MS UIF Global Real Est, Cl II	Morgan Stanley UIF Global Real Estate Portfolio, Class II Shares
MS UIF Mid Cap Gro, Cl II	Morgan Stanley UIF Mid Cap Growth Portfolio, Class II Shares
NB AMT Intl Eq, Cl S	Neuberger Berman Advisers Management Trust International Equity Portfolio (Class S) (previously Neuberger Berman Advisers Management Trust International Portfolio (Class S))
Oppen Global VA, Serv	Oppenheimer Global Fund/VA, Service Shares (previously Oppenheimer Global Securities Fund/VA, Service Shares)
Oppen Global Strategic Inc VA, Srv	Oppenheimer Global Strategic Income Fund/VA, Service Shares
Oppen Main St Sm Cap VA, Serv	Oppenheimer Main Street Small Cap Fund®/VA, Service Shares (previously Oppenheimer Main Street Small- & Mid-Cap Fund®/VA, Service Shares)
PIMCO VIT All Asset, Advisor Cl	PIMCO VIT All Asset Portfolio, Advisor Class
PIMCO VIT Glb Multi-Asset, Advisor Cl	PIMCO VIT Global Multi-Asset Portfolio, Advisor Class
Put VT Multi-Cap Gro, Cl IB	Putnam VT Multi-Cap Growth Fund – Class IB Shares
Royce Micro-Cap, Invest Cl	Royce Capital Fund – Micro-Cap Portfolio, Investment Class
Third Ave Val	Third Avenue Value Portfolio
VP Aggr, Cl 2	Variable Portfolio – Aggressive Portfolio (Class 2)
VP Aggr, Cl 4	Variable Portfolio – Aggressive Portfolio (Class 4)
VP BR Gl Infl Prot Sec, Cl 3	Variable Portfolio – BlackRock Global Inflation-Protected Securities Fund (Class 3) (previously Columbia Variable Portfolio – Global Inflation Protected Securities Fund (Class 3))
VP Conserv, Cl 2	Variable Portfolio – Conservative Portfolio (Class 2)
VP Conserv, Cl 4	Variable Portfolio – Conservative Portfolio (Class 4)
VP Mod, Cl 2	Variable Portfolio – Moderate Portfolio (Class 2)
VP Mod, Cl 4	Variable Portfolio – Moderate Portfolio (Class 4)
VP Mod Aggr, Cl 2	Variable Portfolio – Moderately Aggressive Portfolio (Class 2)
VP Mod Aggr, Cl 4	Variable Portfolio – Moderately Aggressive Portfolio (Class 4)
VP Mod Conserv, Cl 2	Variable Portfolio – Moderately Conservative Portfolio (Class 2)
VP Mod Conserv, Cl 4	Variable Portfolio – Moderately Conservative Portfolio (Class 4)
VP Ptnrs Sm Cap Val, Cl 3	Variable Portfolio – Partners Small Cap Value Fund (Class 3)
VP Sit Divd Gro, Cl 3	Variable Portfolio – Sit Dividend Growth Fund (Class 3) (previously Variable Portfolio – Davis New York Venture Fund (Class 3))
VP Vty Estb Val, Cl 3	Variable Portfolio – Victory Established Value Fund (Class 3) (previously Variable Portfolio – Goldman Sachs Mid Cap Value Fund (Class 3))
Wanger Intl	Wanger International
Wanger USA	Wanger USA
WF Adv VT Index Asset Alloc, Cl 2	Wells Fargo Advantage VT Index Asset Allocation Fund – Class 2
WF Adv VT Intl Eq, Cl 2	Wells Fargo Advantage VT International Equity Fund – Class 2
WF Adv VT Sm Cap Gro, Cl 2	Wells Fargo Advantage VT Small Cap Growth Fund – Class 2

(1)	Invesco V.I. Capital Appreciation Fund, Series I Shares merged into Invesco Van Kampen V.I. Capital Growth Fund, Series I Shares on April 27, 2012. In addition, Invesco Van Kampen V.I. Capital Growth Fund, Series I Shares changed its name to Invesco V.I. American Franchise Fund, Series I Shares.
(2)	Invesco V.I. Capital Development Fund, Series I Shares merged into Invesco V.I. Mid Cap Growth Fund, Series I Shares on April 27, 2012.

The assets of each division of the Account are not chargeable with liabilities arising out of the business conducted by any other segregated asset account or by RiverSource Life.

RiverSource Life serves as issuer of the contract.

2.  SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

Investments in the Funds

Investment transactions are accounted for on the date the shares are purchased and sold. Realized gains and losses on the sales of investments are computed using the average cost method. Income from dividends and gains from realized capital gain distributions are reinvested in additional shares of the Funds and are recorded as income by the divisions on the ex-dividend date.

RIVERSOURCE RETIREMENT ADVISOR VARIABLE ANNUITY – BAND 3 – 2012 ANNUAL REPORT  51

Unrealized appreciation or depreciation of investments in the accompanying financial statements represents the division’s share of the Funds’ undistributed net investment income, undistributed realized gain or loss and the unrealized appreciation or depreciation on their investment securities.

The Account categorizes its fair value measurements according to a three-level hierarchy. This hierarchy prioritizes the inputs used by the Account to value investment securities. A level is assigned to each fair value measurement based on the lowest level input that is significant to the fair value measurement in its entirety. The three levels of the fair value hierarchy are defined as follows:

Level 1 – Unadjusted quoted prices for identical assets or liabilities in active markets that are accessible at the measurement date.

Level 2 – Prices or valuations based on observable inputs other than quoted prices in active markets for identical assets and liabilities.

Level 3 – Prices or valuations that require inputs that are both significant to the fair value measurement and unobservable.

The Funds in the Accounts have been assigned a Level 2 hierarchy, which indicates that the Funds are not considered to be active as there are few daily net asset values released publicly. Investments in shares of the Funds are stated at fair value which is the net asset value per share as determined by the respective Funds. There were no transfers between levels in the period ended Dec. 31, 2012.

Variable Payout

Net assets allocated to contracts in the payout period are periodically compared to a computation which uses the Annuity 2000 Basic Mortality Table and which assumes future mortality improvement. The assumed investment return is 3.5% or 5% based on the annuitant’s election, or as regulated by the laws of the respective states. The mortality risk is fully borne by RiverSource Life and may result in additional amounts being transferred into the variable annuity account by RiverSource Life to cover greater longevity of annuitants than expected. Conversely, if amounts allocated exceed amounts required, transfers may be made to the insurance company.

Federal Income Taxes

RiverSource Life is taxed as a life insurance company. The Account is treated as part of RiverSource Life for federal income tax purposes. Under existing federal income tax law, no income taxes are payable with respect to any investment income of the Account to the extent the earnings are credited under the contracts. Based on this, no charge is being made currently to the Account for federal income taxes. RiverSource Life will review periodically the status of this policy. In the event of changes in the tax law, a charge may be made in future years for any federal income taxes that would be attributable to the contracts.

Subsequent Events

Management has evaluated Account related events and transactions that occurred during the period from the date of the Statements of Assets and Liabilities through April 22, 2013. There were no events or transactions that occurred during the period that materially impacted the amounts or disclosures in the Account’s financial statements.

Use of Estimates

The preparation of financial statements in conformity with U.S. generally accepted accounting principles requires management to make estimates and assumptions that affect the amounts reported in the financial statements. Actual results could differ from those estimates.

3.  VARIABLE ACCOUNT EXPENSES

For RAVA Band 3 contracts, RiverSource Life deducts a daily mortality and expense risk fee equal, on an annual basis, to 0.55% of the average daily net assets of each subaccount. The financial statements include other subaccounts that are not offered through RAVA Band 3 contracts.

4.  CONTRACT CHARGES

RiverSource Life deducts a contract administrative charge of $30 per year on the contract anniversary. This charge reimburses RiverSource Life for expenses incurred in establishing and maintaining the annuity records. Certain products may waive this charge based upon the underlying contract value.

Optional riders are available on this product and if selected, the related fees are deducted annually from the contract value on the contract anniversary. Additional information can be found in the product prospectus.

5.  SURRENDER CHARGES

There is no charge if you surrender all or part of your contract during the accumulation phase.

52  RIVERSOURCE RETIREMENT ADVISOR VARIABLE ANNUITY – BAND 3 – 2012 ANNUAL REPORT

6.  RELATED PARTY TRANSACTIONS

RiverSource Life is a wholly-owned subsidiary of Ameriprise Financial, Inc. (Ameriprise Financial).

The following table reflects fees paid by certain funds to Ameriprise Financial and its affiliates. Additional details about these asset based charges can be found in the respective Fund’s Annual Report.

Fee Agreement:	Fees Paid To:
Investment Management Services Agreement	Columbia Management Investment Advisers, LLC
Administrative Services Agreement	Columbia Management Investment Advisers, LLC
Transfer Agency and Servicing Agreement	Columbia Management Investment Services Corp.
Plan and Agreement of Distribution Pursuant to Rule 12b-1	Columbia Management Investment Distributors, Inc.

7.  INVESTMENT TRANSACTIONS

The divisions’ purchases of Funds’ shares, including reinvestment of dividend distributions, for the year ended Dec. 31, 2012 were as follows:

Division	Purchases
AB VPS Global Thematic Gro, Cl B	$	1,413,582
AB VPS Gro & Inc, Cl B		5,467,512
AB VPS Intl Val, Cl B		8,289,380
AC VP Intl, Cl I		634,768
AC VP Mid Cap Val, Cl II		9,422,552
AC VP Ultra, Cl II		3,332,545
AC VP Val, Cl I		2,198,190
BlackRock Global Alloc, Cl III		11,858,734
Calvert VP SRI Bal		1,770,970
Col VP Bal, Cl 3		8,216,129
Col VP Cash Mgmt, Cl 3		55,999,521
Col VP Div Bond, Cl 3		112,686,963
Col VP Divd Opp, Cl 3		3,881,736
Col VP Emer Mkts, Cl 3		13,381,179
Col VP Global Bond, Cl 3		18,629,114
Col VP Hi Yield Bond, Cl 3		51,977,226
Col VP Inc Opp, Cl 3		42,915,500
Col VP Intl Opp, Cl 3		3,433,572
Col VP Lg Cap Gro, Cl 3		4,765,521
Col VP Lg Core Quan, Cl 3		4,842,830
Col VP Marsico Gro, Cl 1		5,136,680
Col VP Marsico Intl Opp, Cl 2		2,550,875
Col VP Mid Cap Gro Opp, Cl 3		1,350,337
Col VP Mid Cap Val Opp, Cl 3		1,475,299
Col VP S&P 500, Cl 3		11,742,736
Col VP Select Lg Cap Val, Cl 3		4,814,570
Col VP Select Sm Cap Val, Cl 3		1,153,503
Col VP US Govt Mtge, Cl 3		30,959,362
CS Commodity Return		5,637,607
DWS Alt Asset Alloc VIP, Cl B		8,173,703
EV VT Floating-Rate Inc		30,406,652
Fid VIP Contrafund, Serv Cl 2		15,203,101
Fid VIP Gro & Inc, Serv Cl		1,853,689
Fid VIP Mid Cap, Serv Cl		9,210,255
Fid VIP Overseas, Serv Cl		577,111
FTVIPT Frank Global Real Est, Cl 2		3,753,814
FTVIPT Frank Sm Cap Val, Cl 2		4,620,293
GS VIT Mid Cap Val, Inst		2,689,187
GS VIT Structd Sm Cap Eq, Inst		264,754
GS VIT Structd U.S. Eq, Inst		4,534,822
Invesco VI Global Hlth, Ser II		4,564,054
Invesco VI Intl Gro, Ser II		5,845,799
Invesco VI Am Fran, Ser I		15,964,370
Invesco VI Comstock, Ser II		5,485,453
Invesco VI Mid Cap Gro, Ser I		18,019,874
Janus Aspen Enterprise, Serv		362,255
Janus Aspen Global Tech, Serv		1,200,452
Janus Aspen Janus, Serv		4,861,001
Janus Aspen Gbl Alloc Mod, Serv		490,577
Janus Aspen Overseas, Serv		9,044,294
MFS Inv Gro Stock, Serv Cl		8,822,165
MFS New Dis, Serv Cl		6,557,099
MFS Utilities, Serv Cl		26,539,212
MS UIF Global Real Est, Cl II		4,689,188
MS UIF Mid Cap Gro, Cl II		11,899,941
NB AMT Intl Eq, Cl S		1,985,569
Oppen Global VA, Serv		5,935,872
Oppen Global Strategic Inc VA, Srv		70,802,905
Oppen Main St Sm Cap VA, Serv		3,584,451
PIMCO VIT All Asset, Advisor Cl		51,708,833
PIMCO VIT Glb Multi-Asset, Advisor Cl		3,424,713
Put VT Multi-Cap Gro, Cl IB		374,178
Royce Micro-Cap, Invest Cl		798,841
Third Ave Val		301,857
VP Aggr, Cl 2		171,983,055
VP Aggr, Cl 4		20,591,512
VP BR Gl Infl Prot Sec, Cl 3		30,856,531
VP Conserv, Cl 2		408,855,866
VP Conserv, Cl 4		396,192,526
VP Mod, Cl 2		1,371,016,085
VP Mod, Cl 4		182,338,899
VP Mod Aggr, Cl 2		630,544,351
VP Mod Aggr, Cl 4		29,764,066
VP Mod Conserv, Cl 2		619,716,886
VP Mod Conserv, Cl 4		322,714,569
VP Ptnrs Sm Cap Val, Cl 3		2,009,497
VP Sit Divd Gro, Cl 3		1,622,715
VP Vty Estb Val, Cl 3		2,011,135
Wanger Intl		38,034,569
Wanger USA		21,547,151
WF Adv VT Index Asset Alloc, Cl 2		2,216,815
WF Adv VT Intl Eq, Cl 2		5,720,751
WF Adv VT Sm Cap Gro, Cl 2		6,699,178

RIVERSOURCE RETIREMENT ADVISOR VARIABLE ANNUITY – BAND 3 – 2012 ANNUAL REPORT  53

8.  ACCUMULATION UNIT VALUES, UNITS OUTSTANDING AND NET ASSETS

The following is a summary of accumulation unit values at Dec. 31, 2012:

	AB VPS
	Global		AB VPS		AB VPS		AC VP		AC VP
	Thematic Gro,		Gro & Inc,		Intl Val,		Intl,		Mid Cap Val,
Subaccount	Cl B		Cl B		Cl B		Cl I		Cl II
0.55%	$	1.10	$	1.33	$	1.57	$	1.34	$	1.18
0.60%		—		—		—		—		—
0.75%		1.08		1.30		1.53		1.30		1.17
0.85%		1.09		1.17		0.75		—		1.44
0.95%		1.07		1.27		1.50		1.27		1.16
1.00%		1.06		1.38		1.55		—		1.15
1.05%		1.07		1.16		0.74		—		1.43
1.10%		1.07		1.15		0.74		—		1.42
1.15%		—		—		—		—		—
1.20%		1.05		1.35		1.52		—		1.14
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		1.06		1.14		0.73		—		1.41
1.30%		1.06		1.14		0.73		—		1.40
1.35%		—		—		—		—		—
1.40%		—		—		—		—		—
1.45%		1.05		1.13		0.72		—		1.39
1.50%		—		—		—		—		—
1.55%		—		—		—		—		—
1.60%		—		—		—		—		—
1.65%		—		—		—		—		—
1.70%		—		—		—		—		—
1.75%		—		—		—		—		—
1.80%		—		—		—		—		—
1.85%		—		—		—		—		—
1.90%		—		—		—		—		—

54  RIVERSOURCE RETIREMENT ADVISOR VARIABLE ANNUITY – BAND 3 – 2012 ANNUAL REPORT

	AC VP		AC VP		BlackRock				Col VP
	Ultra,		Val,		Global Alloc,		Calvert VP		Bal,
Subaccount	Cl II		Cl I		Cl III		SRI Bal		Cl 3
0.55%	$	1.21	$	2.00	$	1.03	$	1.26	$	1.41
0.60%		—		—		1.03		—		1.04
0.75%		1.20		1.95		1.03		1.22		1.37
0.85%		1.25		—		1.03		—		1.25
0.95%		1.18		1.90		1.03		1.19		1.34
1.00%		1.18		—		1.03		1.35		1.48
1.05%		1.23		—		1.03		—		1.23
1.10%		1.23		—		1.03		—		1.23
1.15%		—		—		1.03		—		1.04
1.20%		1.16		—		1.03		1.33		1.45
1.25%		—		—		—		—		—
1.25%		—		—		—		—		1.22
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		2.02
1.25%		1.21		—		1.03		—		—
1.30%		1.21		—		1.03		—		1.21
1.35%		—		—		1.03		—		1.30
1.40%		—		—		1.03		—		1.30
1.45%		1.20		—		1.03		—		1.20
1.50%		—		—		1.02		—		1.04
1.55%		—		—		1.02		—		1.29
1.60%		—		—		1.02		—		1.29
1.65%		—		—		1.02		—		1.29
1.70%		—		—		1.02		—		1.29
1.75%		—		—		1.02		—		1.29
1.80%		—		—		1.02		—		1.28
1.85%		—		—		1.02		—		1.03
1.90%		—		—		1.02		—		1.03

	Col VP		Col VP		Col VP		Col VP		Col VP
	Cash Mgmt,		Div Bond,		Divd Opp,		Emer Mkts,		Global Bond,
Subaccount	Cl 3		Cl 3		Cl 3		Cl 3		Cl 3
0.55%	$	1.22	$	1.85	$	1.83	$	2.59	$	2.01
0.60%		—		—		—		—		—
0.75%		1.19		1.80		1.80		2.49		1.95
0.85%		1.04		1.40		1.11		1.62		1.42
0.95%		1.16		1.75		1.75		2.43		1.90
1.00%		1.06		1.53		1.77		3.23		1.85
1.05%		1.03		1.38		1.10		1.60		1.40
1.10%		1.02		1.38		1.09		1.60		1.40
1.15%		—		—		—		—		—
1.20%		1.03		1.50		1.72		3.16		1.81
1.25%		—		—		1.68		1.99		—
1.25%		1.01		1.36		1.08		1.58		1.38
1.25%		—		—		—		—		—
1.25%		—		—		—		—		2.02
1.25%		1.26		1.89		—		—		—
1.25%		—		—		—		—		—
1.30%		1.01		1.36		1.08		1.57		1.38
1.35%		—		—		—		—		—
1.40%		—		—		—		—		—
1.45%		1.00		1.35		1.07		1.56		1.37
1.50%		—		—		—		—		—
1.55%		—		—		—		—		—
1.60%		—		—		—		—		—
1.65%		—		—		—		—		—
1.70%		—		—		—		—		—
1.75%		—		—		—		—		—
1.80%		—		—		—		—		—
1.85%		—		—		—		—		—
1.90%		—		—		—		—		—

RIVERSOURCE RETIREMENT ADVISOR VARIABLE ANNUITY – BAND 3 – 2012 ANNUAL REPORT  55

			Col VP		Col VP		Col VP		Col VP
	Col VP		Inc Opp,		Intl Opp,		Lg Cap Gro,		Lg Core Quan,
Subaccount	Hi Yield Bond, Cl 3		Cl 3		Cl 3		Cl 3		Cl 3
0.55%	$	2.20	$	1.82	$	1.11	$	0.76	$	0.97
0.60%		—		—		—		—		—
0.75%		2.15		1.79		1.08		0.75		0.95
0.85%		1.67		1.66		1.12		1.16		1.14
0.95%		2.09		1.76		1.05		0.73		0.92
1.00%		2.22		1.75		1.65		1.18		1.17
1.05%		1.65		1.64		1.11		1.14		1.12
1.10%		1.65		1.64		1.11		1.14		1.12
1.15%		—		—		—		—		—
1.20%		2.18		1.72		1.61		1.15		1.25
1.25%		—		—		—		—		—
1.25%		1.63		—		1.10		—		1.11
1.25%		—		—		—		—		—
1.25%		2.31		—		—		—		—
1.25%		—		—		1.41		—		1.48
1.25%		—		1.62		—		1.13		—
1.30%		1.63		1.61		1.09		1.12		1.11
1.35%		—		—		—		—		—
1.40%		—		—		—		—		—
1.45%		1.61		1.60		1.08		1.11		1.10
1.50%		—		—		—		—		—
1.55%		—		—		—		—		—
1.60%		—		—		—		—		—
1.65%		—		—		—		—		—
1.70%		—		—		—		—		—
1.75%		—		—		—		—		—
1.80%		—		—		—		—		—
1.85%		—		—		—		—		—
1.90%		—		—		—		—		—

			Col VP		Col VP		Col VP
	Col VP		Marsico		Mid Cap		Mid Cap		Col VP
	Marsico Gro,		Intl Opp,		Gro Opp,		Val Opp,		S&P 500,
Subaccount	Cl 1		Cl 2		Cl 3		Cl 3		Cl 3
0.55%	$	1.19	$	0.99	$	1.48	$	1.50	$	1.09
0.60%		—		1.02		—		—		1.02
0.75%		1.17		0.97		1.42		1.48		1.07
0.85%		1.25		1.09		1.22		1.18		1.22
0.95%		1.15		0.96		1.39		1.45		1.04
1.00%		1.15		0.96		1.43		1.45		1.37
1.05%		1.23		1.08		1.21		1.16		1.20
1.10%		1.22		1.07		1.20		1.16		1.20
1.15%		—		1.03		—		—		1.03
1.20%		1.14		0.94		1.40		1.43		1.34
1.25%		—		—		—		—		—
1.25%		—		—		1.19		—		—
1.25%		—		—		1.09		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		1.21		1.06		—		1.15		1.19
1.30%		1.21		1.06		1.19		1.14		1.18
1.35%		—		1.17		—		—		1.34
1.40%		—		1.17		—		—		1.34
1.45%		1.20		1.05		1.18		1.13		1.17
1.50%		—		1.03		—		—		1.02
1.55%		—		1.16		—		—		1.34
1.60%		—		1.16		—		—		1.34
1.65%		—		1.16		—		—		1.33
1.70%		—		1.16		—		—		1.33
1.75%		—		1.16		—		—		1.33
1.80%		—		1.16		—		—		1.33
1.85%		—		1.03		—		—		1.02
1.90%		—		1.03		—		—		1.02

56  RIVERSOURCE RETIREMENT ADVISOR VARIABLE ANNUITY – BAND 3 – 2012 ANNUAL REPORT

	Col VP Select		Col VP Select		Col VP		CS		DWS Alt
	Lg Cap Val,		Sm Cap Val,		US Govt Mtge,		Commodity		Asset Alloc VIP,
Subaccount	Cl 3		Cl 3		Cl 3		Return		Cl B
0.55%	$	1.40	$	1.94	$	1.42	$	0.87	$	1.00
0.60%		—		—		—		—		1.00
0.75%		1.37		1.90		1.38		0.86		1.00
0.85%		1.18		1.17		1.13		0.90		1.00
0.95%		1.35		1.85		1.34		0.85		1.00
1.00%		1.34		1.78		1.17		0.85		1.00
1.05%		1.16		1.16		1.11		0.88		1.00
1.10%		1.16		1.15		1.11		0.88		1.00
1.15%		—		—		—		—		1.00
1.20%		1.32		1.74		1.14		0.83		1.00
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		1.15		1.14		1.10		0.87		1.00
1.30%		1.15		1.14		1.09		0.87		1.00
1.35%		—		—		—		—		1.00
1.40%		—		—		—		—		1.00
1.45%		1.13		1.13		1.08		0.86		1.00
1.50%		—		—		—		—		1.00
1.55%		—		—		—		—		1.00
1.60%		—		—		—		—		1.00
1.65%		—		—		—		—		0.99
1.70%		—		—		—		—		0.99
1.75%		—		—		—		—		0.99
1.80%		—		—		—		—		0.99
1.85%		—		—		—		—		0.99
1.90%		—		—		—		—		0.99

	EV VT		Fid VIP		Fid VIP		Fid VIP		Fid VIP
	Floating-Rate		Contrafund,		Gro & Inc,		Mid Cap,		Overseas,
Subaccount	Inc		Serv Cl 2		Serv Cl		Serv Cl		Serv Cl
0.55%	$	1.28	$	1.20	$	1.29	$	3.99	$	1.24
0.60%		—		1.01		—		—		—
0.75%		1.26		1.19		1.26		3.89		1.21
0.85%		1.25		1.25		—		—		—
0.95%		1.25		1.17		1.23		3.79		1.18
1.00%		1.24		1.17		—		—		—
1.05%		1.24		1.24		—		—		—
1.10%		1.23		1.23		—		—		—
1.15%		—		1.02		—		—		—
1.20%		1.23		1.15		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		1.22		1.22		—		—		—
1.30%		1.22		1.22		—		—		—
1.35%		—		1.32		—		—		—
1.40%		—		1.32		—		—		—
1.45%		1.20		1.21		—		—		—
1.50%		—		1.02		—		—		—
1.55%		—		1.31		—		—		—
1.60%		—		1.31		—		—		—
1.65%		—		1.31		—		—		—
1.70%		—		1.31		—		—		—
1.75%		—		1.31		—		—		—
1.80%		—		1.31		—		—		—
1.85%		—		1.01		—		—		—
1.90%		—		1.01		—		—		—

RIVERSOURCE RETIREMENT ADVISOR VARIABLE ANNUITY – BAND 3 – 2012 ANNUAL REPORT  57

	FTVIPT Frank		FTVIPT Frank		GS VIT		GS VIT Structd		GS VIT Structd
	Global Real Est,		Sm Cap Val,		Mid Cap Val,		Sm Cap Eq,		U.S. Eq,
Subaccount	Cl 2		Cl 2		Inst		Inst		Inst
0.55%	$	2.50	$	2.97	$	3.14	$	2.01	$	1.15
0.60%		—		1.06		—		—		—
0.75%		2.44		2.89		3.06		1.95		1.12
0.85%		0.91		1.28		—		—		1.08
0.95%		2.37		2.82		2.98		1.90		1.09
1.00%		1.77		2.13		2.19		—		1.31
1.05%		0.90		1.26		—		—		1.07
1.10%		0.90		1.26		—		—		1.06
1.15%		—		1.07		—		—		—
1.20%		1.73		2.09		2.15		—		1.28
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		0.88		1.25		—		—		1.05
1.30%		0.89		1.24		—		—		1.05
1.35%		—		1.44		—		—		—
1.40%		—		1.44		—		—		—
1.45%		0.87		1.23		—		—		1.04
1.50%		—		1.07		—		—		—
1.55%		—		1.44		—		—		—
1.60%		—		1.44		—		—		—
1.65%		—		1.43		—		—		—
1.70%		—		1.43		—		—		—
1.75%		—		1.43		—		—		—
1.80%		—		1.43		—		—		—
1.85%		—		1.07		—		—		—
1.90%		—		1.07		—		—		—

	Invesco VI		Invesco VI		Invesco VI		Invesco VI		Invesco VI
	Global Hlth,		Intl Gro,		Am Fran,		Comstock,		Mid Cap Gro,
Subaccount	Ser II		Ser II		Ser I		Ser II		Ser I
0.55%	$	1.32	$	1.49	$	0.97	$	1.45	$	0.98
0.60%		—		—		—		—		—
0.75%		1.30		1.47		0.97		1.42		0.98
0.85%		1.37		1.30		—		1.17		—
0.95%		1.28		1.45		0.97		1.39		0.98
1.00%		1.28		1.44		—		1.39		0.98
1.05%		1.35		1.29		—		1.15		—
1.10%		1.35		1.28		—		1.15		—
1.15%		—		—		—		—		—
1.20%		1.26		1.42		—		1.36		0.97
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		1.33		1.27		—		1.14		—
1.30%		1.33		1.26		—		1.14		—
1.35%		—		—		—		—		—
1.40%		—		—		—		—		—
1.45%		1.32		1.25		—		1.12		—
1.50%		—		—		—		—		—
1.55%		—		—		—		—		—
1.60%		—		—		—		—		—
1.65%		—		—		—		—		—
1.70%		—		—		—		—		—
1.75%		—		—		—		—		—
1.80%		—		—		—		—		—
1.85%		—		—		—		—		—
1.90%		—		—		—		—		—

58  RIVERSOURCE RETIREMENT ADVISOR VARIABLE ANNUITY – BAND 3 – 2012 ANNUAL REPORT

	Janus Aspen		Janus Aspen		Janus Aspen		Janus Aspen		Janus Aspen
	Enterprise,		Global Tech,		Janus,		Gbl Alloc Mod,		Overseas,
Subaccount	Serv		Serv		Serv		Serv		Serv
0.55%	$	0.84	$	0.61	$	1.08	$	1.04	$	1.38
0.60%		—		—		1.01		1.04		—
0.75%		0.82		0.59		1.07		1.04		1.35
0.85%		—		—		1.06		1.04		—
0.95%		0.80		0.58		1.05		1.04		1.31
1.00%		—		1.48		1.05		1.04		2.31
1.05%		—		—		1.05		1.04		—
1.10%		—		—		1.05		1.04		—
1.15%		—		—		1.01		1.04		—
1.20%		—		1.44		1.04		1.04		2.26
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		1.04		1.04		—
1.30%		—		—		1.03		1.03		—
1.35%		—		—		1.27		1.03		—
1.40%		—		—		1.27		1.03		—
1.45%		—		—		1.02		1.03		—
1.50%		—		—		1.01		1.03		—
1.55%		—		—		1.27		1.03		—
1.60%		—		—		1.26		1.03		—
1.65%		—		—		1.26		1.03		—
1.70%		—		—		1.26		1.03		—
1.75%		—		—		1.26		1.03		—
1.80%		—		—		1.26		1.03		—
1.85%		—		—		1.00		1.03		—
1.90%		—		—		1.00		1.03		—

	MFS		MFS		MFS		MS UIF		MS UIF
	Inv Gro Stock,		New Dis,		Utilities,		Global Real Est,		Mid Cap Gro,
Subaccount	Serv Cl		Serv Cl		Serv Cl		Cl II		Cl II
0.55%	$	0.88	$	1.44	$	2.51	$	1.22	$	1.31
0.60%		—		—		1.07		—		0.92
0.75%		0.86		1.41		2.45		1.20		1.29
0.85%		1.33		—		1.70		1.26		1.40
0.95%		0.84		1.37		2.40		1.19		1.28
1.00%		1.31		1.63		2.99		1.19		1.27
1.05%		1.32		—		1.68		1.24		1.39
1.10%		1.31		—		1.67		1.24		1.38
1.15%		—		—		1.07		—		0.93
1.20%		1.28		1.59		2.92		1.17		1.25
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		1.30		—		1.66		1.22		1.37
1.30%		1.30		—		1.65		1.22		1.36
1.35%		—		—		1.37		—		1.23
1.40%		—		—		1.37		—		1.23
1.45%		1.28		—		1.64		1.21		1.35
1.50%		—		—		1.07		—		0.93
1.55%		—		—		1.37		—		1.23
1.60%		—		—		1.37		—		1.23
1.65%		—		—		1.36		—		1.23
1.70%		—		—		1.36		—		1.22
1.75%		—		—		1.36		—		1.22
1.80%		—		—		1.36		—		1.22
1.85%		—		—		1.07		—		0.92
1.90%		—		—		1.07		—		0.92

RIVERSOURCE RETIREMENT ADVISOR VARIABLE ANNUITY – BAND 3 – 2012 ANNUAL REPORT  59

					Oppen
	NB AMT		Oppen		Global		Oppen Main St		PIMCO
	Intl Eq,		Global VA,		Strategic Inc VA,		Sm Cap VA,		VIT All Asset,
Subaccount	Cl S		Serv		Srv		Serv		Advisor Cl
0.55%	$	0.95	$	1.67	$	1.63	$	1.64	$	1.48
0.60%		—		1.06		—		1.03		1.08
0.75%		0.94		1.64		1.60		1.62		1.46
0.85%		1.05		1.25		1.49		1.24		1.48
0.95%		0.93		1.62		1.57		1.59		1.44
1.00%		0.93		1.61		1.57		1.58		1.43
1.05%		1.04		1.24		1.47		1.22		1.46
1.10%		1.04		1.23		1.46		1.22		1.46
1.15%		—		1.08		—		1.03		1.08
1.20%		0.91		1.58		1.54		1.55		1.41
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		1.02		1.22		1.45		1.21		1.45
1.30%		1.02		1.22		1.45		1.20		1.44
1.35%		—		1.28		—		1.37		1.21
1.40%		—		1.28		—		1.37		1.21
1.45%		1.01		1.20		1.43		1.19		1.43
1.50%		—		1.08		—		1.03		1.07
1.55%		—		1.27		—		1.36		1.20
1.60%		—		1.27		—		1.36		1.20
1.65%		—		1.27		—		1.36		1.20
1.70%		—		1.27		—		1.36		1.20
1.75%		—		1.26		—		1.35		1.20
1.80%		—		1.26		—		1.35		1.19
1.85%		—		1.08		—		1.03		1.07
1.90%		—		1.08		—		1.03		1.07

	PIMCO VIT Glb		Put VT		Royce
	Multi-Asset,		Multi-Cap Gro,		Micro-Cap,		Third Ave		VP Aggr,
Subaccount	Advisor Cl		Cl IB		Invest Cl		Val		Cl 2
0.55%	$	1.03	$	1.24	$	3.78	$	2.90	$	1.23
0.60%		1.03		—		—		—		1.02
0.75%		1.03		1.23		3.68		2.83		1.22
0.85%		1.03		—		—		—		1.22
0.95%		1.03		1.23		3.59		2.75		1.21
1.00%		1.03		1.23		—		—		1.21
1.05%		1.03		—		—		—		1.21
1.10%		1.03		—		—		—		1.21
1.15%		1.03		—		—		—		1.03
1.20%		1.03		1.22		—		—		1.20
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		1.03		—		—		—		1.20
1.30%		1.03		—		—		—		1.20
1.35%		1.03		—		—		—		1.25
1.40%		1.03		—		—		—		1.25
1.45%		1.03		—		—		—		1.20
1.50%		1.03		—		—		—		1.02
1.55%		1.03		—		—		—		1.24
1.60%		1.03		—		—		—		1.24
1.65%		1.03		—		—		—		1.24
1.70%		1.03		—		—		—		1.24
1.75%		1.03		—		—		—		1.24
1.80%		1.03		—		—		—		1.23
1.85%		1.03		—		—		—		1.02
1.90%		1.02		—		—		—		1.02

60  RIVERSOURCE RETIREMENT ADVISOR VARIABLE ANNUITY – BAND 3 – 2012 ANNUAL REPORT

			VP BR Gl
	VP Aggr,		Infl Prot Sec,		VP Conserv,		VP Conserv,		VP Mod,
Subaccount	Cl 4		Cl 3		Cl 2		Cl 4		Cl 2
0.55%	$	1.23	$	1.43	$	1.15	$	1.15	$	1.21
0.60%		—		—		1.03		—		1.03
0.75%		1.22		1.41		1.14		1.14		1.20
0.85%		1.22		1.37		1.14		1.14		1.20
0.95%		1.21		1.38		1.14		1.14		1.19
1.00%		1.21		1.38		1.13		1.13		1.19
1.05%		1.21		1.35		1.13		1.13		1.19
1.10%		1.21		1.35		1.13		1.13		1.19
1.15%		—		—		1.03		—		1.03
1.20%		1.21		1.36		1.13		1.13		1.18
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		1.20		1.34		1.13		1.13		1.18
1.30%		1.20		1.33		1.12		1.12		1.18
1.35%		—		—		1.13		—		1.20
1.40%		—		—		1.13		—		1.20
1.45%		1.20		1.32		1.12		1.12		1.18
1.50%		—		—		1.03		—		1.03
1.55%		—		—		1.12		—		1.19
1.60%		—		—		1.12		—		1.19
1.65%		—		—		1.12		—		1.19
1.70%		—		—		1.12		—		1.19
1.75%		—		—		1.12		—		1.19
1.80%		—		—		1.12		—		1.18
1.85%		—		—		1.02		—		1.03
1.90%		—		—		1.02		—		1.03

			VP Mod		VP Mod		VP Mod		VP Mod
	VP Mod,		Aggr,		Aggr,		Conserv,		Conserv,
Subaccount	Cl 4		Cl 2		Cl 4		Cl 2		Cl 4
0.55%	$	1.21	$	1.22	$	1.22	$	1.18	$	1.18
0.60%		—		1.02		—		1.03		—
0.75%		1.20		1.21		1.22		1.17		1.17
0.85%		1.20		1.21		1.21		1.17		1.17
0.95%		1.19		1.21		1.21		1.16		1.17
1.00%		1.19		1.21		1.21		1.16		1.16
1.05%		1.19		1.20		1.21		1.16		1.16
1.10%		1.19		1.20		1.20		1.16		1.16
1.15%		—		1.03		—		1.03		—
1.20%		1.19		1.20		1.20		1.15		1.16
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		1.18		1.20		1.20		1.15		1.16
1.30%		1.18		1.20		1.20		1.15		1.15
1.35%		—		1.22		—		1.16		—
1.40%		—		1.22		—		1.16		—
1.45%		1.18		1.19		1.19		1.15		1.15
1.50%		—		1.03		—		1.03		—
1.55%		—		1.22		—		1.15		—
1.60%		—		1.21		—		1.15		—
1.65%		—		1.21		—		1.15		—
1.70%		—		1.21		—		1.15		—
1.75%		—		1.21		—		1.15		—
1.80%		—		1.21		—		1.15		—
1.85%		—		1.02		—		1.02		—
1.90%		—		1.02		—		1.02		—

RIVERSOURCE RETIREMENT ADVISOR VARIABLE ANNUITY – BAND 3 – 2012 ANNUAL REPORT  61

	VP Ptnrs		VP Sit		VP Vty
	Sm Cap Val,		Divd Gro,		Estb Val,		Wanger		Wanger
Subaccount	Cl 3		Cl 3		Cl 3		Intl		USA
0.55%	$	2.23	$	1.06	$	1.53	$	2.74	$	2.40
0.60%		—		—		—		—		—
0.75%		2.19		1.03		1.51		2.67		2.33
0.85%		1.28		1.06		1.28		1.45		1.33
0.95%		2.14		1.02		1.48		2.60		2.27
1.00%		2.02		1.02		1.47		3.13		2.02
1.05%		1.26		1.05		1.27		1.43		1.31
1.10%		1.26		1.04		1.26		1.43		1.30
1.15%		—		—		—		—		—
1.20%		1.97		1.00		1.45		3.06		1.98
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		1.25		1.03		1.25		1.41		1.29
1.30%		1.24		1.03		1.25		1.41		1.29
1.35%		—		—		—		—		—
1.40%		—		—		—		—		—
1.45%		1.23		1.02		1.23		1.39		1.28
1.50%		—		—		—		—		—
1.55%		—		—		—		—		—
1.60%		—		—		—		—		—
1.65%		—		—		—		—		—
1.70%		—		—		—		—		—
1.75%		—		—		—		—		—
1.80%		—		—		—		—		—
1.85%		—		—		—		—		—
1.90%		—		—		—		—		—

	WF Adv VT
	Index		WF Adv VT		WF Adv VT
	Asset Alloc,		Intl Eq,		Sm Cap Gro,
Subaccount	Cl 2		Cl 2		Cl 2
0.55%	$	1.50	$	1.39	$	1.54
0.60%		—		—		0.93
0.75%		1.47		1.37		1.50
0.85%		—		0.99		1.44
0.95%		1.43		1.34		1.47
1.00%		1.51		1.34		1.69
1.05%		—		0.98		1.43
1.10%		—		0.98		1.42
1.15%		—		—		0.94
1.20%		1.48		1.31		1.65
1.25%		—		—		—
1.25%		—		—		—
1.25%		—		—		—
1.25%		—		—		—
1.25%		—		—		—
1.25%		—		0.97		1.41
1.30%		—		0.97		1.40
1.35%		—		—		1.28
1.40%		—		—		1.28
1.45%		—		0.96		1.39
1.50%		—		—		0.93
1.55%		—		—		1.27
1.60%		—		—		1.27
1.65%		—		—		1.27
1.70%		—		—		1.27
1.75%		—		—		1.27
1.80%		—		—		1.27
1.85%		—		—		0.93
1.90%		—		—		0.93

62  RIVERSOURCE RETIREMENT ADVISOR VARIABLE ANNUITY – BAND 3 – 2012 ANNUAL REPORT

The following is a summary of units outstanding at Dec. 31, 2012:

	AB VPS
	Global		AB VPS		AB VPS		AC VP		AC VP
	Thematic Gro,		Gro & Inc,		Intl Val,		Intl,		Mid Cap Val,
Subaccount	Cl B		Cl B		Cl B		Cl I		Cl II
0.55%		47,683		309,567		855,522		4,117		384,531
0.60%		—		—		—		—		—
0.75%		2,216,887		40,750,041		67,634,824		5,967,768		9,352,831
0.85%		1,953,870		5,897,550		21,668,414		—		6,244,145
0.95%		1,312,985		23,312,082		38,807,106		5,102,357		6,829,709
1.00%		280,277		3,990,778		8,028,296		—		1,069,066
1.05%		767,873		3,962,050		10,348,720		—		3,832,523
1.10%		809,118		1,518,954		8,408,501		—		2,077,223
1.15%		—		—		—		—		—
1.20%		287,542		2,074,475		3,733,909		—		624,806
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		42,216		247,112		910,720		—		323,004
1.30%		214,164		479,648		3,913,760		—		1,168,070
1.35%		—		—		—		—		—
1.40%		—		—		—		—		—
1.45%		12,432		185,159		802,537		—		293,909
1.50%		—		—		—		—		—
1.55%		—		—		—		—		—
1.60%		—		—		—		—		—
1.65%		—		—		—		—		—
1.70%		—		—		—		—		—
1.75%		—		—		—		—		—
1.80%		—		—		—		—		—
1.85%		—		—		—		—		—
1.90%		—		—		—		—		—
Total		7,945,047		82,727,416		165,112,309		11,074,242		32,199,817

RIVERSOURCE RETIREMENT ADVISOR VARIABLE ANNUITY – BAND 3 – 2012 ANNUAL REPORT  63

	AC VP		AC VP		BlackRock				Col
	Ultra,		Val,		Global Alloc,		Calvert VP		VP Bal,
Subaccount	Cl II		Cl I		Cl III		SRI Bal		Cl 3
0.55%		79,804		107,657		102,818		5,335		363,253
0.60%		—		—		—		—		—
0.75%		8,724,370		12,258,207		3,746,033		11,585,009		46,103,152
0.85%		3,236,685		—		1,274,956		—		7,709,063
0.95%		4,871,348		10,633,257		3,225,871		6,095,247		33,359,359
1.00%		1,320,123		—		445,521		1,338,358		4,617,926
1.05%		1,615,743		—		690,517		—		5,159,455
1.10%		557,234		—		235,530		—		2,750,475
1.15%		—		—		—		—		—
1.20%		914,857		—		427,945		582,528		3,268,989
1.25%		—		—		—		—		—
1.25%		—		—		—		—		912,206
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		31,868,000
1.25%		95,760		—		31,427		—		—
1.30%		311,909		—		295,150		—		1,981,635
1.35%		—		—		51,124		—		56,594
1.40%		—		—		149,276		—		177,356
1.45%		88,855		—		37,154		—		518,063
1.50%		—		—		104,408		—		—
1.55%		—		—		78,147		—		151,828
1.60%		—		—		8,002		—		—
1.65%		—		—		38,654		—		9,438
1.70%		—		—		1,372		—		—
1.75%		—		—		25,648		—		—
1.80%		—		—		43,640		—		—
1.85%		—		—		—		—		—
1.90%		—		—		—		—		—
Total		21,816,688		22,999,121		11,013,193		19,606,477		139,006,792

