four85badvantage.htm

STATEMENT OF ADDITIONAL INFORMATION

April 30, 2012

INDIVIDUAL AND GROUP FLEXIBLE PREMIUM

FIXED AND VARIABLE DEFERRED ANNUITY CONTRACTS

ISSUED BY THE JACKSON NATIONAL SEPARATE ACCOUNT V

OF JACKSON NATIONAL LIFE INSURANCE COMPANY®

This Statement of Additional Information is not a prospectus. It contains information in addition to and more detailed than set forth in the Prospectus and should be read in conjunction with the Prospectus dated April 30, 2012 . The Prospectus may be obtained from Jackson National Life Insurance Company (Jackson®) by writing P.O. Box 30314, Lansing, Michigan 48909-7814, or calling 1-800-873-5654.

TABLE OF CONTENTS

	Page
General Information and History	2
Services	10
Purchase of Securities Being Offered	11
Underwriters	11
Calculation of Performance	11
Additional Tax Information	13
Annuity Provisions	23
Net Investment Factor	24
Condensed Financial Information	2 5
Financial Statements of the Separate Account
Financial Statements of Jackson

General Information and History

Jackson National Separate Account V (Separate Account) is a separate investment account of Jackson National Life Insurance Company. Jackson is a wholly owned subsidiary of Brooke Life Insurance Company and is ultimately a wholly owned subsidiary of Prudential plc, London, England, a publicly traded life insurance company in the United Kingdom.

Trademarks, Service Marks, and Related Disclosures

The “Dow Jones ® ”, “Dow Jones Industrial Average SM ”, “DJIA SM ”, “Dow Jones Select Dividend Index SM ”, “The Dow SM ”, “the Dow 10 SM ”, and the “Dow Jones U.S. Contrarian Opportunities Index SM ” are products of Dow Jones Indexes, the marketing name of and a licensed trademark of CME Group Index Services LLC (“CME”), and have been licensed for use. “Dow Jones ® ”, “Dow Jones Industrial Average SM ”, “DJIA SM ”, “Dow Jones Select Dividend Index SM ”, “The Dow SM ”, “the Dow 10 SM ”, the “Dow Jones U.S. Contrarian Opportunities Index SM ” and “Dow Jones Indexes” are service marks of Dow Jones Trademark Holdings, LLC (“Dow Jones”) and have been licensed to CME and have been sub-licensed for use for certain purposes by Jackson National Life Insurance Company ® (“Jackson”). The JNL/Mellon Capital Management JNL 5 Fund, the JNL/Mellon Capital Management VIP Fund, the JNL/Mellon Capital Management Dow SM Dividend Fund, the JNL/Mellon Capital Management JNL Optimized 5 Fund, the JNL/Mellon Capital Management Communications Sector Fund, the JNL/Mellon Capital Management Consumer Brands Sector Fund, the JNL/Mellon Capital Management Financial Sector Fund, the JNL/Mellon Capital Management Healthcare Sector Fund, the JNL/Mellon Capital Management Oil & Gas Sector Fund, the JNL/Mellon Capital Management Technology Sector Fund, and the JNL/Mellon Capital Management Dow Jones U.S. Contrarian Opportunities Index Fund based on the Dow Jones U.S. Contrarian Opportunities Index SM (“Funds”) are not sponsored, endorsed, sold or promoted by Dow Jones, CME or their respective affiliates. Dow Jones, CME and their respective affiliates make no representation or warranty, expressed or implied, to the owners of the Funds or any member of the public regarding the advisability of investing in securities generally or in the Funds particularly. The only relationship of Dow Jones, CME or any of their respective affiliates to the Funds is the licensing of certain trademarks, trade names and service marks of Dow Jones and of the “Dow Jones ® ”, “Dow Jones Industrial Average SM ”, “DJIA SM ”, “Dow Jones Select Dividend Index SM ”, “The Dow SM ”, “the Dow 10 SM ”, and the “Dow Jones U.S. Contrarian Opportunities Index SM which is determined, composed and calculated by CME without regard to Jackson or the Funds. Dow Jones and CME have no obligation to take the needs of Jackson or the owners of the Funds into consideration in determining, composing or calculating the Funds. Dow Jones, CME and their respective affiliates are not responsible for and have not participated in the determination of the timing of, prices at, or quantities of the Funds to be issued or in the determination or calculation of the equation by which the Funds are to be converted into cash. Dow Jones, CME and their respective affiliates have no obligation or liability in connection with the administration, marketing or trading of the Funds. Notwithstanding the foregoing, CME Group Inc. and its affiliates may independently issue and/or sponsor financial products unrelated to the JNL/Mellon Capital Management Dow Jones U.S. Contrarian Opportunities Index Fund currently being issued by Jackson National Life Insurance Company, but which may be similar to and competitive with the JNL/Mellon Capital Management Dow Jones U.S. Contrarian Opportunities Index Fund. In addition, CME Group Inc. and its affiliates may trade financial products which are linked to the performance of the Dow Jones U.S. Contrarian Opportunities Index SM . It is possible that this trading activity will affect the value of the Dow Jones U.S. Contrarian Opportunities Index SM and JNL/Mellon Capital Management Dow Jones U.S. Contrarian Opportunities Index Fund.
Dow Jones, CME and their respective affiliates do not:
●	Sponsor, endorse, sell or promote the Funds.
●	Recommend that any person invest in the Funds.
●	Have any responsibility or liability for or make any decisions about the timing, amount or pricing of the Funds.
●	Have any responsibility or liability for the administration, management or marketing of the Funds.
●	Consider the needs of the Funds in determining, composing or calculating the DJIA or have any obligation to do so.

Dow Jones, CME and their respective affiliates will not have any liability in connection with the Funds. Specifically,
●	Dow Jones, CME and their respective affiliates do not make any warranty, express or implied, and Dow Jones, CME and their respective affiliates disclaim any warranty about:
	●	The results to be obtained by the Funds or any other person in connection with the use of the DJIA and the data included in the DJIA;
	●	The accuracy or completeness of the DJIA and its data;
	●	The merchantability and the fitness for a particular purpose or use of the DJIA and its data;
●	Dow Jones, CME and/or their respective affiliates will have no liability for any errors, omissions or interruptions in the DJIA or its data;
●	Under no circumstances will Dow Jones, CME and/or their respective affiliates be liable for any lost profits or indirect, punitive, special or consequential damages or losses, even if they know that they might occur.
The licensing agreement relating to the use of the indexes and trademarks referred to above by Jackson National Life Insurance Company ® and Dow Jones is solely for the benefit of the Funds and not for any other third parties.
DOW JONES, CME AND THEIR RESPECTIVE AFFILIATES DO NOT GUARANTEE THE ACCURACY AND/OR THE COMPLETENESS OF THE “DOW JONES ® ”, “DOW JONES INDUSTRIAL AVERAGE SM ”, “DJIA SM ”, “DOW JONES SELECT DIVIDEND INDEX SM ”, “THE DOW SM ” “THE DOW 10 SM ”, “DOW JONES U.S. CONTRARIAN OPPORTUNITIES INDEX SM ” and “DOW JONES INDEXES” OR ANY DATA INCLUDED THEREIN AND DOW JONES, CME AND THEIR RESPECTIVE AFFILIATES SHALL HAVE NO LIABILITY FOR ANY ERRORS, OMISSIONS, OR INTERRUPTIONS THEREIN. DOW JONES, CME AND THEIR RESPECTIVE AFFILIATES MAKE NO WARRANTY, EXPRESS OR IMPLIED, AS TO THE RESULTS TO BE OBTAINED BY JACKSON, OWNERS OF THE FUNDS, OR ANY OTHER PERSON OR ENTITY FROM THE USE OF THE “DOW JONES ® ”, “DOW JONES INDUSTRIAL AVERAGE SM ”, “DJIA SM ”, “DOW JONES SELECT DIVIDEND INDEX SM ”, “THE DOW SM ” “THE DOW 10 SM ”, “DOW JONES U.S. CONTRARIAN OPPORTUNITIES INDEX SM ” and “DOW JONES INDEXES” OR ANY DATA INCLUDED THEREIN. DOW JONES, CME AND THEIR RESPECTIVE AFFILIATES MAKE NO EXPRESS OR IMPLIED WARRANTIES, AND EXPRESSLY DISCLAIMS ALL WARRANTIES, OF MERCHANTABILITY OR FITNESS FOR A PARTICULAR PURPOSE OR USE WITH RESPECT TO THE “DOW JONES ® ”, “DOW JONES INDUSTRIAL AVERAGE SM ”, “DJIA SM ”, “DOW JONES SELECT DIVIDEND INDEX SM ”, “THE DOW SM ” and “THE DOW 10 SM ”, “DOW JONES U.S. CONTRARIAN OPPORTUNITIES INDEX SM ” and “DOW JONES INDEXES” OR ANY DATA INCLUDED THEREIN. WITHOUT LIMITING ANY OF THE FOREGOING, IN NO EVENT SHALL DOW JONES, CME OR THEIR RESPECTIVE AFFILIATES HAVE ANY LIABILITY FOR ANY LOST PROFITS OR INDIRECT, PUNITIVE, SPECIAL OR CONSEQUENTIAL DAMAGES OR LOSSES, EVEN IF NOTIFIED OF THE POSSIBILITY THEREOF. THERE ARE NO THIRD PARTY BENEFICIARIES OF ANY AGREEMENTS OR ARRANGEMENTS BETWEEN CME AND JACKSON, OTHER THAN THE LICENSORS OF CME.

Goldman Sachs is a registered service mark of Goldman, Sachs & Co.

The Product(s) is not sponsored, endorsed, sold or promoted by The Nasdaq Stock Market, Inc. (including its affiliates) (Nasdaq, with its affiliates, are referred to as the Corporations). The Corporations have not passed on the legality or suitability of or the accuracy or adequacy of descriptions and disclosures relating to the Product(s). The Corporations make no representation or warranty, express or implied to the Owners of the Product(s) or any member of the public regarding the advisability of investing in securities generally or in the Product(s) particularly, or the ability of the Nasdaq-100 Index® to track general stock market performance. The Corporations’ only relationship to Jackson (Licensee) is in the licensing of the Nasdaq-100®, Nasdaq-100 Index® and Nasdaq® trademarks or service marks, and certain trade names of the Corporations and the use of the Nasdaq-100 Index® which is determined, composed and calculated by Nasdaq without regard to Licensee or the Product(s). Nasdaq has no obligation to take the needs of the Licensee or the Owners of the Product(s) into consideration in determining, composing or calculating the Nasdaq-100 Index®. The Corporations are not responsible for and have not participated in the determination of the timing of, prices at or quantities of the Product(s) to be issued or in the determination or calculation of the equation by which the Product(s) is to be converted into cash. The Corporations have no liability in connection with the administration, marketing or trading of the Product(s).

The Corporations do not guarantee the accuracy and/or uninterrupted calculation of the Nasdaq-100 index® or any data included therein. The Corporations make no warranty, express or implied, as to results to be obtained by Licensee, Owners of the product(s) or any other person or entity from the use of the Nasdaq-100 Index® or any data included therein. The Corporations make no express or implied warranties, and expressly disclaim all warranties of merchantability or fitness for a particular purpose or use with respect to the Nasdaq-100 Index® or any data included therein. Without limiting any of the foregoing, in no event shall the Corporations have any liability for any lost profits or special, incidental, punitive, indirect or consequential damages, even if notified of the possibility of such damages.

“The Nasdaq-100®,” “Nasdaq-100 Index®,” “Nasdaq Stock Market®” and “Nasdaq®” are trade or service marks of The Nasdaq, Inc. (which with its affiliates are the “Corporations”) and have been licensed for use by Jackson. The Corporations have not passed on the legality or suitability of the JNL/Mellon Capital Management Nasdaq®25 Fund, the JNL/Mellon Capital Management JNL Optimized 5 Fund, or the JNL/Mellon Capital Management VIP Fund. The JNL/Mellon Capital Management Nasdaq® 25 Fund, the JNL/Mellon Capital Management VIP Fund and the JNL/Mellon Capital Management JNL Optimized 5 Fund are not issued, endorsed, sponsored, managed, sold or promoted by the Corporations. THE CORPORATIONS MAKE NO WARRANTIES AND BEAR NO LIABILITY WITH RESPECT TO THE JNL/MELLON CAPITAL MANAGEMENT NASDAQ® 25 FUND, THE JNL/MELLON CAPITAL MANAGEMENT VIP FUND AND THE JNL/MELLON CAPITAL MANAGEMENT JNL OPTIMIZED 5 FUND.

“NYSE®” is a registered mark of, and “NYSE International 100 IndexSM” is a service mark of, the New York Stock Exchange, Inc. (“NYSE”) and have been licensed for use for certain purposes by Jackson National Asset Management, LLC. The JNL/Mellon Capital Management NYSE® International 25 Fund is not sponsored, endorsed, sold or promoted by NYSE, and NYSE makes no representation regarding the advisability of investing in the JNL/Mellon Capital Management NYSE® International 25 Fund.

“NYSE International 100 IndexSM” is a service mark of NYSE Group, Inc. NYSE Group, Inc. has no relationship to Jackson National Asset Management, LLC, other than the licensing of the “NYSE International 100 IndexSM” (the “Index”) and its service marks for use in connection with the JNL/Mellon Capital Management NYSE® International 25 Fund.

NYSE Group, Inc. does not:

· Sponsor, endorse, sell or promote the JNL/Mellon Capital Management NYSE® International 25 Fund.

· Recommend that any person invest in the JNL/Mellon Capital Management NYSE® International 25 Fund or any other securities.

· Have any responsibility or liability for or make any decisions about the timing, amount or pricing of JNL/Mellon Capital Management NYSE® International 25 Fund.

· Have any responsibility or liability for the administration, management or marketing of the JNL/Mellon Capital Management NYSE® International 25 Fund.

· Consider the needs of the JNL/Mellon Capital Management NYSE® International 25 Fund or the owners of the JNL/Mellon Capital Management NYSE® International 25 Fund in determining, composing or calculating the NYSE International 100 IndexSM or have any obligation to do so.

NYSE Group, Inc. and its affiliates will not have any liability in connection with the JNL/Mellon Capital Management NYSE® International 25 Fund. Specifically,

· NYSE Group, Inc. and its affiliates make no warranty, express or implied, and NYSE Group, Inc. and its affiliates disclaim any warranty about:

· The results to be obtained by the JNL/Mellon Capital Management NYSE® International 25 Fund, the owner of the JNL/Mellon Capital Management NYSE® International 25 Fund or any other person in connection with the use of the Index and the data included in the NYSE International 100 IndexSM;

· The accuracy or completeness of the Index and its data;

· The merchantability and the fitness for a particular purpose or use of the Index and its data;

· NYSE Group, Inc. will have no liability for any errors, omissions or interruptions in the Index or its data;

· Under no circumstances will NYSE Group, Inc. or any of its affiliates be liable for any lost profits or indirect, punitive, special or consequential damages or losses, even if NYSE Group, Inc. knows that they might occur.

The licensing agreement between Jackson National Asset Management, LLC and NYSE Group, Inc. is solely for their benefit and not for the benefit of the owners of the JNL/Mellon Capital Management NYSE® International 25 Fund or any other third parties.

Russell Investment Group is the source and owner of the trademarks, service marks and copyrights related to the Russell Indexes. Russell is a trademark of Russell Investment Group.

JNL/Mellon Capital Management Small Cap Index Fund is not promoted, sponsored or endorsed by, nor in any way affiliated with Russell Investment Group ("Russell"). Russell is not responsible for and has not reviewed JNL/Mellon Capital Management Small Cap Index Fund nor any associated literature or publications and Russell makes no representation or warranty, express or implied, as to their accuracy, or completeness, or otherwise.

Russell reserves the right, at any time and without notice, to alter, amend, terminate or in any way change the Russell Indexes. Russell has no obligation to take the needs of any particular fund or its participants or any other product or person into consideration in determining, composing or calculating any of the Russell Indexes.

Russell's publication of the Russell Indexes in no way suggests or implies an opinion by Russell as to the attractiveness or appropriateness of investment in any or all securities upon which the Russell Indexes are based. RUSSELL MAKES NO REPRESENTATION, WARRANTY, OR GUARANTEE AS TO THE ACCURACY COMPLETENESS, RELIABILITY, OR OTHERWISE OF THE RUSSELL INDEXES. RUSSELL MAKES NO REPRESENTATION, WARRANTY OR GUARANTEE REGARDING THE USE, OR THE RESULTS OF USE, OF THE RUSSELL INDEXES OR ANY DATA INCLUDED THEREIN, OR ANY SECURITY (OR COMBINATION THEREOF) COMPRISING THE RUSSELL INDEXES. RUSSELL MAKES NO OTHER EXPRESS OR IMPLIED WARRANTY, AND EXPRESSLY DISCLAIMS ANY WARRANTY, OF ANY KIND, INCLUDING WITHOUT LIMITATION, ANY WARRANTY OF MERCHANTIBILITY OR FITNESS FOR A PARTICULAR PURPOSE WITH RESPECT TO THE RUSSELL INDEX(ES) OR ANY DATA OR ANY SECURITY (OR COMBINATION THEREOF) INCLUDED THEREIN.

Standard & Poor’s Investment Advisory Services LLC (“SPIAS”) is a registered investment adviser and a wholly-owned subsidiary of The McGraw-Hill Companies, Inc. SPIAS does not provide advice to underlying clients of the firms to which it provides services. SPIAS does not act as a “fiduciary” or as an “investment manager”, as defined under ERISA, to any investor. SPIAS is not responsible for client suitability. Past performance of the Funds is no indication of future results. Since performance fluctuates over time, the fact that the Funds may have outperformed the benchmarks over one period of time does not mean that they outperformed the benchmarks over other periods or will outperform the benchmarks in the future. SPIAS does not take into account any information about any investor or any investor’s assets when creating, providing or maintaining any asset allocation portfolio. SPIAS does not have any discretionary authority or control with respect to purchasing or selling securities or making other investments.

The JNL/Mellon Capital Management S&P Divisions and JNL/S&P Divisions, and any other investment fund or other vehicle that is offered by third parties that uses an S&P Indices index as a benchmark or measure of performance, bears the S&P or “Standard & Poor’s” mark and/or seeks to provide an investment return based on any S&P Indices index are not sponsored, endorsed, sold or promoted by Standard & Poor's Financial Services LLC (“S&P”) and its affiliates. S&P is not an investment adviser and S&P and its affiliates make no representation or warranty, express or implied, to the owners of the Divisions or any member of the public regarding the advisability of investing in securities generally or in the Divisions particularly or the ability of the S&P 500® Index, the S&P MIDCAP 400 Index®, the S&P SmallCap 600 Index®, or any other S&P Indices index to track general stock market performance. S&P's only relationship to the Separate Account (Licensee) is the licensing of certain registered trademarks and trade names of S&P, the S&P 500 Index, the S&P MIDCAP 400 Index, and the S&P SmallCap 600 Index, which are determined, composed and calculated by S&P Indices without regard to the Licensee or the Divisions. S&P Indices has no obligation to take the needs of the Licensee or the owners of the Divisions into consideration in determining, composing or calculating the S&P 500 Index, the S&P 400 Index, the S&P SmallCap 600 Index, or any other S&P Indices index . SPIAS is not responsible for and has not participated in the determination of the prices and amount of the Divisions or the timing of the issuance or sale of the Divisions or in the determination or calculation of the equation by which the Divisions are to be converted into cash. SPIAS has no obligation or liability in connection with the administration, marketing or trading of the Divisions.

S&P INDICES DOES NOT GUARANTEE THE ACCURACY AND/OR THE COMPLETENESS OF THE S&P 500 INDEX, THE S&P MIDCAP 400 INDEX OR ANY OTHER S&P INDICES INDEX OR ANY DATA INCLUDED THEREIN AND S&P INDICES SHALL HAVE NO LIABILITY FOR ANY ERRORS, OMISSIONS, OR INTERRUPTIONS THEREIN. S&P INDICES MAKES NO WARRANTY, EXPRESS OR IMPLIED, AS TO RESULTS TO BE OBTAINED BY OWNERS OF THE FUNDS, OR ANY OTHER PERSON OR ENTITY FROM THE USE OF THE S&P 500 INDEX, THE S&P MIDCAP 400 INDEX OR ANY OTHER S&P INDICES INDEX OR ANY DATA INCLUDED THEREIN. S&P INDICES MAKES NO EXPRESS OR IMPLIED WARRANTIES, AND EXPRESSLY DISCLAIMS ALL WARRANTIES OF MERCHANTABILITY OR FITNESS FOR A PARTICULAR PURPOSE OR USE WITH RESPECT TO THE S&P 500 INDEX, THE S&P MIDCAP 400 INDEX OR ANY OTHER S&P INDICES INDEX OR ANY DATA INCLUDED THEREIN. WITHOUT LIMITING ANY OF THE FOREGOING, IN NO EVENT SHALL S&P INDICES HAVE ANY LIABILITY FOR ANY SPECIAL, PUNITIVE, INDIRECT, OR CONSEQUENTIAL DAMAGES (INCLUDING LOST PROFITS), EVEN IF OTIFIED OF THE POSSIBILITY OF SUCH DAMAGES.

Standard & Poor’s Financial Services LLC, SPIAS, and their affiliates (collectively S&P), and any third-party providers, as well as their directors, officers, shareholders, employees or agents (collectively with S&P, S&P Parties) do not guarantee the accuracy, completeness, adequacy or timeliness of any information, including ratings, and are not responsible for errors and omissions, or for the results obtained from the use of such information, and S&P Parties shall have no liability for any errors, omission, or interruptions therein (negligent or otherwise), regardless of the cause, or for the results obtained from the use of such information. S&P PARTIES DISCLAIM ANY AND ALL EXPRESS OR IMPLIED WARRANTIES, INCLUDING, BUT NOT LIMITED TO, ANY WARRANTIES OF MERCHANTABILITY, SUITABILITY OR FITNESS FOR A PARTICULAR PURPOSE OR USE. In no event shall S&P Parties be liable to any party for any direct, indirect, incidental, exemplary, compensatory, punitive, special or consequential damages, costs, expenses, legal fees, or losses (including, without limitation, lost income or lost profits and opportunity costs or losses caused by negligence) in connection with any use of the information contained in this document even if advised of the possibility of such damages.

S&P’s credit ratings are statements of opinion as of the date they are expressed and not statements of fact or recommendations to purchase, hold, or sell any securities or to make any investment decisions. S&P credit ratings should not be relied on when making any investment or other business decision. S&P’s opinions and analyses do not address the suitability of any security. S&P does not act as a fiduciary or an investment advisor, except where registered as such. While S&P has obtained information from sources they believe to be reliable, S&P does not perform an audit and undertakes no duty of due diligence or independent verification of any information it receives.

To the extent that regulatory authorities allow a rating agency to acknowledge in one jurisdiction a rating issued in another jurisdiction for certain regulatory purposes, S&P reserves the right to assign, withdraw or suspend such acknowledgement at any time and in its sole discretion. S&P Parties disclaim any duty whatsoever arising out of the assignment, withdrawal or suspension of an acknowledgment as well as any liability for any damage alleged to have been suffered on account thereof.

S&P keeps certain activities of its business units separate from each other in order to preserve the independence and objectivity of their respective activities. As a result, certain business units of S&P may have information that is not available to other S&P business units. S&P has established policies and procedures to maintain the confidentiality of certain non-public information received in connection with each analytical process.

S&P may receive compensation for its ratings and certain analyses, normally from issuers or underwriters of securities or from obligors. S&P reserves the right to disseminate its opinions and analyses. S&P's public ratings and analyses are made available on its Web sites, www.standardandpoors.com (free of charge), and www.ratingsdirect.com and www.globalcreditportal.com (subscription), and may be distributed through other means, including via S&P publications and third party redistributors. Additional information about our ratings fees is available at www.standardandpoors.com/usratingsfees.

Jackson has entered into a License Agreement with Value Line®. Value Line Publishing, Inc.'s ("VLPI") only relationship to Jackson is VLPI's licensing to Jackson of certain VLPI trademarks and trade names and the Value Line Timeliness Ranking System (the "System"), which is composed by VLPI without regard to Jackson, this Product or any investor. VLPI has no obligation to take the needs of Jackson or any investor in the Product into consideration in composing the System. The Product results may differ from the hypothetical or published results of the Value Line Timeliness Ranking System. VLPI is not responsible for and has not participated in the determination of the prices and composition of the Product or the timing of the issuance for sale of the Product or in the calculation of the equations by which the Product is to be converted into cash.

VLPI MAKES NO WARRANTY CONCERNING THE SYSTEM, EXPRESS OR IMPLIED, INCLUDING, BUT NOT LIMITED TO, ANY IMPLIED WARRANTIES OF MERCHANTABILITY OR FITNESS FOR A PARTICULAR PURPOSE OR ANY IMPLIED WARRANTIES ARISING FROM USAGE OF TRADE, COURSE OF DEALING OR COURSE OF PERFORMANCE, AND VLPI MAKES NO WARRANTY AS TO THE POTENTIAL PROFITS OR ANY OTHER BENEFITS THAT MAY BE ACHIEVED BY USING THE SYSTEM OR ANY INFORMATION OR MATERIALS GENERATED THEREFROM. VLPI DOES NOT WARRANT THAT THE SYSTEM WILL MEET ANY REQUIREMENTS OR THAT IT WILL BE ACCURATE OR ERROR-FREE. VLPI ALSO DOES NOT GUARANTEE ANY USES, INFORMATION, DATA OR OTHER RESULTS GENERATED FROM THE SYSTEM. VLPI HAS NO OBLIGATION OR LIABILITY (I) IN CONNECTION WITH THE ADMINISTRATION, MARKETING OR TRADING OF THE PRODUCT; OR (II) FOR ANY LOSS, DAMAGE, COST OR EXPENSE SUFFERED OR INCURRED BY ANY INVESTOR OR OTHER PERSON OR ENTITY IN CONNECTION WITH THIS PRODUCT, AND IN NO EVENT SHALL VLPI BE LIABLE FOR ANY LOST PROFITS OR OTHER CONSEQUENTIAL, SPECIAL, PUNITIVE, INCIDENTAL, INDIRECT OR EXEMPLARY DAMAGES IN CONNECTION WITH THE PRODUCT.

THE JNL/MELLON CAPITAL MANAGEMENT INTERNATIONAL INDEX FUND AND THE JNL/MELLON CAPITAL MANAGEMENT EMERGING MARKETS INDEX FUND ARE NOT SPONSORED, ENDORSED, SOLD OR PROMOTED BY MSCI INC. (“MSCI”), ANY OF ITS AFFILIATES, ANY OF ITS INFORMATION PROVIDERS OR ANY OTHER THIRD PARTY INVOLVED IN, OR RELATED TO, COMPILING, COMPUTING OR CREATING ANY MSCI INDEX (COLLECTIVELY, THE “MSCI PARTIES”). THE MSCI INDEXES ARE THE EXCLUSIVE PROPERTY OF MSCI. MSCI AND THE MSCI INDEX NAMES ARE SERVICE MARK(S) OF MSCI OR ITS AFFILIATES AND HAVE BEEN LICENSED FOR USE FOR CERTAIN PURPOSES BY JACKSON NATIONAL ASSET MANAGEMENT, LLC. NONE OF THE MSCI PARTIES MAKES ANY REPRESENTATION OR WARRANTY, EXPRESS OR IMPLIED, TO THE ISSUER OR OWNERS OF THE JNL/MELLON CAPITAL MANAGEMENT INTERNATIONAL INDEX FUND OR THE JNL/MELLON CAPITAL MANAGEMENT EMERGING MARKETS INDEX FUND OR ANY OTHER PERSON OR ENTITY REGARDING THE ADVISABILITY OF INVESTING IN FUNDS GENERALLY OR IN THE JNL/MELLON CAPITAL MANAGEMENT INTERNATIONAL INDEX FUND OR THE JNL/MELLON CAPITAL MANAGEMENT EMERGING MARKETS INDEX FUND PARTICULARLY OR THE ABILITY OF ANY MSCI INDEX TO TRACK CORRESPONDING STOCK MARKET PERFORMANCE. MSCI OR ITS AFFILIATES ARE THE LICENSORS OF CERTAIN TRADEMARKS, SERVICE MARKS AND TRADE NAMES AND OF THE MSCI INDEXES WHICH ARE DETERMINED, COMPOSED AND CALCULATED BY MSCI WITHOUT REGARD TO THE JNL/MELLON CAPITAL MANAGEMENT INTERNATIONAL INDEX FUND OR THE JNL/MELLON CAPITAL MANAGEMENT EMERGING MARKETS INDEX FUND OR THE ISSUER OR OWNERS OF THE JNL/MELLON CAPITAL MANAGEMENT INTERNATIONAL INDEX FUND OR THE JNL/MELLON CAPITAL MANAGEMENT EMERGING MARKETS INDEX FUND OR ANY OTHER PERSON OR ENTITY. NONE OF THE MSCI PARTIES HAS ANY OBLIGATION TO TAKE THE NEEDS OF THE ISSUER OR OWNERS OF THE JNL/MELLON CAPITAL MANAGEMENT INTERNATIONAL INDEX FUND OR THE JNL/MELLON CAPITAL MANAGEMENT EMERGING MARKETS INDEX FUND OR ANY OTHER PERSON OR ENTITY INTO CONSIDERATION IN DETERMINING, COMPOSING OR CALCULATING THE MSCI INDEXES. NONE OF THE MSCI PARTIES IS RESPONSIBLE FOR OR HAS PARTICIPATED IN THE DETERMINATION OF THE TIMING OF, PRICES AT, OR QUANTITIES OF THE JNL/MELLON CAPITAL MANAGEMENT INTERNATIONAL INDEX FUND OR THE JNL/MELLON CAPITAL MANAGEMENT EMERGING MARKETS INDEX FUND TO BE ISSUED OR IN THE DETERMINATION OR CALCULATION OF THE EQUATION BY OR THE CONSIDERATION INTO WHICH THE JNL/MELLON CAPITAL MANAGEMENT INTERNATIONAL INDEX FUND OR THE JNL/MELLON CAPITAL MANAGEMENT EMERGING MARKETS INDEX FUND IS REDEEMABLE. FURTHER, NONE OF THE MSCI PARTIES HAS ANY OBLIGATION OR LIABILITY TO THE ISSUER OR OWNERS OF THE JNL/MELLON CAPITAL MANAGEMENT INTERNATIONAL INDEX FUND OR THE JNL/MELLON CAPITAL MANAGEMENT EMERGING MARKETS INDEX FUND OR ANY OTHER PERSON OR ENTITY IN CONNECTION WITH THE ADMINISTRATION, MARKETING OR OFFERING OF THE JNL/MELLON CAPITAL MANAGEMENT INTERNATIONAL INDEX FUND OR THE JNL/MELLON CAPITAL MANAGEMENT EMERGING MARKETS INDEX FUND .

ALTHOUGH MSCI SHALL OBTAIN INFORMATION FOR INCLUSION IN OR FOR USE IN THE CALCULATION OF THE MSCI INDEXES FROM SOURCES THAT MSCI CONSIDERS RELIABLE, NONE OF THE MSCI PARTIES WARRANTS OR GUARANTEES THE ORIGINALITY, ACCURACY AND/OR THE COMPLETENESS OF ANY MSCI INDEX OR ANY DATA INCLUDED THEREIN. NONE OF THE MSCI PARTIES MAKES ANY WARRANTY, EXPRESS OR IMPLIED, AS TO RESULTS TO BE OBTAINED BY THE ISSUER OF THE JNL/MELLON CAPITAL MANAGEMENT INTERNATIONAL INDEX FUND OR THE JNL/MELLON CAPITAL MANAGEMENT EMERGING MARKETS INDEX FUND , OWNERS OF THE JNL/MELLON CAPITAL MANAGEMENT INTERNATIONAL INDEX FUND OR THE JNL/MELLON CAPITAL MANAGEMENT EMERGING MARKETS INDEX FUND , OR ANY OTHER PERSON OR ENTITY, FROM THE USE OF ANY MSCI INDEX OR ANY DATA INCLUDED THEREIN. NONE OF THE MSCI PARTIES SHALL HAVE ANY LIABILITY FOR ANY ERRORS, OMISSIONS OR INTERRUPTIONS OF OR IN CONNECTION WITH ANY MSCI INDEX OR ANY DATA INCLUDED THEREIN. FURTHER, NONE OF THE MSCI PARTIES MAKES ANY EXPRESS OR IMPLIED WARRANTIES OF ANY KIND, AND THE MSCI PARTIES HEREBY EXPRESSLY DISCLAIM ALL WARRANTIES OF MERCHANTABILITY AND FITNESS FOR A PARTICULAR PURPOSE, WITH RESPECT TO EACH MSCI INDEX AND ANY DATA INCLUDED THEREIN. WITHOUT LIMITING ANY OF THE FOREGOING, IN NO EVENT SHALL ANY OF THE MSCI PARTIES HAVE ANY LIABILITY FOR ANY DIRECT, INDIRECT, SPECIAL, PUNITIVE, CONSEQUENTIAL OR ANY OTHER DAMAGES (INCLUDING LOST PROFITS) EVEN IF NOTIFIED OF THE POSSIBILITY OF SUCH DAMAGES.

Services

Jackson keeps the assets of the Separate Account. Jackson holds all cash of the Separate Account and attends to the collection of proceeds of shares of the underlying Funds bought and sold by the Separate Account.

The financial statements of Jackson National Separate Account V and Jackson National Life Insurance Company for the periods indicated have been included herein in reliance upon the reports of KPMG LLP, an independent registered public accounting firm, appearing elsewhere herein, and upon the authority of said firm as experts in accounting and auditing. KPMG LLP is located at 303 East Wacker Drive, Chicago, Illinois 60601.

Purchase of Securities Being Offered

The Contracts will be sold by licensed insurance agents in states where the Contracts may be lawfully sold. The agents will be registered representatives of broker-dealers that are registered under the Securities Exchange Act of 1934 and members of the Financial Industry Regulatory Authority (FINRA).

Underwriters

The Contracts are offered continuously and are distributed by Jackson National Life Distributors LLC (JNLD), 7601 Technology Way, Denver, Colorado 80237. JNLD is a subsidiary of Jackson.

The aggregate amount of underwriting commissions paid to broker/dealers was $508,524 in 2009 , $762,789 in 2010 and $912,695 in 2011 . JNLD did not retain any portion of the commissions.

Calculation of Performance

When Jackson advertises performance for an Investment Division (except the JNL/WMC Money Market Division), we will include quotations of standardized average annual total return to facilitate comparison with standardized average annual total return advertised by other variable annuity separate accounts. Standardized average annual total return for an Investment Division will be shown for periods beginning on the date the Investment Division first invested in the corresponding Fund. We will calculate standardized average annual total return according to the standard methods prescribed by rules of the Securities and Exchange Commission.

Standardized average annual total return for a specific period is calculated by taking a hypothetical $1,000 investment in an Investment Division at the offering on the first day of the period ("initial investment"), and computing the ending redeemable value ("redeemable value") of that investment at the end of the period. The redeemable value is then divided by the initial investment and expressed as a percentage, carried to at least the nearest hundredth of a percent. Standardized average annual total return is annualized and reflects the deduction of the insurance charges and the Contract maintenance charge. The redeemable value also reflects the effect of any applicable withdrawal charge that may be imposed at the end of the period. No deduction is made for premium taxes which may be assessed by certain states.

Jackson may also advertise non-standardized total return on an annualized and cumulative basis. Non-standardized total return may be for periods other than those required to be presented or may otherwise differ from standardized average annual total return. Because the Contract is designed for long term investment, non-standardized total return that does not reflect the deduction of any applicable withdrawal charge may be advertised. Reflecting the deduction of the withdrawal charge decreases the level of performance advertised. Non-standardized total return may also assume a larger initial investment which more closely approximates the size of a typical Contract.

Standardized average annual total return quotations will be current to the last day of the calendar quarter preceding the date on which an advertisement is submitted for publication. Both standardized average annual total return quotations and non-standardized total return quotations will be based on rolling calendar quarters and will cover at least periods of one, five, and ten years, or a period covering the time the Investment Division has been in existence, if it has not been in existence for one of the prescribed periods. If the corresponding Fund has been in existence for longer than the Investment Division, the non-standardized total return quotations will show the investment performance the Investment Division would have achieved (reduced by the applicable charges) had it been invested in the Fund for the period quoted.

Quotations of standardized average annual total return and non-standardized total return are based upon historical earnings and will fluctuate. Any quotation of performance should not be considered a guarantee of future performance. Factors affecting the performance of an Investment Division and its corresponding Fund include general market conditions, operating expenses and investment management. An owner's withdrawal value upon surrender of a Contract may be more or less than its original cost.

Jackson may advertise the current annualized yield for a 30-day period for an Investment Division. The annualized yield of an Investment Division refers to the income generated by the Investment Division over a specified 30-day period. Because this yield is annualized, the yield generated by an Investment Division during the 30-day period is assumed to be generated each 30-day period. The yield is computed by dividing the net investment income per accumulation unit earned during the period by the price per unit on the last day of the period, according to the following formula:

Where:

a	=	net investment income earned during the period by the Fund attributable to shares owned by the Investment Division.
b	=	expenses for the Investment Division accrued for the period (net of reimbursements).
c	=	the average daily number of accumulation units outstanding during the period.
d	=	the maximum offering price per accumulation unit on the last day of the period.

The maximum withdrawal charge is 8.5%.

Net investment income will be determined in accordance with rules established by the Securities and Exchange Commission. Accrued expenses will include all recurring fees that are charged to all Contracts.

Because of the charges and deductions imposed by the Separate Account, the yield for an Investment Division will be lower than the yield for the corresponding Fund. The yield on amounts held in the Investment Division normally will fluctuate over time. Therefore, the disclosed yield for any given period is not an indication or representation of future yields or rates of return. An Investment Division's actual yield will be affected by the types and quality of portfolio securities held by the Fund and the Fund operating expenses.

Any current yield quotations of the JNL/WMC Money Market Division will consist of a seven calendar day historical yield, carried at least to the nearest hundredth of a percent. We may advertise yield for the Division based on different time periods, but we will accompany it with a yield quotation based on a seven calendar day period. The JNL/WMC Money Market Division's yield will be calculated by determining the net change, exclusive of capital changes, in the value of a hypothetical pre-existing account having a balance of one accumulation unit at the beginning of the base period, subtracting a hypothetical charge reflecting deductions from Contracts, and dividing the net change in account value by the value of the account at the beginning of the period to obtain a base period return and multiplying the base period return by (365/7). The JNL/WMC Money Market Division's effective yield is computed similarly but includes the effect of assumed compounding on an annualized basis of the current yield quotations of the Division.

The JNL/WMC Money Market Division's yield and effective yield will fluctuate daily. Actual yields will depend on factors such as the type of instruments in the Fund's portfolio, portfolio quality and average maturity, changes in interest rates, and the Fund's expenses. Although the Investment Division determines its yield on the basis of a seven calendar day period, it may use a different time period on occasion. The yield quotes may reflect the expense limitations described in the Fund's Prospectus or Statement of Additional Information. There is no assurance that the yields quoted on any given occasion will be maintained for any period of time and there is no guarantee that the net asset values will remain constant. It should be noted that neither a Contract owner's investment in the JNL/WMC Money Market Division nor that Division's investment in the JNL/WMC Money Market Fund is guaranteed or insured. Yields of other money market funds may not be comparable if a different base or another method of calculation is used.

Additional Tax Information

NOTE: INFORMATION CONTAINED HEREIN SHOULD NOT BE SUBSTITUTED FOR THE ADVICE OF A PERSONAL TAX ADVISER. JACKSON DOES NOT MAKE ANY GUARANTEE REGARDING THE TAX STATUS OF ANY CONTRACT OR ANY TRANSACTION INVOLVING THE CONTRACTS. PURCHASERS BEAR THE COMPLETE RISK THAT THE CONTRACTS MAY NOT BE TREATED AS "ANNUITY CONTRACTS" UNDER FEDERAL INCOME TAX LAWS. IT SHOULD BE FURTHER UNDERSTOOD THAT THE FOLLOWING DISCUSSION IS NOT EXHAUSTIVE AND THAT OTHER SPECIAL RULES MAY BE APPLICABLE IN CERTAIN SITUATIONS. MOREOVER, NO ATTEMPT HAS BEEN MADE TO CONSIDER ANY APPLICABLE STATE OR OTHER TAX LAWS OR TO COMPARE THE TAX TREATMENT OF THE CONTRACTS TO THE TAX TREATMENT OF ANY OTHER INVESTMENT.

Jackson's Tax Status

Jackson is taxed as a life insurance company under the Internal Revenue Code of 1986, as amended (the "Code"). For federal income tax purposes, the Separate Account is not a separate entity from Jackson and its operations form a part of Jackson.

Taxation of Annuity Contracts in General

Section 72 of the Code governs the taxation of annuities in general. An individual owner is not taxed on increases in the value of a Contract until distribution occurs, either in the form of a withdrawal or as annuity payments under the annuity option elected. For a withdrawal received as a total surrender (total redemption or a death benefit), the recipient is taxed on the portion of the payment that exceeds the cost basis of the Contract. For a payment received as a partial withdrawal from a non-qualified Contract, federal tax liability is generally determined on a last-in, first-out basis, meaning taxable income is withdrawn before the cost basis of the Contract is withdrawn. In the case of a partial withdrawal under a tax-qualified Contract, a ratable portion of the amount received is taxable. For Contracts issued in connection with non-qualified plans, the cost basis is generally the premiums, while for Contracts issued in connection with tax-qualified plans there may be no cost basis. The taxable portion of a withdrawal is taxed at ordinary income tax rates. Tax penalties may also apply.

For annuity payments, a portion of each payment in excess of an exclusion amount is includable in taxable income. All annuity payments in excess of the exclusion amount are fully taxable at ordinary income rates.

The exclusion amount for payments based on a fixed annuity option is determined by multiplying the payment by the ratio that the cost basis of the Contract (adjusted for any period certain or refund feature) bears to the expected return under the Contract. The exclusion amount for payments based on a variable annuity option is determined by dividing the cost basis of the Contract (adjusted for any period certain or refund guarantee) by the fixed or estimated number of years for which annuity payments are to be made. No exclusion is allowed with respect to any payments received after the investment in the Contract has been recovered (i.e., when the total of the excludable amounts equals the investment in the Contract). For certain types of tax-qualified plans there may be no cost basis in the Contract within the meaning of Section 72 of the Code.

Owners, annuitants and beneficiaries under the Contracts should seek competent financial advice about the tax consequences of distributions.

Medicare Tax on Net Investment Income

Beginning in 2013, the taxable portion of distributions from a non-qualified annuity Contract will be considered investment income for purposes of the new Medicare tax on investment income. As a result, a 3.8% tax will generally apply to some or all of the taxable portion of distributions to individuals whose modified adjusted gross income exceeds certain threshold amounts. For 2013, these levels are $200,000 in the case of single taxpayers, $250,000 in the case of married taxpayers filing joint returns, and $125,000 in the case of married taxpayers filing separately. Owners should consult their own tax advisers for more information.

Withholding Tax on Distributions

The Code generally requires Jackson (or, in some cases, a plan administrator) to withhold tax on the taxable portion of any distribution or withdrawal from a Contract. For "eligible rollover distributions" from Contracts issued under certain types of tax-qualified plans, 20% of the distribution must be withheld, unless the payee elects to have the distribution "rolled over" to another eligible plan in a direct transfer. This requirement is mandatory and cannot be waived by the owner.

An "eligible rollover distribution" is the taxable portion of any amount received by a covered employee from a plan qualified under Section 401(a) or 403(a) of the Code, from a tax sheltered annuity qualified under Section 403(b) of the Code or an eligible deferred compensation plan of a state or local government under Section 457(b) of the Code (other than (1) a series of substantially equal periodic payments (not less frequently than annually) for the life (or life expectancy) of the employee, or joint lives (or joint life expectancies) of the employee, and his or her designated beneficiary, or for a specified period of ten years or more; (2) minimum distributions required to be made under the Code; and (3) hardship withdrawals). Failure to "roll over" the entire amount of an eligible rollover distribution (including the amount equal to the 20% portion of the distribution that was withheld) could have adverse tax consequences, including the imposition of a penalty tax on premature withdrawals, described later in this section.

Withdrawals or distributions from a Contract other than eligible rollover distributions are also subject to withholding on the taxable portion of the distribution, but the owner may elect in such cases to waive the withholding requirement. If not waived, withholding is imposed (1) for periodic payments, at the rate that would be imposed if the payments were wages, or (2) for other distributions, at the rate of 10%. If no withholding exemption certificate is in effect for the payee, the rate under (1) above is computed by treating the payee as a married individual claiming three withholding exemptions.

Generally, the amount of any payment of interest to a non-resident alien of the United States shall be subject to withholding of a tax equal to thirty percent (30%) of such amount or, if applicable, a lower treaty rate. A payment may not be subject to withholding where the recipient sufficiently establishes that such payment is effectively connected to the recipient's conduct of a trade or business in the United States and such payment is included in the recipient's gross income.

Diversification -- Separate Account Investments

Section 817(h) of the Code imposes certain asset diversification standards on variable annuity Contracts. The Code provides that a variable annuity Contract will not be treated as an annuity Contract for any period (and any subsequent period) for which the investments held in any segregated asset account underlying the Contract are not adequately diversified, in accordance with regulations prescribed by the United States Treasury Department ("Treasury Department"). Disqualification of the Contract as an annuity Contract would result in imposition of federal income tax to the owner with respect to earnings allocable to the Contract prior to the receipt of payments under the Contract. The Code contains a safe harbor provision which provides that annuity Contracts, such as the Contracts, meet the diversification requirements if, as of the last day of each calendar quarter, or within 30 days after such last day, the underlying assets meet the diversification standards for a regulated investment company, and no more than 55% of the total assets consist of cash, cash items, U.S. government securities and securities of other regulated investment companies.

The Treasury Department has issued Regulations establishing diversification requirements for the mutual funds underlying variable Contracts. These Regulations amplify the diversification requirements for variable Contracts set forth in the Code and provide an alternative to the safe harbor provision described above. Under these Regulations, a mutual fund will be deemed adequately diversified if (1) no more than 55% of the value of the total assets of the mutual fund is represented by any one investment; (2) no more than 70% of the value of the total assets of the mutual fund is represented by any two investments; (3) no more than 80% of the value of the total assets of the mutual fund is represented by any three investments; and (4) no more than 90% of the value of the total assets of the mutual fund is represented by any four investments.

Jackson intends that each Fund of the JNL Series Trust will be managed by its respective investment adviser in such a manner as to comply with these diversification requirements.

At the time the Treasury Department issued the diversification Regulations, it did not provide guidance regarding the circumstances under which Contract owner control of the investments of a segregated asset account would cause the Contract owner to be treated as the owner of the assets of the segregated asset account. Revenue Ruling 2003-91 provides such guidance by describing the circumstances under which the owner of a variable contract will not possess sufficient control over the assets underlying the contract to be treated as the owner of those assets for federal income tax purposes.

Rev. Rul. 2003-91 considered certain variable annuity and variable life insurance contracts and held that the types of actual and potential control that the contract owners could exercise over the investment assets held by the insurance company under these variable contracts was not sufficient to cause the contract owners to be treated as the owners of those assets and thus to be subject to current income tax on the income and gains produced by those assets. Under the contracts in Rev. Rul. 2003-91 there was no arrangement, plan, contract or agreement between the contract owner and the insurance company regarding the availability of a particular investment option and other than the contract owner's right to allocate premiums and transfer funds among the available sub-accounts, all investment decisions concerning the sub-accounts were made by the insurance company or an advisor in its sole and absolute discretion. Twelve investment options were available under the contracts in Rev. Rul. 2003-91 although the insurance company had the right to increase (but to no more than 20) or decrease the number of sub-accounts at any time. The contract owner was permitted to transfer amounts among the various investment options without limitation, subject to incurring fees for more than one transfer per 30-day period.

Like the contracts described in Rev. Rul. 2003-91, under the Contract there will be no arrangement, plan, contract or agreement between a Contract owner and Jackson regarding the availability of a particular Allocation Option and other than the Contract owner's right to allocate premiums and transfer funds among the available Allocation Options, all investment decisions concerning the Allocation Options will be made by Jackson or an advisor in its sole and absolute discretion. The Contract will differ from the contracts described in Rev. Rul. 2003-91 in two respects. The first difference is that the contracts described in Rev. Rul. 2003-91 provided only 12 investment options with the insurance company having the ability to add an additional 8 options whereas the Contract currently offers 100 Investment Divisions and at least one Fixed Account option, although a Contract owner's Contract Value can be allocated to no more than 18 fixed and variable options at any one time. The second difference is that the owner of a contract in Rev. Rul. 2003-91 could only make one transfer per 30 day period without a fee whereas during the accumulation phase, a Contract owner can make 15 transfers in any one year without a charge.

Rev. Rul. 2003-91 states that whether the owner of a variable contract is to be treated as the owner of the assets held by the insurance company under the contract will depend on all of the facts and circumstances. Jackson does not believe that the differences between the Contract and the contracts described in Rev. Rul. 2003-91 with respect to the number of investment choices and the number of investment transfers that can be made under the Contract without an additional charge should prevent the holding in Rev. Rul. 2003-91 from applying to the owner of a Contract. At this time, however, it cannot be determined whether additional guidance will be provided by the IRS on this issue and what standards may be contained in such guidance. Jackson reserves the right to modify the Contract to the extent required to maintain favorable tax treatment.

Multiple Contracts

The Code provides that multiple non-qualified annuity Contracts that are issued within a calendar year to the same Contract owner by one company or its affiliates are treated as one annuity Contract for purposes of determining the tax consequences of any distribution. Such treatment may result in adverse tax consequences including more rapid taxation of the distributed amounts from such multiple Contracts. For purposes of this rule, Contracts received in a Section 1035 exchange will be considered issued in the year of the exchange. Owners should consult a tax adviser prior to purchasing more than one annuity Contract in any calendar year.

Partial 1035 Exchanges

In accordance with Revenue Procedure 2011-38 , the IRS will consider a partial exchange of an annuity Contract for another annuity Contract 2011-38 valid if there is either no withdrawal from, or surrender of, either the surviving annuity contract or the new annuity contract within 180 days of the date of the partial exchange. Revenue Procedure 2011-38 also provides certain exceptions to the 180 day rule. Due to the complexity of these rules, owners are encouraged to consult their own tax advisers prior to entering into a partial exchange of an annuity Contract.

Contracts Owned by Other than Natural Persons

Under Section 72(u) of the Code, the investment earnings on premiums for Contracts will be taxed currently to the owner if the owner is a non-natural person, e.g., a corporation or certain other entities. Such Contracts generally will not be treated as annuities for federal income tax purposes (except for the taxation of life insurance companies). However, this treatment is not applied to Contracts held by a trust or other entity as an agent for a natural person nor to Contracts held by certain tax-qualified plans. Purchasers should consult their own tax counsel or other tax adviser before purchasing a Contract to be owned by a non-natural person.

Tax Treatment of Assignments

An assignment or pledge of a Contract may have tax consequences. Any assignment or pledge of a tax-qualified Contract may also be prohibited by ERISA in some circumstances. Owners should, therefore, consult competent legal advisers should they wish to assign or pledge their Contracts.

An assignment or pledge of all or any portion of the value of a Non-Qualified Contract is treated under Section 72 of the Code as an amount not received as an annuity. The value of the Contract assigned or pledged that exceeds the aggregate premiums paid will be included in the individual's gross income. In addition, the amount included in the individual's gross income could also be subject to the 10% penalty tax discussed below under Non-Qualified Contracts.

An assignment or pledge of all or any portion of the value of a Qualified Contract will disqualify the Qualified Contract. If the Qualified Contract is part of a qualified pension or profit-sharing plan, the Code prohibits the assignment or alienation of benefits provided under the plan. If the Qualified Contract is an IRA annuity or a 403(b) annuity, the Code requires the Qualified Contract to be nontransferable. If the Qualified Contract is part of an eligible deferred compensation plan, amounts cannot be made available to plan participants or beneficiaries: (1) until the calendar year in which the participant attains age 70 1/2; (2) when the participant has a severance from employment; or (3) when the participant is faced with an unforeseeable emergency.

Death Benefits

Any death benefits paid under the Contract are taxable to the beneficiary. The rules governing the taxation of payments from an annuity Contract, as discussed above, generally apply to the payment of death benefits and depend on whether the death benefits are paid as a lump sum or as annuity payments. Estate or gift taxes may also apply.

IRS Approval

The Contract and all riders attached thereto, have been approved by the IRS for use as an Individual Retirement Annuity prototype.

Tax-Qualified Plans

The Contracts offered by the Prospectus are designed to be suitable for use under various types of tax-qualified plans. Taxation of owners of a tax-qualified Contract will vary based on the type of plan and the terms and conditions of each specific plan. Owners, annuitants and beneficiaries are cautioned that benefits under a tax-qualified Contract may be subject to the terms and conditions of the plan, regardless of the terms and conditions of the Contracts issued to fund the plan. Owners, annuitant and beneficiaries are also reminded that a tax-qualified Contract will not provide any necessary or additional tax deferral if it is used to fund a tax-qualified plan that is already tax-deferred.

Tax Treatment of Withdrawals

Non-Qualified Contracts

Section 72 of the Code governs treatment of distributions from annuity Contracts. It provides that if the contract value exceeds the aggregate premiums made, any amount withdrawn not in the form of an annuity payment will be treated as coming first from the earnings and then, only after the income portion is exhausted, as coming from the principal. Withdrawn earnings are included in a taxpayer's gross income. Section 72 further provides that a 10% penalty will apply to the income portion of any distribution. The penalty is not imposed on amounts received: (1) after the taxpayer reaches 59 1/2; (2) upon the death of the owner; (3) if the taxpayer is totally disabled as defined in Section 72(m)(7) of the Code; (4) in a series of substantially equal periodic payments made at least annually for the life (or life expectancy) of the taxpayer or for the joint lives (or joint life expectancies) of the taxpayer and his beneficiary; (5) under an immediate annuity; or (6) which are allocable to premium payments made prior to August 14, 1982.

With respect to (4) above, if the series of substantially equal periodic payments is modified before the later of your attaining age 59 ½ or 5 years from the date of the first periodic payment, then the tax for the year of the modification is increased by an amount equal to the tax which would have been imposed (the 10% penalty tax) but for the exception, plus interest for the tax years in which the exception was used.

Tax-Qualified Contracts

In the case of a withdrawal under a tax-qualified Contract, a ratable portion of the amount received is taxable, generally based on the ratio of the individual's cost basis to the individual's total accrued benefit under the retirement plan. Special tax rules may be available for certain distributions from a tax-qualified Contract. Section 72(t) of the Code imposes a 10% penalty tax on the taxable portion of any distribution from qualified retirement plans, including Contracts issued and qualified under Code Sections 401 (pension and profit sharing plans), 403(b) (tax-sheltered annuities), individual retirement accounts and annuities under 408(a) and (b) (IRAs) and Roth IRAs under 408A. To the extent amounts are not included in gross income because they have been rolled over to an IRA or to another eligible qualified plan, no tax penalty will be imposed.

The tax penalty will not apply to the following distributions: (1) distributions made on or after the date on which the owner or annuitant (as applicable) reaches age 59 1/2; (2) distributions following the death or disability of the owner or annuitant (as applicable) (for this purpose "disability" is defined in Section 72(m)(7) of the Code); (3) distributions that are part of a series of substantially equal periodic payments made not less frequently than annually for the life (or life expectancy) of the owner or annuitant (as applicable) or the joint lives (or joint life expectancies) of such owner or annuitant (as applicable) and his or her designated beneficiary; (4) distributions to an owner or annuitant (as applicable) who has separated from service after he has attained age 55; (5) distributions made to the owner or annuitant (as applicable) to the extent such distributions do not exceed the amount allowable as a deduction under Code Section 213 to the owner or annuitant (as applicable) for amounts paid during the taxable year for medical care; (6) distributions made to an alternate payee pursuant to a qualified domestic relations order; (7) distributions made on account of an IRS levy upon the qualified Contracts, (8) distributions from an IRA after separation from employment for the purchase of medical insurance (as described in Section 213(d)(1)(D) of the Code) for the Contract owner or annuitant (as applicable) and his or her spouse and dependents if the Contract owner or annuitant (as applicable) has received unemployment compensation for at least 12 weeks (this exception will no longer apply after the Contract owner or annuitant (as applicable) has been re-employed for at least 60 days); (9) distributions from an IRA made to the owner or annuitant (as applicable) to the extent such distributions do not exceed the qualified higher education expenses (as defined in Section 72(t)(7) of the Code) (as applicable) for the taxable year; and (10) distributions from an IRA made to the owner or annuitant (as applicable) which are qualified first time home buyer distributions (as defined in Section 72(t)(8) of the Code). The exceptions stated in items (4) and (6) above do not apply in the case of an IRA. The exception stated in (3) above applies to an IRA without the requirement that there be a separation from service.

With respect to (3) above, if the series of substantially equal periodic payments is modified before the later of your attaining age 59 ½ or 5 years from the date of the first periodic payment, then the tax for the year of the modification is increased by an amount equal to the tax which would have been imposed (the 10% penalty tax) but for the exception, plus interest for the tax years in which the exception was used.

Withdrawals of amounts attributable to contributions made pursuant to a salary reduction agreement (in accordance with Section 403(b)(11) of the Code) are limited to the following: when the owner attains age 59 1/2, severs employment, dies, becomes disabled (within the meaning of Section 72(m)(7) of the Code), or in the case of hardship. Hardship withdrawals do not include any earnings on salary reduction contributions. These limitations on withdrawals apply to: (1) salary reduction contributions made after December 31, 1988; (2) income attributable to such contributions; and (3) income attributable to amounts held as of December 31, 1988. The limitations on withdrawals do not affect rollovers or exchanges between certain tax-qualified plans. Tax penalties may also apply. While the foregoing limitations only apply to certain Contracts issued in connection with Section 403(b) plans, all owners should seek competent tax advice regarding any withdrawals or distributions.

The taxable portion of a withdrawal or distribution from tax-qualified Contracts may, under some circumstances, be "rolled over" into another eligible plan so as to continue to defer income tax on the taxable portion. Such treatment is available for an "eligible rollover distribution" made by certain types of plans (as described above under "Taxes -- Withholding Tax on Distributions") that is transferred within 60 days of receipt into another eligible plan or an IRA. Plans making such eligible rollover distributions are also required, with some exceptions specified in the Code, to provide for a direct transfer of the distribution to the transferee plan designated by the recipient.

Amounts received from IRAs may also be rolled over into other IRAs or certain other plans, subject to limitations set forth in the Code.

Prior to the date that annuity payments begin under an annuity Contract, the required minimum distribution rules applicable to defined contribution plans and IRAs will be used. Generally, distributions from a tax-qualified plan must commence no later than April 1 of the calendar year following the year in which the employee attains the later of age 70 1/2 or the date of retirement. In the case of an IRA, distributions must commence no later than April 1 of the calendar year following the year in which the owner attains age 70 1/2. Required distributions from defined contribution plans and IRAs are determined by dividing the account balance by the appropriate distribution period found in a uniform lifetime distribution table set forth in IRS regulations. For this purpose, the entire interest under an annuity Contract is the account value under the Contract plus the actuarial value of any other benefits such as guaranteed death benefits that will be provided under the Contract.

If the sole beneficiary is the Contract holder's or employee's spouse and the spouse is more than 10 years younger than the employee, a longer distribution period measured by the joint life and last survivor expectancy of the Contract holder employee and spouse is permitted to be used. Distributions under a defined benefit plan or an annuity Contract must be paid in the form of periodic annuity payments for the employee's life (or the joint lives of the employee and beneficiary) or over a period certain that does not exceed the period under the uniform lifetime table for the employee's age in the year in which the annuity starting date occurs. If the required minimum distributions are not made, a 50% penalty tax on the amount not distributed is imposed on the individual.

Types of Tax-Qualified Plans

The Contracts offered herein are designed to be suitable for use under various types of tax-qualified plans. Taxation of participants in each tax-qualified plan varies with the type of plan and terms and conditions of each specific plan. Owners, annuitants and beneficiaries are cautioned that benefits under a tax-qualified plan may be subject to the terms and conditions of the plan regardless of the terms and conditions of the Contracts issued pursuant to the plan. Some retirement plans are subject to distribution and other requirements that are not incorporated into Jackson's administrative procedures. Jackson is not bound by the terms and conditions of such plans to the extent such terms conflict with the terms of a Contract, unless Jackson specifically consents to be bound. Owners, annuitants and beneficiaries are responsible for determining that contributions, distributions and other transactions with respect to the Contracts comply with applicable law.

A tax-qualified Contract will not provide any necessary or additional tax deferral if it is used to fund a tax-qualified plan that is tax deferred. However, the Contract has features and benefits other than tax deferral that may make it an appropriate investment for a tax-qualified plan. Following are general descriptions of the types of tax-qualified plans with which the Contracts may be used. Such descriptions are not exhaustive and are for general informational purposes only. The tax rules regarding tax-qualified plans are very complex and will have differing applications depending on individual facts and circumstances. Each purchaser should obtain competent tax advice prior to purchasing a Contract issued under a tax-qualified plan.

Contracts issued pursuant to tax-qualified plans include special provisions restricting Contract provisions that may otherwise be available as described herein. Generally, Contracts issued pursuant to tax-qualified plans are not transferable except upon surrender or annuitization. Various penalty and excise taxes may apply to contributions or distributions made in violation of applicable limitations. Furthermore, certain withdrawal penalties and restrictions may apply to surrenders from Tax-Qualified Contracts. (See "Tax Treatment of Withdrawals – Tax-Qualified Contracts" above.)

On July 6, 1983, the Supreme Court decided in Arizona Governing Committee v. Norris that benefits provided under an employer's deferred compensation plan could not, under Title VII of the Civil Rights Act of 1964, vary between men and women. The Contracts sold by Jackson in connection with certain Tax-Qualified Plans will utilize tables which do not differentiate on the basis of sex. Such annuity tables will also be available for use in connection with certain non-qualified deferred compensation plans.

(a) Tax-Sheltered Annuities

Section 403(b) of the Code permits the purchase of "tax-sheltered annuities" by public schools and certain charitable, educational and scientific organizations described in Section 501(c) (3) of the Code. These qualifying employers may make contributions to the Contracts for the benefit of their employees. Such contributions are not included in the gross income of the employee until the employee receives distributions from the Contract. The amount of contributions to the tax-sheltered annuity is limited to certain maximums imposed by the Code. Furthermore, the Code sets forth additional restrictions governing such items as transferability, distributions, non-discrimination and withdrawals. Employee loans are not allowed under these Contracts. Any employee should obtain competent tax advice as to the tax treatment and suitability of such an investment.

(b) Individual Retirement Annuities

Section 408(b) of the Code permits eligible individuals to contribute to an individual retirement program known as an "individual retirement annuity" ("IRA annuity"). Under applicable limitations, certain amounts may be contributed to an IRA annuity which will be deductible from the individual's gross income. IRA annuities are subject to limitations on eligibility, contributions, transferability and distributions. Sales of IRA annuities are subject to special requirements imposed by the Code, including the requirement that certain informational disclosure be given to persons desiring to establish an IRA. Purchasers of Contracts to be qualified as IRA annuities should obtain competent tax advice as to the tax treatment and suitability of such an investment.

Section 408A of the Code provides that individuals may purchase a non-deductible IRA annuity, known as a Roth IRA annuity. Purchase payments for Roth IRA annuities are limited to a maximum of $5,000 for 2012 . The limit will be adjusted annually for inflation in $500 increments. In addition, the Act allows individuals age 50 and older to make additional catch-up IRA contributions. The otherwise maximum contribution limit (before application of adjusted gross income phase-out limits) for an individual who had celebrated his or her 50th birthday before the end of the tax year is increased by $1,000. The same contribution and catch-up contributions are also available for purchasers of Traditional IRA annuities.

Lower maximum limitations apply to individuals above certain adjusted gross income levels. For 2012 , these levels are $ 110 ,000 in the case of single taxpayers, $ 173 ,000 in the case of married taxpayers filing joint returns, and $0 in the case of married taxpayers filing separately. These levels are indexed annually in $1,000 increments. An overall $5,000 annual limitation (increased as discussed above) continues to apply to all of a taxpayer's IRA annuity contributions, including Roth IRA annuities and non-Roth IRA annuities.

Qualified distributions from Roth IRA annuities are free from federal income tax. A qualified distribution requires that the individual has held the Roth IRA annuity for at least five years and, in addition, that the distribution is made either after the individual reaches age 59 1/2, on the individual's death or disability, or as a qualified first-time home purchase, subject to a $10,000 lifetime maximum, for the individual, a spouse, child, grandchild, or ancestor. Any distribution which is not a qualified distribution is taxable to the extent of earnings in the distribution. Distributions are treated as made from contributions first and therefore no distributions are taxable until distributions exceed the amount of contributions to the Roth IRA annuity. The 10% penalty tax and the regular IRA annuity exceptions to the 10% penalty tax apply to taxable distributions from Roth IRA annuities.

Amounts may be rolled over from one Roth IRA annuity to another Roth IRA annuity. Furthermore, an individual may make a rollover contribution from a non-Roth IRA annuity to a Roth IRA annuity. The individual must pay tax on any portion of the IRA annuity being rolled over that would be included in income if the distributions were not rolled over. For rollovers in 2010, the income may be reported ratably in 2011 and 2012. There are no similar limitations on rollovers from one Roth IRA annuity to another Roth IRA annuity.

(d) Pension and Profit-Sharing Plans

The Internal Revenue Code permits employers, including self-employed individuals, to establish various types of qualified retirement plans for employees. These retirement plans may permit the purchase of the Contracts to provide benefits under the plan. Contributions to the plan for the benefit of employees will not be included in the gross income of the employee until distributed from the plan. The tax consequences to owners may vary depending upon the particular plan design. However, the Code places limitations on all plans on such items as amount of allowable contributions; form, manner and timing of distributions; vesting and non-forfeitability of interests; nondiscrimination in eligibility and participation; and the tax treatment of distributions, transferability of benefits, withdrawals and surrenders. Purchasers of Contracts for use with pension or profit sharing plans should obtain competent tax advice as to the tax treatment and suitability of such an investment.

(e) Eligible Deferred Compensation Plans -- Section 457

Under Code provisions, employees and independent contractors performing services for state and local governments and other tax-exempt organizations may participate in eligible deferred compensation plans under Section 457 of the Code. The amounts deferred under a Plan which meets the requirements of Section 457 of the Code are not taxable as income to the participant until paid or otherwise made available to the participant or beneficiary. As a general rule, the maximum amount which can be deferred in any one year is the lesser of 100% of the participant's includible compensation, or the $ 17,000 elective deferral limitation in 2012 . The limit is indexed for inflation in $500 increments annually thereafter. In addition, the Act allows individuals in eligible deferred compensation plans of state or local governments age 50 and older to make additional catch-up contributions. The otherwise maximum contribution limit for an individual who had celebrated his or her 50th birthday before the end of the tax year is increased by $5,500. The same contribution and catch-up contributions are also available for participants in qualified pension and profit-sharing plans and tax-sheltered annuities under Section 403(b) of the Code.

In limited circumstances, the plan may provide for additional catch-up contributions in each of the last three years before normal retirement age. Furthermore, the Code provides additional requirements and restrictions regarding eligibility and distributions.

All of the assets and income of an eligible deferred compensation plan established by a governmental employer must be held in trust for the exclusive benefit of participants and their beneficiaries. For this purpose, custodial accounts and certain annuity Contracts are treated as trusts. The requirement of a trust does not apply to amounts under a Plan of a tax-exempt (non-governmental) employer. In addition, the requirement of a trust does not apply to amounts under a Plan of a governmental employer if the Plan is not an eligible plan within the meaning of Section 457(b) of the Code. In the absence of such a trust, amounts under the plan will be subject to the claims of the employer's general creditors.

In general, distributions from a Plan are prohibited under Section 457 of the Code unless made after the participant:

●	attains age 70 1/2,
●	severs employment,
●	dies, or
●	suffers an unforeseeable financial emergency as defined in the regulations.

Under present federal tax law, amounts accumulated in a Plan of a tax-exempt (non-governmental) employer under Section 457 of the Code cannot be transferred or rolled over on a tax-deferred basis except for certain transfers to other Plans under Section 457. Amounts accumulated in a Plan of a state or local government employer may be transferred or rolled over to another eligible deferred compensation plan of a state or local government, an IRA, a qualified pension or profit-sharing plan or a tax-sheltered annuity under Section 403(b) of the Code.

Annuity Provisions

Variable Annuity Payment

The initial annuity payment is determined by taking the Contract value allocated to that Investment Division, less any premium tax and any applicable Contract charges, and then applying it to the income option table specified in the Contract. The appropriate rate must be determined by the sex (except where, as in the case of certain Qualified Plans and other employer-sponsored retirement plans, such classification is not permitted) and age of the annuitant and designated second person, if any.

The dollars applied are divided by 1,000 and the result multiplied by the appropriate annuity factor appearing in the table to compute the amount of the first monthly payment. That amount is divided by the value of an annuity unit as of the Income Date to establish the number of annuity units representing each variable payment. The number of annuity units determined for the first variable payment remains constant for the second and subsequent monthly variable payments, assuming that no reallocation of Contract values is made.

The amount of the second and each subsequent monthly variable payment is determined by multiplying the number of annuity units by the annuity unit value as of the business day next preceding the date on which each payment is due.

The mortality and expense experience will not adversely affect the dollar amount of the variable annuity payments once payments have commenced.

Annuity Unit Value

The initial value of an annuity unit of each Investment Division was set when the Investment Divisions were established. The value may increase or decrease from one business day to the next. The income option tables contained in the Contract are based on an assumed investment rate of 3%.

The value of a fixed number of annuity units will reflect the investment performance of the Investment Divisions elected, and the amount of each payment will vary accordingly.

For each Investment Division, the value of an annuity unit for any business day is determined by multiplying the annuity unit value for the immediately preceding business day by the percentage change in the value of an accumulation unit from the immediately preceding business day to the business day of valuation, calculated by use of the Net Investment Factor, described below. The result is then multiplied by a second factor which offsets the effect of the assumed net investment rate of 3%.

Net Investment Factor

The net investment factor is an index applied to measure the net investment performance of an Investment Division from one valuation date to the next. The net investment factor for any Investment Division for any business day is determined by dividing (a) by (b) and then subtracting (c) from the result where:

(a)	is the net result of:
	(1)	the net asset value of a Fund's share held in the Investment Division determined as of the valuation date at the end of the valuation period, plus
	(2)	the per share amount of any dividend or other distribution declared by the Fund if the "ex-dividend" date occurs during the valuation period, plus or minus
	(3)	a per share credit or charge with respect to any taxes paid or reserved for by Jackson during the valuation period which are determined by Jackson to be attributable to the operation of the Investment Division (no federal income taxes are applicable under present law);
(b)	is the net asset value of the Fund share held in the Investment Division determined as of the valuation date at the end of the preceding valuation period; and
(c)	is the asset charge factor determined by Jackson for the valuation period to reflect the asset-based charges (the mortality and expense risk charge), administration charge, and any applicable charges for optional benefits.

Also see "Income Payments (The Income Phase)" in the Prospectus.

Condensed Financial Information

Accumulation Unit Values

The tables reflect the accumulation unit values for each Investment Division for the beginning and end of the periods indicated, and the number of accumulation units outstanding as of the end of the periods indicated – for Contracts with all levels of charges (and combinations of optional endorsements). The tables do not provide partial year information. The tables provide accumulation unit values and the number of accumulation units outstanding only if that information is available throughout the period. Where accumulation unit values and the number of accumulation units outstanding are unavailable, either because of a partial year or a Fund not being offered, a “N/A” is provided.

This information derives from the financial statements of the Separate Account, which together constitute the Separate Account's condensed financial information. Contact the Annuity Service Center to request your copy free of charge; contact information is on the cover page of the prospectus. Also, please ask about the more timely accumulation unit values that are available for each Investment Division.

Set forth below are fund changes and additions since the December 12, 2011 Supplement to the May 1, 2011 Prospectus, for your information in reviewing Accumulation Unit information.

Effective April 30, 2012, the following Investment Divisions changed (whether or not in connection with a sub-adviser change):

JNL/Capital Guardian U.S. Growth Equity Fund to JNL/UBS Large Cap Select Growth Fund;

JNL/Eagle Core Equity Fund to JNL/DFA U.S. Core Equity Fund;

JNL/PAM Asia ex-Japan Fund to JNL/Eastspring Investments Asia ex-Japan Fund; and

JNL/PAM China-India Fund to JNL/Eastspring Investments China-India Fund.

Effective April 30, 2012, the Separate Account has the following new Investment Divisions, for which no Accumulation Unit information is yet available:

JNL/American Funds Balanced Allocation Fund;

JNL/American Funds Growth Allocation Fund;

JNL/Mellon Capital Management Dow Jones U.S. Contrarian Opportunities Index Fund;

JNL/Morgan Stanley Mid Cap Growth Fund; and

JNL/Neuberger Berman Strategic Income Fund.

