Valued Financial Professionals:

As you may have noticed, interest rates have again declined to historic levels and concern about volatility in the financial markets has returned. At Allianz, we base our decisions on always being true to you and the people who place their trust in us. That's why our primary goal has always been to ensure that we maintain the strength to deliver on the promises we've made in the past and the ones we will deliver years from now.

With this as our focus we will be making the following changes to products in our FIA portfolio:

Allianz MasterDex X Annuity changes effective Wednesday, September 8, 2010:

• The premium bonus will change from 10% to 8%
• The guaranteed minimum value (GMV) interest rate will be reduced from 2.50% to 2.25% in all states except DE, IA, NJ, and TX. We will notify you once these remaining states approve the GMV interest rate change.

Business rules: Applications must be received on or before Tuesday, September 7 at 5:00 p.m. CDT to receive the higher bonus and GMV interest rate. For more details, please read these important business rules (PDF) and view the updated Rate Watch

Important Business rules:

Applications must be received on or before Tuesday, September 7 at 5:00 p.m. CDT to receive the higher bonus and GMV interest rate.

Pending and/or applications RECEIVED on or before Tuesday, September 7, 2010 at 5:00 p.m. CDT will be:

• Issued with a 10% premium bonus and 2.50% GMV

Applications RECEIVED on or after Wednesday, September 8, 2010 will be:

• Issued with an 8% premium bonus and 2.25% GMV

These changes will require use of new Statements of Understanding for the MasterDex X and Simple Income II Rider. New versions reflecting the new bonus and GMV interest rate change will be available in our supply department on 8/30/2010 and will have revision dates of R-9/2010.

Business received on or after September 8, but submitted with an incorrect SOU, will require the R-9/2010 version of the SOU(s) to be signed on delivery. This will not delay commissions.

Due to high application volumes, and to ensure accuracy standards are maintained, we will suspend the 48-hour challenge on all fixed annuity applications received on Tuesday, August 24 through Friday, September 17, 2010. The 48-hour challenge will resume on all fixed annuity applications received beginning Monday, September 20, 2010.

In addition, applications received at peak times may not be processed or appear on the Allianz website for up to three business days. To ensure you receive the most up-to-date information, enroll in our automated email program that provides current new business and transfer pending requirements.

We also anticipate higher than expected wait times in our Contact Center. Please log on to the website for contract information at www.allianzlife.com.

Thank you for your continued support and dedication to Allianz. If you have any questions, please call Madison Brokerage (888)539-3232.

Guarantees are backed by the financial strength and claims-paying ability of Allianz Life Insurance Company of North America.

Bonus annuities may include higher surrender charges, longer surrender periods, lower caps, or other restrictions that are not included in similar annuities that don't offer a premium bonus.

Products are issued by:
Allianz Life Insurance Company of North America
5701 Golden Hills Drive, Minneapolis, MN 55416-1297.
800.950.7372
www.allianzlife.com

For broker/dealer use only - not for use with the public.
Product and feature availability may vary by state.