Trust - TMLT

1. Comprehensive IncomeIn accordance with SFAS 130, Reporting Comprehensive Income, the Trust presentscomprehensive income within the consolidated statements of changes inpolicyholders’ surplus.Notes to ConsolidatedFinancial StatementsComponents of other comprehensive income consist of the following:Years ended December 31, 2005 2004(in thousands)Changes in unrealized (losses) gains onavailable-for-sale securities $ (6,653) $ 1,238Deferred income tax benefit (expense) 2,262 (420)Other comprehensive (loss) income $ (4,391) $ 818Accumulated other comprehensive income shown on the consolidated statements ofchanges in policyholders’ surplus is solely comprised of unrealized gains (losses)from available-for-sale securities, net of tax of $(2,262) and $420 for the yearsended December 31, 2005 and 2004, respectively.2. SecuritiesThe amortized cost and the fair value of the Trust’s investments in fixed maturitysecurities and annuities for both available for sale and held to maturity aresummarized as follows:December 31, 2005: Gross Gross EstimatedAmortized Unrealized Unrealized FairCost Gains Losses Value(in thousands)U.S. Government andits agencies $ 116,680 $ 83 $ 1,347 $115,416Annuities 24,500 3,101 - 27,601Corporations 62,594 186 1,444 61,336Loan-backed securities 143,352 666 4,006 140,012and collateralizedmortgage obligationsand other$ 347,126 $ 4,036 $6,797 $ 344,365TRUST - The Annual Report Magazine33