64  RIVERSOURCE RETIREMENT ADVISOR VARIABLE ANNUITY – BAND 3 – 2012 ANNUAL REPORT

	Col VP		Col VP		Col VP		Col VP		Col VP
	Cash Mgmt,		Div Bond,		Divd Opp,		Emer Mkts,		Global Bond,
Subaccount	Cl 3		Cl 3		Cl 3		Cl 3		Cl 3
0.55%		309,005		2,725,685		1,536,493		742,801		1,005,193
0.60%		—		—		—		—		—
0.75%		96,155,048		214,369,217		166,205,293		38,626,842		62,203,574
0.85%		25,596,746		59,211,343		51,118,043		15,792,565		18,657,483
0.95%		61,799,433		156,666,513		99,991,850		22,279,307		48,278,240
1.00%		9,285,919		23,879,551		18,168,705		3,740,817		7,311,355
1.05%		15,606,785		41,229,805		23,548,232		7,512,527		13,496,729
1.10%		8,176,490		18,800,169		13,508,335		5,246,218		5,795,269
1.15%		—		—		—		—		—
1.20%		3,989,735		18,482,203		8,521,616		1,611,161		5,077,018
1.25%		—		—		43,172,225		25,558,843		—
1.25%		4,019,452		3,269,212		2,175,547		661,753		1,175,096
1.25%		—		—		—		—		—
1.25%		—		—		—		—		11,593,981
1.25%		25,726,374		39,760,623		—		—		—
1.25%		—		—		—		—		—
1.30%		3,834,069		12,204,677		6,494,628		2,151,403		4,691,345
1.35%		—		—		—		—		—
1.40%		—		—		—		—		—
1.45%		3,268,407		5,731,336		1,805,463		546,126		1,641,256
1.50%		—		—		—		—		—
1.55%		—		—		—		—		—
1.60%		—		—		—		—		—
1.65%		—		—		—		—		—
1.70%		—		—		—		—		—
1.75%		—		—		—		—		—
1.80%		—		—		—		—		—
1.85%		—		—		—		—		—
1.90%		—		—		—		—		—
Total		257,767,463		596,330,334		436,246,430		124,470,363		180,926,539

RIVERSOURCE RETIREMENT ADVISOR VARIABLE ANNUITY – BAND 3 – 2012 ANNUAL REPORT  65

	Col VP		Col VP		Col VP		Col VP		Col VP
	Hi Yield Bond,		Inc Opp,		Intl Opp,		Lg Cap Gro,		Lg Core Quan,
Subaccount	Cl 3		Cl 3		Cl 3		Cl 3		Cl 3
0.55%		721,710		2,007,072		345,825		1,240,483		508,348
0.60%		—		—		—		—		—
0.75%		82,188,408		46,829,519		26,231,581		88,845,816		160,001,743
0.85%		18,037,566		15,226,500		3,480,133		3,914,100		2,496,887
0.95%		64,191,567		32,890,280		16,902,446		51,318,394		84,368,722
1.00%		6,843,686		5,472,865		1,779,643		4,821,751		8,621,731
1.05%		11,620,183		10,682,543		2,541,620		2,338,126		2,294,565
1.10%		5,322,246		5,368,761		1,324,625		879,304		592,896
1.15%		—		—		—		—		—
1.20%		5,670,719		4,216,670		884,551		2,238,842		3,109,260
1.25%		—		—		—		—		—
1.25%		846,728		—		200,266		—		251,052
1.25%		—		—		—		—		—
1.25%		20,819,594		—		—		—		—
1.25%		—		—		26,996,543		—		79,844,839
1.25%		—		750,417		—		221,419		—
1.30%		3,490,940		3,544,942		781,292		357,047		423,139
1.35%		—		—		—		—		—
1.40%		—		—		—		—		—
1.45%		1,563,058		1,299,445		249,939		188,753		39,606
1.50%		—		—		—		—		—
1.55%		—		—		—		—		—
1.60%		—		—		—		—		—
1.65%		—		—		—		—		—
1.70%		—		—		—		—		—
1.75%		—		—		—		—		—
1.80%		—		—		—		—		—
1.85%		—		—		—		—		—
1.90%		—		—		—		—		—
Total		221,316,405		128,289,014		81,718,464		156,364,035		342,552,788

66  RIVERSOURCE RETIREMENT ADVISOR VARIABLE ANNUITY – BAND 3 – 2012 ANNUAL REPORT

			Col VP		Col VP		Col VP
	Col VP		Marsico		Mid Cap		Mid Cap		Col VP
	Marsico Gro,		Intl Opp,		Gro Opp,		Val Opp,		S&P 500,
Subaccount	Cl 1		Cl 2		Cl 3		Cl 3		Cl 3
0.55%		666,680		502,418		128,072		385,334		209,045
0.60%		—		—		—		—		—
0.75%		55,443,225		15,548,448		22,637,835		20,051,027		57,240,628
0.85%		23,250,017		6,783,385		3,033,850		12,607,592		7,378,978
0.95%		30,586,230		9,259,678		13,009,446		11,045,261		40,265,161
1.00%		5,755,420		2,071,733		1,049,552		2,080,260		4,258,378
1.05%		10,611,642		3,767,428		1,844,728		6,153,407		4,407,474
1.10%		6,801,245		3,160,589		929,257		3,016,884		2,239,546
1.15%		—		7,630		—		—		15,515
1.20%		2,446,330		1,302,061		560,145		1,033,558		2,589,528
1.25%		—		—		—		—		—
1.25%		—		—		106,299		—		—
1.25%		—		—		23,575,695		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		1,074,688		461,509		—		296,907		405,620
1.30%		3,334,962		1,471,565		335,440		1,797,864		1,316,970
1.35%		—		41,769		—		—		93,656
1.40%		—		97,892		—		—		335,221
1.45%		828,685		246,954		91,231		320,018		502,173
1.50%		—		14,318		—		—		32,385
1.55%		—		32,709		—		—		61,635
1.60%		—		3,010		—		—		8,522
1.65%		—		29,998		—		—		14,958
1.70%		—		1,245		—		—		—
1.75%		—		—		—		—		—
1.80%		—		—		—		—		—
1.85%		—		—		—		—		—
1.90%		—		—		—		—		—
Total		140,799,124		44,804,339		67,301,550		58,788,112		121,375,393

RIVERSOURCE RETIREMENT ADVISOR VARIABLE ANNUITY – BAND 3 – 2012 ANNUAL REPORT  67

	Col VP		Col VP
	Select		Select		Col VP		CS		DWS Alt
	Lg Cap Val,		Sm Cap Val,		US Govt Mtge,		Commodity		Asset Alloc VIP,
Subaccount	Cl 3		Cl 3		Cl 3		Return		Cl B
0.55%		204,965		125,857		494,372		624,103		59,840
0.60%		—		—		—		—		—
0.75%		8,169,824		13,295,125		65,849,414		31,770,638		3,246,338
0.85%		2,100,916		1,803,263		20,952,120		8,762,949		632,520
0.95%		4,932,416		8,170,286		52,933,787		21,621,764		2,283,695
1.00%		801,303		1,026,687		7,912,306		5,118,992		128,591
1.05%		1,308,826		1,319,254		10,948,017		6,076,640		649,954
1.10%		461,336		781,372		4,644,677		4,448,646		80,570
1.15%		—		—		—		—		—
1.20%		664,872		451,808		6,553,457		2,125,230		228,045
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		126,698		54,341		1,515,952		497,758		24,200
1.30%		353,810		443,715		4,566,831		2,200,605		561,723
1.35%		—		—		—		—		—
1.40%		—		—		—		—		79,611
1.45%		85,252		81,283		3,166,003		800,182		10,392
1.50%		—		—		—		—		74,760
1.55%		—		—		—		—		17,411
1.60%		—		—		—		—		42,675
1.65%		—		—		—		—		15,856
1.70%		—		—		—		—		—
1.75%		—		—		—		—		1,426
1.80%		—		—		—		—		—
1.85%		—		—		—		—		—
1.90%		—		—		—		—		—
Total		19,210,218		27,552,991		179,536,936		84,047,507		8,137,607

68  RIVERSOURCE RETIREMENT ADVISOR VARIABLE ANNUITY – BAND 3 – 2012 ANNUAL REPORT

	EV VT		Fid VIP		Fid VIP		Fid VIP		Fid VIP
	Floating-Rate		Contrafund,		Gro & Inc,		Mid Cap,		Overseas,
Subaccount	Inc		Serv Cl 2		Serv Cl		Serv Cl		Serv Cl
0.55%		1,489,693		2,280,187		66,692		104,983		15,170
0.60%		—		—		—		—		—
0.75%		67,900,372		135,682,959		23,384,634		15,673,484		8,801,808
0.85%		23,093,148		46,774,910		—		—		—
0.95%		50,814,768		84,137,133		19,404,378		12,400,692		7,128,144
1.00%		9,305,928		16,957,796		—		—		—
1.05%		16,282,323		27,674,955		—		—		—
1.10%		10,749,660		16,892,899		—		—		—
1.15%		—		14,310		—		—		—
1.20%		5,538,304		10,153,147		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		1,779,436		2,959,578		—		—		—
1.30%		7,197,436		10,025,262		—		—		—
1.35%		—		390,698		—		—		—
1.40%		—		341,143		—		—		—
1.45%		3,372,041		2,690,451		—		—		—
1.50%		—		65,508		—		—		—
1.55%		—		157,819		—		—		—
1.60%		—		18,911		—		—		—
1.65%		—		189,688		—		—		—
1.70%		—		61,242		—		—		—
1.75%		—		—		—		—		—
1.80%		—		19,316		—		—		—
1.85%		—		—		—		—		—
1.90%		—		—		—		—		—
Total		197,523,109		357,487,912		42,855,704		28,179,159		15,945,122

RIVERSOURCE RETIREMENT ADVISOR VARIABLE ANNUITY – BAND 3 – 2012 ANNUAL REPORT  69

	FTVIPT Frank		FTVIPT Frank		GS VIT		GS VIT Structd		GS VIT Structd
	Global Real Est,		Sm Cap Val,		Mid Cap Val,		Sm Cap Eq,		U.S. Eq,
Subaccount	Cl 2		Cl 2		Inst		Inst		Inst
0.55%		170,393		301,063		447,635		1,510		546,297
0.60%		—		—		—		—		—
0.75%		31,719,713		22,726,898		42,578,177		1,992,554		61,880,622
0.85%		12,218,110		11,090,271		—		—		5,827,944
0.95%		18,940,997		14,442,864		26,252,910		1,616,863		38,124,303
1.00%		4,469,977		3,648,523		6,579,554		—		5,394,604
1.05%		5,431,212		4,258,479		—		—		3,354,899
1.10%		3,691,122		3,178,262		—		—		1,083,305
1.15%		—		19,542		—		—		—
1.20%		2,434,880		2,056,793		3,718,845		—		2,613,489
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		556,990		259,147		—		—		350,539
1.30%		2,659,142		1,505,126		—		—		601,139
1.35%		—		99,344		—		—		—
1.40%		—		18,780		—		—		—
1.45%		371,019		400,514		—		—		232,250
1.50%		—		30,479		—		—		—
1.55%		—		73,880		—		—		—
1.60%		—		1,794		—		—		—
1.65%		—		24,555		—		—		—
1.70%		—		10,309		—		—		—
1.75%		—		—		—		—		—
1.80%		—		2,804		—		—		—
1.85%		—		—		—		—		—
1.90%		—		—		—		—		—
Total		82,663,555		64,149,427		79,577,121		3,610,927		120,009,391

70  RIVERSOURCE RETIREMENT ADVISOR VARIABLE ANNUITY – BAND 3 – 2012 ANNUAL REPORT

	Invesco VI		Invesco VI		Invesco VI		Invesco VI		Invesco VI
	Global Hlth,		Intl Gro,		Am Fran,		Comstock,		Mid Cap Gro,
Subaccount	Ser II		Ser II		Ser I		Ser II		Ser I
0.55%		116,705		273,472		64,613		669,591		87,030
0.60%		—		—		—		—		—
0.75%		7,227,033		25,580,292		8,150,934		71,033,656		8,633,428
0.85%		3,559,359		10,017,994		—		13,183,521		—
0.95%		4,583,029		17,044,534		5,741,236		35,922,277		6,384,931
1.00%		842,966		2,584,317		—		12,690,225		142,572
1.05%		2,300,125		5,774,332		—		6,137,304		—
1.10%		962,280		3,039,153		—		3,976,173		—
1.15%		—		—		—		—		—
1.20%		341,231		1,078,564		—		5,740,470		152,784
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		84,831		312,842		—		613,831		—
1.30%		498,251		1,385,821		—		2,097,765		—
1.35%		—		—		—		—		—
1.40%		—		—		—		—		—
1.45%		108,057		296,294		—		555,114		—
1.50%		—		—		—		—		—
1.55%		—		—		—		—		—
1.60%		—		—		—		—		—
1.65%		—		—		—		—		—
1.70%		—		—		—		—		—
1.75%		—		—		—		—		—
1.80%		—		—		—		—		—
1.85%		—		—		—		—		—
1.90%		—		—		—		—		—
Total		20,623,867		67,387,615		13,956,783		152,619,927		15,400,745

RIVERSOURCE RETIREMENT ADVISOR VARIABLE ANNUITY – BAND 3 – 2012 ANNUAL REPORT  71

	Janus Aspen		Janus Aspen		Janus Aspen		Janus Aspen		Janus Aspen
	Enterprise,		Global Tech,		Janus,		Gbl Alloc Mod,		Overseas,
Subaccount	Serv		Serv		Serv		Serv		Serv
0.55%		28,442		103,664		386,925		—		268,816
0.60%		—		—		—		—		—
0.75%		11,183,972		17,509,406		17,837,135		252,489		28,306,723
0.85%		—		—		11,784,329		62,601		—
0.95%		5,537,988		10,177,982		10,929,075		59,968		20,795,830
1.00%		—		249,077		1,944,244		—		632,841
1.05%		—		—		4,255,975		26,068		—
1.10%		—		—		2,789,872		1,942		—
1.15%		—		—		13,465		—		—
1.20%		—		96,128		1,062,855		—		317,531
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		320,344		—		—
1.30%		—		—		1,514,312		4,687		—
1.35%		—		—		34,441		—		—
1.40%		—		—		—		14,404		—
1.45%		—		—		519,123		4,855		—
1.50%		—		—		2,967		—		—
1.55%		—		—		17,714		12,107		—
1.60%		—		—		3,435		—		—
1.65%		—		—		2,437		—		—
1.70%		—		—		3,178		—		—
1.75%		—		—		—		—		—
1.80%		—		—		—		—		—
1.85%		—		—		—		—		—
1.90%		—		—		—		—		—
Total		16,750,402		28,136,257		53,421,826		439,121		50,321,741

72  RIVERSOURCE RETIREMENT ADVISOR VARIABLE ANNUITY – BAND 3 – 2012 ANNUAL REPORT

	MFS		MFS		MFS		MS UIF		MS UIF
	Inv Gro Stock,		New Dis,		Utilities,		Global Real Est,		Mid Cap Gro,
Subaccount	Serv Cl		Serv Cl		Serv Cl		Cl II		Cl II
0.55%		211,621		89,045		583,788		314,384		240,566
0.60%		—		—		—		—		—
0.75%		39,848,817		20,046,589		38,539,182		19,517,513		11,635,336
0.85%		2,826,250		—		17,920,103		7,543,623		5,354,974
0.95%		26,338,852		14,560,537		24,762,957		11,520,682		7,546,827
1.00%		2,964,298		1,741,680		3,606,438		3,249,173		1,377,598
1.05%		2,102,065		—		10,094,699		4,276,141		2,511,745
1.10%		1,481,844		—		4,763,323		3,075,686		1,732,466
1.15%		—		—		4,310		—		4,649
1.20%		1,186,591		1,013,652		2,678,840		1,650,514		1,242,191
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		358,690		—		486,443		312,309		221,022
1.30%		526,221		—		3,681,603		1,694,183		1,060,543
1.35%		—		—		174,629		—		53,518
1.40%		—		—		215,335		—		34,713
1.45%		369,000		—		903,259		470,306		214,296
1.50%		—		—		65,749		—		—
1.55%		—		—		140,592		—		18,582
1.60%		—		—		24,767		—		4,988
1.65%		—		—		125,365		—		13,618
1.70%		—		—		59,555		—		6,166
1.75%		—		—		3,158		—		—
1.80%		—		—		18,945		—		456
1.85%		—		—		—		—		—
1.90%		—		—		—		—		—
Total		78,214,249		37,451,503		108,853,040		53,624,514		33,274,254

RIVERSOURCE RETIREMENT ADVISOR VARIABLE ANNUITY – BAND 3 – 2012 ANNUAL REPORT  73

					Oppen Global		Oppen
	NB AMT		Oppen		Strategic		Main St		PIMCO
	Intl Eq,		Global VA,		Inc VA,		Sm Cap VA,		VIT All Asset,
Subaccount	Cl S		Serv		Srv		Serv		Advisor Cl
0.55%		164,925		349,411		3,277,026		360,242		688,294
0.60%		—		—		—		—		—
0.75%		6,765,170		21,565,891		194,916,337		13,917,826		69,811,381
0.85%		3,458,658		8,141,693		57,220,663		6,321,822		23,468,434
0.95%		3,744,081		14,055,037		136,643,662		8,533,728		51,222,920
1.00%		546,170		4,069,630		26,207,721		2,695,903		9,796,225
1.05%		1,517,898		4,489,751		43,698,696		4,034,633		16,929,475
1.10%		1,263,336		2,626,074		21,536,239		2,726,122		9,044,072
1.15%		—		6,068		—		—		—
1.20%		219,716		2,439,840		17,582,458		1,506,396		9,641,703
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		104,157		838,287		3,703,280		339,926		2,305,721
1.30%		536,363		1,486,891		17,181,112		1,572,225		6,952,055
1.35%		—		239,325		—		45,198		440,921
1.40%		—		59,118		—		43,415		184,248
1.45%		80,192		520,405		6,209,735		249,090		3,141,426
1.50%		—		—		—		43,080		350,314
1.55%		—		272,589		—		28,628		300,259
1.60%		—		—		—		2,799		43,356
1.65%		—		23,752		—		7,517		330,618
1.70%		—		2,000		—		1,058		256,355
1.75%		—		—		—		—		1,787
1.80%		—		873		—		2,598		133,351
1.85%		—		—		—		—		—
1.90%		—		—		—		—		—
Total		18,400,666		61,186,635		528,176,929		42,432,206		205,042,915

74  RIVERSOURCE RETIREMENT ADVISOR VARIABLE ANNUITY – BAND 3 – 2012 ANNUAL REPORT

	PIMCO VIT Glb		Put VT		Royce
	Multi-Asset,		Multi-Cap Gro,		Micro-Cap,		Third Ave		VP Aggr,
Subaccount	Advisor Cl		Cl IB		Invest Cl		Val		Cl 2
0.55%		54,456		122,929		30,384		26,847		1,277,384
0.60%		—		—		—		—		—
0.75%		862,798		11,915,844		4,560,269		5,377,145		59,073,594
0.85%		245,601		—		—		—		288,563,918
0.95%		1,075,643		7,461,113		4,108,117		4,998,662		177,549,329
1.00%		58,537		346,762		—		—		5,854,943
1.05%		224,179		—		—		—		11,278,299
1.10%		89,576		—		—		—		30,798,359
1.15%		—		—		—		—		53,240
1.20%		233,334		106,464		—		—		95,227,920
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		1,511,881
1.30%		128,596		—		—		—		11,659,182
1.35%		—		—		—		—		1,196,945
1.40%		123,964		—		—		—		4,221,622
1.45%		—		—		—		—		4,970,206
1.50%		25,396		—		—		—		8,303
1.55%		1,949		—		—		—		799,675
1.60%		6,521		—		—		—		310,087
1.65%		120,906		—		—		—		2,507,678
1.70%		—		—		—		—		197,495
1.75%		—		—		—		—		38,427
1.80%		—		—		—		—		81,683
1.85%		—		—		—		—		—
1.90%		—		—		—		—		—
Total		3,251,456		19,953,112		8,698,770		10,402,654		697,180,170

RIVERSOURCE RETIREMENT ADVISOR VARIABLE ANNUITY – BAND 3 – 2012 ANNUAL REPORT  75

			VP BR Gl
	VP Aggr,		Infl Prot Sec,		VP Conserv,		VP Conserv,		VP Mod,
Subaccount	Cl 4		Cl 3		Cl 2		Cl 4		Cl 2
0.55%		16,381,524		767,757		5,335,099		6,407,599		4,777,895
0.60%		—		—		—		—		492
0.75%		213,296,456		72,376,962		103,582,240		217,500,203		377,699,417
0.85%		569,607,130		18,165,437		179,383,299		632,916,618		1,710,156,106
0.95%		87,969,310		48,159,844		211,588,585		146,040,811		1,323,161,499
1.00%		21,495,873		8,689,592		11,503,617		19,179,338		36,075,035
1.05%		166,109,797		11,600,383		31,545,225		303,501,685		112,004,087
1.10%		109,832,491		5,553,477		33,352,396		191,954,729		188,878,669
1.15%		—		—		81,248		—		317,592
1.20%		5,386,109		6,546,904		160,513,383		18,739,413		983,580,909
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		4,233,122		1,028,763		4,741,228		19,721,725		15,675,299
1.30%		28,893,648		5,535,855		36,267,180		100,315,894		125,044,482
1.35%		—		—		14,119,056		—		30,878,030
1.40%		—		—		12,192,090		—		45,726,396
1.45%		1,462,760		2,237,438		18,371,936		31,090,290		67,842,391
1.50%		—		—		616,476		—		5,877,532
1.55%		—		—		9,334,581		—		18,225,977
1.60%		—		—		4,548,673		—		7,267,591
1.65%		—		—		8,419,290		—		27,189,786
1.70%		—		—		4,523,993		—		5,682,511
1.75%		—		—		1,009,025		—		1,299,528
1.80%		—		—		1,213,163		—		1,234,859
1.85%		—		—		—		—		—
1.90%		—		—		510,167		—		19,711
Total		1,224,668,220		180,662,412		852,751,950		1,687,368,305		5,088,615,794

76  RIVERSOURCE RETIREMENT ADVISOR VARIABLE ANNUITY – BAND 3 – 2012 ANNUAL REPORT

			VP Mod		VP Mod		VP Mod		VP Mod
	VP Mod,		Aggr,		Aggr,		Conserv,		Conserv,
Subaccount	Cl 4		Cl 2		Cl 4		Cl 2		Cl 4
0.55%		17,265,619		1,377,910		24,937,800		1,950,327		4,691,473
0.60%		—		—		—		—		—
0.75%		1,322,145,653		196,987,560		837,812,636		197,628,750		449,176,770
0.85%		3,811,595,820		1,155,593,986		2,256,097,358		429,366,878		1,156,616,671
0.95%		756,579,916		671,792,159		380,336,245		457,929,685		314,235,004
1.00%		145,577,451		16,416,370		75,513,691		18,951,702		51,432,575
1.05%		1,536,120,192		60,473,200		751,540,439		57,974,931		507,073,893
1.10%		1,029,788,435		118,428,584		428,502,841		55,876,735		368,243,911
1.15%		—		17,824		—		139,897		—
1.20%		66,495,345		416,635,932		20,324,933		315,032,749		30,767,910
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		40,535,858		7,742,995		19,791,334		7,326,057		22,396,237
1.30%		404,133,048		55,799,006		123,091,938		57,700,867		193,942,191
1.35%		—		9,398,327		—		19,190,030		—
1.40%		—		13,968,656		—		19,210,885		—
1.45%		32,280,598		32,489,444		7,701,560		26,691,296		35,259,039
1.50%		—		1,516,480		—		2,390,749		—
1.55%		—		3,241,869		—		11,301,698		—
1.60%		—		2,454,425		—		1,843,410		—
1.65%		—		9,748,544		—		8,975,603		—
1.70%		—		595,100		—		3,282,138		—
1.75%		—		56,465		—		3,281,359		—
1.80%		—		572,406		—		1,751,131		—
1.85%		—		—		—		—		—
1.90%		—		35,332		—		213,192		—
Total		9,162,517,935		2,775,342,574		4,925,650,775		1,698,010,069		3,133,835,674

RIVERSOURCE RETIREMENT ADVISOR VARIABLE ANNUITY – BAND 3 – 2012 ANNUAL REPORT  77

	VP Ptnrs		VP Sit		VP Vty
	Sm Cap Val,		Divd Gro,		Estb Val,		Wanger		Wanger
Subaccount	Cl 3		Cl 3		Cl 3		Intl		USA
0.55%		401,651		199,611		124,785		887,059		631,310
0.60%		—		—		—		—		—
0.75%		31,851,272		13,839,575		3,730,955		53,435,508		69,931,848
0.85%		7,960,428		9,483,856		1,529,988		21,094,163		18,922,586
0.95%		16,924,759		7,220,669		2,101,150		32,327,849		43,824,140
1.00%		3,689,236		965,529		366,126		5,939,724		10,444,638
1.05%		3,807,348		3,762,983		1,060,700		11,329,578		9,490,603
1.10%		1,853,811		1,763,755		292,519		5,891,113		5,244,060
1.15%		—		—		—		—		—
1.20%		1,724,886		547,212		218,396		2,671,492		4,290,136
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		230,341		172,947		61,818		716,542		880,529
1.30%		879,998		1,032,528		171,127		2,922,248		2,491,753
1.35%		—		—		—		—		—
1.40%		—		—		—		—		—
1.45%		242,147		269,611		22,141		585,399		479,625
1.50%		—		—		—		—		—
1.55%		—		—		—		—		—
1.60%		—		—		—		—		—
1.65%		—		—		—		—		—
1.70%		—		—		—		—		—
1.75%		—		—		—		—		—
1.80%		—		—		—		—		—
1.85%		—		—		—		—		—
1.90%		—		—		—		—		—
Total		69,565,877		39,258,276		9,679,705		137,800,675		166,631,228

78  RIVERSOURCE RETIREMENT ADVISOR VARIABLE ANNUITY – BAND 3 – 2012 ANNUAL REPORT

	WF Adv VT
	Index		WF Adv VT		WF Adv VT
	Asset Alloc,		Intl Eq,		Sm Cap Gro,
Subaccount	Cl 2		Cl 2		Cl 2
0.55%		117		277,567		136,451
0.60%		—		—		—
0.75%		10,620,621		13,374,158		15,400,145
0.85%		—		7,030,350		6,576,996
0.95%		7,204,352		9,559,519		10,200,863
1.00%		1,316,828		2,144,299		1,790,805
1.05%		—		3,014,014		3,924,664
1.10%		—		1,819,813		1,835,708
1.15%		—		—		4,630
1.20%		522,810		1,221,076		1,006,262
1.25%		—		—		—
1.25%		—		—		—
1.25%		—		—		—
1.25%		—		—		—
1.25%		—		—		—
1.25%		—		194,685		295,083
1.30%		—		1,163,159		968,791
1.35%		—		—		57,160
1.40%		—		—		21,277
1.45%		—		241,263		335,027
1.50%		—		—		36,812
1.55%		—		—		10,564
1.60%		—		—		3,976
1.65%		—		—		32,597
1.70%		—		—		71,041
1.75%		—		—		—
1.80%		—		—		14,752
1.85%		—		—		—
1.90%		—		—		—
Total		19,664,728		40,039,903		42,723,604

RIVERSOURCE RETIREMENT ADVISOR VARIABLE ANNUITY – BAND 3 – 2012 ANNUAL REPORT  79

The following is a summary of net assets at Dec. 31, 2012:

	AB VPS
	Global		AB VPS		AB VPS		AC VP		AC VP
	Thematic Gro,		Gro & Inc,		Intl Val,		Intl,		Mid Cap Val,
Subaccount	Cl B		Cl B		Cl B		Cl I		Cl II
0.55%	$	52,163	$	413,013	$	1,395,244	$	5,511	$	454,372
0.60%		—		—		—		—		—
0.75%		2,424,167		53,172,198		103,767,293		7,822,586		10,931,167
0.85%		2,126,182		6,922,587		16,266,002		—		9,015,718
0.95%		1,398,531		29,775,306		58,316,194		6,484,414		7,934,335
1.00%		297,540		5,513,303		12,472,596		—		1,231,413
1.05%		824,781		4,600,560		7,719,570		—		5,479,216
1.10%		866,576		1,749,647		6,209,255		—		2,950,348
1.15%		—		—		—		—		—
1.20%		300,784		2,817,331		5,685,887		—		711,935
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		44,754		281,777		665,555		—		454,225
1.30%		226,230		545,453		2,852,406		—		1,637,507
1.35%		—		—		—		—		—
1.40%		—		—		—		—		—
1.45%		12,993		208,518		582,576		—		407,972
1.50%		—		—		—		—		—
1.55%		—		—		—		—		—
1.60%		—		—		—		—		—
1.65%		—		—		—		—		—
1.70%		—		—		—		—		—
1.75%		—		—		—		—		—
1.80%		—		—		—		—		—
1.85%		—		—		—		—		—
1.90%		—		—		—		—		—
Total	$	8,574,701	$	105,999,693	$	215,932,578	$	14,312,511	$	41,208,208

80  RIVERSOURCE RETIREMENT ADVISOR VARIABLE ANNUITY – BAND 3 – 2012 ANNUAL REPORT

	AC VP		AC VP		BlackRock				Col VP
	Ultra,		Val,		Global Alloc,		Calvert VP		Bal,
Subaccount	Cl II		Cl I		Cl III		SRI Bal		Cl 3
0.55%	$	96,938	$	215,716	$	106,080	$	6,694	$	785,030
0.60%		—		—		78		—		11
0.75%		10,456,577		24,100,122		3,859,049		14,213,531		63,683,878
0.85%		4,035,093		—		1,312,645		—		9,640,617
0.95%		5,749,164		20,422,747		3,354,068		7,304,695		45,226,089
1.00%		1,552,283		—		458,206		1,812,405		6,932,602
1.05%		1,987,905		—		709,929		—		6,450,150
1.10%		683,406		—		242,065		—		3,383,803
1.15%		—		—		78		—		11
1.20%		1,060,496		—		439,510		771,894		4,748,240
1.25%		—		—		—		—		—
1.25%		—		—		—		—		1,111,438
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		66,441,906
1.25%		116,125		—		32,265		—		—
1.30%		377,477		—		302,914		—		2,406,312
1.35%		—		—		52,450		—		73,518
1.40%		—		—		153,094		—		230,127
1.45%		106,747		—		38,094		—		623,145
1.50%		—		—		107,010		—		10
1.55%		—		—		80,062		—		196,285
1.60%		—		—		8,196		—		13
1.65%		—		—		39,577		—		12,171
1.70%		—		—		1,482		—		13
1.75%		—		—		26,240		—		13
1.80%		—		—		44,634		—		13
1.85%		—		—		78		—		11
1.90%		—		—		78		—		11
Total	$	26,222,211	$	44,738,585	$	11,367,882	$	24,109,219	$	211,945,417

RIVERSOURCE RETIREMENT ADVISOR VARIABLE ANNUITY – BAND 3 – 2012 ANNUAL REPORT  81

	Col VP		Col VP		Col VP		Col VP		Col VP
	Cash Mgmt,		Div Bond,		Divd Opp,		Emer Mkts,		Global Bond,
Subaccount	Cl 3		Cl 3		Cl 3		Cl 3		Cl 3
0.55%	$	377,089	$	5,035,254	$	2,959,537	$	1,980,684	$	2,015,539
0.60%		—		—		—		—		—
0.75%		114,327,466		387,015,391		299,765,989		96,212,976		121,602,968
0.85%		26,636,950		82,908,707		56,875,680		25,634,675		26,531,172
0.95%		71,625,320		275,627,715		175,860,970		54,227,714		91,995,642
1.00%		9,802,959		36,621,148		32,231,369		12,108,496		13,509,917
1.05%		16,030,513		57,020,635		25,883,235		12,075,156		18,943,037
1.10%		8,369,906		25,906,635		14,787,444		8,368,380		8,094,567
1.15%		—		—		—		—		—
1.20%		4,119,402		27,772,752		14,731,192		5,095,666		9,183,218
1.25%		—		—		73,817,525		51,149,235		—
1.25%		4,075,067		4,481,674		2,356,438		1,044,895		1,625,520
1.25%		—		—		—		—		—
1.25%		—		—		—		—		23,756,709
1.25%		32,818,128		76,900,468		—		—		—
1.25%		—		—		—		—		—
1.30%		3,873,542		16,585,411		7,011,439		3,387,145		6,467,129
1.35%		—		—		—		—		—
1.40%		—		—		—		—		—
1.45%		3,270,488		7,723,816		1,930,310		851,517		2,240,700
1.50%		—		—		—		—		—
1.55%		—		—		—		—		—
1.60%		—		—		—		—		—
1.65%		—		—		—		—		—
1.70%		—		—		—		—		—
1.75%		—		—		—		—		—
1.80%		—		—		—		—		—
1.85%		—		—		—		—		—
1.90%		—		—		—		—		—
Total	$	295,326,830	$	1,003,599,606	$	708,211,128	$	272,136,539	$	325,966,118

82  RIVERSOURCE RETIREMENT ADVISOR VARIABLE ANNUITY – BAND 3 – 2012 ANNUAL REPORT

	Col VP		Col VP		Col VP		Col VP		Col VP
	Hi Yield Bond,		Inc Opp,		Intl Opp,		Lg Cap Gro,		Lg Core Quan,
Subaccount	Cl 3		Cl 3		Cl 3		Cl 3		Cl 3
0.55%	$	1,590,202	$	3,647,320	$	383,638	$	944,128	$	495,311
0.60%		—		—		—		—		—
0.75%		176,958,624		83,816,693		28,457,838		66,900,620		152,551,871
0.85%		30,211,040		25,368,581		3,914,416		4,525,185		2,843,872
0.95%		134,843,395		58,024,489		17,949,872		37,546,131		78,932,966
1.00%		15,229,544		9,583,372		2,934,294		5,683,177		10,129,146
1.05%		19,199,196		17,561,434		2,820,387		2,667,977		2,579,820
1.10%		8,777,712		8,781,626		1,464,997		1,010,989		664,387
1.15%		—		—		—		—		—
1.20%		12,569,225		7,265,932		1,426,863		2,589,100		3,889,648
1.25%		—		—		—		—		—
1.25%		1,380,954		—		219,327		—		278,608
1.25%		—		—		—		—		—
1.25%		49,132,937		—		—		—		—
1.25%		—		—		38,700,697		—		120,837,844
1.25%		—		1,215,306		—		249,082		—
1.30%		5,674,045		5,722,603		853,093		400,863		468,036
1.35%		—		—		—		—		—
1.40%		—		—		—		—		—
1.45%		2,516,349		2,165,980		270,186		209,842		43,229
1.50%		—		—		—		—		—
1.55%		—		—		—		—		—
1.60%		—		—		—		—		—
1.65%		—		—		—		—		—
1.70%		—		—		—		—		—
1.75%		—		—		—		—		—
1.80%		—		—		—		—		—
1.85%		—		—		—		—		—
1.90%		—		—		—		—		—
Total	$	458,083,223	$	223,153,336	$	99,395,608	$	122,727,094	$	373,714,738

RIVERSOURCE RETIREMENT ADVISOR VARIABLE ANNUITY – BAND 3 – 2012 ANNUAL REPORT  83

			Col VP		Col VP		Col VP
	Col VP		Marsico		Mid Cap		Mid Cap		Col VP
	Marsico Gro,		Intl Opp,		Gro Opp,		Val Opp,		S&P 500,
Subaccount	Cl 1		Cl 2		Cl 3		Cl 3		Cl 3
0.55%	$	918,146	$	495,721	$	189,438	$	579,492	$	228,365
0.60%		—		78		—		—		10
0.75%		64,884,773		15,159,109		32,346,308		29,610,067		61,723,077
0.85%		28,972,744		7,432,870		3,711,290		14,851,980		8,987,820
0.95%		35,482,559		9,015,599		18,229,079		16,074,232		42,296,253
1.00%		6,621,032		1,983,718		1,502,247		3,025,908		5,843,703
1.05%		13,047,443		4,056,148		2,227,355		7,168,928		5,327,669
1.10%		8,330,813		3,392,006		1,127,960		3,495,910		2,683,659
1.15%		—		7,896		—		—		15,921
1.20%		2,776,892		1,234,317		797,770		1,473,414		3,476,916
1.25%		—		—		—		—		—
1.25%		—		—		126,399		—		—
1.25%		—		—		25,991,463		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		1,303,793		490,433		—		340,612		481,350
1.30%		4,032,128		1,558,895		398,353		2,055,904		1,557,403
1.35%		—		48,981		—		—		125,854
1.40%		—		114,350		—		—		449,866
1.45%		991,937		259,018		107,327		362,358		588,163
1.50%		—		14,778		—		—		33,148
1.55%		—		38,070		—		—		82,410
1.60%		—		3,499		—		—		11,379
1.65%		—		34,827		—		—		19,951
1.70%		—		1,444		—		—		13
1.75%		—		75		—		—		13
1.80%		—		75		—		—		13
1.85%		—		78		—		—		10
1.90%		—		78		—		—		10
Total	$	167,362,260	$	45,342,063	$	86,754,989	$	79,038,805	$	133,932,976

84  RIVERSOURCE RETIREMENT ADVISOR VARIABLE ANNUITY – BAND 3 – 2012 ANNUAL REPORT

	Col VP		Col VP
	Select		Select		Col VP		CS		DWS Alt
	Lg Cap Val,		Sm Cap Val,		US Govt Mtge,		Commodity		Asset Alloc VIP,
Subaccount	Cl 3		Cl 3		Cl 3		Return		Cl B
0.55%	$	286,079	$	244,343	$	702,345	$	614,200	$	59,999
0.60%		—		—		—		—		78
0.75%		11,200,455		25,344,897		91,031,846		27,359,402		3,250,385
0.85%		2,479,669		2,113,613		23,588,949		7,852,304		632,860
0.95%		6,649,209		15,146,989		71,172,777		18,373,511		2,292,645
1.00%		1,074,252		1,824,187		9,246,384		4,330,225		128,525
1.05%		1,526,150		1,526,400		12,206,463		5,429,597		649,394
1.10%		535,613		901,143		5,144,958		3,921,339		80,472
1.15%		—		—		—		—		78
1.20%		875,473		785,381		7,489,185		1,773,985		227,607
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		145,732		62,059		1,663,178		434,591		24,145
1.30%		405,518		505,195		4,992,448		1,914,550		560,254
1.35%		—		—		—		—		78
1.40%		—		—		—		—		79,346
1.45%		96,754		91,568		3,457,431		689,678		10,354
1.50%		—		—		—		—		74,459
1.55%		—		—		—		—		17,336
1.60%		—		—		—		—		42,474
1.65%		—		—		—		—		15,776
1.70%		—		—		—		—		78
1.75%		—		—		—		—		1,496
1.80%		—		—		—		—		78
1.85%		—		—		—		—		78
1.90%		—		—		—		—		78
Total	$	25,274,904	$	48,545,775	$	230,695,964	$	72,693,382	$	8,148,073

RIVERSOURCE RETIREMENT ADVISOR VARIABLE ANNUITY – BAND 3 – 2012 ANNUAL REPORT  85

	EV VT		Fid VIP		Fid VIP		Fid VIP		Fid VIP
	Floating-Rate		Contrafund,		Gro & Inc,		Mid Cap,		Overseas,
Subaccount	Inc		Serv Cl 2		Serv Cl		Serv Cl		Serv Cl
0.55%	$	1,908,711	$	2,743,382	$	86,252	$	434,359	$	18,820
0.60%		—		105		—		—		—
0.75%		85,957,094		161,583,070		29,559,245		61,328,644		10,714,664
0.85%		28,930,671		58,740,715		—		—		—
0.95%		63,544,882		99,036,594		23,892,508		47,518,303		8,507,815
1.00%		11,577,155		19,813,529		—		—		—
1.05%		20,135,212		34,303,613		—		—		—
1.10%		13,247,313		20,848,572		—		—		—
1.15%		—		14,562		—		—		—
1.20%		6,797,886		11,713,484		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		2,171,172		3,632,256		—		—		—
1.30%		8,754,583		12,211,987		—		—		—
1.35%		—		516,176		—		—		—
1.40%		—		449,980		—		—		—
1.45%		4,061,470		3,245,176		—		—		—
1.50%		—		66,492		—		—		—
1.55%		—		207,400		—		—		—
1.60%		—		24,868		—		—		—
1.65%		—		248,669		—		—		—
1.70%		—		80,186		—		—		—
1.75%		—		124		—		—		—
1.80%		—		25,230		—		—		—
1.85%		—		104		—		—		—
1.90%		—		104		—		—		—
Total	$	247,086,149	$	429,506,378	$	53,538,005	$	109,281,306	$	19,241,299

86  RIVERSOURCE RETIREMENT ADVISOR VARIABLE ANNUITY – BAND 3 – 2012 ANNUAL REPORT

	FTVIPT Frank		FTVIPT Frank		GS VIT		GS VIT Structd		GS VIT Structd
	Global Real Est,		Sm Cap Val,		Mid Cap Val,		Sm Cap Eq,		U.S. Eq,
Subaccount	Cl 2		Cl 2		Inst		Inst		Inst
0.55%	$	431,082	$	894,198	$	1,406,809	$	3,025	$	645,071
0.60%		—		84		—		—		—
0.75%		77,361,555		65,853,675		130,878,513		3,897,736		69,800,995
0.85%		11,148,665		14,208,856		—		—		6,308,665
0.95%		45,095,653		40,891,888		78,434,362		3,106,781		41,690,079
1.00%		7,891,910		7,785,678		14,428,876		—		7,081,411
1.05%		4,893,338		5,385,280		—		—		3,598,517
1.10%		3,313,345		4,005,915		—		—		1,153,508
1.15%		—		20,931		—		—		—
1.20%		4,211,912		4,294,371		7,979,698		—		3,356,885
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		490,401		324,074		—		—		369,619
1.30%		2,355,999		1,872,377		—		—		631,906
1.35%		—		143,513		—		—		—
1.40%		—		27,093		—		—		—
1.45%		322,594		494,392		—		—		241,772
1.50%		—		32,561		—		—		—
1.55%		—		106,185		—		—		—
1.60%		—		2,575		—		—		—
1.65%		—		35,206		—		—		—
1.70%		—		14,762		—		—		—
1.75%		—		99		—		—		—
1.80%		—		4,105		—		—		—
1.85%		—		83		—		—		—
1.90%		—		83		—		—		—
Total	$	157,516,454	$	146,397,984	$	233,128,258	$	7,007,542	$	134,878,428