Accumulation Unit Values
Base Contract - 1.50%

Investment Divisions	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,
	2011	2010	2009	2008	2007	2006	2005	2004	2003	2002
JNL Disciplined Growth Division
Accumulation unit value:
Beginning of period	$8.62	$7.77	$6.29	$10.50	N/A	N/A	N/A	N/A	N/A	N/A
End of period	$8.23	$8.62	$7.77	$6.29	N/A	N/A	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	4,946	5,437	6,784	8,555	N/A	N/A	N/A	N/A	N/A	N/A

JNL Disciplined Moderate Division
Accumulation unit value:
Beginning of period	$9.76	$8.92	$7.63	$10.55	N/A	N/A	N/A	N/A	N/A	N/A
End of period	$9.68	$9.76	$8.92	$7.63	N/A	N/A	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	3,897	5,341	9,026	8,978	N/A	N/A	N/A	N/A	N/A	N/A

JNL Disciplined Moderate Growth Division
Accumulation unit value:
Beginning of period	$9.12	$8.18	$6.76	$10.52	N/A	N/A	N/A	N/A	N/A	N/A
End of period	$8.91	$9.12	$8.18	$6.76	N/A	N/A	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	4,144	5,798	9,567	9,589	N/A	N/A	N/A	N/A	N/A	N/A

JNL Institutional Alt 20 Division
Accumulation unit value:
Beginning of period	$14.02	$12.59	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
End of period	$13.46	$14.02	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	9,673	8,958	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A

JNL Institutional Alt 35 Division
Accumulation unit value:
Beginning of period	$14.75	$13.09	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
End of period	$13.98	$14.75	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	4,332	4,828	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A

Investment Divisions	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,
	2011	2010	2009	2008	2007	2006	2005	2004	2003	2002
JNL Institutional Alt 50 Division
Accumulation unit value:
Beginning of period	$15.19	$13.42	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
End of period	$14.27	$15.19	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	444	112	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A

JNL Institutional Alt 65 Division
Accumulation unit value:
Beginning of period	$15.77	$13.82	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
End of period	$14.69	$15.77	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	2,382	2,944	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A

JNL/American Funds Blue Chip Income and Growth Division
Accumulation unit value:
Beginning of period	$10.29	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
End of period	$10.02	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	-	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A

JNL/American Funds Global Bond Division
Accumulation unit value:
Beginning of period	$10.35	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
End of period	$10.63	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	4,020	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A

JNL/American Funds Global Small Capitalization Division
Accumulation unit value:
Beginning of period	$11.04	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
End of period	$8.76	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	1,014	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A

JNL/American Funds Growth-Income Division
Accumulation unit value:
Beginning of period	$10.35	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
End of period	$9.96	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	1,236	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A

Investment Divisions	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,
	2011	2010	2009	2008	2007	2006	2005	2004	2003	2002
JNL/American Funds International Division
Accumulation unit value:
Beginning of period	$10.74	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
End of period	$9.06	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	7,260	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A

JNL/American Funds New World Division
Accumulation unit value:
Beginning of period	$11.25	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
End of period	$9.50	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	2,816	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A

JNL/BlackRock Commodity Securities Division
Accumulation unit value:
Beginning of period	$11.25	$9.72	$6.58	$13.70	N/A	N/A	N/A	N/A	N/A	N/A
End of period	$10.27	$11.25	$9.72	$6.58	N/A	N/A	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	15,926	15,783	18,094	22,298	N/A	N/A	N/A	N/A	N/A	N/A

JNL/BlackRock Global Allocation Division
Accumulation unit value:
Beginning of period	$10.32	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
End of period	$9.77	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	1,266	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A

JNL/Brookfield Global Infrastructure Division
Accumulation unit value:
Beginning of period	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
End of period	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A

JNL/Capital Guardian Global Balanced Division
Accumulation unit value:
Beginning of period	$12.54	$11.67	$9.68	$13.69	$12.88	$11.80	$10.88	N/A	N/A	N/A
End of period	$11.76	$12.54	$11.67	$9.68	$13.69	$12.88	$11.80	N/A	N/A	N/A
Accumulation units outstanding at the end of period	9,328	13,535	14,013	18,071	21,049	15,240	12,319	N/A	N/A	N/A

Investment Divisions	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,
	2011	2010	2009	2008	2007	2006	2005	2004	2003	2002
JNL/Capital Guardian Global Diversified Research Division
Accumulation unit value:
Beginning of period	$7.09	$6.44	$4.73	$8.34	$7.02	$6.29	$6.26	$5.71	$4.68	$6.51
End of period	$6.67	$7.09	$6.44	$4.73	$8.34	$7.02	$6.29	$6.26	$5.71	$4.68
Accumulation units outstanding at the end of period	117,043	140,245	176,281	210,103	303,170	367,549	441,090	579,943	712,814	940,232

JNL/Capital Guardian U.S. Growth Equity Division
Accumulation unit value:
Beginning of period	$5.75	$5.18	$3.90	$6.70	$6.20	$6.02	$5.84	$5.30	$3.98	$5.74
End of period	$5.71	$5.75	$5.18	$3.90	$6.70	$6.20	$6.02	$5.84	$5.30	$3.98
Accumulation units outstanding at the end of period	248,808	275,083	362,283	465,705	525,449	661,895	784,923	1,183,939	1,475,042	1,674,518

JNL/Eagle Core Equity Division
Accumulation unit value:
Beginning of period	$10.47	$9.50	$7.21	$12.00	$12.11	$10.94	$10.75	N/A	N/A	N/A
End of period	$10.23	$10.47	$9.50	$7.21	$12.00	$12.11	$10.94	N/A	N/A	N/A
Accumulation units outstanding at the end of period	101,361	119,420	165,137	214,698	266,570	324,058	367,892	N/A	N/A	N/A

JNL/Eagle SmallCap Equity Division
Accumulation unit value:
Beginning of period	$16.28	$12.18	$9.13	$15.02	$13.60	$11.50	$11.38	N/A	N/A	N/A
End of period	$15.67	$16.28	$12.18	$9.13	$15.02	$13.60	$11.50	N/A	N/A	N/A
Accumulation units outstanding at the end of period	45,476	23,773	8,526	42,150	23,651	23,217	12,228	N/A	N/A	N/A

JNL/Franklin Templeton Founding Strategy Division
Accumulation unit value:
Beginning of period	$8.72	$8.02	$6.26	$9.95	N/A	N/A	N/A	N/A	N/A	N/A
End of period	$8.48	$8.72	$8.02	$6.26	N/A	N/A	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	13,462	19,056	21,392	47,609	N/A	N/A	N/A	N/A	N/A	N/A

JNL/Franklin Templeton Global Growth Division
Accumulation unit value:
Beginning of period	$7.89	$7.48	$5.80	$9.92	N/A	N/A	N/A	N/A	N/A	N/A
End of period	$7.30	$7.89	$7.48	$5.80	N/A	N/A	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	3,877	14,182	8,883	11,591	N/A	N/A	N/A	N/A	N/A	N/A

Investment Divisions	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,
	2011	2010	2009	2008	2007	2006	2005	2004	2003	2002
JNL/Franklin Templeton Global Multisector Bond Division
Accumulation unit value:
Beginning of period	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
End of period	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A

JNL/Franklin Templeton Income Division
Accumulation unit value:
Beginning of period	$10.96	$9.88	$7.55	$10.90	$10.87	N/A	N/A	N/A	N/A	N/A
End of period	$11.07	$10.96	$9.88	$7.55	$10.90	N/A	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	13,082	19,048	43,590	22,948	27,904	N/A	N/A	N/A	N/A	N/A

JNL/Franklin Templeton International Small Cap Growth Division
Accumulation unit value:
Beginning of period	$19.88	$16.74	$11.14	N/A	N/A	N/A	N/A	N/A	N/A	N/A
End of period	$16.77	$19.88	$16.74	N/A	N/A	N/A	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	8,121	2,472	1,133	N/A	N/A	N/A	N/A	N/A	N/A	N/A

JNL/Franklin Templeton Mutual Shares Division
Accumulation unit value:
Beginning of period	$8.28	$7.54	$6.04	$9.88	N/A	N/A	N/A	N/A	N/A	N/A
End of period	$8.11	$8.28	$7.54	$6.04	N/A	N/A	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	8,071	10,797	12,961	14,342	N/A	N/A	N/A	N/A	N/A	N/A

JNL/Franklin Templeton Small Cap Value Division
Accumulation unit value:
Beginning of period	$11.94	$9.56	$7.26	$11.03	$11.92	$10.28	N/A	N/A	N/A	N/A
End of period	$11.45	$11.94	$9.56	$7.26	$11.03	$11.92	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	11,646	26,223	26,394	15,122	14,114	12,775	N/A	N/A	N/A	N/A

JNL/Goldman Sachs Core Plus Bond Division
Accumulation unit value:
Beginning of period	$17.22	$16.24	$14.44	$15.46	$14.67	$14.22	$14.07	$13.36	$11.94	$11.18
End of period	$18.02	$17.22	$16.24	$14.44	$15.46	$14.67	$14.22	$14.07	$13.36	$11.94
Accumulation units outstanding at the end of period	66,002	76,328	87,125	96,867	137,357	125,117	138,216	136,879	127,780	137,549

Investment Divisions	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,
	2011	2010	2009	2008	2007	2006	2005	2004	2003	2002
JNL/Goldman Sachs Emerging Markets Debt Division
Accumulation unit value:
Beginning of period	$14.30	$12.51	$10.33	N/A	N/A	N/A	N/A	N/A	N/A	N/A
End of period	$13.43	$14.30	$12.51	N/A	N/A	N/A	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	2,483	3,926	3,247	N/A	N/A	N/A	N/A	N/A	N/A	N/A

JNL/Goldman Sachs Mid Cap Value Division
Accumulation unit value:
Beginning of period	$12.21	$9.97	$7.63	$12.11	$11.96	$10.49	N/A	N/A	N/A	N/A
End of period	$11.24	$12.21	$9.97	$7.63	$12.11	$11.96	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	8,202	10,779	13,085	15,356	28,651	37,670	N/A	N/A	N/A	N/A

JNL/Goldman Sachs U.S. Equity Flex Division
Accumulation unit value:
Beginning of period	$8.65	$8.08	$6.57	$10.70	N/A	N/A	N/A	N/A	N/A	N/A
End of period	$7.61	$8.65	$8.08	$6.57	N/A	N/A	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	1,518	1,475	1,177	319	N/A	N/A	N/A	N/A	N/A	N/A

JNL/Invesco Global Real Estate Division
Accumulation unit value:
Beginning of period	$12.35	$10.70	$8.20	$12.94	$15.46	$11.51	N/A	N/A	N/A	N/A
End of period	$11.41	$12.35	$10.70	$8.20	$12.94	$15.46	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	13,920	14,446	15,625	20,070	23,464	28,005	N/A	N/A	N/A	N/A

JNL/Invesco International Growth Division
Accumulation unit value:
Beginning of period	$9.96	$9.01	$6.67	$11.47	$10.61	$8.78	$8.05	$7.03	$5.55	$7.09
End of period	$9.14	$9.96	$9.01	$6.67	$11.47	$10.61	$8.78	$8.05	$7.03	$5.55
Accumulation units outstanding at the end of period	80,981	96,250	122,298	162,088	189,980	196,823	223,387	263,692	373,850	424,313

JNL/Invesco Large Cap Growth Division
Accumulation unit value:
Beginning of period	$12.03	$10.40	$8.49	$13.83	$12.13	$11.42	$10.81	N/A	N/A	N/A
End of period	$11.06	$12.03	$10.40	$8.49	$13.83	$12.13	$11.42	N/A	N/A	N/A
Accumulation units outstanding at the end of period	24,890	22,624	41,872	47,851	59,979	18,432	16,198	N/A	N/A	N/A

Investment Divisions	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,
	2011	2010	2009	2008	2007	2006	2005	2004	2003	2002
JNL/Invesco Small Cap Growth Division
Accumulation unit value:
Beginning of period	$13.99	$11.25	$8.48	$14.27	$13.01	$11.54	$10.80	N/A	N/A	N/A
End of period	$13.60	$13.99	$11.25	$8.48	$14.27	$13.01	$11.54	N/A	N/A	N/A
Accumulation units outstanding at the end of period	4,213	9,081	11,537	6,296	5,333	8,477	7,976	N/A	N/A	N/A

JNL/Ivy Asset Strategy Division
Accumulation unit value:
Beginning of period	$11.22	$10.37	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
End of period	$10.22	$11.22	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	5,030	4,352	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A

JNL/JPMorgan International Value Division
Accumulation unit value:
Beginning of period	$10.16	$9.59	$7.48	$13.67	$12.40	$9.53	$8.16	$6.76	$4.92	$6.81
End of period	$8.72	$10.16	$9.59	$7.48	$13.67	$12.40	$9.53	$8.16	$6.76	$4.92
Accumulation units outstanding at the end of period	82,727	110,806	159,890	175,537	219,516	264,461	217,842	313,938	292,298	145,184

JNL/JPMorgan MidCap Growth Division
Accumulation unit value:
Beginning of period	$13.57	$10.96	$7.79	$14.23	$13.38	$12.12	$11.59	N/A	N/A	N/A
End of period	$12.58	$13.57	$10.96	$7.79	$14.23	$13.38	$12.12	N/A	N/A	N/A
Accumulation units outstanding at the end of period	36,656	47,382	60,509	60,887	73,659	4,620	1,834	N/A	N/A	N/A

JNL/JPMorgan U.S. Government & Quality Bond Division
Accumulation unit value:
Beginning of period	$12.60	$11.92	$11.67	$11.12	$10.61	$10.43	$10.34	N/A	N/A	N/A
End of period	$13.64	$12.60	$11.92	$11.67	$11.12	$10.61	$10.43	N/A	N/A	N/A
Accumulation units outstanding at the end of period	18,611	30,055	24,985	41,407	24,646	16,874	7,326	N/A	N/A	N/A

JNL/Lazard Emerging Markets Division
Accumulation unit value:
Beginning of period	$14.13	$11.76	$6.95	$14.13	$10.88	N/A	N/A	N/A	N/A	N/A
End of period	$11.45	$14.13	$11.76	$6.95	$14.13	N/A	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	38,663	54,231	53,353	56,344	50,132	N/A	N/A	N/A	N/A	N/A

Investment Divisions	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,
	2011	2010	2009	2008	2007	2006	2005	2004	2003	2002
JNL/Lazard Mid Cap Equity Division
Accumulation unit value:
Beginning of period	$21.78	$17.96	$13.06	$21.71	$22.63	$20.06	$18.71	$15.23	$11.99	$14.17
End of period	$20.24	$21.78	$17.96	$13.06	$21.71	$22.63	$20.06	$18.71	$15.23	$11.99
Accumulation units outstanding at the end of period	44,389	60,945	90,535	114,733	143,303	194,617	231,028	292,819	282,307	327,448

JNL/M&G Global Basics Division
Accumulation unit value:
Beginning of period	$11.71	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
End of period	$10.16	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	-	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A

JNL/M&G Global Leaders Division
Accumulation unit value:
Beginning of period	$13.12	$11.76	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
End of period	$11.42	$13.12	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	133	1,593	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A

JNL/Mellon Capital Management (MCM) 10 x 10 Division
Accumulation unit value:
Beginning of period	$8.68	$7.57	$6.17	$9.82	N/A	N/A	N/A	N/A	N/A	N/A
End of period	$8.37	$8.68	$7.57	$6.17	N/A	N/A	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	5,943	8,614	33,656	41,904	N/A	N/A	N/A	N/A	N/A	N/A

JNL/MCM 25 Division
Accumulation unit value:
Beginning of period	$11.67	$9.64	$6.40	$10.03	$10.48	N/A	N/A	N/A	N/A	N/A
End of period	$12.52	$11.67	$9.64	$6.40	$10.03	N/A	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	6,729	7,548	15,042	22,131	2,699	N/A	N/A	N/A	N/A	N/A

JNL/MCM Bond Index Division
Accumulation unit value:
Beginning of period	$12.25	$11.75	$11.28	$11.04	$10.53	$10.31	$10.28	N/A	N/A	N/A
End of period	$12.94	$12.25	$11.75	$11.28	$11.04	$10.53	$10.31	N/A	N/A	N/A
Accumulation units outstanding at the end of period	10,602	9,208	10,017	29,409	26,126	33,761	27,380	N/A	N/A	N/A

Investment Divisions	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,
	2011	2010	2009	2008	2007	2006	2005	2004	2003	2002
JNL/MCM Communications Sector Division
Accumulation unit value:
Beginning of period	$15.07	$12.48	$10.09	$16.97	$16.51	$12.32	$12.38	$10.68	N/A	N/A
End of period	$14.37	$15.07	$12.48	$10.09	$16.97	$16.51	$12.32	$12.38	N/A	N/A
Accumulation units outstanding at the end of period	4,182	8,145	6,218	6,197	8,621	10,683	4,609	23,301	N/A	N/A

JNL/MCM Consumer Brands Sector Division
Accumulation unit value:
Beginning of period	$11.56	$9.56	$7.29	$10.77	$11.87	$10.62	$11.04	$10.18	N/A	N/A
End of period	$12.13	$11.56	$9.56	$7.29	$10.77	$11.87	$10.62	$11.04	N/A	N/A
Accumulation units outstanding at the end of period	933	1,018	1,890	1,777	2,582	3,433	2,840	9,013	N/A	N/A

JNL/MCM Dow Dividend Division
Accumulation unit value:
Beginning of period	$6.83	$6.19	$5.23	$10.48	N/A	N/A	N/A	N/A	N/A	N/A
End of period	$7.12	$6.83	$6.19	$5.23	N/A	N/A	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	6,958	2,046	1,676	9,005	N/A	N/A	N/A	N/A	N/A	N/A

JNL/MCM Emerging Markets Index Division
Accumulation unit value:
Beginning of period	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
End of period	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A

JNL/MCM European 30 Division
Accumulation unit value:
Beginning of period	$12.86	$12.79	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
End of period	$11.74	$12.86	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	375	674	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A

JNL/MCM Financial Sector Division
Accumulation unit value:
Beginning of period	$7.23	$6.47	$5.53	$11.38	$13.98	$11.96	$11.44	$10.23	N/A	N/A
End of period	$6.20	$7.23	$6.47	$5.53	$11.38	$13.98	$11.96	$11.44	N/A	N/A
Accumulation units outstanding at the end of period	2,316	2,131	2,682	20,431	7,589	17,935	6,350	21,240	N/A	N/A

Investment Divisions	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,
	2011	2010	2009	2008	2007	2006	2005	2004	2003	2002
JNL/MCM Global Alpha Division
Accumulation unit value:
Beginning of period	$10.28	$9.84	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
End of period	$10.42	$10.28	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	-	-	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A

JNL/MCM Healthcare Sector Division
Accumulation unit value:
Beginning of period	$11.30	$11.04	$9.27	$12.25	$11.56	$11.04	$10.42	$10.22	N/A	N/A
End of period	$12.34	$11.30	$11.04	$9.27	$12.25	$11.56	$11.04	$10.42	N/A	N/A
Accumulation units outstanding at the end of period	8,824	12,373	14,639	13,334	22,217	28,169	35,487	19,842	N/A	N/A

JNL/MCM Index 5 Division
Accumulation unit value:
Beginning of period	$9.62	$8.43	$6.84	$9.90	N/A	N/A	N/A	N/A	N/A	N/A
End of period	$9.28	$9.62	$8.43	$6.84	N/A	N/A	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	27	29	2,057	-	N/A	N/A	N/A	N/A	N/A	N/A

JNL/MCM International Index Division
Accumulation unit value:
Beginning of period	$13.25	$12.59	$9.88	$17.58	$16.17	$13.07	$11.71	N/A	N/A	N/A
End of period	$11.45	$13.25	$12.59	$9.88	$17.58	$16.17	$13.07	N/A	N/A	N/A
Accumulation units outstanding at the end of period	14,851	20,940	29,440	41,686	70,621	61,754	39,165	N/A	N/A	N/A

JNL/MCM JNL 5 Division
Accumulation unit value:
Beginning of period	$11.44	$9.92	$8.11	$14.33	$14.34	$12.25	$11.24	N/A	N/A	N/A
End of period	$11.04	$11.44	$9.92	$8.11	$14.33	$14.34	$12.25	N/A	N/A	N/A
Accumulation units outstanding at the end of period	162,487	200,164	290,188	408,431	687,620	715,760	975,666	N/A	N/A	N/A

JNL/MCM JNL Optimized 5 Division
Accumulation unit value:
Beginning of period	$9.69	$8.65	$6.38	$12.00	$10.73	N/A	N/A	N/A	N/A	N/A
End of period	$8.60	$9.69	$8.65	$6.38	$12.00	N/A	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	5,705	7,637	19,445	23,035	48,392	N/A	N/A	N/A	N/A	N/A

Investment Divisions	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,
	2011	2010	2009	2008	2007	2006	2005	2004	2003	2002
JNL/MCM Nasdaq 25 Division
Accumulation unit value:
Beginning of period	$10.09	$8.74	$6.61	N/A	N/A	N/A	N/A	N/A	N/A	N/A
End of period	$10.14	$10.09	$8.74	N/A	N/A	N/A	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	100	-	-	N/A	N/A	N/A	N/A	N/A	N/A	N/A

JNL/MCM NYSE International 25 Division
Accumulation unit value:
Beginning of period	$8.32	$8.25	$6.16	$11.56	N/A	N/A	N/A	N/A	N/A	N/A
End of period	$6.24	$8.32	$8.25	$6.16	N/A	N/A	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	1,474	2,777	2,962	7,134	N/A	N/A	N/A	N/A	N/A	N/A

JNL/MCM Oil & Gas Sector Division
Accumulation unit value:
Beginning of period	$25.13	$21.42	$18.11	$29.58	$22.20	$18.65	$13.84	$10.54	N/A	N/A
End of period	$25.57	$25.13	$21.42	$18.11	$29.58	$22.20	$18.65	$13.84	N/A	N/A
Accumulation units outstanding at the end of period	25,281	27,543	32,244	59,226	48,698	54,023	58,164	19,369	N/A	N/A

JNL/MCM Pacific Rim 30 Division
Accumulation unit value:
Beginning of period	$10.81	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
End of period	$10.46	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	-	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A

JNL/MCM S&P 24 Division
Accumulation unit value:
Beginning of period	$9.09	$7.92	$6.76	N/A	N/A	N/A	N/A	N/A	N/A	N/A
End of period	$9.41	$9.09	$7.92	N/A	N/A	N/A	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	28	32	3,278	N/A	N/A	N/A	N/A	N/A	N/A	N/A

JNL/MCM S&P 400 MidCap Index Division
Accumulation unit value:
Beginning of period	$14.77	$11.92	$8.76	$14.25	$13.47	$12.46	$11.30	N/A	N/A	N/A
End of period	$14.24	$14.77	$11.92	$8.76	$14.25	$13.47	$12.46	N/A	N/A	N/A
Accumulation units outstanding at the end of period	8,775	12,433	48,585	31,715	40,435	45,404	38,914	N/A	N/A	N/A

Investment Divisions	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,
	2011	2010	2009	2008	2007	2006	2005	2004	2003	2002
JNL/MCM S&P 500 Index Division
Accumulation unit value:
Beginning of period	$11.30	$10.03	$8.08	$13.15	$12.73	$11.23	$10.92	N/A	N/A	N/A
End of period	$11.30	$11.30	$10.03	$8.08	$13.15	$12.73	$11.23	N/A	N/A	N/A
Accumulation units outstanding at the end of period	143,833	190,530	214,484	51,640	78,000	102,509	100,136	N/A	N/A	N/A

JNL/MCM S&P SMid 60 Division
Accumulation unit value:
Beginning of period	$11.51	$9.67	$6.08	$8.83	N/A	N/A	N/A	N/A	N/A	N/A
End of period	$10.46	$11.51	$9.67	$6.08	N/A	N/A	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	1,522	3,410	1,480	7,985	N/A	N/A	N/A	N/A	N/A	N/A

JNL/MCM Select Small-Cap Division
Accumulation unit value:
Beginning of period	$6.03	$5.32	$5.14	$8.71	$9.88	N/A	N/A	N/A	N/A	N/A
End of period	$6.03	$6.03	$5.32	$5.14	$8.71	N/A	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	27,702	16,552	25,888	4,556	4,338	N/A	N/A	N/A	N/A	N/A

JNL/MCM Small Cap Index Division
Accumulation unit value:
Beginning of period	$13.24	$10.64	$8.48	$13.23	$13.72	$11.85	$11.54	N/A	N/A	N/A
End of period	$12.48	$13.24	$10.64	$8.48	$13.23	$13.72	$11.85	N/A	N/A	N/A
Accumulation units outstanding at the end of period	92,886	119,949	183,070	30,138	35,812	38,884	23,172	N/A	N/A	N/A

JNL/MCM Technology Sector Division
Accumulation unit value:
Beginning of period	$12.23	$11.08	$6.86	$12.31	$10.91	$10.13	$10.04	$10.08	N/A	N/A
End of period	$12.01	$12.23	$11.08	$6.86	$12.31	$10.91	$10.13	$10.04	N/A	N/A
Accumulation units outstanding at the end of period	2,855	5,540	5,171	14,435	12,589	16,996	23,813	7,844	N/A	N/A

JNL/MCM Value Line 30 Division
Accumulation unit value:
Beginning of period	$8.05	$6.67	$5.91	N/A	N/A	N/A	N/A	N/A	N/A	N/A
End of period	$6.11	$8.05	$6.67	N/A	N/A	N/A	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	2,936	2,770	3,007	N/A	N/A	N/A	N/A	N/A	N/A	N/A

Investment Divisions	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,
	2011	2010	2009	2008	2007	2006	2005	2004	2003	2002
JNL/MCM VIP Division
Accumulation unit value:
Beginning of period	$10.89	$9.59	$7.85	$13.93	$12.77	$11.56	$10.69	N/A	N/A	N/A
End of period	$10.34	$10.89	$9.59	$7.85	$13.93	$12.77	$11.56	N/A	N/A	N/A
Accumulation units outstanding at the end of period	29,567	27,555	34,903	51,696	62,638	117,548	122,256	N/A	N/A	N/A

JNL/Oppenheimer Global Growth Division
Accumulation unit value:
Beginning of period	$14.21	$12.50	$9.10	$15.62	$14.91	$12.94	$11.55	$9.94	$7.18	$9.39
End of period	$12.84	$14.21	$12.50	$9.10	$15.62	$14.91	$12.94	$11.55	$9.94	$7.18
Accumulation units outstanding at the end of period	83,981	96,382	117,873	134,931	158,024	182,293	204,823	219,032	183,596	126,675

JNL/PAM Asia ex-Japan Division
Accumulation unit value:
Beginning of period	$10.39	$8.83	$5.29	N/A	N/A	N/A	N/A	N/A	N/A	N/A
End of period	$8.07	$10.39	$8.83	N/A	N/A	N/A	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	5,026	11,319	18,681	N/A	N/A	N/A	N/A	N/A	N/A	N/A

JNL/PAM China-India Division
Accumulation unit value:
Beginning of period	$10.86	$9.43	$5.25	N/A	N/A	N/A	N/A	N/A	N/A	N/A
End of period	$7.72	$10.86	$9.43	N/A	N/A	N/A	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	1,345	6,386	6,766	N/A	N/A	N/A	N/A	N/A	N/A	N/A

JNL/PIMCO Real Return Division
Accumulation unit value:
Beginning of period	$12.71	$11.97	$10.37	$10.93	N/A	N/A	N/A	N/A	N/A	N/A
End of period	$13.98	$12.71	$11.97	$10.37	N/A	N/A	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	33,787	34,507	49,379	37,796	N/A	N/A	N/A	N/A	N/A	N/A

JNL/PIMCO Total Return Bond Division
Accumulation unit value:
Beginning of period	$17.81	$16.80	$14.77	$14.94	$14.01	$13.74	$13.64	$13.25	$12.84	$11.97
End of period	$18.39	$17.81	$16.80	$14.77	$14.94	$14.01	$13.74	$13.64	$13.25	$12.84
Accumulation units outstanding at the end of period	207,343	244,827	281,374	343,489	397,146	430,927	493,021	544,769	650,624	848,395

Investment Divisions	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,
	2011	2010	2009	2008	2007	2006	2005	2004	2003	2002
JNL/PPM America Floating Rate Income Division
Accumulation unit value:
Beginning of period	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
End of period	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A

JNL/PPM America High Yield Bond Division
Accumulation unit value:
Beginning of period	$16.03	$14.07	$9.76	$14.31	$14.69	$13.49	$13.47	$12.63	$10.19	$9.78
End of period	$16.52	$16.03	$14.07	$9.76	$14.31	$14.69	$13.49	$13.47	$12.63	$10.19
Accumulation units outstanding at the end of period	54,621	72,504	89,961	96,311	122,973	147,402	171,070	222,985	253,045	235,868

JNL/PPM America Mid Cap Value Division
Accumulation unit value:
Beginning of period	$20.18	$15.81	$10.89	N/A	N/A	N/A	N/A	N/A	N/A	N/A
End of period	$18.41	$20.18	$15.81	N/A	N/A	N/A	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	111	638	824	N/A	N/A	N/A	N/A	N/A	N/A	N/A

JNL/PPM America Small Cap Value Division
Accumulation unit value:
Beginning of period	$9.62	$7.65	$5.80	N/A	N/A	N/A	N/A	N/A	N/A	N/A
End of period	$8.72	$9.62	$7.65	N/A	N/A	N/A	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	9,258	13,091	1,295	N/A	N/A	N/A	N/A	N/A	N/A	N/A

JNL/PPM America Value Equity Division
Accumulation unit value:
Beginning of period	$9.95	$8.60	$6.04	$11.61	$12.49	$11.22	$10.85	N/A	N/A	N/A
End of period	$9.29	$9.95	$8.60	$6.04	$11.61	$12.49	$11.22	N/A	N/A	N/A
Accumulation units outstanding at the end of period	871	7,576	19,678	6,226	3,464	8,223	1,953	N/A	N/A	N/A

JNL/Red Rocks Listed Private Equity Division
Accumulation unit value:
Beginning of period	$18.08	$14.53	$10.51	N/A	N/A	N/A	N/A	N/A	N/A	N/A
End of period	$14.61	$18.08	$14.53	N/A	N/A	N/A	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	1,217	1,214	772	N/A	N/A	N/A	N/A	N/A	N/A	N/A

Investment Divisions	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,
	2011	2010	2009	2008	2007	2006	2005	2004	2003	2002
JNL/S&P 4 Division
Accumulation unit value:
Beginning of period	$10.78	$9.62	$6.88	N/A	N/A	N/A	N/A	N/A	N/A	N/A
End of period	$11.24	$10.78	$9.62	N/A	N/A	N/A	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	8,119	12,966	11,099	N/A	N/A	N/A	N/A	N/A	N/A	N/A

JNL/S&P Competitive Advantage Division
Accumulation unit value:
Beginning of period	$11.16	$10.05	$7.08	N/A	N/A	N/A	N/A	N/A	N/A	N/A
End of period	$12.15	$11.16	$10.05	N/A	N/A	N/A	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	4,155	1,374	2,347	N/A	N/A	N/A	N/A	N/A	N/A	N/A

JNL/S&P Dividend Income & Growth Division
Accumulation unit value:
Beginning of period	$11.41	$9.79	$8.05	N/A	N/A	N/A	N/A	N/A	N/A	N/A
End of period	$12.63	$11.41	$9.79	N/A	N/A	N/A	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	9,784	1,028	876	N/A	N/A	N/A	N/A	N/A	N/A	N/A

JNL/S&P Intrinsic Value Division
Accumulation unit value:
Beginning of period	$11.46	$10.17	$6.57	N/A	N/A	N/A	N/A	N/A	N/A	N/A
End of period	$12.02	$11.46	$10.17	N/A	N/A	N/A	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	700	559	57	N/A	N/A	N/A	N/A	N/A	N/A	N/A

JNL/S&P Managed Aggressive Growth Division
Accumulation unit value:
Beginning of period	$12.96	$11.23	$8.70	$14.52	$13.50	$11.86	$11.10	N/A	N/A	N/A
End of period	$12.15	$12.96	$11.23	$8.70	$14.52	$13.50	$11.86	N/A	N/A	N/A
Accumulation units outstanding at the end of period	180,580	232,811	340,285	373,197	482,368	520,647	631,826	N/A	N/A	N/A

JNL/S&P Managed Conservative Division
Accumulation unit value:
Beginning of period	$11.71	$10.93	$9.78	$11.50	$10.99	$10.34	N/A	N/A	N/A	N/A
End of period	$11.89	$11.71	$10.93	$9.78	$11.50	$10.99	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	47,901	51,082	58,809	83,091	59,662	4,606	N/A	N/A	N/A	N/A

Investment Divisions	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,
	2011	2010	2009	2008	2007	2006	2005	2004	2003	2002
JNL/S&P Managed Growth Division
Accumulation unit value:
Beginning of period	$12.88	$11.26	$8.93	$14.02	$13.09	$11.64	$11.00	N/A	N/A	N/A
End of period	$12.29	$12.88	$11.26	$8.93	$14.02	$13.09	$11.64	N/A	N/A	N/A
Accumulation units outstanding at the end of period	364,861	484,073	837,659	866,802	1,062,901	1,274,520	1,572,146	N/A	N/A	N/A

JNL/S&P Managed Moderate Division
Accumulation unit value:
Beginning of period	$12.18	$11.11	$9.50	$12.25	$11.54	$10.61	N/A	N/A	N/A	N/A
End of period	$12.10	$12.18	$11.11	$9.50	$12.25	$11.54	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	30,675	39,690	63,150	57,946	42,240	20,878	N/A	N/A	N/A	N/A

JNL/S&P Managed Moderate Growth Division
Accumulation unit value:
Beginning of period	$13.05	$11.70	$9.62	$13.48	$12.59	$11.39	$10.87	N/A	N/A	N/A
End of period	$12.69	$13.05	$11.70	$9.62	$13.48	$12.59	$11.39	N/A	N/A	N/A
Accumulation units outstanding at the end of period	386,437	368,002	440,192	498,271	658,798	731,021	843,642	N/A	N/A	N/A

JNL/S&P Total Yield Division
Accumulation unit value:
Beginning of period	$9.42	$8.69	$6.17	N/A	N/A	N/A	N/A	N/A	N/A	N/A
End of period	$8.78	$9.42	$8.69	N/A	N/A	N/A	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	665	739	3,510	N/A	N/A	N/A	N/A	N/A	N/A	N/A

JNL/T.Rowe Price Established Growth Division
Accumulation unit value:
Beginning of period	$12.72	$11.06	$7.82	$13.90	$12.81	$11.44	$10.94	N/A	N/A	N/A
End of period	$12.39	$12.72	$11.06	$7.82	$13.90	$12.81	$11.44	N/A	N/A	N/A
Accumulation units outstanding at the end of period	178,838	219,090	248,867	306,249	371,564	385,799	451,875	N/A	N/A	N/A

JNL/T.Rowe Price Mid-Cap Growth Division
Accumulation unit value:
Beginning of period	$17.83	$14.16	$9.79	$16.74	$14.50	$13.78	$12.26	$10.54	$7.72	$10.04
End of period	$17.31	$17.83	$14.16	$9.79	$16.74	$14.50	$13.78	$12.26	$10.54	$7.72
Accumulation units outstanding at the end of period	149,163	182,093	242,008	295,287	379,176	438,522	525,916	650,688	720,439	759,504

Investment Divisions	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,
	2011	2010	2009	2008	2007	2006	2005	2004	2003	2002
JNL/T.Rowe Price Short-Term Bond Division
Accumulation unit value:
Beginning of period	$10.50	$10.35	$9.76	$10.54	$10.21	N/A	N/A	N/A	N/A	N/A
End of period	$10.48	$10.50	$10.35	$9.76	$10.54	N/A	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	16,002	52,630	25,579	19,133	27,770	N/A	N/A	N/A	N/A	N/A

JNL/T.Rowe Price Value Division
Accumulation unit value:
Beginning of period	$12.54	$10.99	$8.13	$13.87	$13.96	$11.81	$11.29	N/A	N/A	N/A
End of period	$12.10	$12.54	$10.99	$8.13	$13.87	$13.96	$11.81	N/A	N/A	N/A
Accumulation units outstanding at the end of period	69,855	85,098	91,080	115,076	114,542	94,468	81,351	N/A	N/A	N/A

JNL/WMC Balanced Division
Accumulation unit value:
Beginning of period	$13.45	$12.32	$10.45	$13.38	$12.64	$11.29	$10.88	N/A	N/A	N/A
End of period	$13.68	$13.45	$12.32	$10.45	$13.38	$12.64	$11.29	N/A	N/A	N/A
Accumulation units outstanding at the end of period	150,631	170,464	220,836	262,329	285,759	327,037	331,232	N/A	N/A	N/A

JNL/WMC Money Market Division
Accumulation unit value:
Beginning of period	$10.93	$11.09	$11.25	$11.17	$10.83	$10.51	$10.39	$10.47	$10.58	$10.62
End of period	$10.77	$10.93	$11.09	$11.25	$11.17	$10.83	$10.51	$10.39	$10.47	$10.58
Accumulation units outstanding at the end of period	66,783	50,999	101,137	201,061	192,789	133,273	149,718	184,531	206,686	400,786

JNL/WMC Value Division
Accumulation unit value:
Beginning of period	$13.82	$12.34	$10.10	$15.39	$14.48	$12.16	$11.41	N/A	N/A	N/A
End of period	$13.33	$13.82	$12.34	$10.10	$15.39	$14.48	$12.16	N/A	N/A	N/A
Accumulation units outstanding at the end of period	26,319	32,691	42,383	49,267	76,613	64,646	28,194	N/A	N/A	N/A

Accumulation Unit Values
Contract with Endorsements - 1.65%

Investment Divisions	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,
	2011	2010	2009	2008	2007	2006	2005	2004	2003	2002
JNL Disciplined Growth Division
Accumulation unit value:
Beginning of period	$8.57	$7.73	$6.27	$10.48	N/A	N/A	N/A	N/A	N/A	N/A
End of period	$8.17	$8.57	$7.73	$6.27	N/A	N/A	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	-	-	-	-	N/A	N/A	N/A	N/A	N/A	N/A

JNL Disciplined Moderate Division
Accumulation unit value:
Beginning of period	$9.70	$8.88	$7.60	$10.53	N/A	N/A	N/A	N/A	N/A	N/A
End of period	$9.61	$9.70	$8.88	$7.60	N/A	N/A	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	3,398	2,737	631	655	N/A	N/A	N/A	N/A	N/A	N/A

JNL Disciplined Moderate Growth Division
Accumulation unit value:
Beginning of period	$9.07	$8.14	$6.74	$10.50	N/A	N/A	N/A	N/A	N/A	N/A
End of period	$8.84	$9.07	$8.14	$6.74	N/A	N/A	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	23,439	23,439	34,714	1,675	N/A	N/A	N/A	N/A	N/A	N/A

JNL Institutional Alt 20 Division
Accumulation unit value:
Beginning of period	$13.99	$12.58	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
End of period	$13.40	$13.99	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	8,236	29,581	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A

JNL Institutional Alt 35 Division
Accumulation unit value:
Beginning of period	$14.71	$13.08	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
End of period	$13.92	$14.71	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	543	582	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A

Investment Divisions	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,
	2011	2010	2009	2008	2007	2006	2005	2004	2003	2002
JNL Institutional Alt 50 Division
Accumulation unit value:
Beginning of period	$15.15	$13.41	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
End of period	$14.21	$15.15	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	421	705	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A

JNL Institutional Alt 65 Division
Accumulation unit value:
Beginning of period	$15.73	$13.80	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
End of period	$14.63	$15.73	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	2,764	657	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A

JNL/American Funds Blue Chip Income and Growth Division
Accumulation unit value:
Beginning of period	$10.28	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
End of period	$9.98	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	145	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A

JNL/American Funds Global Bond Division
Accumulation unit value:
Beginning of period	$10.34	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
End of period	$10.61	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	1,485	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A

JNL/American Funds Global Small Capitalization Division
Accumulation unit value:
Beginning of period	$11.03	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
End of period	$8.74	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	768	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A

JNL/American Funds Growth-Income Division
Accumulation unit value:
Beginning of period	$10.34	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
End of period	$9.93	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	1,399	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A

Investment Divisions	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,
	2011	2010	2009	2008	2007	2006	2005	2004	2003	2002
JNL/American Funds International Division
Accumulation unit value:
Beginning of period	$10.73	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
End of period	$9.04	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	369	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A

JNL/American Funds New World Division
Accumulation unit value:
Beginning of period	$11.24	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
End of period	$9.47	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	1,669	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A

JNL/BlackRock Commodity Securities Division
Accumulation unit value:
Beginning of period	$11.18	$9.68	$6.56	$13.68	N/A	N/A	N/A	N/A	N/A	N/A
End of period	$10.19	$11.18	$9.68	$6.56	N/A	N/A	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	10,357	14,636	12,579	14,961	N/A	N/A	N/A	N/A	N/A	N/A

JNL/BlackRock Global Allocation Division
Accumulation unit value:
Beginning of period	$10.31	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
End of period	$9.76	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	23,210	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A

JNL/Brookfield Global Infrastructure Division
Accumulation unit value:
Beginning of period	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
End of period	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A

JNL/Capital Guardian Global Balanced Division
Accumulation unit value:
Beginning of period	$12.41	$11.57	$9.61	$13.62	$12.83	$11.77	$10.87	N/A	N/A	N/A
End of period	$11.63	$12.41	$11.57	$9.61	$13.62	$12.83	$11.77	N/A	N/A	N/A
Accumulation units outstanding at the end of period	9,197	9,582	15,235	8,391	22,464	17,892	8,040	N/A	N/A	N/A

Investment Divisions	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,
	2011	2010	2009	2008	2007	2006	2005	2004	2003	2002
JNL/Capital Guardian Global Diversified Research Division
Accumulation unit value:
Beginning of period	$6.51	$5.92	$4.36	$7.70	$6.49	$5.82	$5.81	$5.30	$4.35	$6.06
End of period	$6.12	$6.51	$5.92	$4.36	$7.70	$6.49	$5.82	$5.81	$5.30	$4.35
Accumulation units outstanding at the end of period	48,610	53,041	59,118	87,617	128,682	138,985	158,865	193,935	229,753	270,495

JNL/Capital Guardian U.S. Growth Equity Division
Accumulation unit value:
Beginning of period	$5.21	$4.70	$3.54	$6.09	$5.64	$5.48	$5.33	$4.85	$3.64	$5.27
End of period	$5.16	$5.21	$4.70	$3.54	$6.09	$5.64	$5.48	$5.33	$4.85	$3.64
Accumulation units outstanding at the end of period	123,095	132,356	174,649	240,406	318,013	371,355	406,879	590,955	561,384	691,527

JNL/Eagle Core Equity Division
Accumulation unit value:
Beginning of period	$10.37	$9.42	$7.16	$11.94	$12.06	$10.92	$10.74	N/A	N/A	N/A
End of period	$10.11	$10.37	$9.42	$7.16	$11.94	$12.06	$10.92	N/A	N/A	N/A
Accumulation units outstanding at the end of period	56,378	60,961	73,386	92,821	123,314	144,415	161,194	N/A	N/A	N/A

JNL/Eagle SmallCap Equity Division
Accumulation unit value:
Beginning of period	$16.12	$12.08	$9.07	$14.93	$13.55	$11.47	$11.37	N/A	N/A	N/A
End of period	$15.49	$16.12	$12.08	$9.07	$14.93	$13.55	$11.47	N/A	N/A	N/A
Accumulation units outstanding at the end of period	7,809	6,660	2,419	11,906	7,256	2,364	745	N/A	N/A	N/A

JNL/Franklin Templeton Founding Strategy Division
Accumulation unit value:
Beginning of period	$8.67	$7.99	$6.24	$9.93	N/A	N/A	N/A	N/A	N/A	N/A
End of period	$8.41	$8.67	$7.99	$6.24	N/A	N/A	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	10,137	13,923	9,592	8,592	N/A	N/A	N/A	N/A	N/A	N/A

JNL/Franklin Templeton Global Growth Division
Accumulation unit value:
Beginning of period	$7.84	$7.45	$5.79	$9.91	N/A	N/A	N/A	N/A	N/A	N/A
End of period	$7.24	$7.84	$7.45	$5.79	N/A	N/A	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	5,339	9,597	2,256	10,247	N/A	N/A	N/A	N/A	N/A	N/A

Investment Divisions	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,
	2011	2010	2009	2008	2007	2006	2005	2004	2003	2002
JNL/Franklin Templeton Global Multisector Bond Division
Accumulation unit value:
Beginning of period	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
End of period	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A

JNL/Franklin Templeton Income Division
Accumulation unit value:
Beginning of period	$10.88	$9.83	$7.52	$10.88	$10.86	N/A	N/A	N/A	N/A	N/A
End of period	$10.98	$10.88	$9.83	$7.52	$10.88	N/A	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	51,658	41,027	38,190	18,929	15,617	N/A	N/A	N/A	N/A	N/A

JNL/Franklin Templeton International Small Cap Growth Division
Accumulation unit value:
Beginning of period	$7.95	$6.71	$4.47	$9.86	N/A	N/A	N/A	N/A	N/A	N/A
End of period	$6.70	$7.95	$6.71	$4.47	N/A	N/A	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	4,655	2,241	4,769	894	N/A	N/A	N/A	N/A	N/A	N/A

JNL/Franklin Templeton Mutual Shares Division
Accumulation unit value:
Beginning of period	$8.23	$7.51	$6.02	$9.86	N/A	N/A	N/A	N/A	N/A	N/A
End of period	$8.05	$8.23	$7.51	$6.02	N/A	N/A	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	38,973	77,677	59,416	46,578	N/A	N/A	N/A	N/A	N/A	N/A

JNL/Franklin Templeton Small Cap Value Division
Accumulation unit value:
Beginning of period	$12.06	$9.66	$7.35	$11.18	$12.11	$10.46	N/A	N/A	N/A	N/A
End of period	$11.54	$12.06	$9.66	$7.35	$11.18	$12.11	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	3,741	8,043	7,215	2,660	1,965	4,901	N/A	N/A	N/A	N/A

JNL/Goldman Sachs Core Plus Bond Division
Accumulation unit value:
Beginning of period	$16.76	$15.83	$14.10	$15.11	$14.36	$13.95	$13.82	$13.14	$11.76	$11.03
End of period	$17.52	$16.76	$15.83	$14.10	$15.11	$14.36	$13.95	$13.82	$13.14	$11.76
Accumulation units outstanding at the end of period	19,885	24,288	34,228	38,344	54,326	62,082	64,201	63,677	57,879	68,489

Investment Divisions	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,
	2011	2010	2009	2008	2007	2006	2005	2004	2003	2002
JNL/Goldman Sachs Emerging Markets Debt Division
Accumulation unit value:
Beginning of period	$13.31	$11.66	$9.64	N/A	N/A	N/A	N/A	N/A	N/A	N/A
End of period	$12.48	$13.31	$11.66	N/A	N/A	N/A	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	3,957	9,671	6,012	N/A	N/A	N/A	N/A	N/A	N/A	N/A

JNL/Goldman Sachs Mid Cap Value Division
Accumulation unit value:
Beginning of period	$11.85	$9.68	$7.42	$11.81	$11.68	$10.26	N/A	N/A	N/A	N/A
End of period	$10.89	$11.85	$9.68	$7.42	$11.81	$11.68	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	3,366	6,778	8,576	9,562	12,675	7,086	N/A	N/A	N/A	N/A

JNL/Goldman Sachs U.S. Equity Flex Division
Accumulation unit value:
Beginning of period	$8.60	$8.04	$6.55	$10.68	N/A	N/A	N/A	N/A	N/A	N/A
End of period	$7.56	$8.60	$8.04	$6.55	N/A	N/A	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	4,368	5,035	3,390	3,887	N/A	N/A	N/A	N/A	N/A	N/A

JNL/Invesco Global Real Estate Division
Accumulation unit value:
Beginning of period	$12.12	$10.52	$8.07	$12.76	$15.26	$11.38	N/A	N/A	N/A	N/A
End of period	$11.17	$12.12	$10.52	$8.07	$12.76	$15.26	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	6,518	11,902	7,696	11,949	10,163	7,686	N/A	N/A	N/A	N/A

JNL/Invesco International Growth Division
Accumulation unit value:
Beginning of period	$9.35	$8.46	$6.28	$10.81	$10.01	$8.30	$7.62	$6.66	$5.27	$6.75
End of period	$8.56	$9.35	$8.46	$6.28	$10.81	$10.01	$8.30	$7.62	$6.66	$5.27
Accumulation units outstanding at the end of period	25,630	28,906	34,287	79,919	102,287	106,096	122,113	155,297	202,147	196,610

JNL/Invesco Large Cap Growth Division
Accumulation unit value:
Beginning of period	$11.91	$10.31	$8.44	$13.76	$12.08	$11.39	$10.80	N/A	N/A	N/A
End of period	$10.93	$11.91	$10.31	$8.44	$13.76	$12.08	$11.39	N/A	N/A	N/A
Accumulation units outstanding at the end of period	7,086	7,356	15,272	35,164	26,296	461	456	N/A	N/A	N/A

Investment Divisions	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,
	2011	2010	2009	2008	2007	2006	2005	2004	2003	2002
JNL/Invesco Small Cap Growth Division
Accumulation unit value:
Beginning of period	$13.85	$11.16	$8.42	$14.20	$12.96	$11.51	$10.79	N/A	N/A	N/A
End of period	$13.44	$13.85	$11.16	$8.42	$14.20	$12.96	$11.51	N/A	N/A	N/A
Accumulation units outstanding at the end of period	816	3,540	1,367	1,583	2,499	2,350	3,295	N/A	N/A	N/A

JNL/Ivy Asset Strategy Division
Accumulation unit value:
Beginning of period	$11.20	$10.37	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
End of period	$10.19	$11.20	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	6,655	5,890	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A

JNL/JPMorgan International Value Division
Accumulation unit value:
Beginning of period	$9.83	$9.29	$7.25	$13.29	$12.06	$9.29	$7.97	$6.61	$4.82	$6.68
End of period	$8.42	$9.83	$9.29	$7.25	$13.29	$12.06	$9.29	$7.97	$6.61	$4.82
Accumulation units outstanding at the end of period	46,279	64,313	54,265	73,909	104,723	106,613	101,665	144,380	92,203	57,598

JNL/JPMorgan MidCap Growth Division
Accumulation unit value:
Beginning of period	$13.43	$10.87	$7.73	$14.15	$13.32	$12.09	$11.57	N/A	N/A	N/A
End of period	$12.43	$13.43	$10.87	$7.73	$14.15	$13.32	$12.09	N/A	N/A	N/A
Accumulation units outstanding at the end of period	12,090	13,584	16,310	18,749	22,685	1,147	1,172	N/A	N/A	N/A

JNL/JPMorgan U.S. Government & Quality Bond Division
Accumulation unit value:
Beginning of period	$12.48	$11.82	$11.59	$11.06	$10.57	$10.40	$10.33	N/A	N/A	N/A
End of period	$13.48	$12.48	$11.82	$11.59	$11.06	$10.57	$10.40	N/A	N/A	N/A
Accumulation units outstanding at the end of period	28,561	8,150	7,014	22,109	639	435	435	N/A	N/A	N/A

JNL/Lazard Emerging Markets Division
Accumulation unit value:
Beginning of period	$14.03	$11.70	$6.92	$14.09	$10.87	N/A	N/A	N/A	N/A	N/A
End of period	$11.35	$14.03	$11.70	$6.92	$14.09	N/A	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	16,507	32,196	32,392	18,416	16,343	N/A	N/A	N/A	N/A	N/A

Investment Divisions	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,
	2011	2010	2009	2008	2007	2006	2005	2004	2003	2002
JNL/Lazard Mid Cap Equity Division
Accumulation unit value:
Beginning of period	$21.42	$17.70	$12.88	$21.46	$22.40	$19.88	$18.57	$15.14	$11.94	$14.13
End of period	$19.88	$21.42	$17.70	$12.88	$21.46	$22.40	$19.88	$18.57	$15.14	$11.94
Accumulation units outstanding at the end of period	35,979	36,704	48,267	60,524	80,380	95,509	109,839	121,156	144,409	182,135

JNL/M&G Global Basics Division
Accumulation unit value:
Beginning of period	$14.68	$12.13	$8.39	N/A	N/A	N/A	N/A	N/A	N/A	N/A
End of period	$12.73	$14.68	$12.13	N/A	N/A	N/A	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	9,344	360	-	N/A	N/A	N/A	N/A	N/A	N/A	N/A

JNL/M&G Global Leaders Division
Accumulation unit value:
Beginning of period	$12.55	$11.26	$8.32	N/A	N/A	N/A	N/A	N/A	N/A	N/A
End of period	$10.92	$12.55	$11.26	N/A	N/A	N/A	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	22	22	22	N/A	N/A	N/A	N/A	N/A	N/A	N/A

JNL/Mellon Capital Management (MCM) 10 x 10 Division
Accumulation unit value:
Beginning of period	$8.63	$7.54	$6.15	$9.81	N/A	N/A	N/A	N/A	N/A	N/A
End of period	$8.32	$8.63	$7.54	$6.15	N/A	N/A	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	34,181	35,340	37,706	74,429	N/A	N/A	N/A	N/A	N/A	N/A

JNL/MCM 25 Division
Accumulation unit value:
Beginning of period	$11.59	$9.59	$6.37	$10.01	$10.47	N/A	N/A	N/A	N/A	N/A
End of period	$12.41	$11.59	$9.59	$6.37	$10.01	N/A	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	3,055	3,920	3,445	3,719	365	N/A	N/A	N/A	N/A	N/A

JNL/MCM Bond Index Division
Accumulation unit value:
Beginning of period	$12.13	$11.65	$11.20	$10.98	$10.49	$10.29	$10.27	N/A	N/A	N/A
End of period	$12.79	$12.13	$11.65	$11.20	$10.98	$10.49	$10.29	N/A	N/A	N/A
Accumulation units outstanding at the end of period	12,995	11,553	18,451	13,647	32,194	23,639	51,204	N/A	N/A	N/A

Investment Divisions	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,
	2011	2010	2009	2008	2007	2006	2005	2004	2003	2002
JNL/MCM Communications Sector Division
Accumulation unit value:
Beginning of period	$13.62	$11.30	$9.15	$15.41	$15.02	$11.22	$11.28	N/A	N/A	N/A
End of period	$12.97	$13.62	$11.30	$9.15	$15.41	$15.02	$11.22	N/A	N/A	N/A
Accumulation units outstanding at the end of period	558	558	2,486	4,232	4,248	2,014	454	N/A	N/A	N/A

JNL/MCM Consumer Brands Sector Division
Accumulation unit value:
Beginning of period	$11.67	$9.66	$7.38	$10.94	$12.06	$10.80	$11.25	$10.39	N/A	N/A
End of period	$12.23	$11.67	$9.66	$7.38	$10.94	$12.06	$10.80	$11.25	N/A	N/A
Accumulation units outstanding at the end of period	1,252	1,725	990	796	15	24	597	3,361	N/A	N/A

JNL/MCM Dow Dividend Division
Accumulation unit value:
Beginning of period	$6.12	$5.55	$4.70	$9.43	N/A	N/A	N/A	N/A	N/A	N/A
End of period	$6.37	$6.12	$5.55	$4.70	N/A	N/A	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	21,703	3,719	10,906	4,515	N/A	N/A	N/A	N/A	N/A	N/A

JNL/MCM Emerging Markets Index Division
Accumulation unit value:
Beginning of period	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
End of period	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A

JNL/MCM European 30 Division
Accumulation unit value:
Beginning of period	$11.98	$11.92	$8.59	N/A	N/A	N/A	N/A	N/A	N/A	N/A
End of period	$10.91	$11.98	$11.92	N/A	N/A	N/A	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	324	369	-	N/A	N/A	N/A	N/A	N/A	N/A	N/A

JNL/MCM Financial Sector Division
Accumulation unit value:
Beginning of period	$6.68	$5.98	$5.13	$10.56	$13.00	$11.13	$10.66	N/A	N/A	N/A
End of period	$5.72	$6.68	$5.98	$5.13	$10.56	$13.00	$11.13	N/A	N/A	N/A
Accumulation units outstanding at the end of period	7,653	7,594	9,886	9,590	5,737	3,400	3,269	N/A	N/A	N/A

Investment Divisions	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,
	2011	2010	2009	2008	2007	2006	2005	2004	2003	2002
JNL/MCM Global Alpha Division
Accumulation unit value:
Beginning of period	$10.26	$9.84	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
End of period	$10.38	$10.26	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	-	-	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A

JNL/MCM Healthcare Sector Division
Accumulation unit value:
Beginning of period	$11.26	$11.02	$9.26	$12.26	$11.59	$11.09	$10.48	$10.29	N/A	N/A
End of period	$12.28	$11.26	$11.02	$9.26	$12.26	$11.59	$11.09	$10.48	N/A	N/A
Accumulation units outstanding at the end of period	6,469	5,767	6,859	6,843	9,191	8,333	8,864	2,646	N/A	N/A

JNL/MCM Index 5 Division
Accumulation unit value:
Beginning of period	$9.57	$8.40	$6.82	$9.89	N/A	N/A	N/A	N/A	N/A	N/A
End of period	$9.21	$9.57	$8.40	$6.82	N/A	N/A	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	17,731	17,752	24,099	22,972	N/A	N/A	N/A	N/A	N/A	N/A

JNL/MCM International Index Division
Accumulation unit value:
Beginning of period	$13.11	$12.48	$9.82	$17.48	$16.10	$13.04	$11.70	N/A	N/A	N/A
End of period	$11.32	$13.11	$12.48	$9.82	$17.48	$16.10	$13.04	N/A	N/A	N/A
Accumulation units outstanding at the end of period	9,819	10,007	8,943	15,500	23,884	13,612	10,429	N/A	N/A	N/A

JNL/MCM JNL 5 Division
Accumulation unit value:
Beginning of period	$10.04	$8.72	$7.14	$12.63	$12.66	$10.83	N/A	N/A	N/A	N/A
End of period	$9.67	$10.04	$8.72	$7.14	$12.63	$12.66	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	94,804	111,913	149,301	188,667	260,947	338,656	N/A	N/A	N/A	N/A

JNL/MCM JNL Optimized 5 Division
Accumulation unit value:
Beginning of period	$9.62	$8.60	$6.35	$11.97	$10.72	N/A	N/A	N/A	N/A	N/A
End of period	$8.53	$9.62	$8.60	$6.35	$11.97	N/A	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	5,332	6,479	8,548	6,791	2,932	N/A	N/A	N/A	N/A	N/A

Investment Divisions	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,
	2011	2010	2009	2008	2007	2006	2005	2004	2003	2002
JNL/MCM Nasdaq 25 Division
Accumulation unit value:
Beginning of period	$9.03	$7.83	$5.94	$10.32	N/A	N/A	N/A	N/A	N/A	N/A
End of period	$9.05	$9.03	$7.83	$5.94	N/A	N/A	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	3,003	-	6,148	1,078	N/A	N/A	N/A	N/A	N/A	N/A

JNL/MCM NYSE International 25 Division
Accumulation unit value:
Beginning of period	$8.27	$8.22	$6.14	$11.55	N/A	N/A	N/A	N/A	N/A	N/A
End of period	$6.19	$8.27	$8.22	$6.14	N/A	N/A	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	219	-	7,932	1,076	N/A	N/A	N/A	N/A	N/A	N/A

JNL/MCM Oil & Gas Sector Division
Accumulation unit value:
Beginning of period	$24.83	$21.19	$17.94	$29.36	$22.06	$18.57	$13.80	$10.52	N/A	N/A
End of period	$25.22	$24.83	$21.19	$17.94	$29.36	$22.06	$18.57	$13.80	N/A	N/A
Accumulation units outstanding at the end of period	11,369	20,585	19,378	23,549	22,539	19,893	13,412	7,423	N/A	N/A

JNL/MCM Pacific Rim 30 Division
Accumulation unit value:
Beginning of period	$12.97	$11.68	$9.56	N/A	N/A	N/A	N/A	N/A	N/A	N/A
End of period	$12.52	$12.97	$11.68	N/A	N/A	N/A	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	330	376	3,952	N/A	N/A	N/A	N/A	N/A	N/A	N/A

JNL/MCM S&P 24 Division
Accumulation unit value:
Beginning of period	$8.71	$7.60	$6.50	N/A	N/A	N/A	N/A	N/A	N/A	N/A
End of period	$8.99	$8.71	$7.60	N/A	N/A	N/A	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	-	2,359	6,270	N/A	N/A	N/A	N/A	N/A	N/A	N/A

JNL/MCM S&P 400 MidCap Index Division
Accumulation unit value:
Beginning of period	$14.62	$11.81	$8.70	$14.17	$13.41	$12.43	$11.28	N/A	N/A	N/A
End of period	$14.08	$14.62	$11.81	$8.70	$14.17	$13.41	$12.43	N/A	N/A	N/A
Accumulation units outstanding at the end of period	2,717	4,519	6,239	7,013	17,141	17,192	12,553	N/A	N/A	N/A

Investment Divisions	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,
	2011	2010	2009	2008	2007	2006	2005	2004	2003	2002
JNL/MCM S&P 500 Index Division
Accumulation unit value:
Beginning of period	$11.19	$9.94	$8.02	$13.08	$12.68	$11.20	$10.91	N/A	N/A	N/A
End of period	$11.17	$11.19	$9.94	$8.02	$13.08	$12.68	$11.20	N/A	N/A	N/A
Accumulation units outstanding at the end of period	109,307	117,023	115,336	15,325	30,753	21,965	19,267	N/A	N/A	N/A

JNL/MCM S&P SMid 60 Division
Accumulation unit value:
Beginning of period	$11.44	$9.63	$6.06	$8.83	N/A	N/A	N/A	N/A	N/A	N/A
End of period	$10.39	$11.44	$9.63	$6.06	N/A	N/A	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	9,843	4,882	8,906	1,118	N/A	N/A	N/A	N/A	N/A	N/A

JNL/MCM Select Small-Cap Division
Accumulation unit value:
Beginning of period	$5.99	$5.29	$5.12	$8.69	$9.86	N/A	N/A	N/A	N/A	N/A
End of period	$5.97	$5.99	$5.29	$5.12	$8.69	N/A	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	17,558	1,679	7,553	5,228	2,779	N/A	N/A	N/A	N/A	N/A

JNL/MCM Small Cap Index Division
Accumulation unit value:
Beginning of period	$13.11	$10.55	$8.42	$13.16	$13.66	$11.82	$11.53	N/A	N/A	N/A
End of period	$12.34	$13.11	$10.55	$8.42	$13.16	$13.66	$11.82	N/A	N/A	N/A
Accumulation units outstanding at the end of period	41,072	48,768	59,795	5,785	10,744	11,284	8,054	N/A	N/A	N/A

JNL/MCM Technology Sector Division
Accumulation unit value:
Beginning of period	$12.73	$11.54	$7.16	$12.87	$11.42	$10.62	N/A	N/A	N/A	N/A
End of period	$12.48	$12.73	$11.54	$7.16	$12.87	$11.42	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	3,024	2,426	8,090	3,969	11,178	7,569	N/A	N/A	N/A	N/A

JNL/MCM Value Line 30 Division
Accumulation unit value:
Beginning of period	$6.99	$5.80	$5.14	$9.94	N/A	N/A	N/A	N/A	N/A	N/A
End of period	$5.29	$6.99	$5.80	$5.14	N/A	N/A	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	2,170	2,255	10,171	2,653	N/A	N/A	N/A	N/A	N/A	N/A

Investment Divisions	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,
	2011	2010	2009	2008	2007	2006	2005	2004	2003	2002
JNL/MCM VIP Division
Accumulation unit value:
Beginning of period	$10.26	$9.05	$7.42	$13.18	$12.10	$10.97	N/A	N/A	N/A	N/A
End of period	$9.72	$10.26	$9.05	$7.42	$13.18	$12.10	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	265	265	1,316	3,291	34,853	81,778	N/A	N/A	N/A	N/A

JNL/Oppenheimer Global Growth Division
Accumulation unit value:
Beginning of period	$13.66	$12.04	$8.78	$15.09	$14.43	$12.54	$11.21	$9.66	$6.99	$9.15
End of period	$12.33	$13.66	$12.04	$8.78	$15.09	$14.43	$12.54	$11.21	$9.66	$6.99
Accumulation units outstanding at the end of period	22,870	26,870	42,461	47,045	57,975	70,084	83,669	79,490	62,279	96,900

JNL/PAM Asia ex-Japan Division
Accumulation unit value:
Beginning of period	$10.87	$9.25	$5.55	N/A	N/A	N/A	N/A	N/A	N/A	N/A
End of period	$8.42	$10.87	$9.25	N/A	N/A	N/A	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	4,257	7,938	9,042	N/A	N/A	N/A	N/A	N/A	N/A	N/A

JNL/PAM China-India Division
Accumulation unit value:
Beginning of period	$11.19	$9.73	$5.43	N/A	N/A	N/A	N/A	N/A	N/A	N/A
End of period	$7.94	$11.19	$9.73	N/A	N/A	N/A	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	1,980	2,532	5,684	N/A	N/A	N/A	N/A	N/A	N/A	N/A

JNL/PIMCO Real Return Division
Accumulation unit value:
Beginning of period	$12.63	$11.92	$10.34	$10.92	N/A	N/A	N/A	N/A	N/A	N/A
End of period	$13.88	$12.63	$11.92	$10.34	N/A	N/A	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	23,945	27,429	22,332	30,742	N/A	N/A	N/A	N/A	N/A	N/A

JNL/PIMCO Total Return Bond Division
Accumulation unit value:
Beginning of period	$17.39	$16.44	$14.47	$14.66	$13.77	$13.52	$13.44	$13.08	$12.69	$11.85
End of period	$17.93	$17.39	$16.44	$14.47	$14.66	$13.77	$13.52	$13.44	$13.08	$12.69
Accumulation units outstanding at the end of period	107,310	126,348	115,219	135,440	157,121	167,097	191,221	230,163	271,187	334,558

Investment Divisions	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,
	2011	2010	2009	2008	2007	2006	2005	2004	2003	2002
JNL/PPM America Floating Rate Income Division
Accumulation unit value:
Beginning of period	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
End of period	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A

JNL/PPM America High Yield Bond Division
Accumulation unit value:
Beginning of period	$15.96	$14.03	$9.75	$14.31	$14.72	$13.54	$13.53	$12.71	$10.27	$9.87
End of period	$16.43	$15.96	$14.03	$9.75	$14.31	$14.72	$13.54	$13.53	$12.71	$10.27
Accumulation units outstanding at the end of period	30,457	38,488	42,249	43,909	57,817	76,937	105,109	133,224	161,067	134,914

JNL/PPM America Mid Cap Value Division
Accumulation unit value:
Beginning of period	$10.40	$8.16	$5.63	N/A	N/A	N/A	N/A	N/A	N/A	N/A
End of period	$9.47	$10.40	$8.16	N/A	N/A	N/A	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	896	4,266	846	N/A	N/A	N/A	N/A	N/A	N/A	N/A

JNL/PPM America Small Cap Value Division
Accumulation unit value:
Beginning of period	$10.33	$8.22	$6.24	N/A	N/A	N/A	N/A	N/A	N/A	N/A
End of period	$9.34	$10.33	$8.22	N/A	N/A	N/A	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	1,070	3,772	764	N/A	N/A	N/A	N/A	N/A	N/A	N/A

JNL/PPM America Value Equity Division
Accumulation unit value:
Beginning of period	$9.85	$8.53	$6.00	$11.55	$12.44	$11.19	$10.84	N/A	N/A	N/A
End of period	$9.18	$9.85	$8.53	$6.00	$11.55	$12.44	$11.19	N/A	N/A	N/A
Accumulation units outstanding at the end of period	2,361	3,678	4,332	4,774	6,499	2,448	4,611	N/A	N/A	N/A

JNL/Red Rocks Listed Private Equity Division
Accumulation unit value:
Beginning of period	$10.16	$8.17	$5.92	N/A	N/A	N/A	N/A	N/A	N/A	N/A
End of period	$8.19	$10.16	$8.17	N/A	N/A	N/A	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	3,433	4,269	5,088	N/A	N/A	N/A	N/A	N/A	N/A	N/A

Investment Divisions	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,
	2011	2010	2009	2008	2007	2006	2005	2004	2003	2002
JNL/S&P 4 Division
Accumulation unit value:
Beginning of period	$10.42	$9.31	$6.67	$9.91	N/A	N/A	N/A	N/A	N/A	N/A
End of period	$10.85	$10.42	$9.31	$6.67	N/A	N/A	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	3,556	3,827	2,412	1,780	N/A	N/A	N/A	N/A	N/A	N/A

JNL/S&P Competitive Advantage Division
Accumulation unit value:
Beginning of period	$10.82	$9.77	$6.88	$9.91	N/A	N/A	N/A	N/A	N/A	N/A
End of period	$11.76	$10.82	$9.77	$6.88	N/A	N/A	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	11,043	5,508	6,303	1,494	N/A	N/A	N/A	N/A	N/A	N/A

JNL/S&P Dividend Income & Growth Division
Accumulation unit value:
Beginning of period	$10.05	$8.64	$7.11	$9.76	N/A	N/A	N/A	N/A	N/A	N/A
End of period	$11.11	$10.05	$8.64	$7.11	N/A	N/A	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	12,238	5,963	8,258	8,998	N/A	N/A	N/A	N/A	N/A	N/A

JNL/S&P Intrinsic Value Division
Accumulation unit value:
Beginning of period	$10.87	$9.66	$6.25	$9.91	N/A	N/A	N/A	N/A	N/A	N/A
End of period	$11.39	$10.87	$9.66	$6.25	N/A	N/A	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	3,167	4,141	4,396	1,416	N/A	N/A	N/A	N/A	N/A	N/A

JNL/S&P Managed Aggressive Growth Division
Accumulation unit value:
Beginning of period	$12.83	$11.14	$8.64	$14.44	$13.45	$11.83	$11.09	N/A	N/A	N/A
End of period	$12.01	$12.83	$11.14	$8.64	$14.44	$13.45	$11.83	N/A	N/A	N/A
Accumulation units outstanding at the end of period	63,015	75,031	93,099	110,506	139,572	163,500	221,509	N/A	N/A	N/A

JNL/S&P Managed Conservative Division
Accumulation unit value:
Beginning of period	$11.60	$10.85	$9.71	$11.45	$10.95	$10.32	N/A	N/A	N/A	N/A
End of period	$11.77	$11.60	$10.85	$9.71	$11.45	$10.95	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	1,079	3,145	1,813	2,423	1,243	3,785	N/A	N/A	N/A	N/A

Investment Divisions	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,
	2011	2010	2009	2008	2007	2006	2005	2004	2003	2002
JNL/S&P Managed Growth Division
Accumulation unit value:
Beginning of period	$12.75	$11.17	$8.86	$13.94	$13.04	$11.61	$10.99	N/A	N/A	N/A
End of period	$12.15	$12.75	$11.17	$8.86	$13.94	$13.04	$11.61	N/A	N/A	N/A
Accumulation units outstanding at the end of period	199,898	220,348	253,850	312,382	435,154	564,312	670,711	N/A	N/A	N/A

JNL/S&P Managed Moderate Division
Accumulation unit value:
Beginning of period	$12.08	$11.03	$9.46	$12.21	$11.52	$10.61	N/A	N/A	N/A	N/A
End of period	$11.98	$12.08	$11.03	$9.46	$12.21	$11.52	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	29,111	30,787	72,992	100,666	4,873	3,633	N/A	N/A	N/A	N/A

JNL/S&P Managed Moderate Growth Division
Accumulation unit value:
Beginning of period	$12.92	$11.60	$9.56	$13.40	$12.54	$11.36	$10.86	N/A	N/A	N/A
End of period	$12.55	$12.92	$11.60	$9.56	$13.40	$12.54	$11.36	N/A	N/A	N/A
Accumulation units outstanding at the end of period	149,507	156,799	181,019	226,936	273,137	342,319	435,300	N/A	N/A	N/A

JNL/S&P Total Yield Division
Accumulation unit value:
Beginning of period	$9.69	$8.95	$6.37	$10.06	N/A	N/A	N/A	N/A	N/A	N/A
End of period	$9.02	$9.69	$8.95	$6.37	N/A	N/A	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	1,289	7,806	1,453	1,400	N/A	N/A	N/A	N/A	N/A	N/A

JNL/T.Rowe Price Established Growth Division
Accumulation unit value:
Beginning of period	$12.60	$10.97	$7.77	$13.82	$12.76	$11.41	$10.93	N/A	N/A	N/A
End of period	$12.24	$12.60	$10.97	$7.77	$13.82	$12.76	$11.41	N/A	N/A	N/A
Accumulation units outstanding at the end of period	80,111	91,756	101,030	121,006	158,509	174,922	183,485	N/A	N/A	N/A

JNL/T.Rowe Price Mid-Cap Growth Division
Accumulation unit value:
Beginning of period	$17.67	$14.05	$9.73	$16.66	$14.45	$13.75	$12.25	$10.55	$7.74	$10.08
End of period	$17.12	$17.67	$14.05	$9.73	$16.66	$14.45	$13.75	$12.25	$10.55	$7.74
Accumulation units outstanding at the end of period	79,399	90,977	100,016	125,292	159,754	199,057	205,859	255,774	261,758	244,846

Investment Divisions	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,	December 31,
	2011	2010	2009	2008	2007	2006	2005	2004	2003	2002
JNL/T.Rowe Price Short-Term Bond Division
Accumulation unit value:
Beginning of period	$10.42	$10.29	$9.72	$10.51	$10.20	N/A	N/A	N/A	N/A	N/A
End of period	$10.40	$10.42	$10.29	$9.72	$10.51	N/A	N/A	N/A	N/A	N/A
Accumulation units outstanding at the end of period	8,948	11,748	36,110	7,634	28,288	N/A	N/A	N/A	N/A	N/A

JNL/T.Rowe Price Value Division
Accumulation unit value:
Beginning of period	$12.42	$10.89	$8.08	$13.79	$13.91	$11.78	$11.28	N/A	N/A	N/A
End of period	$11.96	$12.42	$10.89	$8.08	$13.79	$13.91	$11.78	N/A	N/A	N/A
Accumulation units outstanding at the end of period	26,386	31,148	29,395	50,653	39,414	17,909	12,843	N/A	N/A	N/A

JNL/WMC Balanced Division
Accumulation unit value:
Beginning of period	$13.32	$12.22	$10.38	$13.31	$12.59	$11.26	$10.87	N/A	N/A	N/A
End of period	$13.53	$13.32	$12.22	$10.38	$13.31	$12.59	$11.26	N/A	N/A	N/A
Accumulation units outstanding at the end of period	61,215	72,511	92,796	117,977	156,425	191,385	201,052	N/A	N/A	N/A

JNL/WMC Money Market Division
Accumulation unit value:
Beginning of period	$10.71	$10.89	$11.05	$10.99	$10.67	$10.38	$10.27	$10.36	$10.49	$10.55
End of period	$10.53	$10.71	$10.89	$11.05	$10.99	$10.67	$10.38	$10.27	$10.36	$10.49
Accumulation units outstanding at the end of period	37,231	44,034	88,672	136,320	44,410	44,691	67,273	55,047	941,956	167,314

JNL/WMC Value Division
Accumulation unit value:
Beginning of period	$13.71	$12.26	$10.06	$15.34	$14.46	$12.16	$11.43	N/A	N/A	N/A
End of period	$13.21	$13.71	$12.26	$10.06	$15.34	$14.46	$12.16	N/A	N/A	N/A
Accumulation units outstanding at the end of period	3,974	8,196	6,820	6,836	8,608	8,379	1,885	N/A	N/A	N/A

Jackson National Separate Account V

Financial Statements

December 31, 2011

Jackson National Separate Account V

Statements of Assets and Liabilities

December 31, 2011

	JNL Disciplined Growth Portfolio		JNL Disciplined Moderate Portfolio		JNL Disciplined Moderate Growth Portfolio		JNL Institutional Alt 20 Portfolio		JNL Institutional Alt 35 Portfolio		JNL Institutional Alt 50 Portfolio		JNL Institutional Alt 65 Portfolio		JNL/American Funds Blue Chip Income and Growth Portfolio		JNL/American Funds Global Bond Portfolio		JNL/American Funds Global Small Capitalization Portfolio
Assets
Investments, at value (a)	$	40,701	$	70,393	$	244,231	$	240,582	$	68,116	$	12,320	$	75,424	$	1,445	$	58,497	$	15,597
Receivables:
Investment securities sold		2		3		11		10		3		1		3		-		2		1
Sub-account units sold		-		-		-		-		-		-		-		-		-		-
Total assets		40,703		70,396		244,242		240,592		68,119		12,321		75,427		1,445		58,499		15,598

Liabilities
Payables:
Investment securities purchased		-		-		-		-		-		-		-		-		-		-
Sub-account units redeemed		-		-		-		-		-		-		-		-		-		-
Insurance fees due to Jackson		2		3		11		10		3		1		3		-		2		1
Total liabilities		2		3		11		10		3		1		3		-		2		1
Net assets (Note 7)	$	40,701	$	70,393	$	244,231	$	240,582	$	68,116	$	12,320	$	75,424	$	1,445	$	58,497	$	15,597


(a) Investment shares		4,982		7,183		27,380		17,408		4,747		841		5,012		141		5,406		1,743
Investments at cost	$	49,611	$	70,475	$	230,084	$	224,091	$	59,410	$	12,880	$	76,592	$	1,467	$	58,472	$	16,348

See notes to the financial statements.

Page 1

Jackson National Separate Account V

Statements of Assets and Liabilities

December 31, 2011

	JNL/American Funds Growth-Income Portfolio		JNL/American Funds International Portfolio		JNL/American Funds New World Portfolio		JNL/BlackRock Commodity Securities Portfolio		JNL/BlackRock Global Allocation Portfolio		JNL/Brookfield Global Infrastructure Portfolio		JNL/Capital Guardian Global Balanced Portfolio		JNL/Capital Guardian Global Diversified Research Portfolio		JNL/Capital Guardian U.S. Growth Equity Portfolio		JNL/Eagle Core Equity Portfolio
Assets
Investments, at value (a)	$	26,203	$	69,119	$	42,563	$	269,071	$	238,802	$	-	$	216,666	$	1,077,834	$	2,056,099	$	1,606,776
Receivables:
Investment securities sold		1		3		2		11		11		-		9		46		87		543
Sub-account units sold		-		-		-		-		-		-		-		-		-		-
Total assets		26,204		69,122		42,565		269,082		238,813		-		216,675		1,077,880		2,056,186		1,607,319

Liabilities
Payables:
Investment securities purchased		-		-		-		-		-		-		-		-		-		-
Sub-account units redeemed		-		-		-		-		-		-		-		-		-		475
Insurance fees due to Jackson		1		3		2		11		11		-		9		46		87		68
Total liabilities		1		3		2		11		11		-		9		46		87		543
Net assets (Note 7)	$	26,203	$	69,119	$	42,563	$	269,071	$	238,802	$	-	$	216,666	$	1,077,834	$	2,056,099	$	1,606,776


(a) Investment shares		2,576		7,488		4,392		26,509		24,097		-		24,155		49,059		96,621		222,237
Investments at cost	$	25,144	$	78,007	$	48,090	$	271,026	$	248,233	$	-	$	225,596	$	1,253,261	$	1,996,094	$	2,057,777

See notes to the financial statements.

