8-K

___________________________________________________________________

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D. C. 20549

FORM 8-K

CURRENT REPORT
Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

  Date of Report  (Date of earliest event reported)    February 8, 2005

PROTECTIVE LIFE CORPORATION

(Exact name of registrant as specified in its charter)

Delaware	1-12332	95-2492236
(State or other jurisdiction	(Commission	(IRS Employer
of incorporation)	File Number)	Identification No.)

2801 Highway 280 South
Birmingham, Alabama 35223
(Address of principal executive offices and zip code)

(205) 268-1000
(Registrant's telephone number, including area code)

N/A
(Former name or former address, if changed since last report.)

___________________________________________________________________

Item 2.02 Results of Operations and Financial Condition.

        On February 8, 2005, Registrant issued a press release and made available supplemental financial information with respect to its financial results for the quarter ended December 31, 2004. This information is included as Exhibit 99.1 and 99.2 to this Current Report and incorporated by reference herein.

        In accordance with General Instruction B.2 of Form 8-K, the information included or incorporated in this report, including Exhibits 99.1 and 99.2 shall not be deemed "filed" for purposes of Section 18 of the Securities and Exchange Act of 1934, nor shall such information and exhibits be deemed incorporated by reference in any filing under the Securities Act of 1933, except as shall be set forth by specific reference in such a filing.

SIGNATURES

        Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

PROTECTIVE LIFE CORPORATION

BY/s/Steven G. Walker

Steven G. Walker

Senior Vice President, Controller

and Chief Accounting Officer

Dated:   February 8, 2005

Exhibit Index

Exhibit Number	Description	Page Number
99.1	Press Release Dated February 8, 2005
99.2	Supplemental Financial Information Dated February 8, 2005

EX-99

Protective Life Corporation
Post Office Box 2606
Birmingham, AL 35202
205-268-1000

FOR IMMEDIATE RELEASE

PROTECTIVE ANNOUNCES 2004 EARNINGS

BIRMINGHAM, Alabama (February 8, 2005) Protective Life Corporation (NYSE: PL) today reported results for 2004. Highlights include:

o For the year, net income increased 7.5% to a record $3.30 per diluted share, compared to $3.07 per share in 2003. Net income for the fourth quarter was $0.80 per diluted share compared to $0.95 per share for the same period last year. The current quarter’s net income did not include any net realized investment gains, compared to $0.18 per share one year ago. Net income for 2004 included a cumulative change in accounting principle charge of $0.22 per diluted share arising from the adoption of SOP 03-1 “Accounting and Reporting by Insurance Enterprises for Certain Nontraditional Long-Duration Contracts and for Separate Accounts”. The increase of $0.08 per diluted share from the $0.14 per diluted share as reported in the first quarter of 2004 is attributable to the implementation of the Technical Practice Aid (“TPA”) in the fourth quarter of 2004. Excluding the cumulative change in accounting principle charge, net income increased 14.7% to $3.52 per diluted share in 2004.

o Operating income increased 19.0% to a record $3.32 per diluted share compared to $2.79 per share in 2003. Operating income for the fourth quarter was $0.80 per diluted share, compared to $0.77 per share in the fourth quarter of 2003. Operating income differs from the GAAP measure, net income, in that it excludes realized investment gains (losses) and related amortization. The tables below reconcile operating income to net income for the Company and its business segments.

o Life Insurance pretax operating income, which includes operating income from the Life Marketing and Acquisitions segments, was $253.2 million in 2004, compared to $254.3 million in 2003. Life Insurance sales were $261.7 million in 2004.

o Pretax operating income in the Annuities segment was $16.5 million compared to $13.4 million in 2003, an increase of 23.1%. Annuity sales were $726.1 million for 2004, an increase of 41.2% over the prior year.

o The Stable Value Products segment reported record pretax operating income of $53.2 million for 2004, an increase of 36.6% over the prior year and ended the year with account balances of $5.6 billion, and increase of 19.0% over the prior year. During 2004, the segment recorded sales of $1.5 billion under its registered funding agreement-backed notes program.

o Participating mortgage income increased to $28.8 million in 2004 from $19.3 million in 2003.

o The run-off residual line reserves were strengthened $6.4 million in the fourth quarter of 2004.

o As of December 31, 2004, The Company’s assets were $27.2 billion, compared to $24.5 billion at year-end 2003, an increase of 11.0%.

o As of December 31, 2004, share-owners’ equity per share, excluding other comprehensive income, was $26.93 compared with $24.20 a year ago. Share-owners’ equity per share, including accumulated other comprehensive income, was $31.19 compared with $29.02 a year ago.

o Net income return on average equity for the twelve months ended December 31, 2004 was 13.3%.

o At December 31, 2004, below investment grade securities were less than six percent of invested assets, and problem mortgage loans and foreclosed properties remained less than one percent of invested assets.

John D. Johns, Protective’s Chairman, President and Chief Executive Officer commented:

“We are very pleased with our performance in 2004. For the year, we are reporting a record level of operating and net earnings. Operating income after tax was $236.3 million, an increase of 19.8% over 2003. Operating return on average equity improved to 13.4% for 2004. Results in our Life Marketing operations continued to grow, despite lower life insurance sale during the year from the very strong levels achieved in the prior year. Performance in our Annuity segment improved during the year, as sales of fixed annuities increased substantially over the prior year. The Stable Value segment achieved record levels of earnings for the quarter and for the year due to the success of the registered retail note program and strong spreads. We continue to be pleased with the positive results of the Asset Protection segment, as well as the progress of the underlying trends of the business. As we enter 2005, the life insurance industry faces numerous challenges, including low interest rates, a flattening yield curve, tightening spreads, rising reinsurance costs and regulatory uncertainty. We believe that Protective remains well positioned to address these challenges and continue to achieve solid and consistent growth.”

For information relating to non-GAAP measures (operating income, share-owners’ equity per share excluding other comprehensive income, operating return on average equity, and net income return on average equity) in this press release, please refer to the disclosure at the end of this press release. All per share results used throughout this press release are presented on a diluted basis.

FOURTH QUARTER AND FULL-YEAR CONSOLIDATED RESULTS

($ in thousands; net of income tax)



                                                        4Q2004            4Q2003           2004           2003
                                                       -------           -------         --------       --------

Operating income                                       $57,608           $54,979         $236,250       $197,173
Realized investment gains (losses) and
  related amortization, net of certain
  derivative gains (losses)                               (300)           12,581           14,131         19,877
Change in accounting principle                             ---               ---          (15,801)           ---
                                                       -------           -------         --------       --------
Net Income                                             $57,308           $67,560         $234,580       $217,050
                                                       =======           =======         ========       ========




($ per share; net of income tax)
                                                        4Q2004            4Q2003           2004           2003
                                                        ------           -------          ------         ------

Operating income                                        $0.80           $ 0.77             $3.32          $2.79
Realized investment gains (losses) and
  related amortization, net of certain
  derivative gains (losses)
     Investments                                         0.05             0.02              0.20           0.36
     Derivatives                                        (0.05)            0.16               ---          (0.08)
Change in accounting principle                            ---              ---             (0.22)           ---
                                                        -----            -----             -----          -----
Net Income                                              $0.80            $0.95             $3.30          $3.07
                                                        =====            =====             =====          =====

BUSINESS SEGMENT OPERATING INCOME (LOSS) BEFORE INCOME TAX

The table below sets forth business segment operating income (loss) before income tax for the periods shown:

OPERATING INCOME (LOSS) BEFORE INCOME TAX
($ in thousands)

                                                       4Q2004             4Q2003            2004             2003
                                                       -------           -------          --------        --------

LIFE MARKETING                                         $41,881             $42,905         $165,897        $159,157
ACQUISITIONS                                            21,374              23,266           87,300          95,150
ANNUITIES                                                4,671               4,034           16,467          13,373
STABLE VALUE PRODUCTS                                   14,221              10,152           53,159          38,911
ASSET PROTECTION                                         4,680               4,078           19,079          20,193
CORPORATE AND OTHER                                      1,802             (2,502)           21,560         (31,952)
                                                       -------             -------         --------        --------
                                                       $88,629             $81,933         $363,462        $294,832
                                                       =======             =======         ========        ========

In the Life Marketing, Acquisitions, and Asset Protection segments, pretax operating income equals segment income before income tax for all periods. In the Annuities, Stable Value Products, and Corporate and Other segments, operating income excludes realized investment gains (losses) and related amortization as set forth in the table below.

($ in thousands)                                           4Q2004         4Q2003             2004           2003
                                                           -------        --------         --------        --------
Operating income before
  income tax                                               $88,629         $81,933         $363,462        $294,832
Realized investment gains (losses)
     Stable Value Contracts                                    332           2,453           13,225           9,756
     Annuities                                                  55           2,918            9,873          22,733
     Corporate and Other                                     3,514          19,449           24,798          38,125
Settlements on certain interest
   rate swaps
     Corporate and Other                                    (4,309)         (4,782)         (19,222)        (21,087)
Related amortization of deferred policy
   acquisition costs
     Annuities                                                 (55)           (682)          (6,935)        (18,947)
                                                           -------        --------         --------        --------
Income before income tax and
     cumulative effect of change
     in accounting principle                               $88,166        $101,289         $385,201        $325,412
                                                           =======        ========         ========        ========

Income before income tax (which, unlike operating income before income tax, does not exclude realized gains (losses) and the related amortization of deferred policy acquisition costs) for the Annuities segment was $19.4 million for 2004 and $17.2 million for 2003, and $4.7 million for the fourth quarter of 2004 and $6.3 million in the prior year’s quarter. Income before income tax for the Stable Value segment was $66.4 million for 2004, compared to $48.7 million for 2003, and $14.6 million for the fourth quarter of 2004 compared to $12.6 million for the fourth quarter of 2003. Income before income tax for the Corporate and Other segment was $27.1 million for 2004 and a loss of $14.9 million for 2003, and income of $1.0 million for the fourth quarter of 2004 and income of $12.2 million for the fourth quarter of 2003.

The sales statistics given in this press release are used by the Company to measure the relative progress of its marketing efforts. These statistics were derived from the Company’s various sales tracking and administrative systems and were not derived from the Company’s financial reporting systems or financial statements. These statistics attempt to measure only one of many factors that may affect future business segment profitability, and therefore are not intended to be predictive of future profitability.

SALES

The table below sets forth business segment sales for the periods shown:

($ in millions)
                                                            4Q2004         4Q2003            2004            2003
                                                            ------         ------            ----            ----

LIFE MARKETING                                               $74.2           $78.9           $261.7         $289.6
ANNUITIES                                                    296.0            90.1            726.1          514.1
STABLE VALUE PRODUCTS                                        177.4           909.4          1,582.6        1,607.9
ASSET PROTECTION                                             108.8           110.7            460.3          472.4

BUSINESS SEGMENT HIGHLIGHTS

LIFE MARKETING: Fourth quarter pretax operating for the Life Marketing segment was $41.9 million compared to $42.9 million in the fourth quarter of 2003. For the full year, pretax operating income for the segment increased 4.2% to $165.9 million in 2004 from $159.2 million in 2003. Excluding the $12.3 million reinsurance recovery in 2003, pretax operating income increased 12.9% during the year. The increase for the full year is attributable to growth of business in-force and favorable mortality results partially offset by an unfavorable expense variance due to lower sales in 2004 and the ongoing impact of SOP 03-1. The SOP, which affects the timing of the recognition of earnings on universal life policies, had the effect of reducing pretax operating earnings by approximately $9.0 million.