RIVERSOURCE RETIREMENT ADVISOR VARIABLE ANNUITY – BAND 3 – 2012 ANNUAL REPORT  87

	Invesco		Invesco		Invesco VI		Invesco VI		Invesco VI
	VI Global Hlth,		VI Intl Gro,		Am Fran,		Comstock,		Mid Cap Gro,
Subaccount	Ser II		Ser II		Ser I		Ser II		Ser I
0.55%	$	153,767	$	407,299	$	62,763	$	968,182	$	85,212
0.60%		—		—		—		—		—
0.75%		9,402,883		37,601,222		7,928,664		100,919,160		8,488,054
0.85%		4,878,185		13,044,395		—		15,429,724		—
0.95%		5,919,251		24,683,880		5,586,207		50,191,051		6,252,332
1.00%		1,078,798		3,725,857		—		17,623,147		139,167
1.05%		3,110,508		7,421,776		—		7,082,325		—
1.10%		1,297,100		3,893,186		—		4,573,550		—
1.15%		—		—		—		—		—
1.20%		430,835		1,532,488		—		7,842,617		148,933
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		113,170		396,911		—		698,786		—
1.30%		662,815		1,752,240		—		2,381,570		—
1.35%		—		—		—		—		—
1.40%		—		—		—		—		—
1.45%		142,400		373,916		—		623,739		—
1.50%		—		—		—		—		—
1.55%		—		—		—		—		—
1.60%		—		—		—		—		—
1.65%		—		—		—		—		—
1.70%		—		—		—		—		—
1.75%		—		—		—		—		—
1.80%		—		—		—		—		—
1.85%		—		—		—		—		—
1.90%		—		—		—		—		—
Total	$	27,189,712	$	94,833,170	$	13,577,634	$	208,333,851	$	15,113,698

88  RIVERSOURCE RETIREMENT ADVISOR VARIABLE ANNUITY – BAND 3 – 2012 ANNUAL REPORT

	Janus Aspen		Janus Aspen		Janus Aspen		Janus Aspen		Janus Aspen
	Enterprise,		Global Tech,		Janus,		Gbl Alloc Mod,		Overseas,
Subaccount	Serv		Serv		Serv		Serv		Serv
0.55%	$	23,941	$	63,115	$	417,028	$	79	$	371,125
0.60%		—		—		105		79		—
0.75%		9,179,918		10,393,370		19,027,108		262,338		38,143,996
0.85%		—		—		12,491,820		64,997		—
0.95%		4,432,291		6,031,878		11,527,885		62,219		27,520,920
1.00%		—		367,460		2,043,502		79		1,461,997
1.05%		—		—		4,460,502		27,026		—
1.10%		—		—		2,915,773		2,091		—
1.15%		—		—		13,591		79		—
1.20%		—		138,719		1,104,501		79		718,063
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		332,051		79		—
1.30%		—		—		1,564,534		4,929		—
1.35%		—		—		43,834		79		—
1.40%		—		—		126		14,897		—
1.45%		—		—		531,667		5,098		—
1.50%		—		—		3,091		79		—
1.55%		—		—		22,425		12,508		—
1.60%		—		—		4,343		79		—
1.65%		—		—		3,200		79		—
1.70%		—		—		4,116		79		—
1.75%		—		—		121		79		—
1.80%		—		—		121		79		—
1.85%		—		—		103		78		—
1.90%		—		—		103		78		—
Total	$	13,636,150	$	16,994,542	$	56,511,650	$	457,286	$	68,216,101

RIVERSOURCE RETIREMENT ADVISOR VARIABLE ANNUITY – BAND 3 – 2012 ANNUAL REPORT  89

	MFS		MFS		MFS		MS UIF		MS UIF
	Inv Gro Stock,		New Dis,		Utilities,		Global Real Est,		Mid Cap Gro,
Subaccount	Serv Cl		Serv Cl		Serv Cl		Cl II		Cl II
0.55%	$	186,343	$	128,639	$	1,465,605	$	383,851	$	315,048
0.60%		—		—		109		—		73
0.75%		34,245,993		28,264,251		94,900,693		23,524,913		15,046,482
0.85%		3,772,620		—		30,491,295		9,481,303		7,520,576
0.95%		22,123,677		20,069,438		59,560,212		13,730,190		9,624,446
1.00%		3,888,258		2,838,678		10,773,565		3,850,296		1,750,678
1.05%		2,769,380		—		16,954,241		5,338,175		3,481,446
1.10%		1,945,825		—		7,973,516		3,801,469		2,393,600
1.15%		—		—		4,736		—		4,391
1.20%		1,522,784		1,616,508		7,830,089		1,929,736		1,558,065
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		466,455		—		806,391		381,928		315,889
1.30%		682,021		—		6,082,863		2,066,866		1,446,062
1.35%		—		—		240,099		—		66,057
1.40%		—		—		295,923		—		42,789
1.45%		473,573		—		1,478,296		568,302		326,327
1.50%		—		—		70,415		—		73
1.55%		—		—		192,292		—		22,820
1.60%		—		—		33,837		—		6,118
1.65%		—		—		171,004		—		16,683
1.70%		—		—		81,166		—		7,551
1.75%		—		—		4,428		—		87
1.80%		—		—		25,756		—		644
1.85%		—		—		107		—		72
1.90%		—		—		108		—		72
Total	$	72,076,929	$	52,917,514	$	239,436,746	$	65,057,029	$	43,946,049

90  RIVERSOURCE RETIREMENT ADVISOR VARIABLE ANNUITY – BAND 3 – 2012 ANNUAL REPORT

							Oppen
	NB AMT		Oppen		Oppen Global		Main St		PIMCO
	Intl Eq,		Global VA,		Strategic Inc VA,		Sm Cap VA,		VIT All Asset,
Subaccount	Cl S		Serv		Srv		Serv		Advisor Cl
0.55%	$	157,189	$	585,163	$	5,768,183	$	592,539	$	1,111,940
0.60%		—		140		—		81		81
0.75%		6,364,559		35,532,497		312,838,729		22,503,043		101,882,640
0.85%		3,640,760		10,198,586		85,302,068		7,829,319		35,241,402
0.95%		3,495,773		22,790,024		215,826,838		13,606,659		74,208,666
1.00%		505,373		6,545,200		41,117,685		4,259,080		14,023,489
1.05%		1,575,780		5,586,767		64,416,047		4,931,660		24,875,853
1.10%		1,307,971		3,233,778		31,548,538		3,321,517		13,204,894
1.15%		—		6,561		—		80		80
1.20%		200,610		3,865,964		27,126,185		2,337,443		13,626,861
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		107,004		1,022,264		5,390,287		410,185		3,348,332
1.30%		548,057		1,807,401		24,835,624		1,890,633		10,017,718
1.35%		—		305,568		—		62,017		532,627
1.40%		—		75,390		—		59,335		222,311
1.45%		81,077		673,568		9,005,153		296,344		4,548,436
1.50%		—		139		—		44,304		376,390
1.55%		—		346,338		—		38,983		361,059
1.60%		—		122		—		3,902		52,052
1.65%		—		30,103		—		10,210		396,466
1.70%		—		2,653		—		1,532		307,035
1.75%		—		121		—		95		2,228
1.80%		—		1,102		—		3,610		159,317
1.85%		—		139		—		80		80
1.90%		—		139		—		80		80
Total	$	17,984,153	$	92,609,727	$	823,175,337	$	62,202,731	$	298,500,037

RIVERSOURCE RETIREMENT ADVISOR VARIABLE ANNUITY – BAND 3 – 2012 ANNUAL REPORT  91

	PIMCO VIT Glb		Put VT		Royce
	Multi-Asset,		Multi-Cap Gro,		Micro-Cap,		Third Ave		VP Aggr,
Subaccount	Advisor Cl		Cl IB		Invest Cl		Val		Cl 2
0.55%	$	56,336	$	152,462	$	114,981	$	90,596	$	1,571,978
0.60%		78		—		—		—		10
0.75%		891,245		14,746,492		16,833,511		15,350,019		72,013,441
0.85%		253,710		—		—		—		350,929,125
0.95%		1,109,644		9,200,166		14,945,780		13,782,568		215,401,019
1.00%		60,366		425,697		—		—		7,090,270
1.05%		231,104		—		—		—		13,657,307
1.10%		92,311		—		—		—		37,194,018
1.15%		78		—		—		—		54,687
1.20%		240,286		130,110		—		—		114,680,219
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		78		—		—		—		1,818,285
1.30%		132,335		—		—		—		14,001,149
1.35%		78		—		—		—		1,494,331
1.40%		127,494		—		—		—		5,264,494
1.45%		78		—		—		—		5,944,651
1.50%		26,099		—		—		—		8,506
1.55%		2,080		—		—		—		993,487
1.60%		6,696		—		—		—		384,757
1.65%		124,132		—		—		—		3,107,852
1.70%		78		—		—		—		244,444
1.75%		78		—		—		—		47,505
1.80%		78		—		—		—		100,866
1.85%		78		—		—		—		10
1.90%		78		—		—		—		10
Total	$	3,354,618	$	24,654,927	$	31,894,272	$	29,223,183	$	846,002,421

92  RIVERSOURCE RETIREMENT ADVISOR VARIABLE ANNUITY – BAND 3 – 2012 ANNUAL REPORT

			VP BR Gl
	VP Aggr,		Infl Prot Sec,		VP Conserv,		VP Conserv,		VP Mod,
Subaccount	Cl 4		Cl 3		Cl 2		Cl 4		Cl 2
0.55%	$	20,110,483	$	1,096,154	$	6,123,752	$	7,354,806	$	5,761,965
0.60%		—		—		10		—		518
0.75%		260,424,110		101,892,059		118,251,098		248,295,889		453,104,369
0.85%		693,711,671		24,933,616		204,268,746		720,701,292		2,045,954,403
0.95%		106,833,765		66,670,673		240,335,466		165,830,049		1,578,689,077
1.00%		26,073,499		11,978,985		13,046,404		21,751,994		42,984,518
1.05%		201,165,252		15,702,970		35,768,990		343,645,275		133,411,256
1.10%		132,850,704		7,493,760		37,719,666		217,091,468		224,449,884
1.15%		—		—		83,586		—		327,800
1.20%		6,496,695		8,875,351		181,026,303		21,134,145		1,165,449,402
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		5,099,912		1,374,768		5,340,397		22,215,269		18,551,115
1.30%		34,753,600		7,371,980		40,786,519		112,817,384		147,805,361
1.35%		—		—		15,944,885		—		36,969,988
1.40%		—		—		13,753,004		—		54,687,833
1.45%		1,752,625		2,951,171		20,577,945		34,823,516		79,904,915
1.50%		—		—		632,569		—		6,050,866
1.55%		—		—		10,491,792		—		21,718,906
1.60%		—		—		5,105,398		—		8,648,402
1.65%		—		—		9,438,991		—		32,317,771
1.70%		—		—		5,065,167		—		6,745,274
1.75%		—		—		1,128,377		—		1,540,732
1.80%		—		—		1,355,100		—		1,462,385
1.85%		—		—		10		—		10
1.90%		—		—		521,962		—		20,234
Total	$	1,489,272,316	$	250,341,487	$	966,766,137	$	1,915,661,087	$	6,066,556,984

RIVERSOURCE RETIREMENT ADVISOR VARIABLE ANNUITY – BAND 3 – 2012 ANNUAL REPORT  93

			VP Mod		VP Mod		VP Mod		VP Mod
	VP Mod,		Aggr,		Aggr,		Conserv,		Conserv,
Subaccount	Cl 4		Cl 2		Cl 4		Cl 2		Cl 4
0.55%	$	20,838,872	$	2,498,533	$	30,467,381	$	2,292,502	$	5,528,249
0.60%		—		10		—		10		—
0.75%		1,587,109,824		239,024,168		1,018,011,803		231,041,018		526,417,234
0.85%		4,563,662,925		1,398,411,868		2,734,282,596		500,661,486		1,352,067,515
0.95%		903,315,074		811,010,510		459,671,995		532,731,740		366,306,057
1.00%		173,606,423		19,784,702		91,154,963		22,010,628		59,883,526
1.05%		1,828,977,902		73,439,089		905,776,434		67,255,586		589,445,527
1.10%		1,224,625,213		142,330,526		515,809,887		64,712,714		427,542,761
1.15%		—		18,327		—		143,791		—
1.20%		78,853,766		499,323,519		24,398,500		363,826,482		35,622,960
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		48,011,994		9,268,199		23,728,297		8,450,311		25,898,870
1.30%		477,905,023		66,685,084		147,345,675		66,451,267		223,914,353
1.35%		—		11,485,749		—		22,259,085		—
1.40%		—		17,052,364		—		22,258,456		—
1.45%		38,020,513		38,712,903		9,182,204		30,711,722		40,544,991
1.50%		—		1,555,255		—		2,451,020		—
1.55%		—		3,942,837		—		13,046,881		—
1.60%		—		2,981,259		—		2,125,200		—
1.65%		—		11,827,525		—		10,335,492		—
1.70%		—		721,050		—		3,774,558		—
1.75%		—		68,334		—		3,768,998		—
1.80%		—		691,927		—		2,009,101		—
1.85%		—		10		—		10		—
1.90%		—		36,129		—		217,930		—
Total	$	10,944,927,529	$	3,350,869,877	$	5,959,829,735	$	1,972,535,988	$	3,653,172,043

94  RIVERSOURCE RETIREMENT ADVISOR VARIABLE ANNUITY – BAND 3 – 2012 ANNUAL REPORT

	VP Ptnrs		VP Sit		VP Vty
	Sm Cap Val,		Divd Gro,		Estb Val,		Wanger		Wanger
Subaccount	Cl 3		Cl 3		Cl 3		Intl		USA
0.55%	$	896,435	$	210,954	$	191,433	$	2,432,969	$	1,513,271
0.60%		—		—		—		—		—
0.75%		69,854,653		14,323,599		5,622,491		142,896,487		163,441,237
0.85%		10,199,491		10,048,050		1,963,410		30,609,071		25,117,094
0.95%		36,359,154		7,434,301		3,133,410		84,316,094		99,935,965
1.00%		7,438,094		982,524		539,448		18,599,373		21,117,372
1.05%		4,823,142		3,935,126		1,343,707		16,203,566		12,453,316
1.10%		2,337,081		1,838,419		369,312		8,398,547		6,842,722
1.15%		—		—		—		—		—
1.20%		3,402,595		549,604		316,061		8,192,567		8,492,124
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		—		—		—		—		—
1.25%		287,646		178,515		77,231		1,020,620		1,137,693
1.30%		1,094,808		1,062,269		213,193		4,111,788		3,209,333
1.35%		—		—		—		—		—
1.40%		—		—		—		—		—
1.45%		298,325		274,715		27,338		815,753		611,615
1.50%		—		—		—		—		—
1.55%		—		—		—		—		—
1.60%		—		—		—		—		—
1.65%		—		—		—		—		—
1.70%		—		—		—		—		—
1.75%		—		—		—		—		—
1.80%		—		—		—		—		—
1.85%		—		—		—		—		—
1.90%		—		—		—		—		—
Total	$	136,991,424	$	40,838,076	$	13,797,034	$	317,596,835	$	343,871,742

RIVERSOURCE RETIREMENT ADVISOR VARIABLE ANNUITY – BAND 3 – 2012 ANNUAL REPORT  95

	WF Adv VT
	Index		WF Adv VT		WF Adv VT
	Asset Alloc,		Intl Eq,		Sm Cap Gro,
Subaccount	Cl 2		Cl 2		Cl 2
0.55%	$	176	$	386,700	$	209,802
0.60%		—		—		73
0.75%		15,724,831		18,385,063		23,105,968
0.85%		—		7,003,475		9,503,178
0.95%		10,409,983		12,894,875		15,004,520
1.00%		1,986,168		2,869,139		3,027,985
1.05%		—		2,956,643		5,596,650
1.10%		—		1,779,333		2,609,336
1.15%		—		—		4,405
1.20%		771,495		1,604,594		1,664,850
1.25%		—		—		—
1.25%		—		—		—
1.25%		—		—		—
1.25%		—		—		—
1.25%		—		—		—
1.25%		—		188,493		415,339
1.30%		—		1,122,548		1,359,161
1.35%		—		—		73,121
1.40%		—		—		27,184
1.45%		—		230,582		468,715
1.50%		—		—		34,352
1.55%		—		—		13,448
1.60%		—		—		5,055
1.65%		—		—		41,393
1.70%		—		—		90,097
1.75%		—		—		88
1.80%		—		—		18,664
1.85%		—		—		72
1.90%		—		—		72
Total	$	28,892,653	$	49,421,445	$	63,273,528

9.  FINANCIAL HIGHLIGHTS

The table below shows certain financial information regarding the divisions.

	At Dec. 31									For the year ended Dec. 31
		Units		Accumulation unit value				Net assets			Investment		Expense ratio				Total return
		(000s)		lowest to highest(1)				(000s)			income ratio(2)		lowest to highest(3)				lowest to highest(1)(4)
AB VPS Global Thematic Gro, Cl B
2012			7,945		$1.10	to	$1.05		$8,575			—		0.55%	to	1.45%		12.62%		to	11.61%
2011			10,598		$0.97	to	$0.94		$10,183			0.37%		0.55%	to	1.45%		(23.83%	)	to	(24.51%	)
2010			14,008		$1.28	to	$1.24		$17,720			2.09%		0.55%	to	1.45%		17.93%		to	16.88%
2009			16,689		$1.08	to	$1.06		$17,972			—		0.55%	to	1.45%		52.30%		to	50.94%
2008			10,970		$0.71	to	$0.70		$7,758			—		0.55%	to	1.45%		(47.75%	)	to	(48.22%	)
AB VPS Gro & Inc, Cl B
2012			82,727		$1.33	to	$1.13		$106,000			1.33%		0.55%	to	1.45%		16.60%		to	15.55%
2011			96,883		$1.14	to	$0.97		$107,039			1.10%		0.55%	to	1.45%		5.49%		to	4.55%
2010			110,775		$1.08	to	$0.93		$116,597			—		0.55%	to	1.45%		12.18%		to	11.18%
2009			135,762		$0.97	to	$0.84		$127,984			3.51%		0.55%	to	1.45%		19.69%		to	18.62%
2008			166,185		$0.81	to	$0.71		$131,669			1.86%		0.55%	to	1.45%		(41.02%	)	to	(41.55%	)
AB VPS Intl Val, Cl B
2012			165,112		$1.57	to	$0.72		$215,933			1.29%		0.55%	to	1.45%		13.57%		to	12.55%
2011			203,415		$1.38	to	$0.64		$236,221			3.69%		0.55%	to	1.45%		(19.88%	)	to	(20.60%	)
2010			253,176		$1.72	to	$0.81		$369,702			2.33%		0.55%	to	1.45%		3.73%		to	2.80%
2009			524,100		$1.66	to	$0.79		$647,669			0.86%		0.55%	to	1.45%		33.62%		to	32.42%
2008			949,299		$1.24	to	$0.59		$803,095			0.88%		0.55%	to	1.45%		(53.54%	)	to	(53.96%	)
AC VP Intl, Cl I
2012			11,074		$1.34	to	$1.27		$14,313			0.89%		0.55%	to	0.95%		20.49%		to	20.01%
2011			14,469		$1.11	to	$1.06		$15,550			1.49%		0.55%	to	0.95%		(12.52%	)	to	(12.87%	)
2010			19,455		$1.27	to	$1.21		$23,954			2.46%		0.55%	to	0.95%		12.67%		to	12.22%
2009			26,333		$1.13	to	$1.08		$28,827			2.17%		0.55%	to	0.95%		33.03%		to	32.50%
2008			34,033		$0.85	to	$0.82		$28,083			0.87%		0.55%	to	0.95%		(45.13%	)	to	(45.35%	)

96  RIVERSOURCE RETIREMENT ADVISOR VARIABLE ANNUITY – BAND 3 – 2012 ANNUAL REPORT

	At Dec. 31									For the year ended Dec. 31
		Units		Accumulation unit value				Net assets			Investment		Expense ratio				Total return
		(000s)		lowest to highest(1)				(000s)			income ratio(2)		lowest to highest(3)				lowest to highest(1)(4)
AC VP Mid Cap Val, Cl II
2012			32,200		$1.18	to	$1.39		$41,208			1.85%		0.55%	to	1.45%		15.59%		to	14.55%
2011			35,063		$1.02	to	$1.21		$38,863			1.19%		0.55%	to	1.45%		(1.39%	)	to	(2.27%	)
2010			39,383		$1.04	to	$1.24		$44,145			1.31%		0.55%	to	1.45%		18.33%		to	17.26%
2009			204,863		$0.88	to	$1.06		$203,460			3.96%		0.55%	to	1.45%		29.09%		to	27.93%
2008			242,955		$0.68	to	$0.83		$187,536			0.08%		0.55%	to	1.45%		(24.92%	)	to	(25.60%	)
AC VP Ultra, Cl II
2012			21,817		$1.21	to	$1.20		$26,222			—		0.55%	to	1.45%		13.16%		to	12.14%
2011			24,050		$1.07	to	$1.07		$25,618			—		0.55%	to	1.45%		0.31%		to	(0.59%	)
2010			26,550		$1.07	to	$1.08		$28,287			0.36%		0.55%	to	1.45%		15.19%		to	14.15%
2009			28,448		$0.93	to	$0.94		$26,370			0.17%		0.55%	to	1.45%		33.78%		to	32.59%
2008			31,148		$0.69	to	$0.71		$21,629			—		0.55%	to	1.45%		(41.97%	)	to	(42.49%	)
AC VP Val, Cl I
2012			22,999		$2.00	to	$1.90		$44,739			1.89%		0.55%	to	0.95%		13.95%		to	13.49%
2011			27,810		$1.76	to	$1.67		$47,556			2.02%		0.55%	to	0.95%		0.46%		to	0.06%
2010			36,229		$1.75	to	$1.67		$61,756			2.14%		0.55%	to	0.95%		12.80%		to	12.35%
2009			47,184		$1.55	to	$1.49		$71,321			5.85%		0.55%	to	0.95%		19.21%		to	18.73%
2008			116,786		$1.30	to	$1.87		$185,351			2.70%		0.55%	to	1.25%		(27.18%	)	to	(27.69%	)
BlackRock Global Alloc, Cl III
2012			11,013		$1.03	to	$1.02		$11,368			4.15%		0.55%	to	1.90%		2.68%	(9)	to	1.76%	(9)
2011			—		—		—		—			—		—		—		—			—
2010			—		—		—		—			—		—		—		—			—
2009			—		—		—		—			—		—		—		—			—
2008			—		—		—		—			—		—		—		—			—
Calvert VP SRI Bal
2012			19,606		$1.26	to	$1.33		$24,109			1.18%		0.55%	to	1.20%		9.90%		to	9.19%
2011			21,309		$1.14	to	$1.21		$23,915			1.24%		0.55%	to	1.20%		3.99%		to	3.32%
2010			24,838		$1.10	to	$1.17		$26,851			1.37%		0.55%	to	1.20%		11.48%		to	10.76%
2009			28,366		$0.99	to	$1.06		$27,572			2.08%		0.55%	to	1.20%		24.60%		to	23.80%
2008			33,641		$0.79	to	$0.86		$26,299			2.23%		0.55%	to	1.20%		(31.70%	)	to	(32.14%	)
Col VP Bal, Cl 3
2012			139,007		$1.41	to	$1.03		$211,945			—		0.55%	to	1.90%		13.64%		to	3.54%	(9)
2011			156,899		$1.24	to	$1.14		$211,288			—		0.55%	to	1.80%		1.83%		to	0.57%
2010			182,004		$1.22	to	$1.14		$241,934			—		0.55%	to	1.80%		11.91%		to	13.84%	(6)
2009			221,592		$1.09	to	$0.95		$264,041			—		0.55%	to	1.45%		23.55%		to	22.44%
2008			189,680		$0.88	to	$0.78		$194,345			0.26%		0.55%	to	1.45%		(30.30%	)	to	(30.92%	)
Col VP Cash Mgmt, Cl 3
2012			257,767		$1.22	to	$1.00		$295,327			0.01%		0.55%	to	1.45%		(0.53%	)	to	(1.43%	)
2011			335,563		$1.23	to	$1.02		$387,974			0.01%		0.55%	to	1.45%		(0.53%	)	to	(1.42%	)
2010			361,513		$1.23	to	$1.03		$417,463			0.01%		0.55%	to	1.45%		(0.55%	)	to	(1.42%	)
2009			554,428		$1.24	to	$1.04		$644,738			0.07%		0.55%	to	1.45%		(0.41%	)	to	(1.28%	)
2008			1,121,065		$1.25	to	$1.06		$1,315,148			2.24%		0.55%	to	1.45%		1.71%		to	0.81%
Col VP Div Bond, Cl 3
2012			596,330		$1.85	to	$1.35		$1,003,600			3.86%		0.55%	to	1.45%		6.97%		to	6.00%
2011			642,765		$1.73	to	$1.27		$1,017,799			4.49%		0.55%	to	1.45%		6.10%		to	5.14%
2010			773,783		$1.63	to	$1.21		$1,161,761			2.87%		0.55%	to	1.45%		7.73%		to	6.76%
2009			3,271,423		$1.51	to	$1.13		$4,158,300			4.22%		0.55%	to	1.45%		13.79%		to	12.78%
2008			2,911,692		$1.33	to	$1.00		$3,295,541			0.39%		0.55%	to	1.45%		(6.83%	)	to	(7.66%	)
Col VP Divd Opp, Cl 3
2012			436,246		$1.83	to	$1.07		$708,211			—		0.55%	to	1.45%		13.36%		to	12.34%
2011			533,665		$1.62	to	$0.95		$770,563			—		0.55%	to	1.45%		(5.53%	)	to	(6.38%	)
2010			652,140		$1.71	to	$1.02		$1,003,948			—		0.55%	to	1.45%		16.19%		to	15.15%
2009			2,438,726		$1.47	to	$0.88		$2,726,250			—		0.55%	to	1.45%		26.76%		to	25.62%
2008			2,062,785		$1.16	to	$0.70		$1,884,808			0.08%		0.55%	to	1.45%		(40.79%	)	to	(41.32%	)
Col VP Emer Mkts, Cl 3
2012			124,470		$2.59	to	$1.56		$272,137			0.38%		0.55%	to	1.45%		19.93%		to	18.85%
2011			148,254		$2.16	to	$1.31		$272,219			1.14%		0.55%	to	1.45%		(21.45%	)	to	(22.16%	)
2010			179,452		$2.75	to	$1.69		$422,000			1.50%		0.55%	to	1.45%		19.10%		to	18.03%
2009			361,472		$2.31	to	$1.43		$657,161			0.37%		0.55%	to	1.45%		73.13%		to	71.58%
2008			506,028		$1.33	to	$0.83		$518,628			0.68%		0.55%	to	1.45%		(53.96%	)	to	(54.37%	)

RIVERSOURCE RETIREMENT ADVISOR VARIABLE ANNUITY – BAND 3 – 2012 ANNUAL REPORT  97

	At Dec. 31									For the year ended Dec. 31
		Units		Accumulation unit value				Net assets			Investment		Expense ratio				Total return
		(000s)		lowest to highest(1)				(000s)			income ratio(2)		lowest to highest(3)				lowest to highest(1)(4)
Col VP Global Bond, Cl 3
2012			180,927		$2.01	to	$1.37		$325,966			2.65%		0.55%	to	1.45%		5.80%		to	4.84%
2011			208,801		$1.90	to	$1.30		$357,712			2.85%		0.55%	to	1.45%		4.21%		to	3.28%
2010			247,731		$1.82	to	$1.26		$410,469			3.34%		0.55%	to	1.45%		6.00%		to	5.05%
2009			1,026,842		$1.72	to	$1.20		$1,428,993			1.82%		0.55%	to	1.45%		10.77%		to	9.78%
2008			950,255		$1.55	to	$1.09		$1,219,672			6.92%		0.55%	to	1.45%		(0.98%	)	to	(1.87%	)
Col VP Hi Yield Bond, Cl 3
2012			221,316		$2.20	to	$1.61		$458,083			7.32%		0.55%	to	1.45%		15.10%		to	14.06%
2011			242,259		$1.91	to	$1.41		$439,609			8.25%		0.55%	to	1.45%		5.10%		to	4.15%
2010			288,799		$1.82	to	$1.35		$501,482			9.04%		0.55%	to	1.45%		13.34%		to	12.32%
2009			348,000		$1.61	to	$1.21		$537,691			10.21%		0.55%	to	1.45%		53.01%		to	51.64%
2008			373,277		$1.05	to	$0.80		$382,399			0.32%		0.55%	to	1.45%		(25.58%	)	to	(26.25%	)
Col VP Inc Opp, Cl 3
2012			128,289		$1.82	to	$1.60		$223,153			6.55%		0.55%	to	1.45%		14.17%		to	13.14%
2011			131,375		$1.59	to	$1.41		$200,839			9.24%		0.55%	to	1.45%		5.68%		to	4.73%
2010			148,512		$1.51	to	$1.35		$215,637			3.28%		0.55%	to	1.45%		12.43%		to	11.42%
2009			1,240,488		$1.34	to	$1.21		$1,564,362			4.60%		0.55%	to	1.45%		41.61%		to	40.35%
2008			643,014		$0.95	to	$0.86		$575,938			0.18%		0.55%	to	1.45%		(19.25%	)	to	(19.98%	)
Col VP Intl Opp, Cl 3
2012			81,718		$1.11	to	$1.08		$99,396			1.54%		0.55%	to	1.45%		17.06%		to	16.00%
2011			101,842		$0.95	to	$0.93		$106,021			1.34%		0.55%	to	1.45%		(12.90%	)	to	(13.68%	)
2010			124,228		$1.09	to	$1.08		$149,105			1.44%		0.55%	to	1.45%		13.27%		to	12.25%
2009			153,423		$0.96	to	$0.96		$163,378			1.56%		0.55%	to	1.45%		26.84%		to	25.70%
2008			184,146		$0.76	to	$0.77		$156,585			2.35%		0.55%	to	1.45%		(40.76%	)	to	(41.29%	)
Col VP Lg Cap Gro, Cl 3
2012			156,364		$0.76	to	$1.11		$122,727			—		0.55%	to	1.45%		19.49%		to	18.41%
2011			183,234		$0.64	to	$0.94		$120,479			—		0.55%	to	1.45%		(3.76%	)	to	(4.62%	)
2010			218,835		$0.66	to	$0.98		$150,066			—		0.55%	to	1.45%		16.52%		to	15.47%
2009			263,512		$0.57	to	$0.85		$155,168			—		0.55%	to	1.45%		36.24%		to	35.02%
2008			326,510		$0.42	to	$0.63		$141,102			0.30%		0.55%	to	1.45%		(44.65%	)	to	(45.15%	)
Col VP Lg Core Quan, Cl 3
2012			342,553		$0.97	to	$1.10		$373,715			—		0.55%	to	1.45%		13.24%		to	12.22%
2011			398,158		$0.86	to	$0.98		$384,119			—		0.55%	to	1.45%		4.65%		to	3.71%
2010			471,053		$0.82	to	$0.94		$436,202			—		0.55%	to	1.45%		16.69%		to	15.64%
2009			566,618		$0.70	to	$0.81		$452,227			—		0.55%	to	1.45%		23.47%		to	22.36%
2008			685,481		$0.57	to	$0.67		$447,981			0.24%		0.55%	to	1.45%		(42.48%	)	to	(43.00%	)
Col VP Marsico Gro, Cl 1
2012			140,799		$1.19	to	$1.20		$167,362			0.68%		0.55%	to	1.45%		11.62%		to	10.61%
2011			174,067		$1.06	to	$1.08		$185,686			0.29%		0.55%	to	1.45%		(3.17%	)	to	(4.04%	)
2010			211,659		$1.10	to	$1.13		$233,638			0.16%		0.55%	to	1.45%		20.88%		to	19.80%
2009			1,831,327		$0.91	to	$0.94		$1,713,730			0.88%		0.55%	to	1.45%		25.97%		to	24.84%
2008			1,298,131		$0.72	to	$0.75		$963,953			0.35%		0.55%	to	1.45%		(39.78%	)	to	(40.32%	)
Col VP Marsico Intl Opp, Cl 2
2012			44,804		$0.99	to	$1.03		$45,342			0.92%		0.55%	to	1.90%		16.97%		to	2.28%	(9)
2011			56,807		$0.84	to	$1.00		$49,131			0.80%		0.55%	to	1.80%		(16.64%	)	to	(17.68%	)
2010			70,989		$1.01	to	$1.22		$73,764			0.67%		0.55%	to	1.80%		13.11%		to	21.28%	(6)
2009			85,819		$0.89	to	$0.98		$78,882			1.87%		0.55%	to	1.45%		37.19%		to	35.96%
2008			103,623		$0.65	to	$0.72		$69,405			1.37%		0.55%	to	1.45%		(48.77%	)	to	(49.23%	)
Col VP Mid Cap Gro Opp, Cl 3
2012			67,302		$1.48	to	$1.18		$86,755			—		0.55%	to	1.45%		10.65%		to	9.65%
2011			83,645		$1.34	to	$1.07		$98,158			—		0.55%	to	1.45%		(15.54%	)	to	(16.29%	)
2010			100,048		$1.58	to	$1.28		$140,165			—		0.55%	to	1.45%		25.59%		to	24.46%
2009			114,747		$1.26	to	$1.03		$128,719			—		0.55%	to	1.45%		62.51%		to	61.06%
2008			114,373		$0.78	to	$0.64		$78,655			0.02%		0.55%	to	1.45%		(45.15%	)	to	(45.64%	)
Col VP Mid Cap Val Opp, Cl 3
2012			58,788		$1.50	to	$1.13		$79,039			—		0.55%	to	1.45%		17.81%		to	16.75%
2011			74,820		$1.28	to	$0.97		$85,948			—		0.55%	to	1.45%		(8.99%	)	to	(9.81%	)
2010			94,586		$1.40	to	$1.08		$120,176			—		0.55%	to	1.45%		21.84%		to	20.75%
2009			218,176		$1.15	to	$0.89		$220,336			—		0.55%	to	1.45%		40.17%		to	38.91%
2008			315,808		$0.82	to	$0.64		$227,282			—		0.55%	to	1.45%		(45.41%	)	to	(45.90%	)

98  RIVERSOURCE RETIREMENT ADVISOR VARIABLE ANNUITY – BAND 3 – 2012 ANNUAL REPORT

	At Dec. 31									For the year ended Dec. 31
		Units		Accumulation unit value				Net assets			Investment		Expense ratio				Total return
		(000s)		lowest to highest(1)				(000s)			income ratio(2)		lowest to highest(3)				lowest to highest(1)(4)
Col VP S&P 500, Cl 3
2012			121,375		$1.09	to	$1.02		$133,933			—		0.55%	to	1.90%		14.91%		to	2.17%	(9)
2011			134,954		$0.95	to	$1.17		$129,622			—		0.55%	to	1.80%		1.07%		to	(0.18%	)
2010			156,454		$0.94	to	$1.17		$148,693			—		0.55%	to	1.80%		14.08%		to	17.32%	(6)
2009			181,918		$0.83	to	$0.91		$151,756			—		0.55%	to	1.45%		25.31%		to	24.18%
2008			200,311		$0.66	to	$0.73		$133,680			0.08%		0.55%	to	1.45%		(37.44%	)	to	(38.00%	)
Col VP Select Lg Cap Val, Cl 3
2012			19,210		$1.40	to	$1.13		$25,275			—		0.55%	to	1.45%		17.83%		to	16.76%
2011			21,869		$1.18	to	$0.97		$24,666			—		0.55%	to	1.45%		(2.23%	)	to	(3.11%	)
2010			21,862		$1.21	to	$1.00		$25,347			—		0.55%	to	1.45%		19.86%		to	18.78%
2009			13,447		$1.01	to	$0.84		$13,058			—		0.55%	to	1.45%		25.43%		to	24.31%
2008			11,454		$0.81	to	$0.68		$8,932			0.08%		0.55%	to	1.45%		(39.79%	)	to	(40.33%	)
Col VP Select Sm Cap Val, Cl 3
2012			27,553		$1.94	to	$1.13		$48,546			—		0.55%	to	1.45%		17.11%		to	16.05%
2011			33,501		$1.66	to	$0.97		$50,871			—		0.55%	to	1.45%		(9.01%	)	to	(9.83%	)
2010			39,284		$1.82	to	$1.08		$66,465			—		0.55%	to	1.45%		26.10%		to	24.97%
2009			43,222		$1.44	to	$0.86		$59,043			—		0.55%	to	1.45%		39.05%		to	37.81%
2008			51,553		$1.04	to	$0.63		$51,441			—		0.55%	to	1.45%		(38.93%	)	to	(39.48%	)
Col VP US Govt Mtge, Cl 3
2012			179,537		$1.42	to	$1.08		$230,696			0.92%		0.55%	to	1.45%		1.07%		to	0.15%
2011			204,130		$1.41	to	$1.08		$261,927			0.90%		0.55%	to	1.45%		0.83%		to	(0.08%	)
2010			251,534		$1.39	to	$1.08		$321,296			1.01%		0.55%	to	1.45%		2.44%		to	1.52%
2009			275,349		$1.36	to	$1.07		$345,899			3.12%		0.55%	to	1.45%		4.95%		to	4.01%
2008			306,948		$1.30	to	$1.02		$371,939			0.13%		0.55%	to	1.45%		(3.17%	)	to	(4.04%	)
CS Commodity Return
2012			84,048		$0.87	to	$0.86		$72,693			—		0.55%	to	1.45%		(2.63%	)	to	(3.51%	)
2011			99,283		$0.90	to	$0.89		$88,474			2.48%		0.55%	to	1.45%		(13.13%	)	to	(13.91%	)
2010			98,350		$1.03	to	$1.04		$101,183			6.87%		0.55%	to	1.45%		16.02%		to	14.98%
2009			100,553		$0.89	to	$0.90		$89,247			12.32%		0.55%	to	1.45%		18.82%		to	17.75%
2008			78,360		$0.75	to	$0.77		$58,691			1.33%		0.55%	to	1.45%		(34.09%	)	to	(34.69%	)
DWS Alt Asset Alloc VIP, Cl B
2012			8,138		$1.00	to	$0.99		$8,148			—		0.55%	to	1.90%		3.67%	(9)	to	2.73%	(9)
2011			—		—		—		—			—		—		—		—			—
2010			—		—		—		—			—		—		—		—			—
2009			—		—		—		—			—		—		—		—			—
2008			—		—		—		—			—		—		—		—			—
EV VT Floating-Rate Inc
2012			197,523		$1.28	to	$1.20		$247,086			4.20%		0.55%	to	1.45%		6.73%		to	5.78%
2011			214,407		$1.20	to	$1.14		$252,208			4.23%		0.55%	to	1.45%		1.99%		to	1.07%
2010			214,175		$1.18	to	$1.13		$247,939			4.04%		0.55%	to	1.45%		8.52%		to	7.55%
2009			828,278		$1.08	to	$1.05		$884,459			4.79%		0.55%	to	1.45%		43.52%		to	42.23%
2008			581,542		$0.76	to	$0.74		$434,439			5.74%		0.55%	to	1.45%		(27.54%	)	to	(28.19%	)
Fid VIP Contrafund, Serv Cl 2
2012			357,488		$1.20	to	$1.01		$429,506			1.08%		0.55%	to	1.90%		15.50%		to	1.65%	(9)
2011			414,278		$1.04	to	$1.15		$431,773			0.75%		0.55%	to	1.80%		(3.32%	)	to	(4.51%	)
2010			474,193		$1.08	to	$1.20		$512,183			0.82%		0.55%	to	1.80%		16.29%		to	19.27%	(6)
2009			841,696		$0.93	to	$0.95		$791,182			0.94%		0.55%	to	1.45%		34.73%		to	33.52%
2008			1,455,857		$0.69	to	$0.71		$1,023,890			0.96%		0.55%	to	1.45%		(43.01%	)	to	(43.52%	)
Fid VIP Gro & Inc, Serv Cl
2012			42,856		$1.29	to	$1.23		$53,538			2.03%		0.55%	to	0.95%		17.75%		to	17.28%
2011			52,169		$1.10	to	$1.05		$55,469			1.52%		0.55%	to	0.95%		1.02%		to	0.62%
2010			69,940		$1.09	to	$1.04		$73,762			0.56%		0.55%	to	0.95%		14.03%		to	13.58%
2009			91,710		$0.95	to	$0.91		$85,042			0.95%		0.55%	to	0.95%		26.46%		to	25.96%
2008			114,759		$0.75	to	$0.73		$84,337			0.96%		0.55%	to	0.95%		(42.09%	)	to	(42.33%	)
Fid VIP Mid Cap, Serv Cl
2012			28,179		$3.99	to	$3.79		$109,281			0.47%		0.55%	to	0.95%		14.12%		to	13.66%
2011			36,566		$3.50	to	$3.33		$124,443			0.13%		0.55%	to	0.95%		(11.21%	)	to	(11.56%	)
2010			49,947		$3.94	to	$3.77		$191,576			0.24%		0.55%	to	0.95%		28.00%		to	27.49%
2009			68,537		$3.08	to	$2.95		$205,621			0.57%		0.55%	to	0.95%		39.25%		to	38.69%
2008			85,755		$2.21	to	$2.13		$185,298			0.35%		0.55%	to	0.95%		(39.84%	)	to	(40.08%	)