Page 2

Jackson National Separate Account V

Statements of Assets and Liabilities

December 31, 2011

	JNL/Eagle SmallCap Equity Portfolio		JNL/Franklin Templeton Founding Strategy Portfolio		JNL/Franklin Templeton Global Growth Portfolio		JNL/Franklin Templeton Global Multisector Bond Portfolio		JNL/Franklin Templeton Income Portfolio		JNL/Franklin Templeton Inter- national Small Cap Growth Portfolio		JNL/Franklin Templeton Mutual Shares Portfolio		JNL/Franklin Templeton Small Cap Value Portfolio		JNL/ Goldman Sachs Core Plus Bond Portfolio		JNL/Goldman Sachs Emerging Markets Debt Portfolio
Assets
Investments, at value (a)	$	833,591	$	199,413	$	66,974	$	-	$	711,865	$	167,384	$	379,007	$	176,457	$	1,537,817	$	82,738
Receivables:
Investment securities sold		35		9		3		-		32		7		17		7		686		4
Sub-account units sold		-		-		-		-		-		-		-		-		-		-
Total assets		833,626		199,422		66,977		-		711,897		167,391		379,024		176,464		1,538,503		82,742

Liabilities
Payables:
Investment securities purchased		-		-		-		-		-		-		-		-		-		-
Sub-account units redeemed		-		-		-		-		-		-		-		-		621		-
Insurance fees due to Jackson		35		9		3		-		32		7		17		7		65		4
Total liabilities		35		9		3		-		32		7		17		7		686		4
Net assets (Note 7)	$	833,591	$	199,413	$	66,974	$	-	$	711,865	$	167,384	$	379,007	$	176,457	$	1,537,817	$	82,738


(a) Investment shares		41,349		23,242		8,906		-		71,616		24,294		46,108		16,507		125,844		6,878
Investments at cost	$	858,148	$	206,623	$	69,292	$	-	$	668,689	$	185,572	$	375,920	$	155,420	$	1,489,024	$	88,702

See notes to the financial statements.

Page 3

Jackson National Separate Account V

Statements of Assets and Liabilities

December 31, 2011

	JNL/ Goldman Sachs Mid Cap Value Portfolio		JNL/Goldman Sachs U.S. Equity Flex Portfolio		JNL/Invesco Global Real Estate Portfolio		JNL/Invesco International Growth Portfolio		JNL/Invesco Large Cap Growth Portfolio		JNL/Invesco Small Cap Growth Portfolio		JNL/Ivy Asset Strategy Portfolio		JNL/JPMorgan International Value Portfolio		JNL/JPMorgan MidCap Growth Portfolio		JNL/JPMorgan U.S. Government & Quality Bond Portfolio
Assets
Investments, at value (a)	$	128,898	$	44,567	$	231,626	$	959,587	$	352,717	$	68,258	$	119,218	$	1,111,318	$	611,281	$	638,877
Receivables:
Investment securities sold		5		2		10		334		15		3		5		47		26		28
Sub-account units sold		-		-		-		-		-		-		-		54		-		-
Total assets		128,903		44,569		231,636		959,921		352,732		68,261		119,223		1,111,419		611,307		638,905

Liabilities
Payables:
Investment securities purchased		-		-		-		-		-		-		-		54		-		-
Sub-account units redeemed		-		-		-		294		-		-		-		-		-		-
Insurance fees due to Jackson		5		2		10		40		15		3		5		47		26		28
Total liabilities		5		2		10		334		15		3		5		101		26		28
Net assets (Note 7)	$	128,898	$	44,567	$	231,626	$	959,587	$	352,717	$	68,258	$	119,218	$	1,111,318	$	611,281	$	638,877


(a) Investment shares		13,483		6,097		29,887		100,375		30,070		5,439		11,290		175,011		32,446		45,962
Investments at cost	$	135,381	$	47,806	$	266,133	$	980,479	$	376,727	$	73,668	$	119,266	$	1,347,172	$	604,819	$	634,195

See notes to the financial statements.

Page 4

Jackson National Separate Account V

Statements of Assets and Liabilities

December 31, 2011

	JNL/Lazard Emerging Markets Portfolio		JNL/Lazard Mid Cap Equity Portfolio		JNL/M&G Global Basics Portfolio		JNL/M&G Global Leaders Portfolio		JNL/MCM 10 x 10 Portfolio		JNL/MCM 25 Portfolio		JNL/MCM Bond Index Portfolio		JNL/MCM Communications Sector Portfolio		JNL/MCM Consumer Brands Sector Portfolio		JNL/MCM Dow Dividend Portfolio
Assets
Investments, at value (a)	$	629,854	$	1,613,584	$	118,904	$	1,755	$	334,016	$	122,159	$	303,321	$	67,340	$	26,623	$	187,775
Receivables:
Investment securities sold		27		227		5		-		15		5		13		3		1		8
Sub-account units sold		-		-		-		-		-		-		-		-		-		-
Total assets		629,881		1,613,811		118,909		1,755		334,031		122,164		303,334		67,343		26,624		187,783

Liabilities
Payables:
Investment securities purchased		-		-		-		-		-		-		-		-		-		-
Sub-account units redeemed		-		158		-		-		-		-		-		-		-		-
Insurance fees due to Jackson		27		69		5		-		15		5		13		3		1		8
Total liabilities		27		227		5		-		15		5		13		3		1		8
Net assets (Note 7)	$	629,854	$	1,613,584	$	118,904	$	1,755	$	334,016	$	122,159	$	303,321	$	67,340	$	26,623	$	187,775


(a) Investment shares		64,075		148,581		9,042		168		42,121		9,213		25,047		20,656		2,528		27,493
Investments at cost	$	689,088	$	1,690,882	$	124,715	$	1,667	$	291,619	$	121,639	$	300,128	$	83,046	$	24,881	$	183,033

See notes to the financial statements.

Page 5

Jackson National Separate Account V

Statements of Assets and Liabilities

December 31, 2011

	JNL/MCM Emerging Markets Index Portfolio		JNL/MCM European 30 Portfolio		JNL/MCM Financial Sector Portfolio		JNL/MCM Global Alpha Portfolio		JNL/MCM Healthcare Sector Portfolio		JNL/MCM Index 5 Portfolio		JNL/MCM International Index Portfolio		JNL/MCM JNL 5 Portfolio		JNL/MCM JNL Optimized 5 Portfolio		JNL/MCM Nasdaq 25 Portfolio
Assets
Investments, at value (a)	$	-	$	7,939	$	58,169	$	-	$	188,400	$	163,622	$	281,158	$	2,710,710	$	94,560	$	28,204
Receivables:
Investment securities sold		-		-		3		-		51		7		12		115		4		1
Sub-account units sold		-		-		-		-		-		-		-		-		-		-
Total assets		-		7,939		58,172		-		188,451		163,629		281,170		2,710,825		94,564		28,205

Liabilities
Payables:
Investment securities purchased		-		-		-		-		-		-		-		-		-		-
Sub-account units redeemed		-		-		-		-		43		-		-		-		-		-
Insurance fees due to Jackson		-		-		3		-		8		7		12		115		4		1
Total liabilities		-		-		3		-		51		7		12		115		4		1
Net assets (Note 7)	$	-	$	7,939	$	58,169	$	-	$	188,400	$	163,622	$	281,158	$	2,710,710	$	94,560	$	28,204


(a) Investment shares		-		807		9,367		-		15,096		17,575		26,474		329,369		12,046		2,417
Investments at cost	$	-	$	8,913	$	63,434	$	-	$	172,695	$	151,930	$	360,593	$	3,319,051	$	122,465	$	28,353

See notes to the financial statements.

Page 6

Jackson National Separate Account V

Statements of Assets and Liabilities

December 31, 2011

	JNL/MCM NYSE International 25 Portfolio		JNL/MCM Oil & Gas Sector Portfolio		JNL/MCM Pacific Rim 30 Portfolio		JNL/MCM S&P 24 Portfolio		JNL/MCM S&P 400 MidCap Index Portfolio		JNL/MCM S&P 500 Index Portfolio		JNL/MCM S&P SMid 60 Portfolio		JNL/MCM Select Small-Cap Portfolio		JNL/MCM Small Cap Index Portfolio		JNL/MCM Technology Sector Portfolio
Assets
Investments, at value (a)	$	10,550	$	933,150	$	4,136	$	262	$	163,203	$	2,845,808	$	118,192	$	271,810	$	1,665,813	$	72,040
Receivables:
Investment securities sold		-		238		-		-		7		122		5		12		230		3
Sub-account units sold		-		-		-		-		-		-		-		-		-		-
Total assets		10,550		933,388		4,136		262		163,210		2,845,930		118,197		271,822		1,666,043		72,043

Liabilities
Payables:
Investment securities purchased		-		-		-		-		-		-		-		-		-		-
Sub-account units redeemed		-		198		-		-		-		-		-		-		159		-
Insurance fees due to Jackson		-		40		-		-		7		122		5		12		71		3
Total liabilities		-		238		-		-		7		122		5		12		230		3
Net assets (Note 7)	$	10,550	$	933,150	$	4,136	$	262	$	163,203	$	2,845,808	$	118,192	$	271,810	$	1,665,813	$	72,040


(a) Investment shares		1,936		34,019		348		25		12,750		271,547		11,902		24,443		144,101		10,248
Investments at cost	$	13,905	$	921,618	$	4,245	$	188	$	171,202	$	2,264,915	$	117,296	$	273,060	$	1,361,048	$	64,610

See notes to the financial statements.

Page 7

Jackson National Separate Account V

Statements of Assets and Liabilities

December 31, 2011

	JNL/MCM Value Line 30 Portfolio		JNL/MCM VIP Portfolio		JNL/ Oppenheimer Global Growth Portfolio		JNL/PAM Asia ex-Japan Portfolio		JNL/PAM China-India Portfolio		JNL/PIMCO Real Return Portfolio		JNL/PIMCO Total Return Bond Portfolio		JNL/PPM America Floating Rate Income Portfolio		JNL/ PPM America High Yield Bond Portfolio		JNL/ PPM America Mid Cap Value Portfolio
Assets
Investments, at value (a)	$	29,422	$	308,173	$	1,360,759	$	76,403	$	26,094	$	804,886	$	5,737,569	$	-	$	1,403,048	$	10,530
Receivables:
Investment securities sold		1		13		354		3		1		34		1,013		-		218		-
Sub-account units sold		-		-		-		-		-		-		-		-		-		-
Total assets		29,423		308,186		1,361,113		76,406		26,095		804,920		5,738,582		-		1,403,266		10,530

Liabilities
Payables:
Investment securities purchased		-		-		-		-		-		-		-		-		-		-
Sub-account units redeemed		-		-		297		-		-		-		769		-		158		-
Insurance fees due to Jackson		1		13		57		3		1		34		244		-		60		-
Total liabilities		1		13		354		3		1		34		1,013		-		218		-
Net assets (Note 7)	$	29,422	$	308,173	$	1,360,759	$	76,403	$	26,094	$	804,886	$	5,737,569	$	-	$	1,403,048	$	10,530


(a) Investment shares		2,907		46,552		142,488		10,837		4,334		62,735		456,813		-		215,522		1,077
Investments at cost	$	30,729	$	361,344	$	1,453,714	$	90,684	$	30,849	$	767,541	$	5,530,827	$	-	$	1,385,748	$	9,826

See notes to the financial statements.

Page 8

Jackson National Separate Account V

Statements of Assets and Liabilities

December 31, 2011

	JNL/ PPM America Small Cap Value Portfolio		JNL/ PPM America Value Equity Portfolio		JNL/ Red Rocks Listed Private Equity Portfolio		JNL/S&P 4 Portfolio		JNL/S&P Competitive Advantage Portfolio		JNL/S&P Dividend Income & Growth Portfolio		JNL/S&P Intrinsic Value Portfolio		JNL/ S&P Managed Aggressive Growth Portfolio		JNL/ S&P Managed Conservative Portfolio		JNL/ S&P Managed Growth Portfolio
Assets
Investments, at value (a)	$	90,733	$	29,766	$	45,916	$	129,861	$	180,350	$	259,605	$	44,472	$	2,951,656	$	582,346	$	6,914,118
Receivables:
Investment securities sold		4		1		2		5		8		11		2		124		24		294
Sub-account units sold		-		-		-		-		-		-		-		-		-		-
Total assets		90,737		29,767		45,918		129,866		180,358		259,616		44,474		2,951,780		582,370		6,914,412

Liabilities
Payables:
Investment securities purchased		-		-		-		-		-		-		-		-		-		-
Sub-account units redeemed		-		-		-		-		-		-		-		-		-		-
Insurance fees due to Jackson		4		1		2		5		8		11		2		124		24		294
Total liabilities		4		1		2		5		8		11		2		124		24		294
Net assets (Note 7)	$	90,733	$	29,766	$	45,916	$	129,861	$	180,350	$	259,605	$	44,472	$	2,951,656	$	582,346	$	6,914,118


(a) Investment shares		10,789		2,620		6,333		11,892		16,470		24,262		4,492		256,443		53,134		646,179
Investments at cost	$	97,887	$	29,530	$	56,551	$	107,678	$	179,634	$	221,911	$	46,988	$	2,802,709	$	573,595	$	7,145,783

See notes to the financial statements.

Page 9

Jackson National Separate Account V

Statements of Assets and Liabilities

December 31, 2011

	JNL/ S&P Managed Moderate Portfolio		JNL/ S&P Managed Moderate Growth Portfolio		JNL/S&P Total Yield Portfolio		JNL/T. Rowe Price Established Growth Portfolio		JNL/T. Rowe Price Mid-Cap Growth Portfolio		JNL/T. Rowe Price Short-Term Bond Portfolio		JNL/T. Rowe Price Value Portfolio		JNL/WMC Balanced Portfolio		JNL/WMC Money Market Portfolio		JNL/WMC Value Portfolio
Assets
Investments, at value (a)	$	719,855	$	6,780,883	$	17,461	$	3,195,758	$	3,941,944	$	260,786	$	1,160,739	$	2,889,353	$	1,111,284	$	403,466
Receivables:
Investment securities sold		31		1,383		1		291		168		11		49		124		47		17
Sub-account units sold		-		-		-		-		-		-		-		-		-		-
Total assets		719,886		6,782,266		17,462		3,196,049		3,942,112		260,797		1,160,788		2,889,477		1,111,331		403,483

Liabilities
Payables:
Investment securities purchased		-		-		-		-		-		-		-		-		-		-
Sub-account units redeemed		-		1,097		-		156		-		-		-		2		-		-
Insurance fees due to Jackson		31		286		1		135		168		11		49		122		47		17
Total liabilities		31		1,383		1		291		168		11		49		124		47		17
Net assets (Note 7)	$	719,855	$	6,780,883	$	17,461	$	3,195,758	$	3,941,944	$	260,786	$	1,160,739	$	2,889,353	$	1,111,284	$	403,466


(a) Investment shares		64,388		601,676		2,016		152,397		146,759		26,315		110,863		171,883		1,111,284		23,973
Investments at cost	$	654,088	$	6,842,806	$	19,853	$	2,838,898	$	3,882,658	$	260,427	$	1,283,754	$	2,773,434	$	1,111,284	$	430,184

See notes to the financial statements.

Page 10

Jackson National Separate Account V

Statements of Operations

For the Year Ended December 31, 2011

	JNL Disciplined Growth Portfolio			JNL Disciplined Moderate Portfolio			JNL Disciplined Moderate Growth Portfolio			JNL Institutional Alt 20 Portfolio			JNL Institutional Alt 35 Portfolio			JNL Institutional Alt 50 Portfolio			JNL Institutional Alt 65 Portfolio			JNL/American Funds Blue Chip Income and Growth Portfolio			JNL/American Funds Global Bond Portfolio			JNL/American Funds Global Small Capitalization Portfolio
Investment income
Dividends	$	411		$	859		$	2,498		$	2,114		$	528		$	88		$	534		$	7		$	411		$	91

Expenses
Insurance Charges (Note 3)		666			1,269			4,097			6,848			1,155			220			1,251			15			946			411
Total expenses		666			1,269			4,097			6,848			1,155			220			1,251			15			946			411
Net investment income (loss)		(255	)		(410	)		(1,599	)		(4,734	)		(627	)		(132	)		(717	)		(8	)		(535	)		(320	)

Realized and unrealized gain (loss)
Net realized gain (loss) on:
Distributions from investment companies		-			-			-			199			74			15			205			-			26			15
Investments		(710	)		311			1,848			11,196			2,481			287			786			(59	)		1,588			703
Net change in unrealized appreciation
(depreciation) on investments		(852	)		(1,286	)		(6,095	)		(40,598	)		(5,989	)		(874	)		(8,351	)		(22	)		(80	)		(5,104	)
Net realized and unrealized gain (loss)		(1,562	)		(975	)		(4,247	)		(29,203	)		(3,434	)		(572	)		(7,360	)		(81	)		1,534			(4,386	)

Net increase (decrease) in net assets
from operations	$	(1,817	)	$	(1,385	)	$	(5,846	)	$	(33,937	)	$	(4,061	)	$	(704	)	$	(8,077	)	$	(89	)	$	999		$	(4,706	)

See notes to the financial statements.

Page 11

Jackson National Separate Account V

Statements of Operations

For the Year Ended December 31, 2011

	JNL/American Funds Growth-Income Portfolio			JNL/American Funds International Portfolio			JNL/American Funds New World Portfolio			JNL/BlackRock Commodity Securities Portfolio			JNL/BlackRock Global Allocation Portfolio			JNL/Brookfield Global Infrastructure Portfolio(a)		JNL/Capital Guardian Global Balanced Portfolio			JNL/Capital Guardian Global Diversified Research Portfolio			JNL/Capital Guardian U.S. Growth Equity Portfolio			JNL/Eagle Core Equity Portfolio
Investment income
Dividends	$	161		$	502		$	230		$	2,162		$	1,079		$	-	$	2,377		$	10,687		$	6,803		$	8,624

Expenses
Insurance Charges (Note 3)		462			1,096			862			5,000			4,134			-		3,916			18,805			33,051			27,165
Total expenses		462			1,096			862			5,000			4,134			-		3,916			18,805			33,051			27,165
Net investment income (loss)		(301	)		(594	)		(632	)		(2,838	)		(3,055	)		-		(1,539	)		(8,118	)		(26,248	)		(18,541	)

Realized and unrealized gain (loss)
Net realized gain (loss) on:
Distributions from investment companies		-			51			-			-			2			-		-			-			-			-
Investments		654			(1,945	)		(4,016	)		26,912			190			-		2,620			(32,696	)		17,694			(66,160	)
Net change in unrealized appreciation
(depreciation) on investments		(1,429	)		(9,112	)		(6,752	)		(59,758	)		(10,765	)		-		(14,333	)		(29,373	)		(7,218	)		50,893
Net realized and unrealized gain (loss)		(775	)		(11,006	)		(10,768	)		(32,846	)		(10,573	)		-		(11,713	)		(62,069	)		10,476			(15,267	)

Net increase (decrease) in net assets
from operations	$	(1,076	)	$	(11,600	)	$	(11,400	)	$	(35,684	)	$	(13,628	)	$	-	$	(13,252	)	$	(70,187	)	$	(15,772	)	$	(33,808	)

(a) Commencement of operations December 12, 2011.

See notes to the financial statements.

Page 12

Jackson National Separate Account V

Statements of Operations

For the Year Ended December 31, 2011

	JNL/Eagle SmallCap Equity Portfolio			JNL/Franklin Templeton Founding Strategy Portfolio			JNL/Franklin Templeton Global Growth Portfolio			JNL/Franklin Templeton Global Multisector Bond Portfolio(a)		JNL/Franklin Templeton Income Portfolio			JNL/Franklin Templeton Inter- national Small Cap Growth Portfolio			JNL/Franklin Templeton Mutual Shares Portfolio			JNL/Franklin Templeton Small Cap Value Portfolio			JNL/ Goldman Sachs Core Plus Bond Portfolio			JNL/Goldman Sachs Emerging Markets Debt Portfolio
Investment income
Dividends	$	-		$	3,096		$	469		$	-	$	27,853		$	2,691		$	7,349		$	463		$	29,709		$	5,430

Expenses
Insurance Charges (Note 3)		7,628			3,579			3,468			-		9,989			2,119			10,024			4,436			25,775			2,101
Total expenses		7,628			3,579			3,468			-		9,989			2,119			10,024			4,436			25,775			2,101
Net investment income (loss)		(7,628	)		(483	)		(2,999	)		-		17,864			572			(2,675	)		(3,973	)		3,934			3,329

Realized and unrealized gain (loss)
Net realized gain (loss) on:
Distributions from investment companies		46,755			-			-			-		-			-			-			-			53,421			2,656
Investments		129,953			3,049			(8,116	)		-		20,946			(17	)		(7,310	)		35,968			43,017			10,703
Net change in unrealized appreciation
(depreciation) on investments		(102,228	)		(5,201	)		(9,385	)		-		(22,335	)		(25,914	)		(20,643	)		(71,554	)		(25,052	)		(25,085	)
Net realized and unrealized gain (loss)		74,480			(2,152	)		(17,501	)		-		(1,389	)		(25,931	)		(27,953	)		(35,586	)		71,386			(11,726	)

Net increase (decrease) in net assets
from operations	$	66,852		$	(2,635	)	$	(20,500	)	$	-	$	16,475		$	(25,359	)	$	(30,628	)	$	(39,559	)	$	75,320		$	(8,397	)

(a) Commencement of operations December 12, 2011.

See notes to the financial statements.

Page 13

Jackson National Separate Account V

Statements of Operations

For the Year Ended December 31, 2011

	JNL/ Goldman Sachs Mid Cap Value Portfolio			JNL/Goldman Sachs U.S. Equity Flex Portfolio			JNL/Invesco Global Real Estate Portfolio			JNL/Invesco International Growth Portfolio			JNL/Invesco Large Cap Growth Portfolio			JNL/Invesco Small Cap Growth Portfolio			JNL/Ivy Asset Strategy Portfolio			JNL/JPMorgan International Value Portfolio			JNL/JPMorgan MidCap Growth Portfolio			JNL/JPMorgan U.S. Government & Quality Bond Portfolio
Investment income
Dividends	$	791		$	57		$	6,422		$	7,051		$	576		$	-		$	159		$	38,293		$	-		$	14,759

Expenses
Insurance Charges (Note 3)		2,556			774			3,858			17,007			5,767			2,148			2,076			22,226			11,257			7,011
Total expenses		2,556			774			3,858			17,007			5,767			2,148			2,076			22,226			11,257			7,011
Net investment income (loss)		(1,765	)		(717	)		2,564			(9,956	)		(5,191	)		(2,148	)		(1,917	)		16,067			(11,257	)		7,748

Realized and unrealized gain (loss)
Net realized gain (loss) on:
Distributions from investment companies		3,693			-			-			-			-			255			-			-			-			-
Investments		4,917			485			(5,634	)		18,053			(14,719	)		21,930			959			(76,958	)		42,909			7,178
Net change in unrealized appreciation
(depreciation) on investments		(17,628	)		(5,616	)		(12,209	)		(114,168	)		(31,982	)		(28,151	)		(12,128	)		(138,064	)		(66,134	)		11,472
Net realized and unrealized gain (loss)		(9,018	)		(5,131	)		(17,843	)		(96,115	)		(46,701	)		(5,966	)		(11,169	)		(215,022	)		(23,225	)		18,650

Net increase (decrease) in net assets
from operations	$	(10,783	)	$	(5,848	)	$	(15,279	)	$	(106,071	)	$	(51,892	)	$	(8,114	)	$	(13,086	)	$	(198,955	)	$	(34,482	)	$	26,398

See notes to the financial statements.

Page 14

Jackson National Separate Account V

Statements of Operations

For the Year Ended December 31, 2011

	JNL/Lazard Emerging Markets Portfolio			JNL/Lazard Mid Cap Equity Portfolio			JNL/M&G Global Basics Portfolio			JNL/M&G Global Leaders Portfolio			JNL/MCM 10 x 10 Portfolio			JNL/MCM 25 Portfolio			JNL/MCM Bond Index Portfolio			JNL/MCM Communications Sector Portfolio			JNL/MCM Consumer Brands Sector Portfolio			JNL/MCM Dow Dividend Portfolio
Investment income
Dividends	$	7,661		$	10,950		$	231		$	124		$	4,921		$	1,952		$	9,002		$	1,951		$	61		$	1,168

Expenses
Insurance Charges (Note 3)		14,122			28,646			653			280			5,833			1,339			4,768			1,399			288			823
Total expenses		14,122			28,646			653			280			5,833			1,339			4,768			1,399			288			823
Net investment income (loss)		(6,461	)		(17,696	)		(422	)		(156	)		(912	)		613			4,234			552			(227	)		345

Realized and unrealized gain (loss)
Net realized gain (loss) on:
Distributions from investment companies		-			-			227			1,099			-			-			3,036			-			-			-
Investments		21,194			6,325			(81	)		1,461			4,204			13,908			12,070			(10,551	)		2,802			231
Net change in unrealized appreciation
(depreciation) on investments		(213,388	)		(110,333	)		(7,374	)		(4,899	)		(18,229	)		(12,191	)		(6,857	)		7,562			(1,993	)		2,274
Net realized and unrealized gain (loss)		(192,194	)		(104,008	)		(7,228	)		(2,339	)		(14,025	)		1,717			8,249			(2,989	)		809			2,505

Net increase (decrease) in net assets
from operations	$	(198,655	)	$	(121,704	)	$	(7,650	)	$	(2,495	)	$	(14,937	)	$	2,330		$	12,483		$	(2,437	)	$	582		$	2,850

See notes to the financial statements.

Page 15

Jackson National Separate Account V

Statements of Operations

For the Year Ended December 31, 2011

	JNL/MCM Emerging Markets Index Portfolio(a)		JNL/MCM European 30 Portfolio			JNL/MCM Financial Sector Portfolio			JNL/MCM Global Alpha Portfolio		JNL/MCM Healthcare Sector Portfolio			JNL/MCM Index 5 Portfolio			JNL/MCM International Index Portfolio			JNL/MCM JNL 5 Portfolio			JNL/MCM JNL Optimized 5 Portfolio			JNL/MCM Nasdaq 25 Portfolio
Investment income
Dividends	$	-	$	174		$	499		$	-	$	1,548		$	1,596		$	8,286		$	92,786		$	1,994		$	19

Expenses
Insurance Charges (Note 3)		-		155			1,051			-		3,208			2,787			5,537			47,720			1,729			15
Total expenses		-		155			1,051			-		3,208			2,787			5,537			47,720			1,729			15
Net investment income (loss)		-		19			(552	)		-		(1,660	)		(1,191	)		2,749			45,066			265			4

Realized and unrealized gain (loss)
Net realized gain (loss) on:
Distributions from investment companies		-		425			-			-		-			322			-			-			-			-
Investments		-		523			(2,650	)		-		3,767			316			(10,193	)		(156,314	)		(4,890	)		(49	)
Net change in unrealized appreciation
(depreciation) on investments		-		(1,579	)		(8,175	)		-		14,206			(5,702	)		(33,580	)		(9,016	)		(6,994	)		(149	)
Net realized and unrealized gain (loss)		-		(631	)		(10,825	)		-		17,973			(5,064	)		(43,773	)		(165,330	)		(11,884	)		(198	)

Net increase (decrease) in net assets
from operations	$	-	$	(612	)	$	(11,377	)	$	-	$	16,313		$	(6,255	)	$	(41,024	)	$	(120,264	)	$	(11,619	)	$	(194	)

(a) Commencement of operations August 29, 2011.

See notes to the financial statements.

Page 16

Jackson National Separate Account V

Statements of Operations

For the Year Ended December 31, 2011

	JNL/MCM NYSE International 25 Portfolio			JNL/MCM Oil & Gas Sector Portfolio			JNL/MCM Pacific Rim 30 Portfolio			JNL/MCM S&P 24 Portfolio			JNL/MCM S&P 400 MidCap Index Portfolio			JNL/MCM S&P 500 Index Portfolio			JNL/MCM S&P SMid 60 Portfolio			JNL/MCM Select Small-Cap Portfolio			JNL/MCM Small Cap Index Portfolio			JNL/MCM Technology Sector Portfolio
Investment income
Dividends	$	472		$	7,811		$	59		$	1		$	1,093		$	50,035		$	149		$	1,363		$	13,510		$	147

Expenses
Insurance Charges (Note 3)		380			18,330			103			213			3,433			48,895			1,100			1,668			30,020			1,332
Total expenses		380			18,330			103			213			3,433			48,895			1,100			1,668			30,020			1,332
Net investment income (loss)		92			(10,519	)		(44	)		(212	)		(2,340	)		1,140			(951	)		(305	)		(16,510	)		(1,185	)

Realized and unrealized gain (loss)
Net realized gain (loss) on:
Distributions from investment companies		-			-			140			-			7,796			19,990			859			-			55,535			1,654
Investments		(2,137	)		(1,372	)		806			3,672			30,331			215,464			(13,048	)		2,690			244,918			11,093
Net change in unrealized appreciation
(depreciation) on investments		(4,892	)		7,785			(1,548	)		(5,145	)		(38,172	)		(225,014	)		(6,904	)		(9,326	)		(394,136	)		(11,600	)
Net realized and unrealized gain (loss)		(7,029	)		6,413			(602	)		(1,473	)		(45	)		10,440			(19,093	)		(6,636	)		(93,683	)		1,147

Net increase (decrease) in net assets
from operations	$	(6,937	)	$	(4,106	)	$	(646	)	$	(1,685	)	$	(2,385	)	$	11,580		$	(20,044	)	$	(6,941	)	$	(110,193	)	$	(38	)

See notes to the financial statements.

Page 17

Jackson National Separate Account V

Statements of Operations

For the Year Ended December 31, 2011

	JNL/MCM Value Line 30 Portfolio			JNL/MCM VIP Portfolio			JNL/ Oppenheimer Global Growth Portfolio			JNL/PAM Asia ex-Japan Portfolio			JNL/PAM China-India Portfolio			JNL/PIMCO Real Return Portfolio			JNL/PIMCO Total Return Bond Portfolio			JNL/PPM America Floating Rate Income Portfolio			JNL/ PPM America High Yield Bond Portfolio			JNL/ PPM America Mid Cap Value Portfolio
Investment income
Dividends	$	-		$	4,408		$	8,607		$	387		$	105		$	6,336		$	163,799		$	-		$	95,283		$	26

Expenses
Insurance Charges (Note 3)		887			6,518			24,317			2,289			1,398			11,516			94,560			4			25,406			1,069
Total expenses		887			6,518			24,317			2,289			1,398			11,516			94,560			4			25,406			1,069
Net investment income (loss)		(887	)		(2,110	)		(15,710	)		(1,902	)		(1,293	)		(5,180	)		69,239			(4	)		69,877			(1,043	)

Realized and unrealized gain (loss)
Net realized gain (loss) on:
Distributions from investment companies		-			-			-			6,033			1,705			31,902			6,948			-			-			224
Investments		(3,482	)		(23,532	)		23,042			13,362			(1,511	)		24,499			115,201			(9	)		64,021			4,399
Net change in unrealized appreciation
(depreciation) on investments		(5,216	)		1,866			(138,718	)		(53,607	)		(14,244	)		16,094			(3,515	)		-			(82,925	)		(6,844	)
Net realized and unrealized gain (loss)		(8,698	)		(21,666	)		(115,676	)		(34,212	)		(14,050	)		72,495			118,634			(9	)		(18,904	)		(2,221	)

Net increase (decrease) in net assets
from operations	$	(9,585	)	$	(23,776	)	$	(131,386	)	$	(36,114	)	$	(15,343	)	$	67,315		$	187,873		$	(13	)	$	50,973		$	(3,264	)

See notes to the financial statements.

Page 18

Jackson National Separate Account V

Statements of Operations

For the Year Ended December 31, 2011

	JNL/ PPM America Small Cap Value Portfolio			JNL/ PPM America Value Equity Portfolio			JNL/ Red Rocks Listed Private Equity Portfolio			JNL/S&P 4 Portfolio			JNL/S&P Competitive Advantage Portfolio			JNL/S&P Dividend Income & Growth Portfolio		JNL/S&P Intrinsic Value Portfolio			JNL/ S&P Managed Aggressive Growth Portfolio			JNL/ S&P Managed Conservative Portfolio			JNL/ S&P Managed Growth Portfolio
Investment income
Dividends	$	197		$	604		$	4,594		$	5,982		$	563		$	2,865	$	348		$	19,525		$	12,011		$	48,496

Expenses
Insurance Charges (Note 3)		2,137			1,112			1,105			2,166			1,140			2,124		847			55,439			9,087			131,314
Total expenses		2,137			1,112			1,105			2,166			1,140			2,124		847			55,439			9,087			131,314
Net investment income (loss)		(1,940	)		(508	)		3,489			3,816			(577	)		741		(499	)		(35,914	)		2,924			(82,818	)

Realized and unrealized gain (loss)
Net realized gain (loss) on:
Distributions from investment companies		8,044			-			1,059			553			4,975			2,899		2,748			-			7,652			33,947
Investments		(5,918	)		9,239			2,685			20,908			12,648			2,710		4,138			88,392			3,129			38,405
Net change in unrealized appreciation
(depreciation) on investments		(15,770	)		(11,855	)		(21,085	)		(18,159	)		(15,649	)		19,247		(5,858	)		(266,909	)		(4,350	)		(367,209	)
Net realized and unrealized gain (loss)		(13,644	)		(2,616	)		(17,341	)		3,302			1,974			24,856		1,028			(178,517	)		6,431			(294,857	)

Net increase (decrease) in net assets
from operations	$	(15,584	)	$	(3,124	)	$	(13,852	)	$	7,118		$	1,397		$	25,597	$	529		$	(214,431	)	$	9,355		$	(377,675	)

See notes to the financial statements.

Page 19

Jackson National Separate Account V

Statements of Operations

For the Year Ended December 31, 2011

	JNL/ S&P Managed Moderate Portfolio			JNL/ S&P Managed Moderate Growth Portfolio			JNL/S&P Total Yield Portfolio			JNL/T. Rowe Price Established Growth Portfolio			JNL/T. Rowe Price Mid-Cap Growth Portfolio			JNL/T. Rowe Price Short-Term Bond Portfolio			JNL/T. Rowe Price Value Portfolio			JNL/WMC Balanced Portfolio			JNL/WMC Money Market Portfolio			JNL/WMC Value Portfolio
Investment income
Dividends	$	12,893		$	104,380		$	190		$	-		$	617		$	2,790		$	16,149		$	30,237		$	39		$	4,148

Expenses
Insurance Charges (Note 3)		12,610			105,626			963			55,385			69,927			5,081			20,887			46,866			18,120			7,269
Total expenses		12,610			105,626			963			55,385			69,927			5,081			20,887			46,866			18,120			7,269
Net investment income (loss)		283			(1,246	)		(773	)		(55,385	)		(69,310	)		(2,291	)		(4,738	)		(16,629	)		(18,081	)		(3,121	)

Realized and unrealized gain (loss)
Net realized gain (loss) on:
Distributions from investment companies		6,242			117,185			876			-			330,689			-			-			-			9			-
Investments		17,128			27,504			(10,179	)		150,324			389,335			3,145			(51,119	)		21,445			-			(4,430	)
Net change in unrealized appreciation
(depreciation) on investments		(31,014	)		(327,782	)		(1,019	)		(179,939	)		(732,622	)		(713	)		(6,829	)		43,886			-			(6,265	)
Net realized and unrealized gain (loss)		(7,644	)		(183,093	)		(10,322	)		(29,615	)		(12,598	)		2,432			(57,948	)		65,331			9			(10,695	)

Net increase (decrease) in net assets
from operations	$	(7,361	)	$	(184,339	)	$	(11,095	)	$	(85,000	)	$	(81,908	)	$	141		$	(62,686	)	$	48,702		$	(18,072	)	$	(13,816	)

See notes to the financial statements.

Page 20

Jackson National Separate Account V

Statements of Changes in Net Assets

For the Year Ended December 31, 2011

	JNL Disciplined Growth Portfolio			JNL Disciplined Moderate Portfolio			JNL Disciplined Moderate Growth Portfolio			JNL Institutional Alt 20 Portfolio			JNL Institutional Alt 35 Portfolio			JNL Institutional Alt 50 Portfolio			JNL Institutional Alt 65 Portfolio			JNL/American Funds Blue Chip Income and Growth Portfolio			JNL/American Funds Global Bond Portfolio			JNL/American Funds Global Small Capitalization Portfolio
Operations
Net investment income (loss)	$	(255	)	$	(410	)	$	(1,599	)	$	(4,734	)	$	(627	)	$	(132	)	$	(717	)	$	(8	)	$	(535	)	$	(320	)
Net realized gain (loss) on investments		(710	)		311			1,848			11,395			2,555			302			991			(59	)		1,614			718
Net change in unrealized appreciation
(depreciation) on investments		(852	)		(1,286	)		(6,095	)		(40,598	)		(5,989	)		(874	)		(8,351	)		(22	)		(80	)		(5,104	)
Net increase (decrease) in net assets
from operations		(1,817	)		(1,385	)		(5,846	)		(33,937	)		(4,061	)		(704	)		(8,077	)		(89	)		999			(4,706	)

Contract transactions 1
Purchase payments (Note 4)		187			-			-			42			-			-			-			-			-			-
Surrenders and terminations		(4,386	)		(18,699	)		(2,208	)		(213,958	)		(7,850	)		(4,843	)		(29,798	)		(10	)		(2,164	)		(663	)
Transfers between portfolios		(153	)		11,809			(13,168	)		(50,868	)		334			5,498			56,586			1,544			10,413			(12,690	)
Net annuitization transactions		-			-			-			-			-			-			-			-			-			-
Policyholder charges (Note 3)		(24	)		(9	)		(35	)		(19	)		(83	)		(21	)		(38	)		-			(19	)		(2	)
Net increase (decrease) in net assets from
contract transactions		(4,376	)		(6,899	)		(15,411	)		(264,803	)		(7,599	)		634			26,750			1,534			8,230			(13,355	)

Net increase (decrease) in net assets		(6,193	)		(8,284	)		(21,257	)		(298,740	)		(11,660	)		(70	)		18,673			1,445			9,229			(18,061	)

Net assets beginning of period		46,894			78,677			265,488			539,322			79,776			12,390			56,751			-			49,268			33,658

Net assets end of period	$	40,701		$	70,393		$	244,231		$	240,582		$	68,116		$	12,320		$	75,424		$	1,445		$	58,497		$	15,597


1 Contract Unit Transactions
Units Outstanding at December 31, 2010		5,438			8,078			29,239			38,540			5,410			818			3,600			-			4,762			3,051

Units Issued		30			2,531			15			1,050			369			402			3,564			228			8,449			6,404
Units Redeemed		(521	)		(3,315	)		(1,670	)		(21,681	)		(904	)		(355	)		(2,019	)		(83	)		(7,707	)		(7,673	)

Units Outstanding at December 31, 2011		4,947			7,294			27,584			17,909			4,875			865			5,145			145			5,504			1,782

See notes to the financial statements.

Page 21

Jackson National Separate Account V

Statements of Changes in Net Assets

For the Year Ended December 31, 2011

	JNL/American Funds Growth-Income Portfolio			JNL/American Funds International Portfolio			JNL/American Funds New World Portfolio			JNL/BlackRock Commodity Securities Portfolio			JNL/BlackRock Global Allocation Portfolio			JNL/Brookfield Global Infrastructure Portfolio(a)		JNL/Capital Guardian Global Balanced Portfolio			JNL/Capital Guardian Global Diversified Research Portfolio			JNL/Capital Guardian U.S. Growth Equity Portfolio			JNL/Eagle Core Equity Portfolio
Operations
Net investment income (loss)	$	(301	)	$	(594	)	$	(632	)	$	(2,838	)	$	(3,055	)	$	-	$	(1,539	)	$	(8,118	)	$	(26,248	)	$	(18,541	)
Net realized gain (loss) on investments		654			(1,894	)		(4,016	)		26,912			192			-		2,620			(32,696	)		17,694			(66,160	)
Net change in unrealized appreciation
(depreciation) on investments		(1,429	)		(9,112	)		(6,752	)		(59,758	)		(10,765	)		-		(14,333	)		(29,373	)		(7,218	)		50,893
Net increase (decrease) in net assets
from operations		(1,076	)		(11,600	)		(11,400	)		(35,684	)		(13,628	)		-		(13,252	)		(70,187	)		(15,772	)		(33,808	)

Contract transactions 1
Purchase payments (Note 4)		-			-			-			120			-			-		95			2,377			7,322			650
Surrenders and terminations		(120	)		(769	)		(20,255	)		(36,698	)		(6,161	)		-		(8,296	)		(192,245	)		(276,475	)		(219,105	)
Transfers between portfolios		837			73,748			44,085			1,087			12,118			-		(50,333	)		64			72,489			(21,941	)
Net annuitization transactions		-			-			-			(788	)		-			-		-			-			-			-
Policyholder charges (Note 3)		(13	)		(7	)		(28	)		(235	)		(47	)		-		(150	)		(1,737	)		(3,406	)		(1,323	)
Net increase (decrease) in net assets from
contract transactions		704			72,972			23,802			(36,514	)		5,910			-		(58,684	)		(191,541	)		(200,070	)		(241,719	)

Net increase (decrease) in net assets		(372	)		61,372			12,402			(72,198	)		(7,718	)		-		(71,936	)		(261,728	)		(215,842	)		(275,527	)

Net assets beginning of period		26,575			7,747			30,161			341,269			246,520			-		288,602			1,339,562			2,271,941			1,882,303

Net assets end of period	$	26,203		$	69,119		$	42,563		$	269,071		$	238,802		$	-	$	216,666		$	1,077,834		$	2,056,099		$	1,606,776


1 Contract Unit Transactions
Units Outstanding at December 31, 2010		2,570			722			2,683			30,420			23,905			-		23,116			193,287			407,440			180,381

Units Issued		1,622			8,653			8,004			28,943			1,162			-		117			10,350			31,608			956
Units Redeemed		(1,557	)		(1,746	)		(6,203	)		(33,079	)		(592	)		-		(4,708	)		(37,983	)		(67,144	)		(23,599	)

Units Outstanding at December 31, 2011		2,635			7,629			4,484			26,284			24,475			-		18,525			165,654			371,904			157,738

(a) Commencement of operations December 12, 2011.

See notes to the financial statements.

Page 22

Jackson National Separate Account V

Statements of Changes in Net Assets

For the Year Ended December 31, 2011

	JNL/Eagle SmallCap Equity Portfolio			JNL/Franklin Templeton Founding Strategy Portfolio			JNL/Franklin Templeton Global Growth Portfolio			JNL/Franklin Templeton Global Multisector Bond Portfolio(a)		JNL/Franklin Templeton Income Portfolio			JNL/Franklin Templeton Inter- national Small Cap Growth Portfolio			JNL/Franklin Templeton Mutual Shares Portfolio			JNL/Franklin Templeton Small Cap Value Portfolio			JNL/ Goldman Sachs Core Plus Bond Portfolio			JNL/Goldman Sachs Emerging Markets Debt Portfolio
Operations
Net investment income (loss)	$	(7,628	)	$	(483	)	$	(2,999	)	$	-	$	17,864		$	572		$	(2,675	)	$	(3,973	)	$	3,934		$	3,329
Net realized gain (loss) on investments		176,708			3,049			(8,116	)		-		20,946			(17	)		(7,310	)		35,968			96,438			13,359
Net change in unrealized appreciation
(depreciation) on investments		(102,228	)		(5,201	)		(9,385	)		-		(22,335	)		(25,914	)		(20,643	)		(71,554	)		(25,052	)		(25,085	)
Net increase (decrease) in net assets
from operations		66,852			(2,635	)		(20,500	)		-		16,475			(25,359	)		(30,628	)		(39,559	)		75,320			(8,397	)

Contract transactions 1
Purchase payments (Note 4)		1,387			-			24,341			-		-			-			73,152			2,496			8,492			-
Surrenders and terminations		(85,534	)		(45,648	)		(59,893	)		-		(114,406	)		(33,696	)		(128,774	)		(51,739	)		(220,545	)		(49,337	)
Transfers between portfolios		356,686			(39,062	)		(63,863	)		-		154,946			159,579			(260,625	)		(144,915	)		5,252			(43,474	)
Net annuitization transactions		-			-			-			-		-			-			(2,928	)		-			(51,292	)		(849	)
Policyholder charges (Note 3)		(239	)		(215	)		(225	)		-		(428	)		(111	)		(230	)		3			(569	)		(105	)
Net increase (decrease) in net assets from
contract transactions		272,300			(84,925	)		(99,640	)		-		40,112			125,772			(319,405	)		(194,155	)		(258,662	)		(93,765	)

Net increase (decrease) in net assets		339,152			(87,560	)		(120,140	)		-		56,587			100,413			(350,033	)		(233,714	)		(183,342	)		(102,162	)

Net assets beginning of period		494,439			286,973			187,114			-		655,278			66,971			729,040			410,171			1,721,159			184,900

Net assets end of period	$	833,591		$	199,413		$	66,974		$	-	$	711,865		$	167,384		$	379,007		$	176,457		$	1,537,817		$	82,738


1 Contract Unit Transactions
Units Outstanding at December 31, 2010		30,433			32,979			23,778			-		60,075			4,712			88,474			34,267			100,616			13,598

Units Issued		130,755			910			25,944			-		18,733			13,583			25,202			11,534			21,070			4,006
Units Redeemed		(107,902	)		(10,289	)		(40,507	)		-		(14,068	)		(5,519	)		(66,633	)		(30,412	)		(35,800	)		(11,164	)

Units Outstanding at December 31, 2011		53,286			23,600			9,215			-		64,740			12,776			47,043			15,389			85,886			6,440

(a) Commencement of operations December 12, 2011.

See notes to the financial statements.

Page 23

Jackson National Separate Account V

Statements of Changes in Net Assets

For the Year Ended December 31, 2011

	JNL/ Goldman Sachs Mid Cap Value Portfolio			JNL/Goldman Sachs U.S. Equity Flex Portfolio			JNL/Invesco Global Real Estate Portfolio			JNL/Invesco International Growth Portfolio			JNL/Invesco Large Cap Growth Portfolio			JNL/Invesco Small Cap Growth Portfolio			JNL/Ivy Asset Strategy Portfolio			JNL/JPMorgan International Value Portfolio			JNL/JPMorgan MidCap Growth Portfolio			JNL/JPMorgan U.S. Government & Quality Bond Portfolio
Operations
Net investment income (loss)	$	(1,765	)	$	(717	)	$	2,564		$	(9,956	)	$	(5,191	)	$	(2,148	)	$	(1,917	)	$	16,067		$	(11,257	)	$	7,748
Net realized gain (loss) on investments		8,610			485			(5,634	)		18,053			(14,719	)		22,185			959			(76,958	)		42,909			7,178
Net change in unrealized appreciation
(depreciation) on investments		(17,628	)		(5,616	)		(12,209	)		(114,168	)		(31,982	)		(28,151	)		(12,128	)		(138,064	)		(66,134	)		11,472
Net increase (decrease) in net assets
from operations		(10,783	)		(5,848	)		(15,279	)		(106,071	)		(51,892	)		(8,114	)		(13,086	)		(198,955	)		(34,482	)		26,398

Contract transactions 1
Purchase payments (Note 4)		-			95			47			2,215			2,995			-			-			9,895			335			62
Surrenders and terminations		(51,166	)		(351	)		(78,515	)		(142,243	)		(54,497	)		(70,786	)		(10,719	)		(295,549	)		(72,566	)		(202,991	)
Transfers between portfolios		(21,089	)		(5,361	)		2,805			(22,189	)		96,598			(27,536	)		28,299			(160,975	)		(106,720	)		334,848
Net annuitization transactions		-			-			-			(749	)		-			(1,660	)		-			-			-			-
Policyholder charges (Note 3)		(14	)		(14	)		(115	)		(473	)		(237	)		228			(37	)		(858	)		(442	)		50
Net increase (decrease) in net assets from
contract transactions		(72,269	)		(5,631	)		(75,778	)		(163,439	)		44,859			(99,754	)		17,543			(447,487	)		(179,393	)		131,969

Net increase (decrease) in net assets		(83,052	)		(11,479	)		(91,057	)		(269,510	)		(7,033	)		(107,868	)		4,457			(646,442	)		(213,875	)		158,367

Net assets beginning of period		211,950			56,046			322,683			1,229,097			359,750			176,126			114,761			1,757,760			825,156			480,510

Net assets end of period	$	128,898		$	44,567		$	231,626		$	959,587		$	352,717		$	68,258		$	119,218		$	1,111,318		$	611,281		$	638,877


1 Contract Unit Transactions
Units Outstanding at December 31, 2010		17,555			6,511			26,347			125,157			29,980			12,623			10,241			175,120			60,967			38,205

Units Issued		3,824			170			4,463			27,980			24,102			20,550			2,609			36,043			25,103			68,290
Units Redeemed		(9,812	)		(795	)		(10,373	)		(46,526	)		(22,105	)		(28,142	)		(1,166	)		(82,157	)		(37,323	)		(59,323	)

Units Outstanding at December 31, 2011		11,567			5,886			20,437			106,611			31,977			5,031			11,684			129,006			48,747			47,172

See notes to the financial statements.

Page 24

Jackson National Separate Account V

Statements of Changes in Net Assets

For the Year Ended December 31, 2011

	JNL/Lazard Emerging Markets Portfolio			JNL/Lazard Mid Cap Equity Portfolio			JNL/M&G Global Basics Portfolio			JNL/M&G Global Leaders Portfolio			JNL/MCM 10 x 10 Portfolio			JNL/MCM 25 Portfolio			JNL/MCM Bond Index Portfolio			JNL/MCM Communications Sector Portfolio			JNL/MCM Consumer Brands Sector Portfolio			JNL/MCM Dow Dividend Portfolio
Operations
Net investment income (loss)	$	(6,461	)	$	(17,696	)	$	(422	)	$	(156	)	$	(912	)	$	613		$	4,234		$	552		$	(227	)	$	345
Net realized gain (loss) on investments		21,194			6,325			146			2,560			4,204			13,908			15,106			(10,551	)		2,802			231
Net change in unrealized appreciation
(depreciation) on investments		(213,388	)		(110,333	)		(7,374	)		(4,899	)		(18,229	)		(12,191	)		(6,857	)		7,562			(1,993	)		2,274
Net increase (decrease) in net assets
from operations		(198,655	)		(121,704	)		(7,650	)		(2,495	)		(14,937	)		2,330			12,483			(2,437	)		582			2,850

Contract transactions 1
Purchase payments (Note 4)		26,177			9,430			-			-			-			-			286			36			-			42
Surrenders and terminations		(71,868	)		(406,186	)		(13,623	)		(18,474	)		(8,029	)		(15,558	)		(42,256	)		(63,197	)		(3,444	)		(19,106	)
Transfers between portfolios		(342,740	)		19,877			130,020			1,542			(22,715	)		1,910			79,999			2,693			(2,357	)		167,350
Net annuitization transactions		(776	)		-			-			-			-			-			-			-			-			-
Policyholder charges (Note 3)		75			(1,330	)		(1	)		-			(216	)		(41	)		(196	)		(88	)		(55	)		(105	)
Net increase (decrease) in net assets from
contract transactions		(389,132	)		(378,209	)		116,396			(16,932	)		(30,960	)		(13,689	)		37,833			(60,556	)		(5,856	)		148,181

Net increase (decrease) in net assets		(587,787	)		(499,913	)		108,746			(19,427	)		(45,897	)		(11,359	)		50,316			(62,993	)		(5,274	)		151,031

Net assets beginning of period		1,217,641			2,113,497			10,158			21,182			379,913			133,518			253,005			130,333			31,897			36,744

Net assets end of period	$	629,854		$	1,613,584		$	118,904		$	1,755		$	334,016		$	122,159		$	303,321		$	67,340		$	26,623		$	187,775


1 Contract Unit Transactions
Units Outstanding at December 31, 2010		86,428			97,650			776			1,616			43,954			11,468			20,760			8,703			2,744			5,764

Units Issued		17,083			10,728			10,684			133			-			26,837			27,217			659			1,358			30,828
Units Redeemed		(48,341	)		(28,009	)		(2,116	)		(1,593	)		(3,829	)		(28,521	)		(24,381	)		(4,622	)		(1,917	)		(7,931	)

Units Outstanding at December 31, 2011		55,170			80,369			9,344			156			40,125			9,784			23,596			4,740			2,185			28,661

See notes to the financial statements.

Page 25

Jackson National Separate Account V

Statements of Changes in Net Assets

For the Year Ended December 31, 2011

	JNL/MCM Emerging Markets Index Portfolio(a)		JNL/MCM European 30 Portfolio			JNL/MCM Financial Sector Portfolio			JNL/MCM Global Alpha Portfolio		JNL/MCM Healthcare Sector Portfolio			JNL/MCM Index 5 Portfolio			JNL/MCM International Index Portfolio			JNL/MCM JNL 5 Portfolio			JNL/MCM JNL Optimized 5 Portfolio			JNL/MCM Nasdaq 25 Portfolio
Operations
Net investment income (loss)	$	-	$	19		$	(552	)	$	-	$	(1,660	)	$	(1,191	)	$	2,749		$	45,066		$	265		$	4
Net realized gain (loss) on investments		-		948			(2,650	)		-		3,767			638			(10,193	)		(156,314	)		(4,890	)		(49	)
Net change in unrealized appreciation
(depreciation) on investments		-		(1,579	)		(8,175	)		-		14,206			(5,702	)		(33,580	)		(9,016	)		(6,994	)		(149	)
Net increase (decrease) in net assets
from operations		-		(612	)		(11,377	)		-		16,313			(6,255	)		(41,024	)		(120,264	)		(11,619	)		(194	)

Contract transactions 1
Purchase payments (Note 4)		-		-			-			-		-			-			1,878			43,221			-			-
Surrenders and terminations		-		(5,734	)		(6,226	)		-		(58,611	)		(161	)		(51,929	)		(356,492	)		(14,538	)		(29	)
Transfers between portfolios		-		1,226			9,667			-		26,069			(12	)		(36,045	)		(229,994	)		(15,484	)		28,427
Net annuitization transactions		-		-			-			-		-			-			-			(36,834	)		-			-
Policyholder charges (Note 3)		-		(24	)		(25	)		-		(151	)		(34	)		(322	)		(2,914	)		(85	)		-
Net increase (decrease) in net assets from
contract transactions		-		(4,532	)		3,416			-		(32,693	)		(207	)		(86,418	)		(583,013	)		(30,107	)		28,398

Net increase (decrease) in net assets		-		(5,144	)		(7,961	)		-		(16,380	)		(6,462	)		(127,442	)		(703,277	)		(41,726	)		28,204

Net assets beginning of period		-		13,083			66,130			-		204,780			170,084			408,600			3,413,987			136,286			-

Net assets end of period	$	-	$	7,939		$	58,169		$	-	$	188,400		$	163,622		$	281,158		$	2,710,710		$	94,560		$	28,204


1 Contract Unit Transactions
Units Outstanding at December 31, 2010		-		1,043			9,726			-		18,139			17,781			30,948			312,077			14,116			-

Units Issued		-		133			3,738			-		3,122			-			1,758			14,885			197			3,131
Units Redeemed		-		(477	)		(3,494	)		-		(5,969	)		(22	)		(8,035	)		(69,671	)		(3,276	)		(28	)

Units Outstanding at December 31, 2011		-		699			9,970			-		15,292			17,759			24,671			257,291			11,037			3,103

(a) Commencement of operations August 29, 2011.

See notes to the financial statements.

Page 26

Jackson National Separate Account V

Statements of Changes in Net Assets

For the Year Ended December 31, 2011

	JNL/MCM NYSE International 25 Portfolio			JNL/MCM Oil & Gas Sector Portfolio			JNL/MCM Pacific Rim 30 Portfolio			JNL/MCM S&P 24 Portfolio			JNL/MCM S&P 400 MidCap Index Portfolio			JNL/MCM S&P 500 Index Portfolio			JNL/MCM S&P SMid 60 Portfolio			JNL/MCM Select Small-Cap Portfolio			JNL/MCM Small Cap Index Portfolio			JNL/MCM Technology Sector Portfolio
Operations
Net investment income (loss)	$	92		$	(10,519	)	$	(44	)	$	(212	)	$	(2,340	)	$	1,140		$	(951	)	$	(305	)	$	(16,510	)	$	(1,185	)
Net realized gain (loss) on investments		(2,137	)		(1,372	)		946			3,672			38,127			235,454			(12,189	)		2,690			300,453			12,747
Net change in unrealized appreciation
(depreciation) on investments		(4,892	)		7,785			(1,548	)		(5,145	)		(38,172	)		(225,014	)		(6,904	)		(9,326	)		(394,136	)		(11,600	)
Net increase (decrease) in net assets
from operations		(6,937	)		(4,106	)		(646	)		(1,685	)		(2,385	)		11,580			(20,044	)		(6,941	)		(110,193	)		(38	)

Contract transactions 1
Purchase payments (Note 4)		95			2,943			-			-			1,836			3,455			23,400			-			6,035			-
Surrenders and terminations		(7,180	)		(188,441	)		(4,928	)		(789	)		(37,255	)		(415,213	)		(18,916	)		(18,262	)		(345,502	)		(30,101	)
Transfers between portfolios		1,501			(79,972	)		706			(18,104	)		(49,192	)		(187,653	)		38,651			186,771			(110,982	)		3,606
Net annuitization transactions		-			-			-			-			-			(27,550	)		-			-			-			-
Policyholder charges (Note 3)		(17	)		(570	)		(1	)		(3	)		457			(1,648	)		(25	)		303			(1,195	)		(87	)
Net increase (decrease) in net assets from
contract transactions		(5,601	)		(266,040	)		(4,223	)		(18,896	)		(84,154	)		(628,609	)		43,110			168,812			(451,644	)		(26,582	)

Net increase (decrease) in net assets		(12,538	)		(270,146	)		(4,869	)		(20,581	)		(86,539	)		(617,029	)		23,066			161,871			(561,837	)		(26,620	)

Net assets beginning of period		23,088			1,203,296			9,005			20,843			249,742			3,462,837			95,126			109,939			2,227,650			98,660

Net assets end of period	$	10,550		$	933,150		$	4,136		$	262		$	163,203		$	2,845,808		$	118,192		$	271,810		$	1,665,813		$	72,040


1 Contract Unit Transactions
Units Outstanding at December 31, 2010		2,776			48,129			758			2,391			16,952			307,554			8,292			18,232			168,717			7,965

Units Issued		1,462			11,369			604			-			16,269			19,120			11,921			73,708			31,004			3,242
Units Redeemed		(2,546	)		(22,846	)		(1,032	)		(2,363	)		(21,730	)		(73,533	)		(8,849	)		(46,680	)		(65,762	)		(5,329	)

Units Outstanding at December 31, 2011		1,692			36,652			330			28			11,491			253,141			11,364			45,260			133,959			5,878

See notes to the financial statements.

Page 27

Jackson National Separate Account V

Statements of Changes in Net Assets

For the Year Ended December 31, 2011

	JNL/MCM Value Line 30 Portfolio			JNL/MCM VIP Portfolio			JNL/ Oppenheimer Global Growth Portfolio			JNL/PAM Asia ex-Japan Portfolio			JNL/PAM China-India Portfolio			JNL/PIMCO Real Return Portfolio			JNL/PIMCO Total Return Bond Portfolio			JNL/PPM America Floating Rate Income Portfolio			JNL/ PPM America High Yield Bond Portfolio			JNL/ PPM America Mid Cap Value Portfolio
Operations
Net investment income (loss)	$	(887	)	$	(2,110	)	$	(15,710	)	$	(1,902	)	$	(1,293	)	$	(5,180	)	$	69,239		$	(4	)	$	69,877		$	(1,043	)
Net realized gain (loss) on investments		(3,482	)		(23,532	)		23,042			19,395			194			56,401			122,149			(9	)		64,021			4,623
Net change in unrealized appreciation
(depreciation) on investments		(5,216	)		1,866			(138,718	)		(53,607	)		(14,244	)		16,094			(3,515	)		-			(82,925	)		(6,844	)
Net increase (decrease) in net assets
from operations		(9,585	)		(23,776	)		(131,386	)		(36,114	)		(15,343	)		67,315			187,873			(13	)		50,973			(3,264	)

Contract transactions 1
Purchase payments (Note 4)		284			40,824			4,799			2,044			-			146			15,976			-			18,082			23,400
Surrenders and terminations		(7,326	)		(14,582	)		(198,910	)		(27,573	)		(9,855	)		(166,707	)		(1,059,903	)		(327	)		(297,775	)		(19,477	)
Transfers between portfolios		8,010			3,061			(49,085	)		(66,035	)		(46,368	)		121,280			110,632			340			(86,088	)		(47,404	)
Net annuitization transactions		-			-			-			-			-			(1,631	)		(71,338	)		-			(57,662	)		-
Policyholder charges (Note 3)		(20	)		(172	)		(958	)		209			(39	)		(480	)		(2,897	)		-			(578	)		26
Net increase (decrease) in net assets from
contract transactions		948			29,131			(244,154	)		(91,355	)		(56,262	)		(47,392	)		(1,007,530	)		13			(424,021	)		(43,455	)

Net increase (decrease) in net assets		(8,637	)		5,355			(375,540	)		(127,469	)		(71,605	)		19,923			(819,657	)		-			(373,048	)		(46,719	)

Net assets beginning of period		38,059			302,818			1,736,299			203,872			97,699			784,963			6,557,226			-			1,776,096			57,249

Net assets end of period	$	29,422		$	308,173		$	1,360,759		$	76,403		$	26,094		$	804,886		$	5,737,569		$	-		$	1,403,048		$	10,530


1 Contract Unit Transactions
Units Outstanding at December 31, 2010		5,025			27,821			123,252			19,257			8,918			61,937			371,173			-			110,993			4,903

Units Issued		38,528			17,914			3,148			11,222			18,063			24,714			65,104			324			27,063			16,899
Units Redeemed		(38,447	)		(15,904	)		(19,550	)		(21,196	)		(23,655	)		(28,918	)		(121,626	)		(324	)		(52,977	)		(20,796	)

Units Outstanding at December 31, 2011		5,106			29,831			106,850			9,283			3,326			57,733			314,651			-			85,079			1,006

See notes to the financial statements.

Page 28

Jackson National Separate Account V

Statements of Changes in Net Assets

For the Year Ended December 31, 2011

	JNL/ PPM America Small Cap Value Portfolio			JNL/ PPM America Value Equity Portfolio			JNL/ Red Rocks Listed Private Equity Portfolio			JNL/S&P 4 Portfolio			JNL/S&P Competitive Advantage Portfolio			JNL/S&P Dividend Income & Growth Portfolio			JNL/S&P Intrinsic Value Portfolio			JNL/ S&P Managed Aggressive Growth Portfolio			JNL/ S&P Managed Conservative Portfolio			JNLS&P Managed Growth Portfolio
Operations
Net investment income (loss)	$	(1,940	)	$	(508	)	$	3,489		$	3,816		$	(577	)	$	741		$	(499	)	$	(35,914	)	$	2,924		$	(82,818	)
Net realized gain (loss) on investments		2,126			9,239			3,744			21,461			17,623			5,609			6,886			88,392			10,781			72,352
Net change in unrealized appreciation
(depreciation) on investments		(15,770	)		(11,855	)		(21,085	)		(18,159	)		(15,649	)		19,247			(5,858	)		(266,909	)		(4,350	)		(367,209	)
Net increase (decrease) in net assets
from operations		(15,584	)		(3,124	)		(13,852	)		7,118			1,397			25,597			529			(214,431	)		9,355			(377,675	)

Contract transactions 1
Purchase payments (Note 4)		23,400			-			-			333			-			-			-			12,441			-			45,461
Surrenders and terminations		(9,383	)		(33,701	)		(5,262	)		(52,988	)		(7,335	)		(13,118	)		(7,326	)		(307,673	)		(52,225	)		(872,805	)
Transfers between portfolios		(72,635	)		(44,981	)		(215	)		(3,946	)		111,386			175,565			(103	)		(514,600	)		(9,075	)		(922,012	)
Net annuitization transactions		-			-			-			-			-			-			-			-			-			-
Policyholder charges (Note 3)		(15	)		(37	)		(51	)		(300	)		(16	)		(75	)		(33	)		(3,218	)		(169	)		(5,102	)
Net increase (decrease) in net assets from
contract transactions		(58,633	)		(78,719	)		(5,528	)		(56,901	)		104,035			162,372			(7,462	)		(813,050	)		(61,469	)		(1,754,458	)

Net increase (decrease) in net assets		(74,217	)		(81,843	)		(19,380	)		(49,783	)		105,432			187,969			(6,933	)		(1,027,481	)		(52,114	)		(2,132,133	)

Net assets beginning of period		164,950			111,609			65,296			179,644			74,918			71,636			51,405			3,979,137			634,460			9,046,251

Net assets end of period	$	90,733		$	29,766		$	45,916		$	129,861		$	180,350		$	259,605		$	44,472		$	2,951,656		$	582,346		$	6,914,118


1 Contract Unit Transactions
Units Outstanding at December 31, 2010		16,863			11,255			5,482			16,793			6,881			6,991			4,701			307,843			54,229			704,420

Units Issued		25,953			2,421			2,977			2,546			19,945			16,390			7,823			9,160			1,997			98,631
Units Redeemed		(32,489	)		(10,442	)		(3,810	)		(7,664	)		(11,630	)		(1,359	)		(8,656	)		(73,407	)		(7,245	)		(238,293	)

Units Outstanding at December 31, 2011		10,327			3,234			4,649			11,675			15,196			22,022			3,868			243,596			48,981			564,758

See notes to the financial statements.

Page 29

Jackson National Separate Account V

Statements of Changes in Net Assets

For the Year Ended December 31, 2011

	JNL/ S&P Managed Moderate Portfolio			JNL/ S&P Managed Moderate Growth Portfolio			JNL/S&P Total Yield Portfolio			JNL/T. Rowe Price Established Growth Portfolio			JNL/T. Rowe Price Mid-Cap Growth Portfolio			JNL/T. Rowe Price Short-Term Bond Portfolio			JNL/T. Rowe Price Value Portfolio			JNL/WMC Balanced Portfolio			JNL/WMC Money Market Portfolio			JNL/WMC Value Portfolio
Operations
Net investment income (loss)	$	283		$	(1,246	)	$	(773	)	$	(55,385	)	$	(69,310	)	$	(2,291	)	$	(4,738	)	$	(16,629	)	$	(18,081	)	$	(3,121	)
Net realized gain (loss) on investments		23,370			144,689			(9,303	)		150,324			720,024			3,145			(51,119	)		21,445			9			(4,430	)
Net change in unrealized appreciation
(depreciation) on investments		(31,014	)		(327,782	)		(1,019	)		(179,939	)		(732,622	)		(713	)		(6,829	)		43,886			-			(6,265	)
Net increase (decrease) in net assets
from operations		(7,361	)		(184,339	)		(11,095	)		(85,000	)		(81,908	)		141			(62,686	)		48,702			(18,072	)		(13,816	)

Contract transactions 1
Purchase payments (Note 4)		-			3,224			-			17,733			15,906			-			6,107			8,739			2,185			95
Surrenders and terminations		(68,090	)		(457,404	)		(2,646	)		(608,741	)		(646,920	)		(83,764	)		(195,519	)		(367,678	)		(679,207	)		(145,873	)
Transfers between portfolios		(59,092	)		593,465			(51,354	)		(31,861	)		(196,245	)		(330,357	)		(40,780	)		29,741			778,895			(943	)
Net annuitization transactions		-			-			-			(36,451	)		-			-			-			(86,888	)		-			-
Policyholder charges (Note 3)		(288	)		(2,350	)		(40	)		(2,774	)		(3,355	)		(161	)		(375	)		(1,712	)		(1,479	)		(204	)
Net increase (decrease) in net assets from
contract transactions		(127,470	)		136,935			(54,040	)		(662,094	)		(830,614	)		(414,282	)		(230,567	)		(417,798	)		100,394			(146,925	)

Net increase (decrease) in net assets		(134,831	)		(47,404	)		(65,135	)		(747,094	)		(912,522	)		(414,141	)		(293,253	)		(369,096	)		82,322			(160,741	)

Net assets beginning of period		854,686			6,828,287			82,596			3,942,852			4,854,466			674,927			1,453,992			3,258,449			1,028,962			564,207

Net assets end of period	$	719,855		$	6,780,883		$	17,461		$	3,195,758		$	3,941,944		$	260,786		$	1,160,739		$	2,889,353		$	1,111,284		$	403,466


1 Contract Unit Transactions
Units Outstanding at December 31, 2010		70,477			524,799			8,544			310,846			273,071			64,379			116,245			242,975			95,032			40,888

Units Issued		1,389			61,292			2,002			27,929			85,599			9,328			17,201			17,903			197,818			1,886
Units Redeemed		(12,079	)		(50,149	)		(8,593	)		(79,827	)		(130,106	)		(48,755	)		(37,207	)		(49,032	)		(188,837	)		(12,480	)

Units Outstanding at December 31, 2011		59,787			535,942			1,953			258,948			228,564			24,952			96,239			211,846			104,013			30,294

See notes to the financial statements.

Page 30

Jackson National Separate Account V

Statements of Changes in Net Assets

For the Year Ended December 31, 2010

	JNL Institutional Alt 20 Portfolio			JNL Institutional Alt 35 Portfolio			JNL Institutional Alt 50 Portfolio			JNL Institutional Alt 65 Portfolio			JNL/American Funds Blue Chip Income and Growth Portfolio(a)		JNL/American Funds Global Bond Portfolio(a)			JNL/American Funds Global Small Capitalization Portfolio(a)			JNL/American Funds Growth-Income Portfolio(a)			JNL/American Funds International Portfolio(a)			JNL/American Funds New World Portfolio(a)
Operations
Net investment income (loss)	$	(2,759	)	$	(704	)	$	21		$	(418	)	$	-	$	(230	)	$	(184	)	$	(111	)	$	(20	)	$	(91	)
Net realized gain (loss) on investments		576			2,760			22			334			-		3			50			59			-			9
Net change in unrealized appreciation
(depreciation) on investments		54,296			5,362			275			6,608			-		105			4,353			2,488			224			1,225
Net increase (decrease) in net assets
from operations		52,113			7,418			318			6,524			-		(122	)		4,219			2,436			204			1,143

Contract transactions 1
Purchase payments (Note 4)		-			-			-			-			-		-			-			-			-			-
Surrenders and terminations		(3,048	)		(2,761	)		(24	)		(2,659	)		-		(260	)		(2,582	)		-			-			(160	)
Transfers between portfolios		303,912			24,948			11,621			27,690			-		49,653			32,030			24,139			7,543			29,178
Net annuitization transactions		-			-			-			-			-		-			-			-			-			-
Policyholder charges (Note 3)		(2	)		(85	)		(2	)		(37	)		-		(3	)		(9	)		-			-			-
Net increase (decrease) in net assets from
contract transactions		300,862			22,102			11,595			24,994			-		49,390			29,439			24,139			7,543			29,018

Net increase (decrease) in net assets		352,975			29,520			11,913			31,518			-		49,268			33,658			26,575			7,747			30,161

Net assets beginning of period		186,347			50,256			477			25,233			-		-			-			-			-			-

Net assets end of period	$	539,322		$	79,776		$	12,390		$	56,751		$	-	$	49,268		$	33,658		$	26,575		$	7,747		$	30,161


1 Contract Unit Transactions
Units Outstanding at December 31, 2009		14,808			3,839			36			1,826			-		-			-			-			-			-

Units Issued		23,964			4,497			788			1,998			-		4,788			3,378			2,632			722			2,701
Units Redeemed		(232	)		(2,926	)		(6	)		(224	)		-		(26	)		(327	)		(62	)		-			(18	)

Units Outstanding at December 31, 2010		38,540			5,410			818			3,600			-		4,762			3,051			2,570			722			2,683

(a) Commencement of operations May 3, 2010.

See notes to the financial statements.

Page 31

Jackson National Separate Account V

Statements of Changes in Net Assets

For the Year Ended December 31, 2010

	JNL/BlackRock Commodity Securities Portfolio			JNL/BlackRock Global Allocation Portfolio(a)			JNL/Capital Guardian Global Balanced Portfolio			JNL/Capital Guardian Global Diversified Research Portfolio			JNL/Capital Guardian U.S. Growth Equity Portfolio			JNL/Eagle Core Equity Portfolio			JNL/Eagle SmallCap Equity Portfolio			JNL/Franklin Templeton Founding Strategy Portfolio			JNL/Franklin Templeton Global Growth Portfolio			JNL/Franklin Templeton Income Portfolio
Operations
Net investment income (loss)	$	(3,288	)	$	(591	)	$	(1,727	)	$	(11,570	)	$	(30,671	)	$	(25,828	)	$	(3,504	)	$	3,073		$	570		$	12,584
Net realized gain (loss) on investments		480			(8	)		(6,994	)		(89,404	)		(63,096	)		(286,796	)		10,944			(12,294	)		(331	)		21,671
Net change in unrealized appreciation
(depreciation) on investments		48,498			1,334			27,382			218,353			317,877			487,655			69,870			27,985			12,314			29,135
Net increase (decrease) in net assets
from operations		45,690			735			18,661			117,379			224,110			175,031			77,310			18,764			12,553			63,390

Contract transactions 1
Purchase payments (Note 4)		35,972			-			-			2,719			13,393			927			1,872			-			54,330			629
Surrenders and terminations		(31,682	)		-			(8,007	)		(204,174	)		(483,698	)		(452,189	)		(18,815	)		(18,826	)		(4,032	)		(130,940	)
Transfers between portfolios		(6,268	)		245,785			(61,786	)		(59,680	)		(168,086	)		(89,460	)		301,100			38,987			41,048			(83,723	)
Net annuitization transactions		-			-			-			-			(8,295	)		(10,214	)		-			-			-			-
Policyholder charges (Note 3)		(194	)		-			(183	)		(1,694	)		(3,996	)		(2,320	)		(145	)		(170	)		(15	)		(289	)
Net increase (decrease) in net assets from
contract transactions		(2,172	)		245,785			(69,976	)		(262,829	)		(650,682	)		(553,256	)		284,012			19,991			91,331			(214,323	)

Net increase (decrease) in net assets		43,518			246,520			(51,315	)		(145,450	)		(426,572	)		(378,225	)		361,322			38,755			103,884			(150,933	)

Net assets beginning of period		297,751			-			339,917			1,485,012			2,698,513			2,260,528			133,117			248,218			83,230			806,211

Net assets end of period	$	341,269		$	246,520		$	288,602		$	1,339,562		$	2,271,941		$	1,882,303		$	494,439		$	286,973		$	187,114		$	655,278


1 Contract Unit Transactions
Units Outstanding at December 31, 2009		30,674			-			29,247			235,399			536,933			238,523			10,946			30,985			11,139			81,781

Units Issued		11,217			23,905			1,486			10,198			9,844			11,412			46,876			16,187			13,464			18,789
Units Redeemed		(11,471	)		-			(7,617	)		(52,310	)		(139,337	)		(69,554	)		(27,389	)		(14,193	)		(825	)		(40,495	)

Units Outstanding at December 31, 2010		30,420			23,905			23,116			193,287			407,440			180,381			30,433			32,979			23,778			60,075

See notes to the financial statements.