As expected and previously discussed, life insurance sales moderated somewhat from the unusually strong sales in fourth quarter 2003 and for the full year of 2003. Life insurance sales in the fourth quarter of 2004 and for the full year 2004 were $74.2 million and $261.7 million, respectively. Sales in the fourth quarter of 2004 increased 25.9% over the third quarter of 2004 due to strong universal life sales. During 2004, the independent agent distribution channel grew by 11.4% and sales through stockbrokers grew by 27.2%.

For the full year, mortality experience was $3.8 million better than pricing as compared to $0.6 million worse than pricing in the prior year.

ACQUISITIONS: Pretax operating incoming was $21.4 million for the fourth quarter of 2004, as compared to $23.3 million in the fourth quarter of 2003. Pretax operating income for the full year was $87.3 million compared to $95.2 million in 2003. The decrease is primarily attributable to the run-off of the in-force block. For the full year mortality was $5.4 million better than pricing, $1.5 million better than in 2003.

ANNUITIES: Pretax operating income in the Annuities segment increased to $4.7 million in the fourth quarter of 2004, compared to $4.0 million in the fourth quarter of 2003. For the full year, pretax operating income increased 23.1% to $16.5 million from $13.4 million in 2003.

Total annuity sales were $296.0 million in the fourth quarter of 2004 compared to $90.1 million in the prior year. For the full year, total annuity sales were $726.1 million in 2004 compared to $514.1 million in 2003, an increase of 41.2%. Fixed annuity sales were $212.4 million in the fourth quarter of 2004 compared to $23.8 million in the prior year. Variable annuity sales increased 26.2% to $83.7 million in the fourth quarter of 2004. Year end account balances were $5.7 billion compared to $5.1 billion at year end 2003.

STABLE VALUE PRODUCTS: Pretax operating income in the Stable Value Products segment was $53.2 million for 2004 compared to $38.9 million in 2003, an increase of 36.6%. For the quarter, pretax operating income increased 40.1% over the prior year’s quarter to $14.2 million. Spreads widened to 107 basis points in the fourth quarter of 2004 from 95 basis points in the fourth quarter of 2003. For the full year, spreads widened 11 basis points to 107 basis points. The increase was primarily attributable to lower interest expense as there were some higher cost liabilities that matured during the year. Account balances increased by $886.5 million in 2004 to $5.6 billion.

ASSET PROTECTION: The Asset Protection segment had pretax operating income of $4.7 million for the fourth quarter of 2004 compared to $4.1 million in the fourth quarter of 2003. For the full year, pretax operating income was $19.1 million in 2004 compared to $20.2 million in 2003. Included in 2004 and 2003 earnings were gains on the sales of inactive charters of $1.2 million and $6.9 million, respectively.

CORPORATE & OTHER: This segment consists primarily of net investment income on unallocated capital, interest expense on all debt, various other items not associated with the other segments and ancillary run-off lines of business. The segment reported pretax operating income of $1.8 million for the fourth quarter of 2004 compared to a loss of $2.5 million in the prior year. For the full year, pretax operating income was $21.6 million in 2004 compared to a loss of $32.0 million in 2003. Included in the loss for fourth quarter 2003 and for the loss in 2003 were pretax charges of $3.0 million and $28.4 million, respectively, relating to reserve strengthening in the run-off residual value line of business. The run-off residual value line reserves were strengthened $6.4 million and $9.4 million in the fourth quarter of 2004 and for the full year 2004, respectively. Participating mortgage income increased to $28.8 million in 2004 compared to $19.3 million in 2003. Investment income on unallocated capital increased to $72.1 million in 2004 compared to $43.5 million in 2003.

CONFERENCE CALL

There will be a conference call for management to discuss the quarterly results with analysts and professional investors on Wednesday, February 9, 2005 at 9:00 a.m. Eastern. Analysts and professional investors may access this call by calling 1-800-894-5910 (international callers 1-785-424-1052) and giving the conference ID: Protective. A recording of the call will be available from 12:00 p.m. Eastern February 9 until midnight February 16. The recording may be accessed by calling 1-800-938-1595 (international callers 1-402-220-1544).

The public may listen to a simultaneous webcast of the call on the homepage of the Company’s web site at www.protective.com. A recording of the webcast will also be available from 12:00 p.m. Eastern February 9 until midnight February 16.

Supplemental financial information is available on the Company’s web site at www.protective.com in the Analyst/Investor section under the financial report library titled Supplemental Financial Information.

INFORMATION RELATING TO NON-GAAP MEASURES

Throughout this press release, GAAP refers to accounting principles generally accepted in the United States of America. Consolidated and segment operating income are defined as income before income tax excluding net realized investment gains (losses) and related amortization of deferred policy acquisition costs (DAC), and the cumulative effect of change in accounting principle. Periodic settlements of interest rate swaps associated with corporate debt and certain investments are included in realized gains (losses) but are considered part of consolidated and segment operating income because the swaps are used to mitigate risk in items affecting consolidated and segment operating income. Management believes that consolidated and segment operating income provides relevant and useful information to investors, as it represents the basis on which the performance of the Company’s business is internally assessed. Although the items excluded from consolidated and segment operating income may be significant components in understanding and assessing the Company’s overall financial performance, management believes that consolidated and segment operating income enhances an investor’s understanding of the Company’s results of operations by highlighting the income (loss) attributable to the normal, recurring operations of the Company’s business.

As prescribed by GAAP, certain investments are recorded at their market values with the resulting unrealized gains (losses) affected by a related adjustment to DAC, net of income tax, reported as a component of share-owners’ equity. The market values of fixed maturities increase or decrease as interest rates change. The Company believes that an insurance company’s share-owners’ equity per share may be difficult to analyze without disclosing the effects of recording accumulated other comprehensive income, including unrealized gains (losses) on investments.

RECONCILIATION OF SHARE-OWNERS’ EQUITY PER SHARE EXCLUDING ACCUMULATED OTHER COMPREHENSIVE INCOME PER SHARE

($ per share on a diluted basis as of December 31, 2004)

     Total share-owners' equity per share                                              $31.19
     Less:  Accumulated other comprehensive income per share                             4.26
                                                                                         ----

     Total share-owners' equity per share
     excluding accumulated other comprehensive income                                  $26.93
                                                                                       ======

Operating income return on average equity and net income return on average equity are measures used by management to evaluate the Company’s performance. Operating income return on average equity for the twelve months ended December 31, 2004 is calculated by dividing operating income for this period by the average ending balance of share-owners’ equity (excluding accumulated other comprehensive income) for the five most recent quarters. Net income return on average equity for the twelve months ended December 31, 2004, is calculated by dividing net income for this period by the average ending balance of share-owners’ equity (excluding accumulated other comprehensive income) for the five most recent quarters.

CALCULATION OF OPERATING INCOME RETURN ON AVERAGE EQUITY
ROLLING TWELVE MONTHS ENDED DECEMBER 31, 2004

($ in thousands)

Numerator:

                                                              Three Months Ended
                                        -------------------------------------------------------------    Rolling Twelve
                                        March 31,         June 30,       Sept. 30,       Dec. 31,         Months Ended
                                          2004              2004           2004            2004           Dec. 31, 2004
                                          ----              ----           ----            ----           -------------

Net income                               $49,504          $61,295         $66,473          $57,308           $234,580
Net of:
   Realized investment gains
   (losses), net of income tax
     Investments                          10,808             (600)          5,318            2,873             18,399
     Derivatives                           3,304            5,680           4,086             (337)            12,733
Related amortization of
deferred policy
acquisition costs,
net of income tax benefit                 (2,379)            (358)         (1,735)             (35)            (4,507)
Cumulative effect of change
in accounting principle                  (15,801)             - 0 -           - 0 -             -0-           (15,801)
Add back:
   Derivative gains related
   to Corp. debt and investments
    net of income tax                      3,169            3,480           3,044            2,801             12,494
                                         -------          -------         -------          -------           --------
   Operating Income                      $56,741          $60,053         $61,848          $57,608           $236,250
                                         =======          =======         =======          =======           ========

Denominator:
                                                                                                 Share-Owners'
                                                                    Accumulated                 Equity Excluding
                                                                       Other                    Accumulated Other
                                        Share-Owners'              Comprehensive                  Comprehensive
                                            Equity                    Income                         Income
                                       --------------              -------------               -------------------
December 31, 2003                          $2,002,144                   $332,585                  $1,669,559
March 31, 2004                              2,196,492                    485,546                   1,710,946
June 30, 2004                               1,884,869                    121,006                   1,763,863
September 30, 2004                          2,117,109                    294,045                   1,823,064
December 31, 2004                           2,166,327                    296,311                   1,870,016
                                                                                                  ----------
     Total                                                                                        $8,837,448
                                                                                                  ==========
     Average                                                                                      $1,767,490
                                                                                                  ==========
Operating Income Return on Average Equity                                                              13.4%




CALCULATION OF NET INCOME RETURN ON AVERAGE EQUITY
ROLLING TWELVE MONTHS ENDED DECEMBER 31, 2004

($ in thousands)

Numerator:

       Net income - three months ended March 31, 2004                                        $ 49,504
       Net income - three months ended June 30, 2004                                           61,295
       Net income - three months ended September 30, 2004                                      66,473
       Net income - three months ended December 31, 2004                                       57,308
                                                                                             --------
       Net income - rolling twelve months ended December 31, 2004                            $234,580
                                                                                             ========

Denominator:
                                                                                                 Share-Owners'
                                                                    Accumulated                 Equity Excluding
                                                                       Other                    Accumulated Other
                                        Share-Owners'              Comprehensive                  Comprehensive
                                            Equity                    Income                         Income
                                        --------------            --------------                ------------------
December 31, 2003                          $2,002,144                   $332,585                  $1,669,559
March 31, 2004                              2,196,492                    485,546                   1,710,946
June 30, 2004                               1,884,869                    121,006                   1,763,863
September 30, 2004                          2,117,109                    294,045                   1,823,064
December 31, 2004                           2,166,327                    296,311                   1,870,016
                                                                                                  ----------
     Total                                                                                        $8,837,448
                                                                                                  ==========
Average                                                                                           $1,767,490
                                                                                                  ==========
Net Income Return on Average Equity                                                                   13.3%

FORWARD-LOOKING STATEMENTS

This release and the supplemental financial information provided includes “forward-looking statements” which express expectations of future events and/or results. All statements based on future expectations rather than on historical facts are forward-looking statements that involve a number of risks and uncertainties, and the Company cannot give assurance that such statements will prove to be correct. The factors which could affect the Company’s future results include, but are not limited to, general economic conditions and the following trends and uncertainties: we are exposed to the risks of natural disasters, malicious and terrorist acts that could adversely affect our operations; we operate in a mature, highly competitive industry, which could limit our ability to gain or maintain our position in the industry; a ratings downgrade could adversely affect our ability to compete; our policy claims fluctuate from period to period, and actual results could differ from our expectations; our results could be negatively affected should actual experience differ from management’s assumptions and estimates; the use of reinsurance introduces variability in our statements of income; we could be forced to sell investments at a loss to cover policyholder withdrawals; interest rate fluctuations could negatively affect our spread income or otherwise impact our business; equity market volatility could negatively impact our business; a deficiency in our systems could result in over- or underpayments of amounts owed to or by us and/or errors in our critical assumptions or reported financial results; insurance companies are highly regulated; changes to tax law or interpretations of existing tax law could adversely affect the Company and its ability to compete with non-insurance products or reduce the demand for certain insurance products; financial services companies are frequently the targets of litigation, including class action litigation, which could result in substantial judgments; our ability to maintain low unit costs is dependent upon the level of new sales and persistency of existing business; our investments are subject to market and credit risks; we may not realize our anticipated financial results from our acquisitions strategy; we are dependent on the performance of others; our reinsurers could fail to meet assumed obligations, increase rates or be subject to adverse developments that could affect us; computer viruses could affect our data processing systems or our business partners. Please refer to Exhibit 99 of the Company’s most recent Form 10-K/10-Q for more information about these factors which could affect future results.