RIVERSOURCE RETIREMENT ADVISOR VARIABLE ANNUITY – BAND 3 – 2012 ANNUAL REPORT  99

	At Dec. 31									For the year ended Dec. 31
		Units		Accumulation unit value				Net assets			Investment		Expense ratio				Total return
		(000s)		lowest to highest(1)				(000s)			income ratio(2)		lowest to highest(3)				lowest to highest(1)(4)
Fid VIP Overseas, Serv Cl
2012			15,945		$1.24	to	$1.18		$19,241			1.72%		0.55%	to	0.95%		19.88%		to	19.40%
2011			20,618		$1.03	to	$0.98		$20,772			1.10%		0.55%	to	0.95%		(17.68%	)	to	(18.01%	)
2010			29,438		$1.26	to	$1.20		$36,025			1.18%		0.55%	to	0.95%		12.37%		to	11.93%
2009			39,541		$1.12	to	$1.07		$43,185			1.97%		0.55%	to	0.95%		25.74%		to	25.24%
2008			50,013		$0.89	to	$0.86		$43,461			2.20%		0.55%	to	0.95%		(44.17%	)	to	(44.40%	)
FTVIPT Frank Global Real Est, Cl 2
2012			82,664		$2.50	to	$0.87		$157,516			—		0.55%	to	1.45%		26.71%		to	25.57%
2011			92,121		$1.97	to	$0.69		$141,422			7.84%		0.55%	to	1.45%		(6.17%	)	to	(7.01%	)
2010			103,135		$2.10	to	$0.74		$172,609			2.86%		0.55%	to	1.45%		20.31%		to	19.23%
2009			119,954		$1.75	to	$0.62		$170,847			12.90%		0.55%	to	1.45%		18.43%		to	17.37%
2008			143,021		$1.48	to	$0.53		$177,416			1.02%		0.55%	to	1.45%		(42.71%	)	to	(43.22%	)
FTVIPT Frank Sm Cap Val, Cl 2
2012			64,149		$2.97	to	$1.07		$146,398			0.78%		0.55%	to	1.90%		17.74%		to	6.72%	(9)
2011			78,144		$2.52	to	$1.23		$153,562			0.71%		0.55%	to	1.80%		(4.29%	)	to	(5.47%	)
2010			91,828		$2.64	to	$1.30		$193,362			0.75%		0.55%	to	1.80%		27.52%		to	29.36%	(6)
2009			108,899		$2.07	to	$0.88		$183,264			1.66%		0.55%	to	1.45%		28.45%		to	27.30%
2008			128,040		$1.61	to	$0.69		$173,195			1.15%		0.55%	to	1.45%		(33.38%	)	to	(33.98%	)
GS VIT Mid Cap Val, Inst
2012			79,577		$3.14	to	$2.15		$233,128			1.09%		0.55%	to	1.20%		17.82%		to	17.05%
2011			99,503		$2.67	to	$1.83		$248,014			0.70%		0.55%	to	1.20%		(6.89%	)	to	(7.49%	)
2010			122,523		$2.86	to	$1.98		$328,204			0.65%		0.55%	to	1.20%		24.32%		to	23.51%
2009			151,389		$2.30	to	$1.60		$326,736			1.73%		0.55%	to	1.20%		32.42%		to	31.56%
2008			191,346		$1.74	to	$1.22		$312,184			0.90%		0.55%	to	1.20%		(37.40%	)	to	(37.80%	)
GS VIT Structd Sm Cap Eq, Inst
2012			3,611		$2.01	to	$1.90		$7,008			1.10%		0.55%	to	0.95%		12.21%		to	11.76%
2011			4,520		$1.79	to	$1.70		$7,834			0.70%		0.55%	to	0.95%		0.12%		to	(0.27%	)
2010			6,309		$1.79	to	$1.71		$10,932			0.52%		0.55%	to	0.95%		29.40%		to	28.89%
2009			7,754		$1.38	to	$1.32		$10,406			1.14%		0.55%	to	0.95%		26.97%		to	26.47%
2008			9,648		$1.09	to	$1.05		$10,223			0.58%		0.55%	to	0.95%		(34.38%	)	to	(34.65%	)
GS VIT Structd U.S. Eq, Inst
2012			120,009		$1.15	to	$1.04		$134,878			1.72%		0.55%	to	1.45%		13.83%		to	12.81%
2011			141,994		$1.01	to	$0.92		$140,631			1.62%		0.55%	to	1.45%		3.48%		to	2.55%
2010			174,647		$0.98	to	$0.90		$167,514			1.40%		0.55%	to	1.45%		12.22%		to	11.22%
2009			210,015		$0.87	to	$0.81		$180,207			1.98%		0.55%	to	1.45%		20.48%		to	19.40%
2008			255,182		$0.72	to	$0.68		$182,460			1.39%		0.55%	to	1.45%		(37.35%	)	to	(37.91%	)
Invesco VI Global Hlth, Ser II
2012			20,624		$1.32	to	$1.32		$27,190			—		0.55%	to	1.45%		19.94%		to	18.86%
2011			21,100		$1.10	to	$1.11		$23,253			—		0.55%	to	1.45%		3.16%		to	2.23%
2010			20,785		$1.07	to	$1.08		$22,251			—		0.55%	to	1.45%		4.43%		to	3.49%
2009			22,760		$1.02	to	$1.05		$23,381			0.13%		0.55%	to	1.45%		26.69%		to	25.56%
2008			21,604		$0.81	to	$0.83		$17,564			—		0.55%	to	1.45%		(29.17%	)	to	(29.81%	)
Invesco VI Intl Gro, Ser II
2012			67,388		$1.49	to	$1.25		$94,833			1.26%		0.55%	to	1.45%		14.62%		to	13.59%
2011			78,213		$1.30	to	$1.10		$96,505			1.20%		0.55%	to	1.45%		(7.50%	)	to	(8.33%	)
2010			90,302		$1.40	to	$1.20		$121,171			0.57%		0.55%	to	1.45%		11.99%		to	10.99%
2009			668,344		$1.25	to	$1.08		$767,971			1.54%		0.55%	to	1.45%		34.17%		to	32.97%
2008			537,767		$0.93	to	$0.81		$461,509			0.72%		0.55%	to	1.45%		(40.87%	)	to	(41.40%	)
Invesco VI Am Fran, Ser I
2012			13,957		$0.97	to	$0.97		$13,578			—		0.55%	to	0.95%		(2.86%	)(8)	to	(3.13%	)(8)
2011			—		—		—		—			—		—		—		—			—
2010			—		—		—		—			—		—		—		—			—
2009			—		—		—		—			—		—		—		—			—
2008			—		—		—		—			—		—		—		—			—
Invesco VI Comstock, Ser II
2012			152,620		$1.45	to	$1.12		$208,334			1.46%		0.55%	to	1.45%		18.27%		to	17.21%
2011			184,225		$1.22	to	$0.96		$213,630			1.37%		0.55%	to	1.45%		(2.64%	)	to	(3.51%	)
2010			214,858		$1.26	to	$0.99		$257,010			0.22%		0.55%	to	1.45%		15.06%		to	14.03%
2009			700,428		$1.09	to	$0.87		$681,301			4.57%		0.55%	to	1.45%		27.70%		to	26.56%
2008			890,312		$0.85	to	$0.69		$681,107			2.13%		0.55%	to	1.45%		(36.15%	)	to	(36.73%	)

100  RIVERSOURCE RETIREMENT ADVISOR VARIABLE ANNUITY – BAND 3 – 2012 ANNUAL REPORT

	At Dec. 31									For the year ended Dec. 31
		Units		Accumulation unit value				Net assets			Investment		Expense ratio				Total return
		(000s)		lowest to highest(1)				(000s)			income ratio(2)		lowest to highest(3)				lowest to highest(1)(4)
Invesco VI Mid Cap Gro, Ser I
2012			15,401		$0.98	to	$0.97		$15,114			—		0.55%	to	1.20%		(2.09%	)(8)	to	(2.52%	)(8)
2011			—		—		—		—			—		—		—		—			—
2010			—		—		—		—			—		—		—		—			—
2009			—		—		—		—			—		—		—		—			—
2008			—		—		—		—			—		—		—		—			—
Janus Aspen Enterprise, Serv
2012			16,750		$0.84	to	$0.80		$13,636			—		0.55%	to	0.95%		16.34%		to	15.88%
2011			20,139		$0.72	to	$0.69		$14,127			—		0.55%	to	0.95%		(2.19%	)	to	(2.58%	)
2010			25,642		$0.74	to	$0.71		$18,425			—		0.55%	to	0.95%		24.83%		to	24.34%
2009			31,734		$0.59	to	$0.57		$18,312			—		0.55%	to	0.95%		43.65%		to	43.08%
2008			38,478		$0.41	to	$0.40		$15,504			0.06%		0.55%	to	0.95%		(44.17%	)	to	(44.39%	)
Janus Aspen Global Tech, Serv
2012			28,136		$0.61	to	$1.44		$16,995			—		0.55%	to	1.20%		18.49%		to	17.72%
2011			34,118		$0.51	to	$1.23		$17,445			—		0.55%	to	1.20%		(9.16%	)	to	(9.75%	)
2010			43,886		$0.57	to	$1.36		$24,760			—		0.55%	to	1.20%		23.71%		to	22.91%
2009			47,873		$0.46	to	$1.11		$21,824			—		0.55%	to	1.20%		56.04%		to	55.03%
2008			41,022		$0.29	to	$0.71		$11,998			0.09%		0.55%	to	1.20%		(44.28%	)	to	(44.64%	)
Janus Aspen Janus, Serv
2012			53,422		$1.08	to	$1.00		$56,512			0.43%		0.55%	to	1.90%		17.63%		to	0.98%	(9)
2011			64,496		$0.92	to	$1.08		$58,202			0.43%		0.55%	to	1.80%		(6.06%	)	to	(7.23%	)
2010			85,313		$0.98	to	$1.17		$82,233			0.05%		0.55%	to	1.80%		13.63%		to	16.30%	(6)
2009			1,711,481		$0.86	to	$0.84		$1,454,728			0.38%		0.55%	to	1.45%		35.27%		to	34.06%
2008			1,226,178		$0.63	to	$0.63		$773,445			0.64%		0.55%	to	1.45%		(40.20%	)	to	(40.74%	)
Janus Aspen Gbl Alloc Mod, Serv
2012			439		$1.04	to	$1.03		$457			3.67%		0.55%	to	1.90%		3.40%	(9)	to	2.47%	(9)
2011			—		—		—		—			—		—		—		—			—
2010			—		—		—		—			—		—		—		—			—
2009			—		—		—		—			—		—		—		—			—
2008			—		—		—		—			—		—		—		—			—
Janus Aspen Overseas, Serv
2012			50,322		$1.38	to	$2.26		$68,216			0.58%		0.55%	to	1.20%		12.56%		to	11.83%
2011			70,950		$1.23	to	$2.02		$85,783			0.38%		0.55%	to	1.20%		(32.71%	)	to	(33.14%	)
2010			97,399		$1.82	to	$3.02		$175,076			0.53%		0.55%	to	1.20%		24.33%		to	23.53%
2009			110,781		$1.47	to	$2.45		$160,461			0.41%		0.55%	to	1.20%		78.09%		to	76.94%
2008			126,355		$0.82	to	$1.38		$103,231			1.14%		0.55%	to	1.20%		(52.49%	)	to	(52.80%	)
MFS Inv Gro Stock, Serv Cl
2012			78,214		$0.88	to	$1.28		$72,077			0.22%		0.55%	to	1.45%		16.04%		to	15.00%
2011			89,086		$0.76	to	$1.12		$70,257			0.26%		0.55%	to	1.45%		(0.18%	)	to	(1.07%	)
2010			105,423		$0.76	to	$1.13		$82,960			0.29%		0.55%	to	1.45%		11.54%		to	10.54%
2009			125,305		$0.68	to	$1.02		$88,112			0.42%		0.55%	to	1.45%		38.33%		to	37.09%
2008			119,103		$0.49	to	$0.74		$60,178			0.30%		0.55%	to	1.45%		(37.33%	)	to	(37.89%	)
MFS New Dis, Serv Cl
2012			37,452		$1.44	to	$1.59		$52,918			—		0.55%	to	1.20%		20.23%		to	19.45%
2011			47,312		$1.20	to	$1.34		$55,683			—		0.55%	to	1.20%		(10.98%	)	to	(11.56%	)
2010			47,235		$1.35	to	$1.51		$62,698			—		0.55%	to	1.20%		35.20%		to	34.32%
2009			53,217		$1.00	to	$1.12		$52,365			—		0.55%	to	1.20%		62.03%		to	60.98%
2008			59,531		$0.62	to	$0.70		$36,303			—		0.55%	to	1.20%		(39.85%	)	to	(40.24%	)
MFS Utilities, Serv Cl
2012			108,853		$2.51	to	$1.07		$239,437			6.35%		0.55%	to	1.90%		12.59%		to	5.78%	(9)
2011			121,680		$2.23	to	$1.22		$241,229			3.03%		0.55%	to	1.80%		5.92%		to	4.61%
2010			121,459		$2.11	to	$1.17		$229,995			3.10%		0.55%	to	1.80%		12.89%		to	15.70%	(6)
2009			139,628		$1.86	to	$1.25		$236,943			4.76%		0.55%	to	1.45%		32.14%		to	30.96%
2008			163,177		$1.41	to	$0.95		$212,724			1.35%		0.55%	to	1.45%		(38.15%	)	to	(38.71%	)
MS UIF Global Real Est, Cl II
2012			53,625		$1.22	to	$1.21		$65,057			0.55%		0.55%	to	1.45%		29.23%		to	28.07%
2011			61,296		$0.94	to	$0.94		$57,824			3.34%		0.55%	to	1.45%		(10.64%	)	to	(11.44%	)
2010			69,097		$1.06	to	$1.07		$73,116			9.13%		0.55%	to	1.45%		21.65%		to	20.56%
2009			299,590		$0.87	to	$0.88		$264,522			0.02%		0.55%	to	1.45%		40.64%		to	39.38%
2008			382,715		$0.62	to	$0.63		$241,004			2.66%		0.55%	to	1.45%		(44.65%	)	to	(45.15%	)

RIVERSOURCE RETIREMENT ADVISOR VARIABLE ANNUITY – BAND 3 – 2012 ANNUAL REPORT  101

	At Dec. 31									For the year ended Dec. 31
		Units		Accumulation unit value				Net assets			Investment		Expense ratio				Total return
		(000s)		lowest to highest(1)				(000s)			income ratio(2)		lowest to highest(3)				lowest to highest(1)(4)
MS UIF Mid Cap Gro, Cl II
2012			33,274		$1.31	to	$0.92		$43,946			—		0.55%	to	1.90%		7.89%		to	(5.99%	)(9)
2011			47,463		$1.21	to	$1.15		$58,189			0.24%		0.55%	to	1.80%		(7.68%	)	to	(8.83%	)
2010			45,797		$1.31	to	$1.26		$60,967			—		0.55%	to	1.80%		31.54%		to	25.27%	(6)
2009			46,533		$1.00	to	$1.06		$47,117			—		0.55%	to	1.45%		56.51%		to	55.10%
2008			44,920		$0.64	to	$0.68		$29,120			0.77%		0.55%	to	1.45%		(47.11%	)	to	(47.58%	)
NB AMT Intl Eq, Cl S
2012			18,401		$0.95	to	$1.01		$17,984			0.80%		0.55%	to	1.45%		17.83%		to	16.77%
2011			22,063		$0.81	to	$0.87		$18,306			6.16%		0.55%	to	1.45%		(12.81%	)	to	(13.59%	)
2010			23,892		$0.93	to	$1.00		$22,804			1.80%		0.55%	to	1.45%		21.35%		to	20.26%
2009			379,110		$0.76	to	$0.83		$309,505			3.73%		0.55%	to	1.45%		33.77%		to	32.57%
2008			358,116		$0.57	to	$0.63		$218,422			—		0.55%	to	1.45%		(46.73%	)	to	(47.21%	)
Oppen Global VA, Serv
2012			61,187		$1.67	to	$1.08		$92,610			1.92%		0.55%	to	1.90%		20.29%		to	7.88%	(9)
2011			70,702		$1.39	to	$1.06		$89,945			1.07%		0.55%	to	1.80%		(9.03%	)	to	(10.15%	)
2010			76,283		$1.53	to	$1.18		$107,678			1.23%		0.55%	to	1.80%		15.07%		to	17.77%	(6)
2009			82,309		$1.33	to	$0.98		$101,816			1.98%		0.55%	to	1.45%		38.59%		to	37.35%
2008			93,206		$0.96	to	$0.72		$84,227			1.36%		0.55%	to	1.45%		(40.66%	)	to	(41.19%	)
Oppen Global Strategic Inc VA, Srv
2012			528,177		$1.63	to	$1.43		$823,175			5.61%		0.55%	to	1.45%		12.53%		to	11.51%
2011			601,876		$1.45	to	$1.28		$836,908			2.91%		0.55%	to	1.45%		0.10%		to	(0.80%	)
2010			706,224		$1.45	to	$1.29		$985,348			13.38%		0.55%	to	1.45%		14.14%		to	13.12%
2009			2,168,384		$1.27	to	$1.14		$2,606,149			0.23%		0.55%	to	1.45%		17.76%		to	16.70%
2008			2,013,495		$1.08	to	$0.98		$2,075,960			4.44%		0.55%	to	1.45%		(14.95%	)	to	(15.72%	)
Oppen Main St Sm Cap VA, Serv
2012			42,432		$1.64	to	$1.03		$62,203			0.33%		0.55%	to	1.90%		17.02%		to	3.26%	(9)
2011			48,318		$1.41	to	$1.17		$61,075			0.42%		0.55%	to	1.80%		(2.92%	)	to	(4.12%	)
2010			58,250		$1.45	to	$1.22		$76,560			0.43%		0.55%	to	1.80%		22.38%		to	21.39%	(6)
2009			67,777		$1.18	to	$0.88		$73,523			0.65%		0.55%	to	1.45%		36.13%		to	34.91%
2008			76,585		$0.87	to	$0.65		$61,768			0.29%		0.55%	to	1.45%		(38.34%	)	to	(38.90%	)
PIMCO VIT All Asset, Advisor Cl
2012			205,043		$1.48	to	$1.07		$298,500			4.97%		0.55%	to	1.90%		14.18%		to	6.10%	(9)
2011			192,032		$1.29	to	$1.06		$245,929			7.56%		0.55%	to	1.80%		1.37%		to	0.11%
2010			192,371		$1.27	to	$1.06		$244,031			4.92%		0.55%	to	1.80%		12.39%		to	6.05%	(6)
2009			1,054,508		$1.13	to	$1.13		$1,199,776			6.97%		0.55%	to	1.45%		20.76%		to	19.68%
2008			1,091,785		$0.94	to	$0.94		$1,032,082			6.54%		0.55%	to	1.45%		(16.37%	)	to	(17.12%	)
PIMCO VIT Glb Multi-Asset, Advisor Cl
2012			3,251		$1.03	to	$1.02		$3,355			4.05%		0.55%	to	1.90%		2.90%	(9)	to	1.99%	(9)
2011			—		—		—		—			—		—		—		—			—
2010			—		—		—		—			—		—		—		—			—
2009			—		—		—		—			—		—		—		—			—
2008			—		—		—		—			—		—		—		—			—
Put VT Multi-Cap Gro, Cl IB
2012			19,953		$1.24	to	$1.22		$24,655			0.24%		0.55%	to	1.20%		16.12%		to	15.36%
2011			24,077		$1.07	to	$1.06		$25,684			0.27%		0.55%	to	1.20%		(5.60%	)	to	(6.21%	)
2010			29,434		$1.13	to	$1.13		$33,346			—		0.55%	to	1.20%		13.15%	(7)	to	12.95%	(7)
2009			—		—		—		—			—		—		—		—			—
2008			—		—		—		—			—		—		—		—			—
Royce Micro-Cap, Invest Cl
2012			8,699		$3.78	to	$3.59		$31,894			—		0.55%	to	0.95%		7.01%		to	6.58%
2011			11,616		$3.54	to	$3.37		$39,841			2.08%		0.55%	to	0.95%		(12.58%	)	to	(12.93%	)
2010			15,792		$4.05	to	$3.87		$62,060			1.74%		0.55%	to	0.95%		29.25%		to	28.73%
2009			20,125		$3.13	to	$3.00		$61,288			—		0.55%	to	0.95%		57.18%		to	56.55%
2008			24,388		$1.99	to	$1.92		$47,373			2.28%		0.55%	to	0.95%		(43.58%	)	to	(43.81%	)
Third Ave Val
2012			10,403		$2.90	to	$2.75		$29,223			0.87%		0.55%	to	0.95%		26.63%		to	26.13%
2011			13,372		$2.29	to	$2.18		$29,752			1.66%		0.55%	to	0.95%		(21.74%	)	to	(22.05%	)
2010			18,735		$2.93	to	$2.80		$53,358			3.79%		0.55%	to	0.95%		13.44%		to	12.99%
2009			24,897		$2.58	to	$2.48		$62,620			—		0.55%	to	0.95%		44.55%		to	43.98%
2008			31,931		$1.79	to	$1.72		$55,710			0.79%		0.55%	to	0.95%		(43.97%	)	to	(44.19%	)

102  RIVERSOURCE RETIREMENT ADVISOR VARIABLE ANNUITY – BAND 3 – 2012 ANNUAL REPORT

	At Dec. 31									For the year ended Dec. 31
		Units		Accumulation unit value				Net assets			Investment		Expense ratio				Total return
		(000s)		lowest to highest(1)				(000s)			income ratio(2)		lowest to highest(3)				lowest to highest(1)(4)
VP Aggr, Cl 2
2012			697,180		$1.23	to	$1.02		$846,002			—		0.55%	to	1.90%		13.09%		to	1.93%	(9)
2011			612,449		$1.08	to	$1.11		$659,813			—		0.55%	to	1.80%		(3.63%	)	to	(4.82%	)
2010			186,004		$1.12	to	$1.16		$208,702			—		0.55%	to	1.80%		13.63%	(5)	to	16.17%	(6)
2009			—		—		—		—			—		—		—		—			—
2008			—		—		—		—			—		—		—		—			—
VP Aggr, Cl 4
2012			1,224,668		$1.23	to	$1.20		$1,489,272			—		0.55%	to	1.45%		13.06%		to	12.04%
2011			1,479,264		$1.09	to	$1.07		$1,596,561			—		0.55%	to	1.45%		(3.45%	)	to	(4.32%	)
2010			1,623,318		$1.12	to	$1.12		$1,821,118			—		0.55%	to	1.45%		13.63%	(5)	to	12.96%	(5)
2009			—		—		—		—			—		—		—		—			—
2008			—		—		—		—			—		—		—		—			—
VP BR Gl Infl Prot Sec, Cl 3
2012			180,662		$1.43	to	$1.32		$250,341			4.40%		0.55%	to	1.45%		5.03%		to	4.08%
2011			202,745		$1.36	to	$1.27		$268,441			7.27%		0.55%	to	1.45%		9.43%		to	8.45%
2010			230,072		$1.24	to	$1.17		$279,401			0.79%		0.55%	to	1.45%		3.56%		to	2.63%
2009			1,530,203		$1.20	to	$1.14		$1,785,469			8.68%		0.55%	to	1.45%		6.25%		to	5.30%
2008			658,300		$1.13	to	$1.08		$727,423			2.47%		0.55%	to	1.45%		(0.41%	)	to	(1.30%	)
VP Conserv, Cl 2
2012			852,752		$1.15	to	$1.02		$966,766			—		0.55%	to	1.90%		6.68%		to	1.79%	(9)
2011			593,897		$1.08	to	$1.06		$634,319			—		0.55%	to	1.80%		2.67%		to	1.40%
2010			176,204		$1.05	to	$1.05		$184,094			—		0.55%	to	1.80%		5.56%	(5)	to	4.56%	(6)
2009			—		—		—		—			—		—		—		—			—
2008			—		—		—		—			—		—		—		—			—
VP Conserv, Cl 4
2012			1,687,368		$1.15	to	$1.12		$1,915,661			—		0.55%	to	1.45%		6.68%		to	5.72%
2011			1,512,637		$1.08	to	$1.06		$1,616,062			—		0.55%	to	1.45%		2.67%		to	1.75%
2010			1,349,528		$1.05	to	$1.04		$1,409,946			—		0.55%	to	1.45%		5.56%	(5)	to	4.94%	(5)
2009			—		—		—		—			—		—		—		—			—
2008			—		—		—		—			—		—		—		—			—
VP Mod, Cl 2
2012			5,088,616		$1.21	to	$1.03		$6,066,557			—		0.55%	to	1.90%		10.26%		to	2.25%	(9)
2011			4,072,928		$1.09	to	$1.09		$4,423,893			—		0.55%	to	1.80%		(0.28%	)	to	(1.51%	)
2010			1,584,363		$1.10	to	$1.10		$1,732,993			—		0.55%	to	1.80%		9.82%	(5)	to	10.43%	(6)
2009			—		—		—		—			—		—		—		—			—
2008			—		—		—		—			—		—		—		—			—
VP Mod, Cl 4
2012			9,162,518		$1.21	to	$1.18		$10,944,928			—		0.55%	to	1.45%		10.25%		to	9.25%
2011			9,718,867		$1.09	to	$1.08		$10,569,864			—		0.55%	to	1.45%		(0.19%	)	to	(1.08%	)
2010			10,566,949		$1.10	to	$1.09		$11,557,839			—		0.55%	to	1.45%		9.82%	(5)	to	9.17%	(5)
2009			—		—		—		—			—		—		—		—			—
2008			—		—		—		—			—		—		—		—			—
VP Mod Aggr, Cl 2
2012			2,775,343		$1.22	to	$1.02		$3,350,870			—		0.55%	to	1.90%		11.62%		to	1.94%	(9)
2011			2,443,394		$1.09	to	$1.10		$2,654,302			—		0.55%	to	1.80%		(1.97%	)	to	(3.18%	)
2010			891,747		$1.11	to	$1.13		$991,528			—		0.55%	to	1.80%		11.61%	(5)	to	13.26%	(6)
2009			—		—		—		—			—		—		—		—			—
2008			—		—		—		—			—		—		—		—			—
VP Mod Aggr, Cl 4
2012			4,925,651		$1.22	to	$1.19		$5,959,830			—		0.55%	to	1.45%		11.60%		to	10.59%
2011			5,802,273		$1.09	to	$1.08		$6,313,026			—		0.55%	to	1.45%		(1.88%	)	to	(2.76%	)
2010			6,431,039		$1.12	to	$1.11		$7,156,739			—		0.55%	to	1.45%		11.71%	(5)	to	11.05%	(5)
2009			—		—		—		—			—		—		—		—			—
2008			—		—		—		—			—		—		—		—			—
VP Mod Conserv, Cl 2
2012			1,698,010		$1.18	to	$1.02		$1,972,536			—		0.55%	to	1.90%		8.15%		to	1.81%	(9)
2011			1,249,525		$1.09	to	$1.07		$1,348,503			—		0.55%	to	1.80%		1.30%		to	0.05%
2010			486,156		$1.07	to	$1.07		$520,096			—		0.55%	to	1.80%		7.42%	(5)	to	7.37%	(6)
2009			—		—		—		—			—		—		—		—			—
2008			—		—		—		—			—		—		—		—			—

RIVERSOURCE RETIREMENT ADVISOR VARIABLE ANNUITY – BAND 3 – 2012 ANNUAL REPORT  103

	At Dec. 31									For the year ended Dec. 31
		Units		Accumulation unit value				Net assets			Investment		Expense ratio				Total return
		(000s)		lowest to highest(1)				(000s)			income ratio(2)		lowest to highest(3)				lowest to highest(1)(4)
VP Mod Conserv, Cl 4
2012			3,133,836		$1.18	to	$1.15		$3,653,172			—		0.55%	to	1.45%		8.23%		to	7.25%
2011			3,079,882		$1.09	to	$1.07		$3,330,281			—		0.55%	to	1.45%		1.39%		to	0.48%
2010			3,111,865		$1.07	to	$1.07		$3,332,020			—		0.55%	to	1.45%		7.52%	(5)	to	6.89%	(5)
2009			—		—		—		—			—		—		—		—			—
2008			—		—		—		—			—		—		—		—			—
VP Ptnrs Sm Cap Val, Cl 3
2012			69,566		$2.23	to	$1.23		$136,991			—		0.55%	to	1.45%		12.89%		to	11.87%
2011			86,378		$1.98	to	$1.10		$151,348			—		0.55%	to	1.45%		(4.98%	)	to	(5.83%	)
2010			106,425		$2.08	to	$1.17		$197,266			—		0.55%	to	1.45%		23.75%		to	22.64%
2009			942,973		$1.68	to	$0.95		$1,090,106			—		0.55%	to	1.45%		35.80%		to	34.59%
2008			856,114		$1.24	to	$0.71		$751,584			0.10%		0.55%	to	1.45%		(31.95%	)	to	(32.56%	)
VP Sit Divd Gro, Cl 3
2012			39,258		$1.06	to	$1.02		$40,838			—		0.55%	to	1.45%		10.08%		to	9.08%
2011			49,565		$0.96	to	$0.93		$46,968			—		0.55%	to	1.45%		(4.03%	)	to	(4.89%	)
2010			63,234		$1.00	to	$0.98		$62,574			—		0.55%	to	1.45%		10.91%		to	9.92%
2009			1,684,963		$0.90	to	$0.89		$1,518,919			—		0.55%	to	1.45%		30.61%		to	29.44%
2008			917,373		$0.69	to	$0.69		$634,861			0.03%		0.55%	to	1.45%		(38.92%	)	to	(39.47%	)
VP Vty Estb Val, Cl 3
2012			9,680		$1.53	to	$1.23		$13,797			—		0.55%	to	1.45%		16.37%		to	15.32%
2011			10,544		$1.32	to	$1.07		$13,013			—		0.55%	to	1.45%		(6.95%	)	to	(7.79%	)
2010			10,676		$1.42	to	$1.16		$14,315			—		0.55%	to	1.45%		21.20%		to	20.11%
2009			11,506		$1.17	to	$0.97		$12,879			—		0.55%	to	1.45%		35.88%		to	34.66%
2008			13,413		$0.86	to	$0.72		$11,161			—		0.55%	to	1.45%		(37.03%	)	to	(37.60%	)
Wanger Intl
2012			137,801		$2.74	to	$1.39		$317,597			1.17%		0.55%	to	1.45%		20.90%		to	19.80%
2011			167,899		$2.27	to	$1.16		$323,958			4.78%		0.55%	to	1.45%		(15.09%	)	to	(15.85%	)
2010			199,414		$2.67	to	$1.38		$458,489			1.70%		0.55%	to	1.45%		24.23%		to	23.12%
2009			578,944		$2.15	to	$1.12		$893,102			3.70%		0.55%	to	1.45%		48.96%		to	47.63%
2008			486,121		$1.44	to	$0.76		$546,084			0.96%		0.55%	to	1.45%		(45.90%	)	to	(46.39%	)
Wanger USA
2012			166,631		$2.40	to	$1.28		$343,872			0.30%		0.55%	to	1.45%		19.36%		to	18.28%
2011			200,494		$2.01	to	$1.08		$349,684			—		0.55%	to	1.45%		(4.02%	)	to	(4.88%	)
2010			240,629		$2.09	to	$1.13		$441,908			—		0.55%	to	1.45%		22.68%		to	21.58%
2009			573,990		$1.71	to	$0.93		$745,596			—		0.55%	to	1.45%		41.45%		to	40.18%
2008			572,582		$1.21	to	$0.67		$550,276			—		0.55%	to	1.45%		(40.02%	)	to	(40.56%	)
WF Adv VT Index Asset Alloc, Cl 2
2012			19,665		$1.50	to	$1.48		$28,893			1.43%		0.55%	to	1.20%		12.41%		to	11.68%
2011			23,246		$1.34	to	$1.32		$30,454			2.98%		0.55%	to	1.20%		5.90%		to	5.22%
2010			29,127		$1.26	to	$1.26		$36,093			1.75%		0.55%	to	1.20%		12.67%		to	11.94%
2009			37,522		$1.12	to	$1.12		$41,324			2.02%		0.55%	to	1.20%		14.82%		to	14.08%
2008			49,869		$0.98	to	$0.98		$47,943			2.38%		0.55%	to	1.20%		(29.50%	)	to	(29.96%	)
WF Adv VT Intl Eq, Cl 2
2012			40,040		$1.39	to	$0.96		$49,421			1.31%		0.55%	to	1.45%		12.86%		to	11.84%
2011			48,128		$1.23	to	$0.85		$53,181			0.11%		0.55%	to	1.45%		(13.39%	)	to	(14.16%	)
2010			57,745		$1.43	to	$1.00		$74,526			1.67%		0.55%	to	1.45%		15.86%		to	14.83%
2009			775,672		$1.23	to	$0.87		$752,302			0.46%		0.55%	to	1.45%		14.84%		to	13.81%
2008			36,966		$1.07	to	$0.76		$36,330			—		0.55%	to	1.45%		(41.92%	)	to	(42.44%	)
WF Adv VT Sm Cap Gro, Cl 2
2012			42,724		$1.54	to	$0.93		$63,274			—		0.55%	to	1.90%		7.28%		to	(7.05%	)(9)
2011			51,889		$1.43	to	$1.19		$71,998			—		0.55%	to	1.80%		(5.12%	)	to	(6.29%	)
2010			68,151		$1.51	to	$1.27		$100,081			—		0.55%	to	1.80%		26.08%		to	26.74%	(6)
2009			72,341		$1.20	to	$1.11		$84,640			—		0.55%	to	1.45%		51.81%		to	50.45%
2008			65,403		$0.79	to	$0.74		$50,668			—		0.55%	to	1.45%		(41.74%	)	to	(42.27%	)

(1)

The accumulation unit values and total returns are based on the variable annuity contracts with the lowest and highest expense ratios.

(2)

These amounts represent the dividends, excluding distributions of capital gains, received by the division from the underlying fund, net of management fees assessed by the fund manager, divided by the average net assets. These ratios exclude variable account expenses that result in direct reductions in the unit values. The recognition of investment income by the division is affected by the timing of the declaration of dividends by the underlying fund in which the division invests. These ratios are annualized for periods less than one year.

104  RIVERSOURCE RETIREMENT ADVISOR VARIABLE ANNUITY – BAND 3 – 2012 ANNUAL REPORT

(3)	These ratios represent the annualized contract expenses of the separate account, consisting primarily of mortality and expense charges, for each period indicated. The ratios include only those expenses that result in a direct reduction to unit values. Charges made directly to contract owner accounts through the redemption of units and expenses of the underlying fund are excluded.
(4)	These amounts represent the total return for the periods indicated, including changes in the value of the underlying fund, and reflect deductions for all items included in the expense ratio. The total return does not include any expenses assessed through the redemption of units; inclusion of these expenses in the calculation would result in a reduction in the total return presented. Investment options with a date notation indicate the effective date of that investment option in the variable account. The total return is calculated for the period indicated or from the effective date through the end of the reporting period. Although the total return is presented as a range of minimum to maximum values, based on the subaccounts representing the minimum and maximum expense ratio amounts, some individual subaccount total returns are not within the ranges presented due to the introduction of new subaccounts during the year and other market factors.
(5)	New subaccount operations commenced on May 7, 2010.
(6)	New subaccount operations commenced on July 19, 2010.
(7)	New subaccount operations commenced on Sept. 24, 2010.
(8)	New subaccount operations commenced on April 27, 2012.
(9)	New subaccount operations commenced on April 30, 2012.

RIVERSOURCE RETIREMENT ADVISOR VARIABLE ANNUITY – BAND 3 – 2012 ANNUAL REPORT  105

Condensed Financial Information (Unaudited)

The following tables give per-unit information about the financial history of each subaccount. The date in which operations commenced in each subaccount is noted in the parentheses.

Variable account charges of 0.55% of the daily net assets of the variable account.
Year ended Dec. 31,	2012		2011		2010		2009		2008		2007		2006		2005		2004		2003
AllianceBernstein VPS Global Thematic Growth Portfolio (Class B) (11/01/2005)
Accumulation unit value at beginning of period		$0.97		$1.28		$1.08		$0.71		$1.36		$1.14		$1.06		$1.00		—		—
Accumulation unit value at end of period		$1.10		$0.97		$1.28		$1.08		$0.71		$1.36		$1.14		$1.06		—		—
Number of accumulation units outstanding at end of period (000 omitted)		48		60		76		69		49		61		653		144		—		—
AllianceBernstein VPS Growth and Income Portfolio (Class B) (08/13/2001)
Accumulation unit value at beginning of period		$1.14		$1.08		$0.97		$0.81		$1.37		$1.31		$1.13		$1.09		$0.98		$0.75
Accumulation unit value at end of period		$1.33		$1.14		$1.08		$0.97		$0.81		$1.37		$1.31		$1.13		$1.09		$0.98
Number of accumulation units outstanding at end of period (000 omitted)		310		314		321		388		452		1,081		1,374		1,186		726		969
AllianceBernstein VPS International Value Portfolio (Class B) (08/13/2001)
Accumulation unit value at beginning of period		$1.38		$1.72		$1.66		$1.24		$2.68		$2.55		$1.90		$1.64		$1.32		$0.92
Accumulation unit value at end of period		$1.57		$1.38		$1.72		$1.66		$1.24		$2.68		$2.55		$1.90		$1.64		$1.32
Number of accumulation units outstanding at end of period (000 omitted)		856		982		1,076		1,925		3,352		3,600		3,592		2,607		984		472
American Century VP International, Class I (09/15/1999)
Accumulation unit value at beginning of period		$1.11		$1.27		$1.13		$0.85		$1.54		$1.32		$1.06		$0.94		$0.82		$0.66
Accumulation unit value at end of period		$1.34		$1.11		$1.27		$1.13		$0.85		$1.54		$1.32		$1.06		$0.94		$0.82
Number of accumulation units outstanding at end of period (000 omitted)		4		4		10		10		20		155		352		594		675		517
American Century VP Mid Cap Value, Class II (05/01/2007)
Accumulation unit value at beginning of period		$1.02		$1.04		$0.88		$0.68		$0.90		$1.00		—		—		—		—
Accumulation unit value at end of period		$1.18		$1.02		$1.04		$0.88		$0.68		$0.90		—		—		—		—
Number of accumulation units outstanding at end of period (000 omitted)		385		101		153		1,289		1,327		1,710		—		—		—		—
American Century VP Ultra®, Class II (11/01/2005)
Accumulation unit value at beginning of period		$1.07		$1.07		$0.93		$0.69		$1.20		$1.00		$1.04		$1.00		—		—
Accumulation unit value at end of period		$1.21		$1.07		$1.07		$0.93		$0.69		$1.20		$1.00		$1.04		—		—
Number of accumulation units outstanding at end of period (000 omitted)		80		98		73		91		72		187		2,939		618		—		—
American Century VP Value, Class I (09/15/1999)
Accumulation unit value at beginning of period		$1.76		$1.75		$1.55		$1.30		$1.79		$1.89		$1.61		$1.54		$1.35		$1.06
Accumulation unit value at end of period		$2.00		$1.76		$1.75		$1.55		$1.30		$1.79		$1.89		$1.61		$1.54		$1.35
Number of accumulation units outstanding at end of period (000 omitted)		108		249		232		259		524		578		747		1,037		1,067		904
BlackRock Global Allocation V.I. Fund (Class III) (04/30/2012)
Accumulation unit value at beginning of period		$1.00		—		—		—		—		—		—		—		—		—
Accumulation unit value at end of period		$1.03		—		—		—		—		—		—		—		—		—
Number of accumulation units outstanding at end of period (000 omitted)		103		—		—		—		—		—		—		—		—		—
Calvert VP SRI Balanced Portfolio (05/01/2000)
Accumulation unit value at beginning of period		$1.14		$1.10		$0.99		$0.79		$1.16		$1.13		$1.05		$1.00		$0.93		$0.78
Accumulation unit value at end of period		$1.26		$1.14		$1.10		$0.99		$0.79		$1.16		$1.13		$1.05		$1.00		$0.93
Number of accumulation units outstanding at end of period (000 omitted)		5		6		6		10		24		21		18		5		54		8
Columbia Variable Portfolio – Balanced Fund (Class 3) (09/15/1999)
Accumulation unit value at beginning of period		$1.24		$1.22		$1.09		$0.88		$1.26		$1.25		$1.10		$1.06		$0.97		$0.81
Accumulation unit value at end of period		$1.41		$1.24		$1.22		$1.09		$0.88		$1.26		$1.25		$1.10		$1.06		$0.97
Number of accumulation units outstanding at end of period (000 omitted)		363		580		634		733		602		372		459		623		257		221
Columbia Variable Portfolio – Cash Management Fund (Class 3) (09/15/1999)
Accumulation unit value at beginning of period		$1.23		$1.23		$1.24		$1.25		$1.22		$1.17		$1.13		$1.11		$1.11		$1.11
Accumulation unit value at end of period		$1.22		$1.23		$1.23		$1.24		$1.25		$1.22		$1.17		$1.13		$1.11		$1.11
Number of accumulation units outstanding at end of period (000 omitted)		309		514		613		2,492		10,988		11,779		8,286		4,504		2,098		447
Columbia Variable Portfolio – Diversified Bond Fund (Class 3) (09/15/1999)
Accumulation unit value at beginning of period		$1.73		$1.63		$1.51		$1.33		$1.43		$1.36		$1.31		$1.29		$1.24		$1.20
Accumulation unit value at end of period		$1.85		$1.73		$1.63		$1.51		$1.33		$1.43		$1.36		$1.31		$1.29		$1.24
Number of accumulation units outstanding at end of period (000 omitted)		2,726		2,923		3,828		10,140		8,140		9,540		7,272		3,619		2,145		1,691
Columbia Variable Portfolio – Dividend Opportunity Fund (Class 3) (09/15/1999)
Accumulation unit value at beginning of period		$1.62		$1.71		$1.47		$1.16		$1.96		$1.83		$1.53		$1.36		$1.16		$0.82
Accumulation unit value at end of period		$1.83		$1.62		$1.71		$1.47		$1.16		$1.96		$1.83		$1.53		$1.36		$1.16
Number of accumulation units outstanding at end of period (000 omitted)		1,536		1,770		2,153		7,610		8,565		9,289		9,434		5,165		3,041		1,239
Columbia Variable Portfolio – Emerging Markets Fund (Class 3) (05/01/2000)
Accumulation unit value at beginning of period		$2.16		$2.75		$2.31		$1.33		$2.90		$2.11		$1.58		$1.19		$0.96		$0.69
Accumulation unit value at end of period		$2.59		$2.16		$2.75		$2.31		$1.33		$2.90		$2.11		$1.58		$1.19		$0.96
Number of accumulation units outstanding at end of period (000 omitted)		743		843		1,028		1,522		2,437		1,993		2,144		1,491		475		115
Columbia Variable Portfolio – Global Bond Fund (Class 3) (09/15/1999)
Accumulation unit value at beginning of period		$1.90		$1.82		$1.72		$1.55		$1.56		$1.46		$1.38		$1.46		$1.33		$1.18
Accumulation unit value at end of period		$2.01		$1.90		$1.82		$1.72		$1.55		$1.56		$1.46		$1.38		$1.46		$1.33
Number of accumulation units outstanding at end of period (000 omitted)		1,005		1,122		1,599		3,215		2,861		3,115		2,645		1,377		741		714