Page 32

Jackson National Separate Account V

Statements of Changes in Net Assets

For the Year Ended December 31, 2010

	JNL/Franklin Templeton Inter- national Small Cap Growth Portfolio			JNL/Franklin Templeton Mutual Shares Portfolio			JNL/Franklin Templeton Small Cap Value Portfolio			JNL/ Goldman Sachs Core Plus Bond Portfolio			JNL/Goldman Markets Debt Sachs Emerging Portfolio			JNL/ Goldman Sachs Mid Cap Value Portfolio			JNL/Goldman Sachs U.S. Equity Flex Portfolio			JNL/Invesco Global Real Estate Portfolio			JNL/Invesco International Growth Portfolio			JNL/Invesco Large Cap Growth Portfolio
Operations
Net investment income (loss)	$	(307	)	$	(9,308	)	$	(4,177	)	$	10,713		$	(833	)	$	(2,179	)	$	(378	)	$	7,175		$	(11,629	)	$	(5,508	)
Net realized gain (loss) on investments		12,192			(6,861	)		33,921			60,347			9,772			(17,886	)		(510	)		(14,347	)		(23,390	)		(40,557	)
Net change in unrealized appreciation
(depreciation) on investments		1,175			75,993			44,459			46,349			10,662			57,561			4,489			45,858			168,710			110,342
Net increase (decrease) in net assets
from operations		13,060			59,824			74,203			117,409			19,601			37,496			3,601			38,686			133,691			64,277

Contract transactions 1
Purchase payments (Note 4)		-			179,632			2,384			9,648			3,080			-			-			37,095			41,629			5,803
Surrenders and terminations		(15,642	)		(52,185	)		(59,193	)		(313,277	)		(38,849	)		(66,763	)		(6,186	)		(20,521	)		(245,073	)		(91,653	)
Transfers between portfolios		22,911			(2,250	)		71,446			(48,383	)		90,605			27,937			21,890			19,322			(87,211	)		(210,055	)
Net annuitization transactions		(4,270	)		-			-			-			-			-			-			-			(4,080	)		-
Policyholder charges (Note 3)		(47	)		(28	)		(687	)		(819	)		(254	)		(175	)		(19	)		(97	)		(1,289	)		(1,612	)
Net increase (decrease) in net assets from
contract transactions		2,952			125,169			13,950			(352,831	)		54,582			(39,001	)		15,685			35,799			(296,024	)		(297,517	)

Net increase (decrease) in net assets		16,012			184,993			88,153			(235,422	)		74,183			(1,505	)		19,286			74,485			(162,333	)		(233,240	)

Net assets beginning of period		50,959			544,047			322,018			1,956,581			110,717			213,455			36,760			248,198			1,391,430			592,990

Net assets end of period	$	66,971		$	729,040		$	410,171		$	1,721,159		$	184,900		$	211,950		$	56,046		$	322,683		$	1,229,097		$	359,750


1 Contract Unit Transactions
Units Outstanding at December 31, 2009		5,901			72,378			33,610			121,353			9,259			21,659			4,567			23,320			156,586			57,145

Units Issued		11,004			24,535			21,823			13,964			12,963			10,994			2,902			8,316			58,614			7,033
Units Redeemed		(12,193	)		(8,439	)		(21,166	)		(34,701	)		(8,624	)		(15,098	)		(958	)		(5,289	)		(90,043	)		(34,198	)

Units Outstanding at December 31, 2010		4,712			88,474			34,267			100,616			13,598			17,555			6,511			26,347			125,157			29,980

See notes to the financial statements.

Page 33

Jackson National Separate Account V

Statements of Changes in Net Assets

For the Year Ended December 31, 2010

	JNL/Invesco Small Cap Growth Portfolio			JNL/Ivy Asset Strategy Portfolio			JNL/JPMorgan International Value Portfolio			JNL/JPMorgan MidCap Growth Portfolio			JNL/JPMorgan U.S. Government & Quality Bond Portfolio			JNL/Lazard Emerging Markets Portfolio			JNL/Lazard Mid Cap Equity Portfolio			JNL/M&G Global Basics Portfolio			JNL/M&G Global Leaders Portfolio			JNL/MCM 10 x 10 Portfolio
Operations
Net investment income (loss)	$	(2,066	)	$	(1,880	)	$	19,587		$	(11,508	)	$	12,374		$	(10,203	)	$	(26,283	)	$	(81	)	$	(250	)	$	(244	)
Net realized gain (loss) on investments		18,743			(1,568	)		(112,895	)		(43,988	)		12,240			89,403			(150,700	)		34			956			18,343
Net change in unrealized appreciation
(depreciation) on investments		14,134			10,226			206,832			217,163			(5,013	)		95,163			620,770			1,563			1,531			35,873
Net increase (decrease) in net assets
from operations		30,811			6,778			113,524			161,667			19,601			174,363			443,787			1,516			2,237			53,972

Contract transactions 1
Purchase payments (Note 4)		4,400			-			169,568			6,652			13,599			15,456			5,721			-			-			-
Surrenders and terminations		(21,899	)		(16,728	)		(398,224	)		(145,039	)		(30,562	)		(109,179	)		(635,899	)		(583	)		(4,137	)		(40,446	)
Transfers between portfolios		61,643			62,826			(161,251	)		(10,224	)		97,319			131,497			(177,496	)		9,227			-			(171,972	)
Net annuitization transactions		-			-			-			-			-			-			-			-			-			-
Policyholder charges (Note 3)		(63	)		(12	)		(2,495	)		(953	)		(151	)		(936	)		(2,991	)		(2	)		(19	)		(621	)
Net increase (decrease) in net assets from
contract transactions		44,081			46,086			(392,402	)		(149,564	)		80,205			36,838			(810,665	)		8,642			(4,156	)		(213,039	)

Net increase (decrease) in net assets		74,892			52,864			(278,878	)		12,103			99,806			211,201			(366,878	)		10,158			(1,919	)		(159,067	)

Net assets beginning of period		101,234			61,897			2,036,638			813,053			380,704			1,006,440			2,480,375			-			23,101			538,980

Net assets end of period	$	176,126		$	114,761		$	1,757,760		$	825,156		$	480,510		$	1,217,641		$	2,113,497		$	10,158		$	21,182		$	379,913


1 Contract Unit Transactions
Units Outstanding at December 31, 2009		9,007			5,971			214,155			74,298			32,000			85,745			138,804			-			1,965			71,362

Units Issued		33,568			10,232			50,399			36,173			88,217			86,129			24,794			823			-			1,111
Units Redeemed		(29,952	)		(5,962	)		(89,434	)		(49,504	)		(82,012	)		(85,446	)		(65,948	)		(47	)		(349	)		(28,519	)

Units Outstanding at December 31, 2010		12,623			10,241			175,120			60,967			38,205			86,428			97,650			776			1,616			43,954

See notes to the financial statements.

Page 34

Jackson National Separate Account V

Statements of Changes in Net Assets

For the Year Ended December 31, 2010

	JNL/MCM 25 Portfolio			JNL/MCM Bond Index Portfolio			JNL/MCM Communications Sector Portfolio			JNL/MCM Consumer Brands Sector Portfolio			JNL/MCM Dow Dividend Portfolio			JNL/MCM European 30 Portfolio			JNL/MCM Financial Sector Portfolio			JNL/MCM Global Alpha Portfolio		JNL/MCM Healthcare Sector Portfolio			JNL/MCM Index 5 Portfolio
Operations
Net investment income (loss)	$	684		$	2,101		$	1,077		$	(217	)	$	194		$	(191	)	$	(377	)	$	-	$	(1,309	)	$	(1,772	)
Net realized gain (loss) on investments		15,405			5,738			(8,419	)		1,880			891			109			(1,545	)		-		(2,246	)		2,691
Net change in unrealized appreciation
(depreciation) on investments		9,758			4,224			35,839			2,668			2,333			(36	)		9,249			-		6,279			23,631
Net increase (decrease) in net assets
from operations		25,847			12,063			28,497			4,331			3,418			(118	)		7,327			-		2,724			24,550

Contract transactions 1
Purchase payments (Note 4)		-			4,992			62			-			674			-			-			-		1,248			-
Surrenders and terminations		(42,953	)		(25,441	)		(31,498	)		(11,652	)		(5,324	)		(1,555	)		(3,342	)		-		(25,888	)		(41,051	)
Transfers between portfolios		(27,259	)		(71,108	)		27,881			11,697			(32,888	)		9,430			(14,276	)		-		(10,346	)		(33,104	)
Net annuitization transactions		-			-			-			-			-			-			-			-		-			-
Policyholder charges (Note 3)		(209	)		(152	)		(325	)		(110	)		(84	)		(7	)		(69	)		-		(224	)		(69	)
Net increase (decrease) in net assets from
contract transactions		(70,421	)		(91,709	)		(3,880	)		(65	)		(37,622	)		7,868			(17,687	)		-		(35,210	)		(74,224	)

Net increase (decrease) in net assets		(44,574	)		(79,646	)		24,617			4,266			(34,204	)		7,750			(10,360	)		-		(32,486	)		(49,674	)

Net assets beginning of period		178,092			332,651			105,716			27,631			70,948			5,333			76,490			-		237,266			219,758

Net assets end of period	$	133,518		$	253,005		$	130,333		$	31,897		$	36,744		$	13,083		$	66,130		$	-	$	204,780		$	170,084


1 Contract Unit Transactions
Units Outstanding at December 31, 2009		18,487			28,467			8,704			2,881			12,582			418			12,568			-		21,496			26,157

Units Issued		26,271			2,378			2,528			2,128			3,597			754			2,982			-		1,805			1
Units Redeemed		(33,290	)		(10,085	)		(2,529	)		(2,265	)		(10,415	)		(129	)		(5,824	)		-		(5,162	)		(8,377	)

Units Outstanding at December 31, 2010		11,468			20,760			8,703			2,744			5,764			1,043			9,726			-		18,139			17,781

See notes to the financial statements.

Page 35

Jackson National Separate Account V

Statements of Changes in Net Assets

For the Year Ended December 31, 2010

	JNL/MCM International Index Portfolio			JNL/MCM JNL 5 Portfolio			JNL/MCM JNL Optimized 5 Portfolio			JNL/MCM Nasdaq 25 Portfolio			JNL/MCM NYSE International 25 Portfolio			JNL/MCM Oil & Gas Sector Portfolio			JNL/MCM Pacific Rim 30 Portfolio			JNL/MCM S&P 24 Portfolio			JNL/MCM S&P 400 MidCap Index Portfolio			JNL/MCM S&P 500 Index Portfolio
Operations
Net investment income (loss)	$	821		$	14,216		$	(107	)	$	(305	)	$	(287	)	$	(6,006	)	$	(373	)	$	(491	)	$	(4,450	)	$	(6,406	)
Net realized gain (loss) on investments		(41,025	)		(402,634	)		(43,137	)		10,943			(988	)		(40,390	)		3,072			11,372			(16,482	)		157,514
Net change in unrealized appreciation
(depreciation) on investments		55,655			899,870			55,673			(9,135	)		(6,217	)		231,293			(1,758	)		(8,454	)		93,744			233,687
Net increase (decrease) in net assets
from operations		15,451			511,452			12,429			1,503			(7,492	)		184,897			941			2,427			72,812			384,795

Contract transactions 1
Purchase payments (Note 4)		4,056			15,990			-			1,010			1,280			2,818			808			1,010			4,056			130,033
Surrenders and terminations		(64,640	)		(739,222	)		(89,736	)		-			(1,896	)		(78,637	)		(591	)		(14,652	)		(65,812	)		(551,695	)
Transfers between portfolios		(28,192	)		(547,004	)		(28,047	)		(50,646	)		(58,449	)		(6,507	)		(38,302	)		(41,550	)		(244,733	)		205,176
Net annuitization transactions		-			(198	)		-			-			-			-			-			-			-			-
Policyholder charges (Note 3)		(316	)		(6,545	)		(85	)		-			(16	)		(558	)		(2	)		(3	)		(638	)		(2,289	)
Net increase (decrease) in net assets from
contract transactions		(89,092	)		(1,276,979	)		(117,868	)		(49,636	)		(59,081	)		(82,884	)		(38,087	)		(55,195	)		(307,127	)		(218,775	)

Net increase (decrease) in net assets		(73,641	)		(765,527	)		(105,439	)		(48,133	)		(66,573	)		102,013			(37,146	)		(52,768	)		(234,315	)		166,020

Net assets beginning of period		482,241			4,179,514			241,725			48,133			89,661			1,101,283			46,151			73,611			484,057			3,296,817

Net assets end of period	$	408,600		$	3,413,987		$	136,286		$	-		$	23,088		$	1,203,296		$	9,005		$	20,843		$	249,742		$	3,462,837


1 Contract Unit Transactions
Units Outstanding at December 31, 2009		38,385			439,489			27,992			6,147			10,894			51,623			3,952			9,549			40,675			329,821

Units Issued		6,892			5,297			1,456			120			2,728			7,211			873			2,490			54,375			56,370
Units Redeemed		(14,329	)		(132,709	)		(15,332	)		(6,267	)		(10,846	)		(10,705	)		(4,067	)		(9,648	)		(78,098	)		(78,637	)

Units Outstanding at December 31, 2010		30,948			312,077			14,116			-			2,776			48,129			758			2,391			16,952			307,554

See notes to the financial statements.

Page 36

Jackson National Separate Account V

Statements of Changes in Net Assets

For the Year Ended December 31, 2010

	JNL/MCM S&P SMid 60 Portfolio			JNL/MCM Select Small-Cap Portfolio			JNL/MCM Small Cap Index Portfolio			JNL/MCM Technology Sector Portfolio			JNL/MCM Value Line 30 Portfolio			JNL/MCM VIP Portfolio			JNL/ Oppenheimer Global Growth Portfolio			JNL/PAM Asia ex-Japan Portfolio			JNL/PAM China-India Portfolio			JNL/PIMCO Real Return Portfolio
Operations
Net investment income (loss)	$	(1,648	)	$	(707	)	$	(23,882	)	$	(1,823	)	$	(513	)	$	2,004		$	(14,994	)	$	(3,572	)	$	(1,251	)	$	(2,479	)
Net realized gain (loss) on investments		38,270			12,424			332,980			13,868			(2,654	)		(30,832	)		(71,894	)		41,758			12,254			40,150
Net change in unrealized appreciation
(depreciation) on investments		(14,591	)		10,987			184,869			(610	)		10,848			65,584			288,362			7,840			(3,506	)		9,587
Net increase (decrease) in net assets
from operations		22,031			22,704			493,967			11,435			7,681			36,756			201,474			46,026			7,497			47,258

Contract transactions 1
Purchase payments (Note 4)		471			674			8,942			-			902			10,774			587			9,106			-			15,804
Surrenders and terminations		(745	)		(6,347	)		(521,550	)		(56,625	)		(388	)		(14,299	)		(379,439	)		(54,726	)		(8,549	)		(133,898	)
Transfers between portfolios		(26,735	)		(39,215	)		(329,946	)		(6,356	)		(49,193	)		(76,802	)		(69,546	)		(44,614	)		(20,290	)		(1,352	)
Net annuitization transactions		-			-			-			-			-			-			-			-			-			-
Policyholder charges (Note 3)		(25	)		(50	)		(2,644	)		(453	)		(18	)		(133	)		(1,127	)		(602	)		(54	)		(350	)
Net increase (decrease) in net assets from
contract transactions		(27,034	)		(44,938	)		(845,198	)		(63,434	)		(48,697	)		(80,460	)		(449,525	)		(90,836	)		(28,893	)		(119,796	)

Net increase (decrease) in net assets		(5,003	)		(22,234	)		(351,231	)		(51,999	)		(41,016	)		(43,704	)		(248,051	)		(44,810	)		(21,396	)		(72,538	)

Net assets beginning of period		100,129			132,173			2,578,881			150,659			79,075			346,522			1,984,350			248,682			119,095			857,501

Net assets end of period	$	95,126		$	109,939		$	2,227,650		$	98,660		$	38,059		$	302,818		$	1,736,299		$	203,872		$	97,699		$	784,963


1 Contract Unit Transactions
Units Outstanding at December 31, 2009		10,386			24,907			242,865			13,259			13,178			36,220			160,335			27,723			12,449			71,712

Units Issued		29,507			88,184			57,053			2,231			618			1,092			13,596			34,466			9,547			35,896
Units Redeemed		(31,601	)		(94,859	)		(131,201	)		(7,525	)		(8,771	)		(9,491	)		(50,679	)		(42,932	)		(13,078	)		(45,671	)

Units Outstanding at December 31, 2010		8,292			18,232			168,717			7,965			5,025			27,821			123,252			19,257			8,918			61,937

See notes to the financial statements.

Page 37

Jackson National Separate Account V

Statements of Changes in Net Assets

For the Year Ended December 31, 2010

	JNL/PIMCO Total Return Bond Portfolio			JNL/ PPM America High Yield Bond Portfolio			JNL/ PPM America Mid Cap Value Portfolio			JNL/ PPM America Small Cap Value Portfolio			JNL/ PPM America Value Equity Portfolio			JNL/ Red Rocks Listed Private Equity Portfolio			JNL/S&P 4 Portfolio			JNL/S&P Competitive Advantage Portfolio			JNL/S&P Disciplined Growth Portfolio			JNL/S&P Disciplined Moderate Portfolio
Operations
Net investment income (loss)	$	33,343		$	84,220		$	(940	)	$	(631	)	$	(821	)	$	(646	)	$	(2,523	)	$	(684	)	$	(199	)	$	(220	)
Net realized gain (loss) on investments		410,795			48,359			(2,421	)		13,889			3,290			4,715			2,786			10,607			(3,663	)		(7,086	)
Net change in unrealized appreciation
(depreciation) on investments		(55,140	)		92,303			2,685			6,328			10,722			9,050			18,779			(732	)		8,382			13,260
Net increase (decrease) in net assets
from operations		388,998			224,882			(676	)		19,586			13,191			13,119			19,042			9,191			4,520			5,954

Contract transactions 1
Purchase payments (Note 4)		28,945			28,509			-			-			-			-			437			-			187			-
Surrenders and terminations		(1,229,629	)		(223,523	)		(39,426	)		(1,432	)		(9,515	)		(5,392	)		(2,400	)		(17,635	)		(10,534	)		(65,780	)
Transfers between portfolios		750,853			(10,904	)		77,429			130,626			(98,160	)		4,790			33,513			(1,771	)		61			52,477
Net annuitization transactions		-			-			-			-			-			-			-			-			-			-
Policyholder charges (Note 3)		(4,151	)		(1,215	)		(9	)		(18	)		(54	)		(29	)		(133	)		(16	)		(24	)		(55	)
Net increase (decrease) in net assets from
contract transactions		(453,982	)		(207,133	)		37,994			129,176			(107,729	)		(631	)		31,417			(19,422	)		(10,310	)		(13,358	)

Net increase (decrease) in net assets		(64,984	)		17,749			37,318			148,762			(94,538	)		12,488			50,459			(10,231	)		(5,790	)		(7,404	)

Net assets beginning of period		6,622,210			1,758,347			19,931			16,188			206,147			52,808			129,185			85,149			52,684			86,081

Net assets end of period	$	6,557,226		$	1,776,096		$	57,249		$	164,950		$	111,609		$	65,296		$	179,644		$	74,918		$	46,894		$	78,677


1 Contract Unit Transactions
Units Outstanding at December 31, 2009		396,592			125,100			1,670			2,059			24,012			5,860			13,511			8,649			6,784			9,657

Units Issued		85,012			58,700			15,980			40,410			16,379			4,517			4,794			1,273			57			5,733
Units Redeemed		(110,431	)		(72,807	)		(12,747	)		(25,606	)		(29,136	)		(4,895	)		(1,512	)		(3,041	)		(1,403	)		(7,312	)

Units Outstanding at December 31, 2010		371,173			110,993			4,903			16,863			11,255			5,482			16,793			6,881			5,438			8,078

See notes to the financial statements.

Page 38

Jackson National Separate Account V

Statements of Changes in Net Assets

For the Year Ended December 31, 2010

	JNL/S&P Disciplined Moderate Growth Portfolio			JNL/S&P Dividend Income & Growth Portfolio			JNL/S&P Intrinsic Value Portfolio			JNL/ S&P Managed Aggressive Growth Portfolio			JNL/ S&P Managed Conservative Portfolio			JNL/ S&P Managed Growth Portfolio			JNL/ S&P Managed Moderate Portfolio			JNL/ S&P Managed Moderate Growth Portfolio			JNL/S&P Total Yield Portfolio			JNL/Select Balanced Portfolio
Operations
Net investment income (loss)	$	(1,863	)	$	(303	)	$	(476	)	$	(41,443	)	$	3,665		$	(77,126	)	$	(4,499	)	$	(32,924	)	$	(639	)	$	(16,977	)
Net realized gain (loss) on investments		(3,467	)		7,255			7,383			(62,113	)		(998	)		(504,106	)		65,360			(61,604	)		(222	)		(54,803	)
Net change in unrealized appreciation
(depreciation) on investments		33,604			2,722			(1,525	)		654,086			42,003			1,808,026			40,024			820,821			(2,104	)		363,160
Net increase (decrease) in net assets
from operations		28,274			9,674			5,382			550,530			44,670			1,226,794			100,885			726,293			(2,965	)		291,380

Contract transactions 1
Purchase payments (Note 4)		-			-			1,371			25,082			-			39,018			-			21,486			-			18,362
Surrenders and terminations		(34,209	)		(2,221	)		(1,608	)		(990,855	)		(114,046	)		(3,214,722	)		(424,440	)		(1,021,330	)		(1,892	)		(581,741	)
Transfers between portfolios		(89,266	)		(15,725	)		3,270			(459,820	)		41,433			(1,264,163	)		(327,514	)		(147,530	)		43,951			(313,119	)
Net annuitization transactions		-			-			-			-			-			-			-			-			-			(7,928	)
Policyholder charges (Note 3)		(50	)		(18	)		(40	)		(5,515	)		(170	)		(8,657	)		(466	)		(3,548	)		(10	)		(2,743	)
Net increase (decrease) in net assets from
contract transactions		(123,525	)		(17,964	)		2,993			(1,431,108	)		(72,783	)		(4,448,524	)		(752,420	)		(1,150,922	)		42,049			(887,169	)

Net increase (decrease) in net assets		(95,251	)		(8,290	)		8,375			(880,578	)		(28,113	)		(3,221,730	)		(651,535	)		(424,629	)		39,084			(595,789	)

Net assets beginning of period		360,739			79,926			43,030			4,859,715			662,573			12,267,981			1,506,221			7,252,916			43,512			3,854,238

Net assets end of period	$	265,488		$	71,636		$	51,405		$	3,979,137		$	634,460		$	9,046,251		$	854,686		$	6,828,287		$	82,596		$	3,258,449


1 Contract Unit Transactions
Units Outstanding at December 31, 2009		44,281			9,135			4,453			433,385			60,623			1,091,509			136,143			621,210			4,963			313,632

Units Issued		641			385			2,206			53,290			13,706			15,743			3,892			15,256			7,639			17,216
Units Redeemed		(15,683	)		(2,529	)		(1,958	)		(178,832	)		(20,100	)		(402,832	)		(69,558	)		(111,667	)		(4,058	)		(87,873	)

Units Outstanding at December 31, 2010		29,239			6,991			4,701			307,843			54,229			704,420			70,477			524,799			8,544			242,975

See notes to the financial statements.

Page 39

Jackson National Separate Account V

Statements of Changes in Net Assets

For the Year Ended December 31, 2010

	JNL/Select Money Market Portfolio			JNL/ Select Value Portfolio			JNL/T. Rowe Price Established Growth Portfolio			JNL/T. Rowe Price Mid-Cap Growth Portfolio			JNL/T. Rowe Price Short-Term Bond Portfolio			JNL/T. Rowe Price Value Portfolio
Operations
Net investment income (loss)	$	(27,231	)	$	(3,881	)	$	(55,302	)	$	(63,253	)	$	(2,311	)	$	(7,914	)
Net realized gain (loss) on investments		-			(23,373	)		17,295			213,700			4,080			(53,309	)
Net change in unrealized appreciation
(depreciation) on investments		-			90,875			538,985			923,847			6,768			242,475
Net increase (decrease) in net assets
from operations		(27,231	)		63,621			500,978			1,074,294			8,537			181,252

Contract transactions 1
Purchase payments (Note 4)		58,270			-			41,102			104,580			5,183			9,264
Surrenders and terminations		(1,329,061	)		(57,011	)		(607,896	)		(742,373	)		(368,257	)		(172,609	)
Transfers between portfolios		242,458			(48,771	)		161,148			(390,088	)		393,314			117,137
Net annuitization transactions		-			-			(9,297	)		(18,885	)		-			-
Policyholder charges (Note 3)		(2,942	)		(224	)		(3,529	)		(4,229	)		(393	)		(1,762	)
Net increase (decrease) in net assets from
contract transactions		(1,031,275	)		(106,006	)		(418,472	)		(1,050,995	)		29,847			(47,970	)

Net increase (decrease) in net assets		(1,058,506	)		(42,385	)		82,506			23,299			38,384			133,282

Net assets beginning of period		2,087,468			606,592			3,860,346			4,831,167			636,543			1,320,710

Net assets end of period	$	1,028,962		$	564,207		$	3,942,852		$	4,854,466		$	674,927		$	1,453,992


1 Contract Unit Transactions
Units Outstanding at December 31, 2009		189,809			49,203			349,896			342,025			61,691			120,474

Units Issued		228,232			5,137			45,158			77,761			75,959			17,232
Units Redeemed		(323,009	)		(13,452	)		(84,208	)		(146,715	)		(73,271	)		(21,461	)

Units Outstanding at December 31, 2010		95,032			40,888			310,846			273,071			64,379			116,245

See notes to the financial statements.

Page 40

Jackson National Separate Account V

Notes to the Financial Statements

Note 1 – Organization

Jackson National Life Insurance Company (“Jackson”) established Jackson National Separate Account V (the “Separate Account”) on September 25, 1998. The Separate Account commenced operations on January 2, 2000, and is registered under the Investment Company Act of 1940 as a unit investment trust.

The Separate Account assets legally belong to Jackson and the obligations under the contracts are the obligation of Jackson. However, the contract assets in the Separate Account are not chargeable with liabilities arising out of any other business Jackson may conduct.

The Separate Account receives and invests, based on directions of the contract holder, net premiums for individual flexible premium variable annuity contracts issued by Jackson. The contracts can be purchased on a non-tax qualified basis or in connection with certain plans qualifying for favorable federal income tax treatment. The Separate Account contains one hundred (100) Portfolios as of December 31, 2011, each of which invests in the following series of mutual funds (“Funds”):

JNL Series Trust
JNL Disciplined Growth Fund	JNL/Goldman Sachs Core Plus Bond Fund	JNL/PAM Asia ex-Japan Fund
JNL Disciplined Moderate Fund	JNL/Goldman Sachs Emerging Markets Debt Fund(1)	JNL/PAM China-India Fund
JNL Disciplined Moderate Growth Fund	JNL/Goldman Sachs Mid Cap Value Fund	JNL/PIMCO Real Return Fund
JNL Institutional Alt 20 Fund	JNL/Goldman Sachs U.S. Equity Flex Fund	JNL/PIMCO Total Return Bond Fund
JNL Institutional Alt 35 Fund	JNL/Invesco Global Real Estate Fund	JNL/PPM America Floating Rate Income Fund
JNL Institutional Alt 50 Fund	JNL/Invesco International Growth Fund	JNL/PPM America High Yield Bond Fund
JNL Institutional Alt 65 Fund(1)	JNL/Invesco Large Cap Growth Fund	JNL/PPM America Mid Cap Value Fund
JNL/American Funds Blue Chip Income and Growth Fund	JNL/Invesco Small Cap Growth Fund	JNL/PPM America Small Cap Value Fund
JNL/American Funds Global Bond Fund	JNL/Ivy Asset Strategy Fund	JNL/PPM America Value Equity Fund
JNL/American Funds Global Small Capitalization Fund	JNL/JPMorgan International Value Fund	JNL/Red Rocks Listed Private Equity Fund(1)
JNL/American Funds Growth-Income Fund	JNL/JPMorgan MidCap Growth Fund	JNL/S&P 4 Fund
JNL/American Funds International Fund	JNL/JPMorgan U.S. Government & Quality Bond Fund	JNL/S&P Competitive Advantage Fund
JNL/American Funds New World Fund	JNL/Lazard Emerging Markets Fund(1)	JNL/S&P Dividend Income & Growth Fund
JNL/BlackRock Commodity Securities Fund	JNL/Lazard Mid Cap Equity Fund	JNL/S&P Intrinsic Value Fund
JNL/BlackRock Global Allocation Fund(2)	JNL/M&G Global Basics Fund	JNL/S&P Managed Aggressive Growth Fund
JNL/Brookfield Global Infrastructure Fund	JNL/M&G Global Leaders Fund	JNL/S&P Managed Conservative Fund
JNL/Capital Guardian Global Balanced Fund	JNL/MCM 10 x 10 Fund*	JNL/S&P Managed Growth Fund
JNL/Capital Guardian Global Diversified Research Fund	JNL/MCM Bond Index Fund*	JNL/S&P Managed Moderate Fund
JNL/Capital Guardian U.S. Growth Equity Fund	JNL/MCM Emerging Markets Index Fund*	JNL/S&P Managed Moderate Growth Fund
JNL/Eagle Core Equity Fund	JNL/MCM European 30 Fund*	JNL/S&P Total Yield Fund
JNL/Eagle SmallCap Equity Fund	JNL/MCM Global Alpha Fund(1)*	JNL/T. Rowe Price Established Growth Fund
JNL/Franklin Templeton Founding Strategy Fund	JNL/MCM Index 5 Fund*	JNL/T. Rowe Price Mid-Cap Growth Fund
JNL/Franklin Templeton Global Growth Fund	JNL/MCM International Index Fund*	JNL/T. Rowe Price Short-Term Bond Fund
JNL/Franklin Templeton Global Multisector Bond Fund	JNL/MCM Pacific Rim 30 Fund*	JNL/T. Rowe Price Value Fund
JNL/Franklin Templeton Income Fund	JNL/MCM S&P 400 MidCap Index Fund*	JNL/WMC Balanced Fund
JNL/Franklin Templeton International Small Cap Growth Fund	JNL/MCM S&P 500 Index Fund*	JNL/WMC Money Market Fund
JNL/Franklin Templeton Mutual Shares Fund	JNL/MCM Small Cap Index Fund*	JNL/WMC Value Fund
JNL/Franklin Templeton Small Cap Value Fund	JNL/Oppenheimer Global Growth Fund

Page 41

Jackson National Separate Account V

Notes to the Financial Statements (continued)

Note 1 – Organization (continued)

JNL Variable Fund LLC
JNL/MCM 25 Fund*	JNL/MCM JNL 5 Fund*	JNL/MCM S&PÒ SMid 60 Fund*
JNL/MCM Communications Sector Fund*	JNL/MCM JNL Optimized 5 Fund*	JNL/MCM Select Small-Cap Fund*
JNL/MCM Consumer Brands Sector Fund*	JNL/MCM NasdaqÒ 25 Fund*	JNL/MCM Technology Sector Fund*
JNL/MCM Dow SM Dividend Fund*	JNL/MCM NYSEÒ International 25 Fund*	JNL/MCM Value LineÒ 30 Fund*
JNL/MCM Financial Sector Fund*	JNL/MCM Oil & Gas Sector Fund*	JNL/MCM VIP Fund*
JNL/MCM Healthcare Sector Fund*	JNL/MCM S&PÒ 24 Fund*

Jackson National Asset Management, LLC, a wholly-owned subsidiary of Jackson, serves as investment adviser for all the Funds and receives a fee for its services from each of the Funds.

During the year ended December 31, 2011, the following Funds changed names:

PRIOR PORTFOLIO NAME	CURRENT PORTFOLIO NAME	EFFECTIVE DATE
JNL/Select Balanced Fund	JNL/WMC Balanced Fund	May 2, 2011
JNL/Select Money Market Fund	JNL/WMC Money Market Fund	May 2, 2011
JNL/Select Value Fund	JNL/WMC Value Fund	May 2, 2011
JNL/S&P Disciplined Growth Fund	JNL Disciplined Growth Fund(3)	August 29, 2011
JNL/S&P Disciplined Moderate Fund	JNL Disciplined Moderate Fund(3)	August 29, 2011
JNL/S&P Disciplined Moderate Growth Fund	JNL Disciplined Moderate Growth Fund(3)	August 29, 2011

(1) Effective August 29, 2011, JNL Institutional Alt 65 Fund, JNL/Goldman Sachs Emerging Markets Debt Fund, JNL/Lazard Emerging Markets Fund, JNL/Mellon Capital Management Global Alpha Fund, and JNL/Red Rocks Listed Private Equity Fund closed to new investors but remained open to the JNL Series Trust's fund of funds.

(2) Effective February 22, 2011, JNL/BlackRock Global Allocation Fund was removed as an investment option for all new investment allocations, but any current investment balances as of February 22, 2011, remained in the Fund. Prior to August 27, 2011, the Fund had a Master-Feeder structure and invested substantially all its assets in shares of BlackRock Global Allocation Portfolio, a series of BlackRock Series Fund, Inc. At close of business August 26, 2011, the Fund received a pro rata share of cash, securities, and receivables from the BlackRock Global Allocation Portfolio in a complete liquidation of its interest in the Master Fund. At this time the Fund was reorganized from a Master-Feeder structure to a Sub-Advised Fund and began investing directly in securities rather than through the Master Fund. Effective August 29, 2011, JNL/BlackRock Global Allocation Fund was reopened to all investors.

(3) These name changes are due to changes in sub-adviser.

* MCM denotes the sub-adviser Mellon Capital Management throughout these financial statements.

Page 42

Jackson National Separate Account V

Notes to the Financial Statements (continued)

Note 2 – Significant Accounting Policies

The following is a summary of significant accounting policies followed by the Separate Account in the preparation of its financial statements.

Use of Estimates

The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates.

Investments

The Separate Account’s investments in the corresponding series of mutual funds are stated at the closing net asset values of the respective Funds. The average cost method is used in determining the cost of the shares sold on withdrawals by the Separate Account. Investments in the Funds are recorded on trade date. Realized gain distributions and dividend distributions received from the Funds are reinvested in additional shares of the Funds and are recorded as income or gain to the Separate Account on the ex-dividend date.

Federal Income Taxes

The operations of the Separate Account are included in the federal income tax return of Jackson, which is taxed as a “life insurance company” under the provisions of the Internal Revenue Code. Under current law, no federal income taxes are payable with respect to the Separate Account. Therefore, no federal income tax has been provided.

Topic 820 in the Accounting Standards Codification (ASC 820), “Fair Value Measurements”

This standard establishes a single authoritative definition of fair value, sets out a framework for measuring fair value and requires additional disclosures about fair value measurements. The changes to current GAAP from the application of this statement relate to the definition of fair value, the methods used to measure fair value, and expanded disclosures about fair value measurements.

Various inputs are used in determining the value of a Fund’s investments under ASC 820 guidance. The inputs are summarized into three broad categories. Level 1 includes valuations based on quoted prices of identical securities in active markets. Level 2 includes valuations for which all significant inputs are observable, either directly or indirectly. Direct observable inputs include closing prices of similar securities in active markets or closing prices for identical or similar securities in non-active markets. Indirect observable inputs include factors such as interest rates, yield curves, prepayment speeds, and credit risks. Level 3 includes valuations based on inputs that are unobservable and significant to the fair value measurement including a Fund’s own assumptions in determining the fair value of the investment. The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities. As of December 31, 2011, all of the Separate Account's investments are in funds for which quoted prices are available in an active market. Therefore, all investments have been categorized as Level 1. The characterization of the underlying securities held by the Funds in accordance with ASC 820 differs from the characterization of an investment in the fund.

ASU No. 2011-04 “Amendments to Achieve Common Fair Value Measurement and Disclosure Requirements in U.S. GAAP and International Financial Reporting Standards”

In May 2011 FASB released ASU No. 2011-04 “Amendments to Achieve Common Fair Value Measurement and Disclosure Requirements in U.S. GAAP and International Financial Reporting Standards”. ASU 2011-04 further clarifies fair value measurement principles and requires additional disclosures. Effective for interim and annual periods beginning after December 15, 2011, entities will need to disclose the amounts and reasons for any transfers between Level 1 and Level 2 securities; quantitative information relating to significant observable inputs, a narrative description of the valuation process, and a narrative description of the sensitivity of the fair value measurements to changes in unobservable or Level 3 valuation inputs.

For the year ended December 31, 2011, there were no transfers between Level 1 and Level 2 securities.

Page 43

Jackson National Separate Account V

Notes to the Financial Statements (continued)

Note 3 – Policy Charges

Charges are deducted from the Separate Account and remitted to Jackson, to compensate Jackson for providing the insurance benefits set forth in the contracts, administering the contracts, distributing the contracts, and assuming certain risks in connection with the contracts.

Policyholder Charges

Contract Maintenance Charge

An annual contract maintenance charge of $35 is charged against each contract to reimburse Jackson for expenses incurred in establishing and maintaining records relating to the contract. The contract maintenance charge is assessed on each anniversary of the contract date that occurs prior to the annuity date. This charge is only imposed if the contract value is less than $50,000 on the date when the charge is assessed. The charge is deducted by redeeming units. For the years ended December 31, 2011 and 2010, contract maintenance charges were assessed in the amount of $38,252 and $47,331, respectively.

Transfer Charge

A transfer charge of $25 will apply to transfers made by contract holders between the portfolios in excess of 15 transfers in a contract year. Jackson may waive the transfer charge in connection with pre-authorized automatic transfer programs, or in those states where a lesser charge is required. This charge will be deducted from the amount transferred prior to the allocation to a different portfolio. For the years ended December 31, 2011 and 2010, transfer charges were assessed in the amount of $75 and $350, respectively.

Surrender or Contingent Deferred Sales Charge

During the first nine contract years, certain contracts include a provision for a charge upon the surrender or partial surrender of the contract. The amount assessed under the contract terms, if any, depends upon the cost associated with distributing the particular contracts. The amount, if any, is determined based on a number of factors, including the amount withdrawn, the contract year of surrender, or the number and amount of withdrawals in a calendar year. The surrender charges are assessed by Jackson and withheld from the proceeds of the withdrawals. For the years ended December 31, 2011 and 2010, surrender charges were assessed in the amount of $12,188 and $31,890, respectively.

Optional Benefit Charges

Guaranteed Minimum Withdrawal Benefit Charge. If this benefit has been selected, Jackson will assess an annual charge of 0.51% - 1.86%, depending on the benefit chosen. The charge will be deducted each calendar quarter from the contract value by redeeming units.

Guaranteed Minimum Death Benefit Charge. If any of the optional death benefits are selected that are available under the Contract, Jackson will assess an annual charge of .60%, of the Death Benefit base. The charge will be deducted each contract quarter from the contract value by redeeming units.

Page 44

Jackson National Separate Account V

Notes to the Financial Statements (continued)

Note 3 – Policy Charges (continued)

Asset-based Charges

Insurance Charges

Jackson deducts a daily charge for administrative expenses from the net assets of the Separate Account equivalent to an annual rate of 0.15%. The administration charge is designed to reimburse Jackson for administrative expenses related to the Separate Account and the issuance and maintenance of contracts and is assessed through the unit value calculation.

Jackson deducts a daily base contract charge from the net assets of the Separate Account equivalent to an annual rate of 1.35% for the assumption of mortality and expense risks. The mortality risk assumed by Jackson is that the insured may receive benefits greater than those anticipated by Jackson. The expense risk assumed by Jackson is that the costs of administering the contracts of the Separate Account will exceed the amount received from the Administration Charge and the Contract Maintenance Charge.

Optional Benefit Charges

Enhanced Death Benefit Charge. If this benefit has been selected, Jackson deducts an additional charge equivalent to an annual rate of 0.15% based on average account value.

Premium Taxes

Some states and other governmental entities charge premium taxes or other similar taxes. Jackson pays these taxes and may make a deduction from the value of the contract for them. Premium taxes generally range from 0% to 3.5% depending on the state.

Note 4 – Related Party Transactions

For contract enhancement benefits related to the optional benefits offered, Jackson contributed $31,380 and $16,607 to the Separate Account in the form of additional premium to contract owners’ accounts for the years ended December 31, 2011 and 2010, respectively. These amounts are included in purchase payments received from contract owners.

Page 45

Jackson National Separate Account V

Notes to the Financial Statements (continued)

Note 5 – Purchases and Sales of Investments

For the year ended December 31, 2011, purchases and proceeds from sales of investments are as follows:

JNL Series Trust
	Purchases		Proceeds from Sales			Purchases		Proceeds from Sales
JNL Disciplined Growth Fund	$	665	$	5,296	JNL/Goldman Sachs U.S. Equity Flex Fund	$	1,445	$	7,793
JNL Disciplined Moderate Fund		26,113		33,422	JNL/Invesco Global Real Estate Fund		60,746		133,959
JNL Disciplined Moderate Growth Fund		2,641		19,652	JNL/Invesco International Growth Fund		289,866		463,261
JNL Institutional Alt 20 Fund		17,039		286,376	JNL/Invesco Large Cap Growth Fund		293,482		253,814
JNL Institutional Alt 35 Fund		6,172		14,324	JNL/Invesco Small Cap Growth Fund		314,381		416,029
JNL Institutional Alt 50 Fund		6,313		5,795	JNL/Ivy Asset Strategy Fund		30,428		14,802
JNL Institutional Alt 65 Fund		58,030		31,792	JNL/JPMorgan International Value Fund		372,681		804,101
JNL/American Funds Blue Chip Income and Growth Fund		2,332		806	JNL/JPMorgan MidCap Growth Fund		329,544		520,194
JNL/American Funds Global Bond Fund		91,281		83,560	JNL/JPMorgan U.S. Government & Quality Bond Fund		931,726		792,009
JNL/American Funds Global Small Capitalization Fund		59,247		72,907	JNL/Lazard Emerging Markets Fund		236,897		632,490
JNL/American Funds Growth-Income Fund		16,327		15,924	JNL/Lazard Mid Cap Equity Fund		235,562		631,467
JNL/American Funds International Fund		89,468		17,039	JNL/M&G Global Basics Fund		144,506		28,305
JNL/American Funds New World Fund		88,086		64,915	JNL/M&G Global Leaders Fund		2,765		18,755
JNL/BlackRock Commodity Securities Fund		327,968		367,320	JNL/MCM 10 x 10 Fund		4,921		36,793
JNL/BlackRock Global Allocation Fund		13,199		10,342	JNL/MCM Bond Index Fund		359,251		314,148
JNL/Brookfield Global Infrastructure Fund		-		-	JNL/MCM Emerging Markets Index Fund		-		-
JNL/Capital Guardian Global Balanced Fund		3,807		64,031	JNL/MCM European 30 Fund		2,395		6,482
JNL/Capital Guardian Global Diversified Research Fund		82,758		282,417	JNL/MCM Global Alpha Fund		-		-
JNL/Capital Guardian U.S. Growth Equity Fund		189,402		415,719	JNL/MCM Index 5 Fund		1,919		2,995
JNL/Eagle Core Equity Fund		20,121		280,380	JNL/MCM International Index Fund		29,586		113,255
JNL/Eagle SmallCap Equity Fund		2,042,462		1,731,035	JNL/MCM Pacific Rim 30 Fund		6,982		11,108
JNL/Franklin Templeton Founding Strategy Fund		11,143		96,551	JNL/MCM S&P 400 MidCap Index Fund		258,979		337,677
JNL/Franklin Templeton Global Growth Fund		205,620		308,259	JNL/MCM S&P 500 Index Fund		286,757		894,236
JNL/Franklin Templeton Global Multisector Bond Fund		-		-	JNL/MCM Small Cap Index Fund		475,546		888,163
JNL/Franklin Templeton Income Fund		229,454		171,479	JNL/Oppenheimer Global Growth Fund		53,964		313,828
JNL/Franklin Templeton International Small Cap Growth Fund		198,922		72,578	JNL/PAM Asia ex-Japan Fund		117,180		204,404
JNL/Franklin Templeton Mutual Shares Fund		206,846		528,926	JNL/PAM China-India Fund		161,433		217,284
JNL/Franklin Templeton Small Cap Value Fund		134,543		332,670	JNL/PIMCO Real Return Fund		376,195		396,865
JNL/Goldman Sachs Core Plus Bond Fund		454,208		655,516	JNL/PIMCO Total Return Bond Fund		1,352,232		2,283,576
JNL/Goldman Sachs Emerging Markets Debt Fund		67,043		154,824	JNL/PPM America Floating Rate Income Fund		3,271		3,262
JNL/Goldman Sachs Mid Cap Value Fund		48,619		118,961	JNL/PPM America High Yield Bond Fund		539,961		894,105

Page 46

Jackson National Separate Account V

Notes to the Financial Statements (continued)

Note 5 – Purchases and Sales of Investments (continued)

JNL Series Trust (continued)
	Purchases		Proceeds from Sales			Purchases		Proceeds from Sales
JNL/PPM America Mid Cap Value Fund	$	178,176	$	222,450	JNL/S&P Managed Moderate Fund	$	36,834	$	157,778
JNL/PPM America Small Cap Value Fund		251,806		304,336	JNL/S&P Managed Moderate Growth Fund		1,004,771		751,897
JNL/PPM America Value Equity Fund		26,158		105,385	JNL/S&P Total Yield Fund		20,366		74,303
JNL/Red Rocks Listed Private Equity Fund		40,963		41,943	JNL/T. Rowe Price Established Growth Fund		359,871		1,077,350
JNL/S&P 4 Fund		34,923		87,454	JNL/T. Rowe Price Mid-Cap Growth Fund		1,900,392		2,469,627
JNL/S&P Competitive Advantage Fund		240,348		131,916	JNL/T. Rowe Price Short-Term Bond Fund		100,542		517,114
JNL/S&P Dividend Income & Growth Fund		183,731		17,720	JNL/T. Rowe Price Value Fund		232,561		467,866
JNL/S&P Intrinsic Value Fund		100,464		105,678	JNL/WMC Balanced Fund		271,537		705,964
JNL/S&P Managed Aggressive Growth Fund		139,621		988,585	JNL/WMC Money Market Fund		2,595,289		2,512,967
JNL/S&P Managed Conservative Fund		43,413		94,308	JNL/WMC Value Fund		30,211		180,257
JNL/S&P Managed Growth Fund		1,373,045		3,176,373

JNL Variable Fund LLC
	Purchases		Proceeds from Sales			Purchases		Proceeds from Sales
JNL/MCM 25 Fund	$	340,682	$	353,758	JNL/MCM NYSEÒ International 25 Fund	$	13,463	$	18,972
JNL/MCM Communications Sector Fund		10,943		70,947	JNL/MCM Oil & Gas Sector Fund		311,815		588,374
JNL/MCM Consumer Brands Sector Fund		16,591		22,674	JNL/MCM S&PÒ 24 Fund		1		19,109
JNL/MCM Dow SM Dividend Fund		196,454		47,927	JNL/MCM S&PÒ SMid 60 Fund		125,581		82,563
JNL/MCM Financial Sector Fund		23,344		20,479	JNL/MCM Select Small-Cap Fund		474,234		305,726
JNL/MCM Healthcare Sector Fund		39,370		73,724	JNL/MCM Technology Sector Fund		41,728		67,841
JNL/MCM JNL 5 Fund		243,276		781,223	JNL/MCM Value LineÒ 30 Fund		221,383		221,321
JNL/MCM JNL Optimized 5 Fund		3,642		33,485	JNL/MCM VIP Fund		199,415		172,393
JNL/MCM NasdaqÒ 25 Fund		28,682		279

Note 6 – Subsequent Events

Management has evaluated subsequent events for the Funds through the date the financial statements are available to be issued, and has concluded there are no events that require financial statement disclosure and/or adjustments to the financial statements.

Page 47

Jackson National Separate Account V

Notes to Financial Statements (continued)

Note 7 - Financial Highlights

The following is a summary for each period in the five-year period ended December 31, 2011 of unit values, total returns and expense ratios for variable annuity contracts with the highest and lowest expense ratios in addition to certain other portfolio data. Unit values for portfolios that do not have any assets at period end are calculated based on the net asset value of the underlying fund less expenses charged directly to the Separate Account.

	JNL Disciplined Growth Portfolio(a)		JNL Disciplined Moderate Portfolio(a)		JNL Disciplined Moderate Growth Portfolio(a)		JNL Institutional Alt 20 Portfolio(b)		JNL Institutional Alt 35 Portfolio(b)		JNL Institutional Alt 50 Portfolio(b)		JNL Institutional Alt 65 Portfolio(b)		JNL/American Funds Blue Chip Income and Growth Portfolio(c)		JNL/American Funds Global Bond Portfolio(c)		JNL/American Funds Global Small Capitalization Portfolio(c)

Highest expense ratio
Period ended December 31, 2011

Unit Value	$	8.168945	$	9.610966	$	8.844453	$	13.404272	$	13.921520	$	14.214698	$	14.630368	$	9.983303	$	10.607426	$	8.740576
Total Return *		-4.72%		-0.93%		-2.48%		-4.16%		-5.38%		-6.18%		-6.98%		-2.86%		2.62%		-20.75%
Ratio of Expenses **		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%

Period ended December 31, 2010

Unit Value	$	8.573739	$	9.700938	$	9.069567	$	13.985593	$	14.713346	$	15.151818	$	15.727433	$	10.276950	$	10.336302	$	11.028693
Total Return *		10.89%		9.28%		11.43%		11.21%		12.49%		13.02%		13.96%		2.77%***		3.36%***		10.29%***
Ratio of Expenses **		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%

Period ended December 31, 2009

Unit Value	$	7.731663	$	8.876927	$	8.138904	$	12.576129	$	13.079912	$	13.405979	$	13.801146		n/a		n/a		n/a
Total Return *		23.34%		16.73%		20.76%		25.76%***		30.80%***		34.06%***		38.01%***		n/a		n/a		n/a
Ratio of Expenses **		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%		n/a		n/a		n/a

Period ended December 31, 2008

Unit Value	$	6.268659	$	7.604559	$	6.739491		n/a		n/a		n/a		n/a		n/a		n/a		n/a
Total Return *		-40.20%		-27.80%		-35.83%		n/a		n/a		n/a		n/a		n/a		n/a		n/a
Ratio of Expenses **		1.65%		1.65%		1.65%		n/a		n/a		n/a		n/a		n/a		n/a		n/a

Period ended December 31, 2007

Unit Value	$	10.483291	$	10.532508	$	10.502980		n/a		n/a		n/a		n/a		n/a		n/a		n/a
Total Return *		4.83%***		5.33%***		5.03%***		n/a		n/a		n/a		n/a		n/a		n/a		n/a
Ratio of Expenses **		1.65%		1.65%		1.65%		n/a		n/a		n/a		n/a		n/a		n/a		n/a

Total return for period indicated, including changes in the value of the underlying fund, and reflects 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. Total return for portfolios with no investment activity at period end is calculated based on the total return of the underlying mutual fund less expenses that are charged directly to the Separate Account.

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 funds are excluded.

***	Total return is calculated from the effective date through the end of the reporting period. The effective date is the date when the optional benefit in the variable account was elected by a contract owner.

(a)	Commencement of operations January 16, 2007.

(b)	Commencement of operations April 6, 2009

(c)	Commencement of operations May 3, 2010.

Page 48

Jackson National Separate Account V

Notes to Financial Statements (continued)

Note 7 - Financial Highlights (Continued)

	JNL Disciplined Growth Portfolio(a)		JNL Disciplined Moderate Portfolio(a)		JNL Disciplined Moderate Growth Portfolio(a)		JNL Institutional Alt 20 Portfolio(b)		JNL Institutional Alt 35 Portfolio(b)		JNL Institutional Alt 50 Portfolio(b)		JNL Institutional Alt 65 Portfolio(b)		Funds Blue Chip Income and Growth Portfolio(c)		JNL/American Funds Global Bond Portfolio(c)		Funds Global Small Capitalization Portfolio(c)

Lowest expense ratio
Period ended December 31, 2011

Unit Value	$	8.229933	$	9.682798	$	8.910381	$	13.459354	$	13.978745	$	14.268986	$	14.689741	$	10.018859	$	10.633164	$	8.762240
Total Return *		-4.58%		-0.78%		-2.34%		-4.01%		-5.24%		-6.05%		-6.84%		-2.61%		2.77%		-20.63%
Ratio of Expenses **		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%

Period ended December 31, 2010

Unit Value	$	8.624847	$	9.758812	$	9.123492	$	14.022079	$	14.751767	$	15.187069	$	15.767640	$	10.287177	$	10.346594	$	11.039533
Total Return *		11.06%		9.45%		11.60%		11.37%		12.66%		13.18%		14.13%		2.87%***		3.47%***		10.40%***
Ratio of Expenses **		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%

Period ended December 31, 2009

Unit Value	$	7.766103	$	8.916477	$	8.175057	$	12.590045	$	13.094456	$	13.418576	$	13.815776		n/a		n/a		n/a
Total Return *		23.52%		16.91%		20.95%		25.90%***		30.94%***		34.19%***		38.16%***		n/a		n/a		n/a
Ratio of Expenses **		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%		n/a		n/a		n/a

Period ended December 31, 2008

Unit Value	$	6.287130	$	7.626933	$	6.759291		n/a		n/a		n/a		n/a		n/a		n/a		n/a
Total Return *		-40.11%		-27.69%		-35.74%		n/a		n/a		n/a		n/a		n/a		n/a		n/a
Ratio of Expenses **		1.50%		1.50%		1.50%		n/a		n/a		n/a		n/a		n/a		n/a		n/a

Period ended December 31, 2007

Unit Value	$	10.498406	$	10.547703	$	10.518024		n/a		n/a		n/a		n/a		n/a		n/a		n/a
Total Return *		4.98%***		5.48%***		5.18%***		n/a		n/a		n/a		n/a		n/a		n/a		n/a
Ratio of Expenses **		1.50%		1.50%		1.50%		n/a		n/a		n/a		n/a		n/a		n/a		n/a

**	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.

***	Total return is calculated from the effective date through the end of the reporting period. The effective date is the date when the optional benefit in the variable account was elected by a contract owner.

(a)	Commencement of operations January 16, 2007.

(b)	Commencement of operations April 6, 2009.

(c)	Commencement of operations May 3, 2010.

Page 49

Jackson National Separate Account V

Notes to Financial Statements (continued)

Note 7 - Financial Highlights (continued)

	JNL Disciplined Growth Portfolio(a)		JNL Disciplined Moderate Portfolio(a)		JNL Disciplined Moderate Growth Portfolio(a)		JNL Institutional Alt 20 Portfolio(b)		JNL Institutional Alt 35 Portfolio(b)		JNL Institutional Alt 50 Portfolio(b)		JNL Institutional Alt 65 Portfolio(b)		JNL/American Funds Blue Chip Income and Growth Portfolio(c)		JNL/American Funds Global Bond Portfolio(c)		JNL/American Funds Global Small Capitalization Portfolio(c)

Portfolio data
Period ended December 31, 2011

1 Net Assets (in thousands)	$	41	$	70	$	244	$	241	$	68	$	12	$	75	$	1	$	58	$	16
1 Units Outstanding (in thousands)		5		7		28		18		5		1		5		0		6		2
Investment Income Ratio *		0.92%		1.06%		0.99%		0.49%		0.69%		0.63%		0.66%		0.61%		0.66%		0.35%

Period ended December 31, 2010

Net Assets (in thousands)	$	47	$	79	$	265	$	539	$	80	$	12	$	57	$	-	$	49	$	34
Units Outstanding (in thousands)		5		8		29		39		5		1		4		-		5		3
Investment Income Ratio *		1.08%		1.15%		0.92%		0.76%		0.56%		2.35%		0.55%		0.00%		0.00%		0.00%

Period ended December 31, 2009

Net Assets (in thousands)	$	53	$	86	$	361	$	186	$	50	$	0	$	25		n/a		n/a		n/a
Units Outstanding (in thousands)		7		10		44		15		4		0		2		n/a		n/a		n/a
Investment Income Ratio *		2.23%		2.00%		4.36%		0.00%		0.00%		0.00%		0.00%		n/a		n/a		n/a

Period ended December 31, 2008

Net Assets (in thousands)	$	54	$	73	$	76		n/a		n/a		n/a		n/a		n/a		n/a		n/a
Units Outstanding (in thousands)		9		10		11		n/a		n/a		n/a		n/a		n/a		n/a		n/a
Investment Income Ratio *		1.04%		0.99%		0.94%		n/a		n/a		n/a		n/a		n/a		n/a		n/a

Period ended December 31, 2007

Net Assets (in thousands)	$	64	$	4	$	105		n/a		n/a		n/a		n/a		n/a		n/a		n/a
Units Outstanding (in thousands)		6		0		10		n/a		n/a		n/a		n/a		n/a		n/a		n/a
Investment Income Ratio *		0.00%		0.00%		0.00%		n/a		n/a		n/a		n/a		n/a		n/a		n/a

These amounts represent the dividends, excluding distributions of capital gains, received by the portfolio from the underlying mutual fund divided by the average net assets. In some instances, the investment income ratio may be rounded to0.00% even though the portfolio received dividend income from the underlying mutual fund.

1 Some investments have a net asset and ending unit balance of less than one thousand, due to rounding it is displayed as a zero.

(a)	Commencement of operations January 16, 2007.

(b)	Commencement of operations April 6, 2009.

(c)	Commencement of operations May 3, 2010.

Page 50

Jackson National Separate Account V

Notes to Financial Statements (continued)

Note 7 - Financial Highlights (continued)

	JNL/American Funds Growth-Income Portfolio(b)		JNL/American Funds International Portfolio(b)		JNL/American Funds New World Portfolio(b)		JNL/BlackRock Commodity Securities Portfolio(a)		JNL/BlackRock Global Allocation Portfolio(c)		JNL/Brookfield Global Infrastructure Portfolio(d)		JNL/Capital Guardian Global Balanced Portfolio		JNL/Capital Guardian Global Diversified Research Portfolio		JNL/Capital Guardian U.S. Growth Equity Portfolio		JNL/Eagle Core Equity Portfolio

Highest expense ratio
Period ended December 31, 2011

Unit Value	$	9.933278	$	9.038646	$	9.472280	$	10.191294	$	9.755959	$	10.351574	$	11.628326	$	6.117261	$	5.158896	$	10.111162
Total Return *		-3.90%		-15.78%		-15.70%		-8.88%		-5.39%		3.52%***		-6.31%		-6.07%		-0.90%		-2.46%
Ratio of Expenses **		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%

Period ended December 31, 2010

Unit Value	$	10.336262	$	10.731752	$	11.236416	$	11.184455	$	10.312169		n/a	$	12.411581	$	6.512347	$	5.205550	$	10.366136
Total Return *		3.36%***		7.32%***		12.36%***		15.52%		3.12%***		n/a		7.23%		9.94%		10.83%		10.03%
Ratio of Expenses **		1.65%		1.65%		1.65%		1.65%		1.65%		n/a		1.65%		1.65%		1.65%		1.65%

Period ended December 31, 2009

Unit Value		n/a		n/a		n/a	$	9.681782		n/a		n/a	$	11.574761	$	5.923285	$	4.696874	$	9.421500
Total Return *		n/a		n/a		n/a		47.48%		n/a		n/a		20.48%		35.97%		32.61%		31.64%
Ratio of Expenses **		n/a		n/a		n/a		1.65%		n/a		n/a		1.65%		1.65%		1.65%		1.65%

Period ended December 31, 2008

Unit Value		n/a		n/a		n/a	$	6.564890		n/a		n/a	$	9.607554	$	4.356395	$	3.541947	$	7.157066
Total Return *		n/a		n/a		n/a		-52.02%		n/a		n/a		-29.46%		-43.42%		-41.84%		-40.03%
Ratio of Expenses **		n/a		n/a		n/a		1.65%		n/a		n/a		1.65%		1.65%		1.65%		1.65%

Period ended December 31, 2007

Unit Value		n/a		n/a		n/a	$	13.682419		n/a		n/a	$	13.619873	$	7.700008	$	6.090387	$	11.935323
Total Return *		n/a		n/a		n/a		36.82%***		n/a		n/a		6.18%		18.66%		7.93%		-1.07%
Ratio of Expenses **		n/a		n/a		n/a		1.65%		n/a		n/a		1.65%		1.65%		1.65%		1.65%

Charges made directly to contract owner accounts through the redemption of units and expenses of the underlying funds are excluded.

***	Total return is calculated from the effective date through the end of the reporting period. The effective date is the date when the optional benefit in the variable account was elected by a contract owner.

(a)	Commencement of operations January 16, 2007.

(b)	Commencement of operations May 3, 2010.

(c)	Commencement of operations October 11, 2010.

(d)	Commencement of operations December 12, 2011.

Page 51

Jackson National Separate Account V

Notes to Financial Statements (continued)

Note 7 - Financial Highlights (continued)

	JNL/American Funds Growth-Income Portfolio(b)		JNL/American Funds International Portfolio(b)		JNL/American Funds New World Portfolio(b)		JNL/BlackRock Commodity Securities Portfolio(a)		JNL/BlackRock Global Allocation Portfolio(c)		JNL/Brookfield Global Infrastructure Portfolio(d)		JNL/Capital Guardian Global Balanced Portfolio		JNL/Capital Guardian Global Diversified Research Portfolio		JNL/Capital Guardian U.S. Growth Equity Portfolio		JNL/Eagle Core Equity Portfolio

Lowest expense ratio
Period ended December 31, 2011

Unit Value	$	9.958173	$	9.061202	$	9.501408	$	10.267301	$	9.773863	$	10.352340	$	11.762760	$	6.668277	$	5.711481	$	10.228126
Total Return *		-3.75%		-15.65%		-15.57%		-8.74%		-5.25%		3.52%***		-6.17%		-5.93%		-0.75%		-2.31%
Ratio of Expenses **		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%

Period ended December 31, 2010

Unit Value	$	10.346633	$	10.742680	$	11.254119	$	11.251011	$	10.315610		n/a	$	12.536291	$	7.088337	$	5.754522	$	10.470375
Total Return *		3.47%***		7.43%***		12.54%***		15.69%		3.16%***		n/a		7.39%		10.11%		11.00%		10.19%
Ratio of Expenses **		1.50%		1.50%		1.50%		1.50%		1.50%		n/a		1.50%		1.50%		1.50%		1.50%

Period ended December 31, 2009

Unit Value		n/a		n/a		n/a	$	9.724795		n/a		n/a	$	11.673539	$	6.437498	$	5.184415	$	9.501975
Total Return *		n/a		n/a		n/a		47.70%		n/a		n/a		20.66%		36.17%		32.81%		31.84%
Ratio of Expenses **		n/a		n/a		n/a		1.50%		n/a		n/a		1.50%		1.50%		1.50%		1.50%

Period ended December 31, 2008

Unit Value		n/a		n/a		n/a	$	6.584181		n/a		n/a	$	9.675032	$	4.727490	$	3.903747	$	7.207373
Total Return *		n/a		n/a		n/a		-51.95%		n/a		n/a		-29.35%		-43.34%		-41.76%		-39.94%
Ratio of Expenses **		n/a		n/a		n/a		1.50%		n/a		n/a		1.50%		1.50%		1.50%		1.50%

Period ended December 31, 2007

Unit Value		n/a		n/a		n/a	$	13.702055		n/a		n/a	$	13.694992	$	8.343399	$	6.702457	$	12.001201
Total Return *		n/a		n/a		n/a		37.02%***		n/a		n/a		6.34%		18.84%		8.09%		-0.92%
Ratio of Expenses **		n/a		n/a		n/a		1.50%		n/a		n/a		1.50%		1.50%		1.50%		1.50%

Charges made directly to contract owner accounts through the redemption of units and expenses of the underlying funds are excluded.

***	Total return is calculated from the effective date through the end of the reporting period. The effective date is the date when the optional benefit in the variable account was elected by a contract owner.

(a)	Commencement of operations January 16, 2007.

(b)	Commencement of operations May 3, 2010.

(c)	Commencement of operations October 11, 2010.

(d)	Commencement of operations December 12, 2011.

Page 52

Jackson National Separate Account V

Notes to Financial Statements (continued)

Note 7 - Financial Highlights (continued)

	JNL/American Funds Growth-Income Portfolio(b)		JNL/American Funds International Portfolio(b)		JNL/American Funds New World Portfolio(b)		JNL/BlackRock Commodity Securities Portfolio(a)		JNL/BlackRock Global Allocation Portfolio(c)		JNL/Brookfield Global Infrastructure Portfolio(d)		JNL/Capital Guardian Global Balanced Portfolio		JNL/Capital Guardian Global Diversified Research Portfolio		JNL/Capital Guardian U.S. Growth Equity Portfolio		JNL/Eagle Core Equity Portfolio

Portfolio data
Period ended December 31, 2011

1 Net Assets (in thousands)	$	26	$	69	$	43	$	269	$	239	$	-	$	217	$	1,078	$	2,056	$	1,607
1 Units Outstanding (in thousands)		3		8		4		26		24		-		19		166		372		158
Investment Income Ratio *		0.55%		0.69%		0.42%		0.67%		0.43%		0.00%		0.95%		0.87%		0.32%		0.49%

Period ended December 31, 2010

Net Assets (in thousands)	$	27	$	8	$	30	$	341	$	247		n/a	$	289	$	1,340	$	2,272	$	1,882
Units Outstanding (in thousands)		3		1		3		30		24		n/a		23		193		407		180
Investment Income Ratio *		0.00%		0.00%		0.00%		0.34		0.00%		n/a		0.97%		0.66%		0.23%		0.24%

Period ended December 31, 2009

Net Assets (in thousands)		n/a		n/a		n/a	$	298		n/a		n/a	$	340	$	1,485	$	2,699	$	2,261
Units Outstanding (in thousands)		n/a		n/a		n/a		31		n/a		n/a		29		235		537		239
Investment Income Ratio *		n/a		n/a		n/a		0.74%		n/a		n/a		2.58%		1.48%		0.13%		1.04%

Period ended December 31, 2008

Net Assets (in thousands)		n/a		n/a		n/a	$	245		n/a		n/a	$	255	$	1,375	$	2,669	$	2,212
Units Outstanding (in thousands)		n/a		n/a		n/a		37		n/a		n/a		26		298		706		308
Investment Income Ratio *		n/a		n/a		n/a		0.05%		n/a		n/a		0.65%		0.00%		0.00%		2.44%

Period ended December 31, 2007

Net Assets (in thousands)		n/a		n/a		n/a	$	583		n/a		n/a	$	594	$	3,520	$	5,459	$	4,671
Units Outstanding (in thousands)		n/a		n/a		n/a		43		n/a		n/a		44		432		843		390
Investment Income Ratio *		n/a		n/a		n/a		0.00%		n/a		n/a		2.60%		0.57%		0.00%		1.80

1 Some investments have a net asset and ending unit balance of less than one thousand, due to rounding it is displayed as a zero.

(a)	Commencement of operations January 16, 2007.

(b)	Commencement of operations May 3, 2010.

(c)	Commencement of operations October 11, 2010.

(d)	Commencement of operations December 12, 2011.

Page 53

Jackson National Separate Account V

Notes to Financial Statements (continued)

Note 7 - Financial Highlights (continued)

	JNL/Eagle SmallCap Equity Portfolio		JNL/Franklin Templeton Founding Strategy Portfolio(a)		JNL/Franklin Templeton Global Growth Portfolio(a)		JNL/Franklin Templeton Global Multisector Bond Portfolio(d)		JNL/Franklin Templeton Income Portfolio		JNL/Franklin Templeton Inter- national Small Cap Growth Portfolio(b)		JNL/Franklin Templeton Mutual Shares Portfolio(a)		JNL/Franklin Templeton Small Cap Value Portfolio		JNL/Goldman Sachs Core Plus Bond Portfolio		JNL/Goldman Sachs Emerging Markets Debt Portfolio(c)

Highest expense ratio
Period ended December 31, 2011

Unit Value	$	15.491238	$	8.414359	$	7.244003	$	10.051818	$	10.976912	$	6.699602	$	8.046278	$	11.536151	$	17.516754	$	12.482381
Total Return *		-3.91%		-2.97%		-7.61%		0.52%***		0.86%		-15.78%		-2.28%		-4.32%		4.52%		-6.23%
Ratio of Expenses **		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%

Period ended December 31, 2010

Unit Value	$	16.120764	$	8.672125	$	7.841092		n/a	$	10.883511	$	7.954587	$	8.234153	$	12.056389	$	16.758952	$	13.311431
Total Return *		33.43%		8.58%		5.31%		n/a		10.72%		18.58%		9.63%		24.76%		5.87%		14.17%
Ratio of Expenses **		1.65%		1.65%		1.65%		n/a		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%

Period ended December 31, 2009

Unit Value	$	12.081879	$	7.986657	$	7.445385		n/a	$	9.829331	$	6.708465	$	7.510824	$	9.663500	$	15.830145	$	11.659673
Total Return *		33.27%		28.00%		28.69%		n/a		30.74%		50.09%		24.67%		31.41%		12.29%		20.92%
Ratio of Expenses **		1.65%		1.65%		1.65%		n/a		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%

Period ended December 31, 2008

Unit Value	$	9.065750	$	6.239342	$	5.785336		n/a	$	7.517941	$	4.469574	$	6.024749	$	7.353639	$	14.097877	$	9.642402
Total Return *		-39.29%		-37.18%		-41.59%		n/a		-30.89%		-54.66%		-38.92%		-34.22%		-6.73%		-3.58%***
Ratio of Expenses **		1.65%		1.65%		1.65%		n/a		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%

Period ended December 31, 2007

Unit Value	$	14.933697	$	9.932078	$	9.905265		n/a	$	10.877619	$	9.857515	$	9.863146	$	11.179780	$	15.114377		n/a
Total Return *		10.25%		-0.68%***		-0.95%***		n/a		0.17%		-1.42%***		-1.37%***		-7.68%		5.25%		n/a
Ratio of Expenses **		1.65%		1.65%		1.65%		n/a		1.65%		1.65%		1.65%		1.65%		1.65%		n/a

**	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.

***	Total return is calculated from the effective date through the end of the reporting period. The effective date is the date when the optional benefit in the variable account was elected by a contract owner.

(a)	Commencement of operations January 16, 2007.

(b)	Commencement of operations December 3, 2007.

(c)	Commencement of operations October 6, 2008.

(d)	Commencement of operations December 12, 2011.

Page 54

Jackson National Separate Account V

Notes to Financial Statements (continued)

Note 7 - Financial Highlights (continued)

	JNL/Eagle SmallCap Equity Portfolio		JNL/Franklin Templeton Founding Strategy Portfolio(a)		JNL/Franklin Templeton Global Growth Portfolio(a)		JNL/Franklin Templeton Global Multisector Bond Portfolio(d)		JNL/Franklin Templeton Income Portfolio		JNL/Franklin Templeton Inter- national Small Cap Growth Portfolio(b)		JNL/Franklin Templeton Mutual Shares Portfolio(a)		JNL/Franklin Templeton Small Cap Value Portfolio		JNL/ Goldman Sachs Core Plus Bond Portfolio		JNL/Goldman Sachs Emerging Markets Debt Portfolio(c)

Lowest expense ratio
Period ended December 31, 2011

Unit Value	$	15.670204	$	8.477081	$	7.298087	$	10.052559	$	11.070622	$	16.769947	$	8.106289	$	11.445400	$	18.022261	$	13.433647
Total Return *		-3.76%		-2.83%		-7.48%		0.53%***		1.01%		-15.65%		-2.14%		-4.17%		4.68%		-6.09%
Ratio of Expenses **		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%

Period ended December 31, 2010

Unit Value	$	16.282623	$	8.723699	$	7.887804		n/a	$	10.960011	$	19.881664	$	8.283168	$	11.943675	$	17.216814	$	14.304445
Total Return *		33.63%		8.75%		5.47%		n/a		10.89%		18.75%		9.80%		24.95%		6.03%		14.34%
Ratio of Expenses **		1.50%		1.50%		1.50%		n/a		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%

Period ended December 31, 2009

Unit Value	$	12.184885	$	8.022127	$	7.478487		n/a	$	9.883584	$	16.741984	$	7.544205	$	9.558804	$	16.238248	$	12.510467
Total Return *		33.47%		28.20%		28.89%		n/a		30.94%		50.32%		24.85%		31.61%		12.46%		21.08%
Ratio of Expenses **		1.50%		1.50%		1.50%		n/a		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%

Period ended December 31, 2008

Unit Value	$	9.129353	$	6.257667	$	5.802329		n/a	$	7.548110	$	11.137623	$	6.042463	$	7.263038	$	14.439639	$	10.332499
Total Return *		-39.20%		-37.09%		-41.51%		n/a		-30.78%		11.38%***		-38.82%		-34.13%		-6.59%		3.32%***
Ratio of Expenses **		1.50%		1.50%		1.50%		n/a		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%

Period ended December 31, 2007

Unit Value	$	15.015940	$	9.946322	$	9.919482		n/a	$	10.904901		n/a	$	9.877314	$	11.025491	$	15.457585		n/a
Total Return *		10.41%		-0.54%***		-0.81%***		n/a		0.32%		n/a		-1.23%***		-7.54%		5.40%		n/a
Ratio of Expenses **		1.50%		1.50%		1.50%		n/a		1.50%		n/a		1.50%		1.50%		1.50%		n/a

Charges made directly to contract owner accounts through the redemption of units and expenses of the underlying funds are excluded.

***	Total return is calculated from the effective date through the end of the reporting period. The effective date is the date when the optional benefit in the variable account was elected by a contract owner.

(a)	Commencement of operations January 16, 2007.

(b)	Commencement of operations December 3, 2007.

(c)	Commencement of operations October 6, 2008.

(d)	Commencement of operations December 12, 2011.

Page 55

Jackson National Separate Account V

Notes to Financial Statements (continued)

Note 7 - Financial Highlights (continued)

	JNL/Eagle SmallCap Equity Portfolio		JNL/Franklin Templeton Founding Strategy Portfolio(a)		JNL/Franklin Templeton Global Growth Portfolio(a)		JNL/Franklin Templeton Global Multisector Bond Portfolio(d)		JNL/Franklin Templeton Income Portfolio		JNL/Franklin Templeton Inter- national Small Cap Growth Portfolio(b)		JNL/Franklin Templeton Mutual Shares Portfolio(a)		JNL/Franklin Templeton Small Cap Value Portfolio		JNL/ Goldman Sachs Core Plus Bond Portfolio		JNL/Goldman Sachs Emerging Markets Debt Portfolio(c)

Portfolio data
Period ended December 31, 2011

1 Net Assets (in thousands)	$	834	$	199	$	67	$	-	$	712	$	167	$	379	$	176	$	1,538	$	83
1 Units Outstanding (in thousands)		53		24		9		-		65		13		47		15		86		6
Investment Income Ratio *		0.00%		1.35%		0.22%		0.00%		4.47%		1.93%		1.20%		0.16%		1.76%		4.12%

Period ended December 31, 2010

Net Assets (in thousands)	$	494	$	287	$	187		n/a	$	655	$	67	$	729	$	410	$	1,721	$	185
Units Outstanding (in thousands)		30		33		24		n/a		60		5		88		34		101		14
Investment Income Ratio *		0.21%		2.64%		2.06%		n/a		3.45%		1.09%		0.02%		0.38%		2.10%		1.06%

Period ended December 31, 2009

Net Assets (in thousands)	$	133	$	248	$	83		n/a	$	806	$	51	$	544	$	322	$	1,957	$	111
Units Outstanding (in thousands)		11		31		11		n/a		82		6		72		34		121		9
Investment Income Ratio *		0.00%		0.06%		1.49%		n/a		8.24%		1.69%		3.70%		0.83%		4.12%		0.15%

Period ended December 31, 2008

Net Assets (in thousands)	$	493	$	352	$	127		n/a	$	316	$	4	$	367	$	129	$	1,939	$	3
Units Outstanding (in thousands)		54		56		22		n/a		42		1		61		18		135		0
Investment Income Ratio *		0.00%		0.91%		0.02%		n/a		0.08%		0.63%		0.00%		0.86%		3.28%		0.00%

Period ended December 31, 2007

Net Assets (in thousands)	$	463	$	550	$	200		n/a	$	474	$	-	$	580	$	178	$	2,944		n/a
Units Outstanding (in thousands)		31		55		20		n/a		44		-		59		16		192		n/a
Investment Income Ratio *		2.11%		0.00%		0.72%		n/a		2.51%		0.00%		0.00%		2.15%		3.43%		n/a

1 Some investments have a net asset and ending unit balance of less than one thousand, due to rounding it is displayed as a zero.

(a)	Commencement of operations January 16, 2007.

(b)	Commencement of operations December 3, 2007.

(c)	Commencement of operations October 6, 2008.

(d)	Commencement of operations December 12, 2011.