CONTACTS:

Allen Ritchie
Executive Vice President and Chief Financial Officer
(205) 268-3500

Chip Wann
Vice President, Corporate Finance/Investor Relations
(205) 268-6461

EX-99

Protective Life Corporation
Post Office Box 2606
Birmingham, AL 35202
Phone 205-268-1000

SUPPLEMENTAL FINANCIAL INFORMATION

The following document contains supplemental quarterly statistical financial information for the quarter ended December 31, 2004. This document is dated February 8, 2005. Protective does not undertake a duty to update such information after such date.

All income per share results are presented on a diluted basis.

The sales statistics given in this document are used by the Company to measure the relative progress of its marketing efforts. These statistics and certain other information reported herein were derived from the Company’s various sales tracking and administrative systems and were not derived from the Company’s financial reporting systems or financial statements. These statistics attempt to measure only one of many factors that may affect future business segment profitability, and therefore are not intended to be predictive of future profitability.

Information About Non-GAAP Financial Measures

Throughout this document, GAAP refers to accounting principles generally accepted in the United States of America. Operating income differs from the GAAP measure, net income, in that it excludes realized investment gains and losses and related amortization and gains and losses related to certain derivative financial instruments, and the cumulative effect of change in accounting principle. Consolidated and segment operating income excludes net realized investment gains (losses) and the related amortization of deferred policy acquisition costs and gains (losses) on derivative instruments. Periodic settlements of interest rate swaps associated with corporate debt and certain investments are included in realized gains (losses) but are considered part of operating income because the swaps are used to mitigate risk in items affecting operating income. Management believes that consolidated and segment operating income (loss) enhances an investor’s and the Company’s understanding of the Company’s results of operations, as it represents the basis on which the performance of the Company’s business is internally assessed.

As prescribed by generally accepted accounting principles, certain investments are recorded at their market values with the resulting unrealized gains (losses) reduced by a related adjustment to deferred policy acquisition costs, net of income tax, reported as a component of share-owners’ equity. The market values of fixed maturities increase or decrease as interest rates rise or fall. The Company believes that an insurance company’s share-owners’ equity may be difficult to analyze without disclosing the effects of recording accumulated other comprehensive income, including unrealized gains (losses) on investments. Therefore, the Company reports the non-GAAP measure share owners’ equity per share excluding accumulated other comprehensive income, including unrealized gains (losses) on investments. This non-GAAP measure may be reconciled to the GAAP measure, share owners’ equity per share by including accumulated other comprehensive income, including unrealized gains (losses) on investments.

PROTECTIVE LIFE CORPORATION
Quarterly Financial Highlights
(Dollars in Thousands)
(Unaudited)

                                                                                     ------------------------------------------------------------------------------------------------------------------------------     ------------------------------
                                                                                                2003            2003           2003            2003            2004            2004           2004            2004              12 MOS         12 MOS
                                                                                             1ST QTR         2ND QTR        3RD QTR         4TH QTR         1ST QTR         2ND QTR        3RD QTR         4TH QTR                2003           2004
                                                                                     ------------------------------------------------------------------------------------------------------------------------------     ------------------------------
- -------------------------------------------------------------------------------------
Pretax Operating Income*
- -------------------------------------------------------------------------------------



   Life Marketing                                                                            $30,635         $46,116        $39,501         $42,905         $41,601         $43,597        $38,818         $41,881            $159,157       $165,897
   Acquisitions                                                                               22,772          24,281         24,831          23,266          21,203          23,461         21,262          21,374              95,150         87,300
   Annuities                                                                                   3,715           2,991          2,633           4,034           2,813           4,975          4,008           4,671              13,373         16,467
   Stable Value Contracts                                                                      9,138          10,098          9,523          10,152          11,699          13,926         13,313          14,221              38,911         53,159
   Asset Protection                                                                            1,242           9,761          5,112           4,078           4,603           4,371          5,425           4,680              20,193         19,079
   Corporate & Other                                                                             960         (22,561)        (7,849)         (2,502)          4,305           3,128         12,325           1,802             (31,952)        21,560
                                                                                     ------------------------------------------------------------------------------------------------------------------------------     ------------------------------
Total Pretax Operating Income                                                                $68,462         $70,686        $73,751         $81,933         $86,224         $93,458        $95,151         $88,629            $294,832       $363,462



- -------------------------------------------------------------------------------------
Balance Sheet Data
- -------------------------------------------------------------------------------------

  Total GAAP Assets                                                                      $22,705,406     $23,238,499    $23,242,879     $24,517,615     $25,372,264     $25,091,026    $25,936,586     $27,211,378
  Share Owners' Equity                                                                    $1,810,480      $2,026,445     $1,965,756      $2,002,144      $2,196,492      $1,884,869     $2,117,109      $2,166,327
  Share Owners' Equity (excluding accumulated other comprehensive income) **              $1,513,566      $1,564,910     $1,606,569      $1,669,559      $1,710,946      $1,763,863     $1,823,064      $1,870,016



- -------------------------------------------------------------------------------------
Stock Data
- -------------------------------------------------------------------------------------

  Closing Price                                                                               $27.52          $28.55         $26.75          $29.85          $37.45          $38.67         $39.31          $42.69              $29.85         $42.69
  Average Shares Outstanding
     Basic                                                                                69,956,505      70,004,109     70,091,080      70,079,471      70,142,108      70,284,893     70,337,248      70,431,763          70,033,288     70,299,470
     Diluted                                                                              70,483,448      70,561,795     70,722,885      70,806,034      70,887,591      71,030,983     71,115,468      71,221,826          70,644,642     71,064,539

* “Pretax Operating Income” is a non-GAAP financial measure. “Income Before Income Tax” is a GAAP financial measure to which “Pretax Operating Income” may be compared. See Page 5 for a reconciliation of “Pretax Operating Income” to “Income Before Income Tax”.

** “Share-owners’ equity excluding accumulated other comprehensive income” is a non-GAAP financial measure. “Share-owners’ equity” is a GAAP financial measure to which “Share-owners’ equity excluding accumulated other comprehensive income” may be compared. See Page 4 for a reconciliation of “Share-owners’ equity excluding accumulated other comprehensive income” to “Share-owners’ equity”.

PROTECTIVE LIFE CORPORATION
GAAP Consolidated Statements Of Income
(Dollars in thousands)
(Unaudited)

                                                                                     -----------------------------------------------------------------------------------------------------------------------------------    ---------------------------------
                                                                                                 2003            2003            2003             2003            2004            2004             2004            2004               12 MOS          12 MOS
                                                                                              1ST QTR         2ND QTR         3RD QTR          4TH QTR         1ST QTR         2ND QTR          3RD QTR         4TH QTR                 2003            2004
                                                                                     -----------------------------------------------------------------------------------------------------------------------------------    ---------------------------------
REVENUES
  Gross Premiums and Policy Fees                                                            $ 387,094       $ 397,652       $ 424,590        $ 460,976       $ 443,796       $ 456,088        $ 460,784       $ 480,628           $1,670,312      $1,841,296
  Reinsurance Ceded                                                                          (189,417)       (205,268)       (237,996)        (301,754)       (249,339)       (285,369)        (276,736)       (331,200)            (934,435)     (1,142,644)
                                                                                     -----------------------------------------------------------------------------------------------------------------------------------    ---------------------------------
  Net Premiums and Policy Fees                                                                197,677         192,384         186,594          159,222         194,457         170,719          184,048         149,428              735,877         698,652
  Net investment income                                                                       257,701         262,744         248,915          261,392         264,608         265,899          279,271         274,439            1,030,752       1,084,217
  RIGL - Derivatives                                                                           (4,880)          4,334          (9,048)          22,144           5,083           8,740            6,287            (519)              12,550          19,591
  RIGL - All Other Investments                                                                 (1,178)         29,524          27,042            2,676          16,627            (923)           8,181           4,420               58,064          28,305
  Other income                                                                                 25,309          39,981          26,128           28,864          37,419          37,563           40,921          41,907              120,282         157,810
                                                                                     -----------------------------------------------------------------------------------------------------------------------------------    ---------------------------------
    Total Revenues                                                                            474,629         528,967         479,631          474,298         518,194         481,998          518,708         469,675            1,957,525       1,988,575
                                                                                     -----------------------------------------------------------------------------------------------------------------------------------    ---------------------------------

BENEFITS & EXPENSES
  Benefits and settlement expenses                                                            297,273         304,933         281,693          267,675         287,316         282,469          288,455         272,197            1,151,574       1,130,437
  Amortization of deferred policy acquisition costs                                            55,759          64,803          56,241           48,304          59,794          45,053           52,375          42,908              225,107         200,130
  Amortization of goodwill                                                                          0               0               0                0               0               0                0               0                    0               0
  Other operating expenses                                                                     55,297          58,697          51,872           45,946          59,726          46,769           63,177          53,419              211,812         223,091
  Interest on indebtedness                                                                     10,261          11,242          11,033           11,084          11,959          12,337           12,435          12,985               43,620          49,716
                                                                                     -----------------------------------------------------------------------------------------------------------------------------------    ---------------------------------
    Total Benefits and Expenses                                                               418,590         439,675         400,839          373,009         418,795         386,628          416,442         381,509            1,632,113       1,603,374
                                                                                     -----------------------------------------------------------------------------------------------------------------------------------    ---------------------------------

INCOME BEFORE INCOME TAX                                                                       56,039          89,292          78,792          101,289          99,399          95,370          102,266          88,166              325,412         385,201
  Income tax expense                                                                           18,334          29,916          26,383           33,729          34,094          34,075           35,793          30,858              108,362         134,820
  Change in Acct Principle                                                                          0               0               0                0         (15,801)              0                0              (0)                   0         (15,801)
                                                                                     -----------------------------------------------------------------------------------------------------------------------------------    ---------------------------------
NET INCOME                                                                                   $ 37,705        $ 59,376        $ 52,409         $ 67,560        $ 49,504        $ 61,295         $ 66,473        $ 57,308            $ 217,050       $ 234,580
                                                                                     ===================================================================================================================================    =================================