106  RIVERSOURCE RETIREMENT ADVISOR VARIABLE ANNUITY – BAND 3 – 2012 ANNUAL REPORT

Variable account charges of 0.55% of the daily net assets of the variable account. (continued)
Year ended Dec. 31,	2012		2011		2010		2009		2008		2007		2006		2005		2004		2003
Columbia Variable Portfolio – High Yield Bond Fund (Class 3) (09/15/1999)
Accumulation unit value at beginning of period		$1.91		$1.82		$1.61		$1.05		$1.41		$1.39		$1.26		$1.22		$1.10		$0.89
Accumulation unit value at end of period		$2.20		$1.91		$1.82		$1.61		$1.05		$1.41		$1.39		$1.26		$1.22		$1.10
Number of accumulation units outstanding at end of period (000 omitted)		722		695		706		639		713		1,605		1,925		2,397		2,886		4,230
Columbia Variable Portfolio – Income Opportunities Fund (Class 3) (09/13/2004)
Accumulation unit value at beginning of period		$1.59		$1.51		$1.34		$0.95		$1.17		$1.15		$1.07		$1.04		$1.00		—
Accumulation unit value at end of period		$1.82		$1.59		$1.51		$1.34		$0.95		$1.17		$1.15		$1.07		$1.04		—
Number of accumulation units outstanding at end of period (000 omitted)		2,007		1,306		1,132		5,111		2,233		2,599		2,358		493		—		—
Columbia Variable Portfolio – International Opportunity Fund (Class 3) (09/15/1999)
Accumulation unit value at beginning of period		$0.95		$1.09		$0.96		$0.76		$1.28		$1.14		$0.92		$0.82		$0.70		$0.55
Accumulation unit value at end of period		$1.11		$0.95		$1.09		$0.96		$0.76		$1.28		$1.14		$0.92		$0.82		$0.70
Number of accumulation units outstanding at end of period (000 omitted)		346		363		399		910		1,080		1,307		1,343		1,252		848		143
Columbia Variable Portfolio – Large Cap Growth Fund (Class 3) (09/15/1999)
Accumulation unit value at beginning of period		$0.64		$0.66		$0.57		$0.42		$0.75		$0.73		$0.67		$0.62		$0.57		$0.47
Accumulation unit value at end of period		$0.76		$0.64		$0.66		$0.57		$0.42		$0.75		$0.73		$0.67		$0.62		$0.57
Number of accumulation units outstanding at end of period (000 omitted)		1,240		1,358		1,192		2,260		2,601		3,768		6,049		6,193		2,153		1,664
Columbia Variable Portfolio – Large Core Quantitative Fund (Class 3) (09/15/1999)
Accumulation unit value at beginning of period		$0.86		$0.82		$0.70		$0.57		$0.99		$0.97		$0.85		$0.80		$0.76		$0.59
Accumulation unit value at end of period		$0.97		$0.86		$0.82		$0.70		$0.57		$0.99		$0.97		$0.85		$0.80		$0.76
Number of accumulation units outstanding at end of period (000 omitted)		508		464		565		877		1,397		1,682		2,453		3,121		1,484		172
Columbia Variable Portfolio – Marsico Growth Fund (Class 1) (05/01/2006)
Accumulation unit value at beginning of period		$1.06		$1.10		$0.91		$0.72		$1.20		$1.02		$1.00		—		—		—
Accumulation unit value at end of period		$1.19		$1.06		$1.10		$0.91		$0.72		$1.20		$1.02		—		—		—
Number of accumulation units outstanding at end of period (000 omitted)		667		767		699		7,497		6,506		5,466		2,834		—		—		—
Columbia Variable Portfolio – Marsico International Opportunities Fund (Class 2) (05/01/2006)
Accumulation unit value at beginning of period		$0.84		$1.01		$0.89		$0.65		$1.27		$1.07		$1.00		—		—		—
Accumulation unit value at end of period		$0.99		$0.84		$1.01		$0.89		$0.65		$1.27		$1.07		—		—		—
Number of accumulation units outstanding at end of period (000 omitted)		502		509		459		810		730		772		2,194		—		—		—
Columbia Variable Portfolio – Mid Cap Growth Opportunity Fund (Class 3) (05/01/2001)
Accumulation unit value at beginning of period		$1.34		$1.58		$1.26		$0.78		$1.41		$1.25		$1.26		$1.15		$1.06		$0.87
Accumulation unit value at end of period		$1.48		$1.34		$1.58		$1.26		$0.78		$1.41		$1.25		$1.26		$1.15		$1.06
Number of accumulation units outstanding at end of period (000 omitted)		128		124		238		363		242		268		450		655		523		578
Columbia Variable Portfolio – Mid Cap Value Opportunity Fund (Class 3) (05/02/2005)
Accumulation unit value at beginning of period		$1.28		$1.40		$1.15		$0.82		$1.50		$1.37		$1.20		$1.00		—		—
Accumulation unit value at end of period		$1.50		$1.28		$1.40		$1.15		$0.82		$1.50		$1.37		$1.20		—		—
Number of accumulation units outstanding at end of period (000 omitted)		385		467		338		1,292		1,658		1,406		2,575		115		—		—
Columbia Variable Portfolio – S&P 500 Index Fund (Class 3) (05/01/2000)
Accumulation unit value at beginning of period		$0.95		$0.94		$0.83		$0.66		$1.05		$1.01		$0.88		$0.85		$0.77		$0.61
Accumulation unit value at end of period		$1.09		$0.95		$0.94		$0.83		$0.66		$1.05		$1.01		$0.88		$0.85		$0.77
Number of accumulation units outstanding at end of period (000 omitted)		209		127		314		741		1,447		1,022		1,170		2,054		1,958		1,381
Columbia Variable Portfolio – Select Large-Cap Value Fund (Class 3) (02/04/2004)
Accumulation unit value at beginning of period		$1.18		$1.21		$1.01		$0.81		$1.34		$1.35		$1.14		$1.10		$1.00		—
Accumulation unit value at end of period		$1.40		$1.18		$1.21		$1.01		$0.81		$1.34		$1.35		$1.14		$1.10		—
Number of accumulation units outstanding at end of period (000 omitted)		205		198		120		195		67		67		184		92		65		—
Columbia Variable Portfolio – Select Smaller-Cap Value Fund (Class 3) (09/15/1999)
Accumulation unit value at beginning of period		$1.66		$1.82		$1.44		$1.04		$1.70		$1.79		$1.61		$1.54		$1.31		$0.89
Accumulation unit value at end of period		$1.94		$1.66		$1.82		$1.44		$1.04		$1.70		$1.79		$1.61		$1.54		$1.31
Number of accumulation units outstanding at end of period (000 omitted)		126		152		71		57		113		214		333		514		779		660
Columbia Variable Portfolio – U.S. Government Mortgage Fund (Class 3) (09/15/1999)
Accumulation unit value at beginning of period		$1.41		$1.39		$1.36		$1.30		$1.34		$1.28		$1.24		$1.23		$1.22		$1.21
Accumulation unit value at end of period		$1.42		$1.41		$1.39		$1.36		$1.30		$1.34		$1.28		$1.24		$1.23		$1.22
Number of accumulation units outstanding at end of period (000 omitted)		494		1,843		1,670		825		1,394		817		493		688		870		1,097
Credit Suisse Trust – Commodity Return Strategy Portfolio (05/01/2006)
Accumulation unit value at beginning of period		$0.90		$1.03		$0.89		$0.75		$1.13		$0.97		$1.00		—		—		—
Accumulation unit value at end of period		$0.87		$0.90		$1.03		$0.89		$0.75		$1.13		$0.97		—		—		—
Number of accumulation units outstanding at end of period (000 omitted)		624		617		533		605		506		677		1,600		—		—		—
DWS Alternative Asset Allocation VIP, Class B (04/30/2012)
Accumulation unit value at beginning of period		$1.00		—		—		—		—		—		—		—		—		—
Accumulation unit value at end of period		$1.00		—		—		—		—		—		—		—		—		—
Number of accumulation units outstanding at end of period (000 omitted)		60		—		—		—		—		—		—		—		—		—
Eaton Vance VT Floating-Rate Income Fund (05/01/2006)
Accumulation unit value at beginning of period		$1.20		$1.18		$1.08		$0.76		$1.04		$1.03		$1.00		—		—		—
Accumulation unit value at end of period		$1.28		$1.20		$1.18		$1.08		$0.76		$1.04		$1.03		—		—		—
Number of accumulation units outstanding at end of period (000 omitted)		1,490		1,730		1,433		2,787		2,025		2,116		2,567		—		—		—

RIVERSOURCE RETIREMENT ADVISOR VARIABLE ANNUITY – BAND 3 – 2012 ANNUAL REPORT  107

Variable account charges of 0.55% of the daily net assets of the variable account. (continued)
Year ended Dec. 31,	2012		2011		2010		2009		2008		2007		2006		2005		2004		2003
Fidelity® VIP Contrafund® Portfolio Service Class 2 (05/01/2006)
Accumulation unit value at beginning of period		$1.04		$1.08		$0.93		$0.69		$1.21		$1.03		$1.00		—		—		—
Accumulation unit value at end of period		$1.20		$1.04		$1.08		$0.93		$0.69		$1.21		$1.03		—		—		—
Number of accumulation units outstanding at end of period (000 omitted)		2,280		2,496		2,532		4,368		8,518		7,443		6,582		—		—		—
Fidelity® VIP Growth & Income Portfolio Service Class (09/15/1999)
Accumulation unit value at beginning of period		$1.10		$1.09		$0.95		$0.75		$1.30		$1.17		$1.04		$0.97		$0.92		$0.75
Accumulation unit value at end of period		$1.29		$1.10		$1.09		$0.95		$0.75		$1.30		$1.17		$1.04		$0.97		$0.92
Number of accumulation units outstanding at end of period (000 omitted)		67		87		92		148		226		676		754		1,103		1,370		1,249
Fidelity® VIP Mid Cap Portfolio Service Class (09/15/1999)
Accumulation unit value at beginning of period		$3.50		$3.94		$3.08		$2.21		$3.68		$3.20		$2.86		$2.43		$1.96		$1.42
Accumulation unit value at end of period		$3.99		$3.50		$3.94		$3.08		$2.21		$3.68		$3.20		$2.86		$2.43		$1.96
Number of accumulation units outstanding at end of period (000 omitted)		105		162		195		298		492		591		664		915		1,023		984
Fidelity® VIP Overseas Portfolio Service Class (09/15/1999)
Accumulation unit value at beginning of period		$1.03		$1.26		$1.12		$0.89		$1.59		$1.37		$1.16		$0.98		$0.87		$0.61
Accumulation unit value at end of period		$1.24		$1.03		$1.26		$1.12		$0.89		$1.59		$1.37		$1.16		$0.98		$0.87
Number of accumulation units outstanding at end of period (000 omitted)		15		20		20		28		48		92		298		605		429		144
FTVIPT Franklin Global Real Estate Securities Fund – Class 2 (09/15/1999)
Accumulation unit value at beginning of period		$1.97		$2.10		$1.75		$1.48		$2.58		$3.27		$2.73		$2.42		$1.85		$1.37
Accumulation unit value at end of period		$2.50		$1.97		$2.10		$1.75		$1.48		$2.58		$3.27		$2.73		$2.42		$1.85
Number of accumulation units outstanding at end of period (000 omitted)		170		163		203		232		262		688		836		667		487		349
FTVIPT Franklin Small Cap Value Securities Fund – Class 2 (09/15/1999)
Accumulation unit value at beginning of period		$2.52		$2.64		$2.07		$1.61		$2.42		$2.49		$2.14		$1.98		$1.61		$1.22
Accumulation unit value at end of period		$2.97		$2.52		$2.64		$2.07		$1.61		$2.42		$2.49		$2.14		$1.98		$1.61
Number of accumulation units outstanding at end of period (000 omitted)		301		212		215		352		465		576		738		593		414		242
Goldman Sachs VIT Mid Cap Value Fund – Institutional Shares (09/15/1999)
Accumulation unit value at beginning of period		$2.67		$2.86		$2.30		$1.74		$2.78		$2.71		$2.34		$2.09		$1.67		$1.31
Accumulation unit value at end of period		$3.14		$2.67		$2.86		$2.30		$1.74		$2.78		$2.71		$2.34		$2.09		$1.67
Number of accumulation units outstanding at end of period (000 omitted)		448		611		738		922		1,060		2,008		2,339		1,930		834		639
Goldman Sachs VIT Structured Small Cap Equity Fund – Institutional Shares (09/15/1999)
Accumulation unit value at beginning of period		$1.79		$1.79		$1.38		$1.09		$1.66		$2.00		$1.79		$1.69		$1.46		$1.01
Accumulation unit value at end of period		$2.01		$1.79		$1.79		$1.38		$1.09		$1.66		$2.00		$1.79		$1.69		$1.46
Number of accumulation units outstanding at end of period (000 omitted)		2		2		4		9		11		12		114		119		150		104
Goldman Sachs VIT Structured U.S. Equity Fund – Institutional Shares (09/15/1999)
Accumulation unit value at beginning of period		$1.01		$0.98		$0.87		$0.72		$1.15		$1.18		$1.05		$0.99		$0.87		$0.67
Accumulation unit value at end of period		$1.15		$1.01		$0.98		$0.87		$0.72		$1.15		$1.18		$1.05		$0.99		$0.87
Number of accumulation units outstanding at end of period (000 omitted)		546		592		745		826		1,128		1,678		2,499		3,019		1,522		735
Invesco V.I. Global Health Care Fund, Series II Shares (05/01/2006)
Accumulation unit value at beginning of period		$1.10		$1.07		$1.02		$0.81		$1.14		$1.03		$1.00		—		—		—
Accumulation unit value at end of period		$1.32		$1.10		$1.07		$1.02		$0.81		$1.14		$1.03		—		—		—
Number of accumulation units outstanding at end of period (000 omitted)		117		103		132		403		73		115		1,114		—		—		—
Invesco V.I. International Growth Fund, Series II Shares (11/01/2005)
Accumulation unit value at beginning of period		$1.30		$1.40		$1.25		$0.93		$1.58		$1.39		$1.09		$1.00		—		—
Accumulation unit value at end of period		$1.49		$1.30		$1.40		$1.25		$0.93		$1.58		$1.39		$1.09		—		—
Number of accumulation units outstanding at end of period (000 omitted)		273		294		380		2,658		2,794		1,479		105		5		—		—
Invesco V.I. American Franchise Fund, Series I Shares (04/27/2012)
Accumulation unit value at beginning of period		$1.00		—		—		—		—		—		—		—		—		—
Accumulation unit value at end of period		$0.97		—		—		—		—		—		—		—		—		—
Number of accumulation units outstanding at end of period (000 omitted)		65		—		—		—		—		—		—		—		—		—
Invesco V.I. Comstock Fund, Series II Shares (02/04/2004)
Accumulation unit value at beginning of period		$1.22		$1.26		$1.09		$0.85		$1.34		$1.38		$1.19		$1.15		$1.00		—
Accumulation unit value at end of period		$1.45		$1.22		$1.26		$1.09		$0.85		$1.34		$1.38		$1.19		$1.15		—
Number of accumulation units outstanding at end of period (000 omitted)		670		788		719		2,639		3,700		3,639		4,892		3,642		641		—
Invesco V.I. Mid Cap Growth Fund, Series I Shares (04/27/2012)
Accumulation unit value at beginning of period		$1.00		—		—		—		—		—		—		—		—		—
Accumulation unit value at end of period		$0.98		—		—		—		—		—		—		—		—		—
Number of accumulation units outstanding at end of period (000 omitted)		87		—		—		—		—		—		—		—		—		—
Janus Aspen Series Enterprise Portfolio: Service Shares (05/01/2000)
Accumulation unit value at beginning of period		$0.72		$0.74		$0.59		$0.41		$0.74		$0.61		$0.54		$0.49		$0.41		$0.30
Accumulation unit value at end of period		$0.84		$0.72		$0.74		$0.59		$0.41		$0.74		$0.61		$0.54		$0.49		$0.41
Number of accumulation units outstanding at end of period (000 omitted)		28		34		34		30		30		51		125		125		144		215
Janus Aspen Series Global Technology Portfolio: Service Shares (05/01/2000)
Accumulation unit value at beginning of period		$0.51		$0.57		$0.46		$0.29		$0.53		$0.43		$0.41		$0.37		$0.37		$0.25
Accumulation unit value at end of period		$0.61		$0.51		$0.57		$0.46		$0.29		$0.53		$0.43		$0.41		$0.37		$0.37
Number of accumulation units outstanding at end of period (000 omitted)		104		111		100		41		22		37		180		200		333		426

108  RIVERSOURCE RETIREMENT ADVISOR VARIABLE ANNUITY – BAND 3 – 2012 ANNUAL REPORT

Variable account charges of 0.55% of the daily net assets of the variable account. (continued)
Year ended Dec. 31,	2012		2011		2010		2009		2008		2007		2006		2005		2004		2003
Janus Aspen Series Janus Portfolio: Service Shares (05/01/2007)
Accumulation unit value at beginning of period		$0.92		$0.98		$0.86		$0.63		$1.06		$1.00		—		—		—		—
Accumulation unit value at end of period		$1.08		$0.92		$0.98		$0.86		$0.63		$1.06		—		—		—		—
Number of accumulation units outstanding at end of period (000 omitted)		387		461		568		6,880		6,240		5,448		—		—		—		—
Janus Aspen Series Global Allocation Portfolio – Moderate: Service Shares (04/30/2012)
Accumulation unit value at beginning of period		$1.00		—		—		—		—		—		—		—		—		—
Accumulation unit value at end of period		$1.04		—		—		—		—		—		—		—		—		—
Number of accumulation units outstanding at end of period (000 omitted)		—		—		—		—		—		—		—		—		—		—
Janus Aspen Series Overseas Portfolio: Service Shares (05/01/2000)
Accumulation unit value at beginning of period		$1.23		$1.82		$1.47		$0.82		$1.73		$1.36		$0.93		$0.71		$0.60		$0.45
Accumulation unit value at end of period		$1.38		$1.23		$1.82		$1.47		$0.82		$1.73		$1.36		$0.93		$0.71		$0.60
Number of accumulation units outstanding at end of period (000 omitted)		269		262		226		395		275		272		231		250		132		295
MFS® Investors Growth Stock Series – Service Class (05/01/2000)
Accumulation unit value at beginning of period		$0.76		$0.76		$0.68		$0.49		$0.79		$0.71		$0.67		$0.64		$0.59		$0.49
Accumulation unit value at end of period		$0.88		$0.76		$0.76		$0.68		$0.49		$0.79		$0.71		$0.67		$0.64		$0.59
Number of accumulation units outstanding at end of period (000 omitted)		212		186		178		406		260		317		481		640		522		874
MFS® New Discovery Series – Service Class (05/01/2000)
Accumulation unit value at beginning of period		$1.20		$1.35		$1.00		$0.62		$1.02		$1.01		$0.90		$0.86		$0.81		$0.61
Accumulation unit value at end of period		$1.44		$1.20		$1.35		$1.00		$0.62		$1.02		$1.01		$0.90		$0.86		$0.81
Number of accumulation units outstanding at end of period (000 omitted)		89		131		102		190		92		130		243		558		576		622
MFS® Utilities Series – Service Class (08/13/2001)
Accumulation unit value at beginning of period		$2.23		$2.11		$1.86		$1.41		$2.28		$1.80		$1.38		$1.19		$0.92		$0.68
Accumulation unit value at end of period		$2.51		$2.23		$2.11		$1.86		$1.41		$2.28		$1.80		$1.38		$1.19		$0.92
Number of accumulation units outstanding at end of period (000 omitted)		584		543		500		562		821		765		1,065		588		211		139
Morgan Stanley UIF Global Real Estate Portfolio, Class II Shares (05/01/2006)
Accumulation unit value at beginning of period		$0.94		$1.06		$0.87		$0.62		$1.12		$1.23		$1.00		—		—		—
Accumulation unit value at end of period		$1.22		$0.94		$1.06		$0.87		$0.62		$1.12		$1.23		—		—		—
Number of accumulation units outstanding at end of period (000 omitted)		314		467		451		1,794		1,961		1,463		1,473		—		—		—
Morgan Stanley UIF Mid Cap Growth Portfolio, Class II Shares (05/01/2006)
Accumulation unit value at beginning of period		$1.21		$1.31		$1.00		$0.64		$1.21		$0.99		$1.00		—		—		—
Accumulation unit value at end of period		$1.31		$1.21		$1.31		$1.00		$0.64		$1.21		$0.99		—		—		—
Number of accumulation units outstanding at end of period (000 omitted)		241		300		317		356		270		140		1,068		—		—		—
Neuberger Berman Advisers Management Trust International Equity Portfolio (Class S) (05/01/2006)
Accumulation unit value at beginning of period		$0.81		$0.93		$0.76		$0.57		$1.07		$1.05		$1.00		—		—		—
Accumulation unit value at end of period		$0.95		$0.81		$0.93		$0.76		$0.57		$1.07		$1.05		—		—		—
Number of accumulation units outstanding at end of period (000 omitted)		165		154		142		1,718		1,971		2,116		1,957		—		—		—
Oppenheimer Global Fund/VA, Service Shares (02/04/2004)
Accumulation unit value at beginning of period		$1.39		$1.53		$1.33		$0.96		$1.62		$1.53		$1.31		$1.16		$1.00		—
Accumulation unit value at end of period		$1.67		$1.39		$1.53		$1.33		$0.96		$1.62		$1.53		$1.31		$1.16		—
Number of accumulation units outstanding at end of period (000 omitted)		349		429		524		604		777		1,099		1,309		756		158		—
Oppenheimer Global Strategic Income Fund/VA, Service Shares (02/04/2004)
Accumulation unit value at beginning of period		$1.45		$1.45		$1.27		$1.08		$1.27		$1.16		$1.09		$1.07		$1.00		—
Accumulation unit value at end of period		$1.63		$1.45		$1.45		$1.27		$1.08		$1.27		$1.16		$1.09		$1.07		—
Number of accumulation units outstanding at end of period (000 omitted)		3,277		3,125		3,938		8,634		8,498		9,223		6,331		3,173		403		—
Oppenheimer Main Street Small Cap Fund®/VA, Service Shares (02/04/2004)
Accumulation unit value at beginning of period		$1.41		$1.45		$1.18		$0.87		$1.41		$1.44		$1.26		$1.16		$1.00		—
Accumulation unit value at end of period		$1.64		$1.41		$1.45		$1.18		$0.87		$1.41		$1.44		$1.26		$1.16		—
Number of accumulation units outstanding at end of period (000 omitted)		360		394		368		717		646		676		773		643		432		—
PIMCO VIT All Asset Portfolio, Advisor Class (05/01/2006)
Accumulation unit value at beginning of period		$1.29		$1.27		$1.13		$0.94		$1.12		$1.04		$1.00		—		—		—
Accumulation unit value at end of period		$1.48		$1.29		$1.27		$1.13		$0.94		$1.12		$1.04		—		—		—
Number of accumulation units outstanding at end of period (000 omitted)		688		700		590		3,431		4,628		4,555		4,105		—		—		—
PIMCO VIT Global Multi-Asset Portfolio, Advisor Class (04/30/2012)
Accumulation unit value at beginning of period		$1.00		—		—		—		—		—		—		—		—		—
Accumulation unit value at end of period		$1.03		—		—		—		—		—		—		—		—		—
Number of accumulation units outstanding at end of period (000 omitted)		54		—		—		—		—		—		—		—		—		—
Putnam VT Multi-Cap Growth Fund – Class IB Shares (09/24/2010)
Accumulation unit value at beginning of period		$1.07		$1.13		$1.00		—		—		—		—		—		—		—
Accumulation unit value at end of period		$1.24		$1.07		$1.13		—		—		—		—		—		—		—
Number of accumulation units outstanding at end of period (000 omitted)		123		123		139		—		—		—		—		—		—		—
Royce Capital Fund – Micro-Cap Portfolio, Investment Class (09/15/1999)
Accumulation unit value at beginning of period		$3.54		$4.05		$3.13		$1.99		$3.53		$3.41		$2.83		$2.55		$2.26		$1.52
Accumulation unit value at end of period		$3.78		$3.54		$4.05		$3.13		$1.99		$3.53		$3.41		$2.83		$2.55		$2.26
Number of accumulation units outstanding at end of period (000 omitted)		30		34		39		66		81		358		405		539		591		516

RIVERSOURCE RETIREMENT ADVISOR VARIABLE ANNUITY – BAND 3 – 2012 ANNUAL REPORT  109

Variable account charges of 0.55% of the daily net assets of the variable account. (continued)
Year ended Dec. 31,	2012		2011		2010		2009		2008		2007		2006		2005		2004		2003
Third Avenue Value Portfolio (09/21/1999)
Accumulation unit value at beginning of period		$2.29		$2.93		$2.58		$1.79		$3.19		$3.37		$2.92		$2.57		$2.15		$1.52
Accumulation unit value at end of period		$2.90		$2.29		$2.93		$2.58		$1.79		$3.19		$3.37		$2.92		$2.57		$2.15
Number of accumulation units outstanding at end of period (000 omitted)		27		33		38		62		123		175		287		371		347		311
Variable Portfolio – Aggressive Portfolio (Class 2) (05/07/2010)
Accumulation unit value at beginning of period		$1.08		$1.12		$1.00		—		—		—		—		—		—		—
Accumulation unit value at end of period		$1.23		$1.08		$1.12		—		—		—		—		—		—		—
Number of accumulation units outstanding at end of period (000 omitted)		1,277		1,257		395		—		—		—		—		—		—		—
Variable Portfolio – Aggressive Portfolio (Class 4) (05/07/2010)
Accumulation unit value at beginning of period		$1.09		$1.12		$1.00		—		—		—		—		—		—		—
Accumulation unit value at end of period		$1.23		$1.09		$1.12		—		—		—		—		—		—		—
Number of accumulation units outstanding at end of period (000 omitted)		16,382		18,860		26,354		—		—		—		—		—		—		—
Variable Portfolio – BlackRock Global Inflation-Protected Securities Fund (Class 3) (09/13/2004)
Accumulation unit value at beginning of period		$1.36		$1.24		$1.20		$1.13		$1.13		$1.06		$1.05		$1.03		$1.00		—
Accumulation unit value at end of period		$1.43		$1.36		$1.24		$1.20		$1.13		$1.13		$1.06		$1.05		$1.03		—
Number of accumulation units outstanding at end of period (000 omitted)		768		1,132		1,988		5,705		2,307		2,713		2,959		1,455		5,004		—
Variable Portfolio – Conservative Portfolio (Class 2) (05/07/2010)
Accumulation unit value at beginning of period		$1.08		$1.05		$1.00		—		—		—		—		—		—		—
Accumulation unit value at end of period		$1.15		$1.08		$1.05		—		—		—		—		—		—		—
Number of accumulation units outstanding at end of period (000 omitted)		5,335		1,443		1,174		—		—		—		—		—		—		—
Variable Portfolio – Conservative Portfolio (Class 4) (05/07/2010)
Accumulation unit value at beginning of period		$1.08		$1.05		$1.00		—		—		—		—		—		—		—
Accumulation unit value at end of period		$1.15		$1.08		$1.05		—		—		—		—		—		—		—
Number of accumulation units outstanding at end of period (000 omitted)		6,408		4,175		8,371		—		—		—		—		—		—		—
Variable Portfolio – Moderate Portfolio (Class 2) (05/07/2010)
Accumulation unit value at beginning of period		$1.09		$1.10		$1.00		—		—		—		—		—		—		—
Accumulation unit value at end of period		$1.21		$1.09		$1.10		—		—		—		—		—		—		—
Number of accumulation units outstanding at end of period (000 omitted)		4,778		4,194		507		—		—		—		—		—		—		—
Variable Portfolio – Moderate Portfolio (Class 4) (05/07/2010)
Accumulation unit value at beginning of period		$1.09		$1.10		$1.00		—		—		—		—		—		—		—
Accumulation unit value at end of period		$1.21		$1.09		$1.10		—		—		—		—		—		—		—
Number of accumulation units outstanding at end of period (000 omitted)		17,266		21,448		21,627		—		—		—		—		—		—		—
Variable Portfolio – Moderately Aggressive Portfolio (Class 2) (05/07/2010)
Accumulation unit value at beginning of period		$1.09		$1.11		$1.00		—		—		—		—		—		—		—
Accumulation unit value at end of period		$1.22		$1.09		$1.11		—		—		—		—		—		—		—
Number of accumulation units outstanding at end of period (000 omitted)		1,378		1,064		2,007		—		—		—		—		—		—		—
Variable Portfolio – Moderately Aggressive Portfolio (Class 4) (05/07/2010)
Accumulation unit value at beginning of period		$1.09		$1.12		$1.00		—		—		—		—		—		—		—
Accumulation unit value at end of period		$1.22		$1.09		$1.12		—		—		—		—		—		—		—
Number of accumulation units outstanding at end of period (000 omitted)		24,938		26,294		23,294		—		—		—		—		—		—		—
Variable Portfolio – Moderately Conservative Portfolio (Class 2) (05/07/2010)
Accumulation unit value at beginning of period		$1.09		$1.07		$1.00		—		—		—		—		—		—		—
Accumulation unit value at end of period		$1.18		$1.09		$1.07		—		—		—		—		—		—		—
Number of accumulation units outstanding at end of period (000 omitted)		1,950		1,471		—		—		—		—		—		—		—		—
Variable Portfolio – Moderately Conservative Portfolio (Class 4) (05/07/2010)
Accumulation unit value at beginning of period		$1.09		$1.07		$1.00		—		—		—		—		—		—		—
Accumulation unit value at end of period		$1.18		$1.09		$1.07		—		—		—		—		—		—		—
Number of accumulation units outstanding at end of period (000 omitted)		4,691		9,103		5,162		—		—		—		—		—		—		—
Variable Portfolio – Partners Small Cap Value Fund (Class 3) (08/14/2001)
Accumulation unit value at beginning of period		$1.98		$2.08		$1.68		$1.24		$1.82		$1.92		$1.61		$1.53		$1.28		$0.93
Accumulation unit value at end of period		$2.23		$1.98		$2.08		$1.68		$1.24		$1.82		$1.92		$1.61		$1.53		$1.28
Number of accumulation units outstanding at end of period (000 omitted)		402		542		707		3,210		3,353		3,487		2,495		2,068		860		982
Variable Portfolio – Sit Dividend Growth Fund (Class 3) (05/01/2006)
Accumulation unit value at beginning of period		$0.96		$1.00		$0.90		$0.69		$1.13		$1.09		$1.00		—		—		—
Accumulation unit value at end of period		$1.06		$0.96		$1.00		$0.90		$0.69		$1.13		$1.09		—		—		—
Number of accumulation units outstanding at end of period (000 omitted)		200		264		276		7,045		4,641		3,570		3,666		—		—		—
Variable Portfolio – Victory Established Value Fund (Class 3) (02/04/2004)
Accumulation unit value at beginning of period		$1.32		$1.42		$1.17		$0.86		$1.37		$1.30		$1.13		$1.13		$1.00		—
Accumulation unit value at end of period		$1.53		$1.32		$1.42		$1.17		$0.86		$1.37		$1.30		$1.13		$1.13		—
Number of accumulation units outstanding at end of period (000 omitted)		125		127		115		176		74		115		77		235		182		—
Wanger International (09/15/1999)
Accumulation unit value at beginning of period		$2.27		$2.67		$2.15		$1.44		$2.67		$2.31		$1.69		$1.40		$1.08		$0.73
Accumulation unit value at end of period		$2.74		$2.27		$2.67		$2.15		$1.44		$2.67		$2.31		$1.69		$1.40		$1.08
Number of accumulation units outstanding at end of period (000 omitted)		887		992		1,120		2,334		2,433		2,932		3,471		2,814		1,701		1,136

110  RIVERSOURCE RETIREMENT ADVISOR VARIABLE ANNUITY – BAND 3 – 2012 ANNUAL REPORT

Variable account charges of 0.55% of the daily net assets of the variable account. (continued)
Year ended Dec. 31,	2012		2011		2010		2009		2008		2007		2006		2005		2004		2003
Wanger USA (09/15/1999)
Accumulation unit value at beginning of period		$2.01		$2.09		$1.71		$1.21		$2.01		$1.92		$1.79		$1.62		$1.37		$0.96
Accumulation unit value at end of period		$2.40		$2.01		$2.09		$1.71		$1.21		$2.01		$1.92		$1.79		$1.62		$1.37
Number of accumulation units outstanding at end of period (000 omitted)		631		895		1,057		2,350		3,272		3,659		3,852		2,709		1,415		1,250
Wells Fargo Advantage VT Index Asset Allocation Fund – Class 2 (05/01/2001)
Accumulation unit value at beginning of period		$1.34		$1.26		$1.12		$0.98		$1.38		$1.29		$1.16		$1.11		$1.02		$0.84
Accumulation unit value at end of period		$1.50		$1.34		$1.26		$1.12		$0.98		$1.38		$1.29		$1.16		$1.11		$1.02
Number of accumulation units outstanding at end of period (000 omitted)		—		2		2		4		4		7		31		355		91		66
Wells Fargo Advantage VT International Equity Fund – Class 2 (02/04/2004)
Accumulation unit value at beginning of period		$1.23		$1.43		$1.23		$1.07		$1.84		$1.62		$1.32		$1.15		$1.00		—
Accumulation unit value at end of period		$1.39		$1.23		$1.43		$1.23		$1.07		$1.84		$1.62		$1.32		$1.15		—
Number of accumulation units outstanding at end of period (000 omitted)		278		311		337		2,398		408		500		669		661		76		—
Wells Fargo Advantage VT Small Cap Growth Fund – Class 2 (05/01/2001)
Accumulation unit value at beginning of period		$1.43		$1.51		$1.20		$0.79		$1.35		$1.20		$0.98		$0.93		$0.82		$0.58
Accumulation unit value at end of period		$1.54		$1.43		$1.51		$1.20		$0.79		$1.35		$1.20		$0.98		$0.93		$0.82
Number of accumulation units outstanding at end of period (000 omitted)		136		160		198		225		258		231		84		35		10		10

RIVERSOURCE RETIREMENT ADVISOR VARIABLE ANNUITY – BAND 3 – 2012 ANNUAL REPORT  111

REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM

TO THE BOARD OF DIRECTORS AND SHAREHOLDER OF
RIVERSOURCE LIFE INSURANCE COMPANY:

We have audited the accompanying consolidated balance sheets of RiverSource Life Insurance Company and its subsidiaries (the “Company”) as of December 31, 2012 and December 31, 2011 and the related consolidated statements of income, statements of comprehensive income, shareholder’s equity, and cash flows for each of the two years in the period ended December 31, 2012. These financial statements are the responsibility of the Company’s management. Our responsibility is to express an opinion on these financial statements based on our audits.

We conducted our audits in accordance with the standards of the Public Company Accounting Oversight Board (United States). Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audit provides a reasonable basis for our opinion.

In our opinion, the consolidated financial statements referred to above present fairly, in all material respects, the financial position of RiverSource Life Insurance Company and its subsidiaries at December 31, 2012 and December 31, 2011, and the results of their operations and their cash flows for each of the two years in the period ended December 31, 2012 in conformity with accounting principles generally accepted in the United States of America.

As discussed in Note 1 to the Consolidated Financial Statements, the Company changed the manner in which it accounts for deferred acquisition costs in 2012.

Minneapolis, Minnesota

February 26, 2013

F-1

REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM

THE BOARD OF DIRECTORS
RIVERSOURCE LIFE INSURANCE COMPANY

We have audited the accompanying consolidated statements of income, comprehensive income, shareholder’s equity and cash flows of RiverSource Life Insurance Company, (a wholly owned subsidiary of Ameriprise Financial, Inc.) (the Company) for the year ended December 31, 2010. These financial statements are the responsibility of the Company’s management. Our responsibility is to express an opinion on these financial statements based on our audit.

We conducted our audit in accordance with the standards of the Public Company Accounting Oversight Board (United States). Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. We were not engaged to perform an audit of the Company’s internal control over financial reporting. Our audit included consideration of internal control over financial reporting as a basis for designing audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Company’s internal control over financial reporting. Accordingly, we express no such opinion. An audit also includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements, assessing the accounting principles used and significant estimates made by management, and evaluating the overall financial statement presentation. We believe that our audit provides a reasonable basis for our opinion.

In our opinion, the financial statements referred to above present fairly, in all material respects, the consolidated results of RiverSource Life Insurance Company’s operations and its cash flows for the year ended December 31, 2010, in conformity with U.S. generally accepted accounting principles.

As discussed in Notes 1 and 3 to the consolidated financial statements, in 2012 the Company adopted new accounting guidance related to the deferral of acquisition costs for insurance and annuity products. The accompanying 2010 financial statements have been retrospectively adjusted.

Minneapolis, Minnesota

February 23, 2011; except for Notes 1 and 3, regarding the impact of the adopted new accounting guidance related to the deferral of acquisition costs for insurance and annuity products, as to which the date is February 26, 2013.

F-2

RiverSource Life Insurance Company

CONSOLIDATED BALANCE SHEETS
(in millions, except share amounts)

December 31,	2012		2011
Assets
Investments:
Available-for-Sale:
Fixed maturities, at fair value (amortized cost: 2012, $23,058; 2011, $24,398)	$	25,932	$	26,577
Common stocks, at fair value (cost: 2012, $2; 2011, $1)		4		2
Mortgage loans, at amortized cost (less allowance for loan losses: 2012, $26; 2011, $32)		3,389		2,473
Policy loans		752		739
Other investments		743		730
Total investments		30,820		30,521
Cash and cash equivalents		336		828
Restricted cash		86		26
Reinsurance recoverables		2,047		1,953
Other receivables		203		162
Accrued investment income		291		307
Deferred acquisition costs		2,373		2,413
Deferred sales inducement costs		404		464
Other assets		3,793		3,638
Separate account assets		69,395		63,174
Total assets	$	109,748	$	103,486
Liabilities and Shareholder’s Equity
Liabilities:
Future policy benefits	$	30,670	$	31,169
Policy claims and other policyholders’ funds		132		121
Borrowings under repurchase agreements		501		504
Line of credit with Ameriprise Financial, Inc.		150		300
Other liabilities		4,201		3,608
Separate account liabilities		69,395		63,174
Total liabilities		105,049		98,876
Shareholder’s equity:
Common stock, $30 par value; 100,000 shares authorized, issued and outstanding		3		3
Additional paid-in capital		2,462		2,461
Retained earnings		1,000		1,215
Accumulated other comprehensive income, net of tax		1,234		931
Total shareholder’s equity		4,699		4,610
Total liabilities and shareholder’s equity	$	109,748	$	103,486

See Notes to Consolidated Financial Statements.

F-3

RiverSource Life Insurance Company

CONSOLIDATED STATEMENTS OF INCOME
(in millions)

Years Ended December 31,	2012			2011			2010
Revenues
Premiums	$	442		$	493		$	489
Net investment income		1,480			1,593			1,629
Policy and contract charges		1,593			1,540			1,389
Other revenues		329			303			272
Net realized investment gains (losses)		(3	)		5			16
Total revenues		3,841			3,934			3,795
Benefits and expenses
Benefits, claims, losses and settlement expenses		1,216			950			1,203
Interest credited to fixed accounts		831			856			909
Amortization of deferred acquisition costs		225			336			53
Other insurance and operating expenses		755			781			746
Total benefits and expenses		3,027			2,923			2,911
Pretax income		814			1,011			884
Income tax provision		164			190			195
Net income	$	650		$	821		$	689
Supplemental Disclosures:
Total other-than-temporary impairment losses on securities	$	(12	)	$	(47	)	$	(22	)
Portion of gain (loss) recognized in other comprehensive income (before taxes)		(5	)		23			(6	)
Net impairment losses recognized in net realized investment gains (losses)	$	(17	)	$	(24	)	$	(28	)

See Notes to Consolidated Financial Statements.

F-4

RiverSource Life Insurance Company

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME
(in millions)

Years Ended December 31,	2012			2011			2010
Net income	$	650		$	821		$	689
Other comprehensive income, net of tax:
Net unrealized gains on securities:
Net unrealized securities gains arising during the period		451			364			516
Reclassification of net securities (gains) losses included in net income		1			(3	)		(13	)
Impact on deferred acquisition costs, deferred sales inducement costs, benefit reserves and reinsurance recoverables		(154	)		(194	)		(169	)
Total net unrealized gains on securities		298			167			334
Net unrealized losses on derivatives:
Reclassification of net derivative losses included in net income		5			4			4
Total net unrealized losses on derivatives		5			4			4
Total other comprehensive income, net of tax		303			171			338
Total comprehensive income	$	953		$	992		$	1,027

See Notes to Consolidated Financial Statements.

F-5

RiverSource Life Insurance Company

CONSOLIDATED STATEMENTS OF SHAREHOLDER’S EQUITY
(in millions)

			Additional					Accumulated Other
	Common		Paid-In		Retained			Comprehensive
	Shares		Capital		Earnings			Income		Total
Balances at January 1, 2010, previously reported	$	3	$	2,445	$	3,114		$	382	$	5,944
Cumulative effect of change in accounting policies, net of tax		—		—		(1,309	)		40		(1,269	)
Balances at January 1, 2010, as adjusted	$	3	$	2,445	$	1,805		$	422	$	4,675
Comprehensive income:
Net income		—		—		689			—		689
Other comprehensive income, net of tax		—		—		—			338		338
Total comprehensive income											1,027
Tax adjustment on share-based incentive compensation plan		—		1		—			—		1
Cash dividends to Ameriprise Financial, Inc.		—		—		(500	)		—		(500	)
Non-cash capital contribution from Ameriprise Financial, Inc.		—		14		—			—		14
Balances at December 31, 2010		3		2,460		1,994			760		5,217
Comprehensive income:
Net income		—		—		821			—		821
Other comprehensive income, net of tax		—		—		—			171		171
Total comprehensive income											992
Tax adjustment on share-based incentive compensation plan		—		1		—			—		1
Cash dividends to Ameriprise Financial, Inc.		—		—		(750	)		—		(750	)
Non-cash dividend to Ameriprise Financial, Inc.		—		—		(850	)		—		(850	)
Balances at December 31, 2011		3		2,461		1,215			931		4,610
Comprehensive income:
Net income		—		—		650			—		650
Other comprehensive income, net of tax		—		—		—			303		303
Total comprehensive income											953
Tax adjustment on share-based incentive compensation plan		—		1		—			—		1
Cash dividends to Ameriprise Financial, Inc.		—		—		(865	)		—		(865	)
Balances at December 31, 2012	$	3	$	2,462	$	1,000		$	1,234	$	4,699

See Notes to Consolidated Financial Statements.

F-6

RiverSource Life Insurance Company

CONSOLIDATED STATEMENTS OF CASH FLOWS
(in millions)

Years Ended December 31,	2012			2011			2010
Cash Flows from Operating Activities
Net income	$	650		$	821		$	689
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation, amortization and accretion, net		(16	)		(73	)		(79	)
Deferred income tax expense (benefit)		(40	)		50			359
Contractholder and policyholder charges, non-cash		(273	)		(264	)		(259	)
Loss from equity method investments		26			33			19
Net realized investment gains		(14	)		(26	)		(46	)
Other-than-temporary impairments and provision for loan losses recognized in net realized investment gains		17			21			29
Change in operating assets and liabilities:
Deferred acquisition costs		(28	)		54			(242	)
Deferred sales inducement costs		51			72			(38	)
Other investments, net		25			—			10
Future policy benefits for traditional life, disability income and long term care insurance		238			253			302
Policy claims and other policyholders’ funds		11			(13	)		11
Reinsurance recoverables		(107	)		(127	)		(143	)
Other receivables		(35	)		25			(53	)
Accrued investment income		16			2			(6	)
Derivatives collateral, net		(432	)		649			55
Other, net		623			191			271
Net cash provided by operating activities		712			1,668			879
Cash Flows from Investing Activities
Available-for-Sale securities:
Proceeds from sales		156			664			1,268
Maturities, sinking fund payments and calls		3,292			3,200			3,719
Purchases		(2,271	)		(4,084	)		(4,970	)
Proceeds from sales, maturities and repayments of mortgage loans		310			202			207
Funding of mortgage loans		(277	)		(207	)		(154	)
Purchase of residential mortgage loans from affiliate		(954	)		—			—
Proceeds from sales of other investments		117			114			95
Purchase of other investments		(286	)		(296	)		(86	)
Purchase of land, buildings, equipment and software		(8	)		(6	)		(15	)
Change in policy loans, net		(13	)		(10	)		(14	)
Net cash provided by (used in) investing activities		66			(423	)		50
Cash Flows from Financing Activities
Policyholder and contractholder account values:
Considerations received		1,406			1,378			1,593
Net transfers from (to) separate accounts		(30	)		39			(1,337	)
Surrenders and other benefits		(1,271	)		(1,311	)		(1,338	)
Change in borrowings under repurchase agreements, net		(5	)		107			397
Proceeds from line of credit with Ameriprise Financial, Inc.		418			415			13
Payments on line of credit with Ameriprise Financial, Inc.		(568	)		(118	)		(310	)
Deferred premium options, net		(356	)		(254	)		(182	)
Tax adjustment on share-based incentive compensation plan		1			1			—
Cash dividend to Ameriprise Financial, Inc.		(865	)		(750	)		(500	)
Net cash used in financing activities		(1,270	)		(493	)		(1,664	)
Net increase (decrease) in cash and cash equivalents		(492	)		752			(735	)
Cash and cash equivalents at beginning of period		828			76			811
Cash and cash equivalents at end of period	$	336		$	828		$	76
Supplemental Disclosures:
Income taxes paid, net	$	109		$	176		$	112
Interest paid on borrowings		4			5			3
Non-cash investing activity:
Capital contributions from Ameriprise Financial, Inc.	$	—		$	—		$	14
Dividend to Ameriprise Financial, Inc.		—			850			—
Affordable housing partnership commitments not yet remitted		13			137			171

See Notes to Consolidated Financial Statements.