Page 56

Jackson National Separate Account V

Notes to Financial Statements (continued)

Note 7 - Financial Highlights (continued)

	JNL/ Goldman Sachs Mid Cap Value Portfolio		JNL/Goldman Sachs U.S. Equity Flex Portfolio(a)		JNL/Invesco Global Real Estate Portfolio		JNL/Invesco International Growth Portfolio		JNL/Invesco Large Cap Growth Portfolio		JNL/Invesco Small Cap Growth Portfolio		JNL/Ivy Asset Strategy Portfolio(b)		JNL/JPMorgan International Value Portfolio		JNL/JPMorgan MidCap Growth Portfolio		JNL/JPMorgan U.S. Government & Quality Bond Portfolio

Highest expense ratio
Period ended December 31, 2011

Unit Value	$	10.894777	$	7.557414	$	11.174194	$	8.560142	$	10.932012	$	13.442240	$	10.188368	$	8.424659	$	12.431392	$	13.481919
Total Return *		-8.07%		-12.09%		-7.79%		-8.40%		-8.21%		-2.97%		-9.00%		-14.29%		-7.43%		8.04%
Ratio of Expenses **		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%

Period ended December 31, 2010

Unit Value	$	11.850550	$	8.596672	$	12.118633	$	9.345630	$	11.909447	$	13.853801	$	11.196490	$	9.828955	$	13.429174	$	12.478532
Total Return *		22.36%		6.92%		15.23%		10.47%		15.49%		24.15%		8.01%		5.82%		23.54%		5.59%
Ratio of Expenses **		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%

Period ended December 31, 2009

Unit Value	$	9.684932	$	8.040417	$	10.517037	$	8.459918	$	10.312512	$	11.159275	$	10.365860	$	9.288246	$	10.870257	$	11.818233
Total Return *		30.48%		22.82%		30.36%		34.75%		22.26%		32.59%		3.66%***		28.04%		40.62%		2.00%
Ratio of Expenses **		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%

Period ended December 31, 2008

Unit Value	$	7.422441	$	6.546452	$	8.067404	$	6.278250	$	8.435092	$	8.416062		n/a	$	7.254283	$	7.730234	$	11.586799
Total Return *		-37.14%		-38.70%		-36.76%		-41.90%		-38.68%		-40.72%		n/a		-45.40%		-45.35%		4.79%
Ratio of Expenses **		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%		n/a		1.65%		1.65%		1.65%

Period ended December 31, 2007

Unit Value	$	11.807642	$	10.680184	$	12.756262	$	10.806541	$	13.756575	$	14.196111		n/a	$	13.286763	$	14.145927	$	11.057343
Total Return *		1.10%		6.80%***		-16.41%		7.97%		13.85%		9.54%		n/a		10.13%		6.18%		4.63%
Ratio of Expenses **		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%		n/a		1.65%		1.65%		1.65%

Charges made directly to contract owner accounts through the redemption of units and expenses of the underlying funds are excluded.

***	Total return is calculated from the effective date through the end of the reporting period. The effective date is the date when the optional benefit in the variable account was elected by a contract owner.

(a)	Commencement of operations January 16, 2007.

(b)	Commencement of operations September 28, 2009.

Page 57

Jackson National Separate Account V

Notes to Financial Statements (continued)

Note 7 - Financial Highlights (continued)

	JNL/ Goldman Sachs Mid Cap Value Portfolio		JNL/Goldman Sachs U.S. Equity Flex Portfolio(a)		JNL/Invesco Global Real Estate Portfolio		JNL/Invesco International Growth Portfolio		JNL/Invesco Large Cap Growth Portfolio		JNL/Invesco Small Cap Growth Portfolio		JNL/Ivy Asset Strategy Portfolio(b)		JNL/JPMorgan International Value Portfolio		JNL/JPMorgan MidCap Growth Portfolio		JNL/JPMorgan U.S. Government & Quality Bond Portfolio

Lowest expense ratio
Period ended December 31, 2011

Unit Value	$	11.244118	$	7.614384	$	11.407714	$	9.140300	$	11.058499	$	13.597904	$	10.222853	$	8.720637	$	12.576103	$	13.637968
Total Return *		-7.93%		-11.96%		-7.66%		-8.27%		-8.07%		-2.83%		-8.87%		-14.16%		-7.29%		8.20%
Ratio of Expenses **		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%

Period ended December 31, 2010

Unit Value	$	12.212260	$	8.648507	$	12.353399	$	9.964104	$	12.029238	$	13.993348	$	11.217620	$	10.159070	$	13.565192	$	12.604108
Total Return *		22.54%		7.08%		15.40%		10.64%		15.66%		24.33%		8.18%		5.98%		23.73%		5.75%
Ratio of Expenses **		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%

Period ended December 31, 2009

Unit Value	$	9.965585	$	8.076752	$	10.704692	$	9.006259	$	10.400619	$	11.254772	$	10.369861	$	9.585817	$	10.963893	$	11.919268
Total Return *		30.68%		23.01%		30.56%		34.95%		22.44%		32.79%		3.70%***		28.23%		40.83%		2.15%
Ratio of Expenses **		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%

Period ended December 31, 2008

Unit Value	$	7.626083	$	6.566021	$	8.199046	$	6.673689	$	8.494410	$	8.475393		n/a	$	7.475484	$	7.785124	$	11.668340
Total Return *		-37.04%		-38.61%		-36.66%		-41.82%		-38.59%		-40.63%		n/a		-45.32%		-45.27%		4.95%
Ratio of Expenses **		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%		n/a		1.50%		1.50%		1.50%

Period ended December 31, 2007

Unit Value	$	12.113410	$	10.695502	$	12.944984	$	11.469984	$	13.832553	$	14.274724		n/a	$	13.671379	$	14.225015	$	11.118330
Total Return *		1.26%		6.96%***		-16.28%		8.13%		14.02%		9.71%		n/a		10.29%		6.35%		4.79%
Ratio of Expenses **		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%		n/a		1.50%		1.50%		1.50%

**	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.

***	Total return is calculated from the effective date through the end of the reporting period. The effective date is the date when the optional benefit in the variable account was elected by a contract owner.

(a)	Commencement of operations January 16, 2007.

(b)	Commencement of operations September 28, 2009.

Page 58

Jackson National Separate Account V

Notes to Financial Statements (continued)

Note 7 - Financial Highlights (continued)

	JNL/ Goldman Sachs Mid Cap Value Portfolio		JNL/Goldman Sachs U.S. Equity Flex Portfolio(a)		JNL/Invesco Global Real Estate Portfolio		JNL/Invesco International Growth Portfolio		JNL/Invesco Large Cap Growth Portfolio		JNL/Invesco Small Cap Growth Portfolio		JNL/Ivy Asset Strategy Portfolio(b)		JNL/JPMorgan International Value Portfolio		JNL/JPMorgan MidCap Growth Portfolio		JNL/JPMorgan U.S. Government & Quality Bond Portfolio

Portfolio data
Period ended December 31, 2011

1 Net Assets (in thousands)	$	129	$	45	$	232	$	960	$	353	$	68	$	119	$	1,111	$	611	$	639
1 Units Outstanding (in thousands)		12		6		20		107		32		5		12		129		49		47
Investment Income Ratio *		0.48%		0.12%		2.59%		0.63%		0.15%		0.00%		0.12%		2.67%		0.00%		3.27%

Period ended December 31, 2010

Net Assets (in thousands)	$	212	$	56	$	323	$	1,229	$	360	$	176	$	115	$	1,758	$	825	$	481
Units Outstanding (in thousands)		18		7		26		125		30		13		10		175		61		38
Investment Income Ratio *		0.44%		0.74%		4.27%		0.65%		0.21%		0.00%		0.00%		2.61%		0.00%		3.90%

Period ended December 31, 2009

Net Assets (in thousands)	$	213	$	37	$	248	$	1,391	$	593	$	101	$	62	$	2,037	$	813	$	381
Units Outstanding (in thousands)		22		5		23		157		57		9		6		214		74		32
Investment Income Ratio *		0.99%		0.84%		2.00%		1.72%		0.23%		0.00%		0.00%		4.04%		0.00%		1.72%

Period ended December 31, 2008

Net Assets (in thousands)	$	188	$	28	$	261	$	1,583	$	703	$	67		n/a	$	1,848	$	619	$	739
Units Outstanding (in thousands)		25		4		32		242		83		8		n/a		249		80		64
Investment Income Ratio *		0.76%		0.00%		1.65%		0.42%		0.16%		0.00%		n/a		1.79%		0.00%		3.58%

Period ended December 31, 2007

Net Assets (in thousands)	$	497	$	25	$	433	$	3,284	$	1,191	$	112		n/a	$	4,392	$	1,369	$	281
Units Outstanding (in thousands)		41		2		34		292		86		8		n/a		324		96		25
Investment Income Ratio *		1.99%		0.00%		2.70%		1.36%		0.77%		0.22%		n/a		4.76%		0.00%		6.07%

1Some investments have a net asset and ending unit balance of less than one thousand, due to rounding it is displayed as a zero.

(a)	Commencement of operations January 16, 2007.

(b)	Commencement of operations September 28, 2009.

Page 59

Jackson National Separate Account V

Notes to Financial Statements (continued)

Note 7 - Financial Highlights (continued)

	JNL/Lazard Emerging Markets Portfolio		JNL/Lazard Mid Cap Equity Portfolio		JNL/M&G Global Basics Portfolio(b)		JNL/M&G Global Leaders Portfolio(b)		JNL/MCM 10 x 10 Portfolio(a)		JNL/MCM 25 Portfolio		JNL/MCM Bond Index Portfolio		JNL/MCM Communications Sector Portfolio		JNL/MCM Consumer Brands Sector Portfolio		JNL/MCM Dow Dividend Portfolio

Highest expense ratio
Period ended December 31, 2011

Unit Value	$	11.348773	$	19.878872	$	12.725592	$	10.918532	$	8.315940	$	12.410610	$	12.787872	$	12.971810	$	12.226920	$	6.368664
Total Return *		-19.09%		-7.21%		-13.33%		-13.00%		-3.69%		7.10%		5.40%		-4.77%		4.79%		4.05%
Ratio of Expenses **		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%

Period ended December 31, 2010

Unit Value	$	14.026687	$	21.422428	$	14.682835	$	12.549975	$	8.634255	$	11.588267	$	12.132410	$	13.621324	$	11.667728	$	6.120967
Total Return *		19.91%		21.06%		21.07%		11.52%		14.53%		20.84%		4.14%		20.53%		20.75%		10.21%
Ratio of Expenses **		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%

Period ended December 31, 2009

Unit Value	$	11.697376	$	17.696293	$	12.127711	$	11.253443	$	7.539053	$	9.589692	$	11.650015	$	11.301584	$	9.662767	$	5.553733
Total Return *		68.93%		37.37%		44.59%		10.17%		22.55%		50.44%		4.02%		23.54%		30.96%		18.29%
Ratio of Expenses **		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%		1.65		1.65%		1.65%		1.65%

Period ended December 31, 2008

Unit Value	$	6.924408	$	12.882377	$	8.387420	$	8.324657	$	6.151919	$	6.374381	$	11.200082	$	9.148398	$	7.378312	$	4.695214
Total Return *		-50.87%		-39.96%		-16.13%***		-16.75%***		-37.29%		-36.29%		2.00		-40.63%		-32.57%		-50.19%
Ratio of Expenses **		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%		1.65		1.65%		1.65%		1.65%

Period ended December 31, 2007

Unit Value	$	14.092861	$	21.456850		n/a		n/a	$	9.810716	$	10.005312	$	10.980541	$	15.408184	$	10.941919	$	9.426850
Total Return *		29.64%		-4.21%		n/a		n/a		-1.89%***		-4.43%		4.68		2.59%		-9.27%		-20.14%***
Ratio of Expenses **		1.65%		1.65%		n/a		n/a		1.65%		1.65%		1.65		1.65%		1.65%		1.65%

Charges made directly to contract owner accounts through the redemption of units and expenses of the underlying funds are excluded.

***	Total return is calculated from the effective date through the end of the reporting period. The effective date is the date when the optional benefit in the variable account was elected by a contract owner.

(a)	Commencement of operations April 30, 2007.

(b)	Commencement of operations October 6, 2008.

Page 60

Jackson National Separate Account V

Notes to Financial Statements (continued)

Note 7 - Financial Highlights (continued)

	JNL/Lazard Emerging Markets Portfolio		JNL/Lazard Mid Cap Equity Portfolio		JNL/M&G Global Basics Portfolio(b)		JNL/M&G Global Leaders Portfolio(b)		JNL/MCM 10 x 10 Portfolio(a)		JNL/MCM 25 Portfolio		JNL/MCM Bond Index Portfolio		JNL/MCM Communications Sector Portfolio		JNL/MCM Consumer Brands Sector Portfolio		JNL/MCM Dow Dividend Portfolio

Lowest expense ratio
Period ended December 31, 2011

Unit Value	$	11.445739	$	20.238290	$	10.162742	$	11.417009	$	8.373116	$	12.519033	$	12.935770	$	14.370567	$	12.132442	$	7.121724
Total Return *		-18.97%		-7.07%		-13.20%		-12.98%		-3.54%		7.27%		5.56%		-4.63%		4.95%		4.20%
Ratio of Expenses **		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%

Period ended December 31, 2010

Unit Value	$	14.125375	$	21.777160	$	11.708552	$	13.120607	$	8.680616	$	11.670254	$	12.254378	$	15.067506	$	11.560251	$	6.834458
Total Return *		20.09%		21.24%		17.09%***		11.53%		14.70%		21.02%		4.30%		20.71%		20.93%		10.38%
Ratio of Expenses **		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%

Period ended December 31, 2009

Unit Value	$	11.762023	$	17.962356		n/a	$	11.763692	$	7.568168	$	9.643059	$	11.749479	$	12.482704	$	9.559521	$	6.191873
Total Return *		69.18%		37.57%		n/a		17.64%***		22.73%		50.67%		4.17%		23.72%		31.16%		18.46%
Ratio of Expenses **		1.50%		1.50%		n/a		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%

Period ended December 31, 2008

Unit Value	$	6.952240	$	13.056460		n/a		n/a	$	6.166414	$	6.400255	$	11.278781	$	10.089329	$	7.288466	$	5.226786
Total Return *		-50.79%		-39.87%		n/a		n/a		-37.20%		-36.19%		2.15%		-40.54%		-32.32%		-50.12%
Ratio of Expenses **		1.50%		1.50%		n/a		n/a		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%

Period ended December 31, 2007

Unit Value	$	14.128310	$	21.714199		n/a		n/a	$	9.818918	$	10.030673	$	11.041121	$	16.967453	$	10.768628	$	10.478416
Total Return *		29.84%		-4.07%		n/a		n/a		-1.81%***		-4.28%		4.83%		2.74%		-9.24%		-11.36%***
Ratio of Expenses **		1.50%		1.50%		n/a		n/a		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%

Charges made directly to contract owner accounts through the redemption of units and expenses of the underlying funds are excluded.

***	Total return is calculated from the effective date through the end of the reporting period. The effective date is the date when the optional benefit in the variable account was elected by a contract owner.

(a)	Commencement of operations April 30, 2007.

(b)	Commencement of operations October 6, 2008.

Page 61

Jackson National Separate Account V

Notes to Financial Statements (continued)

Note 7 - Financial Highlights (continued)

	JNL/Lazard Emerging Markets Portfolio		JNL/Lazard Mid Cap Equity Portfolio		JNL/M&G Global Basics Portfolio(b)		JNL/M&G Global Leaders Portfolio(b)		JNL/MCM 10 x 10 Portfolio(a)		JNL/MCM 25 Portfolio		JNL/MCM Bond Index Portfolio		JNL/MCM Communications Sector Portfolio		JNL/MCM Consumer Brands Sector Portfolio		JNL/MCM Dow Dividend Portfolio

Portfolio data
Period ended December 31, 2011

1 Net Assets (in thousands)	$	630	$	1,614	$	119	$	2	$	334	$	122	$	303	$	67	$	27	$	188
1 Units Outstanding (in thousands)		55		80		9		0		40		10		24		5		2		29
Investment Income Ratio *		0.84%		0.60%		0.57%		0.66%		1.37%		2.29%		2.96%		2.11%		0.33%		2.25%

Period ended December 31, 2010

Net Assets (in thousands)	$	1,218	$	2,113	$	10	$	21	$	380	$	134	$	253	$	130	$	32	$	37
Units Outstanding (in thousands)		86		98		1		2		44		11		21		9		3		6
Investment Income Ratio *		0.52%		0.44%		0.63%		0.33%		1.54%		1.91%		2.36%		2.36%		0.55%		2.02%

Period ended December 31, 2009

Net Assets (in thousands)	$	1,006	$	2,480	$	-	$	23	$	539	$	178	$	333	$	106	$	28	$	71
Units Outstanding (in thousands)		86		139		-		2		71		18		28		9		3		13
Investment Income Ratio *		1.78%		0.72%		0.00%		0.60%		3.05%		3.65%		2.33%		3.66%		0.45%		9.03%

Period ended December 31, 2008

Net Assets (in thousands)	$	519	$	2,278	$	-	$	-	$	716	$	165	$	485	$	101	$	19	$	68
Units Outstanding (in thousands)		75		175		-		-		116		26		43		10		3		14
Investment Income Ratio *		0.85%		1.14%		0.00%		0.00%		4.59%		12.86%		3.02%		4.91		0.29%		1.08%

Period ended December 31, 2007

Net Assets (in thousands)	$	939	$	4,836		n/a		n/a	$	84	$	31	$	642	$	212	$	28	$	-
Units Outstanding (in thousands)		66		224		n/a		n/a		9		3		58		13		3		-
Investment Income Ratio *		0.30%		4.55%		n/a		n/a		0.00%		1.11%		4.12%		3.23%		0.44%		0.00%

1 Some investments have a net asset and ending unit balance of less than one thousand, due to rounding it is displayed as a zero.

(a)	Commencement of operations April 30, 2007.

(b)	Commencement of operations October 6, 2008.

Page 62

Jackson National Separate Account V

Notes to Financial Statements (continued)

Note 7 - Financial Highlights (continued)

	JNL/MCM Emerging Markets Index Portfolio(d)		JNL/MCM European 30 Portfolio(b)		JNL/MCM Financial Sector Portfolio		JNL/MCM Global Alpha Portfolio(c)		JNL/MCM Healthcare Sector Portfolio		JNL/MCM Index 5 Portfolio(a)		JNL/MCM International Index Portfolio		JNL/MCM JNL 5 Portfolio		JNL/MCM JNL Optimized 5 Portfolio		JNL/MCM Nasdaq 25 Portfolio

Highest expense ratio
Period ended December 31, 2011

Unit Value	$	9.042639	$	10.913000	$	5.723043	$	10.380762	$	12.284972	$	9.213671	$	11.318129	$	9.673174	$	8.529134	$	9.054508
Total Return *		-0.08%***		-8.87%		-14.31%		1.20%		9.07%		-3.68%		-13.69%		-3.67%		-11.31%		0.32%
Ratio of Expenses **		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%

Period ended December 31, 2010

Unit Value		n/a	$	11.975051	$	6.678908	$	10.257289	$	11.263429	$	9.565781	$	13.114023	$	10.041369	$	9.617287	$	9.025744
Total Return *		n/a		0.46%		11.63%		4.26%		2.18%		13.89%		5.06%		15.19%		11.81%		15.28%
Ratio of Expenses **		n/a		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%

Period ended December 31, 2009

Unit Value		n/a	$	11.919975	$	5.983140	$	9.838104	$	11.023639	$	8.399242	$	12.481960	$	8.717048	$	8.601527	$	7.829316
Total Return *		n/a		38.72%		16.68%		-1.62%***		18.99%		23.11%		27.17%		22.11%		35.47%		31.91%
Ratio of Expenses **		n/a		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%

Period ended December 31, 2008

Unit Value		n/a	$	8.592666	$	5.128038		n/a	$	9.264350	$	6.822316	$	9.815528	$	7.138972	$	6.349440	$	5.935342
Total Return *		n/a		-14.07%***		-51.45%		n/a		-24.46%		-31.02%		-43.86%		-43.48%		-46.96%		-42.47%
Ratio of Expenses **		n/a		1.65%		1.65%		n/a		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%

Period ended December 31, 2007

Unit Value		n/a		n/a	$	10.562850		n/a	$	12.264246	$	9.889845	$	17.483311	$	12.630197	$	11.971342	$	10.316556
Total Return *		n/a		n/a		-18.72%		n/a		5.80%		-1.10%***		8.57%		-0.23%		11.71%		3.17%***
Ratio of Expenses **		n/a		n/a		1.65%		n/a		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%

***	Total return is calculated from the effective date through the end of the reporting period. The effective date is the date when the optional benefit in the variable account was elected by a contract owner.

(a)	Commencement of operations April 30, 2007.

(b)	Commencement of operations October 6, 2008.

(c)	Commencement of operations September 28, 2009.

(d)	Commencement of operations August 29, 2011.

Page 63

Jackson National Separate Account V

Notes to Financial Statements (continued)

Note 7 - Financial Highlights (continued)

	JNL/MCM Emerging Markets Index Portfolio(d)		JNL/MCM European 30 Portfolio(b)		JNL/MCM Financial Sector Portfolio		JNL/MCM Global Alpha Portfolio(c)		JNL/MCM Healthcare Sector Portfolio		JNL/MCM Index 5 Portfolio(a)		JNL/MCM International Index Portfolio		JNL/MCM JNL 5 Portfolio		JNL/MCM JNL Optimized 5 Portfolio		JNL/MCM Nasdaq 25 Portfolio

Lowest expense ratio
Period ended December 31, 2011

Unit Value	$	9.043307	$	11.740317	$	6.203502	$	10.415939	$	12.343555	$	9.283391	$	11.449043	$	11.038740	$	8.603061	$	10.138648
Total Return *		-0.07%***		-8.73%		-14.18%		1.36%		9.23%		-3.47%		-13.57%		-3.52%		-11.18%		0.52%
Ratio of Expenses **		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%

Period ended December 31, 2010

Unit Value		n/a	$	12.863412	$	7.228784	$	10.276667	$	11.300240	$	9.617432	$	13.245889	$	11.441799	$	9.686123	$	10.086530
Total Return *		n/a		0.61%		11.80%		4.42%		2.33%		14.06%		5.22%		15.37%		11.98%		15.45%
Ratio of Expenses **		n/a		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%

Period ended December 31, 2009

Unit Value		n/a	$	12.785008	$	6.465999	$	9.841909	$	11.043089	$	8.431590	$	12.588567	$	9.917893	$	8.650118	$	8.736362
Total Return *		n/a		27.85%***		16.85%		-1.58%***		19.17%		23.28%		27.36%		22.29%		35.67%		32.11%
Ratio of Expenses **		n/a		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%

Period ended December 31, 2008

Unit Value		n/a		n/a	$	5.533570		n/a	$	9.266779	$	6.839467	$	9.884524	$	8.110247	$	6.375734	$	6.612939
Total Return *		n/a		n/a		-51.38%		n/a		-24.35%		-30.91%		-43.77%		-43.39%		-46.88%		-33.87%***
Ratio of Expenses **		n/a		n/a		1.50%		n/a		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%

Period ended December 31, 2007

Unit Value		n/a		n/a	$	11.381105		n/a	$	12.249077	$	9.899824	$	17.579822	$	14.327055	$	12.002907		n/a
Total Return *		n/a		n/a		-18.60%		n/a		5.96%		-1.00%***		8.74%		-0.08%		11.88%		n/a
Ratio of Expenses **		n/a		n/a		1.50%		n/a		1.50%		1.50%		1.50%		1.50%		1.50%		n/a

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 funds are excluded.

***	Total return is calculated from the effective date through the end of the reporting period. The effective date is the date when the optional benefit in the variable account was elected by a contract owner.

(a)	Commencement of operations April 30, 2007.

(b)	Commencement of operations October 6, 2008.

(c)	Commencement of operations September 28, 2009.

(d)	Commencement of operations August 29, 2011.

Page 64

Jackson National Separate Account V

Notes to Financial Statements (continued)

Note 7 - Financial Highlights (continued)

	JNL/MCM Emerging Markets Index Portfolio(d)		JNL/MCM European 30 Portfolio(b)		JNL/MCM Financial Sector Portfolio		JNL/MCM Global Alpha Portfolio(c)		JNL/MCM Healthcare Sector Portfolio		JNL/MCM Index 5 Portfolio(a)		JNL/MCM International Index Portfolio		JNL/MCM JNL 5 Portfolio		JNL/MCM JNL Optimized 5 Portfolio		JNL/MCM Nasdaq 25 Portfolio

Portfolio data
Period ended December 31, 2011

1 Net Assets (in thousands)	$	-	$	8	$	58	$	-	$	188	$	164	$	281	$	2,711	$	95	$	28
1 Units Outstanding (in thousands)		-		1		10		-		15		18		25		257		11		3
Investment Income Ratio *		0.00%		1.75%		0.76%		0.00%		0.75%		0.94%		2.32%		3.01%		1.81%		0.86%

Period ended December 31, 2010

Net Assets (in thousands)		n/a	$	13	$	66	$	-	$	205	$	170	$	409	$	3,414	$	136	$	-
Units Outstanding (in thousands)		n/a		1		10		-		18		18		31		312		14		-
Investment Income Ratio *		n/a		0.06%		1.08%		0.00%		0.95%		0.76%		1.74%		1.93%		1.50%		0.00%

Period ended December 31, 2009

Net Assets (in thousands)		n/a	$	5	$	76	$	-	$	237	$	220	$	482	$	4,180	$	242	$	48
Units Outstanding (in thousands)		n/a		0		13		-		21		26		38		439		28		6
Investment Income Ratio *		n/a		2.29%		0.71%		0.00%		1.36%		1.13%		2.11%		3.37%		2.62%		0.00%

Period ended December 31, 2008

Net Assets (in thousands)		n/a	$	-	$	162		n/a	$	187	$	157	$	564	$	4,659	$	190	$	71
Units Outstanding (in thousands)		n/a		-		30		n/a		20		23		57		597		30		11
Investment Income Ratio *		n/a		0.00%		2.10%		n/a		0.61%		2.25%		1.74%		1.85%		0.01%		0.24%

Period ended December 31, 2007

Net Assets (in thousands)		n/a		n/a	$	147		n/a	$	385	$	21	$	1,659	$	13,147	$	616	$	-
Units Outstanding (in thousands)		n/a		n/a		13		n/a		31		2		95		949		51		-
Investment Income Ratio *		n/a		n/a		1.04%		n/a		0.73%		0.00%		2.95%		1.62%		4.06%		0.00%

1Some investments have a net asset and ending unit balance of less than one thousand, due to rounding it is displayed as a zero.

(a)	Commencement of operations April 30, 2007.

(b)	Commencement of operations October 6, 2008.

(c)	Commencement of operations September 28, 2009.

(d)	Commencement of operations August 29, 2011.

Page 65

Jackson National Separate Account V

Notes to Financial Statements (continued)

Note 7 - Financial Highlights (continued)

	JNL/MCM NYSE International 25 Portfolio(a)		JNL/MCM Oil & Gas Sector Portfolio		JNL/MCM Pacific Rim 30 Portfolio(b)		JNL/MCM S&P 24 Portfolio		JNL/MCM S&P 400 MidCap Index Portfolio		JNL/MCM S&P 500 Index Portfolio		JNL/MCM S&P SMid 60 Portfolio(a)		JNL/MCM Select Small-Cap Portfolio		JNL/MCM Small Cap Index Portfolio		JNL/MCM Technology Sector Portfolio

Highest expense ratio
Period ended December 31, 2011

Unit Value	$	6.194211	$	25.223792	$	12.516627	$	8.992734	$	14.077112	$	11.168650	$	10.389306	$	5.974364	$	12.336312	$	12.480365
Total Return *		-25.10%		1.59%		-3.48%		3.20%		-3.74%		-0.19%		-9.22%		-0.30%		-5.90%		-1.95%
Ratio of Expenses **		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%

Period ended December 31, 2010

Unit Value	$	8.269857	$	24.830043	$	12.967305	$	8.714134	$	14.623918	$	11.189595	$	11.444653	$	5.992173	$	13.109899	$	12.729098
Total Return *		0.59%		17.16%		11.04%		14.66%		23.77%		12.56		18.78%		13.35%		24.26%		10.27%
Ratio of Expenses **		1.65%		1.65%		1.65%		1.65%		1.65%		1.65		1.65%		1.65%		1.65%		1.65%

Period ended December 31, 2009

Unit Value	$	8.221329	$	21.193363	$	11.677726	$	7.600232	$	11.814977	$	9.940594	$	9.634776	$	5.286536	$	10.550713	$	11.543231
Total Return *		33.82%		18.12%		14.38%		16.89%		35.77%		23.91%		58.95%		3.18%		25.29%		61.14%
Ratio of Expenses **		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%

Period ended December 31, 2008

Unit Value	$	6.143798	$	17.942342	$	9.562853	$	6.501957	$	8.701934	$	8.022588	$	6.061684	$	5.123746	$	8.420943	$	7.163504
Total Return *		-46.81%		-38.88%		-4.37%***		-33.83%		-38.61%		-38.66%		-31.37%		-41.04%		-35.99%		-44.34%
Ratio of Expenses **		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%

Period ended December 31, 2007

Unit Value	$	11.551685	$	29.355941		n/a	$	9.826362	$	14.173799	$	13.079399	$	8.831831	$	8.689928	$	13.156446	$	12.871264
Total Return *		15.52%***		33.06%		n/a		-1.74%***		5.68%		3.17%		-11.68%***		-11.92%		-3.72%		12.68%
Ratio of Expenses **		1.65%		1.65%		n/a		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%

Charges made directly to contract owner accounts through the redemption of units and expenses of the underlying funds are excluded.

***	Total return is calculated from the effective date through the end of the reporting period. The effective date is the date when the optional benefit in the variable account was elected by a contract owner.

(a)	Commencement of operations April 30, 2007.

(b)	Commencement of operations October 6, 2008.

Page 66

Jackson National Separate Account V

Notes to Financial Statements (continued)

Note 7 - Financial Highlights (continued)

	JNL/MCM NYSE International 25 Portfolio(a)		JNL/MCM Oil & Gas Sector Portfolio		JNL/MCM Pacific Rim 30 Portfolio(b)		JNL/MCM S&P 24 Portfolio		JNL/MCM S&P 400 MidCap Index Portfolio		JNL/MCM S&P 500 Index Portfolio		JNL/MCM S&P SMid 60 Portfolio(a)		JNL/MCM Select Small-Cap Portfolio		JNL/MCM Small Cap Index Portfolio		JNL/MCM Technology Sector Portfolio

Lowest expense ratio
Period ended December 31, 2011

Unit Value	$	6.237487	$	25.567191	$	10.460201	$	9.405686	$	14.239938	$	11.297782	$	10.462475	$	6.025388	$	12.479068	$	12.012722
Total Return *		-24.99%		1.74%		-3.21%		3.46%		-3.60%		-0.04%		-9.09%		-0.15%		-5.76%		-1.81%
Ratio of Expenses **		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%

Period ended December 31, 2010

Unit Value	$	8.315319	$	25.130459	$	10.807160	$	9.091140	$	14.770999	$	11.302050	$	11.508095	$	6.034283	$	13.241781	$	12.233813
Total Return *		0.74%		17.34%		8.07%***		14.82%		23.96%		12.73%		18.96%		13.52%		24.44%		10.44%
Ratio of Expenses **		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%

Period ended December 31, 2009

Unit Value	$	8.254119	$	21.417629		n/a	$	7.917608	$	11.915913	$	10.025444	$	9.673668	$	5.315701	$	10.640867	$	11.077428
Total Return *		34.02%		18.30%		n/a		17.07%		35.98%		24.09%		59.18%		3.33%		25.48%		61.38%
Ratio of Expenses **		1.50%		1.50%		n/a		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%

Period ended December 31, 2008

Unit Value	$	6.159092	$	18.105017		n/a	$	6.763339	$	8.763115	$	8.078944	$	6.077004	$	5.144294	$	8.480174	$	6.864136
Total Return *		-46.74%		-38.79%		n/a		-32.37%***		-38.51%		-38.57%		-31.25%		-40.95%		-35.90%		-44.26%
Ratio of Expenses **		1.50%		1.50%		n/a		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%

Period ended December 31, 2007

Unit Value	$	11.563308	$	29.577691		n/a		n/a	$	14.252056	$	13.151554	$	8.839370	$	8.711693	$	13.229122	$	12.314873
Total Return *		15.63%***		33.26%		n/a		n/a		5.84%		3.33%		-11.61%***		-11.79%		-3.57%		12.85%
Ratio of Expenses **		1.50%		1.50%		n/a		n/a		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%

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 funds are excluded.

***	Total return is calculated from the effective date through the end of the reporting period. The effective date is the date when the optional benefit in the variable account was elected by a contract owner.

(a)	Commencement of operations April 30, 2007.

(b)	Commencement of operations October 6, 2008.

Page 67

Jackson National Separate Account V

Notes to Financial Statements (continued)

Note 7 - Financial Highlights (continued)

	JNL/MCM NYSE International 25 Portfolio(a)		JNL/MCM Oil & Gas Sector Portfolio		JNL/MCM Pacific Rim 30 Portfolio(b)		JNL/MCM S&P 24 Portfolio		JNL/MCM S&P 400 MidCap Index Portfolio		JNL/MCM S&P 500 Index Portfolio		JNL/MCM S&P SMid 60 Portfolio(a)		JNL/MCM Select Small-Cap Portfolio		JNL/MCM Small Cap Index Portfolio		JNL/MCM Technology Sector Portfolio

Portfolio data
Period ended December 31, 2011

1 Net Assets (in thousands)	$	11	$	933	$	4	$	0	$	163	$	2,846	$	118	$	272	$	1,666	$	72
1 Units Outstanding (in thousands)		2		37		0		0		11		253		11		45		134		6
Investment Income Ratio *		1.89%		0.66%		0.92%		0.01%		0.49%		1.59%		0.21%		1.23%		0.69%		0.17%

Period ended December 31, 2010

Net Assets (in thousands)	$	23	$	1,203	$	9	$	21	$	250	$	3,463	$	95	$	110	$	2,228	$	99
Units Outstanding (in thousands)		3		48		1		2		17		308		8		18		169		8
Investment Income Ratio *		0.99%		0.99%		0.00%		0.16%		0.42%		1.35%		0.07%		0.65%		0.56%		0.15%

Period ended December 31, 2009

Net Assets (in thousands)	$	90	$	1,101	$	46	$	74	$	484	$	3,297	$	100	$	132	$	2,579	$	151
Units Outstanding (in thousands)		11		52		4		10		41		330		10		25		243		13
Investment Income Ratio *		5.20%		0.74%		1.40%		0.28%		1.29%		1.64%		0.87%		0.83%		0.99%		0.06%

Period ended December 31, 2008

Net Assets (in thousands)	$	51	$	1,495	$	-	$	25	$	339	$	540	$	55	$	50	$	304	$	128
Units Outstanding (in thousands)		8		83		-		4		39		67		9		10		36		18
Investment Income Ratio *		0.03%		0.59%		0.00%		0.00%		0.82%		1.20%		0.04%		0.30%		0.95%		0.03%

Period ended December 31, 2007

Net Assets (in thousands)	$	16	$	2,102		n/a	$	-	$	819	$	1,428	$	1	$	62	$	615	$	299
Units Outstanding (in thousands)		1		71		n/a		-		58		109		0		7		47		24
Investment Income Ratio *		1.27%		1.01%		n/a		0.00%		1.00%		1.30%		0.44%		9.59%		1.32%		0.09%

1 Some investments have a net asset and ending unit balance of less than one thousand, due to rounding it is displayed as a zero.

(a)	Commencement of operations April 30, 2007.

(b)	Commencement of operations October 6, 2008.

Page 68

Jackson National Separate Account V

Notes to Financial Statements (continued)

Note 7 - Financial Highlights (continued)

	JNL/MCM Value Line 30 Portfolio		JNL/MCM VIP Portfolio		JNL/ Oppenheimer Global Growth Portfolio		JNL/PAM Asia ex-Japan Portfolio(b)		JNL/PAM China-India Portfolio(b)		JNL/PIMCO Real Return Portfolio(a)		JNL/PIMCO Total Return Bond Portfolio		JNL/PPM America Floating Rate Income Portfolio		JNL/ PPM America High Yield Bond Portfolio		JNL/ PPM America Mid Cap Value Portfolio(c)

Highest expense ratio
Period ended December 31, 2011

Unit Value	$	5.294216	$	9.723832	$	12.332585	$	8.424602	$	7.935972	$	13.881071	$	17.934558	$	9.960436	$	16.430869	$	9.474806
Total Return *		-24.24%		-5.24%		-9.72%		-22.48%		-29.07%		9.89%		3.12%		-1.58%***		2.96%		-8.92%
Ratio of Expenses **		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%

Period ended December 31, 2010

Unit Value	$	6.988146	$	10.261278	$	13.660017	$	10.867837	$	11.188047	$	12.631716	$	17.392443		n/a	$	15.958077	$	10.402987
Total Return *		20.45%		13.43%		13.49%		17.45%		15.01%		5.96%		5.81%		n/a		13.74%		27.46%
Ratio of Expenses **		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%		n/a		1.65%		1.65%

Period ended December 31, 2009

Unit Value	$	5.801756	$	9.046248	$	12.036151	$	9.253187	$	9.727635	$	11.921178	$	16.437423		n/a	$	14.030401	$	8.161796
Total Return *		12.81%		21.92%		37.14%		66.82%		79.28%		15.33%		13.57%		n/a		43.91%		44.97%
Ratio of Expenses **		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%		n/a		1.65%		1.65%

Period ended December 31, 2008

Unit Value	$	5.143082	$	7.419727	$	8.776473	$	5.546913	$	5.425816	$	10.336905	$	14.474004		n/a	$	9.749463	$	5.629914
Total Return *		-48.30%		-43.72%		-41.83%		-44.53%***		-45.74%***		-5.31%		-1.24%		n/a		-31.89%		-43.70%***
Ratio of Expenses **		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%		n/a		1.65%		1.65%

Period ended December 31, 2007

Unit Value	$	9.948872	$	13.184426	$	15.087951		n/a		n/a	$	10.916235	$	14.656314		n/a	$	14.313868		n/a
Total Return *		-0.51%***		8.93%		4.58%		n/a		n/a		9.16%***		6.47%		n/a		-2.73%		n/a
Ratio of Expenses **		1.65%		1.65%		1.65%		n/a		n/a		1.65%		1.65%		n/a		1.65%		n/a

Charges made directly to contract owner accounts through the redemption of units and expenses of the underlying funds are excluded.

***	Total return is calculated from the effective date through the end of the reporting period. The effective date is the date when the optional benefit in the variable account was elected by a contract owner.

(a)	Commencement of operations January 16, 2007.

(b)	Commencement of operations December 3, 2007.

(c)	Commencement of operations March 31, 2008.

Page 69

Jackson National Separate Account V

Notes to Financial Statements (continued)

Note 7 - Financial Highlights (continued)

	JNL/MCM Value Line 30 Portfolio		JNL/MCM VIP Portfolio		JNL/ Oppenheimer Global Growth Portfolio		JNL/PAM Asia ex-Japan Portfolio(b)		JNL/PAM China-India Portfolio(b)		JNL/PIMCO Real Return Portfolio(a)		JNL/PIMCO Total Return Bond Portfolio		JNL/PPM America Floating Rate Income Portfolio		JNL/ PPM America High Yield Bond Portfolio		JNL/ PPM America Mid Cap Value Portfolio(c)

Lowest expense ratio
Period ended December 31, 2011

Unit Value	$	6.108090	$	10.335898	$	12.844739	$	8.066611	$	7.717233	$	13.984737	$	18.389866	$	9.970419	$	16.524961	$	18.406329
Total Return *		-24.13%		-5.09%		-9.58%		-22.37%		-28.96%		10.06%		3.27%		-1.48%***		3.12%		-8.79%
Ratio of Expenses **		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%

Period ended December 31, 2010

Unit Value	$	8.050394	$	10.890645	$	14.206038	$	10.390480	$	10.863371	$	12.707026	$	17.807334		n/a	$	16.025465	$	20.179263
Total Return *		20.63%		13.60%		13.66%		17.63%		15.19%		6.12%		5.97%		n/a		13.91%		27.65%
Ratio of Expenses **		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%		n/a		1.50%		1.50%

Period ended December 31, 2009

Unit Value	$	6.673626	$	9.586965	$	12.498507	$	8.833493	$	9.431174	$	11.974282	$	16.804309		n/a	$	14.068527	$	15.808337
Total Return *		12.98%		22.10%		37.35%		67.07%		79.55%		15.50%		13.74%		n/a		44.13%		45.19%
Ratio of Expenses **		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%		n/a		1.50%		1.50%

Period ended December 31, 2008

Unit Value	$	5.907106	$	7.851441	$	9.099953	$	5.287416	$	5.252532	$	10.367391	$	14.774893		n/a	$	9.761301	$	10.887917
Total Return *		-40.93%***		-43.64%		-41.74%		-47.13%***		-47.47%***		-5.16%		-1.10%		n/a		-31.79%		8.88%***
Ratio of Expenses **		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%		n/a		1.50%		1.50%

Period ended December 31, 2007

Unit Value		n/a	$	13.930646	$	15.620614		n/a		n/a	$	10.932025	$	14.938563		n/a	$	14.309762		n/a
Total Return *		n/a		9.10%		4.73%		n/a		n/a		9.32%***		6.63%		n/a		-2.58%		n/a
Ratio of Expenses **		n/a		1.50%		1.50%		n/a		n/a		1.50%		1.50%		n/a		1.50%		n/a

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 funds are excluded.

***	Total return is calculated from the effective date through the end of the reporting period. The effective date is the date when the optional benefit in the variable account was elected by a contract owner.

(a)	Commencement of operations January 16, 2007.

(b)	Commencement of operations December 3, 2007.

(c)	Commencement of operations March 31, 2008.

Page 70

Jackson National Separate Account V

Notes to Financial Statements (continued)

Note 7 - Financial Highlights (continued)

	JNL/MCM Value Line 30 Portfolio		JNL/MCM VIP Portfolio		JNL/ Oppenheimer Global Growth Portfolio		JNL/PAM Asia ex-Japan Portfolio(b)		JNL/PAM China-India Portfolio(b)		JNL/PIMCO Real Return Portfolio(a)		JNL/PIMCO Total Return Bond Portfolio		JNL/PPM America Floating Rate Income Portfolio		JNL/ PPM America High Yield Bond Portfolio		JNL/ PPM America Mid Cap Value Portfolio(c)

Portfolio data
Period ended December 31, 2011

1 Net Assets (in thousands)	$	29	$	308	$	1,361	$	76	$	26	$	805	$	5,738	$	-	$	1,403	$	11
1 Units Outstanding (in thousands)		5		30		107		9		3		58		315		-		85		1
Investment Income Ratio *		0.00%		1.02%		0.54%		0.26%		0.12%		0.86%		2.68%		0.00%		5.81%		0.04%

Period ended December 31, 2010

Net Assets (in thousands)	$	38	$	303	$	1,736	$	204	$	98	$	785	$	6,557		n/a	$	1,776	$	57
Units Outstanding (in thousands)		5		28		123		19		9		62		371		n/a		111		5
Investment Income Ratio *		0.46%		2.15%		0.70%		0.08%		0.00%		1.26%		2.03%		n/a		6.23%		0.00%

Period ended December 31, 2009

Net Assets (in thousands)	$	79	$	347	$	1,984	$	249	$	119	$	858	$	6,622		n/a	$	1,758	$	20
Units Outstanding (in thousands)		13		36		160		28		12		72		397		n/a		125		2
Investment Income Ratio *		0.15%		1.33%		1.42%		0.01%		0.00%		3.22%		2.22%		n/a		5.63%		0.39%

Period ended December 31, 2008

Net Assets (in thousands)	$	94	$	430	$	1,641	$	58	$	6	$	710	$	7,035		n/a	$	1,368	$	25
Units Outstanding (in thousands)		16		55		182		11		1		69		479		n/a		140		3
Investment Income Ratio *		0.72%		0.95%		1.27%		0.75%		0.00%		1.40%		3.97%		n/a		8.34%		1.02%

Period ended December 31, 2007

Net Assets (in thousands)	$	-	$	1,332	$	3,343		n/a		n/a	$	104	$	8,236		n/a	$	2,587		n/a
Units Outstanding (in thousands)		-		97		216		n/a		n/a		10		554		n/a		181		n/a
Investment Income Ratio *		0.00%		2.14%		0.99%		n/a		n/a		0.00%		4.53%		n/a		7.21%		n/a

These amounts represent the dividends, excluding distributions of capital gains, received by the portfolio from the underlying mutual fund divided by the average net assets. In some instances, the investment income ratio may be rounded to 0.00% even though the portfolio received dividend income from the underlying mutual fund.

1 Some investments have a net asset and ending unit balance of less than one thousand, due to rounding it is displayed as a zero.

(a)	Commencement of operations January 16, 2007.

(b)	Commencement of operations December 3, 2007.

(c)	Commencement of operations March 31, 2008.

Page 71

Jackson National Separate Account V

Notes to Financial Statements (continued)

Note 7 - Financial Highlights (continued)

	JNL/ PPM America Small Cap Value Portfolio(b)		JNL/ PPM America Value Equity Portfolio		JNL/ Red Rocks Listed Private Equity Portfolio(c)		JNL/S&P 4 Portfolio(a)		JNL/S&P Competitive Advantage Portfolio(a)		JNL/S&P Dividend Income & Growth Portfolio(a)		JNL/S&P Intrinsic Value Portfolio(a)		JNL/ S&P Managed Aggressive Growth Portfolio		JNL/ S&P Managed Conservative Portfolio		JNL/ S&P Managed Growth Portfolio

Highest expense ratio
Period ended December 31, 2011

Unit Value	$	9.342189	$	9.179973	$	8.194532	$	10.849365	$	11.762134	$	11.111740	$	11.385436	$	12.014028	$	11.765043	$	12.151793
Total Return *		-9.53%		-6.81%		-19.31%		4.14%		8.72%		10.59%		4.78%		-6.35%		1.44%		-4.72%
Ratio of Expenses **		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%

Period ended December 31, 2010

Unit Value	$	10.325729	$	9.850769	$	10.155216	$	10.418059	$	10.818391	$	10.047850	$	10.866382	$	12.828346	$	11.598195	$	12.753832
Total Return *		25.62%		15.54%		24.25%		11.93%		10.78%		16.31%		12.52%		15.17%		6.92%		14.22%
Ratio of Expenses **		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%

Period ended December 31, 2009

Unit Value	$	8.219810	$	8.526127	$	8.173253	$	9.307495	$	9.765415	$	8.639170	$	9.657372	$	11.138711	$	10.847412	$	11.166190
Total Return *		31.78%		42.21%		38.03%		39.53%		41.86%		21.45%		54.47%		28.90%		11.67%		25.97%
Ratio of Expenses **		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%

Period ended December 31, 2008

Unit Value	$	6.237442	$	5.995373	$	5.921322	$	6.670761	$	6.883938	$	7.113548	$	6.252101	$	8.641194	$	9.713922	$	8.864497
Total Return *		-37.63%***		-48.08%		-40.79%***		-32.74%		-30.56%		-27.14%		-36.95%		-40.15%		-15.16%		-36.41%
Ratio of Expenses **		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%

Period ended December 31, 2007

Unit Value		n/a	$	11.546240		n/a	$	9.917437	$	9.913348	$	9.763603	$	9.916059	$	14.438856	$	11.449966	$	13.941125
Total Return *		n/a		-7.18%		n/a		-0.83%***		-0.87%***		-2.36%***		-0.84%***		7.37%		4.55%		6.91%
Ratio of Expenses **		n/a		1.65%		n/a		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%

Charges made directly to contract owner accounts through the redemption of units and expenses of the underlying funds are excluded.

***	Total return is calculated from the effective date through the end of the reporting period. The effective date is the date when the optional benefit in the variable account was elected by a contract owner.

(a)	Commencement of operations December 3, 2007.

(b)	Commencement of operations March 31, 2008.

(c)	Commencement of operations October 6, 2008.

Page 72

Jackson National Separate Account V

Notes to Financial Statements (continued)

Note 7 - Financial Highlights (continued)

	JNL/ PPM America Small Cap Value Portfolio(b)		JNL/ PPM America Value Equity Portfolio		JNL/ Red Rocks Listed Private Equity Portfolio(c)		JNL/S&P 4 Portfolio(a)		JNL/S&P Competitive Advantage Portfolio(a)		JNL/S&P Dividend Income & Growth Portfolio(a)		JNL/S&P Intrinsic Value Portfolio(a)		JNL/ S&P Managed Aggressive Growth Portfolio		JNL/ S&P Managed Conservative Portfolio		JNL/ S&P Managed Growth Portfolio

Lowest expense ratio
Period ended December 31, 2011

Unit Value	$	8.720963	$	9.286020	$	14.612640	$	11.243330	$	12.147310	$	12.634958	$	12.024888	$	12.152991	$	11.892347	$	12.292345
Total Return *		-9.39%		-6.67%		-19.19%		4.30%		8.89%		10.75%		4.93%		-6.21%		1.59%		-4.58%
Ratio of Expenses **		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%

Period ended December 31, 2010

Unit Value	$	9.624691	$	9.949726	$	18.081944	$	10.780230	$	11.155885	$	11.408080	$	11.459486	$	12.957323	$	11.706229	$	12.882062
Total Return *		25.83%		15.71%		24.44%		12.10%		10.95%		16.48%		12.69%		15.34%		7.08%		14.39%
Ratio of Expenses **		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%

Period ended December 31, 2009

Unit Value	$	7.649158	$	8.598879	$	14.531175	$	9.616608	$	10.054990	$	9.794010	$	10.169351	$	11.233840	$	10.932063	$	11.261551
Total Return *		31.95%		42.43%		38.24%		39.74%		42.08%		21.63%		54.71%		29.10%		11.84%		26.15%
Ratio of Expenses **		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%

Period ended December 31, 2008

Unit Value	$	5.796969	$	6.037468	$	10.511204	$	6.881946	$	7.076796	$	8.052079	$	6.573021	$	8.701931	$	9.775040	$	8.926799
Total Return *		-42.03%***		-48.00%		5.11%***		-31.18%***		-29.23%***		-19.48%***		-34.27%***		-40.06%		-15.03%		-36.32%
Ratio of Expenses **		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%

Period ended December 31, 2007

Unit Value		n/a	$	11.609889		n/a		n/a		n/a		n/a		n/a	$	14.518557	$	11.504751	$	14.018050
Total Return *		n/a		-7.04%		n/a		n/a		n/a		n/a		n/a		7.54%		4.70%		7.07%
Ratio of Expenses **		n/a		1.50%		n/a		n/a		n/a		n/a		n/a		1.50%		1.50%		1.50%

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 funds are excluded.

***	Total return is calculated from the effective date through the end of the reporting period. The effective date is the date when the optional benefit in the variable account was elected by a contract owner.

(a)	Commencement of operations December 3, 2007.

(b)	Commencement of operations March 31, 2008.

(c)	Commencement of operations October 6, 2008.

Page 73

Jackson National Separate Account V

Notes to Financial Statements (continued)

Note 7 - Financial Highlights (continued)

	JNL/ PPM America Small Cap Value Portfolio(b)		JNL/ PPM America Value Equity Portfolio		JNL/ Red Rocks Listed Private Equity Portfolio(c)		JNL/S&P 4 Portfolio(a)		JNL/S&P Competitive Advantage Portfolio(a)		JNL/S&P Dividend Income & Growth Portfolio(a)		JNL/S&P Intrinsic Value Portfolio(a)		JNL/ S&P Managed Aggressive Growth Portfolio		JNL/ S&P Managed Conservative Portfolio		JNL/ S&P Managed Growth Portfolio

Portfolio data
Period ended December 31, 2011

1 Net Assets (in thousands)	$	91	$	30	$	46	$	130	$	180	$	260	$	44	$	2,952	$	582	$	6,914
1 Units Outstanding (in thousands)		10		3		5		12		15		22		4		244		49		565
Investment Income Ratio *		0.14%		0.85%		6.61%		4.25%		0.78%		2.13%		0.66%		0.54%		1.99%		0.57%

Period ended December 31, 2010

Net Assets (in thousands)	$	165	$	112	$	65	$	180	$	75	$	72	$	51	$	3,979	$	634	$	9,046
Units Outstanding (in thousands)		17		11		5		17		7		7		5		308		54		704
Investment Income Ratio *		0.41%		0.86%		0.23%		0.00%		0.73%		1.18%		0.71%		0.58%		2.07%		0.77%

Period ended December 31, 2009

Net Assets (in thousands)	$	16	$	206	$	53	$	129	$	85	$	80	$	43	$	4,860	$	663	$	12,268
Units Outstanding (in thousands)		2		24		6		14		9		9		4		433		61		1,092
Investment Income Ratio *		0.47%		7.37%		6.70%		1.50%		0.01%		0.03%		0.04%		2.15%		1.44%		1.83%

Period ended December 31, 2008

Net Assets (in thousands)	$	26	$	66	$	7	$	37	$	20	$	100	$	18	$	4,202	$	836	$	10,507
Units Outstanding (in thousands)		4		11		1		5		3		13		3		484		86		1,179
Investment Income Ratio *		0.55%		2.37%		0.66%		0.01%		1.87%		5.41%		1.84%		0.33%		3.70%		0.49%

Period ended December 31, 2007

Net Assets (in thousands)		n/a	$	115		n/a	$	-	$	-	$	-	$	-	$	9,019	$	701	$	20,966
Units Outstanding (in thousands)		n/a		10		n/a		-		-		-		-		622		61		1,498
Investment Income Ratio *		n/a		0.56%		n/a		0.00%		0.00%		0.00%		0.00%		1.84%		3.37%		1.53%

1 Some investments have a net asset and ending unit balance of less than one thousand, due to rounding it is displayed as a zero.

(a)	Commencement of operations December 3, 2007.

(b)	Commencement of operations March 31, 2008.

(c)	Commencement of operations October 6, 2008.

Page 74

Jackson National Separate Account V

Notes to Financial Statements (continued)

Note 7 - Financial Highlights (continued)

	JNL/ S&P Managed Moderate Portfolio		JNL/ S&P Managed Moderate Growth Portfolio		JNL/S&P Total Yield Portfolio(a)		JNL/T. Rowe Price Established Growth Portfolio		JNL/T. Rowe Price Mid-Cap Growth Portfolio		JNL/T. Rowe Price Short-Term Bond Portfolio		JNL/T. Rowe Price Value Portfolio		JNL/WMC Balanced Portfolio		JNL/WMC Money Market Portfolio		JNL/WMC Value Portfolio

Highest expense ratio
Period ended December 31, 2011

Unit Value	$	11.982037	$	12.547589	$	9.016335	$	12.243485	$	17.123984	$	10.395398	$	11.960407	$	13.527637	$	10.534861	$	13.213294
Total Return *		-0.81%		-2.88%		-6.94%		-2.79%		-3.07%		-0.28%		-3.67%		1.58%		-1.63%		-3.66%
Ratio of Expenses **		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%

Period ended December 31, 2010

Unit Value	$	12.079780	$	12.919731	$	9.689151	$	12.595009	$	17.665826	$	10.424071	$	12.416440	$	13.316682	$	10.709170	$	13.714972
Total Return *		9.48%		11.33%		8.28%		14.85%		25.77%		1.25%		13.99%		9.01%		-1.64%		11.84%
Ratio of Expenses **		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%

Period ended December 31, 2009

Unit Value	$	11.033618	$	11.604915	$	8.948460	$	10.966237	$	14.046154	$	10.294901	$	10.892170	$	12.215555	$	10.887344	$	12.263486
Total Return *		16.69%		21.44%		40.54%		41.15%		44.43%		5.87%		34.84%		17.73%		-1.49%		21.95%
Ratio of Expenses **		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%

Period ended December 31, 2008

Unit Value	$	9.455884	$	9.556430	$	6.367107	$	7.769412	$	9.725018	$	9.723670	$	8.077613	$	10.375829	$	11.052144	$	10.056017
Total Return *		-22.53%		-28.69%		-36.72%		-43.78%		-41.62%		-7.51%		-41.44%		-22.02%		0.52%		-34.44%
Ratio of Expenses **		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%

Period ended December 31, 2007

Unit Value	$	12.205632	$	13.401109	$	10.061649	$	13.820046	$	16.657788	$	10.513416	$	13.794433	$	13.305930	$	10.994884	$	15.337839
Total Return *		5.96%		6.87%		0.62%***		8.30%		15.29%		3.09%		-0.81%		5.72%		3.02%		6.07%
Ratio of Expenses **		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%		1.65%

Charges made directly to contract owner accounts through the redemption of units and expenses of the underlying funds are excluded.

***	Total return is calculated from the effective date through the end of the reporting period. The effective date is the date when the optional benefit in the variable account was elected by a contract owner.

(a)	Commencement of operations December 3, 2007.

Page 75

Jackson National Separate Account V

Notes to Financial Statements (continued)

Note 7 - Financial Highlights (continued)

	JNL/ S&P Managed Moderate Portfolio		JNL/ S&P Managed Moderate Growth Portfolio		JNL/S&P Total Yield Portfolio(a)		JNL/T. Rowe Price Established Growth Portfolio		JNL/T. Rowe Price Mid-Cap Growth Portfolio		JNL/T. Rowe Price Short-Term Bond Portfolio		JNL/T. Rowe Price Value Portfolio		JNL/WMC Balanced Portfolio		JNL/WMC Money Market Portfolio		JNL/WMC Value Portfolio

Lowest expense ratio
Period ended December 31, 2011

Unit Value	$	12.095857	$	12.692729	$	8.783509	$	12.385052	$	17.312034	$	10.484109	$	12.098784	$	13.684148	$	10.767210	$	13.334374
Total Return *		-0.66%		-2.74%		-6.80%		-2.65%		-2.92%		-0.13%		-3.53%		1.74%		-1.48%		-3.51%
Ratio of Expenses **		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%

Period ended December 31, 2010

Unit Value	$	12.176299	$	13.049647	$	9.424745	$	12.721594	$	17.833135	$	10.497305	$	12.541322	$	13.450624	$	10.929000	$	13.819971
Total Return *		9.65%		11.50%		8.44%		15.03%		25.96%		1.41%		14.17%		9.18%		-1.49%		12.00%
Ratio of Expenses **		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%

Period ended December 31, 2009

Unit Value	$	11.105099	$	11.704046	$	8.691243	$	11.059843	$	14.157924	$	10.351698	$	10.985233	$	12.319918	$	11.094178	$	12.338853
Total Return *		16.86%		21.62%		40.75%		41.36%		44.65%		6.03%		35.05%		17.91%		-1.34%		22.13%
Ratio of Expenses **		1.50%		1.50		1.50%		1.50		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%

Period ended December 31, 2008

Unit Value	$	9.502873	$	9.623619	$	6.174854	$	7.823988	$	9.787701	$	9.762672	$	8.134415	$	10.448772	$	11.245230	$	10.102667
Total Return *		-22.41%		-28.58%		-38.25%***		-43.70		-41.53%		-7.37%		-41.36%		-21.90%		0.67%		-34.34%
Ratio of Expenses **		1.50%		1.50%		1.50%		1.50		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%

Period ended December 31, 2007

Unit Value	$	12.247899	$	13.475091		n/a	$	13.896268	$	16.740028	$	10.539764	$	13.870604	$	13.379399	$	11.170196	$	15.385875
Total Return *		6.12%		7.03%		n/a		8.47%		15.46%		3.25%		-0.66%		5.88%		3.18%		6.23%
Ratio of Expenses **		1.50%		1.50%		n/a		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%		1.50%

Charges made directly to contract owner accounts through the redemption of units and expenses of the underlying funds are excluded.

***	Total return is calculated from the effective date through the end of the reporting period. The effective date is the date when the optional benefit in the variable account was elected by a contract owner.

(a)	Commencement of operations December 3, 2007.

Page 76

Jackson National Separate Account V

Notes to Financial Statements (continued)

Note 7 - Financial Highlights (continued)

	JNL/ S&P Managed Moderate Portfolio		JNL/ S&P Managed Moderate Growth Portfolio		JNL/S&P Total Yield Portfolio(a)		JNL/T. Rowe Price Established Growth Portfolio		JNL/T. Rowe Price Mid-Cap Growth Portfolio		JNL/T. Rowe Price Short-Term Bond Portfolio		JNL/T. Rowe Price Value Portfolio		JNL/WMC Balanced Portfolio		JNL/WMC Money Market Portfolio		JNL/WMC Value Portfolio

Portfolio data
Period ended December 31, 2011

1 Net Assets (in thousands)	$	720	$	6,781	$	17	$	3,196	$	3,942	$	261	$	1,161	$	2,889	$	1,111	$	403
1 Units Outstanding (in thousands)		60		536		2		259		229		25		96		212		104		30
Investment Income Ratio *		1.60%		1.52%		0.32%		0.00%		0.01%		0.85%		1.19%		0.99%		0.00%		0.87%

Period ended December 31, 2010

Net Assets (in thousands)	$	855	$	6,828	$	83	$	3,943	$	4,854	$	675	$	1,454	$	3,258	$	1,029	$	564
Units Outstanding (in thousands)		70		525		9		311		273		64		116		243		95		41
Investment Income Ratio *		1.20%		1.07%		0.77%		0.04%		0.16%		1.04%		0.96%		1.05%		0.00%		0.83%

Period ended December 31, 2009

Net Assets (in thousands)	$	1,506	$	7,253	$	44	$	3,860	$	4,831	$	637	$	1,321	$	3,854	$	2,087	$	607
Units Outstanding (in thousands)		136		621		5		350		342		62		120		314		190		49
Investment Income Ratio *		1.15%		0.64%		0.02%		0.26%		0.00%		3.03%		1.41%		2.29%		0.17%		1.52%

Period ended December 31, 2008

Net Assets (in thousands)	$	1,503	$	6,964	$	44	$	3,336	$	4,109	$	261	$	1,345	$	3,965	$	3,768	$	566
Units Outstanding (in thousands)		159		725		7		427		421		27		166		380		337		56
Investment Income Ratio *		7.60%		1.94%		1.59%		0.08%		0.00%		2.14%		1.98%		2.23%		2.12%		0.03%

Period ended December 31, 2007

Net Assets (in thousands)	$	577	$	12,538	$	-	$	7,354	$	9,009	$	590	$	2,132	$	5,905	$	2,642	$	1,311
Units Outstanding (in thousands)		47		932		-		530		539		56		154		442		237		85
Investment Income Ratio *		2.93%		1.94%		0.00%		0.94%		1.47%		3.13%		2.46%		2.30%		4.64%		3.58%

1 Some investments have a net asset and ending unit balance of less than one thousand, due to rounding it is displayed as a zero.

(a)	Commencement of operations December 3, 2007.

Page 77

Independent Auditors’ Report

To the Board of Directors of Jackson National Life Insurance Company and

Contract Owners of Jackson National Separate Account V:

We have audited the accompanying statements of assets and liabilities of each of the sub-accounts within Jackson National Separate Account V (Separate Account) as set forth herein as of December 31, 2011, and the related statements of operations for the year or period then ended, the statements of changes in net assets for each of the years or periods in the two-year period then ended, and the financial highlights for each of the years or periods in the five-year period then ended. These financial statements and financial highlights are the responsibility of the Separate Account’s management. Our responsibility is to express an opinion on these financial statements and financial highlights 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 and financial highlights are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. Our procedures included confirmation of securities owned as of December 31, 2011, by correspondence with the transfer agent of the underlying mutual fund and other appropriate audit procedures. 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, as well as evaluating the overall financial statement presentation. We believe that our audits provide a reasonable basis for our opinion.

In our opinion, the financial statements and financial highlights referred to above present fairly, in all material respects, the financial position of each sub-account within Jackson National Separate Account V as set forth herein as of December 31, 2011, the results of their operations for the year or period then ended, the changes in their net assets for each of the years or periods in the two-year period then ended, and the financial highlights for each of the years or periods in the five-year period then ended, in conformity with U.S. generally accepted accounting principles.

KPMG LLP

March 1, 2012

Chicago, Illinois

Jackson National Life Insurance Company and Subsidiaries

Index to Consolidated Financial Statements

December 31, 2011

Report of Independent Registered Public Accounting Firm			1

Consolidated Balance Sheets			2

Consolidated Income Statements			3

Consolidated Statements of Changes in Equity and Comprehensive Income			4

Consolidated Statements of Cash Flows			5

Notes to Consolidated Financial Statements			6


	KPMG LLP
	303 East Wacker Drive
	Chicago, IL 60601-5212

Report of Independent Registered Public Accounting Firm

To the Board of Directors and Stockholder of

Jackson National Life Insurance Company:

We have audited the accompanying consolidated balance sheets of Jackson National Life Insurance Company and Subsidiaries (the Company) as of December 31, 2011 and 2010, and the related consolidated income statements and the consolidated statements of changes in equity and comprehensive income, and cash flows for each of the years in the three-year period ended December 31, 2011. These consolidated financial statements are the responsibility of the Company’s management. Our responsibility is to express an opinion on these consolidated financial statements based on our audits.

In our opinion, the consolidated financial statements referred to above present fairly, in all material respects, the financial position of Jackson National Life Insurance Company and Subsidiaries as of December 31, 2011 and 2010, and the results of their operations and their cash flows for each of the years in the three-year period ended December 31, 2011 in conformity with U.S. generally accepted accounting principles.

Chicago, Illinois

March 5, 2012

KPMG LLP is a Delaware limited liability partnership,
the U.S. member firm of KPMG International Cooperative
(KPMG International), a Swiss entity.

Jackson National Life Insurance Company and Subsidiaries

Consolidated Financial Statements

Consolidated Balance Sheets

(In thousands, except per share information)

	December 31,
Assets	2011		2010
Investments:
Securities available for sale, at fair value:
Fixed maturities (amortized cost: 2011, $38,688,488; 2010, $39,222,320, including fair value through profit and loss: 2011, $126,657; 2010, $345,038)	$	41,546,295	$	40,801,885
Trading securities, at fair value		315,607		467,101
Commercial mortgage loans, net of allowance		5,530,370		5,700,365
Policy loans		855,099		855,842
Derivative instruments		2,605,468		1,010,377
Other invested assets		1,255,455		1,038,012
Total investments		52,108,294		49,873,582
Cash and cash equivalents		656,253		674,253
Accrued investment income		576,185		553,762
Deferred acquisition costs		5,635,268		5,305,670
Reinsurance recoverable		1,409,688		1,089,539
Income taxes receivable from Parent		181,774		50,854
Other assets		875,288		618,019
Separate account assets		58,796,937		48,854,037
Total assets	$	120,239,687	$	107,019,716

Liabilities and Equity
Liabilities
Reserves for future policy benefits and claims payable	$	5,078,788	$	3,149,572
Other contract holder funds		44,944,096		44,576,723
Debt		297,695		338,805
Securities lending payable		53,285		58,115
Deferred income taxes, net		1,139,352		656,577
Derivative instruments		1,378,907		1,250,807
Other liabilities		1,652,609		1,886,751
Separate account liabilities		58,796,937		48,854,037
Total liabilities		113,341,669		100,771,387

Equity
Common stock, $1.15 par value; authorized 50,000 shares;
issued and outstanding 12,000 shares		13,800		13,800
Additional paid-in capital		3,730,901		3,711,500
Accumulated other comprehensive income, net of
tax of $318,302 in 2011 and $53,280 in 2010		1,329,190		837,006
Retained earnings		1,796,398		1,633,691
Total stockholder's equity		6,870,289		6,195,997
Noncontrolling interests		27,729		52,332
Total equity		6,898,018		6,248,329
Total liabilities and equity	$	120,239,687	$	107,019,716

See accompanying Notes to Consolidated Financial Statements.

Jackson National Life Insurance Company and Subsidiaries

Consolidated Financial Statements

Consolidated Income Statements

(In thousands)

	Years Ended December 31,
	2011			2010			2009
Revenues
Fee income	$	2,108,159		$	1,565,992		$	1,082,281
Premium		139,810			142,721			115,231
Net investment income		2,644,586			2,704,453			2,488,781
Net realized losses on investments:
Total other-than-temporary impairments		(305,805	)		(319,977	)		(1,196,893	)
Portion of other-than-temporary impairments included in
other comprehensive income (loss)		218,710			176,719			422,186
Net other-than-temporary impairments		(87,095	)		(143,258	)		(774,707	)
Other investment losses		(673,010	)		(1,021,706	)		30,276
Total net realized losses on investments		(760,105	)		(1,164,964	)		(744,431	)
Other income		52,350			61,233			61,112
Total revenues		4,184,800			3,309,435			3,002,974
Benefits and Expenses
Death, other policy benefits and change in policy reserves, net of deferrals		585,296			536,725			641,386
Interest credited on other contract holder funds, net of deferrals		1,384,908			1,445,319			1,502,945
Interest expense		42,881			34,825			49,767
Operating costs and other expenses, net of deferrals		760,969			621,773			483,924
Amortization of deferred acquisition and sales inducement costs		437,358			(11,660	)		(273,341	)
Total benefits and expenses		3,211,412			2,626,982			2,404,681
Pretax income before taxes and noncontrolling interests		973,388			682,453			598,293
Income tax expense		276,235			176,737			182,536
Net income		697,153			505,716			415,757
Less: Net income (loss) attributable to noncontrolling interests		4,446			7,288			(12,415	)
Net income attributable to Jackson	$	692,707		$	498,428		$	428,172

See accompanying Notes to Consolidated Financial Statements.

Jackson National Life Insurance Company and Subsidiaries

Consolidated Financial Statements

Consolidated Statements of Changes in Equity and Comprehensive Income

(In thousands)

					Accumulated
			Additional		other						Total			Non-
	Common		paid-in		comprehensive			Retained			stockholder's			controlling			Total
	stock		capital		income (loss)			earnings			equity			interests			equity
Balances as of December 31, 2008	$	13,800	$	2,968,985	$	(1,627,525	)	$	1,145,443		$	2,500,703		$	126,411		$	2,627,114
Comprehensive income:
Net income (loss)									428,172			428,172			(12,415	)		415,757
Net unrealized gains (losses)
on securities not other-than
-temporarily impaired, net
of tax of $382,885						1,621,868						1,621,868			(38,616	)		1,583,252
Net unrealized losses on
other-than-temporarily impaired
securities, net of tax of $(127,733)						(237,217	)					(237,217	)					(237,217	)
Reclassification adjustment
for losses included
in net income, net of tax
of $240,213						446,108						446,108						446,108
Total comprehensive income (loss)						1,830,759			428,172			2,258,931			(51,031	)		2,207,900
Cumulative effect of change in
accounting, net						(126,890	)		126,890			-						-
Capital contribution				592,410								592,410						592,410
Dividends to stockholder									(250,000	)		(250,000	)					(250,000	)
Balances as of December 31, 2009	$	13,800	$	3,561,395	$	76,344		$	1,450,505		$	5,102,044		$	75,380		$	5,177,424


Comprehensive income:
Net income									498,428			498,428			7,288			505,716
Net unrealized gains (losses)
on securities not other-than
-temporarily impaired, net
of tax of $422,473						784,594						784,594			(30,336	)		754,258
Net unrealized losses on
other-than-temporarily impaired
securities, net of tax of $(54,663)						(101,517	)					(101,517	)					(101,517	)
Reclassification adjustment
for losses included
in net income, net of tax
of $15,223						28,270						28,270						28,270
Total comprehensive income (loss)						711,347			498,428			1,209,775			(23,048	)		1,186,727
Cumulative effect of change in
accounting, net						49,315			(40,242	)		9,073						9,073
Capital contribution				150,105								150,105						150,105
Dividends to stockholder									(275,000	)		(275,000	)					(275,000	)
Balances as of December 31, 2010	$	13,800	$	3,711,500	$	837,006		$	1,633,691		$	6,195,997		$	52,332		$	6,248,329


Comprehensive income:
Net income									692,707			692,707			4,446			697,153
Net unrealized gains (losses)
on securities not other-than
-temporarily impaired, net
of tax of $360,070						668,701						668,701			(29,049	)		639,652
Net unrealized losses on
other-than-temporarily impaired
securities, net of tax of $(65,730)						(122,070	)					(122,070	)					(122,070	)
Reclassification adjustment
for losses included
in net income, net of tax
of $(29,318)						(54,447	)					(54,447	)					(54,447	)
Total comprehensive income (loss)						492,184			692,707			1,184,891			(24,603	)		1,160,288
Capital contribution				19,401								19,401						19,401
Dividends to stockholder									(530,000	)		(530,000	)					(530,000	)
Balances as of December 31, 2011	$	13,800	$	3,730,901	$	1,329,190		$	1,796,398		$	6,870,289		$	27,729		$	6,898,018

See accompanying Notes to Consolidated Financial Statements.

Jackson National Life Insurance Company and Subsidiaries

Consolidated Financial Statements

Consolidated Statements of Cash Flows

(In thousands)

	Years Ended December 31,
	2011			2010			2009
Cash flows from operating activities:
Net income	$	697,153		$	505,716		$	415,757
Adjustments to reconcile net income
to net cash provided by operating activities:
Net realized (gains) losses on investments		(113,933	)		55,495			607,878
Net losses on derivatives		809,328			1,069,971			225,566
Interest credited on other contract holder funds, gross		1,396,036			1,464,020			1,543,268
Interest expense on Federal Home Loan Bank funding
agreements		22,098			22,678			28,906
Mortality, expense and surrender charges		(343,983	)		(354,070	)		(327,521	)
Amortization of discount and premium on investments		5,428			(3,243	)		(1,235	)
Deferred income tax expense		217,754			355,790			409,848
Change in:
Accrued investment income		(22,423	)		(103,629	)		46,654
Deferred sales inducements and acquisition costs		(997,357	)		(1,336,646	)		(1,350,132	)
Trading portfolio activity, net		151,494			90,570			268,154
Income taxes receivable from Parent		(130,920	)		318,624			(200,147	)
Other assets and liabilities, net		(511,464	)		222,438			899,954
Net cash provided by operating activities		1,179,211			2,307,714			2,566,950

Cash flows from investing activities:
Sales of fixed maturities		7,345,626			8,689,802			9,001,912
Principal repayments, maturities, calls and redemptions:
Fixed maturities		1,635,472			1,934,006			2,166,500
Commercial mortgage loans		1,323,959			1,375,297			742,080
Purchases of:
Fixed maturities		(8,202,646	)		(13,190,087	)		(10,029,527	)
Commercial mortgage loans		(1,185,257	)		(1,045,450	)		(351,711	)
Other investing activities		(514,011	)		(716,905	)		(1,534,559	)
Net cash provided by (used in) investing activities		403,143			(2,953,337	)		(5,305	)

Cash flows from financing activities:
Policyholders' account balances:
Deposits		20,374,771			17,868,878			14,123,189
Withdrawals		(8,846,295	)		(7,182,166	)		(9,543,370	)
Net transfers to separate accounts		(12,256,282	)		(10,767,308	)		(6,984,733	)
(Payments) Proceeds from repurchase agreements		(451,678	)		552,458			-
Proceeds from Federal Home Loan Bank advances		150,000			-			-
Proceeds from debt		-			15,000			-
Payments on debt		(40,870	)		(65,711	)		(150,000	)
Payment of cash dividends to Parent		(530,000	)		(275,000	)		(250,000	)
Capital contribution from Parent		-			130,000			571,000
Net cash (used in) provided by financing activities		(1,600,354	)		276,151			(2,233,914	)

Net (decrease) increase in cash and cash equivalents		(18,000	)		(369,472	)		327,731

Cash and cash equivalents, beginning of year		674,253			1,043,725			715,994
Total cash and cash equivalents, end of year	$	656,253		$	674,253		$	1,043,725

See accompanying Notes to Consolidated Financial Statements.

Jackson National Life Insurance Company and Subsidiaries

Notes to Consolidated Financial Statements

December 31, 2011

1.	Nature of Operations

Jackson National Life Insurance Company (the “Company” or “Jackson”) is wholly owned by Brooke Life Insurance Company (“Brooke Life” or the “Parent”), which is ultimately a wholly owned subsidiary of Prudential plc (“Prudential”), London, England. Jackson, together with its New York life insurance subsidiary, is licensed to sell group and individual annuity products (including immediate, index linked and deferred fixed annuities and variable annuities), guaranteed investment contracts (“GICs”) and individual life insurance products, including variable universal life, in all 50 states and the District of Columbia.

The consolidated financial statements include accounts, after the elimination of intercompany accounts and transactions, of the following:

·	Life insurers: Jackson and its wholly owned subsidiaries Jackson National Life Insurance Company of New York, Squire Reassurance Company LLC (“Squire Re”) and Jackson National Life (Bermuda) LTD;

·	Wholly owned broker-dealer, investment management and investment advisor subsidiaries: Jackson National Life Distributors, LLC, Jackson National Asset Management, LLC, Curian Clearing, LLC and Curian Capital, LLC;

·	Wholly owned insurance agency: JNL Southeast Agency, LLC;

·	PGDS (US One) LLC (“PGDS”), a wholly owned subsidiary that provides information technology services to Jackson and certain affiliates;

·	Other partnerships, limited liability companies and variable interest entities (“VIEs”) in which Jackson has a controlling interest or is deemed the primary beneficiary;

·	Hermitage Management, LLC, a wholly owned subsidiary that holds and manages certain mortgage loans and real estate.

