Prudential Updates ‘Highest Daily’ Annuity Optional Benefits

Prudential Annuities, the domestic annuity business of Prudential Financial, Inc. (NYSE:PRU), today adjusted its popular annuity optional benefits, which allow investors to ‘lock in’ the highest daily value of their annuity contract, for income purposes, each day the market is open.

Highest Daily Lifetimesm 6 Plus and Spousal Highest Daily Lifetimesm 6 Plus can be purchased for an additional fee with a variable annuity from Prudential issuing companies. They offer a Protected Withdrawal Value based on 6% annual compounded growth on the highest daily account value and daily opportunities to capture greater lifetime income with a 4-6% income stream, depending on age at first Lifetime Withdrawal, guaranteed for life.

The Highest Daily Lifetime 6 Plus optional benefits replace the Highest Daily Lifetime 7 Plus benefits in all states where Highest Daily Lifetime 6 Plus has been approved.

“The peace of mind that guaranteed retirement income can provide in today’s uncertain economic climate is immeasurable,” said Stephen Pelletier, president of Prudential Annuities. “Today’s announcement reflects our commitment to offering these valuable guarantees, while ensuring that in the event of significant market declines, the protection we provide responsibly manages risk for our clients as well as for our company.

“Highest Daily Lifetime 6 Plus offers one of the strongest lifetime income guarantees in the industry,” Pelletier said.

Demonstrating the value investors are placing on retirement income guarantees in light of the turbulent economy, overall election rates for Prudential Annuities’ award winning optional living benefits on variable annuities grew to 90% during the second quarter of 2009. Total account values with guaranteed withdrawal benefits for life at the end of that same period were $23.2 billion.

Educational Video Developed

To help investor’s learn more about guaranteeing their retirement income, Prudential Annuities also announced today the launch of a new website, www.retirementredzone.com/protect , which features a seven-minute educational video, simple navigation, and consumer-friendly language about HD Lifetime 6 Plus.

Key Features HD Lifetime 6 Plus and Spousal HD Lifetime 6 Plus include:

• Daily Step Ups Before Withdrawals Begin: HD Lifetime 6 Plus and Spousal HD Lifetime 6 Plus give investors the opportunity to increase their Protected Withdrawal Value (the basis for guaranteed lifetime income) every day the market is open for trading. The Protected Withdrawal Value is determined by comparing every daily account value growing at an annual 6% compounded rate of return until an investor’s first Lifetime Withdrawal. The Protected Withdrawal Value is only available through withdrawals. It is not available as cash or a lump sum.
• Guaranteed Lifetime Income: HD Lifetime 6 Plus and Spousal HD Lifetime 6 Plus offer a lifetime annual income stream ranging from 4-6% of the Protected Withdrawal Value, with the potential for future increases and no annuitization required. (Annuitization at a particular age may be required by the terms of the base annuity.)
• Proprietary Risk Management Model: HD Lifetime 6 Plus and Spousal HD Lifetime 6 Plus incorporate the fundamentals of a proven proprietary risk management model that monitors an investor’s account daily, and, only if specified by the model, systematically transfers amounts between the variable investment portfolios and the AST Investment Grade Bond Portfolio.
• Post-Withdrawal Step-Up Opportunities: After Lifetime Withdrawals begin, HD Lifetime 6 Plus and Spousal HD Lifetime 6 Plus provide annual opportunities for increased income based on the account’s highest daily value.

Prudential Financial, Inc. (NYSE: PRU), a financial services leader with approximately $580 billion of assets under management as of June 30, 2009, has operations in the United States, Asia, Europe, and Latin America. Leveraging its heritage of life insurance and asset management expertise, Prudential is focused on helping approximately 50 million individual and institutional customers grow and protect their wealth. The company’s well-known Rock symbol is an icon of strength, stability, expertise and innovation that has stood the test of time. Prudential's businesses offer a variety of products and services, including life insurance, annuities, retirement-related services, mutual funds, investment management, and real estate services. For more information, please visit http://www.news.prudential.com/.