PER SHARE DATA FOR QUARTER
  Operating income-diluted *                                                                   $ 0.65          $ 0.67          $ 0.70           $ 0.77          $ 0.80          $ 0.84           $ 0.88          $ 0.80
  RIGL - Derivatives net of gains related to corp debt and investments                          (0.10)          (0.01)          (0.13)            0.16            0.00            0.03             0.02           (0.05)
  RIGL - All Other Investments                                                                  (0.02)           0.19            0.17             0.02            0.12           (0.01)            0.04            0.05
  Change in Accounting Principle                                                                 0.00            0.00            0.00             0.00           (0.22)           0.00             0.00            0.00
                                                                                     -----------------------------------------------------------------------------------------------------------------------------------
  Net income-diluted                                                                           $ 0.53          $ 0.85          $ 0.74           $ 0.95          $ 0.70          $ 0.86           $ 0.94          $ 0.80
  Average shares outstanding-diluted                                                       70,483,448      70,561,795      70,722,885       70,806,034      70,887,591      71,030,983       71,115,468      71,221,826
  Dividends paid                                                                              $ 0.150         $ 0.160         $ 0.160          $ 0.160         $ 0.160         $ 0.175          $ 0.175         $ 0.175

PER SHARE DATA FOR YTD
  Operating income-diluted *                                                                   $ 0.65          $ 1.32          $ 2.02           $ 2.79          $ 0.80          $ 1.64           $ 2.52          $ 3.32               $ 2.79          $ 3.32
  RIGL - Derivatives net of gains related to corp debt and investments                          (0.10)          (0.11)          (0.24)           (0.08)           0.00            0.03             0.05            0.00                (0.08)              -
  RIGL - All Other Investments                                                                  (0.02)           0.17            0.34             0.36            0.12            0.11             0.15            0.20                 0.36            0.20
  Change in Accounting Principle                                                                 0.00            0.00            0.00             0.00           (0.22)          (0.22)           (0.22)          (0.22)                0.00           (0.22)
                                                                                     -----------------------------------------------------------------------------------------------------------------------------------    ---------------------------------
  Net income-diluted                                                                           $ 0.53          $ 1.38          $ 2.12           $ 3.07          $ 0.70          $ 1.56           $ 2.50          $ 3.30               $ 3.07          $ 3.30
  Average shares outstanding-diluted                                                       70,483,448      70,522,838      70,590,253       70,644,642      70,887,591      70,959,287       71,011,727      71,064,539           70,644,642      71,064,539
  Dividends paid                                                                              $ 0.150         $ 0.310         $ 0.470          $ 0.630         $ 0.160         $ 0.335          $ 0.510         $ 0.685              $ 0.630         $ 0.685

* “Operating Income” is a non-GAAP financial measure. “Net Income” is a GAAP financial measure to which “Operating Income” may be compared.

PROTECTIVE LIFE CORPORATION
GAAP Consolidated Balance Sheets
(Unaudited)

                                                                                     -----------------------------------------------------------------------------------------------------------------------------------
                                                                                                 2003            2003            2003             2003            2004            2004             2004            2004
                                                                                              1ST QTR         2ND QTR         3RD QTR          4TH QTR         1ST QTR         2ND QTR          3RD QTR         4TH QTR
                                                                                     -----------------------------------------------------------------------------------------------------------------------------------
ASSETS
Fixed maturities                                                                          $12,146,120     $12,504,655     $12,452,180      $13,355,911     $13,875,517     $13,295,606      $13,679,358     $14,412,605
Equity securities                                                                              55,416          56,248          52,460           46,731          58,362          57,802           59,635          58,941
Mortgage loans                                                                              2,483,630       2,543,013       2,678,360        2,733,722       2,746,706       2,836,683        2,904,729       3,005,418
Investment real estate                                                                         19,485          16,930          16,781           18,126         108,098         107,163          107,220         107,246
Policy loans                                                                                  536,085         532,981         523,869          502,748         492,782         486,661          485,282         482,780
Other long-term investments                                                                   227,554         258,897         246,177          249,494         231,161         197,246          217,270         259,025
                                                                                     -----------------------------------------------------------------------------------------------------------------------------------
Long-term investments                                                                      15,468,290      15,912,724      15,969,827       16,906,732      17,512,626      16,981,161       17,453,494      18,326,015
Short-term investments                                                                        912,999         804,923         582,830          519,419         516,988         694,002        1,042,278       1,059,557
                                                                                     -----------------------------------------------------------------------------------------------------------------------------------
     Total investments                                                                     16,381,289      16,717,647      16,552,657       17,426,151      18,029,614      17,675,163       18,495,772      19,385,572
Cash                                                                                           55,830          91,093         105,019          136,698         114,972         105,518          117,118         130,596
Accrued investment income                                                                     196,107         185,300         194,115          189,232         198,564         194,403          204,977         196,076
Accounts and premiums receivable                                                               63,186          63,464          55,879           57,944          95,943          53,958           51,504          44,364
Reinsurance receivable                                                                      2,402,371       2,270,817       2,299,140        2,350,606       2,473,372       2,526,722        2,631,037       2,750,260
Deferred policy acquisition costs                                                           1,671,681       1,690,297       1,774,727        1,817,990       1,824,319       1,886,854        1,792,335       1,821,972
Goodwill                                                                                       47,312          47,312          47,312           47,312          46,619          46,619           46,619          46,619
Property and equipment, net                                                                    44,279          46,392          45,663           45,640          45,143          46,821           46,359          45,454
Other assets                                                                                  271,285         266,272         201,738          225,235         243,275         240,139          243,972         264,512
Assets Related to Separate Accounts
  Variable Annuity                                                                          1,452,098       1,718,478       1,813,738        2,045,038       2,113,413       2,121,517        2,110,082       2,308,858
  Variable Universal Life                                                                     115,591         137,027         148,511          171,408         182,665         188,963          192,478         217,095
  Other                                                                                         4,377           4,400           4,380            4,361           4,365           4,349            4,333               0
                                                                                     -----------------------------------------------------------------------------------------------------------------------------------


     TOTAL ASSETS                                                                         $22,705,406     $23,238,499     $23,242,879      $24,517,615     $25,372,264     $25,091,026      $25,936,586     $27,211,378
                                                                                     ===================================================================================================================================

PROTECTIVE LIFE CORPORATION
GAAP Consolidated Balance Sheets
(Dollars in thousands)
(Unaudited)

LIABILITIES AND SHARE-OWNERS' EQUITY
                                                                                     -----------------------------------------------------------------------------------------------------------------------------------
                                                                                                 2003            2003            2003             2003            2004            2004             2004            2004
LIABILITIES                                                                                   1ST QTR         2ND QTR         3RD QTR          4TH QTR         1ST QTR         2ND QTR          3RD QTR         4TH QTR
                                                                                     -----------------------------------------------------------------------------------------------------------------------------------
Policy liabilities and accruals
  Future policy benefits and claims                                                        $8,416,509      $8,626,989      $8,752,643       $8,948,131      $9,279,904      $9,473,878       $9,682,429     $10,014,106
  Unearned premiums                                                                           805,411         733,379         733,291          728,190         643,831         634,779          635,364         666,560
Stable value product deposits                                                               4,106,685       4,214,470       4,135,212        4,676,531       4,923,231       4,921,166        5,143,367       5,562,997
Annuity deposits                                                                            3,714,368       3,636,423       3,538,368        3,480,577       3,412,553       3,419,225        3,429,473       3,463,477
Other policyholders' funds                                                                    172,849         164,840         160,946          158,875         159,458         157,612          155,952         151,660
Securities sold under repurchase agreements                                                         0               0         111,725                0           8,660               0                0               0
Other liabilities                                                                           1,175,568         969,069         901,997          859,034         799,288         884,200          950,556       1,062,706
Accrued income taxes                                                                           24,911         (19,843)        (43,154)         (34,261)         42,262         (12,074)         (30,943)          2,526
Deferred income taxes                                                                         264,342         374,306         362,991          377,990         412,794         210,912          329,272         323,213
Debt                                                                                          426,103         436,394         440,344          461,329         376,457         385,449          401,541         451,433
Liabilities related to variable interest entities                                                   0               0               0          400,000         477,128         476,591          475,953         482,434
Subordinated debt securities                                                                  215,000         215,000         215,000          221,650         324,743         324,743          324,743         324,743

Minority interest - subsidiaries                                                                1,114           1,122           1,131           16,618          15,020          14,847           14,877          13,243
Liabilities related to separate accounts
  Variable annuity                                                                          1,452,098       1,718,478       1,813,738        2,045,038       2,113,413       2,121,517        2,110,082       2,308,858
  Variable universal life                                                                     115,591         137,027         148,511          171,408         182,665         188,963          192,478         217,095
  Other                                                                                         4,377           4,400           4,380            4,361           4,365           4,349            4,333               0
                                                                                     -----------------------------------------------------------------------------------------------------------------------------------
     TOTAL LIABILITIES                                                                    $20,894,926     $21,212,054     $21,277,123      $22,515,471     $23,175,772     $23,206,157      $23,819,477     $25,045,051
                                                                                     -----------------------------------------------------------------------------------------------------------------------------------


- -----------------------------------------------------------------------------------
SHARE-OWNERS' EQUITY
- -----------------------------------------------------------------------------------
Preferred stock                                                                                     0               0               0                0               0               0                0               0
Common stock                                                                                   36,626          36,626          36,626           36,626          36,626          36,626           36,626          36,626
Additional paid-in capital                                                                    409,007         412,282         412,368          418,351         419,147         423,257          425,181         426,927
Treasury stock                                                                                (15,631)        (15,578)        (15,558)         (15,275)        (13,931)        (13,783)         (13,684)        (13,632)
Stock held in trust                                                                            (2,812)         (3,149)         (2,979)          (2,788)         (2,365)         (2,855)               0               0
Unallocated ESOP shares                                                                        (2,367)         (2,367)         (2,367)          (2,367)         (1,989)         (1,989)          (1,989)         (1,989)
Retained earnings                                                                           1,088,743       1,137,096       1,178,479        1,235,012       1,273,458       1,322,607        1,376,930       1,422,084
Accumulated other comprehensive income                                                        296,914         461,535         359,187          332,585         485,546         121,006          294,045         296,311
                                                                                     -----------------------------------------------------------------------------------------------------------------------------------


       Total Share-owners' Equity                                                           1,810,480       2,026,445       1,965,756        2,002,144       2,196,492       1,884,869        2,117,109       2,166,327
                                                                                     -----------------------------------------------------------------------------------------------------------------------------------

       TOTAL LIABILITIES AND EQUITY                                                       $22,705,406     $23,238,499     $23,242,879      $24,517,615     $25,372,264     $25,091,026      $25,936,586     $27,211,378
                                                                                     ===================================================================================================================================

SHARE-OWNERS' EQUITY PER SHARE
Total Share-owners' Equity                                                                    $ 26.28         $ 29.41         $ 28.53          $ 29.02         $ 31.67         $ 27.16          $ 30.49         $ 31.19
Accumulated other comprehensive income                                                           4.31            6.70            5.21             4.82            7.00            1.74             4.23            4.26
                                                                                     -----------------------------------------------------------------------------------------------------------------------------------
Excluding accumulated other comprehensive income *                                            $ 21.97         $ 22.71         $ 23.31          $ 24.20         $ 24.67         $ 25.41          $ 26.26         $ 26.93

Total Share-owners' Equity                                                                 $1,810,480      $2,026,445      $1,965,756       $2,002,144      $2,196,492      $1,884,869       $2,117,109      $2,166,327
Accumulated other comprehensive income                                                        296,914         461,535         359,187          332,585         485,546         121,006          294,045         296,311
                                                                                     -----------------------------------------------------------------------------------------------------------------------------------
Share-owners' Equity (excluding accumulated other comprehensive income) *                  $1,513,566      $1,564,910      $1,606,569       $1,669,559      $1,710,946      $1,763,863       $1,823,064      $1,870,016

Common shares outstanding                                                                  68,891,149      68,907,294      68,912,705       68,991,701      69,366,395      69,407,945       69,435,440      69,449,889
Treasury Stock shares                                                                       4,360,811       4,344,666       4,339,255        4,260,259       3,885,565       3,844,015        3,816,520       3,802,071

* “Share-owners’ equity excluding accumulated other comprehensive income” is a non-GAAP financial measure. “Share-owners’ equity” is a GAAP financial measure to which “Share-owners’ equity excluding accumulated other comprehensive income” may be compared.