2.	Summary of Significant Accounting Policies

Basis of Presentation

The accompanying consolidated financial statements have been prepared in accordance with U.S. generally accepted accounting principles (“GAAP”). All significant intercompany accounts and transactions have been eliminated upon consolidation. In 2011, Jackson adopted a revised presentation of the balance sheet and income statement, with prior year amounts being reclassified to conform with the current year presentation with no impact on stockholder’s equity or net income. In conjunction with this change, the Company has reclassified its previously reported risk management activity into other investment gains (losses) and net investment income, which is further detailed in Note 5. In addition, the Company made a correction for an immaterial error in 2009 resulting in a reclassification of $687.0 million, increasing revenues and expenses, with no impact on net income, relating to the classification of certain guaranteed minimum withdrawal benefit reserves.

The preparation of the consolidated financial statements in conformity with GAAP requires the use of estimates and assumptions about future events that affect the amounts reported in the financial statements and the accompanying notes. Significant estimates or assumptions, as further discussed in the notes, include: 1) valuation of investments and derivative instruments, including fair values of securities deemed to be in an illiquid market and the determination of when an impairment is other-than-temporary; 2) assessments as to whether certain entities are variable interest entities, the existence of reconsideration events and the determination of which party, if any, should consolidate the entity; 3) assumptions impacting future gross profits, including lapse and mortality rates, expenses, investment returns and policy crediting rates, used in the calculation of amortization of deferred acquisition costs and deferred sales inducements; 4) assumptions used in calculating policy reserves and liabilities, including lapse and mortality rates, expenses and investment returns; 5) assumptions as to future earnings levels being sufficient to realize deferred tax benefits; 6) estimates related to establishment of loan loss reserves, liabilities for lawsuits and the liability for state guaranty fund assessments; 7) assumptions and estimates associated with the Company’s tax positions which impact the amount of recognized tax benefits recorded by the Company; and, 8) the value of guarantee obligations. These estimates and assumptions are based on management’s best estimates and judgments. Management evaluates its estimates and assumptions on an ongoing basis using historical experience and other factors deemed appropriate. As facts and circumstances dictate, these estimates and assumptions may be adjusted. Since future events and their effects cannot be determined with precision, actual results could differ significantly from these estimates. Changes in estimates, including those resulting from continuing changes in the economic environment, will be reflected in the financial statements in the periods the estimates are changed.

Jackson National Life Insurance Company and Subsidiaries

Notes to Consolidated Financial Statements

December 31, 2011

Changes in Accounting Principles – Adopted in Current Year

In April 2011, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2011-02, “A Creditor’s Determination of Whether a Restructuring Is a Troubled Debt Restructuring.” This guidance clarifies which loan modifications constitute troubled debt restructurings. It is intended to assist creditors in determining whether a modification of the terms of a receivable meets the criteria to be considered a troubled debt restructuring, both for purposes of recording an impairment loss and for disclosure of troubled debt restructurings. The Company adopted this guidance effective January 1, 2011 and has included the required disclosures herein.

In April 2011, the FASB issued ASU No. 2011-03, “Reconsideration of Effective Control for Repurchase Agreements,” which revises the criteria for asseessing effective control for repurchase agreements and other agreements that both entitle and obligate a transferor to repurchase or redeem financial assets before their maturity. The determination of whether the transfer of a financial asset subject to a repurchase agreement is a sale is based, in part, on whether the entity maintains effective control over the financial asset. This guidance removes from the assessment of effective control the criterion requiring the transferor to have the ability to repurchase or redeem the financial assets on substantially the agreed terms, even in the event of a default by the transferee and also the collateral maintenance implementation guidance related to that criterion. The Company adopted this guidance effective January 1, 2011 with no impact on the Company’s consolidated financial statements.

In July 2010, the FASB issued ASU No. 2010-20, “Disclosures about the Credit Quality of Financing Receivables and the Allowance for Credit Losses,” which requires significant new disclosures about the allowance for credit losses and the credit quality of financing receivables. The Company adopted the disclosure requirements effective January 1, 2011 and has included the required disclosures herein.

In April 2010, the FASB issued ASU No. 2010-15, “How Investments Held through Separate Accounts Affect an Insurer’s Consolidation Analysis of Those Investments.” This guidance clarifies that an insurance entity should not consider any separate account interests held for the benefit of policyholders in an investment to be the insurer’s interests and should not combine those interests with its general account interest in the same investment when assessing the investment for consolidation, unless the separate account interests are held for the benefit of a related policyholder, as defined in the Variable Interest Entities Subsections of Subtopic 810-10 and those Subsections require the consideration of related parties. This accounting guidance was effective on January 1, 2011 and had no impact on the Company’s consolidated financial statements.

In January 2010, the FASB issued ASU No. 2010-06, “Improving Disclosures about Fair Value Measurements,” which requires additional disclosures related to transfers between Levels 1 and 2 and for fair value measurement activity in Level 3. Additional information to be provided includes purchases, sales, issuances, and settlements on a gross basis. This ASU also clarifies certain other existing disclosure requirements including the level of disaggregation and disclosures around inputs and valuation techniques. The accounting guidance for new disclosures and clarification of existing disclosures was effective for periods beginning after December 15, 2009 and were included in the Company’s consolidated financial statements for the year ending December 31, 2010. The additional disclosures related to activity in Level 3 are effective for fiscal years beginning after December 15, 2010, and are included herein.

Changes in Accounting Principles – Adopted in Prior Years

On January 1, 2010, the Company adopted ASU No. 2009-16, “Accounting for Transfers of Financial Assets.” This accounting guidance amends the current guidance on transfers of financial assets by eliminating the qualifying special-purpose entity (“QSPE”) concept, providing certain conditions that must be met to qualify for sale accounting, changing the amount of gain or loss recognized on certain transfers and requiring additional disclosures.

Jackson National Life Insurance Company and Subsidiaries

Notes to Consolidated Financial Statements

December 31, 2011

On January 1, 2010, the Company adopted ASU No. 2010-10, “Amendment for Certain Investment Funds,” which provides accounting guidance for determining which enterprise, if any, has a controlling financial interest in a variable interest entity (“VIE”) and requires additional disclosures regarding a company’s involvement in VIEs. The adoption of ASU 2010-10 and ASU 2009-16 occurred simultaneously, requiring the consolidation of entities formerly considered to be QSPEs and decreasing retained earnings by $40.2 million. Additional details on the application of this change in accounting principles are included in Note 4.

Changes in Accounting Principles – Not Yet Adopted

In December 2011, the FASB issued ASU No. 2011-11, “Balance Sheet: Disclosures about Offsetting Assets and Liabilities,” which requires an entity to disclose information about offsetting and related arrangements. This guidance is effective for fiscal years beginning after January 1, 2013. The new disclosures are required to be applied retrospectively for all comparative periods presented. The Company will adopt this guidance effective January 1, 2013 and include all applicable disclosures.

In June 2011, the FASB issued ASU No. 2011-05, “Presentation of Comprehensive Income,” with an objective of increasing the prominence of items reported in other comprehensive income (“OCI”). This guidance provides entities with the option to present the total of comprehensive income, the components of net income, and the components of OCI either in a single continuous statement of comprehensive income or in two separate but consecutive statements. This guidance is applicable retrospectively and is effective for fiscal years beginning after December 15, 2011. Early adoption is permitted. The Company will adopt this guidance effective January 1, 2012 and is currently evaluating options for the presentation of comprehensive income upon adoption.

In May 2011, the FASB issued ASU No. 2011-04, “Amendments to Achieve Common Fair Value Measurement and Disclosure Requirements in U.S. GAAP and International Financial Reporting Standards,” which was issued to create a consistent framework for the application of fair value measurement across jurisdictions. The amendments include wording changes to GAAP in order to clarify the FASB’s intent about the application of existing fair value measurements and disclosure requirements, as well as to change a particular principle or existing requirement for measuring fair value or disclosing information about fair value measurements. This new guidance is not expected to change which assets and liabilities are to be carried at fair value. This guidance is applicable prospectively and is effective for fiscal years beginning after December 15, 2011. Early adoption is prohibited. The Company will adopt this guidance effective January 1, 2012 and has not yet determined the impact it will have on the Company’s consolidated financial statements upon adoption.

In October 2010, the FASB issued ASU No. 2010-26, “Accounting for Costs Associated with Acquiring or Renewing Insurance Contracts.” This guidance clarifies which costs related to the acquisition or renewal of insurance contracts can be deferred by insurance entities. The guidance also specifies that only costs directly related to the successful acquisition of new or renewal contracts can be capitalized. All other acquisition related costs should be expensed as incurred.

Jackson will adopt this accounting guidance effective January 1, 2012 on a retrospective basis with restatement of all years presented and a cumulative effect adjustment to opening equity balance at January 1, 2010. Jackson estimates the restatement will reduce deferred acquisition costs by approximately $991.9 million and reduce stockholder’s equity by approximately $641.6 million, net of tax, at January 1, 2010.

The impact on the income statement is as follows (in millions):

	Years ended December 31,
	2011			2010
Net income as reported	$	693		$	498
Reduced deferrals		(248	)		(243	)
Change in amortization		61			(31	)
Tax benefit		65			96
Net income as adjusted	$	571		$	320

Jackson National Life Insurance Company and Subsidiaries

Notes to Consolidated Financial Statements

December 31, 2011

Comprehensive Income (Loss)

Comprehensive income (loss) includes all changes in stockholder’s equity (except those arising from transactions with owners/stockholders) and, in the Company’s case, includes net income (loss) and net unrealized gains or losses on available for sale securities.

Investments

Fixed maturities consist primarily of bonds, notes, redeemable preferred stocks and asset-backed securities. Acquisition discounts and premiums on fixed maturities are amortized into investment income through call or maturity dates using the effective interest method. Discounts and premiums on asset-backed securities are amortized over the estimated redemption period. Certain asset-backed securities are considered to be other than high quality or otherwise deemed to be high-risk, meaning the Company might not recover substantially all of its recorded investment due to unanticipated prepayment events. For these securities, changes in investment yields due to changes in estimated future cash flows are accounted for on a prospective basis. The carrying value of such securities was $840.7 million and $878.5 million as of December 31, 2011 and 2010, respectively.

Fixed maturities are generally classified as available for sale and are carried at fair value. For declines in fair value considered to be other-than-temporary, an impairment charge reflecting the difference between the amortized cost basis and fair value is included in net realized losses on investments. If management believes the Company does not intend to sell the security and will not more likely than not be required to sell the security prior to recovery of its amortized cost basis, an amount representing the non-credit related portion of a loss is reclassified out of net realized losses on investments and into other comprehensive income. In determining whether an other-than-temporary impairment has occurred, and in calculating the non-credit related component of the total impairment loss, the Company considers a number of factors, which are further detailed in Note 4.

During 2009, the Company transferred the remainder of its equity holdings from available for sale to a trading portfolio and recognized a loss of $87.5 million. At December 31, 2011 and 2010, all equity holdings were classified as trading. Trading securities are carried at fair value with changes in value included in net investment income.

Commercial mortgage loans are carried at aggregate unpaid principal balances, net of unamortized discounts and premiums, and impairments including any allowance for loan losses.

On a periodic basis, Jackson assesses the commercial mortgage loan portfolio for the need for an allowance for loan losses. In determining its allowance for losses, the Company evaluates each loan to determine if it is probable that amounts due according to the contractual terms of the loan agreement will not be collected. The allowance includes loan specific reserves for loans that are determined to be non-performing as a result of its loan review process, and a portfolio reserve for probable incurred but not specifically identified losses for loans which do not carry loan specific reserves. The loan specific portion of the loss allowance is based on the Company’s assessment as to ultimate collectability of loan principal and interest. This review contemplates a variety of factors which may include, but are not limited to, current economic conditions, the physical condition of the property, the financial condition of the borrower, and the near and long-term prospects for change in these conditions. In determining the portfolio reserve for incurred but not specifically identified losses, Jackson considers the current credit composition of the portfolio based on the results of our loan modeling analysis, which considers property type, default statistics, historical losses and other relevant factors to determine probability of default and other default loss estimates. Model assumptions are updated each quarter and, based upon our actual loan experience, are considered together with other relevant qualitative factors in making the final portfolio reserve calculations. The valuation allowance for commercial mortgage loans can increase or decrease from period to period based on these factors. Changes in the allowance for loan losses are recorded in investment income.

Separately, Jackson also reviews individual loans in the portfolio for impairment based on an assessment of the factors identified above. Impairment charges recognized are recorded initially against the established loan loss allowance and, if necessary, any additional amounts are recorded as realized losses. As deemed necessary based on cash flow expectations and other factors, Jackson may place loans on non-accrual status. In this case, all cash received is applied against the carrying value of the loan.

Policy loans are carried at the unpaid principal balances.

Jackson National Life Insurance Company and Subsidiaries

Notes to Consolidated Financial Statements

December 31, 2011

Other invested assets primarily include investments in limited partnerships and real estate. Carrying values for limited partnership investments are determined by using the proportion of Jackson’s investment in each fund (NAV equivalent) as a practical expedient for fair value. Real estate is carried at the lower of depreciated cost or fair value.

The Company holds interests in VIEs that represent primary beneficial interests. These consolidated VIEs include entities structured to hold and manage investments.

Realized gains and losses on sales of investments are recognized in income at the date of sale and are determined using the specific cost identification method.

The changes in unrealized gains and losses on certain investments which are classified as available for sale, net of tax and the effect of the adjustment for deferred acquisition costs and deferred sales inducements, and the non-credit related portion of other-than-temporary impairment charges are excluded from net income and included as a component of other comprehensive income and total equity. The changes in unrealized gains and losses on investments for which Jackson elected the fair value option are included in net income along with the related adjustment for deferred acquisition costs, deferred sales inducements and income taxes.

Derivative Instruments and Embedded Derivatives

The Company enters into financial derivative transactions, including, but not limited to, swaps, put-swaptions, futures and options to reduce and manage business risks. These transactions manage the risk of a change in the value, yield, price, cash flows, credit quality or degree of exposure with respect to assets, liabilities or future cash flows which the Company has acquired or incurred. The Company manages the potential credit exposure for over-the-counter derivative contracts through careful evaluation of the counterparty credit standing, collateral agreements, and master netting agreements. The Company is exposed to credit-related losses in the event of nonperformance by counterparties, however, it does not anticipate nonperformance. There were no charges due to nonperformance by derivative counterparties in 2011, 2010 or 2009.

The Company generally uses freestanding derivative instruments for hedging purposes. Additionally, certain liabilities, primarily trust instruments supported by funding agreements, index linked annuities and guarantees offered in connection with variable annuities issued by the Company, contain embedded derivative instruments. Further details regarding Jackson’s derivative positions are included in Note 5. The Company generally does not account for freestanding derivatives as either fair value or cash flow hedges as might be permitted if specific hedging documentation requirements were followed. Financial derivatives, including derivatives embedded in certain host liabilities that have been separated for accounting and financial reporting purposes, are carried at fair value. The results from derivative financial instruments and embedded derivatives, including net payments, realized gains and losses and changes in value, are reported in net income.

Cash and Cash Equivalents

Cash and cash equivalents, which primarily include high quality, non-asset-backed commercial paper, money market instruments and deposits in the Federal Home Loan Bank of Indianapolis (“FHLBI”), are carried at cost or amortized cost. These investments have original maturities of three months or less and are considered cash equivalents for reporting cash flows.

Deferred Acquisition Costs

Certain costs of acquiring new business, principally commissions and certain costs associated with policy issuance and underwriting, which vary with and are primarily related to the production of new business, are capitalized as deferred acquisition costs. Deferred acquisition costs are increased by interest thereon and amortized into income in proportion to anticipated premium revenues for traditional life policies and in proportion to estimated gross profits, including realized capital gains and losses and derivative movements, for annuities and interest-sensitive life products. Due to volatility of certain factors, including realized capital gains and losses and derivative movements, amortization may be a benefit or a charge in any given period. In the event of negative amortization, the related deferred acquisition cost balance is capped at the initial amount capitalized, plus interest. Unamortized deferred acquisition costs are written off when a contract is internally replaced and substantially changed. A review of assumptions used for estimating future gross profits underlying the amortization of deferred acquisition costs is conducted on an annual basis. Based on results of the annual review, the deferred acquisition cost balance is adjusted, with an offsetting credit or charge to amortization expense.

Jackson National Life Insurance Company and Subsidiaries

Notes to Consolidated Financial Statements

December 31, 2011

As certain fixed maturities available for sale are carried at fair value, an adjustment is made to deferred acquisition costs equal to the change in amortization that would have occurred if such securities had been sold at their stated fair value and the proceeds reinvested at current yields. This adjustment, along with the change in fair value of fixed maturities available for sale, net of applicable tax, is credited or charged directly to stockholder’s equity as a component of other comprehensive income. Deferred acquisition costs have been decreased by $1,062.7 million and $598.5 million at December 31, 2011 and 2010, respectively, to reflect this adjustment.

For variable annuity business, the Company employs a mean reversion methodology that is applied with the objective of adjusting the amortization of deferred acquisition costs that would otherwise be highly volatile due to fluctuations in the level of future gross profits arising from changes in equity market levels. The mean reversion methodology achieves this objective by applying a dynamic adjustment to the level of expectations of short-term future investment returns. Under the methodology, the projected returns for the next five years are set such that, when combined with the actual returns for the current and preceding two years, the average rate of return over the eight year period is 8.4%, after investment management fees. The mean reversion methodology does, however, include a cap and a floor of 15% and 0% per annum, respectively, on the projected return for each of the next five years. Projected returns after the next five years are set at 8.4%. At December 31, 2010, future projected returns were capped at the 15% level. By December 31, 2011, projected returns under mean reversion had fallen and were below the 15% cap.

Deferred acquisition costs are reviewed periodically to ensure that the unamortized portion does not exceed the expected recoverable amounts. Any amount deemed unrecoverable would be written off with a charge through deferred acquisition costs amortization. No such write-offs were required for 2011, 2010 and 2009.

Deferred Sales Inducements

Bonus interest on deferred fixed annuities and contract enhancements on index linked annuities and variable annuities are capitalized as deferred sales inducements and included in other assets. Deferred sales inducements are increased by interest thereon and amortized into income in proportion to estimated gross profits, including realized capital gains and losses and derivative movements. Due to volatility of certain factors, including realized capital gains and losses and derivative movements, amortization may be a benefit or a charge in any given period. In the event of negative amortization, the related deferred sales inducements balance is capped at the initial amount capitalized, plus interest. Unamortized deferred sales inducements are written off when a contract is internally replaced and substantially changed. A review of assumptions used for estimating future gross profits underlying the amortization of deferred sales inducements is conducted on an annual basis. Based on results of the annual review, the deferred sales inducement balance is adjusted, with an offsetting credit or charge to amortization expense.

As certain fixed maturities available for sale are carried at fair value, an adjustment is made to deferred sales inducements equal to the change in amortization that would have occurred if such securities had been sold at their stated fair value and the proceeds reinvested at current yields. This adjustment, along with the change in fair value of fixed maturities available for sale, net of applicable tax, is credited or charged directly to stockholder’s equity as a component of other comprehensive income. Deferred sales inducements have been decreased by $147.6 million and $82.2 million at December 31, 2011 and 2010, respectively, to reflect this adjustment.

For variable annuity business, the Company employs the same mean reversion methodology as is employed for deferred acquisition costs as described above.

Deferred sales inducements are reviewed periodically to ensure that the unamortized portion does not exceed the expected recoverable amounts. Any amount deemed unrecoverable would be written off with a charge through deferred sales inducements amortization. No such write-offs were required for 2011, 2010 and 2009.

Jackson National Life Insurance Company and Subsidiaries

Notes to Consolidated Financial Statements

December 31, 2011

Actuarial Assumption Changes (Unlocking)

Annually, or as circumstances warrant, the Company conducts a comprehensive review of the assumptions used for its estimates of future gross profits underlying the amortization of deferred acquisition costs and deferred sales inducements, as well as the valuation of the embedded derivatives and reserves for life insurance and annuity products with living benefit and death benefit guarantees. These assumptions include investment margins, mortality, persistency, rider utilization and policy maintenance expenses. Based on this review, the cumulative balances of deferred acquisition costs, deferred sales inducements and life and annuity reserves are adjusted with an offsetting benefit or charge to net income.

Reinsurance

The Company enters into assumed and ceded reinsurance agreements with other companies in the normal course of business. Reinsurance agreements are reported on a gross basis on the Company’s consolidated balance sheets as an asset for amounts recoverable from reinsurers or as a component of other assets or liabilities for amounts, such as premiums, owed to or from reinsurers. Reinsurance assumed and ceded premiums and benefits paid or provided are accounted for on bases consistent with those used in accounting for the original policies issued and the terms of the reinsurance contracts. Premiums and benefits are reported net of insurance assumed and ceded.

Income Taxes

The Company files income tax returns with the U.S. federal government and various state and local jurisdictions, as well as certain foreign jurisdictions. The Company is generally no longer subject to U.S. federal, state and local income tax examinations by tax authorities for years prior to 2007.

Jackson files a consolidated federal income tax return with Brooke Life and Jackson National Life Insurance Company of New York. Jackson National Life (Bermuda) LTD is taxed as a controlled foreign corporation of Jackson. All other subsidiaries are limited liability companies with all of their interests owned by Jackson. Accordingly, they are not considered separate entities for income tax purposes and, therefore, are taxed as part of the operations of Jackson. Income tax expense is calculated on a separate company basis.

Deferred federal income taxes arise from the recognition of temporary differences between the basis of assets and liabilities determined for financial reporting purposes and the basis determined for income tax purposes. Such temporary differences are principally related to the effects of recording certain invested assets at fair value, the deferral of policy acquisition costs and sales inducements and the provisions for policy reserves and other insurance items. Deferred tax assets and liabilities are measured using the tax rates expected to be in effect when such benefits are realized. In accordance with GAAP, Jackson is required to test the value of deferred tax assets for realizability. Deferred tax assets are reduced by a valuation allowance if, based on the weight of available positive and negative evidence, it is more likely than not that some portion, or all, of the deferred tax assets will not be realized. In determining the need for a valuation allowance, the Company considers the carryback capacity of losses, reversal of existing temporary differences, estimated future taxable income and tax planning strategies.

The determination of the valuation allowance for Jackson’s deferred tax assets requires management to make certain judgments and assumptions regarding future operations that are based on historical experience and expectations of future performance. In order to recognize a tax benefit in the consolidated financial statements, there must be a greater than fifty percent chance of success with the relevant taxing authority with regard to that tax position. Management’s judgments are potentially subject to change given the inherent uncertainty in predicting future performance, which is impacted by such factors as policyholder behavior, competitor pricing and other specific industry and market conditions.

The Company recognizes accrued interest and penalties, if any, related to unrecognized tax benefits as a component of tax expense.

Jackson National Life Insurance Company and Subsidiaries

Notes to Consolidated Financial Statements

December 31, 2011

Reserves for Future Policy Benefits and Claims Payable

For traditional life insurance contracts, reserves for future policy benefits are determined using the net level premium method and assumptions as of the issue date or acquisition date as to mortality, interest, persistency and expenses plus provisions for adverse deviations. Mortality assumptions range from 25% to 160% of the 1975-1980 Basic Select and Ultimate tables depending on policy duration. Interest rate assumptions range from 3.5% to 6.0%. Lapse and expense assumptions are based on Company experience. See Note 7 for a description of general account reserves related to variable annuity guarantees.

Other Contract Holder Funds

For the Company’s interest-sensitive life contracts, liabilities approximate the policyholder’s account value. For deferred annuities, the fixed option on variable annuities, guaranteed investment contracts and other investment contracts, the liability is the policyholder’s account value. The liability for index linked annuities is based on two components, 1) the imputed value of the underlying guaranteed host contract, and 2) the fair value of the embedded option component of the contract. At December 31, 2011, the Company had interest sensitive life business in force with total account value of $4.5 billion, with minimum guaranteed interest rates ranging from 3.0% to 6.0%, with a 4.93% average guaranteed rate and fixed interest rate annuities of $26.2 billion of account value with minimum guaranteed rates ranging from 1.0% to 5.5% and a 2.83% average guaranteed rate.

Jackson and Jackson National Life Funding, LLC have a European Medium Term Note program, with up to $7 billion in aggregate principal amount outstanding at any one time. Jackson National Life Funding, LLC was formed as a special purpose vehicle solely for the purpose of issuing Medium Term Note instruments to institutional investors, the proceeds of which are deposited with Jackson and secured by the issuance of funding agreements. Carrying values totaled $0.7 billion and $1.0 billion at December 31, 2011 and 2010, respectively.

Jackson and Jackson National Life Global Funding have a $10.8 billion aggregate Global Medium Term Note program. Jackson National Life Global Funding was formed as a statutory business trust, solely for the purpose of issuing Medium Term Note instruments to institutional investors, the proceeds of which are deposited with Jackson and secured by the issuance of funding agreements. The carrying values at December 31, 2011 and 2010 totaled $1.0 billion and $1.2 billion, respectively.

Those Medium Term Note instruments issued in a foreign currency have been economically hedged for changes in exchange rates using cross-currency swaps. The fair value of derivatives embedded in funding agreements, as well as unrealized foreign currency transaction gains and losses, are included in the carrying value of the trust instruments supported by funding agreements.

Trust instrument liabilities are adjusted to reflect the effects of foreign currency transaction gains and losses using exchange rates as of the reporting date. Foreign currency transaction gains and losses are included in other investment gains (losses).

Jackson and Squire Re are members of the Federal Home Loan Bank of Indianapolis (“FHLBI”) primarily for the purpose of participating in its mortgage-collateralized loan advance program with short-term and long-term funding facilities. Membership requires the Company to purchase and hold a minimum amount of FHLBI capital stock plus additional stock based on outstanding advances. Advances are in the form of short-term or long-term notes or funding agreements issued to FHLBI. At December 31, 2011 and 2010, the Company held $107.0 million and $112.1 million, respectively, of FHLBI capital stock, supporting $1.8 billion each period end in funding agreements, short-term and long-term borrowing capacity.

Jackson National Life Insurance Company and Subsidiaries

Notes to Consolidated Financial Statements

December 31, 2011

Contingent Liabilities

The Company is a party to legal actions and, at times, regulatory investigations. Given the inherent unpredictability of these matters, it is difficult to estimate their impact on the Company’s financial position. Amounts related to contingent liabilities are established if it is probable that a loss has been incurred and the amount is reasonably estimable. It is possible that an adverse outcome in certain of the Company’s contingent liabilities, or the use of different assumptions in the determination of amounts recorded, could have a material effect upon the Company’s financial position. However, it is the opinion of management that the ultimate disposition of contingent liabilities will not have a material adverse affect on the Company's financial condition or results of operations.

Separate Account Assets and Liabilities

The Company maintains separate account assets, which are reported at fair value. The related liabilities are reported at an amount equivalent to the separate account assets. At December 31, 2011 and 2010, the separate account assets and liabilities associated with variable life and annuity contracts, aggregated $58.8 billion and $48.9 billion, respectively. Investment risks associated with market value changes are borne by the contract holders, except to the extent of minimum guarantees made by the Company. Refer to Note 7 for additional information regarding the Company’s contractual guarantees. Separate account net investment income, net investment realized and unrealized gains and losses, and the related liability changes are offset within the same line item in the consolidated income statements. Amounts assessed against the contract holders for mortality, administrative, and other services are reported in revenue.

Additionally, the Company has issued a group variable annuity contract designed for use in connection with and issued to the Company’s Defined Contribution Retirement Plan. These deposits are allocated to the Jackson National Separate Account - II and aggregated $185.7 million and $176.6 million at December 31, 2011 and 2010, respectively. The Company receives administrative fees for managing the funds. These fees are recorded as earned and included in fee income in the consolidated income statements.

Debt

Liabilities for the Company’s debt are primarily carried at an amount equal to the unpaid principal balance. Original issuance discount or premium and any debt issue costs, if applicable, are recognized as a component of interest expense over the period the debt is expected to be outstanding. Refer to Note 8 for further information regarding the Company’s debt.

Revenue and Expense Recognition

Premiums for traditional life insurance are reported as revenues when due. Benefits, claims and expenses are associated with earned revenues in order to recognize profit over the lives of the contracts. This association is accomplished through provisions for future policy benefits and the deferral and amortization of acquisition costs.

Deposits on interest-sensitive life products and investment contracts, principally deferred annuities and guaranteed investment contracts, are treated as policyholder deposits and excluded from revenue. Revenues consist primarily of investment income and charges assessed against the policyholder’s account value for mortality charges, surrenders, variable annuity benefit guarantees and administrative expenses. Fee income also includes revenues related to asset management fees and 12b-1 service fees. Surrender benefits are treated as repayments of the policyholder account. Annuity benefit payments are treated as reductions to the policyholder account. Death benefits in excess of the policyholder account are recognized as an expense when incurred. Expenses consist primarily of the interest credited to policyholder deposits. Underwriting and other acquisition expenses are associated with gross profit in order to recognize profit over the life of the business. This is accomplished through deferral and amortization of acquisition costs and sales inducements. Expenses not related to policy acquisition are recognized when incurred.

Investment income is not accrued on securities in default and otherwise where the collection is uncertain. Receipts of interest on such securities are generally used to reduce the cost basis of the securities.

Jackson has terminated, at the customers’ requests, a number of Medium Term Note contracts at discounted rates. The income on these early terminations, totaling $2.5 million and $16.8 million in 2010 and 2009, respectively, was included in other income. There were no early terminations in 2011.

Jackson National Life Insurance Company and Subsidiaries

Notes to Consolidated Financial Statements

December 31, 2011

Subsequent Events

The Company has evaluated events through March 5, 2012, which is the date the financial statements were available to be issued.

3. Fair Value Measurements

The following table summarizes the fair value and carrying value of Jackson’s financial instruments (in thousands).

	December 31, 2011				December 31, 2010
	Carrying Value		Fair Value		Carrying Value		Fair Value
Assets
Cash and cash equivalents	$	656,253	$	656,253	$	674,253	$	674,253
Fixed maturities		41,546,295		41,546,295		40,801,885		40,801,885
Trading securities		315,607		315,607		467,101		467,101
Commercial mortgage loans		5,530,370		5,937,422		5,700,365		5,953,073
Policy loans		855,099		678,141		855,842		684,503
Limited partnerships		1,086,546		1,086,546		865,761		865,761
Other loans		-		-		19,410		19,313
Derivative instruments		2,605,468		2,605,468		1,010,377		1,010,377
GMIB reinsurance recoverable		451,274		451,274		127,534		127,534
Separate account assets		58,796,937		58,796,937		48,854,037		48,854,037

Liabilities
Other contract holder funds
Annuity reserves (1)	$	36,484,825	$	27,711,994	$	33,829,330	$	25,847,154
Reserves for guaranteed investment contracts		761,638		771,597		700,090		735,869
Trust instruments supported by funding agreements		1,663,204		1,709,966		2,209,268		2,266,664
Federal Home Loan Bank funding agreements		1,751,020		1,752,556		1,750,989		1,637,555
Debt		297,695		323,341		338,805		358,407
Derivative instruments		1,378,907		1,378,907		1,250,807		1,250,807
Separate account liabilities		58,796,937		58,796,937		48,854,037		48,854,037

(1) - Annuity reserves represent only the components of deposits on investment contracts that are considered to be financial instruments.

Fair value measurements are based upon observable and unobservable inputs. Observable inputs reflect market data obtained from independent sources, while unobservable inputs reflect the Company’s view of market assumptions in the absence of observable market information. Jackson utilizes valuation techniques that maximize the use of observable inputs and minimize the use of unobservable inputs. All assets and liabilities measured at fair value are required to be classified into one of the following categories:

Level 1

Observable inputs that reflect quoted prices for identical assets or liabilities in active markets that the Company has the ability to access at the measurement date. Level 1 securities include U.S. Treasury securities and exchange traded equity and derivative instruments.

Level 2

Observable inputs, other than quoted prices included in Level 1, for the asset or liability or prices for similar assets and liabilities. Most fixed maturity securities that are model priced using observable inputs are classified within Level 2. Also included are freestanding and embedded derivative instruments that are priced using models with observable market inputs.

Level 3

Valuations that are derived from techniques in which one or more of the significant inputs are unobservable (including assumptions about risk). Limited partnership interests and those embedded derivative instruments that are valued using unobservable inputs are included in Level 3. Because Level 3 fair values, by their nature, contain unobservable market inputs, considerable judgment may be used to determine the Level 3 fair values. Level 3 fair values represent the Company’s best estimate of an amount that could be realized in a current market exchange absent actual market exchanges.

Jackson National Life Insurance Company and Subsidiaries

Notes to Consolidated Financial Statements

December 31, 2011

In many situations, inputs used to measure the fair value of an asset or liability may fall into different levels of the fair value hierarchy. In these situations, the Company will determine the level in which the fair value falls based upon the lowest level input that is significant to the determination of the fair value. As a result, both observable and unobservable inputs may be used in the determination of fair values that the Company has classified within Level 3.

The Company determines the fair values of certain financial assets and liabilities based on quoted market prices, where available. The Company may also determine fair value based on estimated future cash flows discounted at the appropriate current market rate. When appropriate, fair values reflect adjustments for counterparty credit quality, the Company’s credit standing, liquidity and risk margins on unobservable inputs.

Where quoted market prices are not available, fair value estimates are made at a point in time, based on relevant market data, as well as the best information about the individual financial instrument. At times, illiquid market conditions may result in inactive markets for certain of the Company’s financial instruments. In such instances, there is generally no or limited observable market data for these assets and liabilities. Fair value estimates for financial instruments deemed to be in an illiquid market are based on judgments regarding current economic conditions, liquidity discounts, currency, credit and interest rate risks, loss experience and other factors. These fair values are estimates and involve considerable uncertainty and variability as a result of the inputs selected and may differ materially from the values that would have been used had an active market existed. As a result of market inactivity, such calculated fair value estimates may not be realizable in an immediate sale or settlement of the instrument. In addition, changes in the underlying assumptions used in the fair value measurement technique could significantly affect these fair value estimates.

The following is a discussion of the methodologies used to determine fair values of the financial instruments listed in the above table.

Fixed Maturity and Trading Securities

The fair values for fixed maturity and trading securities are determined by management using information available from independent pricing services, broker-dealer quotes, or internally derived estimates. Priority is given to publicly available prices from independent sources, when available. Securities for which the independent pricing service does not provide a quotation are either submitted to independent broker-dealers for prices or priced internally. Typical inputs used by these three pricing methods include, but are not limited to, reported trades, benchmark yields, credit spreads, liquidity premiums, and/or estimated cash flows based on default and prepayment assumptions.

As a result of typical trading volumes and the lack of specific quoted market prices for most fixed maturities, independent pricing services will normally derive the security prices through recently reported trades for identical or similar securities, making adjustments through the reporting date based upon available market observable information as outlined above. If there are no recently reported trades, the independent pricing services and brokers may use matrix or pricing model processes to develop a security price where future cash flow expectations are developed based upon collateral performance and discounted at relevant market rates. Certain securities are priced using broker-dealer quotes, which may utilize proprietary inputs and models. Additionally, the majority of these quotes are non-binding.

Included in the pricing of asset-backed securities are estimates of the rate of future prepayments of principal over the remaining life of the securities. Such estimates are derived based on the characteristics of the underlying structure and prepayment assumptions believed to be relevant for the underlying collateral. Actual prepayment experience may vary from these estimates.

Internally derived estimates may be used to develop a fair value for securities for which the Company is unable to obtain either a reliable price from an independent pricing service or a suitable broker-dealer quote. These estimates may incorporate Level 2 and Level 3 inputs and are generally derived using expected future cash flows, discounted at market interest rates available from market sources based on the credit quality and duration of the instrument to determine fair value. For securities that may not be reliably priced using these internally developed pricing models, a fair value may be estimated using indicative market prices. These prices are indicative of an exit price, but the assumptions used to establish the fair value may not be observable or corroborated by market observable information and, therefore, are considered to be Level 3 inputs.

Jackson National Life Insurance Company and Subsidiaries

Notes to Consolidated Financial Statements

December 31, 2011

The Company performs a monthly analysis on the prices and credit spreads received from third parties to ensure that the prices represent a reasonable estimate of the fair value. This process involves quantitative and qualitative analysis and is overseen by investment and accounting professionals. Examples of procedures performed include, but are not limited to, initial and on-going review of third party pricing service methodologies, review of pricing statistics and trends, back testing recent trades and monitoring of trading volumes. In addition, the Company considers whether prices received from independent brokers represent a reasonable estimate of fair value through the use of internal and external cash flow models, which are developed based on spreads and, when available, market indices. As a result of this analysis, if the Company determines there is a more appropriate fair value based upon the available market data, the price received from the third party may be adjusted accordingly.

For those securities that were internally valued at December 31, 2011 and 2010, an internally developed model was used to determine the fair value. The pricing model used by the Company utilizes current spread levels of similarly rated securities to determine the market discount rate for the security. Furthermore, appropriate risk premiums for illiquidity and non-performance are incorporated in the discount rate. Cash flows, as estimated by the Company using issuer-specific default statistics and prepayment assumptions, are discounted to determine an estimated fair value.

On an ongoing basis, the Company reviews the independent pricing services’ valuation methodologies and related inputs, and evaluates the various types of securities in its investment portfolio to determine an appropriate fair value hierarchy distribution based upon trading activity and the observability of market inputs. Based on the results of this evaluation, each price is classified into Level 1, 2, or 3. Most prices provided by independent pricing services, including broker quotes, are classified into Level 2 due to their use of market observable inputs.

Commercial Mortgage Loans

Fair values are determined by discounting the future cash flows at current market interest rates.

Policy Loans

Fair values are determined using projected future cash flows, based on assumptions as to expected mortality and lapse rates, and discounted at the rate that would be required to transfer the asset to a willing third party.

Freestanding Derivative Instruments

Freestanding derivative instruments are reported at fair value, which reflects the estimated amounts, net of payment accruals, which the Company would receive or pay upon sale or termination of the contracts at the reporting date. Changes in fair value are included in other investment gains (losses). Freestanding derivatives priced using third party pricing services incorporate inputs that are predominantly observable in the market. Inputs used to value derivatives include, but are not limited to, interest rate swap curves, credit spreads, interest rates, counterparty credit risk, equity volatility and equity index levels.

Freestanding derivative instruments classified as Level 1 include futures, which are traded on active exchanges.

Freestanding derivative instruments classified as Level 2 include interest rate swaps, cross currency swaps, credit default swaps, put swaptions and equity index call and put options. These derivative valuations are determined by third party pricing services using pricing models with inputs that are observable in the market or can be derived principally from, or corroborated by, observable market data.

Limited Partnerships

Fair value for limited partnership interests, which are included in other invested assets, is determined using the proportion of Jackson’s investment in each fund (NAV equivalent) as a practical expedient for fair value. No adjustments to these amounts were deemed necessary at December 31, 2011 or 2010.

Jackson National Life Insurance Company and Subsidiaries

Notes to Consolidated Financial Statements

December 31, 2011

The Company’s limited partnership investments are not redeemable and distributions received are the result of liquidation of the underlying assets of the partnerships. The term of Jackson’s interest in the partnerships is generally ten years, but may be extended for a period of time under provisions within the partnership agreements, if applicable. The Company generally has the ability under the partnership agreements to sell its interest to another limited partner with the prior written consent of the general partner. It is not probable and there is no instance, to date, where Jackson contemplated selling a limited partnership interest for an amount different from its NAV equivalent.

Other Loans

Fair values are determined by discounting the future cash flows at current market interest rates.

Separate Account Assets and Liabilities

Separate account assets are invested in mutual funds, which are categorized as Level 1 assets. The value of separate account liabilities are set equal to the value of separate account assets under GAAP.

Annuity Reserves

Fair values for immediate annuities without mortality features are derived by discounting the future estimated cash flows using current market interest rates for similar maturities. Fair values for deferred annuities, including index-linked annuities, are determined using projected future cash flows discounted at the rate that would be required to transfer the liability to a willing third party.

Other Contract Holder Funds

Fair values for guaranteed investment contracts are based on the present value of future cash flows discounted at current market interest rates.

Fair values for trust instruments supported by funding agreements are based on the present value of future cash flows discounted at current market interest rates, plus the fair value of any embedded derivatives that are not required to be reported separately.

Fair values of the FHLBI funding agreements are based on present value of future cash flows discounted at current market interest rates.

Debt

Carrying value of the short-term debt is considered a reasonable estimate for fair value due to their short-term maturity. Fair values of other fixed interest rate debt are based on broker quotes or future cash flows discounted at current market interest rates.

Certain Guaranteed Benefits

Variable annuity contracts issued by the Company offer various guaranteed minimum death, withdrawal, income and accumulation benefits. Certain benefits, primarily non-life contingent guaranteed minimum withdrawal benefits (“GMWB”), guaranteed minimum accumulation benefits (“GMAB”) and the reinsured portion of the Company’s guaranteed minimum income benefits (“GMIB”), are recorded at fair value. Guaranteed benefits that are not subject to fair value accounting are accounted for as insurance benefits.

Non-life contingent GMWBs and GMABs are recorded at fair value with changes in fair value recorded in other investment gains (losses). The fair value of the reserve is based on the expectations of future benefit payments and future fees associated with the benefits. At the inception of the contract, the Company attributes to the derivative a portion of total fees collected from the contract holder, which is then held static in future valuations. Those fees, generally referred to as the attributed fees, are set such that the present value of the attributed fees is equal to the present value of future claims expected to be paid under the guaranteed benefit at the inception of the contract. In subsequent valuations, both the present value of future benefits and the present value of attributed fees are revalued based on current market conditions and policyholder behavior assumptions. The difference between each of the two components represents the fair value of the embedded derivative. Jackson discontinued offering the GMAB in 2011.

Jackson National Life Insurance Company and Subsidiaries

Notes to Consolidated Financial Statements

December 31, 2011

Jackson’s GMIB book is reinsured through an unrelated party and, due to the net settlement provisions of the reinsurance agreement, this contract meets the definition of a freestanding derivative. Accordingly, the GMIB reinsurance agreement is recorded at fair value, with changes in fair value recorded in other investment gains (losses). Due to the inability to economically reinsure or hedge new issues of the GMIB, the Company discontinued offering the benefit in 2009.

Fair values for GMWB and GMAB embedded derivatives, as well as GMIB reinsurance recoverables, are calculated using internally developed models because active, observable markets do not exist for those guaranteed benefits.

The fair value calculation is based on the present value of future cash flows comprised of future expected benefit payments, less future attributed rider fees, over the lives of the contracts. Estimating these cash flows requires numerous estimates and subjective judgments related to capital market inputs, as well as actuarially determined assumptions related to expectations concerning policyholder behavior. Capital market inputs include expected market rates of return, market volatility, correlations of market index returns to funds, fund performance and discount rates. The more significant actuarial assumptions include benefit utilization by policyholders under varying conditions, persistency, mortality, and withdrawal rates. Because of the dynamic and complex nature of these cash flows, best estimate assumptions, plus risk margins, and a stochastic process involving the generation of thousands of scenarios that assume risk neutral returns consistent with swap rates are used.

At each valuation date, the Company assumes expected returns based on LIBOR swap rates as of that date to determine the value of expected future cash flows produced in the stochastic process. Volatility assumptions are based on a weighting of available market data for implied market volatility for durations up to 10 years, at which point the projected volatility is held constant. Additionally, non-performance risk is incorporated into the calculation through the use of discount rates based on a AA corporate credit curve as an approximation of Jackson’s own credit risk. Other risk margins, particularly for policyholder behavior, are also incorporated into the model through the use of best estimate assumptions, plus a risk margin. Estimates of future policyholder behavior are subjective and are based primarily on the Company’s experience.

As markets change, mature and evolve and actual policyholder behavior emerges, management continually evaluates the appropriateness of its assumptions for this component of the fair value model.

The use of the models and assumptions described above requires a significant amount of judgment. Management believes the aggregation of each of these components results in an amount that the Company would be required to transfer for a liability, or receive for an asset, to or from a willing buyer or seller, if one existed, for those market participants to assume the risks associated with the guaranteed benefits and the related reinsurance. However, the ultimate settlement amount of the liability, which is currently unknown, could likely be significantly different than this fair value.

Jackson National Life Insurance Company and Subsidiaries

Notes to Consolidated Financial Statements

December 31, 2011

Financial Instruments Measured at Fair Value on a Recurring Basis

The following table summarizes the Company’s assets and liabilities that are carried at fair value by hierarchy levels (in thousands):

December 31, 2011	Total		Level 1		Level 2		Level 3
Assets
Fixed maturities
Government securities	$	3,361,506	$	3,360,159	$	1,347	$	-
Public utilities		2,670,236		-		2,669,713		523
Corporate securities		27,249,121		-		27,217,349		31,772
Residential mortgage-backed		3,988,907		-		3,988,907		-
Commercial mortgage-backed		3,329,434		-		3,329,434		-
Other asset-backed securities		947,091		11,249		925,782		10,060
Trading securities		315,607		255,716		-		59,891
Limited partnerships		1,086,546		-		-		1,086,546
Derivative instruments		2,605,468		-		2,603,534		1,934
GMIB reinsurance recoverable		451,274		-		-		451,274
Separate account assets (1)		58,796,937		58,796,937		-		-
Total	$	104,802,127	$	62,424,061	$	40,736,066	$	1,642,000

Liabilities
Embedded derivative liabilities (2)	$	2,949,878	$	-	$	871,827	$	2,078,051
Derivative instruments		1,378,907		114,368		1,264,539		-
Separate account liabilities		58,796,937		58,796,937		-		-
Total	$	63,125,722	$	58,911,305	$	2,136,366	$	2,078,051


December 31, 2010	Total		Level 1		Level 2		Level 3
Assets
Fixed maturities
Government securities	$	3,848,246	$	3,817,832	$	30,414	$	-
Public utilities		2,708,660		-		2,707,928		732
Corporate securities		24,816,251		-		24,784,177		32,074
Residential mortgage-backed		4,348,262		-		4,348,262		-
Commercial mortgage-backed		3,764,136		-		3,764,136		-
Other asset-backed securities		1,316,330		11,193		1,230,324		74,813
Trading securities		467,101		255,166		-		211,935
Limited partnerships		865,761		-		-		865,761
Derivative instruments		1,010,377		-		1,010,377		-
GMIB reinsurance recoverable		127,534		-		-		127,534
Separate account assets (1)		48,854,037		48,854,037		-		-
Total	$	92,126,695	$	52,938,228	$	37,875,618	$	1,312,849

Liabilities
Embedded derivative liabilities (2)	$	1,249,972	$	-	$	936,438	$	313,534
Derivative instruments		1,250,807		117,449		1,127,527		5,831
Debt		26,207		-		26,207		-
Separate account liabilities		48,854,037		48,854,037		-		-
Total	$	51,381,023	$	48,971,486	$	2,090,172	$	319,365

(1) Pursuant to ASC 944-80, the value of the separate account liabilities is set equal to the value of the separate account assets.
(2) Includes the embedded derivative liabilities related to GMWB and GMAB benefits and index-linked annuities.

Jackson National Life Insurance Company and Subsidiaries

Notes to Consolidated Financial Statements

December 31, 2011

Assets and Liabilities Measured at Fair Value Using Significant Unobservable Inputs (Level 3)

The tables below provide rollforwards for 2011 and 2010 of the financial instruments for which significant unobservable inputs (Level 3) are used in the fair value measurement. Gains and losses in the table below include changes in fair value due partly to observable and unobservable factors. The Company utilizes derivative instruments to manage the risk associated with certain assets and liabilities. However, the derivative instruments hedging the related risks may not be classified within the same fair value hierarchy level as the associated assets and liabilities. Therefore, the impact of the derivative instruments reported in Level 3 below may vary significantly from the total income effect of the hedged instruments. Additionally, the Company’s policy for determining and disclosing transfers between levels is to recognize transfers using beginning of period balances.

				Total Realized/Unrealized Gains (Losses) Included in
									Purchases,
	Fair Value								Sales,			Transfers			Fair Value
	as of						Other		Issuances			in and/or			as of
	January 1,			Net			Comprehensive		and			(out of)			December 31,
(in thousands)	2011			Income			Income		Settlements			Level 3			2011
Assets
Fixed maturities
Public utilities	$	732		$	(25	)	$	-	$	(184	)	$	-		$	523
Corporate securities		32,074			1,300			1,676		(3,278	)		-			31,772
Other asset-backed securities		74,813			(3,002	)		3,920		(73,868	)		8,197			10,060
Trading securities		211,935			15,934			-		(167,978	)		-			59,891
Limited partnerships		865,761			84,328			-		136,457			-			1,086,546
Derivative instruments		-			1,934			-		-			-			1,934
GMIB reinsurance recoverable		127,534			323,740			-		-			-			451,274

Liabilities
Embedded derivative liabilities		(313,534	)		(1,764,517	)		-		-			-			(2,078,051	)
Derivative instruments		(5,831	)		5,831			-		-			-			-

				Total Realized/Unrealized Gains (Losses) Included in
									Purchases,
	Fair Value								Sales,			Transfers			Fair Value
	as of						Other		Issuances			in and/or			as of
	January 1,			Net			Comprehensive		and			(out of)			December 31,
(in thousands)		2010		Income			Income		Settlements			Level 3				2010
Assets
Fixed maturities
Public utilities	$	13,338		$	(1,809	)	$	1,870	$	(8,165	)	$	(4,502	)	$	732
Corporate securities		472,466			803			4,611		(158,439	)		(287,367	)		32,074
Residential mortgage-backed		2,969			(4,583	)		7,038		(5,424	)		-			-
Commercial mortgage-backed		77,899			(1,579	)		16,203		(43,852	)		(48,671	)		-
Other asset-backed securities		902,956			(2,444	)		13,683		(386,693	)		(452,689	)		74,813
Trading securities		246,045			64,689			-		(98,799	)		-			211,935
Limited partnerships		704,689			67,466			-		93,606			-			865,761
Derivative instruments		281,989			(26,551	)		-		(99,003	)		(156,435	)		-
GMIB reinsurance recoverable		141,459			(13,925	)		-		-			-			127,534

Liabilities
Embedded derivative liabilities		(437,433	)		123,899			-		-			-			(313,534	)
Derivative instruments		(27,230	)		21,399			-		-			-			(5,831	)

Jackson National Life Insurance Company and Subsidiaries

Notes to Consolidated Financial Statements

December 31, 2011

The components of the amounts included in purchases, sales, issuances and setttlements at December 31, 2011 shown above are as follows (in thousands):

	Purchases		Sales			Issuances		Settlements		Total
Assets
Fixed maturities
Public utilities	$	-	$	(184	)	$	-	$	-	$	(184	)
Corporate securities		-		(3,278	)		-		-		(3,278	)
Other asset-backed securities		-		(73,868	)		-		-		(73,868	)
Trading securities		2,629		(170,607	)		-		-		(167,978	)
Limited partnerships		254,880		(118,423	)		-		-		136,457
Total	$	257,509	$	(366,360	)	$	-	$	-	$	(108,851	)

Upon adoption of ASC 820-10, certain broker priced assets were classified as Level 3 holdings as a result of illiquidity in the market and the resultant lack of observability into the assumptions used to produce those fair values. During 2010, as a result of changes in the level of observability of these inputs, Jackson determined that these assets would be more appropriately categorized in Level 2. As a result, Jackson transferred securities with an amortized cost and fair value of $1,059.5 million and $775.3 million, respectively, and derivative assets with a fair value of $156.4 million from Level 3 to Level 2 during 2010. For the year ended December 31, 2011, Jackson transferred securities with an amortized cost and fair value of $9.3 million and $8.2 million, respectively, into Level 3 from Level 2 as a result of third party pricing not being available. There were no transfers between Level 1 and 2 of the fair value hierarchy.

The portion of gains (losses) included in net income or other comprehensive income attributable to the change in unrealized gains and losses on Level 3 financial instruments still held at December 31, 2011 and 2010, was as follows (in thousands):

	2011			2010
Assets
Fixed maturities
Public utilities	$	(25	)	$	-
Corporate securities		2,962			2,635
Other asset-backed securities		(3,865	)		2,891
Trading securities		15,915			28,905
Limited partnerships		84,478			68,169
Derivative instruments		1,934			-
GMIB reinsurance recoverable		323,740			(13,925	)

Liabilities
Embedded derivative liabilities	$	(1,764,517	)	$	123,899
Derivative instruments		(5,831	)		21,399

4.	Investments

Investments are comprised primarily of fixed-income securities, primarily publicly traded industrial, utility and government bonds, asset-backed securities and commercial mortgage loans. Asset-backed securities include mortgage-backed and other structured securities. The Company generates the majority of its general account deposits from interest-sensitive individual annuity contracts, life insurance products and guaranteed investment contracts on which it has committed to pay a declared rate of interest. The Company's strategy of investing in fixed-income securities and loans aims to ensure matching of the asset yield with the amounts credited to the interest-sensitive liabilities and to earn a stable return on its investments.

Jackson National Life Insurance Company and Subsidiaries

Notes to Consolidated Financial Statements

December 31, 2011

Fixed Maturities

The following table sets forth fixed maturities at December 31, 2011, classified by rating categories as assigned by nationally recognized statistical rating organizations (“NRSRO”), the National Association of Insurance Commissioners (“NAIC”), or if not rated by such organizations, the Company’s affiliated investment advisor. At December 31, 2011, the carrying value of investments rated by the Company’s affiliated investment advisor totaled $164.4 million. For purposes of the table, if not otherwise rated higher by a NRSRO, NAIC Class 1 investments are included in the A rating; Class 2 in BBB; Class 3 in BB and Classes 4 through 6 in B and below.

	Percent of Total Fixed Maturities Carrying Value December 31, 2011
Investment Rating
AAA	22.2%
AA	5.6%
A	31.1%
BBB	35.1%
Investment grade	94.0%
BB	3.1%
B and below	2.9%
Below investment grade	6.0%
Total fixed maturities	100.0%

At December 31, 2011, based on ratings by NRSROs, of the total carrying value of fixed maturities in an unrealized loss position, 57% were investment grade, 33% were below investment grade and 10% were not rated. Unrealized losses on fixed maturities that were below investment grade or not rated represented approximately 65% of the aggregate gross unrealized losses on available for sale fixed maturities.

Corporate securities in an unrealized loss position were diversified across industries. As of December 31, 2011, the industries accounting for the larger percentage of unrealized losses included banking/finance (9.83% of fixed maturities gross unrealized losses) and telecommunications (1.42%). The largest unrealized loss related to a single corporate obligor was $26.5 million at December 31, 2011.

The amortized cost, gross unrealized gains and losses, fair value and non-credit OTTI of available for sale fixed maturities, including $126.7 million and $345.0 million in securities carried at fair value with changes in value recorded through the income statement during 2011 and 2010, respectively, were as follows (in thousands):

	Amortized Cost (1)		Gross Unrealized Gains		Gross Unrealized Losses		Fair Value		Non-credit OTTI (2)
December 31, 2011
Fixed Maturities
Government securities	$	2,932,197	$	429,309	$	-	$	3,361,506	$	-
Public utilities		2,346,651		324,466		881		2,670,236		-
Corporate securities		25,129,745		2,217,024		97,648		27,249,121		6,755
Residential mortgage-backed		4,127,911		146,430		285,434		3,988,907		(177,444	)
Commercial mortgage-backed		3,064,184		324,360		59,110		3,329,434		(6,933	)
Other asset-backed securities		1,087,800		15,564		156,273		947,091		(59,520	)
Total fixed maturities	$	38,688,488	$	3,457,153	$	599,346	$	41,546,295	$	(237,142	)

(1)	Fair value for securities carried at fair value with changes in value recorded through the income statement.

(2)	Represents the amount of cumulative non-credit OTTI gains (losses) recognized in other comprehensive income on securities for which credit impairments have been recorded.

Jackson National Life Insurance Company and Subsidiaries

Notes to Consolidated Financial Statements

December 31, 2011

	Amortized Cost (1)		Gross Unrealized Gains		Gross Unrealized Losses		Fair Value		Non-credit OTTI (2)
December 31, 2010
Fixed Maturities
Government securities	$	3,789,201	$	62,052	$	3,007	$	3,848,246	$	-
Public utilities		2,514,868		205,830		12,038		2,708,660		-
Corporate securities		23,362,634		1,597,001		143,384		24,816,251		12,184
Residential mortgage-backed		4,542,139		138,232		332,109		4,348,262		(158,502	)
Commercial mortgage-backed		3,549,421		277,898		63,183		3,764,136		(8,192	)
Other asset-backed securities		1,464,057		18,831		166,558		1,316,330		(17,757	)
Total fixed maturities	$	39,222,320	$	2,299,844	$	720,279	$	40,801,885	$	(172,267	)

(1)	Fair value for securities carried at fair value with changes in value recorded through the income statement.

(2)	Represents the amount of cumulative non-credit OTTI gains (losses) recognized in other comprehensive income on securities for which credit impairments have been recorded.

The amortized cost, gross unrealized gains and losses, and fair value of fixed maturities at December 31, 2011, by contractual maturity, are shown below (in thousands). Expected maturities may differ from contractual maturities where securities can be called or prepaid with or without early redemption penalties.

	Amortized (1) Cost		Gross Unrealized Gains		Gross Unrealized Losses		Fair Value

Due in 1 year or less	$	1,279,659	$	25,880	$	54	$	1,305,485
Due after 1 year through 5 years		6,262,323		450,621		10,644		6,702,300
Due after 5 years through 10 years		18,743,820		1,856,138		42,706		20,557,252
Due after 10 years through 20 years		2,172,590		267,399		13,845		2,426,144
Due after 20 years		1,950,201		370,761		31,280		2,289,682
Residential mortgage-backed		4,127,911		146,430		285,434		3,988,907
Commercial mortgage-backed		3,064,184		324,360		59,110		3,329,434
Other asset-backed securities		1,087,800		15,564		156,273		947,091
Total	$	38,688,488	$	3,457,153	$	599,346	$	41,546,295

(1) Fair value for securities carried at fair value with changes in value recorded through the income statement.

U.S. Treasury securities with a carrying value of $4.6 million and $4.2 million at December 31, 2011 and 2010, respectively, were on deposit with regulatory authorities, as required by law in various states in which business is conducted.

At December 31, 2011, the amortized cost and carrying value of fixed maturities in default that were anticipated to be income producing when purchased were $2.3 million and $7.0 million, respectively. The amortized cost and carrying value of fixed maturities that have been non-income producing for the 12 months preceding December 31, 2011 were $2.3 million and $7.0 million, respectively, and for the 12 months preceding December 31, 2010 were $2.9 million and $8.8 million, respectively.

Jackson National Life Insurance Company and Subsidiaries

Notes to Consolidated Financial Statements

December 31, 2011

Residential mortgage-backed securities (“RMBS”) include certain RMBS which are collateralized by residential mortgage loans and are neither explicitly nor implicitly guaranteed by U.S. government agencies (“non-agency mortgage-backed securities”). The Company’s non-agency mortgage-backed securities include investments in securities backed by prime, Alt-A, and subprime loans as follows (in thousands):

			Gross		Gross
	Amortized		Unrealized		Unrealized		Fair
December 31, 2011	Cost (1)		Gains		Losses		Value

Prime	$	865,197	$	5,522	$	79,340	$	791,379
Alt-A		560,471		2,076		85,280		477,267
Subprime		441,311		61		120,814		320,558
Total non-agency RMBS	$	1,866,979	$	7,659	$	285,434	$	1,589,204


			Gross		Gross
	Amortized		Unrealized		Unrealized		Fair
December 31, 2010	Cost (1)		Gains		Losses		Value

Prime	$	1,073,242	$	12,511	$	134,826	$	950,927
Alt-A		736,193		2,786		95,028		643,951
Subprime		475,652		1,076		99,128		377,600
Total non-agency RMBS	$	2,285,087	$	16,373	$	328,982	$	1,972,478

(1) Fair value for securities carried at fair value with changes in value recorded through the income statement.

The Company defines its exposure to non-agency residential mortgage loans as follows. Prime loan-backed securities are collateralized by mortgage loans made to the highest rated borrowers. Alt-A loan-backed securities are collateralized by mortgage loans made to borrowers who lack credit documentation or necessary requirements to obtain prime borrower rates. Subprime loan-backed securities are collateralized by mortgage loans made to borrowers that have a FICO score of 680 or lower. 22% of the Company’s investments in Alt-A related mortgage-backed securities are rated investment grade by at least one NRSRO. 20% of the Company’s investments in subprime related mortgage-backed securities are rated triple-A by at least one NRSRO. In 2011, the Company recorded other-than-temporary impairment charges of $14.1 million, $20.2 million, and $4.5 million on securities backed by prime, Alt-A and subprime loans, respectively. In 2010, the Company recorded other-than-temporary impairment charges of $23.0 million, $50.5 million, and $11.4 million on securities backed by prime, Alt-A and subprime loans, respectively. In 2009, the Company recorded other-than-temporary impairment charges of $351.1 million, $241.0 million, and $19.0 million on securities backed by prime, Alt-A and subprime loans, respectively.

Asset-backed securities also include investments in securities which are collateralized by commercial mortgage loans (“CMBS”). At December 31, 2011, the amortized cost and fair value of the Company’s investment in CMBS was $3.1 billion and $3.3 billion, respectively, of which 99% were rated investment grade by at least one NRSRO. In 2011 and 2010, the Company recorded other-than-temporary impairment charges of $1.0 million and $11.1 million, respectively, on CMBS. No other-than-temporary impairment charges were recorded on CMBS during 2009.

Corporate securities include direct investments in below investment grade syndicated bank loans. Unlike most corporate debentures, syndicated bank loans are collateralized by specific tangible assets of the borrowers. As such, investors in these securities that become impaired have historically experienced less severe losses compared to corporate bonds. At December 31, 2011, the amortized cost and fair value of the Company’s direct investments in bank loans were $64.9 million and $63.8 million, respectively.

Jackson National Life Insurance Company and Subsidiaries

Notes to Consolidated Financial Statements

December 31, 2011

The following table summarizes the number of securities, fair value and the related amount of gross unrealized losses aggregated by investment category and length of time that individual fixed maturities have been in a continuous loss position (in thousands, except number of securities):

	December 31, 2011						December 31, 2010

	Less than 12 months						Less than 12 months
	Gross						Gross
	Unrealized				# of		Unrealized				# of
	Losses		Fair Value		securities		Losses		Fair Value		securities
Government securities	$	-	$	-		-	$	3,007	$	480,177		3
Public utilities		373		23,422		2		10,655		264,765		19
Corporate securities		57,525		1,615,252		149		81,721		2,936,548		176
Residential mortgage-backed		66,509		326,993		36		4,255		112,509		23
Commercial mortgage-backed		3,162		82,921		14		4,152		203,927		18
Other asset-backed securities		56,129		180,432		42		2,923		146,656		17
Total temporarily impaired
securities	$	183,698	$	2,229,020		243	$	106,713	$	4,144,582		256

	12 months or longer						12 months or longer
	Gross						Gross
	Unrealized				# of		Unrealized				# of
	Losses		Fair Value		securities		Losses		Fair Value		securities
Public utilities	$	508	$	6,965		1	$	1,383	$	6,941		2
Corporate securities		40,123		259,037		44		61,663		491,829		61
Residential mortgage-backed		218,925		1,013,025		158		327,854		1,590,392		173
Commercial mortgage-backed		55,948		82,829		21		59,031		145,344		31
Other asset-backed securities		100,144		251,998		58		163,635		442,578		81
Total temporarily impaired
securities	$	415,648	$	1,613,854		282	$	613,566	$	2,677,084		348

	Total						Total
	Gross						Gross
	Unrealized				# of		Unrealized				# of
	Losses		Fair Value		securities		Losses		Fair Value		securities
Government securities	$	-	$	-		-	$	3,007	$	480,177		3
Public utilities		881		30,387		3		12,038		271,706		21
Corporate securities		97,648		1,874,289		193		143,384		3,428,377		237
Residential mortgage-backed		285,434		1,340,018		194		332,109		1,702,901		196
Commercial mortgage-backed		59,110		165,750		35		63,183		349,271		49
Other asset-backed securities		156,273		432,430		100		166,558		589,234		98
Total temporarily impaired
securities	$	599,346	$	3,842,874		525	$	720,279	$	6,821,666		604

Other-Than-Temporary Impairments on Available For Sale Securities

The Company periodically reviews its available for sale fixed maturities on a case-by-case basis to determine if any decline in fair value to below cost or amortized cost is other-than-temporary. Factors considered in determining whether a decline is other-than-temporary include the length of time a security has been in an unrealized loss position, the severity of the unrealized loss and the reasons for the decline in value, and expectations for the amount and timing of a recovery in fair value.

Securities the Company determines are underperforming or potential problem securities are subject to regular review. To facilitate the review, securities with significant declines in value, or where other objective criteria evidencing credit deterioration have been met, are included on a watch list. Among the criteria for securities to be

included on a watch list are: credit deterioration that has led to a significant decline in fair value of the security; a significant covenant related to the security has been breached; or an issuer has filed or indicated a possibility of filing for bankruptcy, has missed or announced it intends to miss a scheduled interest or principal payment, or has experienced a specific material adverse change that may impair its creditworthiness.

Jackson National Life Insurance Company and Subsidiaries

Notes to Consolidated Financial Statements

December 31, 2011

In performing these reviews, the Company considers the relevant facts and circumstances relating to each investment and exercises considerable judgment in determining whether a security is other-than-temporarily impaired. Assessment factors include judgments about an obligor’s current and projected financial position, an issuer’s current and projected ability to service and repay its debt obligations, the existence of, and realizable value of, any collateral backing the obligations and the macro-economic and micro-economic outlooks for specific industries and issuers. This assessment may also involve assumptions regarding underlying collateral such as prepayment rates, default and recovery rates, and third-party servicing capabilities.

Among the specific factors considered are whether the decline in fair value results from a change in the credit quality of the security itself, or from a downward movement in the market as a whole, and the likelihood of recovering the carrying value based on the near-term prospects of the issuer. Unrealized losses that are considered to be primarily the result of market conditions (e.g., minor increases in interest rates, temporary market illiquidity or volatility, or industry-related events) are usually determined to be temporary, and where the Company also believes there exists a reasonable expectation for recovery in the near term. To the extent that factors contributing to impairment losses recognized affect other investments, such investments are also reviewed for other-than-temporary impairment and losses are recorded when appropriate.

In addition to the review procedures described above, investments in asset-backed securities where market prices are depressed are subject to a review of their future estimated cash flows, including expected and stress case scenarios, to identify potential shortfalls in contractual payments. These estimated cash flows are developed using available performance indicators from the underlying assets including current and projected default or delinquency rates, levels of credit enhancement, current subordination levels, vintage, expected loss severity and other relevant characteristics. These estimates reflect a combination of data derived by third parties and internally developed assumptions. Where possible, this data is benchmarked against third-party sources.

Even in the case of severely depressed market values on asset-backed securities, the Company places significant reliance on the results of its cash flow testing and its lack of an intent to sell these securities until their fair values recover when reaching other-than-temporary impairment conclusions with regard to these securities. Other-than-temporary impairment charges are recorded on asset-backed securities when the Company forecasts a contractual payment shortfall.

Jackson recognizes other-than-temporary impairments on debt securities in an unrealized loss position when any one of the following circumstances exists:

·	The Company does not expect full recovery of the amortized cost based on the discounted cash flows estimated to be collected;

·	The Company intends to sell a security; or,

·	It is more likely than not that the Company will be required to sell a security prior to recovery.

For mortgage-backed securities, credit impairment is assessed using a cash flow model that estimates the cash flows on the underlying mortgages, using the security-specific collateral characteristics and transaction structure. The model estimates cash flows from the underlying mortgage loans and distributes those cash flows to various tranches of securities, considering the transaction structure and any subordination and credit enhancements existing in that structure. The cash flow model incorporates actual cash flows on the mortgage-backed securities through the current period and then projects the remaining cash flows using a number of assumptions, including prepayment speeds, default rates and loss severity.

Specifically for Prime and Alt-A RMBS, the default percentage is dependent on the severity of delinquency status, with foreclosures and real estate owned receiving higher rates, but also includes the currently performing loans. As of December 31, 2011 and 2010, default rates for delinquent loans ranged from 15% to 100%. At December 31, 2011 and 2010, loss severities were applied to generate and analyze cash flows of each bond and ranged from 30% to 65% and 30% to 62.5%, respectively.

Jackson National Life Insurance Company and Subsidiaries

Notes to Consolidated Financial Statements

December 31, 2011

These estimates reflect a combination of data derived by third parties and internally developed assumptions. Where possible, this data is benchmarked against other third-party sources. In addition, these estimates are extrapolated along a default timing curve to estimate the total lifetime pool default rate.Other-than-temporary impairments are calculated as the difference between amortized cost and fair value. For other-than-temporarily impaired securities where Jackson does not intend to sell the security and for which it is not more likely than not that Jackson will be required to sell the security prior to recovery, total other-than-temporary impairments are reduced by the non-credit portion of the other-than-temporary impairments, which are recognized in other comprehensive income. The resultant net other-than-temporary impairments recorded in net income reflect the credit loss on the other-than-temporarily impaired securities. The amortized cost of the other-than-temporarily impaired securities is reduced by the amount of this credit loss.

For securities that were deemed to be other-than-temporarily impaired and for which a non-credit loss was recorded in other comprehensive income, the amount recorded as an unrealized gain (loss) represents the difference between the fair value and the new amortized cost basis of the securities. The unrealized gain (loss) on other-than-temporarily impaired securities is recorded in other comprehensive income.

The following table summarizes net realized investment gains (losses) for the periods indicated (in thousands):

	Years Ended December 31,
	2011			2010			2009
Available-for-sale securities
Realized gains on sale	$	287,507		$	440,843		$	464,044
Realized losses on sale		(85,037	)		(356,080	)		(209,720	)
Impairments:
Total other-than-temporary impairments		(305,805	)		(319,977	)		(1,196,893	)
Portion of other-than-temporary impairments
included in other comprehensive income		218,710			176,719			422,186
Net other-than-temporary impairments		(87,095	)		(143,258	)		(774,707	)
Transfer to trading portfolio		-			-			(87,491	)
Other		(1,442	)		3,000			(4	)
Net realized gains (losses) on non-derivative investments		113,933			(55,495	)		(607,878	)
Net losses on derivative instruments		(874,038	)		(1,109,469	)		(136,553	)
Total net realized losses on investments	$	(760,105	)	$	(1,164,964	)	$	(744,431	)

Included in net realized losses on investments are impairment charges on commercial mortgage loans and other invested assets of $19.3 million and $5.0 million in 2011 and 2010, respectively. There were no such impairment charges in 2009. The net losses on derivative instruments included in the above table are further detailed in Note 5.

The aggregate fair value of securities sold at a loss for the years ended December 31, 2011, 2010 and 2009 was $1,053.2 million, $1,926.7 million and $1,334.7 million, respectively, which was approximately 93%, 84% and 86% of book value, respectively.

Jackson National Life Insurance Company and Subsidiaries

Notes to Consolidated Financial Statements

December 31, 2011

The following summarizes the current year activity for credit losses recognized in net income on debt securities where an other-than-temporary impairment was identified and the non-credit portion of the other-than-temporary impairment was included in other comprehensive income (in thousands):

	Years Ended December 31,
	2011			2010
Cumulative credit loss beginning balance	$	698,370		$	1,062,190
Additions:
New credit losses		35,724			61,354
Incremental credit losses		32,073			76,904
Reductions:
Securities sold, paid down or disposed of		(361,411	)		(502,078	)
Cumulative credit loss ending balance	$	404,756		$	698,370

There are inherent uncertainties in assessing the fair values assigned to the Company’s investments and in determining whether a decline in fair value is other-than-temporary. The Company’s reviews of net present value and fair value involve several criteria including economic conditions, credit loss experience, other issuer-specific developments and estimated future cash flows. These assessments are based on the best available information at the time. Factors such as market liquidity, the widening of bid/ask spreads and a change in the cash flow assumptions can contribute to future price volatility. If actual experience differs negatively from the assumptions and other considerations used in the consolidated financial statements, unrealized losses currently reported in accumulated other comprehensive income may be recognized in the consolidated income statements in future periods.

The Company currently has no intent to sell securities with unrealized losses considered to be temporary until they mature or recover in value and believes that it has the ability to do so. However, if the specific facts and circumstances surrounding an individual security, or the outlook for its industry sector change, the Company may sell the security prior to its maturity or recovery and realize a loss.

Commercial Mortgage Loans

Commercial mortgage loans of $5.5 billion and $5.7 billion at December 31, 2011 and 2010, respectively, are reported net of an allowance for loan losses of $20.1 million and $33.2 million at each date, respectively. At December 31, 2011, commercial mortgage loans were collateralized by properties located in 41 states. Jackson’s commercial mortgage loan portfolio does not include single-family residential mortgage loans, and is therefore not exposed to the risk of defaults associated with residential subprime mortgage loans. Jackson periodically reviews these loans for impairment and, during 2011, 2010 and 2009, recognized impairment charges against the allowance for loan losses of $34.5 million, $17.7 million and $13.8 million, respectively. In addition, Jackson recorded an impairment as a realized loss of $9.7 million during 2011.

Activity in the allowance for loan losses for Jackson’s commercial mortgage loan portfolio is as follows (in thousands):

	Years Ended December 31,
Allowance for loan losses:	2011			2010
Balance at beginning of year	$	33,190		$	14,246
Charge-offs		(34,474	)		(17,717	)
Recoveries		-			-
Net charge-offs		(34,474	)		(17,717	)
Provision for loan losses		21,390			36,661
Balance at end of year	$	20,106		$	33,190

Jackson National Life Insurance Company and Subsidiaries

Notes to Consolidated Financial Statements

December 31, 2011

The following table provides a summary of the allowance for losses in Jackson’s commercial mortgage loan portfolio (in thousands):

	Allowance for Loan Losses		Recorded Investment
December 31, 2011:
Individually evaluated for impairment	$	3,481	$	214,335
Collectively evaluated for impairment		16,625		5,316,035
Total	$	20,106	$	5,530,370

December 31, 2010:
Individually evaluated for impairment	$	22,256	$	215,832
Collectively evaluated for impairment		10,934		5,484,533
Total	$	33,190	$	5,700,365

The table below illustrates the delinquency status and accrual status of the carrying value of Jackson's commercial mortgage loan holdings as of December 31, 2011 and 2010 (in thousands). Delinquency status is determined from the date of the first missed contractual payment.

	2011		2010
Accruing
Current	$	5,518,802	$	5,627,862
Less than 60 days delinquent		-		57,078
60 days to 90 days delinquent		-		-
91 days or more delinquent		3,000		-
Total accruing		5,521,802		5,684,940
Non-accrual		8,568		15,425
Total	$	5,530,370	$	5,700,365

During 2011 and 2010, Jackson reduced interest income by $1.3 million and $0.4 million, respectively, on commercial mortgage loans that had been placed on non-accrual. There were no comparable reductions during 2009.

