Supplement dated June 16, 2010

to the Prospectus for

Principal Variable Contracts Funds, Inc.

Dated May 1, 2010

(as supplemented on May 19, 2010)

(Not all Accounts are offered in all variable annuity and variable life insurance contracts.) 

This supplement updates information currently in the Prospectus. Retain this supplement with the Prospectus. 

EQUITY INCOME ACCOUNT 

Effective June 30, 2010, the benchmark will change. The Investment Advisor and Sub-Advisor believe the 

Russell 1000 Value Index is a better representation of the investment universe for this Account’s investment 

philosophy than the S&P 500/Citigroup Value Index and the S&P 500 Index. 

Average Annual Total Returns
For the periods ended December 31, 2009	Past 1 Year	Past 5 Years	Past 10 Years
Equity Income Account - Class 1 (inception 04/28/1998)	20.00%	1.68%	6.43%
Equity Income Account - Class 2 (inception 05/01/2001)	19.76%	1.43%	6.18%
S&P 500 Index (reflects no deduction for fees, expenses, or taxes)	26.46%	0.42%	-0.95%
S&P 500/Citigroup Value Index (reflects no deduction for fees, expenses, or taxes)	21.18%	-0.27%	1.20%
Russell 1000 Value Index (reflects no deduction for fees, expenses, or taxes)	19.69%	-0.25%	2.47%

INCOME ACCOUNT 

Effective June 30, 2010, the benchmark will change. The Investment Advisor and Sub-Advisor believe the 

Barclays Capital Aggregate Bond Index is a better representation of the investment universe for this Account’s 

investment philosophy than the Citigroup Broad Investment Grade Bond Index. 

Average Annual Total Returns
For the periods ended December 31, 2009	Past 1 Year	Past 5 Years	Past 10 Years
Income Account - Class 1 (inception 05/07/1993)	18.37%	5.38%	7.02%
Income Account - Class 2 (inception 11/06/2001)	18.17%	5.13%	6.76%
Citigroup Broad Investment Grade Bond Index	5.06%	5.22%	6.47%
(reflects no deduction for fees, expenses, or taxes)
Barclays Capital Aggregate Bond Index	5.93%	4.97%	6.33%
(reflects no deduction for fees, expenses, or taxes)

MANAGEMENT OF THE FUND 

Under the sub-heading “The Sub-Advisors,” add the following after the second paragraph: 

Some of the Sub-Advisors may enter into co-employee agreements, investment service agreements, dual 

employee agreements, or other similar agreements with advisers with which they are affiliated. Through the 

agreements, the Sub-Advisor’s portfolio manager usually is accorded access to the portfolio management 

processes, systems, staff, proprietary quantitative model, portfolio construction disciplines, experienced portfolio 

management, and quantitative research staff of the affiliated investment advisory firm. Likewise, through the 

agreements, the portfolio manager usually has access to the trading staff and trade execution capabilities along 

with the order management system, pre- and post-trade compliance system, portfolio accounting system and 

portfolio accounting system and performance attribution and risk management system of the affiliated 

investment advisory firm. 

In the section for Principal Global Investors, LLC, add the following: 

Add the following to Juliet Cohn’s biographical information: As a co-employee of PGI and Principal Global 

Investors (Europe) Limited, Ms. Cohn manages Principal Fund assets as an employee of PGI.