PROTECTIVE LIFE CORPORATION
Calculation of Operating Earnings Per Share
(Dollars in thousands)
(Unaudited)

                                                                                     -----------------------------------------------------------------------------------------------------------------------------------    ---------------------------------
                                                                                                 2003            2003            2003             2003            2004            2004             2004            2004               12 MOS          12 MOS
                                                                                              1ST QTR         2ND QTR         3RD QTR          4TH QTR         1ST QTR         2ND QTR          3RD QTR         4TH QTR                 2003            2004
                                                                                     -----------------------------------------------------------------------------------------------------------------------------------    ---------------------------------

CALCULATION OF NET INCOME PER SHARE

Net income                                                                                   $ 37,705        $ 59,376        $ 52,409         $ 67,560        $ 49,504        $ 61,295         $ 66,473        $ 57,308            $ 217,050       $ 234,580

Average shares outstanding-basic                                                           69,956,505      70,004,109      70,091,080       70,079,471      70,142,108      70,284,893       70,337,248      70,431,763           70,033,288      70,299,470
Average shares outstanding-diluted                                                         70,483,448      70,561,795      70,722,885       70,806,034      70,887,591      71,030,983       71,115,468      71,221,826           70,644,642      71,064,539

Net income per share-basic                                                                     $ 0.54          $ 0.85          $ 0.75           $ 0.96          $ 0.71          $ 0.87           $ 0.94          $ 0.82               $ 3.10          $ 3.34
Net income per share-diluted                                                                   $ 0.53          $ 0.85          $ 0.74           $ 0.95          $ 0.70          $ 0.86           $ 0.94          $ 0.80               $ 3.07          $ 3.30

Income from continuing operations                                                            $ 37,705        $ 59,376        $ 52,409         $ 67,560        $ 65,305        $ 61,295         $ 66,473        $ 57,308            $ 217,050       $ 250,381
EPS (basic)                                                                                    $ 0.54          $ 0.85          $ 0.75           $ 0.96          $ 0.93          $ 0.87           $ 0.95          $ 0.81               $ 3.10          $ 3.56
EPS (diluted)                                                                                  $ 0.53          $ 0.85          $ 0.74           $ 0.95          $ 0.92          $ 0.86           $ 0.94          $ 0.80               $ 3.07          $ 3.52

CALCULATION OF REALIZED INVESTMENT GAINS (LOSSES) PER SHARE

RIGL - Derivatives                                                                           $ (4,880)        $ 4,334        $ (9,048)        $ 22,144         $ 5,083         $ 8,740          $ 6,287          $ (519)            $ 12,550        $ 19,591
Derivative Gains related to Corporate Debt and Investments                                     (5,634)         (5,885)         (4,786)          (4,782)         (4,875)         (5,354)          (4,684)         (4,309)             (21,087)        (19,222)
RIGL - All Other Investments                                                                   (1,178)         29,524          27,042            2,676          16,627            (923)           8,181           4,420               58,064          28,305
Related amortization of DAC                                                                      (731)         (9,367)         (8,167)            (682)         (3,660)           (551)          (2,669)            (55)             (18,947)         (6,935)
                                                                                     -----------------------------------------------------------------------------------------------------------------------------------    ---------------------------------
                                                                                              (12,423)         18,606           5,041           19,356          13,175           1,912            7,115            (463)              30,580          21,739
Tax effect                                                                                      4,348          (6,512)         (1,764)          (6,775)         (4,611)           (669)          (2,491)            162              (10,703)         (7,609)
                                                                                     -----------------------------------------------------------------------------------------------------------------------------------    ---------------------------------
                                                                                             $ (8,075)       $ 12,094         $ 3,277         $ 12,581         $ 8,564         $ 1,243          $ 4,624          $ (301)            $ 19,877        $ 14,130
                                                                                     -----------------------------------------------------------------------------------------------------------------------------------    ---------------------------------

RIGL - Derivatives per share-diluted                                                          $ (0.10)        $(0.01)         $ 0.13)           $ 0.16          $    -         $  0.03           $ 0.02         $ (0.05)             $ (0.08)         $    -
RIGL - All Other Investments per share-diluted                                                $ (0.02)        $ 0.19          $ 0.17            $ 0.02          $ 0.12         $ (0.01)          $ 0.04         $  0.05              $  0.36          $ 0.20



OPERATING INCOME PER SHARE*

Net income per share-diluted                                                                   $ 0.53          $ 0.85          $ 0.74           $ 0.95          $ 0.70          $ 0.86           $ 0.94          $ 0.80               $ 3.07          $ 3.30
RIGL - Derivatives per share-diluted                                                            (0.10)          (0.01)          (0.13)            0.16               -            0.03             0.02           (0.05)               (0.08)              -
RIGL - All Other Investments per share-diluted                                                  (0.02)           0.19            0.17             0.02            0.12           (0.01)            0.04            0.05                 0.36            0.20
Change in accounting principle                                                                      -               -               -                -           (0.22)              -                -               -                    -           (0.22)
                                                                                     -----------------------------------------------------------------------------------------------------------------------------------    ---------------------------------
Operating income per share-diluted                                                             $ 0.65          $ 0.67          $ 0.70           $ 0.77          $ 0.80          $ 0.84           $ 0.88          $ 0.80               $ 2.79          $ 3.32
                                                                                     -----------------------------------------------------------------------------------------------------------------------------------    ---------------------------------


NET OPERATING INCOME *

Net income                                                                                   $ 37,705        $ 59,376        $ 52,409         $ 67,560        $ 49,504        $ 61,295         $ 66,473        $ 57,308            $ 217,050       $ 234,580
RIGL - Derivatives net of tax & gains related to corp debt & investments                       (6,834)         (1,008)         (8,992)          11,285             135           2,201            1,042          (3,138)              (5,549)            240
RIGL - All Other Investments net of tax and amortization                                       (1,241)         13,102          12,269            1,296           8,429            (959)           3,583           2,838               25,426          13,891
Change in accounting principle                                                                      -               -               -                -         (15,801)              -                -               -                    -         (15,801)
                                                                                     -----------------------------------------------------------------------------------------------------------------------------------    ---------------------------------
Net operating income                                                                         $ 45,780        $ 47,282        $ 49,132         $ 54,979        $ 56,741        $ 60,053         $ 61,848        $ 57,608            $ 197,173       $ 236,250
                                                                                     -----------------------------------------------------------------------------------------------------------------------------------    ---------------------------------


PRETAX OPERATING INCOME **

Income before income tax                                                                     $ 56,039        $ 89,292        $ 78,792        $ 101,289        $ 99,399        $ 95,370        $ 102,266        $ 88,166            $ 325,412       $ 385,201
RIGL - Derivatives                                                                             (4,880)          4,334          (9,048)          22,144           5,083           8,740            6,287            (519)              12,550          19,591
Derivative Gains related to Corporate Debt and Investments                                     (5,634)         (5,885)         (4,786)          (4,782)         (4,875)         (5,354)          (4,684)         (4,309)             (21,087)        (19,222)
RIGL - All Other Investments                                                                   (1,178)         29,524          27,042            2,676          16,627            (923)           8,181           4,420               58,064          28,305
Related amortization of DAC                                                                      (731)         (9,367)         (8,167)            (682)         (3,660)           (551)          (2,669)            (55)             (18,947)         (6,935)
                                                                                     -----------------------------------------------------------------------------------------------------------------------------------    ---------------------------------
Pretax operating income                                                                      $ 68,462        $ 70,686        $ 73,751         $ 81,933        $ 86,224        $ 93,458         $ 95,151        $ 88,629            $ 294,832       $ 363,462
                                                                                     -----------------------------------------------------------------------------------------------------------------------------------    ---------------------------------

“Net Operating Income” and “Operating Income Per Share” are non-GAAP financial measures. “Net Income” and “Net Income Per Share” are GAAP financial measures to which “Net Operating Income” and “Operating Income Per Share” may be compared.

** “Pretax Operating Income” is a non-GAAP financial measure. “Income Before Income Tax” is a GAAP financial measure to which “Pretax Operating Income” may be compared.

PROTECTIVE LIFE CORPORATION
Invested Asset Summary
(Dollars in millions)
(Unaudited)

                                                             ----------------------------------------------------------------------------------------------------------
                                                                  1ST QTR       2ND QTR      3RD QTR      4TH QTR      1ST QTR       2ND QTR      3RD QTR      4TH QTR
                                                                     2003          2003         2003         2003         2004          2004         2004         2004
                                                             ----------------------------------------------------------------------------------------------------------
- ---------------------------------------------------------
Total Portfolio
- ---------------------------------------------------------

Fixed Income                                                    $12,146.1     $12,504.7    $12,452.2    $13,355.9    $13,875.5     $13,295.6    $13,679.4    $14,412.6
Mortgage Loans                                                    2,483.6       2,543.0      2,678.4      2,733.7      2,746.7       2,836.7      2,904.7      3,005.4
Real Estate                                                          19.5          16.9         16.8         18.1        108.1         107.2        107.2        107.3
Equities                                                             55.4          56.2         52.4         46.7         58.4          57.8         59.6         58.9
Policy Loans                                                        536.1         533.0        523.9        502.8        492.8         486.7        485.3        482.8
Short Term Investments                                              913.0         804.9        582.8        519.4        517.0         694.0      1,042.3      1,059.6
Other Long Term Investments                                         227.6         258.9        246.2        249.5        231.1         197.2        217.3        259.0
                                                             ----------------------------------------------------------------------------------------------------------
  Total Invested Assets                                         $16,381.3     $16,717.6    $16,552.7    $17,426.1    $18,029.6     $17,675.2    $18,495.8    $19,385.6

- ---------------------------------------------------------
Fixed Income
- ---------------------------------------------------------