Jackson National Life Insurance Company and Subsidiaries

Notes to Consolidated Financial Statements

December 31, 2011

Under Jackson's policy for monitoring commercial mortgage loans, all impaired commercial mortgage loans continue to be closely evaluated subsequent to impairment. The table below summarizes the recorded investment, unpaid principal balance, related loan allowance, average recorded investment and investment income recognized on impaired loans during 2011 and 2010 (in thousands):

	Recorded Investment		Unpaid Principal Balance		Related Loan Allowance		Average Recorded Investment		Investment Income Recognized
December 31, 2011:
Impaired Loans with a Valuation Allowance
Hotel	$	41,592	$	44,920	$	3,328	$	41,116	$	1,658
Office		11,319		11,472		153		11,038		688
Total		52,911		56,392		3,481		52,154		2,346
Impaired Loans without a Valuation Allowance
Apartment		92,250		113,107		-		105,143		4,601
Hotel		27,109		34,581		-		29,583		1,252
Office		30,084		31,893		-		30,515		594
Retail		3,000		9,618		-		5,179		596
Warehouse		8,981		9,981		-		9,065		660
Total		161,424		199,180		-		179,485		7,703
Total Impaired Loans
Apartment		92,250		113,107		-		105,143		4,601
Hotel		68,701		79,501		3,328		70,699		2,910
Office		41,403		43,365		153		41,553		1,282
Retail		3,000		9,618		-		5,179		596
Warehouse		8,981		9,981		-		9,065		660
Total	$	214,335	$	255,572	$	3,481	$	231,639	$	10,049
December 31, 2010:
Impaired Loans with a Valuation Allowance
Apartment	$	36,259	$	43,700	$	7,440	$	40,772	$	114
Hotel		108,454		120,002		11,547		120,864		1,565
Office		10,749		11,472		723		11,412		360
Retail		7,073		9,618		2,546		9,214		311
Total		162,535		184,792		22,256		182,262		2,350
Impaired Loans without a Valuation Allowance
Apartment		21,120		22,000		-		21,927		1,339
Office		19,914		24,914		-		23,788		499
Warehouse		12,263		14,763		-		11,379		557
Total		53,297		61,677		-		57,094		2,395
Total Impaired Loans
Apartment		57,379		65,700		7,440		62,699		1,453
Hotel		108,454		120,002		11,547		120,864		1,565
Office		30,663		36,386		723		35,200		859
Retail		7,073		9,618		2,546		9,214		311
Warehouse		12,263		14,763		-		11,379		557
Total	$	215,832	$	246,469	$	22,256	$	239,356	$	4,745

Jackson National Life Insurance Company and Subsidiaries

Notes to Consolidated Financial Statements

December 31, 2011

The following table provides information about the credit quality of commercial mortgage loans as of December 31, 2011 (in thousands):

	In Good Standing		Restructured		Greater than 90 Days Delinquent		In the Process of Foreclosure		Total Carrying Value
Apartment	$	1,213,009	$	32,710	$	-	$	-	$	1,245,719
Hotel		583,824		53,592		-		6,000		643,416
Office		940,026		41,403		-		-		981,429
Retail		1,071,383		-		3,000		-		1,074,383
Warehouse		1,578,147		7,276		-		-		1,585,423
Total	$	5,386,389	$	134,981	$	3,000	$	6,000	$	5,530,370

The $3.0 million balance of commercial mortgage loans that were greater than 90 days delinquent were also restructured.

The following table provides information about commercial mortgage loans involved in a troubled debt restructuring as of December 31, 2011 (in thousands, except number of contracts):

			Pre-Modification		Post-Modification
	Number of		Outstanding Recorded		Outstanding Recorded
	Contracts		Investment		Investment
Troubled Debt Restructurings
Office		2	$	21,188	$	21,188
Total		2	$	21,188	$	21,188

During 2011, there were no commercial mortgage loans involved in a troubled debt restructuring that subsequently defaulted.

Securitizations

In 2003, Jackson executed the Piedmont CDO Trust (“Piedmont”) securitization transaction. In this transaction, Jackson contributed $1,159.6 million of asset-backed securities, ultimately to Piedmont, which issued several classes of debt to acquire such securities. The transaction was recorded as a sale; however, Jackson retained beneficial interests in the contributed asset-backed securities of approximately 80% by acquiring certain securities issued by Piedmont. Prior to 2010, Piedmont, a qualified special purpose entity, was not consolidated by Jackson.

Effective January 1, 2010, as a result of adoption of ASC 2009-16, Jackson was deemed to be the primary beneficiary of Piedmont and consolidation of Piedmont was required.

As a result of this change, the Company recorded a decrease in retained earnings of $48.2 million upon consolidation of Piedmont. At December 31, 2010, Piedmont’s assets of $463.9 million and liabilities to external parties of $26.2 million were included in Jackson’s financial statements. At the date of adoption, Jackson also elected to carry the assets and liabilities in Piedmont at fair value, with changes in fair value reflected in the consolidated income statement. The creditors of Piedmont do not have recourse to the general credit of Jackson.

During 2011, Jackson purchased the remaining outstanding external interest and, as a result, Piedmont was terminated.

Jackson National Life Insurance Company and Subsidiaries

Notes to Consolidated Financial Statements

December 31, 2011

In 2001, Jackson executed the Morgan Stanley Dean Witter Capital I, Series 2001-PPM (“MSDW”) securitization transaction. Jackson contributed commercial mortgages with a total principal amount of $623.6 million to MSDW and retained beneficial interest. Prior to 2010, MSDW, a qualified special purpose entity, was not consolidated by Jackson.

Effective January 1, 2010, as a result of adoption of ASC 2009-16, the Company was deemed to be the primary beneficiary of the variable interest entity MSDW and, as such, was required to consolidate their financial results into Jackson’s consolidated financial statements. In March 2011, the external debt of MSDW was paid off entirely. As such, Jackson’s consolidated financial statements include MSDW assets of $48.1 million at December 31, 2011 and MSDW assets and external liabilities of $80.6 million and $14.7 million, respectively, at December 31, 2010.

Other Invested Assets

Other invested assets primarily include investments in limited partnerships, real estate, and other loans. Investments in limited partnerships have carrying values of $1,086.5 million and $865.8 million at December 31, 2011 and 2010, respectively. Real estate totaling $168.9 million and $152.8 million at December 31, 2011 and 2010, respectively, includes foreclosed properties with a book value of $19.2 million and $13.8 million, respectively. Other loans have carrying values of $0 and $19.4 million and weighted average interest rates of 2.25% and 3.46% at December 31, 2011 and 2010, respectively.

Limited Purpose Enhanced Return Entities (“SERVES”)

In 2004, Jackson acquired a $47.5 million debt interest in a limited purpose entity, SERVES 2004-1 (“SERVES 3”), formed to pass through leveraged investment returns based on the performance of an underlying reference pool of syndicated bank loans totaling up to $300.0 million. Jackson’s interest represented 95% of the capital structure of the entity. Based on the Company’s initial analysis, it concluded that SERVES 3 was a VIE and that the Company was not the primary beneficiary. Thus, the Company’s investment was reported at the fair value of this debt instrument.

During 2008, Jackson entered into “Option Put and Forbearance Agreements” with the counterparty to the SERVES 3 entity in exchange for the counterparty forbearing its right to initiate forced liquidation of the entity under certain market value triggers. During 2009, Jackson entered into revised forbearance agreements with this counterparty. The support provided by the agreement at December 31, 2011 could potentially expose Jackson to maximum losses of $110.7 million, if circumstances allowed the forbearance period to cease. Jackson believes that, so long as the forbearance period continues, the risk of loss under the agreement is remote.

As a result of the additional exposure to SERVES 3 upon entering into the “Option Put and Forbearance Agreement”, Jackson determined that it is the primary beneficiary of SERVES 3 and, accordingly, consolidated SERVES 3 in its financial statements. The accompanying consolidated financial statements include the underlying assets of $49.5 million and $42.8 million and net liabilities of $2.7 million and $8.4 million in 2011 and 2010, respectively, of this entity. The creditors of SERVES 3 do not have recourse to the general credit of Jackson.

In 2008, Jackson acquired $40.0 million of debt interests in a limited purpose entity, SERVES 2006-1 (“SERVES 4”), formed to pass through leveraged investment returns based on the performance of an underlying reference pool of syndicated bank loans totaling up to $500.0 million. At the acquisition date, the Company performed an analysis, which produced return scenarios based on various assumptions for the reference pool, including spread income, default and recovery ratios, and holding period appreciation/depreciation, to determine whether the structure was a variable interest entity and, if so, whether Jackson was the primary beneficiary. Based on the results of this analysis, the Company concluded that SERVES 4 was a VIE and that Jackson was not the primary beneficiary. Thus, the Company’s investment was reported at the fair value of this debt instrument. SERVES 4 notes were sold at par in May 2011.

Jackson National Life Insurance Company and Subsidiaries

Notes to Consolidated Financial Statements

December 31, 2011

Securities Lending

The Company has entered into securities lending agreements with an agent bank whereby blocks of securities are loaned to third parties, primarily major brokerage firms. As of December 31, 2011 and 2010, the estimated fair value of loaned securities was $51.6 million and $56.7 million, respectively. The agreements require a minimum of 102 percent of the fair value of the loaned securities to be held as collateral, calculated on a daily basis. To further minimize the credit risks related to this program, the financial condition of counterparties is monitored on a regular basis. At December 31, 2011 and 2010, cash collateral received in the amount of $53.3 million and $58.1 million, respectively, was invested by the agent bank and included in cash equivalents of the Company. A securities lending payable is included in liabilities for the amount of cash collateral received.

Securities lending transactions are used to generate income. Income and expenses associated with these transactions are reported as net investment income.

Investment Income

The sources of net investment income were as follows (in thousands):

	Years Ended December 31,
	2011			2010			2009
Fixed maturities	$	2,164,833		$	2,258,099		$	2,242,491
Commercial mortgage loans		283,881			285,123			330,194
Limited partnerships		85,949			69,250			(89,829	)
Derivative instruments		64,710			39,498			(89,013	)
Other investment income		97,318			124,630			158,717
Total investment income		2,696,691			2,776,600			2,552,560
Less investment expenses		(52,105	)		(72,147	)		(63,779	)
Net investment income	$	2,644,586		$	2,704,453		$	2,488,781

During 2011, 2010 and 2009, $17.0 million, $65.5 million and $57.2 million of investment income was recognized on trading securities held at December 31, 2011, 2010 and 2009, respectively. During 2011 and 2010, $11.2 million and $54.7 million, respectively, of investment income was recognized on fixed maturity securities carried at fair value with changes in value recorded through the income statement. The net investment income (loss) on derivative instruments included in the above table are further detailed in Note 5.

5. Derivative Instruments

Jackson’s business model includes the acceptance, monitoring and mitigation of risk. Specifically, Jackson considers, among other factors, exposures to interest rate and equity market movements, foreign exchange rates and other asset or liability prices. The Company uses derivative instruments to mitigate or reduce these risks in accordance with established policies and goals. Jackson’s derivative holdings, while effective in managing defined risks, are not structured to meet accounting requirements to be designated as hedging instruments and are carried at fair value with changes recorded in other investment gains (losses).

Cross-currency swaps, which embody spot and forward currency swaps and, in some cases, interest rate and equity index swaps, are entered into for the purpose of hedging the Company issued foreign currency denominated trust instruments supported by funding agreements. Cross-currency swaps serve to hedge derivatives embedded in the funding agreements and are carried at fair value. The fair value of derivatives embedded in funding agreements, as well as unrealized foreign currency translation gains and losses, are included in the carrying value of the trust instruments supported by funding agreements. Foreign currency translation gains and losses associated with funding agreement hedging activities are included in other investment gains (losses).

Jackson National Life Insurance Company and Subsidiaries

Notes to Consolidated Financial Statements

December 31, 2011

Credit default swaps, with maturities up to five years, are agreements under which the Company has purchased default protection on certain underlying corporate bonds held in its portfolio. These contracts allow the Company to sell the protected bonds at par value to the counterparty if a defined “default event” occurs, in exchange for periodic payments made by the Company for the life of the agreement. Credit default swaps are carried at fair value. The Company does not currently sell default protection using credit default swaps or other similar derivative instruments.

Put-swaption contracts provide the purchaser with the right, but not the obligation, to require the writer to pay the present value of a long-term interest rate swap at future exercise dates. The Company purchases and writes put-swaptions for hedging purposes with original maturities of up to 10 years. Put-swaptions hedge against significant movements in interest rates. Written put-swaptions are entered into in conjunction with associated put-swaptions purchased from the same counterparties (“linked put-swaptions”). Linked put-swaptions have identical notional amounts and strike prices, but have different underlying swap terms. Due to the right of offset, linked put-swaptions are presented at the fair value of the net position with each counterparty. Non-linked put-swaptions are carried at fair value.

Equity index futures contracts and equity index options (including various call and put options and put spreads), which are used to hedge the Company’s obligations associated with its index linked annuities and guarantees in variable annuity products, are carried at fair value. These insurance products contain embedded options whose fair value is reported in other contract holder funds.

Total return swaps, in which the Company receives equity returns or returns based on reference pools of assets in exchange for short-term floating rate payments based on notional amounts, are held for both hedging and investment purposes, and are carried at fair value.

Interest rate swap agreements used for hedging purposes generally involve the exchange of fixed and floating payments based on a notional contract amount over the period for which the agreement remains outstanding without an exchange of the underlying notional amount. Interest rate swaps are carried at fair value. During 2011 and 2010, the Company entered into various interest rate swap transactions to more closely match the overall asset and liability duration.

Jackson National Life Insurance Company and Subsidiaries

Notes to Consolidated Financial Statements

December 31, 2011

A summary of the aggregate contractual or notional amounts and fair values of freestanding derivative instruments outstanding were as follows (in thousands):

	December 31, 2011
	Assets				Liabilities
	Contractual/				Contractual/					Net
	Notional		Fair		Notional		Fair			Fair
	Amount (1)		Value		Amount (1)		Value			Value
Credit default swaps	$	45,000	$	2,207	$	165,000	$	(11,738	)	$	(9,531	)
Cross-currency swaps		529,987		142,364		73,200		(11,017	)		131,347
Equity index call
options		2,817,800		173,605		4,756,897		(492,171	)		(318,566	)
Equity index futures		-		-		5,636,700		(114,369	)		(114,369	)
Equity index put
options		38,350,000		330,554		1,250,000		(8,725	)		321,829
Interest rate swaps		13,800,000		1,476,006		14,350,000		(740,578	)		735,428
Put-swaptions		15,500,000		478,798		2,000,000		(309	)		478,489
Total return swaps		300,000		1,934		-		-			1,934
Total	$	71,342,787	$	2,605,468	$	28,231,797	$	(1,378,907	)	$	1,226,561

	December 31, 2010
	Assets				Liabilities
	Contractual/				Contractual/					Net
	Notional		Fair		Notional		Fair			Fair
	Amount (1)		Value		Amount (1)		Value			Value
Credit default swaps	$	40,000	$	372	$	210,000	$	(19,730	)	$	(19,358	)
Cross-currency swaps		593,451		175,454		270,906		(34,720	)		140,734
Equity index call
options		5,502,500		125,641		1,356,897		(462,209	)		(336,568	)
Equity index futures		-		-		4,228,875		(117,450	)		(117,450	)
Equity index put
options		12,600,000		215,768		-		-			215,768
Interest rate swaps		11,250,000		446,212		13,300,000		(576,480	)		(130,268	)
Put-swaptions		20,500,000		46,930		6,000,000		(34,387	)		12,543
Total return swaps		-		-		300,000		(5,831	)		(5,831	)
Total	$	50,485,951	$	1,010,377	$	25,666,678	$	(1,250,807	)	$	(240,430	)

(1) With respect to swaps and put-swaptions, the notional amount represents the stated principal balance used as a basis for calculating payments. With respect to futures and options, the contractual amount represents the market exposure of open positions.

Jackson National Life Insurance Company and Subsidiaries

Notes to Consolidated Financial Statements

December 31, 2011

The following tables reflect the results of the Company’s derivatives, including gains (losses) and change in fair value of freestanding derivative instruments and embedded derivatives (in thousands):

	Year Ended December 31, 2011
	Other			Net Investment Income
	Investment						Net Gain (Loss)
	Gains (Losses)						Net Gain (Loss)
Credit default swaps	$	9,420		$	(10,452	)	$	(1,032	)
Equity index call options		77,616			-			77,616
Equity index futures		(528,345	)		-			(528,345	)
Equity index put options		(270,405	)		-			(270,405	)
Index-linked annuity embedded derivatives		(8,644	)		-			(8,644	)
Interest rate swaps		816,426			64,535			880,961
Put-swaptions		469,869			(2,779	)		467,090
Total return swaps		-			13,406			13,406
Variable annuity embedded derivatives		(1,439,975	)		-			(1,439,975	)
Total	$	(874,038	)	$	64,710		$	(809,328	)

	Year Ended December 31, 2010
	Other			Net Investment Income
	Investment						Net Gain (Loss)
	Gains (Losses)						Net Gain (Loss)
Credit default swaps	$	8,617		$	(10,900	)	$	(2,283	)
Equity index call options		(63,733	)		-			(63,733	)
Equity index futures		(537,361	)		-			(537,361	)
Equity index put options		(524,671	)		-			(524,671	)
Index-linked annuity embedded derivatives		(211,684	)		-			(211,684	)
Interest rate swaps		116,276			(15,446	)		100,830
Put-swaptions		11,202			3,646			14,848
Spread cap options		(18,089	)		31,790			13,701
Total return swaps		-			30,408			30,408
Variable annuity embedded derivatives		109,974			-			109,974
Total	$	(1,109,469	)	$	39,498		$	(1,069,971	)

	Year Ended December 31, 2009
	Other			Net Investment Income
	Investment						Net Gain (Loss)
	Gains (Losses)						Net Gain (Loss)
Credit default swaps	$	(11,494	)	$	(13,496	)	$	(24,990	)
Equity index call options		(6,895	)		-			(6,895	)
Equity index futures		(396,329	)		-			(396,329	)
Equity index put options		(792,760	)		-			(792,760	)
Index-linked annuity embedded derivatives		(189,464	)		-			(189,464	)
Interest rate swaps		612,872			(205,639	)		407,233
Put-swaptions		4,022			3,030			7,052
Spread cap options		48,898			52,622			101,520
Total return swaps		-			74,470			74,470
Variable annuity embedded derivatives		594,597			-			594,597
Total	$	(136,553	)	$	(89,013	)	$	(225,566	)

Jackson National Life Insurance Company and Subsidiaries

Notes to Consolidated Financial Statements

December 31, 2011

At December 31, 2011 and 2010, the fair value of Jackson’s net derivative assets by counterparty were $1,457.1 million and $308.3 million, respectively, and held collateral was $1,505.5 million and $282.3 million, respectively, related to these agreements. At December 31, 2011 and 2010, the fair value of Jackson’s net derivative liabilities by counterparty were $230.5 million and $548.7 million, respectively, and provided collateral was $172.5 million and $484.3 million, respectively, related to these agreements. All of Jackson’s master swap agreements contain credit downgrade provisions that allow a party to assign or terminate derivative transactions if the counterparty’s credit rating declines below an established limit. If all of these provisions had been triggered at December 31, 2011 or 2010, Jackson would have to disburse $106.5 million and $38.4 million, respectively, to counterparties, representing the net fair values of derivatives by counterparty, less collateral held.

6.	Deferred Policy Acquisition Costs and Deferred Sales Inducement Costs

The balances of and changes in deferred policy acquisition costs, as of and for the years ended December 31, were as follows (in thousands):

	2011			2010			2009
Balance, beginning of year	$	5,305,670		$	4,738,901		$	4,889,889
Deferrals of acquisition costs		1,251,198			1,180,950			944,596
Amortization related to:
Operations		(707,738	)		(361,602	)		(108,238	)
Derivatives		252,003			443,293			341,509
Net realized (gains) losses		(14,861	)		5,553			72,349
Total amortization		(470,596	)		87,244			305,620
Unrealized investment gains		(455,668	)		(708,151	)		(1,397,712	)
Other		4,664			6,726			(3,492	)
Balance, end of year	$	5,635,268		$	5,305,670		$	4,738,901

The balances of and changes in deferred sales inducement costs, which are reported in other assets, as of and for the years ended December 31, were as follows (in thousands):

	2011			2010			2009
Balance, beginning of year	$	451,096		$	476,749		$	565,943
Deferrals of sales inducements		183,517			144,037			132,196
Amortization related to:
Operations		(136,469	)		(97,729	)		(43,542	)
Derivatives		170,948			21,248			1,201
Net realized (gains) losses		(1,241	)		897			10,062
Total amortization		33,238			(75,584	)		(32,279	)
Unrealized investment gains		(65,369	)		(94,106	)		(195,855	)
Other		-			-			6,744
Balance, end of year	$	602,482		$	451,096		$	476,749

Jackson National Life Insurance Company and Subsidiaries

Notes to Consolidated Financial Statements

December 31, 2011

7.	Certain Nontraditional Long-Duration Contracts and Variable Annuity Guarantees

The Company issues variable contracts through its separate accounts for which investment income and investment gains and losses accrue directly to, and investment risk is borne by, the contract holder (traditional variable annuities). The Company also issues variable annuity and life contracts through separate accounts where the Company contractually guarantees to the contract holder (variable contracts with guarantees) either a) return of no less than total deposits made to the contract adjusted for any partial withdrawals, b) total deposits made to the contract adjusted for any partial withdrawals plus a minimum return, or c) the highest contract value on a specified anniversary date adjusted for any withdrawals following the contract anniversary. These guarantees include benefits that are payable in the event of death (GMDB), annuitization (GMIB), at specified dates during the accumulation period (GMWB) or at the end of a specified period (GMAB).

The assets supporting the variable portion of both traditional variable annuities and variable contracts with guarantees are carried at fair value and reported as summary total separate account assets with an equivalent summary total reported for separate account liabilities. Liabilities for guaranteed benefits are general account obligations and are reported in reserves for future policy benefits and claims payable. Amounts assessed against the contract holders for mortality, administrative, and other services are reported in revenue. Changes in liabilities for minimum guarantees are reported within death, other policy benefits and change in policy reserves in the consolidated income statement with the exception of changes in embedded derivatives, which are included in other investment losses. Separate account net investment income, net investment gains and losses, and the related liability changes are offset within the same line item in the consolidated income statements.

Jackson National Life Insurance Company and Subsidiaries

Notes to Consolidated Financial Statements

December 31, 2011

At December 31, 2011 and 2010, the Company provided variable annuity contracts with guarantees, for which the net amount at risk (“NAR”) is the amount of guaranteed benefit in excess of current account value, as follows (dollars in millions):

									Average
									Period
								Weighted	until
December 31, 2011	Minimum			Account		Net Amount		Average	Expected
	Return			Value		at Risk		Attained Age	Annuitization
Return of net deposits plus a minimum return
GMDB		0-6	%	$	49,063.8	$	4,528.9	64.2 years
GMWB - Premium only		0	%		3,613.5		303.2
GMWB - For life		0-5	%*		4,012.6		904.8
GMAB - Premium only		0	%		83.3		3.0
Highest specified anniversary account value minus
withdrawals post-anniversary
GMDB					6,218.9		1,053.7	63.7 years
GMWB - Highest anniversary only					2,883.3		657.6
GMWB - For life					1,143.0		336.7
Combination net deposits plus minimum return, highest
specified anniversary account value minus
withdrawals post-anniversary
GMDB		0-6	%		3,260.8		744.7	66.1 years
GMIB		0-6	%		2,582.0		893.7		4.2 years
GMWB - For life		0-8	%*		34,037.8		3,517.2

									Average
									Period
								Weighted	until
December 31, 2010	Minimum			Account		Net Amount		Average	Expected
	Return			Value		at Risk		Attained Age	Annuitization
Return of net deposits plus a minimum return
GMDB		0-6	%	$	39,987.3	$	3,297.3	64.0 years
GMWB - Premium only		0	%		4,293.0		233.4
GMWB - For life		0-5	%*		3,124.5		649.5
GMAB - Premium only		0	%		74.8		1.6
Highest specified anniversary account value minus
withdrawals post-anniversary
GMDB					5,858.8		730.0	63.3 years
GMWB - Highest anniversary only					3,147.5		537.3
GMWB - For life					1,333.7		306.3
Combination net deposits plus minimum return, highest
specified anniversary account value minus
withdrawals post-anniversary
GMDB		0-6	%		2,767.8		486.9	65.7 years
GMIB		0-6	%		3,026.4		654.6		5.1 years
GMWB - For life		0-8	%*		23,525.1		1,052.8

* Ranges shown based on simple interest. The upper limits of 5% or 8% simple interest are approximately equal to 4.1% and 6%, respectively, on a compound interest basis over a typical 10-year bonus period.

Jackson National Life Insurance Company and Subsidiaries

Notes to Consolidated Financial Statements

December 31, 2011

Amounts shown as GMWB ‘for-life’ above include a ‘not-for-life’ component up to the point at which the guaranteed withdrawal benefit is exhausted, after which benefits paid are considered to be ‘for-life’ benefits. The liability related to this ‘not-for-life’ portion is valued as an embedded derivative, while the ‘for-life’ benefits are valued as an insurance liability (see below). For this table, the net amount at risk of the ‘not-for-life’ component is the undiscounted excess of the guaranteed withdrawal benefit over the account value, and that of the ‘for-life’ component is the estimated value of additional life contingent benefits paid after the guaranteed withdrawal benefit is exhausted.

Account balances of contracts with guarantees were invested in variable separate accounts as follows (in millions):

	December 31,
Fund type:	2011		2010
Equity	$	44,916.8	$	37,327.4
Bond		6,606.6		5,350.1
Balanced		5,976.5		5,237.9
Money market		1,052.8		705.7
Total	$	58,552.7	$	48,621.1

GMDB liabilities reflected in the general account were as follows (in millions):

	2011			2010			2009
Balance at January 1	$	342.0		$	308.7		$	434.3
Incurred guaranteed benefits		198.4			125.7			21.0
Paid guaranteed benefits		(73.8	)		(92.4	)		(146.6	)
Balance at December 31	$	466.6		$	342.0		$	308.7

The GMDB liability is determined by estimating the expected value of death benefits in excess of the projected account balance and recognizing the excess ratably over the accumulation period based on total expected assessments. The Company regularly evaluates estimates used and adjusts the liability balance through the income statement within death, other policy benefits and change in policy reserves, if actual experience or other evidence suggests that earlier assumptions should be revised.

The following assumptions and methodology were used to determine the GMDB liability at both December 31, 2011 and 2010 (except where otherwise noted):

1)	Use of a series of deterministic investment performance scenarios, based on historical average market volatility.

2)	Mean investment performance assumption of 8.4% after investment management fees, but before investment advisory fees and mortality and expense charges.

3)	Mortality equal to 85.0% of the Annuity 2000 table.

4)	Lapse rates varying by contract type, duration and degree the benefit is in-the-money and ranging from 0.13% to 44.0%, with an average of 4.0% during the surrender charge period and 10.0% thereafter.

5)	Discount rate of 8.4%.

Most GMWB reserves are considered to be derivatives under current accounting guidance and are recognized at fair value, with the change in fair value reported in current earnings. The fair value of these liabilities is determined using stochastic modeling and inputs as further described in Note 3. The GMWB reserve totaled $2,074.8 million and $313.5 million at December 31, 2011 and 2010, respectively, and was included in reserves for future policy benefits and claims payable.

Jackson has also issued certain GMWB products that guarantee payments over a lifetime. Reserves for the portion of these benefits after the point where the guaranteed withdrawal balance is exhausted are calculated as required by ASC 944-20. The reserve calculation uses a series of stochastic investment performance scenarios. Otherwise, the methodology and assumptions used are consistent with those used for calculating the GMDB liability. At December 31, 2011 and 2010, these GMWB reserves totaled $14.7 million and $46.5 million, respectively, and were included in reserves for future policy benefits and claims payable.

Jackson National Life Insurance Company and Subsidiaries

Notes to Consolidated Financial Statements

December 31, 2011

GMAB benefits are offered on some variable annuity plans and issues have been minimal as of December 31, 2011. These reserves totaled $3.2 million and $0.8 million at December 31, 2011 and 2010, respectively. This benefit was eliminated from Jackson’s product offerings in 2011.

The direct GMIB liability is determined at each period end by estimating the expected value of the annuitization benefits in excess of the projected account balance at the date of annuitization and recognizing the excess ratably over the accumulation period based on total expected assessments. The Company regularly evaluates estimates used and adjusts the liability balance through the income statement within death, policy benefits and change in policy reserves, if actual experience or other evidence suggests that earlier assumptions should be revised. The assumptions used for calculating the direct GMIB liability at December 31, 2011 and 2010, are consistent with those used for calculating the GMDB liability. At December 31, 2011 and 2010, GMIB reserves before reinsurance totaled $16.0 million and $7.5 million, respectively.

Other Liabilities – Insurance and Annuitization Benefits

The Company has established additional reserves for life insurance business for: universal life (“UL”) plans with secondary guarantees, interest-sensitive life (“ISWL”) plans that exhibit “profits followed by loss” patterns and account balance adjustments to tabular guaranteed cash values on one interest-sensitive life plan. The Company also has a small closed block of two-tier annuities, where different crediting rates are used for annuitization and surrender benefit calculations. A liability is established to cover future annuitization benefits in excess of surrender values. The total liability for this block is the surrender value, plus the ASC 944-20 annuitization reserve.

Liabilities for these benefits have been established according to the methodologies described below:

	December 31, 2011					December 31, 2010
Benefit Type	Liability (in millions)		Net Amount at Risk (in millions)		Weighted Average Attained Age	Liability (in millions)		Net Amount at Risk (in millions)		Weighted Average Attained Age
UL insurance benefit *	$	105.1	$	6,125.9	55.9 years	$	84.9	$	5,850.5	55.7 years
Two-tier annuitization		6.0		31.9	64.7 years		6.2		32.6	63.9 years
ISWL account balance
adjustment		73.0		n/a	n/a		66.3		n/a	n/a

* Amounts for the UL benefits are for the total of the plans containing any policies having projected non-zero excess benefits, and thus may include some policies with zero projected excess benefits.

The following assumptions and methodology were used to determine the UL insurance benefit liability at December 31, 2011 and 2010:

1)	Use of a series of deterministic premium persistency scenarios.

2)	Other experience assumptions similar to those used in amortization of deferred acquisition costs.

3)	Discount rates equal to the credited interest rates, approximately 4% to 5% projected.

The following assumptions and methodology were used to determine the two-tier annuitization benefit liability at December 31, 2011 and 2010:

1)	Use of a series of deterministic scenarios, varying by surrender rate and annuitization rate.

2)	Other experience assumptions similar to those used in amortization of deferred acquisition costs.

3)	Discount rates are equal to credited interest rates, approximately 3% to 4%.

Jackson National Life Insurance Company and Subsidiaries

Notes to Consolidated Financial Statements

December 31, 2011

Debt

The aggregate carrying value of borrowings was as follows (in thousands):

	December 31,
	2011		2010
Surplus notes	$	249,354	$	249,333
Mortgage loans		30,841		31,150
VIE related borrowings		2,500		43,322
FHLBI mortgage loan		15,000		15,000
Total	$	297,695	$	338,805

Due in less than 1 year	$	-
Due in more than 1 to 5 years		48,341
Due after 5 years		249,354
Total	$	297,695

Surplus notes

On March 15, 1997, the Company issued 8.15% surplus notes in the principal amount of $250.0 million due March 15, 2027. These surplus notes were issued pursuant to Rule 144A under the Securities Act of 1933, and are unsecured and subordinated to all present and future indebtedness, policy claims and other creditor claims.

Under Michigan insurance law, for statutory reporting purposes, the surplus notes are not part of the legal liabilities of the Company and are considered surplus funds. Payments of interest or principal may only be made with the prior approval of the Commissioner of Insurance of the state of Michigan and only out of surplus earnings which the Commissioner determines to be available for such payments under Michigan insurance law. The surplus notes may not be redeemed at the option of the Company or any holder prior to maturity.

Interest is payable semi-annually on March 15 and September 15 of each year. Interest paid totaled $20.4 million in each of 2011, 2010 and 2009.

Mortgage loans

At December 31, 2011 and 2010, certain consolidated real estate VIEs had outstanding mortgage loans with a weighted average interest rate of 4.4% and 4.4%, respectively, with maturities through 2016. Interest paid totaled $1.4 million, $2.1 million and $2.2 million in 2011, 2010 and 2009, respectively.

VIE related borrowings

Certain of the Company’s VIEs have “equity” classes issued in the form of non-investment grade debt. Accordingly, these equity classes are classified as notes payable rather than minority interest in the consolidated balance sheets. These notes accrue contingent interest in addition to the stated coupon. At December 31, 2011 there was only one equity class outstanding that matures in 2016. The outstanding principal amount accrued interest at a weighted average interest rate of 9.4% and 5.0% at December 31, 2011 and 2010, respectively. Interest paid on the notes in 2011, 2010 and 2009 totaled $0.2 million, $8.8 million and $0.4 million, respectively.

Additionally, certain of the Company’s consolidated VIEs issued debt to external parties, which was redeemed in 2011. While outstanding, the principal amount accrued interest at a weighted average interest rate of 0.8% in 2011 and 3.1% in 2010. Interest paid on the notes totaled $0.2 million and $2.6 million in 2011 and 2010, respectively, which were the only years these VIEs were consolidated in Jackson’s financial statements.

Jackson National Life Insurance Company and Subsidiaries

Notes to Consolidated Financial Statements

December 31, 2011

Federal Home Loan Bank Mortgage Loan

In 2010, Jackson received a mortgage loan from the FHLBI, under its community investment program. The loan accrues interest at 1.04% and the outstanding balance was $15.0 million as of both December 31, 2011 and 2010. Interest paid totaled $0.2 million during 2011. Jackson did not pay any interest on this mortgage loan during 2010, as the loan was executed in mid-December. At December 31, 2011, the mortgage loan was collateralized by real estate with a carrying value of $20.4 million.

9.	Federal Home Loan Bank Advances

Jackson entered into a short-term advance program with the FHLBI in which interest rates were either fixed or variable based on the FHLBI cost of funds or market rates. Advances of $150.0 million at an interest rate of 0.14% were outstanding at December 31, 2011. There were no advances outstanding at December 31, 2010. Jackson did not pay interest during 2011 since advances were only drawn in December. Jackson paid $0 million and $0.3 million of interest on advances during 2010 and 2009, respectively. Advances were collateralized by CMBS and other structured securities with a carrying value of $165.7 million at December 31, 2011.

10.	Repurchase Agreements

During 2011 and 2010, the Company entered into repurchase agreements whereby the Company agreed to sell and repurchase securities. These agreements are accounted for as financing transactions, with the assets and associated liabilities included in the consolidated balance sheets. Short-term borrowings under such agreements averaged $316.4 million and $289.1 million during 2011 and 2010, respectively, at weighted average interest rates of 0.2% for both years. The outstanding balance was $100.7 million and $552.5 million as of December 31, 2011 and 2010, respectively. Interest paid totaled $0.5 million, $0.6 million and $0.1 million in 2011, 2010 and 2009, respectively. The highest level of short-term borrowings at any month end was $683.2 million in 2011 and $552.5 million in 2010.

11.	Reinsurance

The Company assumes and cedes reinsurance from and to other insurance companies in order to limit losses from large exposures; however, if the reinsurer is unable to meet its obligations, the originating issuer of the coverage retains the liability. The Company monitors the financial strength rating of reinsurers on a monthly basis.

The maximum amount of life insurance risk retained by the Company on any one life is generally $2.0 million. Amounts not retained are ceded to other companies on either a yearly renewable-term or a coinsurance basis.

In connection with the purchase of Life of Georgia in 2005, Jackson acquired certain lines of business that are wholly ceded to non-affiliates. These include both direct and assumed accident and health business, direct and assumed life insurance business, and certain institutional annuities.

Jackson’s GMIBs are reinsured through an unrelated party and, due to the net settlement provisions of the reinsurance agreement, this contract meets the definition of a derivative. Accordingly, the GMIB reinsurance agreement is recorded at fair value on the Company’s balance sheets, with changes in fair value recorded through other investment gains (losses).

Jackson also ceded the GMDB coverage associated with certain variable annuities issued prior to 2003 to an affiliate, Prudential Atlantic Reinsurance Company, Dublin, Ireland (“PARC”). PARC is a wholly owned subsidiary of Prudential. Effective December 31, 2009, Jackson terminated the reinsurance agreement, paying a premium of $30.5 million to settle the experience account as defined in the agreement. The net effect of terminating the reinsurance agreement and recapturing reserves of $265.6 million was a loss of $10.3 million, net of deferred acquisition cost amortization.

Jackson National Life Insurance Company and Subsidiaries

Notes to Consolidated Financial Statements

December 31, 2011

The effect of reinsurance on premiums was as follows (in thousands):

	Years Ended December 31,
	2011			2010			2009
Direct premiums:
Life	$	257,015		$	273,247		$	289,755
Accident and health		3,020			9,058			10,867
Plus reinsurance assumed:
Life		12,728			13,736			15,020
Accident and health		860			1,122			1,207
Less reinsurance ceded:
Life		(109,407	)		(123,621	)		(125,084	)
Accident and health		(3,880	)		(10,180	)		(12,074	)
Annuity guaranteed benefits		(20,526	)		(20,641	)		(64,460	)
Total net premiums	$	139,810		$	142,721		$	115,231

Premiums ceded for guaranteed annuity benefits included $44.4 million to PARC during 2009.

The effect of reinsurance on benefits was as follows (in thousands):

	Years Ended December 31,
	2011			2010			2009
Direct benefits
Life	$	668,546		$	594,368		$	564,379
Accident and health		1,598			5,220			10,861
Annuity guaranteed benefits		73,756			92,382			146,634
Plus reinsurance assumed:
Life		27,317			27,934			30,115
Accident and health		468			560			694
Less reinsurance ceded:
Life		(118,408	)		(121,595	)		(108,985	)
Accident and health		(2,066	)		(5,780	)		(11,555	)
Annuity guaranteed benefits		-			-			(48,570	)
Deferral of contract enhancements		(172,389	)		(125,336	)		(91,873	)
Change in reserves, net of reinsurance		106,474			68,972			149,686
Total benefits	$	585,296		$	536,725		$	641,386

During 2009, benefits ceded for guaranteed annuity benefits included $48.6 million to PARC.

Jackson National Life Insurance Company and Subsidiaries

Notes to Consolidated Financial Statements

December 31, 2011

Components of the reinsurance recoverable were as follows (in thousands):

	December 31,
	2011		2010
Reserves:
Life	$	893,963	$	874,904
Accident and health		5,764		18,966
Guaranteed minimum income benefits		451,274		127,534
Other annuity benefits		23,129		25,184
Claims liability		33,411		40,748
Other		2,147		2,203
Total	$	1,409,688	$	1,089,539

Included in the reinsurance recoverable were reserves ceded to Brooke Life of $46.2 million and $47.7 million at December 31, 2011 and 2010, respectively. The largest amount ceded to any reinsurer at December 31, 2011 totaled $451.3 million, which was all related to the guaranteed minimum income benefits in the above table.

The following table sets forth the Company’s net life insurance in-force (in millions):

	December 31,
	2011			2010
Direct life insurance in-force	$	88,014		$	93,606
Amounts assumed from other companies		1,334			1,415
Amounts ceded to other companies		(47,059	)		(49,417	)
Net life insurance in-force	$	42,290		$	45,604

12. Federal Income Taxes

The components of the provision for federal income taxes were as follows (in thousands):

	Years Ended December 31,
	2011		2010			2009
Current tax expense (benefit)	$	58,481	$	(179,053	)	$	(227,312	)
Deferred tax expense		217,754		355,790			409,848
Federal income tax expense	$	276,235	$	176,737		$	182,536

The federal income tax provisions differ from the amounts determined by multiplying pretax income attributable to Jackson by the statutory federal income tax rate of 35% as follows (in thousands):

	Years Ended December 31,
	2011			2010			2009
Income taxes at statutory rate	$	339,130		$	236,308		$	213,748
Dividends received deduction		(59,136	)		(56,390	)		(27,331	)
Other		(3,759	)		(3,181	)		(3,881	)
Federal income tax expense	$	276,235		$	176,737		$	182,536

Effective tax rate		28.5	%		26.2	%		29.9	%

Jackson National Life Insurance Company and Subsidiaries

Notes to Consolidated Financial Statements

December 31, 2011

Federal income taxes paid (recovered) were $170.0 million, $(517.8) million and $(48.6) million in 2011, 2010 and 2009, respectively. The 2010 tax recovery included $287.7 million due to Internal Revenue Service guidance issued in March 2010 related to the adoption of new statutory reserving requirements for variable annuities in 2009. This new tax guidance required that the tax reserve decrease recognized upon implementation of the transition to the new reserving methodology be amortized over 10 years. Approximately $822.1 million of the additional tax reserve deduction was available to carryback and offset the prior year’s taxable income. For GAAP, this guidance resulted in a current tax recoverable, offset by a decrease in a deferred tax asset, with no impact on total tax expense.

The tax effects of significant temporary differences that gave rise to deferred tax assets and liabilities were as follows (in thousands):

	December 31,
	2011			2010
Gross deferred tax asset
Difference between financial reporting and the tax basis of:
Policy reserves and other insurance items	$	1,846,024		$	1,394,786
Other-than-temporary impairments and other investment items		122,244			238,777
Deferred compensation		44,956			41,498
Other, net		66,473			141,830
Total gross deferred tax asset		2,079,697			1,816,891

Gross deferred tax liability
Difference between financial reporting and the tax basis of:
Deferred acquisition costs and sales inducements		(1,948,928	)		(1,796,823	)
Other investment items		(246,482	)		(36,419	)
Other assets		(22,314	)		(96,579	)
Net unrealized gains on available for sale securities		(1,001,325	)		(543,647	)
Total gross deferred tax liability		(3,219,049	)		(2,473,468	)

Net deferred tax liability	$	(1,139,352	)	$	(656,577	)

Realization of Jackson’s deferred tax assets is dependent on generating sufficient taxable income. Although realization is not assured, management believes that it is more likely than not that the results of future operations and investment activity will generate sufficient taxable income to realize gross deferred tax assets.

At December 31, 2011, the Company had no federal tax ordinary loss or federal tax capital loss carryforwards.

Jackson National Life Insurance Company and Subsidiaries

Notes to Consolidated Financial Statements

December 31, 2011

In August 2007, the Internal Revenue Service (“IRS”) issued Revenue Ruling 2007-54 that would have changed accepted industry and IRS interpretations of the statutes governing the computation of the Dividends Received Deduction ("DRD") on separate account assets held in connection with variable annuity and life contracts, but that ruling was suspended by Revenue Ruling 2007-61. Revenue Ruling 2007-61 also announced the Treasury Department's and the IRS's intention to issue regulations with respect to certain computational aspects of the DRD on separate account assets held in connection with variable contracts. Any regulations that the IRS ultimately proposes for issuance in this area will be subject to public notice and comment, at which time insurance companies and other interested parties will have the opportunity to raise legal and practical questions about the content, scope and application of such regulations. Although regulations that represent a substantial change in an interpretation of the law are generally given a prospective effective date, there is no assurance that the change will not be retrospectively applied. As a result, depending on the ultimate timing and substance of any such regulations, which are unknown at this time, such future regulations could result in the elimination of some or all of the separate account DRD tax benefit that the Company receives. In January 2010, Jackson received a formal Notice of Assessment from the IRS disallowing the separate account DRD for 2003, 2005 and 2006. Jackson did not agree with the assessment and filed a protest with the Appellate Division of the IRS. No reserve has been established for this potential exposure since Jackson believes its position is sustainable. The Company recognized an income tax benefit related to the separate account DRD of $59.1 million, $56.4 million and $27.3 million during 2011, 2010 and 2009, respectively.

During 2011, Jackson established a reserve for an unrecognized tax benefit as required for income tax uncertainties. The following table summarizes the changes in the Company’s unrecognized tax benefits, for the year ended December 31, 2011 (in thousands). There were no unrecognized tax benefits at December 31, 2010.

Unrecognized tax benefit at December 31, 2010	$	-
Additions for tax positions identified in 2011		45,065
Reduction of tax positions of closed prior years		-
Unrecognized tax benefit at December 31, 2011	$	45,065

The Company has considered both permanent and temporary positions in determining the unrecognized tax benefit rollforward. The total amount of unrecognized benefits represent tax positions for which there is uncertainty about the timing of certain deductions. The timing of such deductions would not affect the annual effective tax rate, excluding the impact of interest and penalties.

Interest totaling $10.4 million related to these unrecognized tax benefits has been included in income tax expense in the consolidated income statement for 2011. The Company has not recorded any amounts for penalties related to unrecognized tax benefits during 2011, 2010 or 2009.

Based on information available as of December 31, 2011, the Company believes that, in the next 12 months, there are no positions for which it is reasonably possible that the total amounts of unrecognized tax benefits will significantly increase or decrease. The Company is generally no longer subject to United States federal, state or local income tax examinations by taxing authorities for tax years prior to 2007.

13.	Commitments and Contingencies

The Company and its subsidiaries are involved in litigation arising in the ordinary course of business. It is the opinion of management that the ultimate disposition of such litigation will not have a material adverse affect on the Company's financial condition or results of operations. Jackson has been named in civil litigation proceedings, which appear to be substantially similar to other class action litigation brought against many life insurers including a modal premium case and allegations of misconduct in the sale of insurance products. The Company accrues for legal contingencies once the contingency is deemed to be probable and estimable. At December 31, 2011 and 2010, Jackson recorded accruals totaling $19.9 million and $29.0 million, respectively.

Jackson National Life Insurance Company and Subsidiaries

Notes to Consolidated Financial Statements

December 31, 2011

State guaranty funds provide payments for policyholders of insolvent life insurance companies. These guaranty funds are financed by assessing solvent insurance companies based on location, volume and types of business. The Company estimated its reserve for future state guaranty fund assessments based on data received from the National Organization of Life and Health Insurance Guaranty Associations. Based on data received, the Company’s reserve for future state guaranty fund assessments was $26.6 million and $24.9 million at the end of 2011 and 2010, respectively. Related premium tax offsets were $15.3 million and $14.6 million at December 31, 2011 and 2010, respectively. While Jackson cannot predict the amount and timing of any future assessments, the Company believes the reserve is adequate for all anticipated payments for known insolvencies.

At December 31, 2011, the Company had unfunded commitments related to its investments in limited partnerships and limited liability companies totaling $529.8 million. At December 31, 2011, unfunded fixed-rate commercial mortgage loan commitments totaled $119.3 million.

The Company has received industry-wide regulatory inquiries with respect to claims settlement practices and compliance with unclaimed property laws. To date, only one state has requested a formal search for potential unreported claims. Any regulatory audits, related examination activity and internal reviews may result in additional payments to beneficiaries, escheatment of funds deemed abandoned under state laws, administrative penalties and changes in the Company’s procedures for the identification of unreported claims and handling of escheatable property. Based on its current analysis, at December 31, 2011, the Company accrued $25.0 million for these unreported claims. Additionally, regulators and state legislators are considering proposals that would require life insurance companies to take additional steps to identify unreported deceased policy and contract holders. Currently, there does not appear to be a consensus among state insurance regulators and state unclaimed property administrators regarding a life insurer’s obligations in connection with identifying unreported deaths of its policy and contract holders.

The Company leases office space, land and equipment under several operating leases that expire at various dates through 2051. Certain leases include escalating lease rates, lease abatements and other incentives and, as a result, at December 31, 2011, Jackson recorded a liability of $13.0 million for future lease payments. Lease expense was $25.2 million, $22.3 million and $20.6 million in 2011, 2010 and 2009, respectively. At December 31, 2011, future minimum payments under these noncancellable operating leases were as follows (in thousands):

2012	$	23,087
2013		20,880
2014		14,229
2015		11,644
2016		11,248
Thereafter		20,501
Total	$	101,589

14.	Statutory Accounting Capital and Surplus

Under Michigan Insurance Law, dividends on capital stock can only be distributed out of earned surplus, adjusted to exclude any unrealized capital gains and the effect of permitted practices, unless the Commissioner approves the dividend prior to payment. At December 31, 2011, the adjusted earned surplus of Jackson National Life Insurance Company was $595.6 million. Furthermore, without the prior approval of the Commissioner, dividends are also subject to restrictions relating to statutory surplus and/or statutory earnings. The maximum dividend which can be paid in 2012, subject to the availability of earned surplus, without prior approval of the Commissioner is $410.6 million.

The Company received capital contributions from its parent of $19.4 million, $150.1 million and $592.4 million in 2011, 2010 and 2009, respectively. The capital contributions included $19.4 million, $20.1 million and $21.4 million in 2011, 2010 and 2009, respectively, from Brooke Life’s forgiveness of intercompany tax liabilities. Dividend payments from the Company to its parent were $530.0 million, $275.0 million and $250.0 million in 2011, 2010 and 2009, respectively.

Jackson National Life Insurance Company and Subsidiaries

Notes to Consolidated Financial Statements

December 31, 2011

Statutory capital and surplus of the Company, as reported in its Annual Statement, was $3.6 billion and $4.4 billion at December 31, 2011 and 2010, respectively. Statutory net income (loss) of the Company, as reported in its Annual Statement, was $(591.1) million, $769.6 million and $373.6 million in 2011, 2010 and 2009, respectively.

The Commissioner has granted Jackson a permitted practice that allows Jackson to carry interest rate swaps at book value, as if statutory hedge accounting were in place, instead of at fair value as would have been otherwise required. Jackson is required to demonstrate the effectiveness of its interest rate swap program pursuant to the Michigan Insurance Code. This permitted practice expires on October 1, 2012. At December 31, 2011, the effect of the permitted practice decreased statutory surplus by $474.4 million, net of tax. Statutory surplus increased by $130.3 million at December 31, 2010 due to the effect of the permitted practice. The permitted practice had no impact on statutory net income.

15.	Other Related Party Transactions

The Company's investment portfolio is managed by PPM America, Inc. (“PPMA”), a registered investment advisor, and PPM Finance, Inc. (collectively, “PPM”). PPM is ultimately a wholly owned subsidiary of Prudential. The Company paid $36.6 million, $37.2 million and $36.8 million to PPM for investment advisory services during 2011, 2010 and 2009, respectively.

National Planning Holdings, Inc. (“NPH”), Jackson’s affiliated broker-dealer network, distributes products issued by Jackson and receives commissions and fees from Jackson. Commissions and fees paid by Jackson to NPH during 2011, 2010 and 2009 totaled $94.7 million, $85.7 million and $76.7 million, respectively.

Jackson has entered into shared services administrative agreements with both, NPH and PPMA. Under the shared services administrative agreements, Jackson charged $8.5 million, $6.2 million and $4.5 million of certain management and corporate services costs to these affiliates in 2011, 2010 and 2009, respectively.

Jackson provides a $25.0 million revolving credit facility to Nicole Finance, Inc., an upstream holding company. The loan, executed in 2011, is unsecured, matures in December 2016, accrues interest at 1.27% per annum and has a commitment fee of 0.10% per annum. There was $14.7 million outstanding at December 31, 2011. The highest outstanding loan balance during 2011 was $14.7 million. Interest and commitment fees totaled $9 thousand during 2011.

Jackson provides a $40.0 million revolving credit facility to PPMA. The loan is unsecured, matures in September 2013, accrues interest at LIBOR plus 2% per annum and has a commitment fee of 0.25% per annum. There was no balance outstanding at December 31, 2011 or 2010. The highest outstanding loan balance during 2011 and 2010 was nil and $21.0 million, respectively. During 2011, 2010 and 2009, interest and commitment fees totaled $0.1 million, $0.2 million and $0.1 million, respectively.

Jackson provides a $20.0 million revolving credit facility to Brooke Holdings, LLC, an upstream holding company. The loan is unsecured, matures in June 2014, accrues interest at LIBOR plus 2% per annum and has a commitment fee of 0.25% per annum. There was no outstanding balance at December 31, 2011. There was $7.0 million outstanding at December 31, 2010. The highest outstanding loan balance during both 2011 and 2010 was $7.0 million. Interest and commitment fees totaled $0.2 million, $0.1 million and $35 thousand during 2011, 2010 and 2009, respectively.

Jackson provides, through its PGDS subsidiary, information technology services to certain Prudential affiliates. Jackson recognized $21.1 million, $20.1 million and $19.2 million of revenue associated with these services during 2011, 2010 and 2009, respectively. This revenue is included in other income in the accompanying consolidated income statement. This revenue is substantially equal to the costs incurred by PGDS to provide the services, which are reported in general and administrative expenses in the consolidated income statements.

Jackson National Life Insurance Company and Subsidiaries

Notes to Consolidated Financial Statements

December 31, 2011

16.	Benefit Plans

The Company has a defined contribution retirement plan covering substantially all employees and certain affiliates. To be eligible to participate in the Company’s contribution, an employee must have attained the age of 21, completed at least 1,000 hours of service in a 12-month period and passed their 12-month employment anniversary. In addition, the employee must be employed on the applicable January 1 or July 1 entry date. The Company's annual contributions, as declared by the board of directors, are based on a percentage of eligible compensation paid to participating employees during the year. In addition, the Company matches a participant’s elective contribution, up to 6 percent of eligible compensation, to the plan during the year. The Company’s expense related to this plan was $18.0 million, $17.4 million and $16.3 million in 2011, 2010 and 2009, respectively, comprised solely of the Company’s annual contributions to the plan.

The Company maintains non-qualified voluntary deferred compensation plans for certain agents and employees. At December 31, 2011 and 2010, the liability for such plans totaled $121.5 million and $119.2 million, respectively, and is reported in other liabilities. Jackson invests general account assets in selected mutual funds in amounts similar to participant elections as a hedge against significant movement in the payout liability. The Company’s expense related to these plans, including a match of elective deferrals for the agents’ deferred compensation plan, was $(1.7) million, $22.5 million and $34.8 million in 2011, 2010 and 2009, respectively. Investment income from the mutual funds totaled $(3.7) million, $15.7 million and $27.6 million in 2011, 2010 and 2009, respectively.

17.	Subsequent Event

In February 2012, Brooke Life received a Notice of Proposed Adjustment from the IRS, regarding an assessment related to its tax treatment of interest expense on intercompany debt. Due to the intercompany tax sharing agreement, the effect of an adjustment, if any, would impact Jackson’s total stockholder’s equity. The total aggregate exposure to the Company’s stockholder’s equity is approximately $130.0 million. Brooke Life does not agree with the assessment, believes its current position is sustainable and intends to file a protest with the IRS once it receives the official report, which is expected to be issued in late March.

PART C

OTHER INFORMATION

Item 24. Financial Statements and Exhibits

(a) Financial Statements:

(1) Financial statements and schedules included in Part A:

Not Applicable.

(2) Financial statements and schedules included in Part B -

Jackson National Separate Account V:

Report of Independent Registered Public Accounting Firm

Statements of Assets and Liabilities as of December 31, 2011

Statements of Operations for the period ended December 31, 2011

Statements of Changes in Net Assets for the periods ended December 31, 2011 and 2010

Notes to Financial Statements

Jackson National Life Insurance Company:

Report of Independent Registered Public Accounting Firm

Consolidated Balance Sheets as of December 31, 2011 and 2010

Consolidated Income Statements for the years ended December 31, 2011, 2010, and 2009

Consolidated Statements of Stockholder's Equity and Comprehensive Income for the years ended

December 31, 2011, 2010, and 2009

Consolidated Statements of Cash Flows for the years ended December 31, 2011, 2010, and 2009

Notes to Consolidated Financial Statements

(b) Exhibits

Exhibit Description

No.

1.	Resolution of Depositor's Board of Directors authorizing the establishment of the Registrant, incorporated herein by reference to the Registrant's Registration Statement filed on January 15, 1999 (File Nos. 333-70697 and 811-09119).

2.	Not Applicable.

a.	General Distributor Agreement, incorporated herein by reference to the Registrant’s Pre-Effective Amendment Number 1 filed on August 13, 1999 (File Nos. 333-70697 and 811-09119).

b.	Amended and Restated General Distributor Agreement dated October 25, 2005, incorporated herein by reference to the Registrant's Post-Effective Amendment No. 21 filed on December 29, 2005 (File Nos. 333-70472 and 811-08664).

c.	Selling Agreement between Jackson National Life Insurance Company and Jackson National Life Distributors, LLC (V2565 01/12), incorporated herein by reference to Registrant’s Pre-Effective Amendment No. 1, filed on April 24, 2012 (File Nos. 333-178774 and 811-08664).

a.	Specimen of the Perspective Advantage Fixed and Variable Annuity Contract, incorporated herein by reference to the Registrant's Registration Statement filed on January 15, 1999 (File Nos. 333-70697 and 811-09119).

b.	Form of the Perspective Advantage Fixed and Variable Annuity Contract (Unisex Tables), incorporated herein by reference to the Registrant's Registration Statement filed on January 15, 1999 (File Nos. 333-70697 and 811-09119).

c.	Form of Spousal Continuation Endorsement, incorporated herein by reference to the Registrant's Post-Effective Amendment No. 4 filed on April 29, 2002 (File Nos. 333-70697 and 811-09119).

d.	Form of Preselected Death Benefit Option Endorsement, incorporated herein by reference to the Registrant's Post-Effective Amendment No. 4 filed on April 29, 2002 (File Nos. 333-70697 and 811-09119).

e.	Specimen of Charitable Remainder Trust Endorsement, incorporated herein by reference to the Registrant’s Pre-Effective Amendment No. 1 filed on December 23, 2004 (File Nos. 333-118368 and 811-08664).

f.	Specimen of the 5% For Life Guaranteed Minimum Withdrawal Benefit With Bonus and Annual Step up Endorsement, incorporated herein by reference to the Registrant's Post-Effective Amendment No. 34, filed on February 2, 2007 (File Nos. 333-70472 and 811-08664).

g.	Specimen of the 6% Guaranteed Minimum Withdrawal Benefit With Annual Step-up Endorsement, incorporated herein by reference to the Registrant's Post-Effective Amendment No. 34, filed on February 2, 2007 (File Nos. 333-70472 and 811-08664).

h.	Specimen of the For Life Guaranteed Minimum Withdrawal Benefit With Annual Step-Up Endorsement, incorporated herein by reference to the Registrant's Post-Effective Amendment No. 34, filed on February 2, 2007 (File Nos. 333-70472 and 811-08664).

i.	Specimen of Joint For Life Guaranteed Minimum Withdrawal Benefit With Annual Step-Up Endorsement, incorporated herein by reference to the Registrant's Post-Effective Amendment No. 34, filed on February 2, 2007 (File Nos. 333-70472 and 811-08664).

j.	Specimen of 5% Guaranteed Minimum Withdrawal Benefit With Annual Step-Up Endorsement, incorporated herein by reference to the Registrant's Post-Effective Amendment No. 34, filed on February 2, 2007 (File Nos. 333-70472 and 811-08664).

k.	Specimen of the 5% Guaranteed Minimum Withdrawal Benefit Endorsement, incorporated herein by reference to the Registrant's Post- Effective Amendment No. 34, filed on February 2, 2007 (File Nos. 333-70472 and 811-08664).

l.	Specimen of the 7% Guaranteed Minimum Withdrawal Benefit With 5 Year Step-Up Endorsement, incorporated herein by reference to the Registrant's Post-Effective Amendment No. 34, filed on February 2, 2007 (File Nos. 333-70472 and 811-08664).

m.	Specimen of 5% Guaranteed Minimum Withdrawal Benefit With Annual Step-Up Endorsement, incorporated herein by reference to the Registrant's Post-Effective Amendment No. 41, filed on August 23, 2007 (File Nos. 333-70472 and 811-08664).

n.	Specimen of 6% Guaranteed Minimum Withdrawal Benefit With Annual Step-up Endorsement, incorporated herein by reference to the Registrant's Post-Effective Amendment No. 41, filed on August 23, 2007 (File Nos. 333-70472 and 811-08664).

o.	Specimen of 5% For Life Guaranteed Minimum Withdrawal Benefit With Bonus and Annual Step-Up Endorsement, incorporated herein by reference to the Registrant's Post-Effective Amendment No. 41, filed on August 23, 2007 (File Nos. 333-70472 and 811-08664).

p.	Specimen of For Life Guaranteed Minimum Withdrawal Benefit With Annual Step-Up Endorsement, incorporated herein by reference to the Registrant's Post-Effective Amendment No. 41, filed on August 23, 2007 (File Nos. 333-70472 and 811-08664).

q.	Joint For Life Guaranteed Minimum Withdrawal Benefit With Annual Step-Up Endorsement, incorporated herein by reference to the Registrant's Post-Effective Amendment No. 41, filed on August 23, 2007 (File Nos. 333-70472 and 811-08664).

r.	For Life Guaranteed Minimum Withdrawal Benefit With Bonus, Guaranteed Withdrawal Balance Adjustment and Annual Step-up Endorsement, incorporated herein by reference to the Registrant's Post-Effective Amendment No. 41, filed on August 23, 2007 (File Nos. 333-70472 and 811-08664).

s.	Specimen of Guaranteed Minimum Withdrawal Benefit with 5-Year Step-Up Endorsement, incorporated herein by reference to the Registrant's Post-Effective Amendment No. 46, filed on December 27, 2007 (File Nos. 333-70472 and 811-08664).

t.	Specimen of the For Life GMWB With Bonus and Annual Step-Up Endorsement, incorporated herein by reference to the Registrant's Post-Effective Amendment No. 46, filed on December 27, 2007 (File Nos. 333-70472 and 811-08664).

u.	Specimen of the Joint For Life GMWB With Bonus and Annual Step-Up Endorsement, incorporated herein by reference to the Registrant's Post-Effective Amendment No. 46, filed on December 27, 2007 (File Nos. 333-70472 and 811-08664).

v.	Specimen of the Joint For Life GMWB with Bonus, Guaranteed Withdrawal Balance Adjustment and Annual Step-Up Endorsement, incorporated herein by reference to the Registrant's Post-Effective Amendment No. 46, filed on December 27, 2007 (File Nos. 333-70472 and 811-08664).

w.	Specimen of the Joint For Life Guaranteed Minimum Withdrawal Benefit With Bonus and Annual Step-Up Endorsement, incorporated herein by reference to the Registrant's Post-Effective Amendment No. 18, filed on October 6, 2008 (File Nos. 333-70697 and 811-09119).

x.	Specimen of the For Life Guaranteed Minimum Withdrawal Benefit With Bonus and Annual Step-Up Endorsement, incorporated herein by reference to the Registrant's Post-Effective Amendment No. 18, filed on October 6, 2008 (File Nos. 333-70697 and 811-09119).

y.	Specimen of the For Life Guaranteed Minimum Withdrawal Benefit With Bonus and Annual Step-Up Endorsement, incorporated herein by reference to the Registrant's Post-Effective Amendment No. 18, filed on October 6, 2008 (File Nos. 333-70697 and 811-09119).

Specimen of the For Life Guaranteed Minimum Withdrawal Benefit With Bonus, Guaranteed Withdrawal Balance Adjustment and Annual Step-Up (Freedom) Endorsement (7587 01/09), incorporated herein by reference to the Registrant's Post-Effective Amendment No. 19, filed on December 31, 2008 (File Nos. 333-70697 and 811-09119).

aa.

Specimen of the Joint For Life Guaranteed Minimum Withdrawal Benefit With Bonus, Guaranteed Withdrawal Balance Adjustment and Annual Step-Up (Joint Freedom) Endorsement (7588 01/09), incorporated herein by reference to the Registrant's Post-Effective Amendment No. 19, filed on December 31, 2008 (File Nos. 333-70697 and 811-09119).

bb.

Specimen of the For Life Guaranteed Minimum Withdrawal Benefit With Bonus, Guaranteed Withdrawal Balance Adjustment and Annual Step-Up (DB) Endorsement (7589 01/09), incorporated herein by reference to the Registrant's Post-Effective Amendment No. 19, filed on December 31, 2008 (File Nos. 333-70697 and 811-09119).

cc.

Specimen of the For Life Guaranteed Minimum Withdrawal Benefit with Bonus, Guaranteed Withdrawal Balance Adjustment and Annual Step-Up (LifeGuard Freedom DB) Endorsement (7602 04/09), incorporated herein by reference to the Registrant's Post-Effective Amendment No. 20, filed on April 2, 2009 (File Nos. 333-70697 and 811-09119).

dd.	Specimen of the For Life Guaranteed Minimum Withdrawal Benefit With Bonus and Annual Step-Up (LifeGuard Freedom 6(SM) GMWB) Endorsement (7613 09/09), incorporated herein by reference to the Registrant's Post-Effective Amendment No. 21 filed on September 24, 2009 (File Nos. 333-70697 and 811-09119).

ee.

Specimen of the Joint For Life Guaranteed Minimum Withdrawal Benefit With Bonus and Annual Step-Up (LifeGuard Freedom 6 GMWB With Joint Option) Endorsement (7614 09/09), incorporated herein by reference to the Registrant's Post-Effective Amendment No. 21 filed on September 24, 2009 (File Nos. 333-70697 and 811-09119).

ff.	Specimen of the For Life Guaranteed Minimum Withdrawal Benefit With Bonus, and Annual Step-Up (LifeGuard Freedom 6 DB(SM) Endorsement (7615 09/09), incorporated herein by reference to the Registrant's Post-Effective Amendment No. 21 filed on September 24, 2009 (File Nos. 333-70697 and 811-09119).

gg.

Specimen of the For Life Guaranteed Minimum Withdrawal Benefit With Bonus, Guaranteed Withdrawal Balance Adjustment and Annual Step-Up (LifeGuard Select(SM)) Endorsement (7617 09/09), incorporated herein by reference to the Registrant's Post-Effective Amendment No. 21 filed on September 24, 2009 (File Nos. 333-70697 and 811-09119).

hh.

Specimen of the Joint For Life Guaranteed Minimum Withdrawal Benefit With Bonus, Guaranteed Withdrawal Balance Adjustment and Annual Step-Up (LifeGuard Select With Joint Option) (7618 09/09), incorporated herein by reference to the Registrant's Post-Effective Amendment No. 21 filed on September 24, 2009 (File Nos. 333-70697 and 811-09119).

a.	Form of the Perspective Advantage Fixed and Variable Annuity Application, incorporated herein by reference to the Registrant’s Pre-Effective Amendment Number 1 filed on August 13, 1999 (File Nos. 333-70697 and 811-09119).

b.	Form of the Perspective Advantage Fixed and Variable Annuity Application, incorporated herein by reference to the Registrant's Post-Effective Amendment No. 3 filed on October 10, 2001 (File Nos. 333-70697 and 811-09119).

c.	Form of the Perspective Advantage Fixed and Variable Annuity Application, incorporated herein by reference to the Registrant's Post- Effective Amendment No. 13, filed on April 26, 2007 (File Nos. 333-70697 and 811-09119).

d.	Form of the Perspective Advantage Fixed and Variable Annuity Application, incorporated herein by reference to the Registrant's Post- Effective Amendment No. 16, filed on November 29, 2007 (File Nos. 333-70697 and 811-09119).

e.	Form of the Perspective Advantage Fixed and Variable Annuity Application, incorporated herein by reference to the Registrant's Post- Effective Amendment No. 17, filed on March 26, 2008 (File Nos. 333-70697 and 811-09119).

f.	Form of the Perspective Advantage Fixed and Variable Annuity Application, incorporated herein by reference to the Registrant's Post-Effective Amendment No. 18, filed on October 6, 2008 (File Nos. 333-70697 and 811-09119).

g.	Form of the Perspective Advantage Fixed and Variable Annuity Application, incorporated herein by reference to the Registrant's Post-Effective Amendment No. 20, filed on April 2, 2009 (File Nos. 333-70697 and 811-09119).

a.	Articles of Incorporation of Depositor, incorporated herein by reference to the Registrant's Registration Statement filed on January 15, 1999 (File Nos. 333-70697 and 811-09119).

b.	By-laws of Depositor, incorporated herein by reference to the Registrant's Registration Statement filed on January 15, 1999 (File Nos. 333-70697 and 811-09119).

a.	Variable Annuity Guaranteed Minimum Death Benefit Reinsurance Agreement, incorporated herein by reference to the Registrant's Post-Effective Amendment No. 6 filed on December 15, 2003 (File Nos. 333-70697 and 811-09119).

Amendment to Variable Annuity Guaranteed Minimum Death Benefit Reinsurance Agreement effective December 31, 2002, with effective date December 31, 2008, incorporated herein by reference to the Registrant's Post-Effective Amendment No. 21 filed on September 24, 2009 (File Nos. 333-70697 and 811-09119).

c.	Amendment to Variable Annuity Guaranteed Minimum Death Benefit Reinsurance Agreement effective December 31, 2002, with effective date March 31, 2009, incorporated herein by reference to the Registrant's Post-Effective Amendment No. 21 filed on September 24, 2009 (File Nos. 333-70697 and 811-09119).

8. Not Applicable.

9. Opinion and Consent of Counsel, attached hereto.

10. Consent of Independent Registered Public Accounting Firm, attached hereto.

11. Not Applicable.

12. Not Applicable.

Item 25. Directors and Officers of the Depositor

Name and Principal Business Address	Positions and Offices with Depositor

Richard D. Ash	Vice President - Actuary & Appointed Actuary
1 Corporate Way
Lansing, MI 48951

Steve P. Binioris	Vice President
1 Corporate Way
Lansing, MI 48951

Dennis Blue	Vice President
1 Corporate Way
Lansing, MI 48951

Barrett Bonemer	Vice President
1 Corporate Way
Lansing, MI 48951

Jeff Borton	Vice President
1 Corporate Way
Lansing, MI 48951

John H. Brown	Vice President
1 Corporate Way
Lansing, MI 48951

James Carter	Vice President
1 Corporate Way
Lansing, MI 48951

Joseph Mark Clark	Senior Vice President & Chief Information Officer
1 Corporate Way
Lansing, MI 48951

Michael A. Costello	Vice President and Treasurer
1 Corporate Way
Lansing, MI 48951

James B. Croom	Vice President
1 Corporate Way
Lansing, MI 48951

Lisa C. Drake	Senior Vice President & Chief Actuary
1 Corporate Way
Lansing, MI 48951

Phillip Brian Eaves	Vice President
1 Corporate Way
Lansing, MI 48951

Charles F. Field, Jr.	Vice President
300 Innovation Drive
Franklin, TN 37067

Dana R. Malesky Flegler	Vice President
1 Corporate Way
Lansing, MI 48951

Robert A. Fritts	Senior Vice President & Controller
1 Corporate Way
Lansing, MI 48951

James D. Garrison	Vice President
1 Corporate Way
Lansing, MI 48951

Julia A. Goatley	Vice President & Assistant Secretary
1 Corporate Way
Lansing, MI 48951

Matthew Phillip Gonring	Vice President
300 Innovation Drive
Franklin, TN 37067

John A. Gorgenson, Jr.	Vice President
1 Corporate Way
Lansing, MI 48951

Robert W. Hajdu	Vice President
1 Corporate Way
Lansing, MI 48951

Cliff S. Hale, M.D.	Vice President
1 Corporate Way
Lansing, MI 48951

Laura L. Hanson	Vice President
1 Corporate Way
Lansing, MI 48951

H. Dean Hosfield	Vice President
1 Corporate Way
Lansing, MI 48951

Clifford J. Jack	Executive Vice President & Director
7601 Technology Way
Denver, CO 80237

Scott Klus	Vice President
1 Corporate Way
Lansing, MI 48951

Leandra R. Knes	Director
225 W. Wacker Drive
Suite 1200
Chicago, IL 60606

Everett W. Kunzelman	Vice President
1 Corporate Way
Lansing, MI 48951

Lynn W. Lopes	Vice President
1 Corporate Way
Lansing, MI 48951

Machelle A. McAdory	Senior Vice President
1 Corporate Way
Lansing, MI 48951

Diahn McHenry	Vice President
1 Corporate Way
Lansing, MI 48951

Thomas J. Meyer	Senior Vice President,
1 Corporate Way	General Counsel & Secretary
Lansing, MI 48951

Dean M. Miller	Vice President
1 Corporate Way
Lansing, MI 48951

Keith R. Moore	Senior Vice President
1 Corporate Way
Lansing, MI 48951

Jacky Morin	Vice President
1 Corporate Way
Lansing, MI 48951

P. Chad Myers	Executive Vice President, Chief Financial Officer & Director
1 Corporate Way
Lansing, MI 48951

Russell E. Peck	Vice President
1 Corporate Way
Lansing, MI 48951

Laura L. Prieskorn	Senior Vice President & Chief Administration Officer
1 Corporate Way
Lansing, Michigan 48951

Dana S. Rapier	Vice President
1 Corporate Way
Lansing, MI 48951

William R. Schulz	Vice President
1 Corporate Way
Lansing, MI 48951

Muhammad S. Shami	Vice President
1 Corporate Way
Lansing, MI 48951

Kathleen M. Smith	Vice President
1 Corporate Way
Lansing, MI 48951

James R. Sopha	Chief Operating Officer & Director
1 Corporate Way
Lansing, MI 48951

Kenneth H. Stewart	Senior Vice President
1 Corporate Way
Lansing, MI 48951

Heather R. Strang	Vice President
1 Corporate Way
Lansing, MI 48951

Marcia L. Wadsten	Vice President
1 Corporate Way
Lansing, MI 48951

Michael A. Wells	President, Chief Executive Officer & Chairman
300 Innovation Drive
Franklin, TN 37067

Item 26. Persons Controlled by or Under Common Control with the Depositor or Registrant.

