Fidelity and Guaranty Life Introduces Loyalty Rewards Escalator.

BALTIMORE -- Fidelity and Guaranty Life Insurance Company, part of the Old Mutual Financial Network (OMFN) has taken one of its best-selling products and made it even better. Loyalty Rewards Escalator builds on the tremendous success of the Loyalty Rewards Series, including the popular Account Value Escalator.

"With Loyalty Rewards Escalator, agents can take advantage of all the things they had come to love about Loyalty Rewards, but can offer their clients a shorter duration of 6 years," said Marcia Johnson, Vice President, Brokerage Annuity Sales Strategies. "We've kept the Account Value Escalator, which for this product pays a bonus interest rate of 6% on any first year premium payments - credited at 1% annually for 6 years. Essentially, your clients can get an extra 6% interest if they keep the product through the surrender period!"

Loyalty Rewards Escalator is a flexible premium deferred equity index annuity, and has an impressive number of options designed to meet consumers' needs, including:

--  Four interest crediting options, including choices of 1 year
        monthly or annual point-to-point, monthly average and Fixed
        Interest

    --  Low $10,000 minimum initial premium

    --  Liquidity Riders, including:

        --  Terminal Illness

        --  Nursing Home

        --  Unemployment

        --  Death of Owner

        --  10% free withdrawal

        --  Annuitization, at any time, surrender penalty free.

    --  Waiver of surrender charges immediately upon annuitization or
        death

In the coming weeks, look for Loyalty Rewards Escalator in 8-, 10- and 12 -year durations! For more information about any of the Loyalty Rewards Escalator products, contact OMFN at [e-mail]

About Old Mutual Financial Network

Old Mutual Financial Network (OMFN) is a part of the Old Mutual plc group of companies. Founded in 1845, Old Mutual plc maintains its primary listing on the London Stock Exchange (LSE:OML) and ranks as the world's 12th largest insurer (Life/Health), is a Fortune Global 500 company (#304) and a FTSE 100 financial services group. Working through its network of established insurance companies (Fidelity and Guaranty Life, Americom Life and Annuity and Fidelity and Guaranty Life of New York) OMFN is committed to delivering innovative and balanced financial solutions.

The Account Value Escalator 6 will pay a bonus interest rate of 6% will be paid on first year premium payments, credited at 1% annual interest rate for 6 years. "Standard & Poor's(R)", "S&P(R)", "S&P 500(R)", "Standard & Poor's 500" and "500" are trademarks of The McGraw-Hill Companies, Inc. and have been licensed for use by Fidelity and Guaranty Life Insurance Company, Baltimore, MD. The Product is not sponsored, endorsed, sold, or promoted by Standard & Poor's and Standard & Poor's makes no representation regarding the advisability of purchasing the Product. Annuity form numbers FGL FPDA-EIA-C (2005) 9.6A; FGL FPDA-EIA (2005) 9.6A; et al. Rates are effective as of 3/23/05 and subject to change. Minimum cap is 1% per month on the 1 year monthly point-to-point; minimum caps for monthly average and annual point-to-point is 3% per year. Certain restrictions may apply. This product is offered on a group or individual basis as determined by state availability.