  Corporate Bonds                                                $6,082.8      $6,620.5     $6,516.6     $6,882.0     $6,951.2      $7,051.5     $7,200.4     $7,466.0
  Mortgage Backed Securities                                      4,546.8       4,248.9      4,307.2      4,782.6      5,130.8       4,451.7      4,598.3      5,070.2
  US Govt Bonds                                                      92.6          95.2         90.8         90.2         87.8          77.4         79.3         86.0
  Public Utilities                                                1,282.3       1,420.3      1,414.2      1,526.9      1,663.8       1,673.8      1,759.2      1,745.5
  States, Municipals and Political Subdivisions                      25.8          23.6         27.3         27.1         27.5          26.9         27.7         30.4
  Preferred Securities                                                1.8           2.1          0.7          3.2          3.3           3.4          3.5          3.6
  Convertibles and Bonds with Warrants                              114.0          94.1         95.4         43.9         11.1          10.9         11.0         10.9
                                                             ----------------------------------------------------------------------------------------------------------
Total Fixed Income Portfolio                                    $12,146.1     $12,504.7    $12,452.2    $13,355.9    $13,875.5     $13,295.6    $13,679.4    $14,412.6

- ---------------------------------------------------------
Fixed Income - Quality
- ---------------------------------------------------------

AAA                                                                 37.7%         34.3%        34.9%        36.9%        37.8%         34.2%        34.6%        35.9%
AA                                                                   4.9%          5.1%         5.7%         5.9%         5.9%          6.4%         6.4%         6.2%
A                                                                   21.8%         22.2%        22.8%        22.9%        21.8%         23.5%        23.5%        22.2%
BBB                                                                 27.5%         28.9%        28.3%        26.8%        27.4%         28.6%        28.6%        28.9%
BB or Less                                                           8.0%          9.5%         8.3%         7.5%         7.1%          7.3%         6.9%         6.8%
Redeemable Preferred Stock                                           0.1%          0.0%         0.0%         0.0%         0.0%          0.0%         0.0%         0.0%
                                                             ----------------------------------------------------------------------------------------------------------
                                                                   100.0%        100.0%       100.0%       100.0%       100.0%        100.0%       100.0%       100.0%

- ---------------------------------------------------------
Mortgage Loans - Type
- ---------------------------------------------------------

Retail                                                              75.7%         76.0%        74.2%        74.7%        73.0%         73.2%        71.2%        70.7%
Apartments                                                           7.2%          7.2%         8.0%         7.9%         9.4%          9.2%        10.1%        10.2%
Office Buildings                                                     7.8%          7.2%         8.4%         8.0%         8.3%          8.7%         8.7%         9.2%
Warehouses                                                           7.5%          7.9%         7.9%         8.0%         7.8%          7.4%         8.5%         8.4%
Miscellaneous                                                        1.8%          1.7%         1.5%         1.4%         1.5%          1.5%         1.5%         1.5%
                                                             ----------------------------------------------------------------------------------------------------------
                                                                   100.0%        100.0%       100.0%       100.0%       100.0%        100.0%       100.0%       100.0%

- ---------------------------------------------------------
Problem Mortgage Loans
- ---------------------------------------------------------

60 Days Past Due                                                     $2.6          $2.6         $0.0         $0.0         $7.5          $0.0         $5.4         $1.9
90 Days Past Due                                                      1.1           5.3          7.3          1.3          1.3           3.2          1.9          1.9
Renegotiated Loans                                                    5.7           5.7          5.7          5.7          6.9           5.7          5.7          5.6
Foreclosed Real Estate                                                0.0           0.0          0.0          4.8          0.0           0.0          1.3          1.4
                                                             ---------------------------------------------------------------------------------------------------------
                                                                     $9.4         $13.6        $13.0        $11.8        $15.7          $8.9        $14.3        $10.8

PROTECTIVE LIFE CORPORATION
Life Marketing and Acquisitions - Quarterly Earnings Trends
(Dollars in thousands)
(Unaudited)

                                                                                 ---------------------------------------------------------------------------------------------------------      --------------------------
                                                                                          2003         2003         2003         2003         2004         2004         2004         2004             12 MOS       12 MOS
                                                                                       1ST QTR      2ND QTR      3RD QTR      4TH QTR      1ST QTR      2ND QTR      3RD QTR      4TH QTR               2003         2004
                                                                                 ---------------------------------------------------------------------------------------------------------      --------------------------
INDIVIDUAL LIFE

REVENUES
  Gross Premiums and Policy Fees                                                      $128,268     $137,150     $147,848     $156,051     $155,620     $165,924     $165,006     $171,228           $569,317     $657,778
  Reinsurance Ceded                                                                    (80,223)     (90,880)    (111,140)    (135,537)    (106,125)    (136,547)    (117,796)    (141,985)          (417,780)    (502,453)
                                                                                 ---------------------------------------------------------------------------------------------------------      --------------------------
  Net Premiums and Policy Fees                                                          48,045       46,270       36,708       20,514       49,495       29,377       47,210       29,243            151,537      155,325
  Net investment income                                                                 22,389       22,674       24,195       23,256       21,903       22,389       22,834       23,048             92,514       90,174
  Realized investment gains (losses)                                                         -            -            -            -            -            -            -            -                  -            -
  Other income                                                                          13,972       16,972       13,613       15,239       21,243       22,348       25,151       26,053             59,796       94,795
                                                                                 ---------------------------------------------------------------------------------------------------------      --------------------------
    Total Revenues                                                                      84,406       85,916       74,516       59,009       92,641       74,114       95,195       78,344            303,847      340,294
                                                                                 ---------------------------------------------------------------------------------------------------------      --------------------------

BENEFITS & EXPENSES
  Benefits and settlement expenses                                                      40,558       30,159       34,982       23,111       38,485       31,494       42,090       32,621            128,810      144,690
  Amortization of deferred policy acquisition costs                                     15,237       11,609        5,643        4,254       12,206        4,588        7,466        3,356             36,743       27,616
  Amortization of goodwill                                                                   -            -            -            -            -            -            -            -                  -            -
  Other operating expenses                                                              11,739       12,218       12,704        8,736       20,442       15,000       27,787       21,719             45,397       84,948
                                                                                 ---------------------------------------------------------------------------------------------------------      --------------------------
    Total Benefits and Expenses                                                         67,534       53,986       53,329       36,101       71,133       51,082       77,343       57,696            210,950      257,254
                                                                                 ---------------------------------------------------------------------------------------------------------      --------------------------

INCOME BEFORE INCOME TAX                                                               $16,872      $31,930      $21,187      $22,908      $21,508      $23,032      $17,852      $20,648            $92,897      $83,040
                                                                                 =========================================================================================================      ==========================

WEST COAST

REVENUES
  Gross Premiums and Policy Fees                                                       $58,279      $64,663      $71,562      $92,610      $80,366      $85,007      $88,946     $114,792           $287,114     $369,111
  Reinsurance Ceded                                                                    (43,815)     (51,021)     (56,566)     (88,596)     (62,661)     (68,525)     (73,432)    (111,136)          (239,998)    (315,754)
                                                                                 ---------------------------------------------------------------------------------------------------------      --------------------------
  Net Premiums and Policy Fees                                                          14,464       13,642       14,996        4,014       17,705       16,482       15,514        3,656             47,116       53,357
  Net investment income                                                                 34,149       34,841       34,504       35,230       36,037       36,540       37,151       38,291            138,724      148,019
  Realized investment gains (losses)                                                         -            -            -            -            -            -            -            -                  -            -
  Other income                                                                               -            9          (43)         199         (100)           -            -            -                165         (100)
                                                                                 ---------------------------------------------------------------------------------------------------------      --------------------------
    Total Revenues                                                                      48,613       48,492       49,457       39,443       53,642       53,022       52,665       41,947            186,005      201,276
                                                                                 ---------------------------------------------------------------------------------------------------------      --------------------------

BENEFITS & EXPENSES
  Benefits and settlement expenses                                                      34,664       31,717       33,559       25,035       33,541       35,198       36,271       24,884            124,975      129,894
  Amortization of deferred policy acquisition costs                                      5,647        7,424        7,145        9,119        8,875        6,338        7,357        8,784             29,335       31,354
  Amortization of goodwill                                                                   -            -            -            -            -            -            -            -                  -            -
  Other operating expenses                                                              (5,461)      (4,835)      (9,561)     (14,708)      (8,867)      (9,079)     (11,929)     (12,954)           (34,565)     (42,829)
                                                                                 ---------------------------------------------------------------------------------------------------------      --------------------------
    Total Benefits and Expenses                                                         34,850       34,306       31,143       19,446       33,549       32,457       31,699       20,714            119,745      118,419
                                                                                 ---------------------------------------------------------------------------------------------------------      --------------------------

INCOME BEFORE INCOME TAX                                                               $13,763      $14,186      $18,314      $19,997      $20,093      $20,565      $20,966      $21,233            $66,260      $82,857
                                                                                 =========================================================================================================      ==========================

ACQUISITIONS

REVENUES
  Gross Premiums and Policy Fees                                                       $73,063      $71,326      $71,903      $73,614      $69,469      $69,659      $66,985      $70,281           $289,906     $276,394
  Reinsurance Ceded                                                                    (18,626)     (18,531)     (17,573)     (21,264)     (17,101)     (17,840)     (16,562)     (20,559)           (75,994)     (72,062)
                                                                                 ---------------------------------------------------------------------------------------------------------      --------------------------
  Net Premiums and Policy Fees                                                          54,437       52,795       54,330       52,350       52,368       51,819       50,423       49,722            213,912      204,332
  Net investment income                                                                 62,296       62,520       61,004       60,323       58,655       58,704       57,682       57,458            246,143      232,499
  Realized investment gains (losses)                                                         -            -            -            -            -            -            -            -                  -            -
  Other income                                                                             905        1,542         (329)         522          717          468          655          432              2,640        2,272
                                                                                 ---------------------------------------------------------------------------------------------------------      --------------------------
    Total Revenues                                                                     117,638      116,857      115,005      113,195      111,740      110,991      108,760      107,612            462,695      439,103
                                                                                 ---------------------------------------------------------------------------------------------------------      --------------------------

BENEFITS & EXPENSES
  Benefits and settlement expenses                                                      72,619       72,951       72,500       73,698       73,020       71,340       71,571       71,425            291,768      287,356
  Amortization of deferred policy acquisition costs                                     10,081        8,474        7,817        6,318        7,849        7,476        7,056        6,271             32,690       28,652
  Amortization of goodwill                                                                   -            -            -            -            -            -            -            -                  -            -
  Other operating expenses                                                              12,166       11,151        9,857        9,913        9,668        8,714        8,871        8,542             43,087       35,795
                                                                                 ---------------------------------------------------------------------------------------------------------      --------------------------
    Total Benefits and Expenses                                                         94,866       92,576       90,174       89,929       90,537       87,530       87,498       86,238            367,545      351,803
                                                                                 ---------------------------------------------------------------------------------------------------------      --------------------------

INCOME BEFORE INCOME TAX                                                               $22,772      $24,281      $24,831      $23,266      $21,203      $23,461      $21,262      $21,374            $95,150      $87,300
                                                                                 =========================================================================================================      ==========================