F-7

RiverSource Life Insurance Company

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

1.  NATURE OF BUSINESS AND BASIS OF PRESENTATION

RiverSource Life Insurance Company is a stock life insurance company with one wholly owned stock life insurance company subsidiary, RiverSource Life Insurance Co. of New York (“RiverSource Life of NY”). RiverSource Life Insurance Company is a wholly owned subsidiary of Ameriprise Financial, Inc. (“Ameriprise Financial”).

•  RiverSource Life Insurance Company is domiciled in Minnesota and holds Certificates of Authority in American Samoa, the District of Columbia and all states except New York. RiverSource Life Insurance Company issues insurance and annuity products.

•  RiverSource Life of NY is domiciled and holds a Certificate of Authority in New York. RiverSource Life of NY issues insurance and annuity products.

RiverSource Life Insurance Company also wholly owns RiverSource Tax Advantaged Investments, Inc. (“RTA”). RTA is a stock company domiciled in Delaware and is a limited partner in affordable housing partnership investments.

The accompanying Consolidated Financial Statements include the accounts of RiverSource Life Insurance Company and companies in which it directly or indirectly has a controlling financial interest (collectively, the “Company”). All intercompany transactions and balances have been eliminated in consolidation.

The accompanying Consolidated Financial Statements are prepared in accordance with U.S. generally accepted accounting principles (“GAAP”) which vary in certain respects from reporting practices prescribed or permitted by state insurance regulatory authorities as described in Note 15. Certain reclassifications of prior period amounts have been made to conform to the current presentation.

In the fourth quarter of 2012, the Company made an adjustment to the model which values the reserves related to living benefit guarantees primarily attributable to prior periods, which resulted in a $41 million pretax benefit, net of deferred acquisition costs (“DAC”) and deferred sales inducement costs (“DSIC”) amortization of $11 million. In the second quarter of 2012, the Company made a correction for a tax item related to securities lending activities primarily attributable to prior periods, which resulted in a $32 million increase to tax expense. Management has determined that the effect of these corrections is not material to all current and previously issued financial statements.

The Company evaluated events or transactions that may have occurred after the balance sheet date for potential recognition or disclosure through the date the financial statements were issued.

On January 1, 2012, the Company retrospectively adopted the new accounting standard for DAC for insurance and annuity products. See Note 2 and Note 3 for further information on the new accounting standard and the resulting changes in the Company’s accounting policies on the deferral of acquisition costs.

F-8

RiverSource Life Insurance Company

The following tables present the effect of the change on affected financial statement line items for prior periods retrospectively adjusted.

	December 31, 2011
	Previously		Effect of			As
(in millions)	Reported		Change			Adjusted
Balance Sheets
Assets
Deferred income taxes, net	$	—	$	60		$	60
Deferred acquisition costs		4,367		(1,954	)		2,413
Total assets		105,380		(1,894	)		103,486
Liabilities and Shareholder’s Equity
Liabilities:
Future policy benefits		31,182		(13	)		31,169
Deferred income taxes, net		620		(620	)		—
Other liabilities		3,607		1			3,608
Total liabilities		99,508		(632	)		98,876
Shareholder’s equity:
Retained earnings		2,589		(1,374	)		1,215
Accumulated other comprehensive income, net of tax		819		112			931
Total shareholder’s equity		5,872		(1,262	)		4,610
Total liabilities and shareholder’s equity		105,380		(1,894	)		103,486

	December 31, 2010							January 1, 2010
	Previously		Effect of			As		Previously		Effect of			As
(in millions)	Reported		Change			Adjusted		Reported		Change			Adjusted
Statements of Shareholder’s Equity
Retained earnings	$	3,410	$	(1,416	)	$	1,994	$	3,114	$	(1,309	)	$	1,805
Accumulated other comprehensive income, net of tax		675		85			760		382		40			422
Total shareholder’s equity		6,548		(1,331	)		5,217		5,944		(1,269	)		4,675

	Year Ended December 31, 2011							Year Ended December 31, 2010
	Previously		Effect of			As		Previously		Effect of			As
(in millions)	Reported		Change			Adjusted		Reported		Change			Adjusted
Statements of Income
Revenues
Total revenues	$	3,934	$	—		$	3,934	$	3,795	$	—		$	3,795
Benefits and expenses
Benefits, claims, losses and settlement expenses		950		—			950		1,203		—			1,203
Interest credited to fixed accounts		853		3			856		909		—			909
Amortization of deferred acquisition costs		539		(203	)		336		53		—			53
Other insurance and operating expenses		645		136			781		582		164			746
Total benefits and expenses		2,987		(64	)		2,923		2,747		164			2,911
Pretax income		947		64			1,011		1,048		(164	)		884
Income tax provision		168		22			190		252		(57	)		195
Net income	$	779	$	42		$	821	$	796	$	(107	)	$	689

The Company’s principal products are variable deferred annuities and variable universal life insurance which are issued primarily to individuals. It also offers fixed annuities where assets accumulate until the contract is surrendered, the contractholder (or in some contracts, the annuitant) dies, or the contractholder or annuitant begins receiving benefits under an annuity payout option. It also offers immediate annuities in which payments begin within one year of issue and continue for life or for a fixed period of time. The Company’s fixed deferred annuities guarantee a relatively low annual interest rate during the accumulation period (the time before annuity payments begin). However, the Company has the option of paying a higher rate set at its discretion. In addition, persons owning an equity indexed annuity (“EIA”) may have their interest calculated based on an increase in a broad-based stock market index.

The Company issues both variable and fixed universal life insurance, traditional life insurance and disability income (“DI”) insurance. Universal life insurance is a form of permanent life insurance characterized by flexible premiums, flexible death benefit amounts and unbundled pricing factors (i.e., mortality, interest and expenses). Traditional life insurance refers to whole and term life insurance policies that pay a specified sum to a beneficiary upon death of the insured for a fixed premium. Variable universal life insurance combines the premium and death benefit flexibility of universal life with underlying fund investment flexibility and the risks associated therewith. Waiver of premium and accidental death benefit riders are generally

F-9

RiverSource Life Insurance Company

available with these life insurance products. In 2011, the Company began offering indexed universal life (“IUL”) insurance. IUL is similar to universal life insurance in that it provides life insurance coverage and cash value that increases as a result of credited interest. Also, like universal life insurance, there is a minimum guaranteed credited rate of interest. Unlike universal life insurance, the rate of credited interest above the minimum guarantee for funds allocated to the indexed account is linked to the S&P 500 Index (subject to a cap). The policyholder may allocate all or a portion of the policy value to a fixed or indexed account. The Company issues only non-participating life insurance policies which do not pay dividends to policyholders from realized policy margins.

Under the Company’s variable life insurance and variable annuity products described above, the purchaser may choose a fixed account option that is part of the Company’s “general account”, as well as investment options from a variety of portfolios that include common stocks, bonds, managed assets and/or short-term securities.

2.  SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

Principles of Consolidation

The Company consolidates entities in which it holds a greater than 50% voting interest, or when certain conditions are met for variable interest entities (“VIEs”) and limited partnerships. Entities in which the Company exercises significant influence or holds a greater than 20% but less than 50% voting interest are accounted for under the equity method. All other investments that are not reported at fair value as trading or Available-for-Sale securities are accounted for under the cost method where the Company owns less than a 20% voting interest and does not exercise significant influence.

A VIE is an entity that either has equity investors that lack certain essential characteristics of a controlling financial interest (including substantive voting rights, the obligation to absorb the entity’s losses, or the rights to receive the entity’s returns) or has equity investors that do not provide sufficient financial resources for the entity to support its activities. A VIE is required to be assessed for consolidation under two models:

•  If the VIE is a money market fund or is an investment company, or has the financial characteristics of an investment company, and the following is true:

(i)  the entity does not have an explicit or implicit obligation to fund the investment company’s losses; and

(ii)  the investment company is not a securitization entity, asset backed financing entity, or an entity formally considered a qualifying special purpose entity,

then, the VIE will be consolidated by the entity that determines it stands to absorb a majority of the VIE’s expected losses or to receive a majority of the VIE’s expected residual returns. Examples of entities that are likely to be assessed for consolidation under this framework include hedge funds, property funds, private equity funds and venture capital funds.

•  If the VIE does not meet the criteria above, the VIE will be consolidated by the entity that determines it has both:

(i)  the power to direct the activities of the VIE that most significantly impact the VIE’s economic performance; and

(ii)  the obligation to absorb losses of the VIE that could potentially be significant to the VIE or the right to receive benefits from the VIE that could potentially be significant to the VIE.

When determining whether the Company stands to absorb the majority of a VIE’s expected losses or receive a majority of a VIE’s expected returns, it analyzes the design of the VIE to identify the variable interests it holds. Then the Company quantitatively determines whether its variable interests will absorb a majority of the VIE’s variability. If the Company determines it has control over the activities that most significantly impact the economic performance of the VIE and it will absorb a majority of the VIE’s expected variability, the Company consolidates the VIE. The calculation of variability is based on an analysis of projected probability-weighted cash flows based on the design of the particular VIE. When determining whether the Company has the power and the obligation to absorb losses or rights to receive benefits from the VIE that could potentially be significant, the Company qualitatively determines if its variable interests meet these criteria. If the Company consolidates a VIE under either scenario, it is referred to as the VIE’s primary beneficiary.

Amounts Based on Estimates and Assumptions

Accounting estimates are an integral part of the Consolidated Financial Statements. In part, they are based upon assumptions concerning future events. Among the more significant are those that relate to investment securities valuation and recognition of other-than-temporary impairments, DAC and the corresponding recognition of DAC amortization, derivative instruments and hedging activities, claims reserves and income taxes and the recognition of deferred tax assets and liabilities. These accounting estimates reflect the best judgment of management and actual results could differ.

F-10

RiverSource Life Insurance Company

Investments

Available-for-Sale Securities

Available-for-Sale securities are carried at fair value with unrealized gains (losses) recorded in accumulated other comprehensive income, net of impacts to DAC, DSIC, certain benefit reserves and income taxes. Gains and losses are recognized in the Consolidated Statements of Income upon disposition of the securities.

When the fair value of an investment is less than its amortized cost, the Company assesses whether or not: (i) it has the intent to sell the security (made a decision to sell) or (ii) it is more likely than not that the Company will be required to sell the security before its anticipated recovery. If either of these conditions is met, an other-than-temporary impairment is considered to have occurred and the Company must recognize an other-than-temporary impairment for the difference between the investment’s amortized cost basis and its fair value through earnings. For securities that do not meet the above criteria and the Company does not expect to recover a security’s amortized cost basis, the security is also considered other-than-temporarily impaired. For these securities, the Company separates the total impairment into the credit loss component and the amount of the loss related to other factors. The amount of the total other-than-temporary impairment related to credit loss is recognized in earnings.

The amount of the total other-than-temporary impairment related to other factors is recognized in other comprehensive income, net of impacts to DAC, DSIC, certain benefit reserves and income taxes. For Available-for-Sale securities that have recognized an other-than-temporary impairment through earnings, the difference between the amortized cost basis and the cash flows expected to be collected is accreted as interest income, if through subsequent evaluation there is a sustained increase in the cash flow expected. Subsequent increases and decreases in the fair value of Available-for-Sale securities are included in other comprehensive income.

The Company provides a supplemental disclosure on the face of its Consolidated Statements of Income that presents: (i) total other-than-temporary impairment losses recognized during the period and (ii) the portion of other-than-temporary impairment losses recognized in other comprehensive income. The sum of these amounts represents the credit-related portion of other-than-temporary impairments that were recognized in earnings during the period. The portion of other-than-temporary losses recognized in other comprehensive income includes: (i) the portion of other-than-temporary impairment losses related to factors other than credit recognized during the period and (ii) reclassifications of other-than-temporary impairment losses previously determined to be related to factors other than credit that are determined to be credit-related in the current period. The amount presented on the Consolidated Statements of Income as the portion of other-than-temporary losses recognized in other comprehensive income excludes subsequent increases and decreases in the fair value of these securities.

For all securities that are considered temporarily impaired, the Company does not intend to sell these securities (has not made a decision to sell) and it is not more likely than not that the Company will be required to sell the security before recovery of its amortized cost basis. The Company believes that it will collect all principal and interest due on all investments that have amortized cost in excess of fair value that are considered only temporarily impaired.

Factors the Company considers in determining whether declines in the fair value of fixed maturity securities are other-than-temporary include: (i) the extent to which the market value is below amortized cost; (ii) the duration of time in which there has been a significant decline in value; (iii) fundamental analysis of the liquidity, business prospects and overall financial condition of the issuer; and (iv) market events that could impact credit ratings, economic and business climate, litigation and government actions, and similar external business factors. In order to determine the amount of the credit loss component for corporate debt securities considered other-than-temporarily impaired, a best estimate of the present value of cash flows expected to be collected discounted at the security’s effective interest rate is compared to the amortized cost basis of the security. The significant inputs to cash flow projections consider potential debt restructuring terms, projected cash flows available to pay creditors and the Company’s position in the debtor’s overall capital structure.

For structured investments (e.g., residential mortgage backed securities, commercial mortgage backed securities and asset backed securities), the Company also considers factors such as overall deal structure and its position within the structure, quality of underlying collateral, delinquencies and defaults, loss severities, recoveries, prepayments and cumulative loss projections in assessing potential other-than-temporary impairments of these investments. Based upon these factors, securities that have indicators of potential other-than-temporary impairment are subject to detailed review by management. Securities for which declines are considered temporary continue to be carefully monitored by management.

Mortgage Loans, net

Mortgage loans, net reflect the Company’s interest in commercial and residential mortgage loans, less the related allowance for loan losses.

F-11

RiverSource Life Insurance Company

Policy Loans

Policy loans include life insurance policy and annuity loans and are reported at the unpaid principal balance, plus accrued interest.

Other Investments

Other investments primarily reflect the Company’s interests in affordable housing partnerships and syndicated loans which represent investments in below investment grade loan syndications. Affordable housing partnerships are accounted for under the equity method.

Financing Receivables

Mortgage Loans and Syndicated Loans

Mortgage loans and syndicated loans are stated at amortized cost, net of allowances for loan losses, if any.

In October 2012, the Company purchased residential mortgage loans from an affiliate, Ameriprise Bank, FSB. These loans were purchased at fair value. The purchase price takes into account the credit quality of the loan portfolio, resulting in no allowance for loan losses recorded at the acquisition date.

Interest income is accrued on the unpaid principal balances of the loans as earned.

Policy Loans

When originated, policy loan balances do not exceed the cash surrender value of the underlying products. As there is minimal risk of loss related to these loans, the Company does not record an allowance for loan losses for policy loans.

Nonaccrual Loans

Generally, loans are evaluated for or placed on nonaccrual status when either the collection of interest or principal has become 90 days past due or is otherwise considered doubtful of collection. When a loan is placed on nonaccrual status, unpaid accrued interest is reversed. Interest payments received on loans on nonaccrual status are generally applied to principal or in accordance with the loan agreement unless the remaining principal balance has been determined to be fully collectible.

Commercial mortgage loans are evaluated for impairment when the loan is considered for nonaccrual status, restructured or foreclosure proceedings are initiated on the property. If it is determined that the fair value is less than the current loan balance, it is written down to fair value less estimated selling costs. Residential mortgage loans are charged off when management determines the assets are uncollectible and commences foreclosure proceedings on the property, at which time the property is written down to fair value less selling costs. Foreclosed property is recorded as real estate owned in other investments. Syndicated loans are placed on nonaccrual status when management determines it will not collect all contractual principal and interest on the loan.

Allowance for Loan Losses

Management determines the adequacy of the allowance for loan losses by portfolio based on the overall loan portfolio composition, recent and historical loss experience, and other pertinent factors, including when applicable, internal risk ratings, loan-to-value (“LTV”) ratios, FICO scores of the borrower and occupancy rates, along with economic and market conditions. This evaluation is inherently subjective as it requires estimates, which may be susceptible to significant change.

The Company determines the amount of the allowance required for certain sectors based on management’s assessment of relative risk characteristics of the loan portfolio. The allowance is recorded for homogeneous loan categories on a pool basis, based on an analysis of product mix and risk characteristics of the portfolio, including geographic concentration, bankruptcy experiences, and historical losses, adjusted for current trends and market conditions.

While the Company attributes portions of the allowance to specific loan pools as part of the allowance estimation process, the entire allowance is available to absorb losses inherent in the total loan portfolio. The allowance is increased through provisions charged to net realized investment gains (losses) and reduced/increased by net charge-offs/recoveries.

Impaired Loans

The Company considers a loan to be impaired when, based on current information and events, it is probable the Company will not be able to collect all amounts due (both interest and principal) according to the contractual terms of the loan agreement. Impaired loans may also include loans that have been modified in troubled debt restructurings as a concession to borrowers experiencing financial difficulties. Management evaluates for impairment all restructured loans and loans with higher impairment risk factors. Factors used by the Company to determine whether all amounts due on commercial mortgage loans will be collected, include but are not limited to, the financial condition of the borrower, performance of the underlying properties, collateral and/or guarantees on the loan, and the borrower’s estimated future ability to pay based on property type and geographic location. The evaluation of impairment on residential mortgage loans is primarily driven by delinquency status

F-12

RiverSource Life Insurance Company

of individual loans. The impairment recognized is measured as the excess of the loan’s recorded investment over: (i) the present value of its expected principal and interest payments discounted at the loan’s effective interest rate, (ii) the fair value of collateral or (iii) the loan’s observable market price.

Restructured Loans

A loan is classified as a restructured loan when the Company makes certain concessionary modifications to contractual terms for borrowers experiencing financial difficulties. When the interest rate, minimum payments, and/or due dates have been modified in an attempt to make the loan more affordable to a borrower experiencing financial difficulties, the modification is considered a troubled debt restructuring. Generally, performance prior to the restructuring or significant events that coincide with the restructuring are considered in assessing whether the borrower can meet the new terms which may result in the loan being returned to accrual status at the time of the restructuring or after a performance period. If the borrower’s ability to meet the revised payment schedule is not reasonably assured, the loan remains on nonaccrual status.

Cash and Cash Equivalents

Cash equivalents include highly liquid investments with original maturities of 90 days or less.

Restricted Cash

Total restricted cash at December 31, 2012 and 2011 was $86 million and $26 million, respectively, consisting of cash that has been pledged to counterparties.

Reinsurance

The Company cedes significant amounts of insurance risk to other insurers under reinsurance agreements. Reinsurance premiums paid and benefits received are accounted for consistently with the basis used in accounting for the policies from which risk is reinsured and consistently with the terms of the reinsurance contracts. Reinsurance premiums for traditional life, long term care (“LTC”) and DI ceded on a coinsurance basis, net of the change in any prepaid reinsurance asset, are reported as a reduction of premiums. Fixed and variable universal life reinsurance premiums are reported as a reduction of policy and contract charges. In addition, for fixed and variable universal life insurance policies, the net cost of reinsurance ceded, which represents the discounted amount of the expected cash flows between the reinsurer and the Company, is recognized as an asset and amortized over the term of the reinsurance contract, in proportion to the estimated gross profits and is subject to retrospective adjustment in a manner similar to retrospective adjustment of DAC. The assumptions used to project the expected cash flows are consistent with those used for DAC asset valuation for the same contracts. Changes in the net cost of reinsurance are reflected as a component of policy and contract charges. Reinsurance recoveries are reported as components of benefits, claims, losses and settlement expenses.

Insurance liabilities are reported before the effects of reinsurance. Future policy benefits and policy claims and other policyholders’ funds recoverable under reinsurance contracts are recorded as reinsurance recoverables.

The Company also assumes life insurance and fixed annuity risk from other insurers in limited circumstances. Reinsurance premiums received and benefits paid are accounted for consistently with the basis used in accounting for the policies from which risk is reinsured and consistently with the terms of the reinsurance contracts. Liabilities for assumed business are recorded within future policy benefits.

See Note 8 for additional information on reinsurance.

Land, Buildings, Equipment and Software

Land, buildings, equipment and internally developed or purchased software are carried at cost less accumulated depreciation or amortization and are reflected within other assets. The Company generally uses the straight-line method of depreciation and amortization over periods ranging from three to 30 years.

At December 31, 2012 and 2011, land, buildings, equipment and software were $174 million and $182 million, respectively, net of accumulated depreciation of $91 million and $75 million, respectively. Depreciation and amortization expense for the years ended December 31, 2012, 2011 and 2010 was $17 million, $16 million and $14 million, respectively.

Derivative Instruments and Hedging Activities

Freestanding derivative instruments are recorded at fair value and are reflected in other assets or other liabilities. The Company’s policy is to not offset fair value amounts recognized for derivatives and collateral arrangements executed with the same counterparty under the same master netting arrangement. The accounting for changes in the fair value of a derivative instrument depends on its intended use and the resulting hedge designation, if any. The Company primarily uses derivatives as economic hedges that are not designated as accounting hedges or do not qualify for hedge accounting treatment. The Company occasionally designates derivatives as (i) hedges of changes in the fair value of assets, liabilities, or firm

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RiverSource Life Insurance Company

commitments (“fair value hedges”) or (ii) hedges of a forecasted transaction or of the variability of cash flows to be received or paid related to a recognized asset or liability (“cash flow hedges”).

Derivative instruments that are entered into for hedging purposes are designated as such at the time the Company enters into the contract. For all derivative instruments that are designated for hedging activities, the Company formally documents all of the hedging relationships between the hedge instruments and the hedged items at the inception of the relationships. Management also formally documents its risk management objectives and strategies for entering into the hedge transactions. The Company formally assesses, at inception and on a quarterly basis, whether derivatives designated as hedges are highly effective in offsetting the fair value or cash flows of hedged items. If it is determined that a derivative is no longer highly effective as a hedge, the Company will discontinue the application of hedge accounting.

For derivative instruments that do not qualify for hedge accounting or are not designated as accounting hedges, changes in fair value are recognized in current period earnings. Changes in fair value of derivatives are presented in the Consolidated Statements of Income based on the nature and use of the instrument. Changes in fair value of derivatives used as economic hedges are presented in the Consolidated Statements of Income with the corresponding change in the hedged asset or liability.

For derivative instruments that qualify as fair value hedges, changes in the fair value of the derivatives, as well as changes in the fair value of the hedged assets, liabilities or firm commitments, are recognized on a net basis in current period earnings. The carrying value of the hedged item is adjusted for the change in fair value from the designated hedged risk. If a fair value hedge designation is removed or the hedge is terminated prior to maturity, previous adjustments to the carrying value of the hedged item are recognized into earnings over the remaining life of the hedged item.

For derivative instruments that qualify as cash flow hedges, the effective portion of the gain or loss on the derivative instruments is reported in accumulated other comprehensive income and reclassified into earnings when the hedged item or transaction impacts earnings. The amount that is reclassified into earnings is presented in the Consolidated Statements of Income with the hedged instrument or transaction impact. Any ineffective portion of the gain or loss is reported in current period earnings as a component of net investment income. If a hedge designation is removed or a hedge is terminated prior to maturity, the amount previously recorded in accumulated other comprehensive income is reclassified to earnings over the period that the hedged item impacts earnings. For hedge relationships that are discontinued because the forecasted transaction is not expected to occur according to the original strategy, any related amounts previously recorded in accumulated other comprehensive income are recognized in earnings immediately.

The equity components of EIA and IUL obligations are considered an embedded derivative. Additionally, certain annuities contain guaranteed minimum accumulation benefit (“GMAB”) and guaranteed minimum withdrawal benefit (“GMWB”) provisions. The GMAB and the non-life contingent benefits associated with GMWB provisions are also considered embedded derivatives.

See Note 13 for information regarding the Company’s fair value measurement of derivative instruments and Note 16 for the impact of derivatives on the Consolidated Statements of Income.

Deferred Acquisition Costs

The Company incurs costs in connection with acquiring new and renewal insurance and annuity businesses. The portion of these costs which are incremental and direct to the acquisition of a new or renewal insurance policy or annuity contract are deferred. Significant costs capitalized by the Company include sales based compensation related to the acquisition of new and renewal insurance policies and annuity contracts, medical inspection costs for successful sales, and a portion of employee compensation and benefit costs based upon the amount of time spent on successful sales. Sales based compensation paid to Ameriprise Financial Services, Inc. (“AFSI”), a subsidiary of Ameriprise Financial, advisors and employees and third-party distributers is capitalized. Employee compensation and benefits costs which are capitalized relate primarily to sales efforts, underwriting and processing. All other costs which are not incremental direct costs of acquiring an insurance policy or annuity contract are expensed as incurred. The DAC associated with insurance policies or annuity contracts that are significantly modified or internally replaced with another contract are accounted for as contract terminations. These transactions are anticipated in establishing amortization periods and other valuation assumptions.

Costs deferred as DAC are amortized over time. For annuity and universal life (“UL”) contracts, DAC are amortized based on projections of estimated gross profits over amortization periods equal to the approximate life of the business. For other insurance products, DAC are generally amortized as a percentage of premiums over amortization periods equal to the premium-paying period.

For annuity and UL insurance products, the assumptions made in projecting future results and calculating the DAC balance and DAC amortization expense are management’s best estimates. Management is required to update these assumptions whenever it appears that, based on actual experience or other evidence, earlier estimates should be revised. When assumptions are changed, the percentage of estimated gross profits used to amortize DAC might also change. A change in the required

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RiverSource Life Insurance Company

amortization percentage is applied retrospectively; an increase in amortization percentage will result in a decrease in the DAC balance and an increase in DAC amortization expense, while a decrease in amortization percentage will result in an increase in the DAC balance and a decrease in DAC amortization expense. The impact on results of operations of changing assumptions can be either positive or negative in any particular period and is reflected in the period in which such changes are made.

For traditional life, DI and LTC insurance products, the assumptions made in calculating the DAC balance and DAC amortization expense are consistent with those used in determining the liabilities and, therefore, are intended to provide for adverse deviations in experience and are revised only if management concludes experience will be so adverse that DAC are not recoverable. If management concludes that DAC are not recoverable, DAC are reduced to the amount that is recoverable based on best estimate assumptions and there is a corresponding expense recorded in the Consolidated Statements of Income.

For annuity, life, DI and LTC insurance products, key assumptions underlying those long-term projections include interest rates (both earning rates on invested assets and rates credited to contractholder and policyholder accounts), equity market performance, mortality and morbidity rates and the rates at which policyholders are expected to surrender their contracts, make withdrawals from their contracts and make additional deposits to their contracts. Assumptions about earned and credited interest rates are the primary factors used to project interest margins, while assumptions about equity and bond market performance are the primary factors used to project client asset value growth rates, and assumptions about surrenders, withdrawals and deposits comprise projected persistency rates. Management must also make assumptions to project maintenance expenses associated with servicing its annuity and insurance businesses during the DAC amortization period.

The client asset value growth rates are the rates at which variable annuity and variable universal life (“VUL”) insurance contract values invested in separate accounts are assumed to appreciate in the future. The rates used vary by equity and fixed income investments. Management reviews and, where appropriate, adjusts its assumptions with respect to client asset value growth rates on a regular basis. The Company typically uses a five-year mean reversion process as a guideline in setting near-term equity fund growth rates based on a long-term view of financial market performance as well as recent actual performance. The suggested near-term equity fund growth rate is reviewed quarterly to ensure consistency with management’s assessment of anticipated equity market performance. DAC amortization expense recorded in a period when client asset value growth rates exceed management’s near-term estimate will typically be less than in a period when growth rates fall short of management’s near-term estimate.

The Company monitors other principal DAC amortization assumptions, such as persistency, mortality, morbidity, interest margin and maintenance expense levels each quarter and, when assessed independently, each could impact the Company’s DAC balances.

The analysis of DAC balances and the corresponding amortization is a dynamic process that considers all relevant factors and assumptions described previously. Unless the Company’s management identifies a significant deviation over the course of the quarterly monitoring, management reviews and updates these DAC amortization assumptions annually in the third quarter of each year.

Deferred Sales Inducement Costs

Sales inducement costs consist of bonus interest credits and premium credits added to certain annuity contract and insurance policy values. These benefits are capitalized to the extent they are incremental to amounts that would be credited on similar contracts without the applicable feature. The amounts capitalized are amortized using the same methodology and assumptions used to amortize DAC. The amortization of DSIC is recorded in benefits, claims, losses and settlement expenses.

Separate Account Assets and Liabilities

Separate account assets and liabilities are primarily funds held for the exclusive benefit of variable annuity contractholders and variable life insurance policyholders, who assume the related investment risk. Income and losses on separate account assets accrue directly to the contractholder or policyholder and are not reported in the Company’s Consolidated Statements of Income. Separate account assets are recorded at fair value. Changes in the fair value of separate account assets are offset by changes in the related separate account liabilities. The Company receives mortality and expense risk and other fees, guarantee fees and cost of insurance charges from the related accounts.

Future Policy Benefits and Policy Claims and Other Policyholders’ Funds

Fixed Annuities and Variable Annuity Guarantees

Future policy benefits and policy claims and other policyholders’ funds related to fixed annuities and variable annuity guarantees include liabilities for fixed account values on fixed and variable deferred annuities, guaranteed benefits associated with variable annuities, EIAs and fixed annuities in a payout status.

Liabilities for fixed account values on fixed and variable deferred annuities are equal to accumulation values, which are the cumulative gross deposits and credited interest less withdrawals and various charges.

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RiverSource Life Insurance Company

The majority of the variable annuity contracts offered by the Company contain guaranteed minimum death benefit (“GMDB”) provisions. When market values of the customer’s accounts decline, the death benefit payable on a contract with a GMDB may exceed the contract accumulation value. The Company also offers variable annuities with death benefit provisions that gross up the amount payable by a certain percentage of contract earnings, which are referred to as gain gross-up (“GGU”) benefits. In addition, the Company offers contracts containing GMWB and GMAB provisions, and until May 2007, the Company offered contracts containing guaranteed minimum income benefit (“GMIB”) provisions.

In determining the liabilities for GMDB, GMIB and the life contingent benefits associated with GMWB, the Company projects these benefits and contract assessments using actuarial models to simulate various equity market scenarios. Significant assumptions made in projecting future benefits and assessments relate to customer asset value growth rates, mortality, persistency and investment margins and are consistent with those used for DAC asset valuation for the same contracts. As with DAC, management reviews and, where appropriate, adjusts its assumptions each quarter. Unless management identifies a material deviation over the course of quarterly monitoring, management reviews and updates these assumptions annually in the third quarter of each year.

The GMDB liability is determined by estimating the expected value of death benefits in excess of the projected contract accumulation value and recognizing the excess over the estimated meaningful life based on expected assessments (e.g., mortality and expense fees, contractual administrative charges and similar fees).

If elected by the contract owner and after a stipulated waiting period from contract issuance, a GMIB guarantees a minimum lifetime annuity payout based on a specified rate of contract accumulation value growth and predetermined annuity purchase rates. The GMIB liability is determined each period by estimating the expected value of annuitization benefits in excess of the projected contract accumulation value at the date of annuitization and recognizing the excess over the estimated meaningful life based on expected assessments.

The embedded derivatives related to GMAB and the non-life contingent benefits associated with GMWB provisions are recorded at fair value. See Note 13 for information regarding the fair value measurement of embedded derivatives. The liability for the life contingent benefits associated with GMWB provisions is determined in the same way as the GMDB liability. Significant assumptions made in projecting future benefits and fees relate to persistency and benefit utilization. As with DAC, management reviews, and where appropriate, adjusts its assumptions each quarter. Unless management identifies a material deviation over the course of quarterly monitoring, management reviews and updates these assumptions annually in the third quarter of each year. The changes in both the fair values of the GMWB and GMAB embedded derivatives and the liability for life contingent benefits are reflected in benefits, claims, losses and settlement expenses.

Liabilities for EIAs are equal to the accumulation of host contract values covering guaranteed benefits and the fair value of embedded equity options.

Liabilities for fixed annuities in a benefit or payout status are based on future estimated payments using established industry mortality tables and interest rates.

Life, Disability Income and Long Term Care Insurance

Future policy benefits and policy claims and other policyholders’ funds related to life, DI and LTC insurance include liabilities for fixed account values on fixed and variable universal life policies, liabilities for indexed accounts of IUL products, liabilities for unpaid amounts on reported claims, estimates of benefits payable on claims incurred but not yet reported and estimates of benefits that will become payable on term life, whole life, DI and LTC policies as claims are incurred in the future.

Liabilities for fixed account values on fixed and variable universal life insurance are equal to accumulation values. Accumulation values are the cumulative gross deposits and credited interest less various contractual expense and mortality charges and less amounts withdrawn by policyholders.

Liabilities for indexed accounts of IUL products are equal to the accumulation of host contract values covering guaranteed benefits and the fair value of embedded equity options.

A portion of the Company’s fixed and variable universal life policies have product features that result in profits followed by losses from the insurance component of the contract. These profits followed by losses can be generated by the cost structure of the product or secondary guarantees in the contract. The secondary guarantee ensures that, subject to specified conditions, the policy will not terminate and will continue to provide a death benefit even if there is insufficient policy value to cover the monthly deductions and charges.

In determining the liability for contracts with profits followed by losses, the Company projects benefits and contract assessments using actuarial models. Significant assumptions made in projecting future benefits and assessments relate to customer asset value growth rates, mortality, persistency and investment margins and are consistent with those used for DAC

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RiverSource Life Insurance Company

asset valuation for the same contracts. As with DAC, management reviews, and where appropriate, adjusts its assumptions each quarter. Unless management identifies a material deviation over the course of quarterly monitoring, management reviews and updates these assumptions annually in the third quarter of each year.

The liability for these future losses is determined by estimating the death benefits in excess of account value and recognizing the excess over the estimated meaningful life based on expected assessments (e.g. cost of insurance charges, contractual administrative charges, similar fees and investment margin). See Note 9 for information regarding the liability for contracts with secondary guarantees.

Liabilities for unpaid amounts on reported life insurance claims are equal to the death benefits payable under the policies. Liabilities for unpaid amounts on reported DI and LTC claims include any periodic or other benefit amounts due and accrued, along with estimates of the present value of obligations for continuing benefit payments. These amounts are calculated based on claim continuance tables which estimate the likelihood an individual will continue to be eligible for benefits. Present values are calculated at interest rates established when claims are incurred. Anticipated claim continuance rates are based on established industry tables, adjusted as appropriate for the Company’s experience.

Liabilities for estimated benefits payable on claims that have been incurred but not yet reported are based on periodic analysis of the actual time lag between when a claim occurs and when it is reported.

Liabilities for estimates of benefits that will become payable on future claims on term life, whole life, DI and LTC policies are based on the net level premium method, using anticipated premium payments, mortality and morbidity rates, policy persistency and interest rates earned on assets supporting the liability. Anticipated mortality and morbidity rates are based on established industry mortality and morbidity tables, with modifications based on the Company’s experience. Anticipated premium payments and persistency rates vary by policy form, issue age, policy duration and certain other pricing factors.

Changes in future policy benefits and policy claims and other policyholders’ funds are reflected in earnings in the period adjustments are made.

Where applicable, benefit amounts expected to be recoverable from reinsurance companies who share in the risk are separately recorded as reinsurance recoverables.

Sources of Revenue

The Company’s principal sources of revenue include premiums, net investment income and policy and contract charges.

Premiums

Premiums include premiums on traditional life, DI and LTC insurance products and immediate annuities with a life contingent feature. Premiums are reported net of reinsurance ceded and are recognized as revenue when due.

Net Investment Income

Net investment income primarily includes interest income on fixed maturity securities classified as Available-for-Sale, commercial and residential mortgage loans, policy loans, other investments and cash and cash equivalents; the changes in fair value of certain derivatives; and the pro-rata share of net income or loss on equity method investments. Interest income is accrued as earned using the effective interest method, which makes an adjustment of the yield for premiums and discounts on all performing fixed maturity securities classified as Available-for-Sale and on the residential mortgage loans so that the related security or loan recognizes a constant rate of return on the outstanding balance throughout its term.

Policy and Contract Charges

Policy and contract charges include mortality and expense risk fees and certain other charges assessed on annuities and fixed and variable universal life insurance, which consist of cost of insurance charges, net of reinsurance premiums and cost of reinsurance for universal life insurance products, and administrative and surrender charges. Mortality and expense risk fees include risk, management and administration fees, which are generated directly and indirectly from the Company’s separate account assets. Cost of insurance charges on fixed and variable universal life insurance and contract charges and surrender charges on annuities and fixed and variable universal life insurance are recognized as revenue when collected.

Net Realized Investment Gains (Losses)

Net realized investment gains (losses) primarily include realized gains and losses on the sale of securities and charges for the other-than-temporary impairments of investments related to credit losses. Realized gains and losses on the sale of securities, other than equity method investments, are recognized using the specific identification method, on a trade date basis.

Other Insurance and Operating Expenses

Other insurance and operating expenses include expenses allocated to the Company from its parent, Ameriprise Financial, for the Company’s share of compensation, professional and consultant fees and expenses associated with information technology

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RiverSource Life Insurance Company

and communications, facilities and equipment, advertising and promotion and legal and regulatory costs. Also included are commissions, sales and marketing expenses and other operating expenses. These expenses are presented net of acquisition cost deferrals.

Income Taxes

The Company’s taxable income is included in the consolidated federal income tax return of Ameriprise Financial. The Company provides for income taxes on a separate return basis, except that, under an agreement between Ameriprise Financial and the Company, tax benefits are recognized for losses to the extent they can be used in the consolidated return. It is the policy of Ameriprise Financial that it will reimburse its subsidiaries for any tax benefits recorded. Inherent in the provision for income taxes are estimates and judgments regarding the tax treatment of certain items.

In connection with the provision for income taxes, the Consolidated Financial Statements reflect certain amounts related to deferred tax assets and liabilities, which result from temporary differences between the assets and liabilities measured for financial statement purposes versus the assets and liabilities measured for tax return purposes. Among the Company’s deferred taxes is a significant deferred tax asset relating to capital losses that have been recognized for financial statement purposes but not yet for tax return purposes as well as future deductible capital losses realized for tax return purposes. Under current U.S. federal income tax law, capital losses generally must be used against capital gain income within five years of the year in which the capital losses are recognized for tax purposes.

The Company is required to establish a valuation allowance for any portion of its deferred tax assets that management believes will not be realized. Significant judgment is required in determining if a valuation allowance should be established and the amount of such allowance if required. Factors used in making this determination include estimates relating to the performance of the business including the ability to generate capital gains. Consideration is given to, among other things in making this determination: (i) future taxable income exclusive of reversing temporary differences and carryforwards; (ii) future reversals of existing taxable temporary differences; (iii) taxable income in prior carryback years; and (iv) tax planning strategies. Management may need to identify and implement appropriate planning strategies to ensure its ability to realize deferred tax assets and avoid the establishment of a valuation allowance with respect to such assets. In the opinion of management, it is currently more likely than not that the Company will not realize the full benefit of certain state net operating losses and therefore a valuation allowance of $5 million has been established at December 31, 2012.

3.  RECENT ACCOUNTING PRONOUNCEMENTS

Adoption of New Accounting Standards

Comprehensive Income

In June 2011, the Financial Accounting Standards Board (“FASB”) updated the accounting standards related to the presentation of comprehensive income. The standard requires entities to present all nonowner changes in stockholders’ equity either in a single continuous statement of comprehensive income or in two separate but consecutive statements. The standard is effective for interim and annual periods beginning after December 15, 2011. The Company retrospectively adopted the standard in the first quarter of 2012. The adoption of the standard did not impact the Company’s consolidated financial condition and results of operations. See the Company’s Consolidated Statements of Comprehensive Income for the newly required statements.

Fair Value

In May 2011, the FASB updated the accounting standards related to fair value measurement and disclosure requirements. The standard requires entities, for assets and liabilities measured at fair value in the statement of financial position which are Level 3 fair value measurements, to disclose quantitative information about unobservable inputs and assumptions used in the measurements, a description of the valuation processes in place, and a qualitative discussion about the sensitivity of the measurements to changes in unobservable inputs and interrelationships between those inputs if a change in those inputs would result in a significantly different fair value measurement. In addition, the standard requires disclosure of fair value by level within the fair value hierarchy for each class of assets and liabilities not measured at fair value in the statement of financial position but for which the fair value is disclosed. The standard is effective for interim and annual periods beginning on or after December 15, 2011. The Company adopted the standard in the first quarter of 2012. The adoption of the standard did not impact the Company’s consolidated financial condition and results of operations. See Note 13 for the required disclosures.

Transfers and Servicing: Reconsideration of Effective Control for Repurchase Agreements

In April 2011, the FASB updated the accounting standards related to accounting for repurchase agreements and other similar agreements. The standard modifies the criteria for determining when these transactions would be accounted for as secured borrowings as opposed to sales. The standard is effective prospectively for new transfers and existing transactions that are modified in the first interim or annual period beginning on or after December 15, 2011. The Company adopted the standard in

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the first quarter of 2012. The adoption of the standard did not impact the Company’s consolidated financial condition and results of operations.

Accounting for Costs Associated with Acquiring or Renewing Insurance Contracts

In October 2010, the FASB updated the accounting standard for DAC. Under this new standard, only the following costs incurred in the acquisition of new and renewal insurance contracts are capitalizable as DAC: (i) incremental direct costs of a successful contract acquisition, (ii) portions of employees’ compensation and benefits directly related to time spent performing acquisition activities (that is, underwriting, policy issuance and processing, medical and inspection, and contract selling) for a contract that has been acquired, (iii) other costs related to acquisition activities that would not have been incurred had the acquisition of the contract not occurred, and (iv) advertising costs that meet the capitalization criteria in other GAAP guidance for certain direct-response marketing. All other acquisition related costs are expensed as incurred. The Company retrospectively adopted the new standard on January 1, 2012. See Note 1 for the effect of the change on affected financial statement line items for prior periods retrospectively adjusted and Note 2 for the Company’s accounting policies on DAC.

