Shortly after the dramatic series of events that shook the nation’s economy in September 2008, I began hearing from New York Life policyholders. The letters and e-mails expressed a common sentiment: "I am so glad my money is with New York Life." "I'm thankful for New York Life’s prudence and stability." "Because of your company, I can sleep at night."

However, one note from a policyholder of many years remained in my thoughts for a long time after I read it. She wrote, "Thanks, New York Life. My family and I depend on you." I don’t think it can be said more plainly than that. Times like these are a constant reminder of our Company’s absolutely vital responsibility – and proven capability – to help provide financial security for your family. This is a guarantee that few can offer these days, but then, few other institutions are still rated as highly as New York Life for long-term financial strength.

How New York Life Protects You

In 2008, operating revenues increased $1 billion over 2007, to $14 billion. Operating earnings totaled nearly $1.3 billion, surpassing 2007’s record-setting results. Given the state of the markets in 2008, this represents a very impressive follow-up to two prior years of strong double-digit earnings growth.

2008 was a disastrous year for much of the financial services industry. Life insurers were protected, to a degree, by the regulations that govern their business. These regulations spell out, for example, the amount of financial reserves insurers must hold and the types of investment risks that insurers can take. Even so, many life insurance companies faced enormous challenges.

Fortune's list of World's Most Admired Companies is the definitive report card on corporate reputation. For 2009, New York Life ranked third overall in the Life and Health sector of the Insurance Industry — factoring in all nine key attributes of reputation - financial soundness; global competitiveness; innovation; long-term investment, people management; quality of management; quality of products/services; social responsibility and use of corporate assets. This year Fortune combined their former America's Most Admired Company survey and World's Most Admired Company survey into one World's Most Admired Company list to better represent the competitive landscape faced by today's companies. A total of 689 companies from 28 countries were surveyed.

New York Life ranks #76 on the prestigious Fortune 500 list. Each year, Fortune magazine collects revenue data from the largest companies in the United States and publishes the rankings. The published list is considered a “who’s who” of corporate America. With 2008 revenue of more than $30 billion, according to Fortune's proprietary formula, New York Life once again retained its title as the largest mutual life insurance company in the United States.

New York Life Insurance Company was selected for the 2008 Working Mother 100 Best Companies based on an extensive application with more than 500 questions. The application included detailed questions about workforce, compensation, child care, flexibility programs, leave policies and more. It also checked the usage, availability and tracking of programs, as well as the accountability of managers who oversee them. Seven areas were measured and scored: workforce profile, compensation, child care, flexibility, time off and leaves, family-friendly programs, and company culture. For this year’s 100 Best, particular weight was given to family-friendly policies, flexibility, leave policies and benefits for part-timers.

1) What is a business plan and why do I need one?
A business plan precisely defines your business, identifies your goals and serves as your firm's resume. Its basic components include a current and pro forma balance sheet, an income statement and a cash flow analysis. It helps you allocate resources properly, handle unforeseen complications, and make the right decisions. Because it provides specific and organized information about your company and how you will repay borrowed money, a good business plan is a crucial part of any loan package. Additionally, it can tell your sales personnel, suppliers and others about your operations and goals.
 

2) How can I find qualified employees?
Choose your employees carefully. Decide before hand what you want them to do. Be specific. You may need flexible employees who can shift from task to task as required. Interview and screen applicants with care. Remember, good questions lead to good answers-the more you learn about each applicant's experience and skills, the better prepared you are to make your decision.
 

3) What other financial responsibilities do I have for employees?
You must withhold federal and state income taxes, contribute to unemployment and workers compensation systems, and match Social Security holdings. You may also wish to inquire about key employee life or disability insurance. Because laws on these matters vary from state to state, you probably should consult local information sources
 

4) Should I hire family members to work for me?
Frequently, family members of the owner "help out in the business." For some small business owners it is a rewarding experience; for others it can cause irreparable damage. Carefully consider their loyalty and respect for you as the owner-manager. Can you keep your family and business decisions separate?
 

5) What are the alternatives in financing a business?
Committing your own funds is often the first financing step. It is certainly the best indicator of how serious you are about your business. Risking your own money gives confidence for others to invest in your business. You may want to consider a partner for additional financing. Banks are an obvious source of funds. Other loan sources include commercial finance companies, venture capital firms, local development companies and life insurance companies. Trade credit, selling stock and equipment leasing offer alternatives to borrowing. Leasing, for example, can be an advantage because it does not tie up your cash. Ask your local SBA office for information about these various sources.
 