PROTECTIVE LIFE CORPORATION
Life Marketing and Annuities Data
(Dollars in thousands)
(Unaudited)

                                                                --------------------------------------------------------------------------------------------------------------------------            ------------------------------
                                                                         2003           2003            2003           2003           2004           2004           2004            2004                     12 MOS         12 MOS
                                                                      1ST QTR        2ND QTR         3RD QTR        4TH QTR        1ST QTR        2ND QTR        3RD QTR         4TH QTR                       2003           2004
                                                               --------------------------------------------------------------------------------------------------------------------------            ------------------------------
INDIVIDUAL LIFE


SALES BY PRODUCT
   Term                                                              $ 21,904       $ 32,718        $ 35,168       $ 30,666       $ 24,688       $ 22,413       $ 21,085        $ 17,734                  $ 120,456       $ 85,920
   U/L                                                                  8,609          9,642          10,824         11,619         10,353         10,710         11,272          24,304                     40,694         56,639
   VUL                                                                    876          1,105           1,245          1,332          1,125          1,474          1,492           1,145                      4,558          5,236
                                                               --------------------------------------------------------------------------------------------------------------------------            ------------------------------
         Total                                                       $ 31,389       $ 43,465        $ 47,237       $ 43,617       $ 36,166       $ 34,597       $ 33,849        $ 43,183                  $ 165,708      $ 147,795
                                                               --------------------------------------------------------------------------------------------------------------------------            ------------------------------

SALES BY DISTRIBUTION
   RSM System                                                        $ 10,622       $ 12,382        $ 13,252       $ 13,951       $ 12,741       $ 12,569       $ 12,616        $ 18,000                   $ 50,207       $ 55,926
   Empire General                                                      14,307         22,672          26,081         21,678         16,733         15,027         14,130          13,171                     84,738         59,061
   Stockbrokers                                                         4,500          6,746           6,634          7,053          6,059          6,780          7,018          11,854                     24,933         31,711
   Direct Response                                                      1,950          1,665           1,272            936            633            221             85             158                      5,823          1,097
   All Other                                                               10              0              (2)            (1)             0              0              0               0                          7              0
                                                               --------------------------------------------------------------------------------------------------------------------------            ------------------------------
             Total                                                   $ 31,389       $ 43,465        $ 47,237       $ 43,617       $ 36,166       $ 34,597       $ 33,849        $ 43,183                  $ 165,708      $ 147,795
                                                               --------------------------------------------------------------------------------------------------------------------------            ------------------------------




WEST COAST


SALES BY PRODUCT
   Term                                                              $ 19,306       $ 20,276        $ 21,204       $ 24,093       $ 22,148       $ 19,794       $ 19,961        $ 24,060                   $ 84,879       $ 85,963
   U/L                                                                  7,627         11,004           9,274         11,153          7,344          8,556          5,058           6,972                     39,058         27,930
                                                               --------------------------------------------------------------------------------------------------------------------------            ------------------------------
      Total                                                          $ 26,933       $ 31,280        $ 30,478       $ 35,246       $ 29,492       $ 28,350       $ 25,019        $ 31,032                  $ 123,937      $ 113,893
                                                               --------------------------------------------------------------------------------------------------------------------------            ------------------------------

SALES BY DISTRIBUTION
   BGA                                                               $ 22,420       $ 24,362        $ 26,346       $ 28,845       $ 26,014       $ 24,553       $ 23,678        $ 27,868                  $ 101,973      $ 102,113
   BOLI                                                                 4,513          6,918           4,132          6,401          3,478          3,797          1,341           3,164                     21,964         11,780
                                                               --------------------------------------------------------------------------------------------------------------------------            ------------------------------
      Total                                                          $ 26,933       $ 31,280        $ 30,478       $ 35,246       $ 29,492       $ 28,350       $ 25,019        $ 31,032                  $ 123,937      $ 113,893
                                                               --------------------------------------------------------------------------------------------------------------------------            ------------------------------

ANNUITIES


SALES
    Variable Annuity                                                $ 102,525       $ 94,336        $ 87,459       $ 66,270       $ 61,724       $ 63,317       $ 74,231        $ 83,654                  $ 350,590      $ 282,926
    Immediate Annuity                                                  26,839         26,092          12,709         16,379         10,966         33,576         23,216         150,179                     82,019        217,937
    Market Value Adjusted Annuity                                      49,529         21,326           3,239          7,403          5,128         74,729         83,175          62,201                     81,497        225,233
                                                               --------------------------------------------------------------------------------------------------------------------------            -------------------------------
      Total                                                         $ 178,893      $ 141,754       $ 103,407       $ 90,052       $ 77,818      $ 171,622      $ 180,622       $ 296,034                  $ 514,106      $ 726,096
                                                               --------------------------------------------------------------------------------------------------------------------------            ------------------------------

PRETAX OPERATING INCOME
    Variable Annuity                                                  $  (211)       $  (123)        $   232        $   672        $   625        $ 3,492        $ 2,901         $ 3,417                   $    570       $ 10,435
    Fixed Annuity                                                       3,926          3,114           2,401          3,362          2,188          1,483          1,107           1,254                     12,803          6,032
                                                               --------------------------------------------------------------------------------------------------------------------------            ------------------------------
      Total                                                           $ 3,715        $ 2,991         $ 2,633        $ 4,034        $ 2,813        $ 4,975        $ 4,008         $ 4,671                   $ 13,373       $ 16,467
                                                               --------------------------------------------------------------------------------------------------------------------------            ------------------------------

DEPOSIT BALANCE
    VA Fixed Annuity                                                $ 363,741      $ 357,937       $ 334,644      $ 305,203      $ 275,462      $ 269,353      $ 269,363       $ 262,295
    VA Separate Account Annuity                                     1,366,633      1,611,964       1,714,999      1,940,877      2,012,396      2,026,781      2,023,325       2,222,102
                                                               --------------------------------------------------------------------------------------------------------------------------
           Sub-total                                                1,730,374      1,969,901       2,049,643      2,246,080      2,287,858      2,296,134      2,292,688       2,484,397
    Fixed Annuity                                                   3,005,278      2,989,964       2,904,016      2,900,002      2,877,159      2,930,544      2,986,179       3,173,862
                                                               --------------------------------------------------------------------------------------------------------------------------
      Total                                                        $4,735,652     $4,959,865      $4,953,659     $5,146,082     $5,165,017     $5,226,678     $5,278,867      $5,658,259
                                                               --------------------------------------------------------------------------------------------------------------------------

PROTECTIVE LIFE CORPORATION
Annuities, Stable Value Contracts, and Asset Protection
Quarterly Earnings Trends (Dollars in thousands)
(Unaudited)

                                                                                ---------------------------------------------------------------------------------------------------------      --------------------------
                                                                                          2003         2003         2003         2003         2004         2004         2004         2004             12 MOS       12 MOS
                                                                                       1ST QTR      2ND QTR      3RD QTR      4TH QTR      1ST QTR      2ND QTR      3RD QTR      4TH QTR               2003         2004
                                                                                 ---------------------------------------------------------------------------------------------------------      --------------------------
ANNUITIES

REVENUES
  Gross Premiums and Policy Fees                                                       $ 5,883      $ 6,387      $ 6,864      $ 7,131      $ 7,628      $ 7,594      $ 7,370      $ 7,749            $26,265      $30,341
  Reinsurance Ceded                                                                          -            -            -            -            -            -            -            -                  -            -
                                                                                 ---------------------------------------------------------------------------------------------------------      --------------------------
  Net Premiums and Policy Fees                                                           5,883        6,387        6,864        7,131        7,628        7,594        7,370        7,749             26,265       30,341
  Net investment income                                                                 58,442       57,780       54,660       53,450       51,588       51,523       52,854       54,923            224,332      210,888
  RIGL - All Other Investments                                                              27       11,206        8,582        2,918        6,004          290        3,524           55             22,733        9,873
  Other income                                                                           1,941        2,075        2,368        2,361        1,785        1,555        1,556        2,108              8,745        7,004
                                                                                 ---------------------------------------------------------------------------------------------------------      --------------------------
    Total Revenues                                                                      66,293       77,448       72,474       65,860       67,005       60,962       65,304       64,835            282,075      258,106
                                                                                 ---------------------------------------------------------------------------------------------------------      --------------------------

BENEFITS & EXPENSES
  Benefits and settlement expenses                                                      52,986       51,339       48,385       45,245       46,046       44,456       46,526       46,243            197,955      183,271
  Amortization of deferred policy acquisition costs                                      4,386       13,967       13,508        6,335        9,057        7,119        8,459        7,636             38,196       32,271
  Amortization of goodwill                                                                   -            -            -            -            -            -            -            -                  -            -
  Other operating expenses                                                               5,910        7,312        7,533        8,010        6,745        4,673        5,456        6,285             28,765       23,159
                                                                                 ---------------------------------------------------------------------------------------------------------      --------------------------
    Total Benefits and Expenses                                                         63,282       72,618       69,426       59,590       61,848       56,248       60,441       60,164            264,916      238,701

                                                                                 ---------------------------------------------------------------------------------------------------------      --------------------------
INCOME BEFORE INCOME TAX                                                                 3,011        4,830        3,048        6,270        5,157        4,714        4,863        4,671             17,159       19,405

Adjustments to Reconcile to Operating Income:
  Less:  RIGL - All Other Investments                                                       27       11,206        8,582        2,918        6,004          290        3,524           55             22,733        9,873
  Add back:  Related amortization of deferred policy acquisition costs                     731        9,367        8,167          682        3,660          551        2,669           55             18,947        6,935

                                                                                 ---------------------------------------------------------------------------------------------------------      --------------------------
PRETAX OPERATING INCOME                                                                $ 3,715      $ 2,991      $ 2,633      $ 4,034      $ 2,813      $ 4,975      $ 4,008      $ 4,671            $13,373      $16,467
                                                                                 =========================================================================================================      ==========================


STABLE VALUE CONTRACTS

REVENUES
  Gross Premiums and Policy Fees                                                           $ -          $ -          $ -          $ -          $ -          $ -          $ -          $ -                $ -          $ -
  Reinsurance Ceded                                                                          -            -            -            -            -            -            -            -                  -            -
                                                                                 ---------------------------------------------------------------------------------------------------------      --------------------------
  Net Premiums and Policy Fees                                                               -            -            -            -            -            -            -            -                  -            -
  Net investment income                                                                 58,532       59,090       56,441       59,041       64,033       66,666       66,472       71,013            233,104      268,184
  RIGL - Derivatives                                                                      (661)         940          523          173          271          135          700           53                975        1,159
  RIGL - All Other Investments                                                          (6,041)       3,320        9,222        2,280        3,608        1,887        6,292          279              8,781       12,066
  Other income                                                                               -            -            -            -            -            -            -            -                  -            -
                                                                                 ---------------------------------------------------------------------------------------------------------      --------------------------
    Total Revenues                                                                      51,830       63,350       66,186       61,494       67,912       68,688       73,464       71,345            242,860      281,409
                                                                                 ---------------------------------------------------------------------------------------------------------      --------------------------