Receivables

In April 2011, the FASB updated the accounting standards for troubled debt restructurings. The new standard includes indicators that a lender should consider in determining whether a borrower is experiencing financial difficulties and provides clarification for determining whether the lender has granted a concession to the borrower. The standard sets the effective dates for troubled debt restructuring disclosures required by recent guidance on credit quality disclosures. The standard is effective for interim and annual periods beginning on or after June 15, 2011, and is to be applied retrospectively to modifications occurring on or after the beginning of the annual period of adoption. For purposes of measuring impairments of receivables that are considered impaired as a result of applying the new guidance, the standard should be applied prospectively for the interim or annual period beginning on or after June 15, 2011. The Company adopted the standard in the third quarter of 2011. The adoption did not have any effect on the Company’s consolidated financial condition and results of operations. See Note 6 for the required disclosures.

Fair Value

In January 2010, the FASB updated the accounting standards related to disclosures on fair value measurements. The standard expands the current disclosure requirements to include additional detail about significant transfers between Levels 1 and 2 within the fair value hierarchy and presents activity in the rollforward of Level 3 activity on a gross basis. The standard also clarifies existing disclosure requirements related to the level of disaggregation to be used for assets and liabilities as well as disclosures on the inputs and valuation techniques used to measure fair value. The standard is effective for interim and annual reporting periods beginning after December 15, 2009, except for the disclosure requirements related to the Level 3 rollforward, which are effective for interim and annual periods beginning after December 15, 2010. The Company adopted the standard in the first quarter of 2010, except for the additional disclosures related to the Level 3 rollforward, which the Company adopted in the first quarter of 2011. The adoption did not impact the Company’s consolidated financial condition and results of operations. See Note 13 for the required disclosures.

Consolidation of Variable Interest Entities

In June 2009, the FASB updated the accounting standards related to the consolidation of VIEs. The standard amends the guidance on the determination of the primary beneficiary of a VIE from a quantitative model to a qualitative model and requires additional disclosures about an enterprise’s involvement in VIEs. Under the new qualitative model, the primary beneficiary must have both the power to direct the activities of the VIE and the obligation to absorb losses or the right to receive gains that could be potentially significant to the VIE. In February 2010, the FASB amended this guidance to defer application of the consolidation requirements for certain investment funds. The standards are effective for interim and annual reporting periods beginning after November 15, 2009. The Company adopted the standard effective January 1, 2010 which did not impact its consolidated financial condition and results of operations.

Future Adoption of New Accounting Standards

Comprehensive Income

In February 2013, the FASB updated the accounting standard related to comprehensive income. The update requires entities to provide information about significant amounts reclassified out of accumulated other comprehensive income. The standard is effective for interim and annual periods beginning after December 15, 2012 and is required to be applied prospectively. The adoption of the standard will not impact the Company’s consolidated results of operations and financial condition.

Balance Sheet

In December 2011, the FASB updated the accounting standards to require new disclosures about offsetting assets and liabilities. The standard requires an entity to disclose both gross and net information about certain financial instruments and

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RiverSource Life Insurance Company

transactions subject to master netting arrangements (or similar agreements) or eligible for offset in the statement of financial position. The standard is effective for interim and annual periods beginning on or after January 1, 2013 on a retrospective basis. The adoption of the standard is not expected to impact the Company’s consolidated financial condition and results of operations.

4.  VARIABLE INTEREST ENTITIES

RTA, a subsidiary of RiverSource Life Insurance Company, has variable interests in affordable housing partnerships for which it is not the primary beneficiary and, therefore, does not consolidate.

RTA’s maximum exposure to loss as a result of its investments in the affordable housing partnerships is limited to the carrying values of these investments. The carrying values are reflected in other investments and were $409 million and $384 million as of December 31, 2012 and 2011, respectively. RTA has no obligation to provide financial or other support to the affordable housing partnerships in addition to liabilities already recorded for future funding commitments nor has it provided any additional support to the affordable housing partnerships. The Company had liabilities of $144 million and $267 million recorded in other liabilities as of December 31, 2012 and 2011, respectively, related to the future funding commitments for affordable housing partnerships.

5.  INVESTMENTS

Available-for-Sale securities distributed by type were as follows:

	December 31, 2012
			Gross		Gross
	Amortized		Unrealized		Unrealized			Fair		Noncredit
Description of Securities (in millions)	Cost		Gains		Losses			Value		OTTI(1)
Fixed maturities:
Corporate debt securities	$	14,881	$	2,167	$	(7	)	$	17,041	$	—
Residential mortgage backed securities		3,446		233		(58	)		3,621		(24	)
Commercial mortgage backed securities		2,717		287		—			3,004		—
State and municipal obligations		976		180		(34	)		1,122		—
Asset backed securities		808		66		(3	)		871		—
Foreign government bonds and obligations		188		36		—			224		—
U.S. government and agencies obligations		42		7		—			49		—
Total fixed maturities		23,058		2,976		(102	)		25,932		(24	)
Common stocks		2		2		—			4		1
Total	$	23,060	$	2,978	$	(102	)	$	25,936	$	(23	)

	December 31, 2011
			Gross		Gross
	Amortized		Unrealized		Unrealized			Fair		Noncredit
Description of Securities (in millions)	Cost		Gains		Losses			Value		OTTI(1)
Fixed maturities:
Corporate debt securities	$	14,770	$	1,726	$	(78	)	$	16,418	$	—
Residential mortgage backed securities		4,264		242		(138	)		4,368		(41	)
Commercial mortgage backed securities		3,355		276		—			3,631		—
State and municipal obligations		1,012		131		(47	)		1,096		—
Asset backed securities		812		43		(6	)		849		—
Foreign government bonds and obligations		126		19		(1	)		144		—
U.S. government and agencies obligations		49		8		—			57		—
Other structured investments		10		4		—			14		4
Total fixed maturities		24,398		2,449		(270	)		26,577		(37	)
Common stocks		1		1		—			2		—
Total	$	24,399	$	2,450	$	(270	)	$	26,579	$	(37	)

⁽¹⁾ Represents the amount of other-than-temporary impairment (“OTTI”) losses in accumulated other comprehensive income. Amount includes unrealized gains and losses on impaired securities subsequent to the initial impairment measurement date. These amounts are included in gross unrealized gains and losses as of the end of the period.

At December 31, 2012 and 2011, fixed maturity securities comprised approximately 84% and 87%, respectively, of the Company’s total investments. Rating agency designations are based on the availability of ratings from Nationally Recognized Statistical Rating Organizations (“NRSROs”), including Moody’s Investors Service (“Moody’s”), Standard & Poor’s Ratings Services (“S&P”) and Fitch Ratings Ltd. (“Fitch”). The Company uses the median of available ratings from Moody’s, S&P and Fitch, or if fewer than three ratings are available, the lower rating is used. When ratings from Moody’s, S&P and Fitch are unavailable, the Company may utilize ratings from other NRSROs or rate the securities internally. At December 31, 2012 and

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2011, approximately $1.5 billion and $1.2 billion, respectively, of securities were internally rated by Columbia Management Investment Advisers, LLC using criteria similar to those used by NRSROs.

A summary of fixed maturity securities by rating was as follows:

	December 31, 2012							December 31, 2011
					Percent of							Percent of
	Amortized		Fair		Total Fair			Amortized		Fair		Total Fair
Ratings (in millions, except percentages)	Cost		Value		Value			Cost		Value		Value
AAA	$	5,680	$	6,198		24	%	$	7,276	$	7,811		30	%
AA		1,102		1,273		5			1,161		1,291		5
A		4,262		4,849		19			4,148		4,578		17
BBB		10,409		12,019		46			10,211		11,446		43
Below investment grade		1,605		1,593		6			1,602		1,451		5
Total fixed maturities	$	23,058	$	25,932		100	%	$	24,398	$	26,577		100	%

At December 31, 2012 and 2011, approximately 32% and 33%, respectively, of the securities rated AAA were GNMA, FNMA and FHLMC mortgage backed securities. No holdings of any other issuer were greater than 10% of total equity.

The following tables provide information about Available-for-Sale securities with gross unrealized losses and the length of time that individual securities have been in a continuous unrealized loss position:

(in millions, except	December 31, 2012
number of securities)	Less than 12 months							12 months or more							Total
	Number of		Fair		Unrealized			Number of		Fair		Unrealized			Number of		Fair		Unrealized
Description of Securities	Securities		Value		Losses			Securities		Value		Losses			Securities		Value		Losses
Corporate debt securities		50	$	477	$	(4	)		6	$	70	$	(3	)		56	$	547	$	(7	)
Residential mortgage backed securities		6		107		—			56		293		(58	)		62		400		(58	)
State and municipal obligations		—		—		—			2		100		(34	)		2		100		(34	)
Asset backed securities		1		10		—			5		86		(3	)		6		96		(3	)
Total		57	$	594	$	(4	)		69	$	549	$	(98	)		126	$	1,143	$	(102	)

(in millions, except	December 31, 2011
number of securities)	Less than 12 months							12 months or more							Total
	Number of		Fair		Unrealized			Number of		Fair		Unrealized			Number of		Fair		Unrealized
Description of Securities	Securities		Value		Losses			Securities		Value		Losses			Securities		Value		Losses
Corporate debt securities		70	$	1,004	$	(37	)		9	$	257	$	(41	)		79	$	1,261	$	(78	)
Residential mortgage backed securities		31		344		(8	)		63		336		(130	)		94		680		(138	)
State and municipal obligations		—		—		—			2		87		(47	)		2		87		(47	)
Asset backed securities		11		139		(3	)		3		43		(3	)		14		182		(6	)
Foreign government bonds and obligations		5		23		(1	)		—		—		—			5		23		(1	)
Total		117	$	1,510	$	(49	)		77	$	723	$	(221	)		194	$	2,233	$	(270	)

As part of the Company’s ongoing monitoring process, management determined that a majority of the gross unrealized losses on its Available-for-Sale securities are attributable to movement in credit spreads primarily related to non-agency residential mortgage backed securities purchased prior to 2008.

The following table presents a rollforward of the cumulative amounts recognized in the Consolidated Statements of Income for other-than-temporary impairments related to credit losses on securities for which a portion of the securities’ total other-than-temporary impairments was recognized in other comprehensive income:

	Years Ended December 31,
(in millions)	2012			2011			2010
Beginning balance	$	106		$	108		$	82
Credit losses for which an other-than-temporary impairment was not previously recognized		1			13			14
Credit losses for which an other-than-temporary impairment was previously recognized		16			11			12
Reductions for securities sold during the period (realized)		(36	)		(26	)		—
Ending balance	$	87		$	106		$	108

F-21

RiverSource Life Insurance Company

The change in net unrealized securities gains (losses) in other comprehensive income includes three components, net of tax: (i) unrealized gains (losses) that arose from changes in the market value of securities that were held during the period; (ii) (gains) losses that were previously unrealized, but have been recognized in current period net income due to sales of Available-for-Sale securities and due to the reclassification of noncredit other-than-temporary impairment losses to credit losses and (iii) other items primarily consisting of adjustments in asset and liability balances, such as DAC, DSIC, benefit reserves and reinsurance recoverables, to reflect the expected impact on their carrying values had the unrealized gains (losses) been realized as of the respective balance sheet dates.

The following table presents a rollforward of the net unrealized securities gains on Available-for-Sale securities included in accumulated other comprehensive income:

							Accumulated Other
	Net						Comprehensive Income
	Unrealized						Related to Net
	Securities			Deferred			Unrealized Securities
(in millions)	Gains			Income Tax			Gains
Balance at January 1, 2010	$	638		$	(222	)	$	416
Cumulative effect of accounting change		62			(22	)		40	(1)
Net unrealized securities gains arising during the period(2)		794			(278	)		516
Reclassification of net securities gains included in net income		(20	)		7			(13	)
Impact on DAC, DSIC, benefit reserves and reinsurance recoverables		(259	)		90			(169	)
Balance at December 31, 2010		1,215			(425	)		790	(3)
Net unrealized securities gains arising during the period(2)		560			(196	)		364
Reclassification of net securities gains included in net income		(5	)		2			(3	)
Impact on DAC, DSIC, benefit reserves and reinsurance recoverables		(299	)		105			(194	)
Balance at December 31, 2011		1,471			(514	)		957	(3)
Net unrealized securities gains arising during the period(2)		694			(243	)		451
Reclassification of net securities losses included in net income		2			(1	)		1
Impact on DAC, DSIC, benefit reserves and reinsurance recoverables		(237	)		83			(154	)
Balance at December 31, 2012	$	1,930		$	(675	)	$	1,255	(3)

(1)	The Company retrospectively adopted a new accounting standard on January 1, 2012 for DAC. See Note 1 and Note 3 for additional information on the adoption impact.
(2)	Includes other-than-temporary impairment losses on Available-for-Sale securities related to factors other than credit that were recognized in other comprehensive income during the period.
(3)	Includes $(15) million, $(20) million and $(13) million of noncredit related impairments on securities and net unrealized securities losses on previously impaired securities at December 31, 2012, 2011 and 2010, respectively.

Net realized gains and losses on Available-for-Sale securities, determined using the specific identification method, recognized in net realized investment gains (losses) were as follows:

	Years Ended December 31,
(in millions)	2012			2011			2010
Gross realized investment gains	$	16		$	48		$	51
Gross realized investment losses		(1	)		(20	)		(4	)
Other-than-temporary impairments		(17	)		(24	)		(28	)
Total	$	(2	)	$	4		$	19

Other-than-temporary impairments for the years ended December 31, 2012 and 2011 primarily related to credit losses on non-agency residential mortgage backed securities. Other-than-temporary impairments for the year ended December 31, 2010 primarily related to credit losses on non-agency residential mortgage backed securities as well as corporate debt securities in the gaming industry.

F-22

RiverSource Life Insurance Company

Available-for-Sale securities by contractual maturity at December 31, 2012 were as follows:

	Amortized
(in millions)	Cost		Fair Value
Due within one year	$	1,537	$	1,563
Due after one year through five years		4,065		4,372
Due after five years through 10 years		6,902		7,900
Due after 10 years		3,583		4,601
		16,087		18,436
Residential mortgage backed securities		3,446		3,621
Commercial mortgage backed securities		2,717		3,004
Asset backed securities		808		871
Common stocks		2		4
Total	$	23,060	$	25,936

Actual maturities may differ from contractual maturities because issuers may have the right to call or prepay obligations. Residential mortgage backed securities, commercial mortgage backed securities and asset backed securities are not due at a single maturity date. As such, these securities, as well as common stocks, were not included in the maturities distribution.

At both December 31, 2012 and 2011, bonds carried at $7 million were on deposit with various states as required by law.

Net investment income is summarized as follows:

	Years Ended December 31,
(in millions)	2012		2011		2010
Income on fixed maturities	$	1,324	$	1,469	$	1,486
Income on mortgage loans		158		149		156
Other investments		26		18		32
		1,508		1,636		1,674
Less: investment expenses		28		43		45
Total	$	1,480	$	1,593	$	1,629

Net realized investment gains (losses) are summarized as follows:

	Years Ended December 31,
(in millions)	2012			2011			2010
Fixed maturities	$	(2	)	$	4		$	19
Mortgage loans		—			2			(6	)
Other investments		(1	)		(1	)		3
Total	$	(3	)	$	5		$	16

6.  FINANCING RECEIVABLES

The Company’s financing receivables include commercial and residential mortgage loans, syndicated loans and policy loans. Syndicated loans are reflected in other investments. Policy loans do not exceed the cash surrender value of the policy at origination. As there is minimal risk of loss related to policy loans, the Company does not record an allowance for loan losses for policy loans.

Allowance for Loan Losses

The following tables present a rollforward of the allowance for loan losses for the years ended and the ending balance of the allowance for loan losses by impairment method and type of loan:

	December 31, 2012
	Commercial			Syndicated
(in millions)	Mortgage Loans			Loans			Total
Beginning balance	$	32		$	5		$	37
Charge-offs		(6	)		(1	)		(7	)
Provisions		—			—			—
Ending balance	$	26		$	4		$	30
Individually evaluated for impairment	$	5		$	—		$	5
Collectively evaluated for impairment		21			4			25

F-23

RiverSource Life Insurance Company

	December 31, 2011
	Commercial			Syndicated
(in millions)	Mortgage Loans			Loans		Total
Beginning balance	$	36		$	5	$	41
Charge-offs		(3	)		—		(3	)
Provisions		(1	)		—		(1	)
Ending balance	$	32		$	5	$	37
Individually evaluated for impairment	$	9		$	—	$	9
Collectively evaluated for impairment		23			5		28

	December 31, 2010
	Commercial			Syndicated
(in millions)	Mortgage Loans			Loans			Total
Beginning balance	$	30		$	12		$	42
Charge-offs		(1	)		(2	)		(3	)
Provisions		7			(5	)		2
Ending balance	$	36		$	5		$	41
Individually evaluated for impairment	$	8		$	—		$	8
Collectively evaluated for impairment		28			5			33

The recorded investment in financing receivables by impairment method and type of loan was as follows:

	December 31, 2012
	Commercial		Residential		Syndicated
(in millions)	Mortgage Loans		Mortgage Loans		Loans		Total
Individually evaluated for impairment	$	39	$	—	$	—	$	39
Collectively evaluated for impairment		2,442		934		303		3,679
Total	$	2,481	$	934	$	303	$	3,718

	December 31, 2011
	Commercial		Syndicated
(in millions)	Mortgage Loans		Loans		Total
Individually evaluated for impairment	$	64	$	1	$	65
Collectively evaluated for impairment		2,441		301		2,742
Total	$	2,505	$	302	$	2,807

As of December 31, 2012 and 2011, the Company’s recorded investment in financing receivables individually evaluated for impairment for which there was no related allowance for loan losses was $10 million and $4 million, respectively.

Residential mortgage loans are presented net of unamortized discount of $80 million as of December 31, 2012.

Purchases and sales of loans were as follows:

	Years Ended December 31,
(in millions)	2012		2011		2010
Purchases
Residential mortgage loans	$	954	$	—	$	—
Syndicated loans		111		194		59
Total loans purchased	$	1,065	$	194	$	59
Sales
Syndicated loans	$	9	$	2	$	2

Credit Quality Information

Nonperforming loans, which are generally loans 90 days or more past due, were $4 million and $12 million as of December 31, 2012 and 2011, respectively. All other loans were considered to be performing.

Commercial Mortgage Loans

The Company reviews the credit worthiness of the borrower and the performance of the underlying properties in order to determine the risk of loss on commercial mortgage loans. Based on this review, the commercial mortgage loans are assigned an internal risk rating, which management updates as necessary. Commercial mortgage loans which management has assigned its highest risk rating were 2% and 3% of total commercial mortgage loans at December 31, 2012 and 2011, respectively.

F-24

RiverSource Life Insurance Company

Loans with the highest risk rating represent distressed loans which the Company has identified as impaired or expects to become delinquent or enter into foreclosure within the next six months. In addition, the Company reviews the concentrations of credit risk by region and property type.

Concentrations of credit risk of commercial mortgage loans by U.S. region were as follows:

	December 31, 2012							December 31, 2011
			Percent of			Funding				Percent of			Funding
(in millions, except percentages)	Loans		Loans			Commitments		Loans		Loans			Commitments
South Atlantic	$	625		25	%	$	29	$	618		25	%	$	—
Pacific		565		23			15		556		22			1
Mountain		262		11			12		275		11			11
East North Central		255		10			3		247		10			—
West North Central		216		9			—		224		9			1
Middle Atlantic		198		8			6		217		9			—
West South Central		159		6			4		173		7			2
New England		135		5			1		130		5			—
East South Central		66		3			2		65		2			—
		2,481		100	%	$	72		2,505		100	%	$	15
Less: allowance for loan losses		26							32
Total	$	2,455				$	2,473

Concentrations of credit risk of commercial mortgage loans by property type were as follows:

	December 31, 2012							December 31, 2011
			Percent of			Funding				Percent of			Funding
(in millions, except percentages)	Loans		Loans			Commitments		Loans		Loans			Commitments
Retail	$	822		33	%	$	41	$	825		33	%	$	2
Office		597		24			—		669		27			2
Industrial		449		18			9		455		18			1
Apartments		415		17			13		358		14			—
Mixed use		42		2			—		42		2			—
Hotel		36		1			—		51		2			—
Other		120		5			9		105		4			10
		2,481		100	%	$	72		2,505		100	%	$	15
Less: allowance for loan losses		26							32
Total	$	2,455						$	2,473

Residential Mortgage Loans

In October 2012, the Company purchased $954 million of residential mortgage loans at fair value from an affiliate, Ameriprise Bank, FSB. The purchase price takes into account the credit quality of the loan portfolio resulting in no allowance for loan losses recorded at purchase. The Company considers the credit worthiness of borrowers (FICO score), collateral characteristics such as LTV and geographic concentration to determine when an amount for an allowance for loan losses for residential mortgage loans is appropriate. At a minimum, management will update FICO scores and LTV ratios semiannually.

As of December 31, 2012, approximately 3% of residential mortgage loans had FICO scores below 640. At December 31, 2012, approximately 7% of the Company’s residential mortgage loans had LTV ratios greater than 90%. The Company’s most significant geographic concentration for residential mortgage loans is in California representing 38% of the portfolio as of December 31, 2012. No other state represents more than 10% of the total residential mortgage loan portfolio. At December 31, 2012, the Company had $627 million of funding commitments for residential mortgage loans.

Syndicated Loans

The Company’s syndicated loan portfolio is diversified across industries and issuers. The primary credit indicator for syndicated loans is whether the loans are performing in accordance with the contractual terms of the syndication. Total nonperforming syndicated loans at December 31, 2012 and 2011 were $2 million and $1 million, respectively.

F-25

RiverSource Life Insurance Company

Troubled Debt Restructurings

The following table presents the number of loans restructured by the Company during the period and their recorded investment at the end of the period:

	Years Ended December 31,
	2012				2011
	Number of		Recorded		Number of		Recorded
(in millions, except number of loans)	Loans		Investment		Loans		Investment
Commercial mortgage loans		4	$	13		10	$	49
Syndicated loans		2		1		—		—
Total		6	$	14		10	$	49

The troubled debt restructurings did not have a material impact to the Company’s allowance for loan losses or income recognized for the years ended December 31, 2012 and 2011. There are no material commitments to lend additional funds to borrowers whose loans have been restructured.

7.  DEFERRED ACQUISITION COSTS AND DEFERRED SALES INDUCEMENT COSTS

The Company retrospectively adopted a new accounting standard for DAC in the first quarter of 2012. See Note 1 for the effect of the change on affected financial statement line items for prior periods retrospectively adjusted.

In the third quarter of the year, management conducts its annual review of insurance and annuity valuation assumptions relative to current experience and management expectations. To the extent that expectations change as a result of this review, management updates valuation assumptions. The impact in the third quarter of 2012 and 2011 primarily reflected the low interest rate environment and for 2012, the assumption of continued low interest rates over the near-term. As part of the third quarter 2010 process, management extended the projection periods used for its annuity products and revised client asset value growth rates assumed for variable annuity and VUL contracts.

The balances of and changes in DAC (subsequent to the adjustment for the new accounting standard) were as follows:

(in millions)	2012			2011			2010
Balance at January 1	$	2,413		$	2,521		$	2,349
Capitalization of acquisition costs		253			282			295
Amortization, excluding the impact of valuation assumptions review		(214	)		(305	)		(227	)
Amortization, impact of valuation assumptions review		(11	)		(31	)		174
Impact of change in net unrealized securities gains		(68	)		(54	)		(70	)
Balance at December 31	$	2,373		$	2,413		$	2,521

The balances of and changes in DSIC were as follows:

(in millions)	2012			2011			2010
Balance at January 1	$	464		$	545		$	524
Capitalization of sales inducement costs		7			9			35
Amortization, excluding the impact of valuation assumptions review		(45	)		(70	)		(49	)
Amortization, impact of valuation assumptions review		(13	)		(11	)		52
Impact of change in net unrealized securities gains		(9	)		(9	)		(17	)
Balance at December 31	$	404		$	464		$	545

8.  REINSURANCE

Generally, the Company currently reinsures 90% of the death benefit liability related to almost all individual fixed and variable universal life and term life insurance products. As a result, the Company typically retains and is at risk for, at most, 10% of each policy’s death benefit from the first dollar of coverage for new sales of these policies, subject to the reinsurers fulfilling their obligations. RiverSource Life Insurance Company began reinsuring risks at this level in 2001 (RiverSource Life of NY began in 2002) for term life insurance and 2002 (2003 for RiverSource Life of NY) for individual fixed and variable universal life insurance. Policies issued prior to these dates are not subject to these same reinsurance levels. Generally, the maximum amount of life insurance risk retained by the Company is $1.5 million on a single life and $1.5 million on any flexible premium survivorship life policy. Risk on fixed and variable universal life policies is reinsured on a yearly renewable term basis. Risk on most term life policies starting in 2001 (2002 for RiverSource Life of NY) is reinsured on a coinsurance basis, a type of reinsurance in which the reinsurer participates proportionally in all material risks and premiums associated with a policy.

F-26

RiverSource Life Insurance Company

For existing LTC policies, the Company ceded 50% of the risk on a coinsurance basis to subsidiaries of Genworth Financial, Inc. (“Genworth”) and retained the remaining risk. For RiverSource Life of NY, this reinsurance arrangement applies for 1996 and later issues only.

The Company also has life insurance and fixed annuity risk previously assumed under reinsurance arrangements with unaffiliated insurance companies.

Generally, the Company retains at most $5,000 per month of risk per life on DI policies sold on policy forms introduced in most states in October 2007 (August 2010 for RiverSource Life of NY) and reinsures the remainder of the risk on a coinsurance basis with unaffiliated reinsurance companies. The Company retains all risk for new claims on DI contracts sold on other policy forms. The Company also retains all risk on accidental death benefit claims and substantially all risk associated with waiver of premium provisions.

At December 31, 2012 and 2011, traditional life and universal life insurance in force aggregated $191.4 billion and $191.2 billion, respectively, of which $138.6 billion and $136.2 billion were reinsured at the respective year ends. Life insurance in force is reported on a statutory basis.

The effect of reinsurance on premiums was as follows:

	Years Ended December 31,
(in millions)	2012			2011			2010
Direct premiums	$	656		$	707		$	681
Reinsurance ceded		(214	)		(214	)		(192	)
Net premiums	$	442		$	493		$	489

Policy and contract charges are presented on the Consolidated Statements of Income net of $84 million, $71 million and $67 million of reinsurance ceded for the years ended December 31, 2012, 2011 and 2010, respectively.

Reinsurance recovered from reinsurers was $196 million, $189 million and $166 million for the years ended December 31, 2012, 2011 and 2010, respectively. Reinsurance contracts do not relieve the Company from its primary obligation to policyholders.

Reinsurance recoverables include approximately $1.6 billion and $1.5 billion related to LTC risk ceded to Genworth as of December 31, 2012 and 2011, respectively. Included in future policy benefits is $615 million and $629 million related to assumed reinsurance arrangements as of December 31, 2012 and 2011, respectively.

9.  FUTURE POLICY BENEFITS, POLICY CLAIMS AND OTHER POLICYHOLDERS’ FUNDS AND SEPARATE ACCOUNT LIABILITIES

The Company retrospectively adopted a new accounting standard for DAC in the first quarter of 2012. See Note 1 for the effect of the change on affected financial statement line items for prior periods retrospectively adjusted.

Future policy benefits (subsequent to the adjustment for the new accounting standard) and policy claims and other policyholders’ funds consisted of the following:

	December 31,
(in millions)	2012		2011
Fixed annuities	$	16,075	$	16,401
EIA accumulated host values		31		58
EIA embedded derivatives		2		2
Variable annuity fixed sub-accounts		4,843		4,852
Variable annuity GMWB		799		1,377
Variable annuity GMAB		103		237
Other variable annuity guarantees		13		14
Total annuities		21,866		22,941
VUL/UL insurance		2,760		2,662
IUL accumulated host values		59		4
IUL embedded derivatives		45		3
VUL/UL insurance additional liabilities		294		220
Other life, DI and LTC insurance		5,646		5,339
Total future policy benefits		30,670		31,169
Policy claims and other policyholders’ funds		132		121
Total future policy benefits and policy claims and other policyholders’ funds	$	30,802	$	31,290

F-27

RiverSource Life Insurance Company

Separate account liabilities consisted of the following:

	December 31,
(in millions)	2012		2011
Variable annuity variable sub-accounts	$	63,302	$	57,556
VUL insurance variable sub-accounts		6,051		5,575
Other insurance variable sub-accounts		42		43
Total	$	69,395	$	63,174

Fixed Annuities

Fixed annuities include both deferred and payout contracts. Deferred contracts offer a guaranteed minimum rate of interest and security of the principal invested. Payout contracts guarantee a fixed income payment for life or the term of the contract. The Company generally invests the proceeds from the annuity payments in fixed rate securities. The Company may hedge the interest rate risks related to fixed annuities with derivative instruments. As of December 31, 2012 and 2011, there were no outstanding derivatives to hedge these risks.

Equity Indexed Annuities

The Index 500 Annuity, the Company’s EIA product, is a single premium deferred fixed annuity. The contract is issued with an initial term of seven years and interest earnings are linked to the S&P 500 Index. This annuity has a minimum interest rate guarantee of 3% on 90% of the initial premium, adjusted for any surrenders. The Company generally invests the proceeds from the annuity deposits in fixed rate securities and hedges the equity risk with derivative instruments. See Note 16 for additional information regarding the Company’s derivative instruments. In 2007, the Company discontinued new sales of EIAs.

Variable Annuities

Purchasers of variable annuities can select from a variety of investment options and can elect to allocate a portion to a fixed account. A vast majority of the premiums received for variable annuity contracts are held in separate accounts where the assets are held for the exclusive benefit of those contractholders.

Most of the variable annuity contracts issued by the Company contain one or more guaranteed benefits, including GMWB, GMAB, GMDB and GGU provisions. The Company previously offered contracts with GMIB provisions. See Note 2 and Note 10 for additional information regarding the Company’s variable annuity guarantees. The Company does not currently hedge its risk under the GMDB, GGU and GMIB provisions. See Note 16 for additional information regarding derivative instruments used to hedge risks related to GMWB and GMAB provisions.

Insurance Liabilities

VUL/UL is the largest group of insurance policies written by the Company. Purchasers of VUL can select from a variety of investment options and can elect to allocate a portion to a fixed account or a separate account. A vast majority of the premiums received for VUL policies are held in separate accounts where the assets are held for the exclusive benefit of those policyholders. In 2011, the Company began offering IUL insurance. IUL is similar to UL in that it provides life insurance coverage and cash value that increases as a result of credited interest. Also, like UL, there is a minimum guaranteed credited rate of interest. Unlike UL, the rate of credited interest above the minimum guarantee for funds allocated to the indexed account is linked to the S&P 500 Index (subject to a cap). The policyholder may allocate all or a portion of the policy value to a fixed or indexed account. The Company also offers term and whole life insurance as well as disability products. The Company no longer offers standalone LTC products but has in force policies from prior years. Insurance liabilities include accumulation values, unpaid reported claims, incurred but not reported claims and obligations for anticipated future claims.

Portions of the Company’s fixed and variable universal life policies have product features that result in profits followed by losses from the insurance component of the policy. These profits followed by losses can be generated by the cost structure of the product or secondary guarantees in the policy. The secondary guarantee ensures that, subject to specified conditions, the policy will not terminate and will continue to provide a death benefit even if there is insufficient policy value to cover the monthly deductions and charges.

10.  VARIABLE ANNUITY AND INSURANCE GUARANTEES

The majority of the variable annuity contracts offered by the Company contain GMDB provisions. The Company also offers variable annuities with GGU, GMWB and GMAB provisions. The Company previously offered contracts containing GMIB provisions. See Note 2 and Note 9 for additional information regarding the Company’s variable annuity guarantees.

F-28

RiverSource Life Insurance Company

The GMDB provisions provide a specified minimum return upon death of the contractholder. The death benefit payable is the greater of (i) the contract value less any purchase payment credits subject to recapture and less a pro-rata portion of any rider fees, or (ii) the GMDB provisions specified in the contract. The Company has three primary GMDB provisions:

•  Return of premium — provides purchase payments minus adjusted partial surrenders.

•  Reset — provides that the value resets to the account value every sixth contract anniversary minus adjusted partial surrenders. This provision was often provided in combination with the return of premium provision and is no longer offered.

•  Ratchet — provides that the value ratchets up to the maximum account value at specified anniversary intervals, plus subsequent purchase payments less adjusted partial surrenders.

The variable annuity contracts with GMWB riders typically have account values that are based on an underlying portfolio of mutual funds, the values of which fluctuate based on fund performance. At issue, the guaranteed amount is equal to the amount deposited but the guarantee may be increased annually to the account value (a “step-up”) in the case of favorable market performance.

The Company has GMWB riders in force, which contain one or more of the following provisions:

•  Withdrawals at a specified rate per year until the amount withdrawn is equal to the guaranteed amount.

•  Withdrawals at a specified rate per year for the life of the contractholder (“GMWB for life”).

•  Withdrawals at a specified rate per year for joint contractholders while either is alive.

•  Withdrawals based on performance of the contract.

•  Withdrawals based on the age withdrawals begin.

•  Once withdrawals begin, the contractholder’s funds are moved to one of the three least aggressive asset allocation models.

•  Credits are applied annually for a specified number of years to increase the guaranteed amount as long as withdrawals have not been taken.

Variable annuity contractholders age 79 or younger at contract issue can also obtain a principal-back guarantee by purchasing the optional GMAB rider for an additional charge. The GMAB rider guarantees that, regardless of market performance at the end of the 10-year waiting period, the contract value will be no less than the original investment or 80% of the highest anniversary value, adjusted for withdrawals. If the contract value is less than the guarantee at the end of the 10 year period, a lump sum will be added to the contract value to make the contract value equal to the guarantee value.

Certain UL policies offered by the Company provide secondary guarantee benefits. The secondary guarantee ensures that, subject to specified conditions, the policy will not terminate and will continue to provide a death benefit even if there is insufficient policy value to cover the monthly deductions and charges.

The following table provides information related to variable annuity guarantees for which the Company has established additional liabilities:

	December 31, 2012								December 31, 2011
			Contract				Weighted				Contract				Weighted
	Total		Value in		Net		Average		Total		Value in		Net		Average
Variable Annuity Guarantees by Benefit Type(1)	Contract		Separate		Amount		Attained		Contract		Separate		Amount		Attained
(in millions, except age)	Value		Accounts		at Risk(2)		Age		Value		Accounts		at Risk(2)		Age
GMDB:
Return of premium	$	45,697	$	43,942	$	61		63	$	40,011	$	38,275	$	382		63
Five/six-year reset		11,233		8,722		115		63		11,631		9,118		350		63
One-year ratchet		7,367		6,933		106		65		7,233		6,777		479		64
Five-year ratchet		1,616		1,563		3		61		1,472		1,418		25		61
Other		912		885		62		68		759		732		93		68
Total — GMDB	$	66,825	$	62,045	$	347		63	$	61,106	$	56,320	$	1,329		63
GGU death benefit	$	958	$	907	$	93		63	$	920	$	868	$	78		63
GMIB	$	425	$	399	$	72		66	$	463	$	433	$	106		65
GMWB:
GMWB	$	3,898	$	3,880	$	34		66	$	3,887	$	3,868	$	236		65
GMWB for life		28,588		28,462		263		64		23,756		23,625		863		64
Total — GMWB	$	32,486	$	32,342	$	297		64	$	27,643	$	27,493	$	1,099		64
GMAB	$	3,773	$	3,762	$	5		57	$	3,516	$	3,509	$	63		56

(1)	Individual variable annuity contracts may have more than one guarantee and therefore may be included in more than one benefit type. Variable annuity contracts for which the death benefit equals the account value are not shown in this table.
(2)	Represents the current guaranteed benefit amount in excess of the current contract value. GMIB, GMWB and GMAB benefits are subject to waiting periods and payment periods specified in the contract.

F-29

RiverSource Life Insurance Company

Changes in additional liabilities for variable annuity and insurance guarantees were as follows:

(in millions)	GMDB & GGU			GMIB			GMWB			GMAB			UL
Balance at January 1, 2010	$	6		$	6		$	204		$	100		$	15
Incurred claims		17			3			133			4			59
Paid claims		(18	)		(1	)		—			—			(6	)
Balance at December 31, 2010		5			8			337			104			68
Incurred claims		10			2			1,040			133			53
Paid claims		(10	)		(1	)		—			—			(10	)
Balance at December 31, 2011		5			9			1,377			237			111
Incurred claims		6			1			(578	)		(134	)		57
Paid claims		(7	)		(1	)		—			—			(13	)
Balance at December 31, 2012	$	4		$	9		$	799		$	103		$	155

The liabilities for guaranteed benefits are supported by general account assets.

The following table summarizes the distribution of separate account balances by asset type for variable annuity contracts providing guaranteed benefits:

	December 31,
(in millions)	2012		2011
Mutual funds:
Equity	$	32,054	$	30,738
Bond		26,165		23,862
Other		3,991		1,969
Total mutual funds	$	62,210	$	56,569

No gains or losses were recognized on assets transferred to separate accounts for the years ended December 31, 2012, 2011 and 2010.

11.  LINES OF CREDIT

RiverSource Life Insurance Company, as the borrower, had an outstanding balance at December 31, 2012 and 2011 of $150 million and $300 million, respectively, under a revolving credit agreement with Ameriprise Financial as the lender. The aggregate amount outstanding under the line of credit may not exceed $800 million at any time. Prior to January 1, 2012, the interest rate for any borrowing under the agreement was established by reference to LIBOR plus 115 basis points. In January 2012, an amendment to this agreement decreased the interest rate to LIBOR plus 90 basis points, subject to adjustment based on debt ratings of the senior unsecured debt of Ameriprise Financial. Amounts borrowed may be repaid at any time with no prepayment penalty.

The Company has a revolving credit agreement with Ameriprise Financial as the lender aggregating $200 million. Prior to August 1, 2012, the interest rate for any borrowings is established by reference to LIBOR. In August 2012, an amendment to this agreement increased the interest rate to LIBOR plus 90 basis points, subject to adjustment based on debt ratings of the senior unsecured debt of Ameriprise Financial. There were no amounts outstanding on this line of credit at December 31, 2012 and 2011.

In December 2009, RiverSource Life Insurance Company, as the lender, entered into a revolving credit agreement with Ameriprise Financial as the borrower. This line of credit is not to exceed 3% of RiverSource Life Insurance Company’s statutory admitted assets as of the prior year end. Prior to January 1, 2012, the interest rate for any borrowing was established by reference to LIBOR plus 115 basis points. In January 2012, an amendment to this agreement decreased the interest rate to LIBOR plus 90 basis points, subject to adjustment based on debt ratings of the senior unsecured debt of Ameriprise Financial. In the event of default, an additional 1% interest will accrue during such period of default. There were no amounts outstanding on this revolving credit agreement as of December 31, 2012 and 2011.

12.  BORROWINGS UNDER REPURCHASE AGREEMENTS

The Company enters into repurchase agreements in exchange for cash which it accounts for as secured borrowings. The Company has pledged Available-for-Sale securities consisting of agency residential mortgage backed securities and commercial mortgage backed securities to collateralize its obligation under the repurchase agreements. The fair value of the securities pledged is recorded in investments and was $518 million and $521 million at December 31, 2012 and 2011, respectively. The amount of the Company’s liability including accrued interest as of December 31, 2012 and 2011 was $501 million and $504 million, respectively. The weighted average annualized interest rate on the repurchase agreements held as of December 31, 2012 and 2011 was 0.4% and 0.3%, respectively.

F-30

RiverSource Life Insurance Company

13.  FAIR VALUES OF ASSETS AND LIABILITIES

GAAP defines fair value as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date; that is, an exit price. The exit price assumes the asset or liability is not exchanged subject to a forced liquidation or distressed sale.

Valuation Hierarchy

The Company categorizes its fair value measurements according to a three-level hierarchy. The hierarchy prioritizes the inputs used by the Company’s valuation techniques. A level is assigned to each fair value measurement based on the lowest level input that is significant to the fair value measurement in its entirety. The three levels of the fair value hierarchy are defined as follows:

Level 1	Unadjusted quoted prices for identical assets or liabilities in active markets that are accessible at the measurement date.
Level 2	Prices or valuations based on observable inputs other than quoted prices in active markets for identical assets and liabilities.
Level 3	Prices or valuations that require inputs that are both significant to the fair value measurement and unobservable.

The following tables present the balances of assets and liabilities measured at fair value on a recurring basis:

	December 31, 2012
(in millions)	Level 1		Level 2		Level 3		Total
Assets
Available-for-Sale securities:
Fixed maturities:
Corporate debt securities	$	—	$	15,387	$	1,654	$	17,041
Residential mortgage backed securities		—		3,598		23		3,621
Commercial mortgage backed securities		—		2,834		170		3,004
State and municipal obligations		—		1,122		—		1,122
Asset backed securities		—		715		156		871
Foreign government bonds and obligations		—		224		—		224
U.S. government and agencies obligations		10		39		—		49
Total Available-for-Sale securities: Fixed maturities		10		23,919		2,003		25,932
Common stocks		2		2		—		4
Cash equivalents		—		264		—		264
Other assets:
Interest rate derivative contracts		—		2,191		—		2,191
Equity derivative contracts		285		936		—		1,221
Foreign currency derivative contracts		—		6		—		6
Total other assets		285		3,133		—		3,418
Separate account assets		—		69,395		—		69,395
Total assets at fair value	$	297	$	96,713	$	2,003	$	99,013
Liabilities
Future policy benefits:
EIA embedded derivatives	$	—	$	2	$	—	$	2
IUL embedded derivatives		—		45		—		45
GMWB and GMAB embedded derivatives		—		—		833		833
Total future policy benefits		—		47		833		880	(1)
Other liabilities:
Interest rate derivative contracts		—		1,486		—		1,486
Equity derivative contracts		258		1,535		—		1,793
Total other liabilities		258		3,021		—		3,279
Total liabilities at fair value	$	258	$	3,068	$	833	$	4,159

⁽¹⁾ The Company’s adjustment for nonperformance risk resulted in a $389 million cumulative decrease to the embedded derivative liability.

