Rector & Associates, Inc., recently presented modified recommendations (the “Modified Recommendations”) to the Principle-Based Reserving Implementation (EX) Task Force of the NAIC (the “Task Force”) to its February 17, 2014 report (the “Rector Report”) on the use of transactions designed to finance reserves associated with level premium term life insurance policies and universal life insurance policies with secondary guarantees, which are commonly referred to as XXX reserves and AXXX reserves, respectively.