May 4, 2004 - QUARTERLY FINANCIAL SUPPLEMENT - 8-K: Current report

Exhibit 99.1

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Prudential Financial, Inc. (PRU)

Quarterly Financial Supplement

FINANCIAL SERVICES BUSINESSES

FIRST QUARTER 2004

Reference is made to Prudential Financial, Inc.’s filings with the Securities and Exchange Commission for general information, and consolidated financial information, regarding Prudential Financial, Inc., including its Closed Block Business.

May 4, 2004

Prudential Financial, Inc.

Quarterly Financial Supplement

First Quarter 2004

CONTENTS


		Page
HIGHLIGHTS
Financial Highlights		1-2
Operations Highlights		3

FINANCIAL SERVICES BUSINESSES
Combined Statements of Operations		4
Combined Balance Sheets		5
Combining Statements of Operations by Division		6
Combining Balance Sheets by Division		7
Short-Term Debt		8
Long-Term Debt		9

INSURANCE DIVISION
Combined Statements of Operations		10
Combining Statements of Operations		11
Individual Life and Annuities Sales Results and Account Values		12
Individual Life Account Value Activity		13
Annuities Account Value Activity		14
Deferred Policy Acquisition Costs		15
Supplementary Information for Individual Life Insurance		16
Supplementary Information for Group Insurance		17

INVESTMENT DIVISION
Combined Statements of Operations		18
Combining Statements of Operations		19
Supplementary Revenue Information for Asset Management Segment		20
Supplementary Information for Financial Advisory Segment		21
Assets Under Management for Investment Management and Advisory Services operations		22
Mutual Funds and Wrap-fee Products Sales Results and Assets Under Management		23
Retirement Sales Results and Account Values		24

INTERNATIONAL INSURANCE AND INVESTMENTS DIVISION
Combined Statements of Operations		25
Combining Statements of Operations		26
International Insurance Segment - Supplementary Income Statement Information		27
Sales Results and Supplementary Information		28-29

INVESTMENT PORTFOLIO
Investment Portfolio Composition		30
Financial Services Businesses Investment Portfolio Composition - Japanese Insurance Operations and Excluding Japanese Insurance Operations		31
Financial Services Businesses Investment Results		32
Financial Services Businesses Investment Results - Japanese Insurance Operations		33
Financial Services Businesses Investment Results - Excluding Japanese Insurance Operations		34

RECLASSIFIED INSURANCE DIVISION SALES RESULTS AND ACCOUNT VALUE ACTIVITY		35-37

KEY DEFINITIONS AND FORMULAS		38-40

RATINGS AND INVESTOR INFORMATION		41

Prudential Financial, Inc.

Quarterly Financial Supplement

First Quarter 2004

FINANCIAL HIGHLIGHTS

(in millions, except per share data)


Year-to-date				% Change			2003								2004
2004		2003		% Change			1Q		2Q		3Q		4Q		1Q
						*Financial Services Businesses:*
						Pre-tax adjusted operating income by division:
211		163		29	%	Insurance Division	163		236		183		206		211
96		73		32	%	Investment Division	73		77		83		56		96
219		178		23	%	International Insurance and Investments Division	178		217		223		184		219
23		18		28	%	Corporate and other operations	18		(1	)	32		44		23

549		432		27	%	Total pre-tax adjusted operating income	432		529		521		490		549
170		140		21	%	Income taxes, applicable to adjusted operating income	140		172		170		159		170

379		292		30	%	Financial Services Businesses after-tax adjusted operating income	292		357		351		331		379

						Items excluded from adjusted operating income:
1		(113	)	101	%	Realized investment gains (losses), net, and related charges and adjustments	(113	)	(11	)	(46	)	(29	)	1
(21	)	(4	)	-425	%	Divested businesses	(4	)	(410	)	(36	)	265		(21	)

(20	)	(117	)	83	%	Total items excluded from adjusted operating income, before income taxes	(117	)	(421	)	(82	)	236		(20	)
(13	)	(38	)	66	%	Income taxes, applicable to items excluded from adjusted operating income	(38	)	(173	)	24		65		(13	)

(7	)	(79	)	91	%	Total items excluded from adjusted operating income, after income taxes	(79	)	(248	)	(106	)	171		(7	)

372		213		75	%	Income from continuing operations (after-tax) of Financial Services Businesses before cumulative effect of accounting change	213		109		245		502		372
(3	)	(16	)	81	%	Income (loss) from discontinued operations, net of taxes	(16	)	18		(25	)	(21	)	(3	)
(79	)	—		—		Cumulative effect of accounting change, net of taxes	—		—		—		—		(79	)

290		197		47	%	Net income of Financial Services Businesses	197		127		220		481		290

						Earnings per share of Common Stock (diluted):
0.74		0.56				Financial Services Businesses after-tax adjusted operating income	0.56		0.66		0.68		0.64		0.74
						Items excluded from adjusted operating income:
—		(0.20	)			Realized investment gains (losses), net, and related charges and adjustments	(0.20	)	(0.02	)	(0.08	)	(0.06	)	—
(0.04	)	(0.01	)			Divested businesses	(0.01	)	(0.74	)	(0.07	)	0.49		(0.04	)