F-31

RiverSource Life Insurance Company

	December 31, 2011
(in millions)	Level 1		Level 2		Level 3		Total
Assets
Available-for-Sale securities:
Fixed maturities:
Corporate debt securities	$	—	$	15,076	$	1,342	$	16,418
Residential mortgage backed securities		—		4,310		58		4,368
Commercial mortgage backed securities		—		3,615		16		3,631
State and municipal obligations		—		1,096		—		1,096
Asset backed securities		—		716		133		849
Foreign government bonds and obligations		—		144		—		144
U.S. government and agencies obligations		10		47		—		57
Other structured investments		—		—		14		14
Total Available-for-Sale securities: Fixed maturities		10		25,004		1,563		26,577
Common stocks		1		1		—		2
Trading securities		—		25		—		25
Cash equivalents		—		809		—		809
Other assets:
Interest rate derivative contracts		—		1,801		—		1,801
Equity derivative contracts		274		1,041		—		1,315
Credit derivative contracts		—		1		—		1
Foreign currency derivative contracts		—		7		—		7
Total other assets		274		2,850		—		3,124
Separate account assets		—		63,174		—		63,174
Total assets at fair value	$	285	$	91,863	$	1,563	$	93,711
Liabilities
Future policy benefits:
EIA embedded derivatives	$	—	$	2	$	—	$	2
IUL embedded derivatives		—		3		—		3
GMWB and GMAB embedded derivatives		—		—		1,585		1,585
Total future policy benefits		—		5		1,585		1,590	(1)
Other liabilities:
Interest rate derivative contracts		—		1,198		—		1,198
Equity derivative contracts		297		734		—		1,031
Foreign currency derivative contracts		—		10		—		10
Total other liabilities		297		1,942		—		2,239
Total liabilities at fair value	$	297	$	1,947	$	1,585	$	3,829

⁽¹⁾ The Company’s adjustment for nonperformance risk resulted in a $506 million cumulative decrease to the embedded derivative liability.

F-32

RiverSource Life Insurance Company

The following tables provide a summary of changes in Level 3 assets and liabilities measured at fair value on a recurring basis:

																			Future Policy
	Available-for-Sale Securities: Fixed Maturities																		Benefits:
				Residential			Commercial												GMWB and
	Corporate			Mortgage			Mortgage			Asset			Other						GMAB
	Debt			Backed			Backed			Backed			Structured						Embedded
(in millions)	Securities			Securities			Securities			Securities			Investments			Total			Derivatives
Balance, January 1, 2012	$	1,342		$	58		$	16		$	133		$	14		$	1,563		$	(1,585	)
Total gains (losses) included in:
Net income		(1	)		(7	)		1			1			—			(6	)(1)		948	(2)
Other comprehensive income		12			10			7			2			1			32			—
Purchases		444			31			8			—			—			483			—
Sales		—			—			—			—			—			—			—
Issues		—			—			—			—			—			—			(188	)
Settlements		(153	)		(12	)		—			(2	)		—			(167	)		(8	)
Transfers into Level 3		10			25			146			22			—			203			—
Transfers out of Level 3		—			(82	)		(8	)		—			(15	)		(105	)		—
Balance, December 31, 2012	$	1,654		$	23		$	170		$	156		$	—		$	2,003		$	(833	)
Changes in unrealized gains (losses) relating to assets and liabilities held at December 31, 2012 included in:
Net investment income	$	(1	)	$	—		$	1		$	1		$	—		$	1		$	—
Benefits, claims, losses and settlement expenses		—			—			—			—			—			—			908

(1)	Represents a $7 million loss included in net realized investment gains (losses) and a $1 million gain included in net investment income in the Consolidated Statements of Income.
(2)	Included in benefits, claims, losses and settlement expenses in the Consolidated Statements of Income.

																			Future Policy
	Available-for-Sale Securities: Fixed Maturities																		Benefits:
				Residential			Commercial												GMWB and
	Corporate			Mortgage			Mortgage			Asset			Other						GMAB
	Debt			Backed			Backed			Backed			Structured						Embedded
(in millions)	Securities			Securities			Securities			Securities			Investments			Total			Derivatives
Balance, January 1, 2011	$	1,317		$	2,697		$	30		$	148		$	13		$	4,205		$	(421	)
Total gains (losses) included in:
Net income		7			49			—			2			1			59	(1)		(1,007	)(2)
Other comprehensive income		12			(75	)		—			(6	)		(2	)		(71	)		—
Purchases		178			26			71			—			3			278			—
Sales		(50	)		(3	)		—			—			—			(53	)		—
Issues		—			—			—			—			—			—			(149	)
Settlements		(117	)		(471	)		—			(3	)		(1	)		(592	)		(8	)
Transfers into Level 3		7			—			1			—			—			8			—
Transfers out of Level 3		(12	)		(2,165	)		(86	)		(8	)		—			(2,271	)		—
Balance, December 31, 2011	$	1,342		$	58		$	16		$	133		$	14		$	1,563		$	(1,585	)
Changes in unrealized gains (losses) relating to assets and liabilities held at December 31, 2011 included in:
Net investment income	$	—		$	—		$	—		$	1		$	—		$	1		$	—
Net realized investment gains (losses)		—			(23	)		—			—			1			(22	)		—
Benefits, claims, losses and settlement expenses		—			—			—			—			—			—			(1,035	)

(1)	Represents a $26 million loss included in net realized investment gains (losses) and an $85 million gain included in net investment income in the Consolidated Statements of Income.
(2)	Included in benefits, claims, losses and settlement expenses in the Consolidated Statements of Income.

F-33

RiverSource Life Insurance Company

																	Future Policy
	Available-for-Sale Securities: Fixed Maturities																Benefits:
			Residential			Commercial											GMWB and
	Corporate		Mortgage			Mortgage			Asset			Other					GMAB
	Debt		Backed			Backed			Backed			Structured					Embedded
(in millions)	Securities		Securities			Securities			Securities			Investments		Total			Derivatives
Balance, January 1, 2010	$	1,239	$	2,868		$	72		$	119		$	11	$	4,309		$	(299	)
Total gains (losses) included in:
Net income		1		55			1			5			2		64	(1)		4	(2)
Other comprehensive income		30		202			10			10			—		252			—
Purchases, sales, issues and settlements, net		22		(428	)		91			27			—		(288	)		(126	)
Transfers into Level 3		25		—			—			—			—		25			—
Transfers out of Level 3		—		—			(144	)		(13	)		—		(157	)		—
Balance, December 31, 2010	$	1,317	$	2,697		$	30		$	148		$	13	$	4,205		$	(421	)
Changes in unrealized gains (losses) relating to assets and liabilities held at December 31, 2010 included in:
Net investment income	$	—	$	79		$	—		$	4		$	—	$	83		$	—
Net realized investment gains (losses)		—		(26	)		—			—			—		(26	)		—
Benefits, claims, losses and settlement expenses		—		—			—			—			—		—			(15	)

(1)	Represents a $21 million loss included in net realized investment gains (losses) and an $85 million gain included in net investment income in the Consolidated Statements of Income.
(2)	Included in benefits, claims, losses and settlement expenses in the Consolidated Statements of Income.

The impact to pretax income of the Company’s adjustment for nonperformance risk on the fair value of its GMWB and GMAB embedded derivatives was $(82) million, $216 million and $36 million, net of DAC and DSIC amortization, for the years ended December 31, 2012, 2011 and 2010, respectively.

During the years ended December 31, 2012 and 2011, transfers from Level 3 to Level 2 included certain non-agency residential mortgage backed securities with a fair value of approximately $58 million and $2.2 billion, respectively. The transfers reflect improved pricing transparency of these securities, a continuing trend of increased activity in the non-agency residential mortgage backed securities market and observability of significant inputs to the valuation methodology. All other securities transferred from Level 3 to Level 2 represent securities with fair values that are now obtained from a third party pricing service with observable inputs. Securities transferred from Level 2 to Level 3 represent securities with fair values that are now based on a single non-binding broker quote. The Company recognizes transfers between levels of the fair value hierarchy as of the beginning of the quarter in which each transfer occurred. For assets and liabilities held at the end of the reporting periods that are measured at fair value on a recurring basis, there were no transfers between Level 1 and Level 2.

The following table provides a summary of the significant unobservable inputs used in the fair value measurements developed by the Company or reasonably available to the Company of Level 3 assets and liabilities at December 31, 2012:

					Range
	Fair Value		Valuation Technique	Unobservable Input	(Weighted Average)
	(in millions)
Corporate debt securities (private placements)	$	1,624	Discounted cash flow	Yield/spread to U.S. Treasuries		1.1% – 8.5% (2.2%	)
GMWB and GMAB embedded derivatives	$	833	Discounted cash flow	Utilization of guaranteed withdrawals(1)		0.0% – 56.4%
				Surrender rate		0.0% – 56.3%
				Market volatility(2)		5.6% – 21.2%
				Nonperformance risk(3)		97 bps

(1)	The utilization of the guaranteed withdrawals represents the percentage of policyholders that will begin withdrawing in any given year.
(2)	Market volatility is implied volatility of fund of funds.
(3)	The nonperformance risk is the spread added to the observable interest rates used in the valuation of the embedded derivative.

Level 3 measurements not included in the table above are obtained from non-binding broker quotes where unobservable inputs are not reasonably available to the Company.

Sensitivity of Fair Value Measurements to Changes in Unobservable Inputs

Significant increases (decreases) in the yield/spread to U.S. Treasuries used in the fair value measurement of Level 3 corporate debt securities in isolation would result in a significantly lower (higher) fair value measurement.

Significant increases (decreases) in utilization and volatility used in the fair value measurement of the GMWB and GMAB embedded derivatives in isolation would result in a significantly higher (lower) fair value measurement. Significant increases

F-34

RiverSource Life Insurance Company

(decreases) in surrender rate and nonperformance risk used in the fair value measurement of the GMWB and GMAB embedded derivatives in isolation would result in a significantly lower (higher) fair value measurement. Utilization of guaranteed withdrawals and surrender rates vary with the type of rider, the duration of the policy, the age of the contractholder, the distribution system and whether the value of the guaranteed benefit exceeds the contract accumulation value.

Determination of Fair Value

The Company uses valuation techniques consistent with the market and income approaches to measure the fair value of its assets and liabilities. The Company’s market approach uses prices and other relevant information generated by market transactions involving identical or comparable assets or liabilities. The Company’s income approach uses valuation techniques to convert future projected cash flows to a single discounted present value amount. When applying either approach, the Company maximizes the use of observable inputs and minimizes the use of unobservable inputs.

The following is a description of the valuation techniques used to measure fair value and the general classification of these instruments pursuant to the fair value hierarchy.

Assets

Cash Equivalents

Cash equivalents include highly liquid investments with original maturities of 90 days or less. Cash equivalents are classified as Level 2 and measured at amortized cost, which is a reasonable estimate of fair value because of the short time between the purchase of the instrument and its expected realization.

Available-for-Sale Securities

When available, the fair value of securities is based on quoted prices in active markets. If quoted prices are not available, fair values are obtained from third party pricing services, non-binding broker quotes, or other model-based valuation techniques. Level 1 securities include U.S. Treasuries. Level 2 securities include corporate bonds, residential mortgage backed securities, commercial mortgage backed securities, municipal bonds, asset backed securities and U.S. agency and foreign government securities. The fair value of these Level 2 securities is based on a market approach with prices obtained from third party pricing services. Observable inputs used to value these securities can include, but are not limited to, reported trades, benchmark yields, issuer spreads and non-binding broker quotes. Level 3 securities primarily include certain corporate bonds, non-agency residential mortgage backed securities, commercial mortgage backed securities and asset backed securities. The fair value of corporate bonds, non-agency residential mortgage backed securities, commercial mortgage backed securities and certain asset backed securities classified as Level 3 is typically based on a single non-binding broker quote. The underlying inputs used for some of the non-binding broker quotes are not readily available to the Company.

In consideration of the above, management is responsible for the fair values recorded on the financial statements. Prices received from third party pricing services are subjected to exception reporting that identifies investments with significant daily price movements as well as no movements. The Company reviews the exception reporting and resolves the exceptions through reaffirmation of the price or recording an appropriate fair value estimate. The Company also performs subsequent transaction testing. The Company performs annual due diligence of third party pricing services. The Company’s due diligence procedures include assessing the vendor’s valuation qualifications, control environment, analysis of asset-class specific valuation methodologies, and understanding of sources of market observable assumptions and unobservable assumptions, if any, employed in the valuation methodology. The Company also considers the results of its exception reporting controls and any resulting price challenges that arise.

Separate Account Assets

The fair value of assets held by separate accounts is determined by the net asset value (“NAV”) of the funds in which those separate accounts are invested. The NAV represents the exit price for the separate account. Separate account assets are classified as Level 2 as they are traded in principal-to-principal markets with little publicly released pricing information.

Other Assets

Derivatives that are measured using quoted prices in active markets, such as derivatives that are exchange-traded, are classified as Level 1 measurements. The fair value of derivatives that are traded in less active over-the-counter (“OTC”) markets are generally measured using pricing models with market observable inputs such as interest rates and equity index levels. These measurements are classified as Level 2 within the fair value hierarchy and include swaps and the majority of options. The counterparties’ nonperformance risk associated with uncollateralized derivative assets was immaterial at December 31, 2012 and 2011. See Note 16 for further information on the credit risk of derivative instruments and related collateral.

F-35

RiverSource Life Insurance Company

Liabilities

Future Policy Benefits

The Company values the embedded derivative liability attributable to the provisions of certain variable annuity riders using internal valuation models. These models calculate fair value by discounting expected cash flows from benefits plus margins for profit, risk and expenses less embedded derivative fees. The projected cash flows used by these models include observable capital market assumptions and incorporate significant unobservable inputs related to contractholder behavior assumptions, implied volatility and margins for risk, profit and expenses that the Company believes an exit market participant would expect. The fair value of these embedded derivatives also reflects a current estimate of the Company’s nonperformance risk specific to these liabilities. Given the significant unobservable inputs to this valuation, these measurements are classified as Level 3. The embedded derivative liability attributable to these provisions is recorded in future policy benefits.

The Company’s Corporate Actuarial Department calculates the fair value of the GMWB and GMAB embedded derivatives on a monthly basis. During this process, control checks are performed to validate the completeness of the data. Actuarial management approves various components of the valuation along with the final results. The change in the fair value of the embedded derivatives is reviewed monthly with senior management. The Level 3 inputs into the valuation are consistent with the pricing assumptions and updated as experience develops. Significant unobservable inputs that reflect policyholder behavior are reviewed quarterly along with other valuation assumptions.

The Company uses various Black-Scholes calculations to determine the fair value of the embedded derivative liability associated with the provisions of its EIA and IUL products. The inputs to these calculations are primarily market observable and include interest rates, volatilities and equity index levels. As a result, these measurements are classified as Level 2.

Other Liabilities

Derivatives that are measured using quoted prices in active markets, such as derivatives that are exchange-traded, are classified as Level 1 measurements. The fair value of derivatives that are traded in less active OTC markets are generally measured using pricing models with market observable inputs such as interest rates and equity index levels. These measurements are classified as Level 2 within the fair value hierarchy and include swaps and the majority of options. The Company’s nonperformance risk associated with uncollateralized derivative liabilities was immaterial at December 31, 2012 and 2011. See Note 16 for further information on the credit risk of derivative instruments and related collateral.

During the reporting periods, there were no material assets or liabilities measured at fair value on a nonrecurring basis. The following table provides the carrying value and the estimated fair value of financial instruments that are not reported at fair value. All other financial instruments that are reported at fair value have been included above in the table with balances of assets and liabilities measured at fair value on a recurring basis.

	December 31,										December 31,
	2012										2011
	Carrying		Fair Value								Carrying		Fair
(in millions)	Value		Level 1		Level 2		Level 3		Total		Value		Value
Financial Assets
Mortgage loans, net	$	3,389	$	—	$	—	$	3,568	$	3,568	$	2,473	$	2,650
Policy loans		752		—		—		725		725		739		713
Other investments		309		—		292		24		316		308		311
Restricted cash		86		86		—		—		86		26		26
Financial Liabilities
Future policy benefits	$	14,701	$	—	$	—	$	15,982	$	15,982	$	15,064	$	16,116
Separate account liabilities		360		—		360		—		360		345		345
Line of credit with Ameriprise Financial		150		—		—		150		150		300		300
Borrowings under repurchase agreements		501		—		500		—		500		504		502
Other liabilities		144		—		—		142		142		267		263

Mortgage Loans, Net

The fair value of commercial mortgage loans, except those with significant credit deterioration, is determined by discounting contractual cash flows using discount rates that reflect current pricing for loans with similar remaining maturities and characteristics including loan-to-value ratio, occupancy rate, refinance risk, debt-service coverage, location, and property condition. For commercial mortgage loans with significant credit deterioration, fair value is determined using the same adjustments as above with an additional adjustment for the Company’s estimate of the amount recoverable on the loan.

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RiverSource Life Insurance Company

The fair value of residential mortgage loans is determined by discounting estimated cash flows and incorporating adjustments for prepayment, administration expenses, severity and credit loss estimates, with discount rates based on the Company’s estimate of current market conditions.

Given the significant unobservable inputs to the valuation of mortgage loans, these measurements are classified as Level 3.

Policy Loans

The fair value of policy loans is determined using discounted cash flows and are classified as Level 3 as the discount rate used may be adjusted for the underlying performance of individual policies.

Other Investments

Other investments primarily consist of syndicated loans and an investment in Federal Home Loan Bank of Des Moines (“FHLB”). The fair value of syndicated loans is obtained from a third party service or non-binding broker quotes. Syndicated loans that are priced by multiple non-binding broker quotes are classified as Level 2 and syndicated loans priced using a single non-binding broker quote are classified as Level 3. The fair value of the investment in FHLB is approximated by the carrying value and classified as Level 3 due to restrictions on transfer or lack of liquidity.

Restricted Cash

Restricted cash is generally set aside for specific business transactions and restrictions are specific to the Company and do not transfer to third party market participants; therefore, the carrying amount is a reasonable estimate of fair value. The fair value of restricted cash is classified as Level 1.

Future Policy Benefits

The fair value of fixed annuities, in deferral status, is determined by discounting cash flows using a risk neutral discount rate with adjustments for profit margin, expense margin, early policy surrender behavior, a provision for adverse deviation from estimated early policy surrender behavior and the Company’s nonperformance risk specific to these liabilities. The fair value of other liabilities including non-life contingent fixed annuities in payout status, EIA host contracts and the fixed portion of a small number of variable annuity contracts classified as investment contracts is determined in a similar manner. Given the use of significant unobservable inputs to these valuations, the measurements are classified as Level 3.

Separate Account Liabilities

Certain separate account liabilities are classified as investment contracts and are carried at an amount equal to the related separate account assets. The NAV of the related separate account assets represents the exit price for the separate account liabilities. Separate account liabilities are classified as Level 2 as they are traded in principal-to-principal markets with little publicly released pricing information. A nonperformance adjustment is not included as the related separate account assets act as collateral for these liabilities and minimize nonperformance risk.

Line of Credit with Ameriprise Financial

The fair value of the line of credit is determined by discounting cash flows with an adjustment for the Company’s nonperformance risk specific to this liability. The fair value of the line of credit is classified as Level 3.

Borrowings under Repurchase Agreements

The fair value of borrowings under agreements to repurchase is obtained from a third party pricing service. A nonperformance adjustment is not included as collateral requirements for these borrowings minimize the nonperformance risk. The fair value of borrowings under agreements to repurchase is classified as Level 2.

Other Liabilities

Other liabilities consist of future funding commitments to affordable housing partnerships. The fair value of these future funding commitments is determined by discounting cash flows and is classified as Level 3 as the discount rate is adjusted.

14.  RELATED PARTY TRANSACTIONS

Columbia Management Investment Advisers, LLC is the investment manager for the proprietary mutual funds used as investment options by the Company’s variable annuity contractholders and variable life insurance policyholders. The Company provides all fund management services, other than investment management, and is compensated for the administrative services it provides. For the years ended December 31, 2012, 2011 and 2010, the Company received $244 million, $222 million and $136 million, respectively, from Columbia Management Investment Advisers, LLC for these services.

Charges by Ameriprise Financial and affiliated companies to the Company for use of joint facilities, technology support, marketing services and other services aggregated $477 million, $530 million and $527 million for 2012, 2011 and 2010,

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RiverSource Life Insurance Company

respectively. Certain of these costs are included in DAC. Expenses allocated to the Company may not be reflective of expenses that would have been incurred by the Company on a stand-alone basis.

Dividends paid and received by RiverSource Life Insurance Company were as follows:

	Years Ended December 31,
(in millions)	2012		2011		2010
Cash dividends paid to Ameriprise Financial	$	865	$	750	$	500
Non-cash dividends paid to Ameriprise Financial		—		850		—
Cash dividends received from RiverSource Life of NY		50		79		28
Cash dividends received from RTA		—		53		63

Notifications to state insurance regulators were made in advance of payments of dividends for amounts in excess of statutorily defined thresholds. See Note 15 for additional information.

During 2012 and 2011, RiverSource Life Insurance Company made cash contributions to RTA of $53 million and $111 million, respectively, for ongoing funding commitments related to affordable housing partnership investments.

In October 2012, the Company purchased $954 million of residential mortgage loans from an affiliate, Ameriprise Bank, FSB. The Company purchased the loans for investment purposes and as part of Ameriprise Financial’s initiative to transition Ameriprise Bank, FSB from a federal savings bank to a limited powers national trust bank. The portfolio consists primarily of variable rate revolving loans, and includes both first and second liens. The loans were purchased by the Company at fair value. See Note 6 for additional information.

During 2010, the Company received a non-cash capital contribution of $14 million comprised of affordable housing partnership investments from Ameriprise Financial.

Beginning in 2010, the Company’s taxable income was included in the consolidated federal income tax return of Ameriprise Financial. Net amount due to Ameriprise Financial for federal income taxes were $17 million at December 31, 2012. Net amount due from Ameriprise Financial for federal income taxes were $86 million at December 31, 2011.

15.  STATUTORY CAPITAL AND SURPLUS

State insurance statutes contain limitations as to the amount of dividends or distributions that insurers may make without providing prior notification to state regulators. For RiverSource Life Insurance Company, dividends or distributions in excess of unassigned surplus, as determined in accordance with accounting practices prescribed by the State of Minnesota, require advance notice to the Minnesota Department of Commerce, RiverSource Life Insurance Company’s primary regulator, and are subject to potential disapproval. RiverSource Life Insurance Company’s statutory unassigned surplus aggregated $421 million and $(296) million as of December 31, 2012 and 2011, respectively.

In addition, dividends or distributions, whose fair market value, together with that of other dividends or distributions made within the preceding 12 months, exceed the greater of the previous year’s statutory net gain from operations or 10% of the previous year-end statutory capital and surplus are referred to as “extraordinary dividends.” Extraordinary dividends also require advance notice to the Minnesota Department of Commerce, and are subject to potential disapproval.

Statutory net gain from operations and net income for the years ended December 31 and capital and surplus as of December 31 are summarized as follows:

(in millions)	2012		2011			2010
Statutory net gain (loss) from operations(1)	$	2,189	$	(475	)	$	1,200
Statutory net income (loss)(1)		1,976		(599	)		1,112
Statutory capital and surplus		3,113		2,681			3,735

⁽¹⁾ Statutory net gain (loss) from operations and statutory net income (loss) are significantly impacted by changes in reserves for variable annuity guaranteed benefits, however these impacts are substantially offset by unrealized gains (losses) on derivatives which are not included in statutory income but are recorded directly to surplus.

16.  DERIVATIVES AND HEDGING ACTIVITIES

Derivative instruments enable the Company to manage its exposure to various market risks. The value of such instruments is derived from an underlying variable or multiple variables, including equity and interest rate indices or prices. The Company primarily enters into derivative agreements for risk management purposes related to the Company’s products and operations.

Freestanding derivative instruments are recorded at fair value and are reflected in other assets or other liabilities. The Company’s policy on the recognition of derivatives on the Consolidated Balance Sheet is to not offset fair value amounts recognized for derivatives and collateral arrangements executed with the same counterparty under the same master netting arrangement.

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RiverSource Life Insurance Company

The following table presents the estimated fair value of the Company’s freestanding derivatives after considering the effect of master netting arrangements and collateral:

	December 31, 2012						December 31, 2011
	Net Derivative			Net Derivative			Net Derivative			Net Derivative
(in millions)	Assets			Liabilities			Assets			Liabilities
Fair value of OTC derivatives after application of master netting agreements	$	646		$	603		$	861		$	129
Cash collateral on OTC derivatives		(262	)		(67	)		(613	)		(26	)
Fair value of OTC derivatives after application of master netting agreements and cash collateral		384			536			248			103
Securities collateral on OTC derivatives		(355	)		(532	)		(186	)		(95	)
Fair value of OTC derivatives after application of master netting agreements and cash and securities collateral		29			4			62			8
Fair value of exchange-traded derivatives		96			—			155			—
Total fair value of derivatives after application of master netting agreements and cash and securities collateral	$	125		$	4		$	217		$	8

In April 2012, the Financial Stability Oversight Council approved the final rule and interpretive guidance that provides the framework it will follow to determine if a nonbank financial company is a Systemically Important Financial Institution.

The framework includes a three-stage process to help narrow down the pool of nonbank financial companies for review and possible designation. Stage 1 criteria include having at least $50 billion in assets and meeting one of five additional quantitative measures. One of the five thresholds is $3.5 billion of derivative liabilities after considering the effects of master netting arrangements and cash collateral held with the same counterparty. The following table presents the Company’s derivative liabilities as defined by the rule:

	December 31,
(in millions)	2012		2011
Fair value of OTC derivative liabilities after application of master netting agreements and cash collateral	$	536	$	103
Fair value of embedded derivative liabilities		880		1,590
Fair value of derivative liabilities after application of master netting agreements and cash collateral	$	1,416	$	1,693

The Company currently uses derivatives as economic hedges and accounting hedges. The following table presents the balance sheet location and the gross fair value of derivative instruments, including embedded derivatives:

		Asset					Liability
Derivatives not designated	Balance Sheet	December 31,				Balance Sheet	December 31,
as hedging instruments	Location	2012		2011		Location	2012		2011
		(in millions)					(in millions)
GMWB and GMAB
Interest rate contracts	Other assets	$	2,191	$	1,801	Other liabilities	$	1,486	$	1,198
Equity contracts	Other assets		1,215		1,314	Other liabilities		1,792		1,031
Credit contracts	Other assets		—		1	Other liabilities		—		—
Foreign currency contracts	Other assets		6		7	Other liabilities		—		10
Embedded derivatives(1)	Not applicable		—		—	Future policy benefits		833		1,585
Total GMWB and GMAB			3,412		3,123			4,111		3,824
Other derivatives:
Equity
EIA embedded derivatives	Not applicable		—		—	Future policy benefits		2		2
IUL	Other assets		6		1	Other liabilities		1		—
IUL embedded derivatives	Not applicable		—		—	Future policy benefits		45		3
Total other			6		1			48		5
Total derivatives		$	3,418	$	3,124		$	4,159	$	3,829

⁽¹⁾ The fair values of GMWB and GMAB embedded derivatives fluctuate based on changes in equity, interest rate and credit markets.

See Note 13 for additional information regarding the Company’s fair value measurement of derivative instruments.

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RiverSource Life Insurance Company

The following table presents a summary of the impact of derivatives not designated as hedging instruments on the Consolidated Statements of Income for the years ended December 31:

		Amount of Gain (Loss) on
Derivatives not designated	Location of Gain (Loss) on	Derivatives Recognized in Income
as hedging instruments	Derivatives Recognized in Income	2012			2011			2010
		(in millions)
GMWB and GMAB
Interest rate contracts	Benefits, claims, losses and settlement expenses	$	17		$	709		$	95
Equity contracts	Benefits, claims, losses and settlement expenses		(1,218	)		326			(370	)
Credit contracts	Benefits, claims, losses and settlement expenses		(2	)		(12	)		(44	)
Foreign currency contracts	Benefits, claims, losses and settlement expenses		(1	)		(2	)		—
Embedded derivatives(1)	Benefits, claims, losses and settlement expenses		752			(1,165	)		(121	)
Total GMWB and GMAB			(452	)		(144	)		(440	)
Other derivatives:
Interest rate
Tax hedge	Net investment income		1			—			—
Equity
GMDB	Benefits, claims, losses and settlement expenses		—			—			(4	)
EIA	Interest credited to fixed accounts		1			(1	)		2
EIA embedded derivatives	Interest credited to fixed accounts		1			1			7
IUL	Interest credited to fixed accounts		1			1			—
IUL embedded derivatives	Interest credited to fixed accounts		(4	)		(3	)		—
Total other			—			(2	)		5
Total derivatives		$	(452	)	$	(146	)	$	(435	)

⁽¹⁾ The fair values of GMWB and GMAB embedded derivatives fluctuate based on changes in equity, interest rate and credit markets.

The Company holds derivative instruments that either do not qualify or are not designated for hedge accounting treatment. These derivative instruments are used as economic hedges of equity, interest rate and credit risk related to various products and transactions of the Company.

Certain annuity contracts contain GMWB or GMAB provisions, which guarantee the right to make limited partial withdrawals each contract year regardless of the volatility inherent in the underlying investments or guarantee a minimum accumulation value of consideration received at the beginning of the contract period, after a specified holding period, respectively. The Company economically hedges the exposure related to non-life contingent GMWB and GMAB provisions primarily using various futures, options, interest rate swaptions, interest rate swaps, total return swaps, variance swaps and credit default swaps. At December 31, 2012 and 2011, the gross notional amount of derivative contracts for the Company’s GMWB and GMAB provisions was $142.1 billion and $104.7 billion, respectively.

The deferred premium associated with certain of the above options is paid or received semi-annually over the life of the option contract. The following is a summary of the payments the Company is scheduled to make and receive for these options:

(in millions)	Premiums Payable		Premiums Receivable
2013	$	373	$	57
2014		348		55
2015		320		54
2016		289		46
2017		238		41
2018-2027		785		104

Actual timing and payment amounts may differ due to future contract settlements, modifications or exercises of options prior to the full premium being paid or received.

EIA and IUL products have returns tied to the performance of equity markets. As a result of fluctuations in equity markets, the obligation incurred by the Company related to EIA and IUL products will positively or negatively impact earnings over the life of these products. As a means of economically hedging its obligations under the provisions of these products, the Company enters into index options and futures contracts. The gross notional amount of EIA derivative contracts was $10 million and $25 million at December 31, 2012 and 2011, respectively. The gross notional amount of IUL derivative contracts was $200 million and $12 million at December 31, 2012 and 2011, respectively.

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RiverSource Life Insurance Company

Embedded Derivatives

Certain annuities contain GMAB and non-life contingent GMWB provisions, which are considered embedded derivatives. In addition, the equity component of the EIA and IUL product obligations are also considered embedded derivatives. These embedded derivatives are bifurcated from their host contracts and reported on the Consolidated Balance Sheets at fair value with changes in fair value reported in earnings. As discussed above, the Company uses derivatives to mitigate the financial statement impact of these embedded derivatives.

Cash Flow Hedges

The Company has amounts classified in accumulated other comprehensive income related to gains and losses associated with the effective portion of previously designated cash flow hedges. The Company reclassifies these amounts into income as the forecasted transactions impact earnings. During the years ended December 31, 2012 and 2011, the Company held no derivatives that were designated as cash flow hedges.

At December 31, 2012, the Company expects to reclassify $6 million of deferred loss on derivative instruments from accumulated other comprehensive income to earnings during the next 12 months that will be recorded in net investment income. These were originally losses on derivative instruments related to interest rate swaptions. During the years ended December 31, 2012 and 2011, no hedge relationships were discontinued due to forecasted transactions no longer being expected to occur according to the original hedge strategy. For the years ended December 31, 2012, 2011 and 2010, the amount recognized in earnings on cash flow hedges due to ineffectiveness was $1 million, nil and nil, respectively.

The following table presents a rollforward of unrealized derivative losses related to cash flow hedges included in accumulated other comprehensive income:

(in millions)	2012			2011			2010
Net unrealized derivative losses at January 1	$	(26	)	$	(30	)	$	(34	)
Reclassification of realized losses(1)		7			6			6
Income tax benefit		(2	)		(2	)		(2	)
Net unrealized derivative losses at December 31	$	(21	)	$	(26	)	$	(30	)

⁽¹⁾ Loss reclassified from accumulated other comprehensive income to net investment income on the Consolidated Statements of Income.

Currently, the longest period of time over which the Company is hedging exposure to the variability in future cash flows is six years and relates to interest credited on forecasted fixed premium product sales.

Credit Risk

Credit risk associated with the Company’s derivatives is the risk that a derivative counterparty will not perform in accordance with the terms of the applicable derivative contract. To mitigate such risk, the Company has established guidelines and oversight of credit risk through a comprehensive enterprise risk management program that includes members of senior management. Key components of this program are to require preapproval of counterparties and the use of master netting arrangements and collateral arrangements whenever practical. As of December 31, 2012 and 2011, the Company held $262 million and $635 million, respectively, in cash and cash equivalents and recorded a corresponding liability in other liabilities for collateral the Company is obligated to return to counterparties. As of December 31, 2012 and 2011, the Company had accepted additional collateral consisting of various securities with a fair value of $387 million and $186 million, respectively, which are not reflected on the Consolidated Balance Sheets. As of December 31, 2012 and 2011, the Company’s maximum credit exposure related to derivative assets after considering netting arrangements with counterparties and collateral arrangements was approximately $29 million and $61 million, respectively.

Certain of the Company’s derivative contracts contain provisions that adjust the level of collateral the Company is required to post based on the Company’s financial strength rating (or based on the debt rating of the Company’s parent, Ameriprise Financial). Additionally, certain of the Company’s derivative contracts contain provisions that allow the counterparty to terminate the contract if the Company does not maintain a specific financial strength rating or Ameriprise Financial’s debt does not maintain a specific credit rating (generally an investment grade rating). If these termination provisions were to be triggered, the Company’s counterparty could require immediate settlement of any net liability position. At December 31, 2012 and 2011, the aggregate fair value of derivative contracts in a net liability position containing such credit contingent provisions was $364 million and $106 million, respectively. The aggregate fair value of assets posted as collateral for such instruments as of December 31, 2012 and 2011 was $360 million and $98 million, respectively. If the credit contingent provisions of derivative contracts in a net liability position at December 31, 2012 and 2011 were triggered, the aggregate fair value of additional assets that would be required to be posted as collateral or needed to settle the instruments immediately would have been $4 million and $8 million, respectively.

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RiverSource Life Insurance Company

17.  INCOME TAXES

The Company retrospectively adopted a new accounting standard for DAC in the first quarter of 2012. See Note 1 for the effect of the change on affected financial statement line items for prior periods retrospectively adjusted. Prior period disclosures presented below have been retrospectively adjusted for the new accounting standard.

In 2012, the Company made a correction to tax expense primarily attributable to prior periods. Management has determined that the effect of this correction is not material to the Consolidated Financial Statements for all current and prior periods presented. See Note 1 for additional information on this correction.

The Company qualifies as a life insurance company for federal income tax purposes. As such, the Company is subject to the Internal Revenue Code provisions applicable to life insurance companies. The Company provides for income taxes on a separate return basis, except that, under an agreement between Ameriprise Financial and the Company, tax benefits are recognized for losses to the extent they can be used in the consolidated return. It is the policy of Ameriprise Financial that it will reimburse its subsidiaries for any tax benefits recorded.

The components of income tax provision were as follows:

	Years Ended December 31,
(in millions)	2012			2011			2010
Current income tax:
Federal	$	197		$	137		$	(167	)
State		7			3			3
Total current income tax		204			140			(164	)
Deferred income tax:
Federal		(38	)		51			360
State		(2	)		(1	)		(1	)
Total deferred income tax		(40	)		50			359
Total income tax provision	$	164		$	190		$	195

The principal reasons that the aggregate income tax provision is different from that computed by using the U.S. statutory rate of 35% are as follows:

	Years Ended December 31,
	2012			2011			2010
Tax at U.S. statutory rate		35.0	%		35.0	%		35.0	%
Changes in taxes resulting from:
Tax-exempt interest and dividend income		(9.7	)		(12.6	)		(7.8	)
State taxes, net of federal benefit		0.4			0.1			0.1
Low income housing credit		(4.7	)		(1.6	)		(1.6	)
Foreign tax credit, net of addback		(0.5	)		(1.6	)		(1.4	)
Taxes applicable to prior years		(2.5	)		—			(2.2	)
Other, net		2.1			(0.5	)		—
Income tax provision		20.1	%		18.8	%		22.1	%

The effective tax rates are lower than the statutory rate as a result of tax preferred items including the dividends received deduction, foreign tax credits and low income housing credits. The change in the effective tax rate for the year ended December 31, 2012 is primarily due to a $32 million out-of-period correction of tax related to securities lending activities partially offset by increased low income housing tax credits. See Note 1 for additional information on the out-of-period correction.

F-42

RiverSource Life Insurance Company

Deferred income tax assets and liabilities result from temporary differences between the assets and liabilities measured for GAAP reporting versus income tax return purposes. The significant components of the Company’s deferred income tax assets and liabilities are reflected in the following table:

	December 31,
(in millions)	2012			2011
Deferred income tax assets:
Liabilities for future policy benefits	$	1,295		$	1,589
Investment related		161			—
Capital loss and tax credit carryforwards		5			30
State net operating losses		5			4
Gross deferred income tax assets		1,466			1,623
Less: valuation allowance		(5	)		(4	)
Total deferred income tax assets		1,461			1,619
Deferred income tax liabilities:
Deferred acquisition costs		677			639
Net unrealized gains on Available-for-Sale securities		676			501
Investment related		—			190
Deferred sales inducement costs		142			180
Other		29			49
Gross deferred income tax liabilities		1,524			1,559
Net deferred income tax assets (liabilities)	$	(63	)	$	60

A reconciliation of the beginning and ending amount of gross unrecognized tax benefits is as follows:

(in millions)	2012			2011			2010
Balance at January 1	$	134		$	83		$	(77	)
Additions (reductions) based on tax positions related to the current year		1			(1	)		—
Additions for tax positions of prior years		19			79			322
Reductions for tax positions of prior years		(77	)		(7	)		(196	)
Settlements		(12	)		(20	)		34
Balance at December 31	$	65		$	134		$	83

The significant decrease in the amount of gross unrecognized tax benefits is a result of reaching an agreement with the Internal Revenue Service (“IRS”) on the treatment of certain items under audit. If recognized, approximately $8 million, $12 million and $39 million, net of federal tax benefits, of unrecognized tax benefits as of December 31, 2012, 2011 and 2010, respectively, would affect the effective tax rate.

The Company recognizes interest and penalties related to unrecognized tax benefits as a component of the income tax provision. The Company recognized a reduction of $3 million, an increase of $57 million and a reduction of $8 million in interest and penalties for the years ended December 31, 2012, 2011 and 2010, respectively. At December 31, 2012 and 2011, the Company had a payable of $30 million and $33 million, respectively, related to accrued interest and penalties.

It is reasonably possible that the total amounts of unrecognized tax benefits will change in the next 12 months. Based on the current audit position of the Company, it is estimated that the total amount of gross unrecognized tax benefits may decrease by $63 million in the next 12 months.

The Company or one or more of its subsidiaries files income tax returns in the U.S. federal jurisdiction and various state jurisdictions. The IRS had previously completed its field examination of the 1997 through 2007 tax returns in recent years. However, for federal income tax purposes, these years except for 2007, continue to remain open as a consequence of certain issues under appeal. The IRS is in the process of completing the audit of the Company’s income tax returns for 2008 and 2009 and began auditing 2010 and 2011 in the fourth quarter of 2012. The Company or certain of its subsidiaries’ state income tax returns are currently under examination by various jurisdictions for years ranging from 1997 through 2009 and remain open for the years after 2009.

It is possible there will be corporate tax reform in the next few years. While impossible to predict, corporate tax reform is likely to include a reduction in the corporate tax rate coupled with reductions in tax preferred items. Any changes could have a material impact on the Company’s income tax expense and deferred tax balances.

F-43

RiverSource Life Insurance Company

The items comprising other comprehensive income are presented net of the following income tax provision (benefit) amounts:

	Years Ended December 31,
(in millions)	2012			2011			2010
Net unrealized securities gains	$	161		$	89		$	181
Net unrealized derivative losses		(2	)		(2	)		(2	)
Net income tax provision	$	159		$	87		$	179

18.  COMMITMENTS AND CONTINGENCIES

At December 31, 2012 and 2011, the Company had no material commitments to purchase investments other than mortgage loan fundings. See Note 6 for additional information.

The Company’s annuity and life products all have minimum interest rate guarantees in their fixed accounts. As of December 31, 2012, these guarantees range up to 5.0%.

Insurance companies have been the subject of increasing regulatory, legislative and judicial scrutiny. Numerous state and federal regulatory agencies have commenced examinations and other inquiries of insurance companies regarding sales and marketing practices (including sales to older consumers and disclosure practices), claims handling, and unclaimed property and escheatment practices and procedures. With regard to an industry-wide investigation of unclaimed property and escheatment practices and procedures, the Company is responding to regulatory audits, market conduct examinations and other inquires (including inquiries from the States of Minnesota and New York and a multistate insurance department examination). The Company has cooperated and will continue to cooperate with the applicable regulators regarding their inquiries.

The Company is involved in the normal course of business in a number of other legal and arbitration proceedings concerning matters arising in connection with the conduct of its business activities. The Company believes that it is not a party to, nor are any of its properties the subject of, any pending legal, arbitration or regulatory investigation or proceeding that is likely to have a material adverse effect on its consolidated financial condition, results of operations or liquidity. Notwithstanding the foregoing, it is possible that the outcome of any current or future legal, arbitration or regulatory proceeding could have a material impact on results of operations in any particular reporting period as the proceedings are resolved.

The Company is required by law to be a member of the guaranty fund association in every state where it is licensed to do business. In the event of insolvency of one or more unaffiliated insurance companies, the Company could be adversely affected by the requirement to pay assessments to the guaranty fund associations. Uncertainty and volatility in the U.S. economy and financial markets in recent years have weakened the financial condition of numerous insurers, including insurers currently in receiverships, increasing the risk of triggering guaranty fund assessments.

The Company projects its cost of future guaranty fund assessments based on estimates of insurance company insolvencies provided by the National Organization of Life and Health Insurance Guaranty Associations (“NOLHGA”) and the amount of its premiums written relative to the industry-wide premium in each state. The Company accrues the estimated cost of future guaranty fund assessments when it is considered probable that an assessment will be imposed, the event obligating the Company to pay the assessment has occurred and the amount of the assessment can be reasonably estimated.

Executive Life Insurance Company of New York (“ELNY”) was placed into rehabilitation by a New York state court in 1991. On April 16, 2012, the court issued an order converting the rehabilitation into a liquidation proceeding under a plan submitted by the New York insurance regulator with support from NOLHGA and the industry.

During the second quarter of 2012, the Company established a liability for estimated guaranty fund assessments and a related premium tax asset, primarily associated with ELNY. At December 31, 2012, the estimated liability was $26 million and the related premium tax asset was $19 million. The expected period over which the assessments will be made and the related tax credits recovered is not known. At December 31, 2011, the net liability was not considered material.

Uncertain economic conditions, heightened and sustained volatility in the financial markets and significant financial reform legislation may increase the likelihood that clients and other persons or regulators may present or threaten legal claims or that regulators increase the scope or frequency of examinations of the Company or the insurance industry generally.

F-44

RiverSource Life Insurance Company

829 Ameriprise Financial Center

Minneapolis, MN 55474

1-800-333-3437

RiverSource Distributors, Inc. (Distributor), Member FINRA.

Insurance and annuity products are issued by RiverSource Life Insurance Company.

Both companies are affiliated with Ameriprise Financial Services, Inc.

S-6477 V (4/13) ^© 2008-2013 RiverSource Life Insurance Company. All rights reserved.