BENEFITS & EXPENSES
  Benefits and settlement expenses                                                      47,765       46,957       45,374       46,469       49,769       50,720       50,301       54,378            186,565      205,168
  Amortization of deferred policy acquisition costs                                        599          519          542          619          761          803          894        1,022              2,279        3,480
  Amortization of goodwill                                                                   -            -            -            -            -            -            -            -                  -            -
  Other operating expenses                                                               1,030        1,516        1,002        1,801        1,804        1,217        1,964        1,392              5,349        6,377
                                                                                 ---------------------------------------------------------------------------------------------------------      --------------------------
    Total Benefits and Expenses                                                         49,394       48,992       46,918       48,889       52,334       52,740       53,159       56,792            194,193      215,025

                                                                                 ---------------------------------------------------------------------------------------------------------      --------------------------
INCOME BEFORE INCOME TAX                                                                 2,436       14,358       19,268       12,605       15,578       15,948       20,305       14,553             48,667       66,384

Adjustments to Reconcile to Operating Income:
  Less:  RIGL-Derivatives                                                                 (661)         940          523          173          271          135          700           53                975        1,159
  Less:  RIGL-All Other Investments                                                     (6,041)       3,320        9,222        2,280        3,608        1,887        6,292          279              8,781       12,066

                                                                                 ---------------------------------------------------------------------------------------------------------      --------------------------
PRETAX OPERATING INCOME                                                                $ 9,138      $10,098      $ 9,523      $10,152      $11,699      $13,926      $13,313      $14,221            $38,911      $53,159
                                                                                 =========================================================================================================      ==========================


ASSET PROTECTION

REVENUES
  Gross Premiums and Policy Fees                                                      $105,924     $104,153     $112,850     $118,276     $118,179     $115,354     $120,558     $105,190           $441,203     $459,281
  Reinsurance Ceded                                                                    (44,152)     (44,026)     (52,128)     (56,128)     (63,106)     (62,120)     (68,755)     (57,362)          (196,434)    (251,343)
                                                                                 ---------------------------------------------------------------------------------------------------------      --------------------------
  Net Premiums and Policy Fees                                                          61,772       60,127       60,722       62,148       55,073       53,234       51,803       47,828            244,769      207,938
  Net investment income                                                                  9,246        9,132        9,484        8,790        7,541        7,500        7,922        7,976             36,652       30,939
  Realized investment gains (losses)                                                         -            -            -            -            -            -            -            -                  -            -
  Other income                                                                           6,971       18,167        8,833        8,267        9,062        9,117        9,565        8,732             42,238       36,476
                                                                                 ---------------------------------------------------------------------------------------------------------      --------------------------
    Total Revenues                                                                      77,989       87,426       79,039       79,205       71,676       69,851       69,290       64,536            323,659      275,353
                                                                                 ---------------------------------------------------------------------------------------------------------      --------------------------

BENEFITS & EXPENSES
  Benefits and settlement expenses                                                      36,458       33,868       34,676       37,164       32,199       33,363       29,226       26,219            142,166      121,007
  Amortization of deferred policy acquisition costs                                     18,483       21,425       19,838       20,574       19,956       17,522       20,042       14,753             80,320       72,273
  Amortization of goodwill                                                                   -            -            -            -            -            -            -            -                  -            -
  Other operating expenses                                                              21,806       22,372       19,413       17,389       14,918       14,595       14,597       18,884             80,980       62,994
                                                                                 ---------------------------------------------------------------------------------------------------------      --------------------------
    Total Benefits and Expenses                                                         76,747       77,665       73,927       75,127       67,073       65,480       63,865       59,856            303,466      256,274
                                                                                 ---------------------------------------------------------------------------------------------------------      --------------------------

                                                                                 ---------------------------------------------------------------------------------------------------------
INCOME BEFORE INCOME TAX                                                               $ 1,242      $ 9,761      $ 5,112      $ 4,078      $ 4,603      $ 4,371      $ 5,425      $ 4,680            $20,193      $19,079
                                                                                 =========================================================================================================      ==========================

PROTECTIVE LIFE CORPORATION
Stable Value Contracts and Asset Protection Data
(Dollars in thousands)
(Unaudited)

                                                               --------------------------------------------------------------------------------------------------------------------------            ------------------------------
                                                                         2003           2003            2003           2003           2004           2004           2004            2004                     12 MOS         12 MOS
                                                                      1ST QTR        2ND QTR         3RD QTR        4TH QTR        1ST QTR        2ND QTR        3RD QTR         4TH QTR                       2003           2004
                                                               --------------------------------------------------------------------------------------------------------------------------            ------------------------------
STABLE VALUE CONTRACTS

SALES
    GIC                                                             $ 219,000       $ 30,000        $ 24,500        $ 1,500       $      -       $ 39,000       $ 15,000         $ 5,000                  $ 275,000       $ 59,000
    GFA - Direct Institutional                                         25,000              -               -        352,900              -            960              -          66,060                    377,900         67,020
    GFA - Non-Registered                                              200,000        100,000         100,000        105,000              -              -              -               -                    505,000              -
    GFA - Registered - Institutional                                        -              -               -        450,000        300,000              -        625,000               -                    450,000        925,000
    GFA - Registered - Retail                                               -              -               -              -        221,500         68,250        135,520         106,290                          -        531,560
                                                               --------------------------------------------------------------------------------------------------------------------------            ------------------------------
       Total                                                        $ 444,000      $ 130,000       $ 124,500      $ 909,400      $ 521,500      $ 108,210      $ 775,520       $ 177,350                 $1,607,900     $1,582,580
                                                               --------------------------------------------------------------------------------------------------------------------------            ------------------------------


DEPOSIT BALANCE
        Quarter End Balance                                        $4,106,685     $4,214,470      $4,135,212     $4,676,531     $4,923,231     $4,921,166     $5,143,367      $5,562,997
        Average Daily Balance                                      $4,035,367     $4,153,071      $4,147,034     $4,424,234     $4,851,592     $5,062,014     $5,112,019      $5,455,427                 $4,191,182     $5,122,170

OPERATING SPREAD                                                        0.93%          1.01%           0.95%          0.95%          1.00%          1.13%          1.07%           1.07%                      0.96%          1.07%


                                                               --------------------------------------------------------------------------------------------------------------------------            ------------------------------
                                                                         2003           2003            2003           2003           2004           2004           2004            2004                     12 MOS         12 MOS
                                                                      1ST QTR        2ND QTR         3RD QTR        4TH QTR        1ST QTR        2ND QTR        3RD QTR         4TH QTR                       2003           2004
                                                               --------------------------------------------------------------------------------------------------------------------------            ------------------------------


ASSET PROTECTION

SALES
    Credit                                                           $ 45,642       $ 51,168        $ 53,418       $ 48,024       $ 51,246       $ 59,035       $ 59,543        $ 47,761                  $ 198,252      $ 217,585
    Service Contracts                                                  38,709         53,869          59,421         52,811         44,275         54,861         56,627          47,220                    204,810        202,983
    Other                                                              17,386         23,650          18,410          9,905          8,151          8,941          8,883          13,780                     69,351         39,755
                                                               --------------------------------------------------------------------------------------------------------------------------            ------------------------------
      Total                                                         $ 101,737      $ 128,687       $ 131,249      $ 110,740      $ 103,672      $ 122,837      $ 125,053       $ 108,761                  $ 472,413      $ 460,323
                                                               --------------------------------------------------------------------------------------------------------------------------            ------------------------------

PROTECTIVE LIFE CORPORATION
Corporate & Other Segment - Quarterly Earnings Trends
(Dollars in thousands)
(Unaudited)

                                                                                 ---------------------------------------------------------------------------------------------------------      --------------------------
                                                                                          2003         2003         2003         2003         2004         2004         2004         2004             12 MOS       12 MOS
                                                                                       1ST QTR      2ND QTR      3RD QTR      4TH QTR      1ST QTR      2ND QTR      3RD QTR      4TH QTR               2003         2004
                                                                                 ---------------------------------------------------------------------------------------------------------      --------------------------


REVENUES
  Gross Premiums and Policy Fees                                                       $15,677      $13,973      $13,563      $13,294      $12,534      $12,550      $11,919      $11,373            $56,507      $48,376
  Reinsurance Ceded                                                                     (2,601)        (810)        (589)        (229)        (346)        (337)        (191)        (143)            (4,229)      (1,017)
                                                                                 ---------------------------------------------------------------------------------------------------------      --------------------------
  Net Premiums and Policy Fees                                                          13,076       13,163       12,974       13,065       12,188       12,213       11,728       11,230             52,278       47,359
  Net investment income                                                                 12,647       16,707        8,627       21,302       24,851       22,577       34,356       21,730             59,283      103,514
  RIGL - Derivatives                                                                    (4,219)       3,394       (9,571)      21,971        4,812        8,605        5,587         (572)            11,575       18,432
  RIGL - All Other Investments                                                           4,836       14,998        9,238       (2,522)       7,015       (3,100)      (1,635)       4,086             26,550        6,366
  Other income                                                                           1,520        1,216        1,686        2,276        4,712        4,075        3,994        4,582              6,698       17,363
                                                                                 ---------------------------------------------------------------------------------------------------------      --------------------------
    Total Revenues                                                                      27,860       49,478       22,954       56,092       53,578       44,370       54,030       41,056            156,384      193,034
                                                                                 ---------------------------------------------------------------------------------------------------------      --------------------------

BENEFITS & EXPENSES
  Benefits and settlement expenses                                                      12,223       37,942       12,217       16,953       14,256       15,898       12,470       16,427             79,335       59,051
  Amortization of deferred policy acquisition costs                                      1,326        1,385        1,748        1,085        1,090        1,207        1,101        1,086              5,544        4,484
  Amortization of goodwill                                                                   -            -            -            -            -            -            -            -                  -            -
  Other operating expenses                                                              18,368       20,205       21,957       25,889       26,975       23,986       28,866       22,536             86,419      102,363
                                                                                 ---------------------------------------------------------------------------------------------------------      --------------------------
    Total Benefits and Expenses                                                         31,917       59,532       35,922       43,927       42,321       41,091       42,437       40,049            171,298      165,898

                                                                                 ---------------------------------------------------------------------------------------------------------      --------------------------
INCOME BEFORE INCOME TAX                                                                (4,057)     (10,054)     (12,968)      12,165       11,257        3,279       11,593        1,007            (14,914)      27,136

Adjustments to Reconcile to Operating Income:
  Less:  RIGL-Derivatives                                                               (4,219)       3,394       (9,571)      21,971        4,812        8,605        5,587         (572)            11,575       18,432
  Less:  RIGL-All Other Investments                                                      4,836       14,998        9,238       (2,522)       7,015       (3,100)      (1,635)       4,086             26,550        6,366
  Add back:  Derivative gains related to corporate debt and investments                  5,634        5,885        4,786        4,782        4,875        5,354        4,684        4,309             21,087       19,222

                                                                                 ---------------------------------------------------------------------------------------------------------      --------------------------
PRETAX OPERATING INCOME                                                                  $ 960    $ (22,561)    $ (7,849)    $ (2,502)     $ 4,305      $ 3,128      $12,325      $ 1,802          $ (31,952)     $21,560
                                                                                 =========================================================================================================      ==========================