6) What do I have to do to get a loan?
Initially, the lender will ask three questions:
How will you use the loan?
How much do you need to borrow?
How will you repay the loan?
When you apply for the loan, you must provide projected financial statements and a cohesive, clear business plan which supplies the name of the firm, location, production facilities, legal structure and business goals. A clear description of your experience and management capabilities, as well as the expertise of other key personnel, will also be needed.
 

7) What is my market potential?
The principles of determining market share and market potential are the same for all geographic areas. First determine a customer profile (who) and the geographic size of the market (how many). This is the general market potential. Knowing the number and strength of your competitors (and then estimating the share of business you will take from them) will give you the market potential specific to your enterprise.
 

8) What legal aspects do I need to consider?
Licenses required, zoning laws and other regulations vary from business to business and from state to state. Your local Small Business Administration (SBA) office and/or chamber of commerce will provide you with general information, but you will need to consult your attorney for advice specific to your enterprise and area. You also must decide about your form of organization (corporation, partnership or sole proprietorship) or tax status (e.g., should you opt for a Subchapter S status?).
 

9) How much money do I need to get started?
Once you have taken care of your building and equipment needs you also must have enough money on hand to cover operating expenses for at least a year. These expenses include your salary as the owner and money to repay your loans. One of the leading causes of business failure is insufficient start-up capital. Consequently, you should work closely with your accountant to estimate your cash flow needs.
 

10) What should I know about accounting and bookkeeping?
The importance of keeping adequate records cannot be stressed too much. Without records, you cannot see how well your business is doing and where it is going. At a minimum, records are needed to substantiate:
Your tax returns under Federal and State laws, including income tax and Social Security laws;
Your request for credit from vendors or a loan from a bank;
Your claims about the business, should you wish to sell it.
But most important, you need them to run your business successfully and to increase your profits.
 

11) What financial statements will I need?
You should prepare and understand two basic financial statements:
the balance sheet, which is a record of assets, liabilities and capital; and
the income (profit-and-loss) statement, a summary of your earnings and expenses over a given period of time.

NEW YORK, N.Y., September 16, 2009 - New York Life Insurance Company has earned the top rating of 100 percent for the second year in a row in the 2010 Corporate Equality Index (CEI), an annual survey administered by the Human Rights Campaign Foundation.

The CEI evaluated the Lesbian, Gay, Bisexual Transgender (LGBT)-related policies and practices including non-discrimination policies, transgender health benefits and domestic partner benefits of 590 companies using a scale from 0 to 100 percent. New York Life's efforts in ensuring LGBT equality in each of the survey's main criterion earned it the 100 percent ranking.

"New York Life is proud to again receive a perfect score of 100 on the Human Rights Campaign Foundation's Corporate Equality Index which demonstrates our true commitment to diversity and inclusion," said Lance LaVergne, vice president and chief diversity officer, New York Life. "We continue to expand and enhance our initiatives to meet the ever-changing needs of our diverse employees, suppliers and customers."

About the Human Rights Campaign Foundation
The Human Rights Campaign Foundation is the educational arm of America's largest civil rights organization working to achieve lesbian, gay, bisexual and transgender equality. By inspiring and engaging all Americans, HRC strives to end discrimination against LGBT citizens and realize a nation that achieves fundamental fairness and equality for all. The Corporate Equality Index 2010 report is available at www.hrc.org/cei.

About New York Life Insurance Company
New York Life Insurance Company, a Fortune 100 company founded in 1845, is the largest mutual life insurance company in the United States and one of the largest life insurers in the world. New York Life has the highest possible financial strength ratings from all four of the major credit rating agencies. Headquartered in New York City, New York Life's family of companies offers life insurance, retirement income, investments and long-term care insurance. New York Life Investments* provides institutional asset management and retirement plan services. Other New York Life affiliates provide an array of securities products and services, as well as institutional and retail mutual funds.

Visit New York Life's Web site at www.newyorklife.com for more information.

*New York Life Investments is a service mark used by New York Life Investment Management Holdings LLC and its subsidiary, New York Life Investment Management LLC.

Mention The Prosperity Circle and enjoy __________! – call for details!

Contact us to receive your surprise gift upon making use of this Circle Reward!

Rob Stevens

New York Life Insurance Company

11400 SE 8th St, Suite 300

Seattle, WA 98004

Phone: 425-462-4800

Mobile: 425-766-9457

Office Fax: 425-462-4816

Email: rstevens@ft.newyorklife.com