American Skandia Offers New Yorkers Variable Annuity Enhancements; Flexible Products Growing...

Business Editors

SHELTON, Conn.--(BUSINESS WIRE)--June 17, 2002

American Skandia Life Assurance Corporation ("ASLAC") is launching APEX II(SM) NY, a new deferred variable annuity available in the state of New York, designed for investors who may need complete liquidity

APEX II NY features a one-time death benefit step-up opportunity for the investor any time after the fourth contract anniversary, along with all the core benefits of a variable annuity, plus a short-term (four-year) Contingent Deferred Sales Charge.

ASLAC is also launching XTra Credit FOUR(SM) NY, a deferred variable annuity that can help investors get a jumpstart on their retirement savings. XTra Credit FOUR replaces the existing XTra Credit NY product, and offers a 4% up-front Purchase Credit on most payments.

"These products prove American Skandia's continuing commitment to deliver highly competitive alternatives for investors," said Jac Herschler, Vice President of Variable Annuity Marketing for American Skandia. "Variable annuity products that offer investors complete liquidity after just four years have been gaining increasing popularity over the last two years. APEX II NY brings this product design, along with American Skandia's wide choice of investment options, to New York annuity investors."

Patricia J. Abram, Chief Marketing Officer for American Skandia, said: "Investment Professionals are always looking for more flexible products that offer alternatives for investors saving for retirement. Both these products are unique to a particular set of needs and provide tremendous investor value. We've strengthened our sales force in recent months and are very pleased to bring these new variable annuity offerings to New York State, where our seasoned wholesalers will now be able to bring additional value."

The two New York products complement other variable annuity products offered in New York State by American Skandia Life Assurance Corporation.

Variable annuities and variable life insurance are issued by American Skandia Life Assurance Corporation and distributed by American Skandia Marketing, Inc. Both companies are located at One Corporate Drive, Shelton, Connecticut 06484.

Call 1-800-SKANDIA for a prospectus containing more complete information on charges, expenses and tax consequences, and details concerning the XTra Credit and its possible recovery. It should be read carefully before you invest or send money. Information about the company and its products can also be found on the company Web site at www.americanskandia.com.