S&P Affirms Great-West Life Assurance Co.Rtgs.

Business Editors

NEW YORK--(BUSINESS WIRE)--Standard & Poor's

Dec. 12, 2000-- Standard & Poor's today affirmed all of its outstanding ratings on Great-West Life Assurance Co. (Great-West) and its subsidiaries in Canada and the U.S. (see list). The outlook is stable.

The rating affirmations follow Great-West's announcement of a corporate reorganization, in which ownership of its U.S. subsidiary, Great-West Life & Annuity Insurance Co. (GWL&A) will be transferred to a new U.S. subsidiary of the overall holding company, Great-West Lifeco. The change in ownership, which is subject to regulatory approval, will remove GWL&A from the dual Canadian and U.S. regulatory environment in which it has operated.

Standard & Poor's believes the proposed reorganization will not affect the ratings on Great-West, GWL&A, or related entities.

On Oct. 31, 2000, Standard & Poor's and the Canadian Bond Rating Service (CBRS) announced the combination of their operations in Canada. A process is underway to harmonize all ratings assigned by CBRS with the Standard & Poor's framework, which includes the translation of all ratings onto Standard & Poor's ratings scale.

CBRS's outstanding ratings on Great-West Lifeco and its subsidiaries, including both investment strength and preferred share ratings, also remain unchanged. CBRS's outstanding ratings can be viewed at www.cbrs.com, Standard & Poor's said. ---CreditWire

      OUTSTANDING RATINGS AFFIRMED Great-West Life Assurance Co.

  Counterparty credit rating                      AA+/Stable
  Financial strength rating                       AA+
  Commercial paper                                A-1+
London Insurance Group Inc.
  Counterparty credit rating                      AA/Stable
  Senior unsecured debt                           AA
London Life Insurance Co.
  Counterparty credit rating                      AA+/Stable
  Financial strength rating                       AA+
GWL&A Financial Inc.
  Counterparty credit rating                      A+
  Preferred stock rating                          A-
Great-West Life & Annuity Insurance Co. (U.S.)
  Counterparty credit rating                      AA+
  Financial strength rating                       AA+
  Commercial paper                                A-1+
First Great-West Life & Annuity Insurance Co.
  Counterparty credit rating                      AA
  Financial strength rating                       AA