XTra Credit FOUR - Prudential Annuities

The amount determined by this calculation is increased by any Purchase Payments received after the Owner’s date of deathand decreased by any proportional withdrawals since such date. The amount calculated in Items 1 & 2 above (both before,and on or after the Death Benefit Target Date) may be reduced by any Credits under certain circumstances.The Highest Anniversary Value Death Benefit described above is currently being offered in those jurisdictions where we havereceived regulatory approval. Certain terms and conditions may differ between jurisdictions once approved. Please seeAppendix F for a description of the Guaranteed Minimum Death Benefit offered before November 18, 2002 in thosejurisdictions where we received regulatory approval.See Appendix C for examples of how the Highest Anniversary Value Death Benefit is calculated.Annuities with joint OwnersFor Annuities with Joint Owners, the Death Benefit is calculated as shown above except that the age of the oldest of the Joint Ownersis used to determine the Death Benefit Target Date. NOTE: If you and your spouse own the Annuity jointly, we will pay the DeathBenefit to the Beneficiary. If the sole primary Beneficiary is the surviving spouse, then the surviving spouse can elect to assumeownership of the Annuity and continue the contract instead of receiving the Death Benefit.Annuities owned by entitiesFor Annuities owned by an entity, the Death Benefit is calculated as shown above except that the age of the Annuitant is used todetermine the Death Benefit Target Date. Payment of the Death Benefit is based on the death of the Annuitant (or ContingentAnnuitant, if applicable).Can I terminate the optional Death Benefits? Do the optional Death Benefits terminate under other circumstances?You can terminate the Enhanced Beneficiary Protection Optional Death Benefit and Highest Anniversary Value Optional DeathBenefit at any time. Both optional Death Benefits will terminate automatically on the Annuity Date. We may also terminate anyoptional Death Benefit if necessary to comply with our interpretation of the Code and applicable regulations.What are the charges for the optional Death Benefits?We deduct a charge equal to 0.25% per year, respectively, if you elect the Highest Anniversary Value Optional Death Benefit or theEnhanced Beneficiary Protection Optional Death Benefit. If you elect both optional Death Benefits, the total charge is equal to 0.50%per year. We deduct the charge to compensate American Skandia for providing increased insurance protection under the optionalDeath Benefit. The additional annual charge is deducted daily against your Account Value allocated to the Sub-accounts.Please refer to the section entitled "Tax Considerations" for additional considerations in relation to the optional Death Benefit.AMERICAN SKANDIA’S ANNUITY REWARDSWhat is the Annuity Rewards benefit?The Annuity Rewards benefit offers Owners the ability to capture any market gains since the Issue Date of their Annuity as anenhancement to their current Death Benefit so their Beneficiaries will not receive less than the Annuity’s value as of the date theOwner elects the benefit. Under the Annuity Rewards benefit, American Skandia guarantees that the Death Benefit will not be lessthan:♦♦your Account Value in the variable investment options plus the Interim Value in any Fixed Allocations as of theeffective date of the Owner’s electionMINUS any proportional withdrawals* following the date of electionContract described herein is no longer available for sale.♦PLUS any additional Purchase Payments applied to the Annuity following the date of election.* "Proportional withdrawals" are determined by calculating the percentage of the Account Value that each withdrawal representedwhen withdrawn. For example, a withdrawal of 50% of your Account Value would be treated as a 50% reduction in the amountpayable under the Death Benefit.The Annuity Rewards Death Benefit enhancement does not affect the basic Death Benefit calculation or any Optional Death Benefitsavailable under the Annuity. If the Death Benefit amount payable under your Annuity’s basic Death Benefit or any Optional DeathBenefits you purchase is greater than the enhanced Death Benefit under the Annuity Rewards benefit on the date the Death Benefit iscalculated, your Beneficiary will receive the higher amount.48