Investors should consider the contract and the underlying portfolios’ investment objectives, risks, charges and expenses carefully before investing. This and other important information is contained in the prospectus, which can be obtained from your financial professional. Please read the prospectus carefully before investing.

This material was prepared to support the promotion and marketing of variable annuities available through Prudential. Prudential, its affiliates, its distributors and their respective representatives do not provide tax, accounting or legal advice. Any tax statements contained herein were not intended or written to be used, and cannot be used for the purpose of avoiding U.S. federal, state or local tax penalties. Please consult your own independent advisor as to any tax, accounting or legal statements made herein.

Your needs and the suitability of an annuity product should be carefully considered before investing. When evaluating your needs, please consider other variable annuities available from Prudential Financial companies.

Highest Daily Lifetime 6 Plus and Spousal Highest Daily Lifetime 6 Plus use a predetermined mathematical formula to help manage your guarantee through all market cycles. Each business day, the formula determines if any portion of the account value needs to be transferred into or out of the AST Investment Grade Bond Portfolio (the "Bond Portfolio"). Amounts transferred by the formula depend on a number of factors unique to your individual annuity and include:

Therefore, at any given time, some, most, or none of the account value may be allocated to the Bond Portfolio. Transfers to and from the Bond Portfolio do not impact any income guarantees that have already been locked in. The Protected Withdrawal Value (the basis for guaranteed lifetime income) is separate from the account value, and only available through withdrawals, not as a lump sum.

Any amounts invested in the Bond Portfolio will affect your ability to participate in a subsequent recovery within the permitted subaccounts. Conversely, the account value may be higher at the beginning of the recovery; e.g., more of the account value may have been protected from decline and volatility than it otherwise would have been had the benefit not been elected. Please note: You may not allocate purchase payments or transfer account value into or out of the Bond Portfolio. See the prospectus for complete details.

Highest Daily Lifetime 6 Plus and Spousal Highest Daily Lifetime 6 Plus may not be available in every state and may not be elected in conjunction with certain optional benefits. Optional benefits have certain investment, holding period, liquidity, and withdrawal limitations and restrictions. The fees are in addition to fees and charges associated with the basic annuity. Please see the prospectus for more information.

All guarantees, including optional benefits, are backed by the claims-paying ability of the issuing company and do not apply to the underlying investment options.

Fixed income investing is subject to risk, including credit and interest rate risk. Because of these risks, a subaccount’s share value may fluctuate. If interest rates rise, bond prices usually decline. If interest rates decline, bond prices usually increase.

Variable annuities offered by Prudential Financial companies are available at an annual cost of 0.65% to 1.65% for mortality, expense and administration fees, with an additional fee related to the professional investment options. HD Lifetime 6 Plus is available for an additional annual fee of 0.85% based on the greater of the account value and the Protected Withdrawal Value. Spousal HD Lifetime 6 Plus is available for an additional annual fee of 0.95% based on the greater of the account value and the Protected Withdrawal Value.

Variable annuities are issued by Pruco Life Insurance Company (in New York, by Pruco Life Insurance Company of New Jersey), Newark, NJ, or by Prudential Annuities Life Assurance Corporation, Shelton, CT. All are distributed by Prudential Annuities Distributors, Inc., Shelton, CT. All are Prudential Financial companies and each is solely responsible for its own financial condition and contractual obligations. Prudential Annuities is a business unit of Prudential Financial.

Prudential, Prudential Financial, Prudential Annuities, the Rock logo and the Rock Prudential logo and The Retirement Red Zone or are registered service marks of The Prudential Insurance Company of America and its affiliates.

Issued on riders: RID-HD6(8/09), P-RID-HD6(8/09), RID-HD7(2/09), P-RID-HD7(2/09) et al or state variation thereof.

WO# 87523 IFS-A 165239 Ed. 08/2009