Company	State of Organization	Control/Ownership
Ascent Insurance Brokers Limited	United Kingdom	50% Prudential Property Investment Managers Limited
BOCI – Prudential Asset Management Limited	Hong Kong	36% Prudential Corporation Holdings Limited
BOCI – Prudential Trustee Limited	Hong Kong	36% Prudential Corporation Holdings Limited
Brooke LLC	Delaware	100% Prudential (US Holdco2) Limited
Brooke (Holdco 1) Inc.	Delaware	100% Prudential (US Holdco 3) BV
Brooke Holdings LLC	Delaware	100% Nicole Finance Inc.
Brooke Holdings (UK) Limited	United Kingdom	100% Brooke UK LLC
Brooke Investment, Inc.	Delaware	100% Brooke Holdings LLC
Brooke (Jersey) Limited	Jersey	100% Prudential (US Holdco 2) Limited
Brooke Life Insurance Company	Michigan	100% Brooke Holdings LLC
Brooke UK LLC	Delaware	100% Brooke (Holdco 1) Inc.
Buying Force Limited	United Kingdom	50% Prudential Property Investment Managers Limited
CIMPL Pty Limited	Australia	100% PPM Capital (Holdings) Limited
CITIC Prudential Life Insurance Company Limited	China	50% Prudential Corporation Holdings Limited
CITIC – Prudential Fund Management Company Limited	China	49% Prudential Corporation Holdings Limited
CSU One Limited	United Kingdom	100% Prudential Group Holdings Limited
Calvin Asset Management Limited	England	100% Calvin Capital Limited
Calvin Capital Limited (formerly Marlin Acquisitions Limited)	England	100% Marlin Acquisitions Holdings Limited
Canada Property (Trustee) No 1 Limited	Jersey	100% Canada Property Holdings Limited
Canada Property Holdings Limited	England	100% M&G Limited
Curian Capital, LLC	Michigan	100% Jackson National Life Insurance Company
Curian Clearing LLC	Michigan	100% Jackson National Life Insurance Company
Earth and Wind Energias Removables, S.L.	Spain	100% Infracapital E&W B.V.
Eastspring Investments (Hong Kong) Limited	Hong Kong	100% Prudential Corporations Holdings Limited
Eastspring Investments (UK) Limited	England	100% Prudential Corporations Holdings Limited
FA II Limited	England	100% FA III Limited
FA III Limited	England	100% Infracapital Nominees Limited
Falcon Acquisitions Limited	United Kingdom	100% FA II Limited
Falcon Acquisitions Holdings Limited	United Kingdom	100% Infracapital Nominees Limited
First Dakota, Inc.	North Dakota	100% IFC Holdings, Inc.
First Dakota of Montana, Inc.	Montana	100% IFC Holdings, Inc.
First Dakota of New Mexico, Inc.	New Mexico	100% IFC Holdings, Inc.
First Dakota of Texas, Inc.	Texas	100% IFC Holdings, Inc.
First Dakota of Wyoming, Inc.	Wyoming	100% IFC Holdings, Inc.
Furnival Insurance Company Limited	Guernsey	100% Prudential Corporation Holdings Limited
GS Twenty Two Limited	United Kingdom	100% Prudential Group Holdings Limited
Geoffrey Snushall Limited	United Kingdom	100% Snushalls Team Limited
Giang Vo Development JV Company	Vietnam	65% Prudential Vietnam Assurance Private Limited
Hermitage Management, LLC	Michigan	100% Jackson National Life Company Insurance
Holborn Bars Nominees Limited	United Kingdom	100% M&G Investment Management Limited
Holborn Delaware LLC	Delaware	100% Prudential Four Limited
Holborn Finance Holding Company	United Kingdom	100% Prudential Securities Limited
Hyde Holdco 1 Limited	United Kingdom	100% Prudential Corporation Holdings Limited
Hyde Holdco 3 Limited	United Kingdom	100% Prudential Capital Holding Company Limited
ICICI Prudential Asset Management Company Limited	India	49% Prudential Corporation Holdings Limited
ICICI Prudential Life Insurance Company Limited	India	25.96% Prudential Corporation Holdings Limited
ICICI Prudential Pension Funds Management Company Ltd.	India	100% ICICI Prudential Life Insurance Company Limited
ICICI Prudential Trust Limited	India	49% Prudential Corporation Holdings Limited
IFC Holdings, Inc. d/b/a INVEST Financial Corporation	Delaware	100% National Planning Holdings Inc.
INVEST Financial Corporation Insurance Agency Inc. of Alabama	Alabama	100% INVEST Financial Corporation Insurance Agency, Inc. of Delaware
INVEST Financial Corporation Insurance Agency Inc. of Connecticut	Connecticut	100% INVEST Financial Corporation Insurance Agency, Inc. of Delaware
INVEST Financial Corporation Insurance Agency Inc. of Delaware	Delaware	100% IFC Holdings, Inc. d/b/a INVEST Financial Corporation
INVEST Financial Corporation Insurance Agency Inc. of Georgia	Georgia	100% INVEST Financial Corporation Insurance Agency Inc. of Delaware
INVEST Financial Corporation Insurance Agency Inc. of Illinois	Illinois	100% INVEST Financial Corporation Insurance Agency Inc. of Delaware
INVEST Financial Corporation Insurance Agency Inc. of Maryland	Maryland	100% INVEST Financial Corporation Insurance Agency Inc. of Delaware
INVEST Financial Corporation Insurance Agency Inc. of Massachusetts	Massachusetts	100% INVEST Financial Corporation Insurance Agency Inc. of Delaware
INVEST Financial Corporation Insurance Agency Inc. of Montana	Montana	100% INVEST Financial Corporation Insurance Agency Inc. of Delaware
INVEST Financial Corporation Insurance Agency Inc. of Nevada	Nevada	100% INVEST Financial Corporation Insurance Agency Inc. of Delaware
INVEST Financial Corporation Insurance Agency Inc. of New Mexico	New Mexico	100% INVEST Financial Corporation Insurance Agency Inc. of Delaware
INVEST Financial Corporation Insurance Agency Inc. of Ohio	Ohio	100% INVEST Financial Corporation Insurance Agency Inc. of Delaware
INVEST Financial Corporation Insurance Agency Inc. of Oklahoma	Oklahoma	100% INVEST Financial Corporation Insurance Agency Inc. of Delaware
INVEST Financial Corporation Insurance Agency Inc. of South Carolina	South Carolina	100% INVEST Financial Corporation Insurance Agency Inc. of Delaware
INVEST Financial Corporation Insurance Agency Inc. of Texas	Texas	100% INVEST Financial Corporation Insurance Agency Inc. of Delaware
INVEST Financial Corporation Insurance Agency Inc. of Wyoming	Wyoming	100% INVEST Financial Corporation Insurance Agency Inc. of Delaware
INVEST Financial Corporation Insurance Agency PA of Mississippi	Mississippi	100% INVEST Financial Corporation Insurance Agency Inc. of Delaware
Infracapital CI II Limited	Scotland	100% M&G Limited
Infracapital EF II Limited	Scotland	100% M&G Limited
Infracapital E&W B.V.	Netherlands	100% Infracapital F1 S.a.r.l.
Infracapital Employee Feeder GP Limited	Scotland	100% M&G Limited
Infracapital GP II Limited	England	100% M&G Limited
Infracapital F1 S.a.r.l.	Luxembourg	100% Infracapital F1 Holdings S.a.r.l
Infracapital F1 Holdings S.a.r.l.	Luxembourg	100% Infracapital Nominees Limited
Infracapital GP Limited	United Kingdom	100% M&G Limited
Infracapital Nominees Limited	United Kingdom	100% M&G Limited
Infracapital SLP Limited	United Kingdom	100% M&G Limited
Innisfree M&G PPP LLP	United Kingdom	35% M&G IMPPP1 Limited
Investment Centers of America, Inc.	North Dakota	100% IFC Holdings, Inc.
Jackson Investment Management LLC	Michigan	100% Brooke Holdings LLC
Jackson National Asset Management, LLC	Michigan	100% Jackson National Life Insurance Company
Jackson National Life (Bermuda) Ltd.	Bermuda	100% Jackson National Life Insurance Company
Jackson National Life Distributors LLC	Delaware	100% Jackson National Life Insurance Company
Jackson National Life Insurance Company of New York	New York	100% Jackson National Life Insurance Company
JNLI LLC	Delaware	100% Jackson National Life Insurance Company
JNL Southeast Agency, LLC	Michigan	100% Jackson National Life Insurance Company
M&G (Guernsey) Limited	Guernsey	100% M&G Limited
M&G Financial Services Limited	United Kingdom	100% M&G Limited
M&G Founders 1 Limited	United Kingdom	100% M&G Limited
M&G General Partner Inc.	Cayman Islands	100% M&G Limited
M&G Group Limited	United Kingdom	100% Prudential plc
M&G IMPPP 1 Limited	United Kingdom	100% M&G Limited
M&G International Investments Limited	United Kingdom	100% M&G Limited
M&G International Investments Limited	France (Representative Bureau)	100% M&G International Investments Limited
M&G International Investments Limited	Germany (Branch only)	100% M&G International Investments Limited
M&G International Investments Limited	Italy (Branch only)	100% M&G International Investments Limited
M&G International Investments Limited	Spain (Representative Bureau)	100% M&G International Investments Limited
M&G International Investments Nominees Limited	United Kingdom	100% M&G International Investments Limited
M&G Investment Management Limited	United Kingdom	100% M&G Limited
M&G Life Assurance Company Limited	United Kingdom	100% M&G Limited
M&G Limited	United Kingdom	100% M&G Group Limited
M&G Management Services Limited	United Kingdom	100% M&G Limited
M&G Nominees Limited	United Kingdom	100% M&G Limited
M&G Pensions and Annuity Company Limited	United Kingdom	100% M&G Limited
M&G RED Employee Feeder GP Limited	Scotland	100% M&G Limited
M&G RED GP Limited	Guernsey	100% M&G Limited
M&G RED SLP GP Limited	Scotland	100% M&G Limited
M&G Real Estate Finance 1 Co S.a.r.l	Luxemborg	100% M&G RED GP Limited
M&G Securities Limited	United Kingdom	100% M&G Limited
M&G Support Services Limited	United Kingdom	100% M&G Limited
MM&S (2375) Limited	Scotland	100% The Prudential Assurance Company Limited
Marlin Acquisitions Holdings Limited	United Kingdom	100% Infracapital GP Limited
National Planning Corporation	Delaware	100% National Planning Holdings, Inc.
National Planning Corporation Insurance Agency Inc. of Nevada	Nevada	100% National Planning Corporation
National Planning Holdings, Inc.	Delaware	100% Brooke Holdings LLC
National Planning Insurance Agency Inc.	Alabama	100% National Planning Corporation
National Planning Insurance Agency Inc.	Florida	100% National Planning Corporation
National Planning Insurance Agency Inc.	Georgia	100% National Planning Corporation
National Planning Insurance Agency Inc.	Idaho	100% National Planning Corporation
National Planning Insurance Agency Inc.	Massachusetts	100% National Planning Corporation
National Planning Insurance Agency Inc.	Montana	100% National Planning Corporation
National Planning Insurance Agency Inc.	Oklahoma	100% National Planning Corporation
National Planning Insurance Agency Inc.	Texas	100% National Planning Corporation
National Planning Insurance Agency Inc.	Wyoming	100% National Planning Corporation
Nicole Finance Inc.	Delaware	100% Brooke UK LLC
North Sathorn Holdings Company Limited	Thailand	100% Prudential Corporation Holdings Limited
Nova Sepadu Sdn Bhd	Malaysia	96% Sri Han Suria Sdn Berhad
P&A Holdco Limited	England	100% Prudential Four Limited
P&A Opco Limited	England	100% P&A Holdco Limited
PCA Asset Management Limited	Japan	100% Prudential Corporation Holdings Limited
PCA Asset Management Co. Ltd.	Korea	100% Prudential Corporation Holdings Limited
PCA Life Assurance Company Limited	Taiwan	99.79% Prudential Corporation Holdings Limited
PCA Life Insurance Company Limited (Japan)	Japan	100% Prudential Corporation Holdings Limited
PCA Life Insurance Company Limited (Korea)	Korea	100% Prudential Corporation Holdings Limited
PCA Securities Investment Trust Company Limited	Taiwan	99.54% Prudential Corporation Holdings Limited
PGDS (UK One) Limited	United Kingdom	100% Prudential Group Holdings Limited
PGDS (UK Two) Limited	United Kingdom	100% PDGS (UK One) Limited
PGDS (US One) LLC	Delaware	100% Jackson National Life Insurance Company
PPEM Pte. Limited	Singapore	100% Prudential Singapore Holdings Pte Limited
PPM America, Inc.	Delaware	100% PPM Holdings, Inc.
PPM Capital (Holdings) Limited	United Kingdom	100% M&G Limited
PPM Finance, Inc.	Delaware	100% PPM Holdings, Inc.
PPM Holdings, Inc.	Delaware	100% Brooke Holdings LLC
PPM Ventures (Asia) Limited	Hong Kong	100% PPM Capital (Holdings) Limited
PPM Ventures Pty Limited	Australia	100% CIMPL Pty Limited
PPMC First Nominees Limited	United Kingdom	100% M&G Limited
PPS Five Limited	United Kingdom	100% Reeds Rains Prudential Limited
PPS Nine Limited	United Kingdom	100% Prudential Property Services Limited
PPS Twelve Limited	United Kingdom	100% Prudential Property Services Limited
PT Paja Indonesia	Indonesia	100% PT Prudential Life Assurance
PT Prudential Asset Management	Indonesia	99% Prudential Asset Management
PT Prudential Life Assurance	Indonesia	94.6% Prudential Corporation Holdings Limited
PVM Partnerships Limited	United Kingdom	100% The Prudential Assurance Company Limited
Pacus (UK) Limited	United Kingdom	100% The Prudential Assurance Company Limited
Park Avenue (Singapore Two) Limited	Gibraltar	100% Prudential Group Holdings Limited
Pru Life Assurance Limited	Singapore	100% Prudential Singapore Holdings Pte Limited
Pru Life Insurance Corporation of UK	Philippines	100% Prudential Corporation Holdings Limited
Pru Pte Limited	Singapore	100% Prudential Singapore Holdings Pte Limited
Prudential (AN) Limited	United Kingdom	100% The Prudential Assurance Company Limited
Prudential (B1) Limited	Gibraltar	100% Prudential (Netherlands) BV
Prudential (B2) Limited	Gibraltar	100% Prudential (Netherlands) BV
Prudential (Gibraltar Five) Limited	Gibraltar	100% Prudential (Gibraltar Four) Limited
Prudential (Gibraltar Four) Limited	Gibraltar	100% Prudential (US Holdco 1) Limited
Prudential (Gibraltar Three)	Gibraltar	100% Prudential (Gibraltar Four) Limited
Prudential (Gibraltar Two) S.a.r.l.	Luxembourg	100% Prudential Capital Holding Company Limited
Prudential (Gibraltar) Limited	Gibraltar	100% Prudential Group Holdings Limited
Prudential (LPH One) Limited	Gibraltar	100% Prudential Group Holdings Limited
Prudential (LPH Two) Limited	Gibraltar	100% Prudential Group Holdings Limited
Prudential (Namibia) Unit Trusts Limited	Namibia	93% Prudential Portfolio Managers (Namibia) (Pty) Limited
Prudential (Netherlands One) Limited	United Kingdom	100% Prudential Group Holdings Limited
Prudential (Netherlands) BV	Netherlands	100% Prudential Corporation Holdings Limited
Prudential (US Holdco 1) BV	Netherlands	100% Prudential (US Holdco 1) Limited
Prudential (US Holdco 1) Limited	United Kingdom	100% Prudential US Limited
Prudential (US Holdco 2) BV	Netherlands	100% Prudential (US Holdco 1) BV
Prudential (US Holdco 2) Limited	Gibraltar	100% Holborn Delaware LLC
Prudential (US Holdco 3) BV	Netherlands	100% Prudential (US Holdco 2) BV
Prudential – AA Office Joint Venture Company	Vietnam	70% Prudential Vietnam Assurance Private Limited
Prudential / M&G UKCF GP Limited	United Kingdom	100% M&G Limited
Prudential Al-Wara’ Asset Management Berhad	Malaysia	100% Prudential Corporation Holdings Limited
Prudential Annuities Limited	United Kingdom	100% The Prudential Assurance Company Limited
Prudential Asset Management (Hong Kong) Limited	Hong Kong	100% Prudential Corporation Holdings Limited
Prudential Asset Management (Singapore) Limited	Singapore	100% Prudential Singapore Holdings Pte Limited
Prudential Asset Management Limited	United Arab Emirates	100% Prudential Corporation Holdings Limited
Prudential Assurance Company Singapore (Pte) Limited	Singapore	100% Prudential Singapore Holdings Pte Limited
Prudential Assurance Malaysia Bhd	Malaysia	100% Sri Han Suria Sdn Berhad
Prudential Assurance Singapore (Property Services) Pte Limited	Singapore	100% Prudential Singapore Holdings Pte Limited
Prudential Atlantic Reinsurance Company Limited	Ireland	100% Prudential Corporation Holdings Limited
Prudential Australia One Limited	United Kingdom	100% Prudential Corporation Holdings Limited
Prudential BSN Takaful Berhad	Malaysia	49% Prudential Corporation Holdings Limited
Prudential Capital (Singapore) Pte. Ltd. Prudential Tower	Singapore	100% Prudential Capital Holding Company Ltd.
Prudential Capital Holding Company Limited	United Kingdom	100% Prudential plc
Prudential Capital PLC	United Kingdom	100% Prudential Capital Holding Company Limited
Prudential Capital Luxembourg S.a.r.l.	Luxembourg	100% Prudential Capital Holding Company Ltd.
Prudential Corporate Pensions Trustee Limited	United Kingdom	100% The Prudential Assurance Company Limited
Prudential Corporation Asia Limited	Hong Kong	100% Prudential Corporation Holdings Limited
Prudential Corporation Australasia Holdings Pty Limited	Australia	100% Prudential Group Holdings Limited
Prudential plc	United Kingdom	Publicly Traded
Prudential Corporation Holdings Limited	United Kingdom	100% Prudential Holdings Limited
Prudential Corporation Limited	United Kingdom	100% Prudential Group Holdings Limited
Prudential Distribution Limited	United Kingdom	100% Prudential Financial Services Limited
Prudential Europe Assurance Holdings plc	Scotland	100% MM&S (2375) Limited
Prudential Finance BV	Netherlands	100% Prudential Corporation Holdings Limited
Prudential Financial Services Limited	United Kingdom	100% Prudential plc
Prudential Five Limited	United Kingdom	100% Prudential Group Holdings Limited
Prudential Four Limited	United Kingdom	100% Prudential Group Holdings Limited
Prudential Fund Management Berhad	Malaysia	100% Nova Sepadu Sdn Bhd
Prudential Fund Management Services Private Limited	Singapore	100% Prudential Singapore Holdings Pte Limited
Prudential GP Limited	Scotland	100% M&G Limited
Prudential General Insurance Hong Kong Limited	Hong Kong	100% The Prudential Assurance Company Limited
Prudential Group Holdings Limited	United Kingdom	100% Prudential plc
Prudential Group Pensions Limited	United Kingdom	100% Prudential Financial Services Limited
Prudential Group Secretarial Services Limited	United Kingdom	100% Prudential Group Holdings Limited
Prudential Health Holdings Limited	United Kingdom	25% The Prudential Assurance Company Limited
Prudential Health Limited	United Kingdom	100% Prudential Health Holdings Limited
Prudential Health Insurance Limited	England	100% Prudential Health Holdings Limited
Prudential Health Services Limited	United Kingdom	100% Prudential Health Holdings Limited
Prudential Holborn Life Limited	United Kingdom	100% The Prudential Assurance Company Limited
Prudential Holdings Limited	Scotland	100% Prudential plc
Prudential Hong Kong Limited	Hong Kong	100% The Prudential Assurance Company Limited
Prudential IP Services Limited	United Kingdom	100% Prudential Group Holdings Limited
Prudential International Assurance plc	Ireland	100% Prudential Europe Assurance Holdings plc
Prudential International Management Services Limited	Ireland	100% Prudential Europe Assurance Holdings plc
Prudential Investments (UK) Limited	United Kingdom	100% Prudential Capital Holding Company
Prudential Jersey (No 2) Limited	Jersey	100% Prudential Corporation Holdings Limited
Prudential Jersey Limited	Jersey	100% Prudential Corporation Holdings Limited
Prudential Lalondes Limited	United Kingdom	100% Prudential Property Services Limited
Prudential Life Assurance (Thailand) Public Company Limited	Thailand	42.59% North Sathorn Holdings Company Limited 32.11% Staple Limited 24.82% Prudential Corporation Holdings Limited 0.48% Others
Prudential Lifetime Mortgages Limited	Scotland	100% The Prudential Assurance Company Limited
Prudential Pensions Limited	United Kingdom	100% The Prudential Assurance Company Limited
Prudential Personal Equity Plans Limited	United Kingdom	100% M&G Limited
Prudential Portfolio Managers (Namibia) (Pty) Limited	Namibia	75% Prudential Portfolio Managers (South Africa) (Pty) Limited
Prudential Portfolio Managers (South Africa) (Pty) Limited	South Africa	75% M&G Limited
Prudential Portfolio Managers (South Africa) Life Limited	South Africa	99.4% Prudential Portfolio Managers (South Africa) (Pty) Limited
Prudential Portfolio Managers Unit Trusts Limited	South Africa	94% Prudential Portfolio Managers (South Africa) (Pty) Limited
Prudential Process Management Services India Private Limited	India	99.97% Prudential Corporation Holdings Limited 0.03% Prudential UK Services Limited
Prudential Properties Trusty Pty Limited	Australia	100% The Prudential Assurance Company Limited
Prudential Property Investment Management (Singapore) Pte Limited	Singapore	50% Prudential Singapore Holdings Pte Limited 50% PruPIM Ltd
Prudential Property Investment Managers Limited	United Kingdom	100% M&G Limited
Prudential Property Services (Bristol) Limited	United Kingdom	100% Prudential Property Services Limited
Prudential Property Services Limited	United Kingdom	100% Prudential plc
Prudential Protect Limited	United Kingdom	100% Prudential Health Holdings Limited
Prudential Pte Ltd	Singapore	100% Prudential Singapore Holdings Pte Limited
Prudential Quest Limited	United Kingdom	100% Prudential Group Holdings Limited
Prudential Retirement Income Limited	United Kingdom	100% The Prudential Assurance Company Limited
Prudential Securities Limited	United Kingdom	50% Prudential (B1) Limited 50% Prudential (B2) Limited
Prudential Services Asia Sdn Bhd	Malaysia	100% Prudential Corporation Holdings Limited
Prudential Services Limited	United Kingdom	100% Prudential Corporation Holdings Limited
Prudential Services Singapore Pte Limited	Singapore	100% Prudential Singapore Holdings Pte Limited
Prudential Singapore Holdings Pte Limited	Singapore	100% Prudential Corporation Holdings Limited
Prudential Staff Pensions Limited	United Kingdom	100% Prudential Group Holdings Limited
Prudential Trustee Company Limited	United Kingdom	100% M&G Limited
Prudential UK Services Limited	United Kingdom	100% Prudential Financial Services Limited
Prudential Unit Trusts Limited	United Kingdom	100% M&G Limited
Prudential Vietnam Assurance Private Limited	Vietnam	100% Prudential Corporation Holdings Limited
Prudential Vietnam Finance Company Limited	Vietnam	100% Prudential Holborn Life Limited
Prudential Vietnam Fund Management Private Limited Company	Vietnam	100% Prudential Vietnam Assurance Private Limited
Prulink Pte Limited	Singapore	100% Prudential Singapore Holdings Pte Limited
Prutec Limited	United Kingdom	100% The Prudential Assurance Company Limited
Quinner AG	Germany	100% Prudential Corporation Holdings Limited
Reeds Rain Prudential Limited	United Kingdom	100% Prudential Property Services Limited
SII Insurance Agency, Inc.	Massachusetts	100% SII Investments, Inc.
SII Insurance Agency, Inc.	Wisconsin	100% SII Investments, Inc.
SII Investments, Inc.	Wisconsin	100% National Planning Holdings, Inc.
SII Ohio Insurance Agency, Inc.	Ohio	100% SII Investments, Inc.
Scottish Amicable Finance plc	Scotland	100% The Prudential Assurance Company Limited
Scottish Amicable ISA Managers Limited	Scotland	100% The Prudential Assurance Company Limited
Scottish Amicable Life Assurance Society	Scotland	100% The Prudential Assurance Company Limited
Scottish Amicable PEP and ISA Nominees Limited	Scotland	100% Scottish Amicable Life Assurance Society
Snushalls Team Limited	United Kingdom	100% Prudential Property Services Limited
Squire Reassurance Company LLC	Michigan	100% Jackson National Life Insurance Company
Squire Capital I LLC	Michigan	100% Jackson National Life Insurance Company
Squire Capital II LLC	Michigan	100% Jackson National Life Insurance Company
Sri Han Suria Sdn Berhad	Malaysia	51% Prudential Corporation Holdings Limited
Stableview Limited	United Kingdom	100% M&G Limited
Staple Limited	Thailand	100% Prudential Corporation Holdings Limited
Staple Nominees Limited	United Kingdom	100% Prudential Personal Equity Plans Limited
The First British Fixed Trust Company Limited	United Kingdom	100% M&G Limited
The Forum, Solent, Management Company Limited	United Kingdom	100% The Prudential Assurance Company Limited
The Prudential Assurance Company Limited	United Kingdom	100% Prudential plc
True Prospect Limited	British Virgin Islands	100% Prudential Corporation Holdings Limited
Wharfedale Acquisitions Limited	United Kingdom	100% Wharfedale Acquisitions Subholdings Limited
Wharfedale Acquisitions Holdings Limited	United Kingdom	100% Infracapital Nominees Limited
Wharfedale Acquisitions Subholdings Limited	United Kingdom	100% Wharfedale Acquisitions Holdings Limited
Yeslink Interco Limited	United Kingdom	100% Prudential Group Holdings Limited
Zelda Acquisitions Holdings Limited	United Kingdom	100% Infracapital Nominees Limited
Zelda Acquisitions Limited	United Kingdom	100% Zelda Acquisitions Holdings Limited

Item 27. Number of Contract Owners as of February 29, 2012

Qualified – 1,031

Non-Qualified – 746

Item 28. Indemnification

Provision is made in the Company's Amended By-Laws for indemnification by the Company of any person who was or is a party or is threatened to be made a party to a civil, criminal, administrative or investigative action by reason of the fact that such person is or was a director, officer or employee of the Company, against expenses, including attorneys' fees, judgments, fines and amounts paid in settlement actually and reasonably incurred by such person in connection with such action, suit or proceedings, to the extent and under the circumstances permitted by the General Corporation Law of the State of Michigan.

Insofar as indemnification for liabilities arising under the Securities Act of 1933 ("Act") may be permitted to directors, officers and controlling persons of the Company pursuant to the foregoing provisions, or otherwise, the Company has been advised that in the opinion of the Securities and Exchange Commission such indemnification is against public policy as expressed in the Act and is, therefore, unenforceable. In the event that a claim for indemnification against liabilities (other than the payment by the Company of expenses incurred or paid by a director, officer or controlling person of the Company in the successful defense of any action, suit or proceeding) is asserted by such director, officer or controlling person in connection with the securities being registered, the Company will, unless in the opinion of its counsel the matter has been settled by controlling precedent, submit to a court of appropriate jurisdiction the question whether such indemnification by it is against public policy as expressed in the Act and will be governed by the final adjudication of such issue.

Item 29. Principal Underwriter

Jackson National Life Distributors LLC acts as general distributor for the Jackson National Separate Account - I. Jackson National Life Distributors LLC also acts as general distributor for the Jackson National Separate Account III, the Jackson National Separate Account IV, the Jackson National Separate Account V, the JNLNY Separate Account I, the JNLNY Separate Account II, and the JNLNY Separate Account IV.

b)	Directors and Officers of Jackson National Life Distributors LLC:

Name and Business Address	Positions and Offices with Underwriter


Greg Cicotte	Manager, President & Chief Executive Officer
7601 Technology Way
Denver, CO 80237

Clifford J. Jack	Manager
7601 Technology Way
Denver, CO 80237

Thomas J. Meyer	Manager & Secretary
1 Corporate Way
Lansing, MI 48951

Paul Chad Myers	Manager
1 Corporate Way
Lansing, MI 48951

Stephen M. Ash	Vice President
7601 Technology Way
Denver, CO 80237

Pamela Aurbach	Vice President
7601 Technology Way
Denver, CO 80237

Jeffrey Bain	Vice President
7601 Technology Way
Denver, CO 80237

Brad Baker	Vice President
7601 Technology Way
Denver, CO 80237

Mercedes Biretto	Vice President
7601 Technology Way
Denver, CO 80237

James Bossert	Senior Vice President
7601 Technology Way
Denver, CO 80237

Tori Bullen	Senior Vice President
210 Interstate North Parkway
Suite 401
Atlanta, GA 30339-2120

Bill J. Burrow	Senior Vice President
7601 Technology Way
Denver, CO 80237

Maura Collins	Executive Vice President, Chief Financial Officer & FinOP
7601 Technology Way
Denver, CO 80237

Paul Fitzgerald	Senior Vice President
7601 Technology Way
Denver, CO 80237

Julia A. Goatley	Assistant Secretary
1 Corporate Way
Lansing, MI 48951

Luis Gomez	Vice President
7601 Technology Way
Denver, CO 80237

Kevin Grant	Senior Vice President
7601 Technology Way
Denver, CO 80237

Thomas Hurley	Senior Vice President
7601 Technology Way
Denver, CO 80237

Mark Jones	Vice President
7601 Technology Way
Denver, CO 80237

Doug Mantelli	Vice President
7601 Technology Way
Denver, CO 80237

James McCorkle	Vice President
7601 Technology Way
Denver, CO 80237

Brook Meyer	Vice President
1 Corporate Way
Lansing, MI 48951

Jack Mishler	Senior Vice President
7601 Technology Way
Denver, CO 80237

Steven O’Connor	Vice President
7601 Technology Way
Denver, CO 80237

Jeremy D. Rafferty	Vice President
7601 Technology Way
Denver, CO 80237

Alison Reed	Senior Vice President
7601 Technology Way
Denver, CO 80237

Scott Romine	Executive Vice President, National Sales Manager
7601 Technology Way
Denver, CO 80237

Gregory B. Salsbury	Executive Vice President, Distribution
7601 Technology Way
Denver, CO 80237

Marilynn Scherer	Vice President
7601 Technology Way
Denver, CO 80237

Kathleen Schofield	Vice President
7601 Technology Way
Denver, CO 80237

Daniel Starishevsky	Senior Vice President
7601 Technology Way
Denver, CO 80237

Ryan Strauser	Vice President
7601 Technology Way
Denver, VO 80237

Brian Sward	Vice President
7601 Technology Way
Denver, CO 80237

Jeremy Swartz	Vice President
7601 Technology Way
Denver, CO 80237

Robin Tallman	Vice President & Controller
7601 Technology Way
Denver, CO 80237

Doug Townsend	Executive Vice President, Operations
7601 Technology Way
Denver, CO 80237

Katie Turner	Vice President
7601 Technology Way
Denver, CO 80237

Brad Whiting	Vice President
7601 Technology Way
Denver, CO 80237

Daniel Wright	Senior Vice President & Chief Compliance Officer
7601 Technology Way
Denver, CO 80237

Phil Wright	Vice President
7601 Technology Way
Denver, CO 80237

(c)

Name of Principal Underwriter	Net Underwriting Discounts and Commissions	Compensation on Redemption or Annuitization	Brokerage Commissions	Compensation
Jackson National Life Distributors LLC	Not Applicable	Not Applicable	Not Applicable	Not Applicable

Item. 30. Location of Accounts and Records

Jackson National Life Insurance Company

1 Corporate Way

Lansing, Michigan 48951

Jackson National Life Insurance Company

Institutional Marketing Group Service Center

1 Corporate Way

Lansing, Michigan 48951

Jackson National Life Insurance Company

7601 Technology Way

Denver, Colorado 80237

Jackson National Life Insurance Company

225 West Wacker Drive, Suite 1200

Chicago, IL 60606

Item. 31. Management Services

Not Applicable.

Item. 32. Undertakings and Representations

Jackson National Life Insurance Company hereby undertakes to file a post-effective amendment to this registration statement as frequently as is necessary to ensure that the audited financial statements in the registration statement are never more than sixteen (16) months old for so long as payment under the variable annuity contracts may be accepted.

Jackson National Life Insurance Company hereby undertakes to include either (1) as part of any application to purchase a contract offered by the Prospectus, a space that an applicant can check to request a Statement of Additional Information, or (2) a postcard or similar written communication affixed to or included in the Prospectus that the applicant can remove to send for a Statement of Additional Information.

c)	Jackson National Life Insurance Company hereby undertakes to deliver any Statement of Additional Information and any financial statement required to be made available under this Form promptly upon written or oral request.

d)	Jackson National Life Insurance Company represents that the fees and charges deducted under the contract, in the aggregate, are reasonable in relation to the services rendered, the expenses to be incurred, and the risks assumed by Jackson National Life Insurance Company.

The Registrant hereby represents that any contract offered by the prospectus and which is issued pursuant to Section 403(b) of the Internal Revenue Code of 1986 as amended, is issued by the Registrant in reliance upon, and in compliance with, the Securities and Exchange Commission's industry-wide no-action letter to the American Council of Life Insurance (publicly available November 28, 1988) which permits withdrawal restrictions to the extent necessary to comply with IRS Section 403(b)(11).

SIGNATURES

As required by the Securities Act of 1933 and the Investment Company Act of 1940, the Registrant certifies that it meets the requirements of Securities Act Rule 485(b) for effectiveness of this post-effective amendment to the Registration Statement and has caused this post-effective amendment to the Registration Statement to be signed on its behalf, in the City of Lansing, and State of Michigan, on this 26th day of April, 2012.

Jackson National Separate Account V

(Registrant)

Jackson National Life Insurance Company

By: /s/ Thomas J. Meyer

Thomas J. Meyer

Senior Vice President, General Counsel

and Secretary

Jackson National Life Insurance Company

(Depositor)

By: /s/ Thomas J. Meyer

Thomas J. Meyer

Senior Vice President, General Counsel

and Secretary

As required by the Securities Act of 1933, this post-effective amendment to the Registration Statement has been signed by the following persons in the capacities and on the dates indicated.


*	April 26, 2012
Michael A. Wells, President, Chief
Executive Officer, Director and Chairman



*	April 26, 2012
James R. Sopha, Chief Operating Officer
and Director



*	April 26, 2012
Clifford J. Jack, Executive Vice President
and Director



*	April 26, 2012
P. Chad Myers, Executive Vice President, Chief Financial Officer and Director




*	April 26, 2012
Robert A. Fritts, Senior Vice President and
Controller



*	April 26, 2012
Leandra R. Knes, Director

* By: /s/ Thomas J. Meyer

Thomas J. Meyer, as Attorney-in-Fact,

pursuant to Power of Attorney filed herewith.

POWER OF ATTORNEY

KNOW ALL MEN BY THESE PRESENTS, that each of the undersigned as directors and/or officers of JACKSON NATIONAL LIFE INSURANCE COMPANY (the Depositor), a Michigan corporation, hereby appoint Michael A. Wells, P. Chad Myers, Thomas J. Meyer, Patrick W. Garcy, Susan S. Rhee, and Anthony L. Dowling (each with power to act without the others) his/her attorney-in-fact and agent, with full power of substitution and resubstitution, for and in his/her name, place and stead, in any and all capacities, to sign applications and registration statements, and any and all amendments, with power to affix the corporate seal and to attest it, and to file the applications, registration statements, and amendments, with all exhibits and requirements, in accordance with the Securities Act of 1933, the Securities and Exchange Act of 1934, and/or the Investment Company Act of 1940. This Power of Attorney concerns Jackson National Separate Account - I (File Nos. 033-82080, 333-70472, 333-73850, 333-118368, 333-119656, 333-132128, 333-136472, 333-155675, 333-172874, 333-172875, 333-172877, 333-175718, 333-175719, 333-176619, and 333-178774), Jackson National Separate Account III (File No. 333-41153), Jackson National Separate Account IV (File Nos. 333-108433 and 333-118131), and Jackson National Separate Account V (File No. 333-70697), as well as any future separate account(s) and/or future file number(s) within any separate account(s) that the Depositor establishes through which securities, particularly variable annuity contracts and variable universal life insurance policies, are to be offered for sale. The undersigned grant to each attorney-in-fact and agent full authority to take all necessary actions to effectuate the above as fully, to all intents and purposes, as he/she could do in person, thereby ratifying and confirming all that said attorneys-in-fact and agents, or any one of them, may lawfully do or cause to be done by virtue hereof. This instrument may be executed in one or more counterparts.

IN WITNESS WHEREOF, the undersigned have executed this Power of Attorney effective as of the 10th day of February, 2012.

/s/ MICHAEL A. WELLS

______________________________________

Michael A. Wells, President, Chief

Executive Officer, Chairman and Director

/s/ JAMES R. SOPHA

______________________________________

James R. Sopha, Chief Operating Officer

and Director

/s/ CLIFFORD J. JACK

______________________________________

Clifford J. Jack, Executive Vice President

and Director

/s/ P. CHAD MYERS

______________________________________

P. Chad Myers, Executive Vice President,

Chief Financial Officer and Director

/s/ ROBERT A. FRITTS

______________________________________

Robert A. Fritts, Senior Vice President and

Controller

/s/ LEANDRA R. KNES

______________________________________

Leandra R. Knes, Director

EXHIBIT LIST

Exhibit No. Description

9.	Opinion and Consent of Counsel.

10.	Consent of Independent Registered Public Accounting Firm.

	Pre-Effective Amendment No.	[ ]

	Post-Effective Amendment No. 27	[X]

and/or

Approximate Date of Proposed Public Offering:

It is proposed that this filing will become effective (check appropriate box)
[ ]	immediately upon filing pursuant to paragraph (b)
[X]	on April 30, 2012 pursuant to paragraph (b)
[ ]	60 days after filing pursuant to paragraph (a)(1)
[ ]	on (date) pursuant to paragraph (a)(1).

If appropriate, check the following box:
[ ]	this post-effective amendment designates a new effective date for a previously filed post-effective amendment

Title of Securities Being Registered: the variable portion of Flexible Premium Fixed and Variable Deferred Annuity contracts

Annuity Service Center:		1 (800) 873-5654 (8 a.m. - 8 p.m. ET)
	Mail Address:	P.O. Box 30314, Lansing, Michigan 48909-7814
	Delivery Address:	1 Corporate Way, Lansing, Michigan 48951
Institutional Marketing Group Service Center:		1 (800) 777-7779 (8 a.m. - 8 p.m. ET)
(for Contracts purchased through a bank or another financial institution)
	Mail Address:	P.O. Box 30314, Lansing, Michigan 48909-7814
	Delivery Address:	1 Corporate Way, Lansing, Michigan 48951 Attn: IMG
Home Office:		1 Corporate Way, Lansing, Michigan 48951

The Annuity Contract	The fixed and variable annuity Contract offered by Jackson provides a means for allocating on a tax-deferred basis for non-qualified Contracts to the guaranteed fixed account, the GMWB Fixed Account and investment divisions (the “Investment Divisions”)(collectively, the “Allocation Options”). The Contract is intended for retirement savings or other long-term investment purposes and provides for a death benefit and income options.
Allocation Options	Your Contract Value may be allocated to no more than 18 Investment Divisions and the guaranteed fixed account at any one time. If you elect the LifeGuard Select Guaranteed Minimum Withdrawal Benefit (GMWB) or the LifeGuard Select with Joint Option GMWB, automatic transfers of your Contract Value may be allocated to the GMWB Fixed Account, which also counts against the limit of 18.
Expenses	The Contract has insurance features and investment features, and there are costs related to each. Jackson makes a deduction for its insurance charges that is equal to 1.50% of the daily value of the Contracts invested in the Investment Divisions. This charge does not apply to the guaranteed fixed account. During the accumulation phase, Jackson deducts a $35 annual contract maintenance charge from your Contract. If you select any one of our GMWBs, Jackson deducts an additional charge, the maximum of which ranges from 0.81% to 1.86% of the Guaranteed Withdrawal Balance (GWB). While the charge is deducted from your Contract Value, it is based on the GWB. For more information, including how the GWB is calculated, please see “Contract Charges.”
	If you choose the optional enhanced death benefit, Jackson will deduct an additional charge equal to 0.15% of the daily value of your Contract invested in the Investment Divisions. If you select the LifeGuard Freedom DB optional death benefit, which is only available in conjunction with the purchase of the LifeGuard Freedom GMWB, you will pay 0.60% of the GMWB Death Benefit. The charge for LifeGuard Freedom DB is in addition to the charge for the LifeGuard Freedom GMWB. For more information, including how the GMWB Death Benefit is calculated, please see “Death Benefit.”
	If you take your money out of the Contract, Jackson may assess a withdrawal charge. The withdrawal charge starts at 8.5% in the first year after receipt of a premium payment, declines to 8% in the second year, and declines 1% a year thereafter to 0% after 9 years. Jackson may assess a state premium tax charge which ranges from 0% - 3.5% (the amount of state premium tax, if any, will vary from state to state) when you begin receiving regular income payments from your Contract, when you make a withdrawal or, in states where required, at the time premium payments are made. There are also investment charges which are expected to range from 0.57% to 2. 30 %, on an annual basis, of the average daily value of the Funds, depending on the Fund.
Purchases	Under most circumstances, you can buy a Contract for $5,000 or more ($2,000 or more for a qualified plan Contract). You can add $500 ($50 under the automatic payment plan) or more at any time during the accumulation phase. We reserve the right to refuse any premium payment.
Contract Enhancements	Each time you make a premium payment, Jackson will add an additional amount to your Contract equal to 4% of your premium payment. Jackson will not add Contract Enhancements to premium payments made within 12 months prior to a withdrawal, distribution or payment of a death benefit. Contract charges are deducted from the total value of your Contract. Therefore, your Contract incurs expenses on the total Contract Value, which includes the Contract Enhancements. You will not receive any Contract Enhancement applied to your Contract within the prior twelve months under the circumstances set forth in the prospectus on page 46 under “Contract Enhancements” since charges will have been assessed against the higher amount (premium plus Contract Enhancement). It is possible that upon surrender, particularly in a declining market, you will receive less money back than you would have if you had not received the Contract Enhancement. We expect to profit from certain charges assessed under the Contract (i.e., the withdrawal charge and the mortality and expense risk charge) associated with the Contract Enhancement.
Optional Endorsements	Not all optional endorsements are available in all states or through all broker-dealers. The availability of optional endorsements may reflect state prohibitions and variations, Jackson’s reservation of the right not to offer certain optional endorsements, and broker-dealer selections. The representative assisting you will advise you whether an optional benefit is available and of any variations.
Access to Your Money	During the accumulation phase, there are a number of ways to take money out of your Contract, generally subject to a charge or adjustment. You may also have to pay income tax and a tax penalty on any money you take out.
Income Payments	You may choose to receive regular income from your annuity. During the income phase, you have the same allocation options you had during the accumulation phase.
Death Benefit	If you die before moving to the income phase, the person you have chosen as your beneficiary will receive a death benefit. When you purchase your Contract, you must elect the standard death benefit or an optional death benefit. The optional enhanced death benefit cannot be selected after the Contract has been issued. LifeGuard Freedom DB may be selected after the Contract has been issued but only in conjunction with the purchase of the LifeGuard Freedom GMWB and as long as the optional enhanced death benefit has not already been selected. Once an optional death benefit is chosen, it cannot be canceled.
Free Look	If you cancel your Contract within 20 days after receiving it (or whatever period is required in your state), Jackson will return the amount your Contract is worth on the day we receive your request or the Contract is returned to your selling agent, less any Contract Enhancements applied to your Contract. This may be more or less than your original payment. If required by law, Jackson will return your premium. In some states, we are required to hold the premiums of a senior citizen in the Fixed Account during the free look period, unless we are specifically directed to allocate the premiums to the Investment Divisions. State laws vary; your free look rights will depend on the laws of the state in which you purchased the Contract.
Taxes	Under the Internal Revenue Code you generally will not be taxed on the earnings on the money held in your Contract until you take money out (this is referred to as tax-deferral). There are different rules as to how you will be taxed depending on how you take the money out and whether your Contract is non-qualified or purchased as part of a qualified plan.


Owner Transaction Expenses 1

	Maximum Withdrawal Charge 2
		Percentage of premium withdrawn, if applicable	8.5%

	Commutation Fee: Upon a total withdrawal after income payments have commenced under income option 4, or if after death during the period for which payments are guaranteed under income option 3 and beneficiary elects a lump sum payment, the amount received will be reduced by (a) minus (b) where: · (a) = the present value of the remaining income payments (as of the date of calculation) for the period for which payments are guaranteed to be made, discounted at the rate assumed in calculating the initial payment; and · (b) = the present value of the remaining income payments (as of the date of calculation) for the period for which payments are guaranteed to be made, discounted at a rate no more than 1% higher than the rate used in (a).

	Transfer Charge 3
		Per transfer after 15 in a Contract Year	$25

	Expedited Delivery Charge 4		$22.50

·	Individual flexible premium deferred annuity
·	2 guaranteed fixed account options that each offer a minimum interest rate that is guaranteed by Jackson (the “guaranteed fixed account options”)
·	Guaranteed Minimum Withdrawal Benefit (GMWB) options
·	A “GMWB Fixed Account” (only if the optional LifeGuard Select GMWB or LifeGuard Select with Joint Option GMWB were elected) that offers a minimum interest rate that is guaranteed by Jackson, to and from which automatic transfers of your Contract Value may be required according to non-discretionary formulas
·	Investment Divisions which purchase shares of the following Funds – all Class A shares (the “Funds”):

JNL Series Trust

JNL/American Funds ® Balanced Allocation Fund	JNL/Franklin Templeton Income Fund
JNL/American Funds Growth Allocation Fund	JNL/Franklin Templeton International Small Cap Growth Fund
JNL/American Funds Blue Chip Income and Growth Fund	JNL/Franklin Templeton Mutual Shares Fund
JNL/American Funds Global Bond Fund	JNL/Franklin Templeton Small Cap Value Fund
JNL/American Funds Global Small Capitalization Fund	JNL/Goldman Sachs Core Plus Bond Fund
JNL/American Funds Growth-Income Fund	JNL/Goldman Sachs Emerging Markets Debt Fund *
JNL/American Funds International Fund	JNL/Goldman Sachs Mid Cap Value Fund
JNL/American Funds New World Fund	JNL/Goldman Sachs U.S. Equity Flex Fund
JNL Institutional Alt 20 Fund	JNL/Invesco Global Real Estate Fund
JNL Institutional Alt 35 Fund	JNL/Invesco International Growth Fund
JNL Institutional Alt 50 Fund	JNL/Invesco Large Cap Growth Fund
JNL Institutional Alt 65 Fund *	JNL/Invesco Small Cap Growth Fund
JNL/BlackRock Commodity Securities Fund	JNL/Ivy Asset Strategy Fund
JNL/BlackRock Global Allocation Fund	JNL/JPMorgan International Value Fund
JNL/Brookfield Global Infrastructure Fund	JNL/JPMorgan MidCap Growth Fund
JNL/Capital Guardian Global Balanced Fund	JNL/JPMorgan U.S. Government & Quality Bond Fund
JNL/Capital Guardian Global Diversified Research Fund	JNL/Lazard Emerging Markets Fund *
JNL/DFA U.S. Core Equity Fund (formerly, JNL/Eagle Core Equity	JNL/Lazard Mid Cap Equity Fund
Fund)	JNL/M&G Global Basics Fund
JNL/Eagle SmallCap Equity Fund	JNL/M&G Global Leaders Fund
JNL/Eastspring Investments Asia ex-Japan Fund(formerly,	JNL/S&P Intrinsic Value Fund
JNL/PAM Asia ex-Japan Fund)	JNL/S&P Total Yield Fund
JNL/Eastspring Investments China-India Fund(formerly, JNL/PAM	JNL/S&P 4 Fund
China-India Fund)	JNL/S&P Managed Conservative Fund
JNL/Franklin Templeton Founding Strategy Fund	JNL/S&P Managed Moderate Fund
JNL/Franklin Templeton Global Growth Fund	JNL/S&P Managed Moderate Growth Fund
JNL/Franklin Templeton Global Multisector Bond Fund	JNL/S&P Managed Growth Fund
JNL/Mellon Capital Management 10 x 10 Fund	JNL/S&P Managed Aggressive Growth Fund
JNL/Mellon Capital Management Index 5 Fund	JNL Disciplined Moderate Fund
JNL/Mellon Capital Management Emerging Markets Index Fund	JNL Disciplined Moderate Growth Fund
JNL/Mellon Capital Management European 30 Fund	JNL Disciplined Growth Fund
JNL/Mellon Capital Management Pacific Rim 30 Fund
JNL/Mellon Capital Management S&P 500 Index Fund	JNL Variable Fund LLC
JNL/Mellon Capital Management S&P 400 MidCap Index Fund
JNL/Mellon Capital Management Small Cap Index Fund	JNL/Mellon Capital Management Nasdaq® 25 Fund
JNL/Mellon Capital Management International Index Fund	JNL/Mellon Capital Management Value Line® 30 Fund
JNL/Mellon Capital Management Bond Index Fund	JNL/Mellon Capital Management DowSM Dividend Fund
JNL/Mellon Capital Management Global Alpha Fund *	JNL/Mellon Capital Management S&P® 24 Fund
JNL/Mellon Capital Management Dow Jones U.S. Contrarian	JNL/Mellon Capital Management S&P® SMid 60 Fund
Opportunities Index Fund	JNL/Mellon Capital Management NYSE® International 25 Fund
JNL/Morgan Stanley Mid Cap Growth Fund	JNL/Mellon Capital Management 25 Fund
JNL/Neuberger Berman Strategic Income Fund	JNL/Mellon Capital Management Select Small-Cap Fund
JNL/Oppenheimer Global Growth Fund	JNL/Mellon Capital Management JNL 5 Fund
JNL/PIMCO Real Return Fund	JNL/Mellon Capital Management JNL Optimized 5 Fund
JNL/PIMCO Total Return Bond Fund	JNL/Mellon Capital Management VIP Fund
JNL/PPM America Floating Rate Income Fund	JNL/Mellon Capital Management Communications Sector Fund
JNL/PPM America High Yield Bond Fund	JNL/Mellon Capital Management Consumer Brands Sector Fund
JNL/PPM America Mid Cap Value Fund	JNL/Mellon Capital Management Financial Sector Fund
JNL/PPM America Small Cap Value Fund	JNL/Mellon Capital Management Healthcare Sector Fund
JNL/PPM America Value Equity Fund	JNL/Mellon Capital Management Oil & Gas Sector Fund
JNL/Red Rocks Listed Private Equity Fund *	JNL/Mellon Capital Management Technology Sector Fund
JNL/T. Rowe Price Established Growth Fund
JNL/T. Rowe Price Mid-Cap Growth Fund
JNL/T. Rowe Price Short-Term Bond Fund
JNL/T. Rowe Price Value Fund
JNL/UBS Large Cap Select Growth Fund (formerly, JNL/Capital
Guardian U.S. Growth Equity Fund)
JNL/WMC Balanced Fund
JNL/WMC Money Market Fund
JNL/WMC Value Fund
JNL/S&P Competitive Advantage Fund
JNL/S&P Dividend Income & Growth Fund

TABLE OF CONTENTS
KEY FACTS	1
FEES AND EXPENSES TABLES	3
Owner Transaction Expenses	3
Periodic Expenses	3
Total Annual Fund Operating Expenses	9
EXAMPLE	13
CONDENSED FINANCIAL INFORMATION	13
THE ANNUITY CONTRACT	13
JACKSON	14
THE GUARANTEED FIXED ACCOUNT AND GMWB FIXED ACCOUNT	14
The GMWB Fixed Account	14
THE SEPARATE ACCOUNT	15
INVESTMENT DIVISIONS	15
JNL Series Trust	16
JNL Variable Fund LLC	28
Voting Rights	30
Substitution	30
CONTRACT CHARGES	30
Mortality and Expense Charge	30
Administration Charge	31
Annual Contract Maintenance Charge	31
Transfer Charge	31
Commutation Fee	31
Withdrawal Charge	31
7% Guaranteed Minimum Withdrawal Benefit (“SafeGuard 7 Plus”) Charge	32
Guaranteed Minimum Withdrawal Benefit With 5-Year Step-Up (“SafeGuard Max”) Charge	32
5% Guaranteed Minimum Withdrawal Benefit With Annual Step-Up (“AutoGuard 5”) Charge	33
6% Guaranteed Minimum Withdrawal Benefit With Annual Step-Up (“AutoGuard 6”) Charge	33
5% Guaranteed Minimum Withdrawal Benefit Without Step-Up (“MarketGuard 5”) Charge	34
5% For Life Guaranteed Minimum Withdrawal Benefit With Bonus And Annual Step-Up (“LifeGuard Advantage”) Charge	35
For Life Guaranteed Minimum Withdrawal Benefit With Annual Step-Up (“LifeGuard Ascent”) Charge	35
Joint For Life Guaranteed Minimum Withdrawal Benefit With Annual Step-Up (“LifeGuard Ascent With Joint Option”) Charge	36
For Life Guaranteed Minimum Withdrawal Benefit With Bonus And Annual Step-Up (“LifeGuard Freedom GMWB”) Charge	37
Joint For Life Guaranteed Minimum Withdrawal Benefit With Bonus And Annual Step-Up (“LifeGuard Freedom GMWB With Joint Option”) Charge	38
For Life Guaranteed Minimum Withdrawal Benefit With Bonus And Annual Step-Up (“LifeGuard Freedom 6 GMWB”) Charge	38
Joint For Life Guaranteed Minimum Withdrawal Benefit With Bonus And Annual Step-Up (“LifeGuard Freedom 6 GMWB With Joint Option”) Charge	39
For Life Guaranteed Minimum Withdrawal Benefit With Bonus, Guaranteed Withdrawal Balance Adjustment And Annual Step-Up (“LifeGuard Select”) Charge	40
Joint For Life Guaranteed Minimum Withdrawal Benefit With Bonus, Guaranteed Withdrawal Balance Adjustment And Annual Step-Up (“LifeGuard Select With Joint Option”) Charge	41
Death Benefit Charges	42
Other Expenses	43
Premium Taxes	43
Income Taxes	43
DISTRIBUTION OF CONTRACTS	43
PURCHASES	45
Minimum Initial Premium	45
Minimum Additional Premiums	45
Allocations of Premium	45
Capital Protection Program	45
Accumulation Units	46
CONTRACT ENHANCEMENTS	46
TRANSFERS AND FREQUENT TRANSFER RESTRICTIONS	46
Restrictions on Transfers: Market Timing	47
TELEPHONE AND INTERNET TRANSACTIONS	48
The Basics	48
What You Can Do and How	48
What You Can Do and When	48
How to Cancel a Transaction	48
Our Procedures	48
ACCESS TO YOUR MONEY	48
Guaranteed Minimum Withdrawal Benefit Considerations	49
Guaranteed Minimum Withdrawal Benefit Important Special Considerations	50
7% Guaranteed Minimum Withdrawal Benefit (“SafeGuard 7 Plus”)	50
Guaranteed Minimum Withdrawal Benefit With 5-Year Step-Up (“SafeGuard Max”)	54
5% Guaranteed Minimum Withdrawal Benefit With Annual Step-Up (“AutoGuard 5”)	59
6% Guaranteed Minimum Withdrawal Benefit With Annual Step-Up (“AutoGuard 6”)	63
5% Guaranteed Minimum Withdrawal Benefit Without Step-Up (“MarketGuard 5”)	66
5% For Life Guaranteed Minimum Withdrawal Benefit With Bonus And Annual Step-Up (“LifeGuard Advantage”)	69
For Life Guaranteed Minimum Withdrawal Benefit With Annual Step-Up (“LifeGuard Ascent”)	77
Joint For Life Guaranteed Minimum Withdrawal Benefit With Annual Step-Up (“LifeGuard Ascent With Joint Option”)	84
For Life Guaranteed Minimum Withdrawal Benefit With Bonus And Annual Step-Up (“LifeGuard Freedom GMWB”)	91
Joint For Life Guaranteed Minimum Withdrawal Benefit With Bonus And Annual Step-Up (“LifeGuard Freedom GMWB With Joint Option”)	101
For Life Guaranteed Minimum Withdrawal Benefit With Bonus And Annual Step-Up (“LifeGuard Freedom 6 GMWB”)	112
Joint For Life Guaranteed Minimum Withdrawal Benefit With Bonus And Annual Step-Up (“LifeGuard Freedom 6 GMWB With Joint Option”)	121
For Life Guaranteed Minimum Withdrawal Benefit With Bonus, Guaranteed Withdrawal Balance Adjustment And Annual Step-Up (“LifeGuard Select”)	130
Joint For Life Guaranteed Minimum Withdrawal Benefit With Bonus, Guaranteed Withdrawal Balance Adjustment And Annual Step-Up (“LifeGuard Select With Joint Option”)	142
Systematic Withdrawal Program	155
Suspension of Withdrawals or Transfers	15 5
INCOME PAYMENTS (THE INCOME PHASE)	156
Income Date	156
Income Payments from Investment Divisions	156
Income Options	157
DEATH BENEFIT	157
Standard Death Benefit	157
Optional Death Benefits	158
Enhanced Death Benefit	158
LifeGuard Freedom DB	158
LifeGuard Freedom 6 DB	160
Payout Options	161
Pre-Selected Payout Options	162
Special Spousal Continuation Option	162
Death of Owner On or After the Income Date	162
Death of Annuitant Before the Income Date	162
Death of Annuitant On or After the Income Date	162
TAXES	163
Contract Owner Taxation	163
Tax-Qualified and Non-Qualified Contracts	163
Non-Qualified Contracts – General Taxation	163
Non-Qualified Contracts – Aggregation of Contracts	163
Non-Qualified Contracts – Withdrawals and Income Payments	163
Non-Qualified Contracts – Required Distributions	163
Tax-Qualified Contracts – Withdrawals and Income Payments	164
Withdrawals – Tax-Sheltered Annuities	164
Withdrawals – Roth IRAs	164
Constructive Withdrawals – Investment Adviser Fees	164
Extension of Latest Income Date	164
Death Benefits	164
IRS Approval	164
Assignment	164
Diversification	164
Owner Control	164
Withholding	165
Jackson Taxation	165
OTHER INFORMATION	165
Dollar Cost Averaging	165
Earnings Sweep	166
Rebalancing	166
Free Look	166
Advertising	166
Restrictions Under the Texas Optional Retirement Program (ORP)	166
Modification of the Contract	166
Confirmation of Transactions	166
Legal Proceedings	166
PRIVACY POLICY	167
Collection of Nonpublic Personal Information	167
Disclosure of Current and Former Customer Nonpublic Personal Information	167
Security to Protect the Confidentiality of Nonpublic Personal Information	167
TABLE OF CONTENTS OF THE STATEMENT OF ADDITIONAL INFORMATION	169
APPENDIX A (Trademarks, Service Marks, and Related Disclosures)	A-1
APPENDIX B (Broker-Dealer Support)	B-1
APPENDIX C (GMWB Prospectus Examples)	C-1
APPENDIX D (LifeGuard Select GMWB and LifeGuard Select with Joint Option GMWB Transfer of Assets Methodology)	D-1
APPENDIX E (Accumulation Unit Values)	E-1

2	Years Since Premium Payment	0	1	2	3	4	5	6	7	8	9+
	Charge	8.5%	8%	7%	6%	5%	4%	3%	2%	1%	0%


Periodic Expenses

	Base Contract

	Annual Contract Maintenance Charge		$35

	Separate Account Annual Expenses
		Annual percentage of average daily account value of Investment Divisions	1.50%

	Mortality And Expense Risk Charge 1.35%

	Administration Charge 0.15%

	Total Separate Account Annual Expenses for Base Contract		1.50%


	Optional Endorsements - A variety of optional endorsements to the Contract are available. Please see the footnotes for additional information on the various optional endorsement charges.

	The following optional death benefit endorsement charges are based on either average daily net asset value or on a benefit base and are indicated as such. Please see the footnotes for additional information on the various optional death benefit endorsement charges. You may select one of the available benefits listed below:

	Average Daily Net Asset Value Based Charges
	Enhanced Death Benefit Maximum Annual Charge	0.15%

	Benefit Based Charges
	LifeGuard Freedom DBSM Maximum Annual Charge (no longer offered as of September 28, 2009)(only available if the LifeGuard Freedom ® GMWB is also selected) 5	0.60%
	LifeGuard Freedom 6 DBSM Maximum Annual Charge (no longer offered as of October 11, 2010) (only available if the LifeGuard Freedom 6 ® GMWB is also selected) 6	0.60%

	The following optional endorsement charges are benefit based. Please see the footnotes for additional information on the various optional endorsement charges. You may select one of the available benefits listed below:

	7% Guaranteed Minimum Withdrawal Benefit (GMWB) Maximum Annual Charge (no longer offered as of March 31, 2008)(“SafeGuard 7 Plus ® ”) 7	0.75%
	Guaranteed Minimum Withdrawal Benefit With 5-Year Step-Up Maximum Annual Charge (no longer offered as of May 1, 2010)(“SafeGuard Max ® ”) 8	0.81%
	5% GMWB With Annual Step-Up Maximum Annual Charge (no longer offered as of May 1, 2011) (“AutoGuard 5SM”) 9	1.47%
	6% GMWB With Annual Step-Up Maximum Annual Charge (no longer offered as of May 1, 2011) (“AutoGuard 6SM”) 10	1.62%
	5% GMWB Without Step-Up Maximum Annual Charge (no longer offered as of October 6, 2008) (“MarketGuard 5®”) 11	0.51%
	5% for Life GMWB With Bonus and Annual Step-Up Maximum Annual Charge (no longer offered as of March 31, 2008)(“LifeGuard AdvantageSM”) 12	1.50%
	For Life GMWB With Annual Step-Up Maximum Annual Charge (no longer offered as of March 31, 2008)(“LifeGuard AscentSM”) 13	1.50%
	Joint For Life GMWB With Annual Step-Up Maximum Annual Charge (no longer offered as of March 31, 2008)(“LifeGuard Ascent SM With Joint Option”) 14	1.71%
	For Life GMWB With Bonus and Annual Step-Up Maximum Annual Charge (no longer offered as of September 28, 2009)(“LifeGuard Freedom ® GMWB”) 15	1.50%
	Joint For Life GMWB With Bonus and Annual Step-Up Maximum Annual Charge (no longer offered as of September 28, 2009)(“LifeGuard Freedom ® GMWB With Joint Option”) 16	1.86%
	For Life GMWB With Bonus and Annual Step-Up Maximum Annual Charge (no longer offered as of October 11, 2010) (“LifeGuard Freedom 6 ® GMWB”) 17	1.50%
	Joint For Life GMWB With Bonus and Annual Step-Up Maximum Annual Charge (no longer offered as of October 11, 2010) (“LifeGuard Freedom 6 ® GMWB With Joint Option”) 18	1.86%
	For Life GMWB With Bonus, Guaranteed Withdrawal Balance Adjustment and Annual Step-Up Maximum Annual Charge (no longer offered as of May 1, 2010)(“LifeGuard SelectSM”) 19	1.50%
	Joint For Life GMWB With Bonus, Guaranteed Withdrawal Balance Adjustment and Annual Step-Up Maximum Annual Charge (no longer offered as of May 1, 2010)(“LifeGuard Select SM With Joint Option”) 20	1.86%

5% For Life GMWB With Bonus and Annual Step-Up
Annual Charge	Maximum		Current
Ages45 – 49	1.00%÷4	1.02%÷12	0.55%÷4	0.57%÷12
50 – 54	1.15%÷4	1.17%÷12	0.70%÷4	0.72%÷12
55 – 59	1.50%÷4	1.50%÷12	0.95%÷4	0.96%÷12
60 – 64	1.50%÷4	1.50%÷12	0.95%÷4	0.96%÷12
65 – 69	1.50%÷4	1.50%÷12	0.95%÷4	0.96%÷12
70 – 74	0.90%÷4	0.90%÷12	0.55%÷4	0.57%÷12
75 – 80	0.65%÷4	0.66%÷12	0.40%÷4	0.42%÷12
Charge Basis	GWB
Charge Frequency	Quarterly	Monthly	Quarterly	Monthly

For Life GMWB With Annual Step-Up
Annual Charge	Maximum		Current
Ages45 – 85	1.50%÷4	1.50%÷12	0.95%÷4	0.96%÷12
Charge Basis	GWB
Charge Frequency	Quarterly	Monthly	Quarterly	Monthly

Joint For Life GMWB With Annual Step-Up
Annual Charge	Maximum		Current
Ages45 – 85	1.70%÷4	1.71%÷12	1.15%÷4	1.17%÷12
Charge Basis	GWB
Charge Frequency	Quarterly	Monthly	Quarterly	Monthly

Fund Operating Expenses (As an annual percentage of each Fund's average daily net assets) Fund Name	Management and Admin Fee	Distribution and/or Service (12b-1) Fees	Other Expenses	Acquired Fund Fees and Expenses	Total Annual Fund Operating Expenses	Contractual Fee Waiver and/or Expense Reimbursement	Net Total Annual Fund Operating Expenses
JNL/American Funds ® Blue Chip Income and Growth	1.26% A	0.25% A	0.01% A	0.00%	1.52% A	0.45% B	1.07% A,B
JNL/American Funds Global Bond	1.38% A	0.25% A	0.03% A	0.00%	1.66% A	0.55% B	1.11% A,B
JNL/American Funds Global Small Capitalization	1.60% A	0.25% A	0.04% A	0.00%	1.89% A	0.60% B	1.29% A,B
JNL/American Funds Growth-Income	1.12% A	0.25% A	0.01% A	0.00%	1.38% A	0.40% B	0.98% A,B
JNL/American Funds International	1.49% A	0.25% A	0.04% A	0.00%	1.78% A	0.55% B	1.23% A,B
JNL/American Funds New World	1.93% A	0.25% A	0.05% A	0.00%	2.23% A	0.80% B	1.43% A,B
JNL/DFA U.S. Core Equity	0.72%	0.20%	0.01%	0.02%	0.95%	0.12% C	0.83%
JNL/Mellon Capital Management Global Alpha	1.15%	0.20%	0.00%	0.01%	1.36%	0.00% C	1.36%
JNL/T. Rowe Price Value	0.73%	0.20%	0.00%	0.00%	0.93%	0.01% C	0.92%
JNL/WMC Money Market	0.37%	0.20%	0.00%	0.00%	0.57%	0.34% D	0.23% D

Fund Operating Expenses (As an annual percentage of each Fund's average daily net assets) Fund Name	Management and Admin Fee	Distribution and/or Service (12b-1) Fees	Other Expenses	Acquired Fund Fees and Expenses	Total Annual Fund Operating Expenses
JNL Institutional Alt 20	0.18%	0.00%	0.01%	0.75%	0.94%
JNL Institutional Alt 35	0.17%	0.00%	0.00%	0.87%	1.04%
JNL Institutional Alt 50	0.17%	0.00%	0.00%	0.98%	1.15%
JNL Institutional Alt 65	0.18%	0.00%	0.00%	1.08%	1.26%
JNL/American Funds ® Balanced Allocation	0.45%	0.25%	0.01%	0.46%	1.17%
JNL/American Funds Growth Allocation	0.45%	0.25%	0.01%	0.50%	1.21%
JNL/BlackRock Commodity Securities	0.78%	0.20%	0.00%	0.03%	1.01%
JNL/BlackRock Global Allocation	0.90%	0.20%	0.01%	0.01%	1.12%
JNL/Brookfield Global Infrastructure	0.95%	0.20%	0.03%	0.02%	1.20%
JNL/Capital Guardian Global Balanced	0.80%	0.20%	0.01%	0.01%	1.02%
JNL/Capital Guardian Global Diversified Research	0.87%	0.20%	0.01%	0.00%	1.08%
JNL/Eagle SmallCap Equity	0.79%	0.20%	0.00%	0.00%	0.99%
JNL/Franklin Templeton Founding Strategy	0.05%	0.00%	0.00%	1.04%	1.09%
JNL/Franklin Templeton Global Growth	0.86%	0.20%	0.00%	0.01%	1.07%
JNL/Franklin Templeton Global Multisector Bond	0.90%	0.20%	0.02%	0.02%	1.14%
JNL/Franklin Templeton Income	0.74%	0.20%	0.01%	0.01%	0.96%
JNL/Franklin Templeton International Small Cap Growth	1.10%	0.20%	0.01%	0.01%	1.32%
JNL/Franklin Templeton Mutual Shares	0.84%	0.20%	0.02%	0.02%	1.08%
JNL/Franklin Templeton Small Cap Value	0.91%	0.20%	0.01%	0.01%	1.13%
JNL/Goldman Sachs Core Plus Bond	0.67%	0.20%	0.01%	0.04%	0.92%
JNL/Goldman Sachs Emerging Markets Debt	0.86%	0.20%	0.01%	0.03%	1.10%
JNL/Goldman Sachs Mid Cap Value	0.81%	0.20%	0.00%	0.01%	1.02%
JNL/Goldman Sachs U.S. Equity Flex	0.95%	0.20%	0.88%	0.00%	2.03%
JNL/Invesco Global Real Estate	0.85%	0.20%	0.01%	0.00%	1.06%
JNL/Invesco International Growth	0.80%	0.20%	0.01%	0.01%	1.02%
JNL/Invesco Large Cap Growth	0.76%	0.20%	0.00%	0.01%	0.97%
JNL/Invesco Small Cap Growth	0.95%	0.20%	0.00%	0.01%	1.16%
JNL/Ivy Asset Strategy	1.02%	0.20%	0.00%	0.01%	1.23%
JNL/JPMorgan International Value	0.80%	0.20%	0.01%	0.00%	1.01%
JNL/JPMorgan MidCap Growth	0.79%	0.20%	0.00%	0.01%	1.00%
JNL/JPMorgan U.S. Government & Quality Bond	0.49%	0.20%	0.01%	0.01%	0.71%
JNL/Lazard Emerging Markets	1.02%	0.20%	0.00%	0.01%	1.23%
JNL/Lazard Mid Cap Equity	0.81%	0.20%	0.01%	0.01%	1.03%
JNL/M&G Global Basics	1.00%	0.20%	0.01%	0.01%	1.22%
JNL/M&G Global Leaders	1.00%	0.20%	0.03%	0.00%	1.23%
JNL/Mellon Capital Management Emerging Markets Index	0.55%	0.20%	0.09%	0.02%	0.86%
JNL/Mellon Capital Management European 30	0.57%	0.20%	0.01%	0.00%	0.78%
JNL/Mellon Capital Management Pacific Rim 30	0.56%	0.20%	0.01%	0.00%	0.77%
JNL/Mellon Capital Management S&P 500 Index	0.35%	0.20%	0.02%	0.00%	0.57%
JNL/Mellon Capital Management S&P 400 MidCap Index	0.37%	0.20%	0.02%	0.00%	0.59%
JNL/Mellon Capital Management Small Cap Index	0.37%	0.20%	0.02%	0.00%	0.59%
JNL/Mellon Capital Management International Index	0.42%	0.20%	0.03%	0.00%	0.65%
JNL/Mellon Capital Management Bond Index	0.36%	0.20%	0.01%	0.00%	0.57%
JNL/Mellon Capital Management Dow Jones U.S. Contrarian Opportunities Index	0.48%	0.20%	0.03%	0.00%	0. 71%
JNL/Mellon Capital Management Index 5	0.05%	0.00%	0.00%	0.59%	0.64%
JNL/Mellon Capital Management 10 x 10	0.05%	0.00%	0.00%	0.62%	0.67%
JNL/Morgan Stanley Mid Cap Growth	0.90%	0.20%	0.01%	0.00%	1.11%
JNL/Neuberger Berman Strategic Income	0.75%	0.20%	0.01%	0.00%	0.96%
JNL/Oppenheimer Global Growth	0.81%	0.20%	0.00%	0.00%	1.01%
JNL/Eastspring Investments Asia ex-Japan	1.05%	0.20%	0.03%	0.00%	1.28%
JNL/Eastspring Investments China-India	1.10%	0.20%	0.01%	0.00%	1.31%
JNL/PIMCO Real Return	0.59%	0.20%	0.02%	0.00%	0.81%
JNL/PIMCO Total Return Bond	0.60%	0.20%	0.00%	0.00%	0.80%
JNL/PPM America Floating Rate Income	0.80%	0.20%	0.00%	0.01%	1.01%
JNL/PPM America High Yield Bond	0.54%	0.20%	0.01%	0.01%	0.76%
JNL/PPM America Mid Cap Value	0.85%	0.20%	0.01%	0.00%	1.06%
JNL/PPM America Small Cap Value	0.85%	0.20%	0.01%	0.00%	1.06%
JNL/PPM America Value Equity	0.65%	0.20%	0.01%	0.00%	0.86%
JNL/Red Rocks Listed Private Equity	0.96%	0.20%	0.01%	1.13%	2.30%
JNL/T. Rowe Price Established Growth	0.67%	0.20%	0.00%	0.00%	0.87%
JNL/T. Rowe Price Mid-Cap Growth	0.80%	0.20%	0.01%	0.00%	1.01%
JNL/T. Rowe Price Short-Term Bond	0.51%	0.20%	0.01%	0.02%	0.74%
JNL/UBS Large Cap Select Growth	0.75%	0.20%	0.01%	0.01%	0.97%
JNL/WMC Balanced	0.54%	0.20%	0.00%	0.02%	0.76%
JNL/WMC Value	0.58%	0.20%	0.01%	0.00%	0.79%
JNL/S&P Managed Conservative	0.15%	0.00%	0.01%	0.85%	1.01%
JNL/S&P Managed Moderate	0.14%	0.00%	0.01%	0.89%	1.04%
JNL/S&P Managed Moderate Growth	0.14%	0.00%	0.00%	0.91%	1.05%
JNL/S&P Managed Growth	0.14%	0.00%	0.00%	0.95%	1.09%
JNL/S&P Managed Aggressive Growth	0.16%	0.00%	0.00%	0.97%	1.13%
JNL Disciplined Moderate	0.18%	0.00%	0.00%	0.69%	0.87%
JNL Disciplined Moderate Growth	0.18%	0.00%	0.00%	0.68%	0.86%
JNL Disciplined Growth	0.18%	0.00%	0.00%	0.67%	0.85%
JNL/S&P Competitive Advantage	0.50%	0.20%	0.00%	0.00%	0.70%
JNL/S&P Dividend Income & Growth	0.49%	0.20%	0.00%	0.00%	0.69%
JNL/S&P Intrinsic Value	0.50%	0.20%	0.00%	0.00%	0.70%
JNL/S&P Total Yield	0.50%	0.20%	0.00%	0.00%	0.70%
JNL/S&P 4	0.05%	0.00%	0.00%	0.70%	0.75%
JNL/Mellon Capital Management Nasdaq ® 25	0.45%	0.20%	0.04%	0.00%	0.69%
JNL/Mellon Capital Management Value Line ® 30	0.43%	0.20%	0.11%	0.00%	0.74%
JNL/Mellon Capital Management Dow SM Dividend	0.45%	0.20%	0.02%	0.00%	0.67%
JNL/Mellon Capital Management S&P ® 24	0.44%	0.20%	0.01%	0.00%	0.65%
JNL/Mellon Capital Management 25	0.44%	0.20%	0.00%	0.00%	0.64%
JNL/Mellon Capital Management Select Small-Cap	0.45%	0.20%	0.00%	0.00%	0.65%
JNL/Mellon Capital Management JNL 5	0.42%	0.20%	0.02%	0.00%	0.64%
JNL/Mellon Capital Management VIP	0.45%	0.20%	0.03%	0.00%	0.68%
JNL/Mellon Capital Management JNL Optimized 5	0.44%	0.20%	0.04%	0.00%	0.68%
JNL/Mellon Capital Management S&P ® SMid 60	0.44%	0.20%	0.01%	0.00%	0.65%
JNL/Mellon Capital Management NYSE ® International 25	0.52%	0.20%	0.05%	0.00%	0.77%
JNL/Mellon Capital Management Communications Sector	0.48%	0.20%	0.03%	0.00%	0.71%
JNL/Mellon Capital Management Consumer Brands Sector	0.48%	0.20%	0.02%	0.00%	0.70%
JNL/Mellon Capital Management Financial Sector	0.46%	0.20%	0.02%	0.00%	0.68%
JNL/Mellon Capital Management Healthcare Sector	0.45%	0.20%	0.03%	0.00%	0.68%
JNL/Mellon Capital Management Oil & Gas Sector	0.43%	0.20%	0.03%	0.00%	0.66%
JNL/Mellon Capital Management Technology Sector	0.44%	0.20%	0.03%	0.00%	0.67%

●	to make income payments for the life of the annuitant during the income phase;
●	to waive the withdrawal charge in the event of your death; and
●	to provide both a standard and enhanced death benefits prior to the Income Date.

●	(a) = the present value of the remaining income payments (as of the date of calculation) for the period for which payments are guaranteed to be made, discounted at the rate assumed in calculating the initial payment; and
●	(b) = the present value of the remaining income payments (as of the date of calculation) for the period for which payments are guaranteed to be made, discounted at a rate no more than 1% higher than the rate used in (a).

●	earnings (excess of your Contract Value allocated to the Investment Divisions, the guaranteed fixed account and the GMWB Fixed Account over your remaining premiums allocated to those accounts);
●	during each Contract Year 10% of the value of your Contract less any previous withdrawals during that Contract Year (required minimum distributions will be counted as part of this amount)(“Free Withdrawal”).

AAnnual Charge	Maximum		Current
AAges 45 – 80	1.50% ÷ 4	1.50% ÷ 12	0.95% ÷ 4	0.96% ÷ 12
CCharge Basis	GWB
arCharge Frequency	Quarterly	Monthly	Quarterly	Monthly

●	National Planning Corporation,
●	SII Investments, Inc.,
●	IFC Holdings, Inc. d/b/a Invest Financial Corporation,
●	Investment Centers of America, Inc., and
●	Curian Clearing LLC

●	$5,000 under most circumstances
●	$2,000 for a qualified plan Contract
●	The maximum we accept without our prior approval is $1 million

●	$500
●	$50 under the automatic payment plan
●	You can pay additional premiums at any time during the accumulation phase

1.	determining the total amount of assets held in the particular Investment Division;
2.	subtracting any asset-based charges, optional enhanced death benefit charge, and any other charges such as taxes;
3.	dividing this amount by the number of outstanding accumulation units.

●	you return your Contract within the free look period;
●	Jackson pays a death benefit under your Contract;
●	you make a partial or full withdrawal or receive a distribution; or
●	Jackson pays a benefit under a rider or an endorsement.

●	limiting the number of transfers over a period of time;
●	requiring a minimum time period between each transfer;
●	limiting transfer requests from an agent acting on behalf of one or more Owners or under a power of attorney on behalf of one or more Owners; or
●	limiting the dollar amount that you may transfer at any one time.

●	by making either a partial or complete withdrawal,
●	by electing the systematic withdrawal program,
●	by electing a Guaranteed Minimum Withdrawal Benefit, or
●	by electing to receive income payments.

●	the GWB prior to the partial withdrawal less the partial withdrawal; or
●	zero.

●	the Contract Value after the partial withdrawal; or
●	the greater of the GWB prior to the partial withdrawal less the partial withdrawal or zero.

●	the GAWA prior to the partial withdrawal; or
●	the GWB after the partial withdrawal.

●	the GAWA prior to the partial withdrawal;
●	the GWB after the partial withdrawal; or
●	7% of the Contract Value after the partial withdrawal.

With a Step-Up –	The GWB equals Contract Value.
	The GAWA is recalculated, equaling the greater of:
		●	7% of the new GWB; Or
		●	The GAWA before the Step-Up.

●	The Owner's (or any joint Owner's) death;
Or
●	Until all withdrawals under the Contract equal the Guaranteed Withdrawal Balance (GWB), without regard to Contract Value.
		The GWB is the guaranteed amount available for future periodic withdrawals.
PLEASE NOTE: The guarantees of this GMWB are subject to the endorsement's terms, conditions, and limitations that are explained below.

When this GMWB is added to the Contract on the Issue Date –	The GWB equals initial premium net of any applicable premium taxes.
	The GAWA is determined based on the Owner's attained age at the time of first withdrawal and equals the GAWA percentage multiplied by the GWB prior to the partial withdrawal. See the GAWA percentage table below.

When a withdrawal, plus all prior withdrawals in the current Contract Year, is less than or equal to the greater of the GAWA or RMD, as applicable –	The GWB is recalculated, equaling the greater of:
		●	The GWB before the withdrawal less the withdrawal; Or
		●	Zero.
	The GAWA is recalculated, equaling the lesser of:
		●	The GAWA before the withdrawal; Or
		●	The GWB after the withdrawal.