(0.04	)	(0.21	)			Total items excluded from adjusted operating income, before income taxes	(0.21	)	(0.76	)	(0.15	)	0.43		(0.04	)
(0.02	)	(0.07	)			Income taxes, applicable to items excluded from adjusted operating income	(0.07	)	(0.31	)	0.05		0.12		(0.02	)

(0.02	)	(0.14	)			Total items excluded from adjusted operating income, after income taxes	(0.14	)	(0.45	)	(0.20	)	0.31		(0.02	)

0.72		0.42				Income from continuing operations (after-tax) of Financial Services Businesses before cumulative effect of accounting change	0.42		0.21		0.48		0.95		0.72
—		(0.03	)			Income (loss) from discontinued operations, net of taxes	(0.03	)	0.04		(0.04	)	(0.03	)	—
(0.15	)	—				Cumulative effect of accounting change, net of taxes	—		—		—		—		(0.15	)

0.57		0.39				Net income of Financial Services Businesses	0.39		0.25		0.44		0.92		0.57

539.9		556.5				Weighted average number of outstanding Common shares (diluted basis)	556.5		549.4		545.9		541.9		539.9
8.61	%	6.74	%			Operating Return on Average Equity (based on adjusted operating income)	6.74	%	7.96	%	8.06	%	7.51	%	8.61	%
						*Reconciliation to Consolidated Net Income of Prudential Financial, Inc:*
290		197				Net income of Financial Services Businesses (above)	197		127		220		481		290
111		(1	)			Net income (loss) of Closed Block Business	(1	)	69		77		94		111

401		196				Consolidated net income	196		196		297		575		401

19		18				Direct equity adjustments for earnings per share calculations	18		8		19		15		19

Page 1

Prudential Financial, Inc.

Quarterly Financial Supplement

First Quarter 2004

FINANCIAL HIGHLIGHTS

(in millions, except per share data)


Year-to-date			2003				2004
2004	2003		1Q	2Q	3Q	4Q	1Q
		*Financial Services Businesses Capitalization Data (1):*
		Short-term debt	4,212	5,416	5,117	4,739	4,603
		Long-term debt (2)	2,582	2,663	4,330	3,860	3,820
		Equity Security Units (2)	690	690	—	—	—

		Attributed Equity:
		Including accumulated other comprehensive income	21,059	21,768	20,541	20,340	20,837
		Excluding unrealized gains and losses on investments	18,388	18,318	18,396	18,440	18,520
		Excluding accumulated other comprehensive income	18,596	18,523	18,564	18,563	18,554

		Total Capitalization:
		Including accumulated other comprehensive income	24,331	25,121	24,871	24,200	24,657
		Excluding unrealized gains and losses on investments	21,660	21,671	22,726	22,300	22,340
		Excluding accumulated other comprehensive income	21,868	21,876	22,894	22,423	22,374

		Book value per share of Common Stock:
		Including accumulated other comprehensive income	38.12	39.83	37.81	37.61	38.90
		Excluding unrealized gains and losses on investments	33.28	33.52	33.86	34.10	34.58
		Excluding accumulated other comprehensive income	33.66	33.89	34.17	34.33	34.64

		Number of diluted shares at end of period	552.5	546.5	543.3	540.8	535.6

		*Common Stock Price Range (based on closing price):*
48.11	33.93	High	33.93	34.50	38.06	42.19	48.11
41.62	27.56	Low	27.56	29.84	34.00	36.60	41.62
44.78	29.25	Close	29.25	33.65	37.36	41.77	44.78

		*Common Stock market capitalization (1)*	16,153	18,405	20,202	22,341	23,679

(1)	As of end of period.

(2)

For periods ended on or before June 30, 2003, Equity Security Units represent Guaranteed beneficial interest in Trust holding solely debentures of Parent, as reported in combined balance sheet. Effective for the third quarter of 2003, debt related to the Company’s Equity Security Units is included in Long-term debt.

Page 2

Prudential Financial, Inc.

Quarterly Financial Supplement

First Quarter 2004

OPERATIONS HIGHLIGHTS


Year-to-date			2003				2004
2004	2003		1Q	2Q	3Q	4Q	1Q
		*Assets Under Management and Administration ($ billions) (1) (2):*

		Assets Under Management :
		Managed by Investment Division:
		Asset Management Segment - Investment Management & Advisory Services
		Retail customers	78.9	82.5	82.1	81.2	78.4
		Institutional customers	84.2	89.2	89.7	94.8	99.9
		General account	123.6	127.1	130.3	127.8	131.2

		Total Investment Management and Advisory Services	286.7	298.8	302.1	303.8	309.5
		Non-proprietary wrap-fee and other assets under management	32.7	40.7	36.6	40.5	41.2

		Total managed by Investment Division	319.4	339.5	338.7	344.3	350.7
		Managed by International Insurance and Investments Division	47.6	50.0	50.7	53.9	67.6
		Managed by Insurance Division	8.5	32.9	31.4	33.9	35.3

		Total assets under management	375.5	422.4	420.8	432.1	453.6
		Client assets under administration (3)	174.4	186.5	30.7	32.6	33.3

		Total assets under management and administration	549.9	608.9	451.5	464.7	486.9

		Assets managed or administered for customers outside of the United States at end of period (3)	83.4	89.6	81.0	84.9	100.8

		*Distribution Representatives (1):*
		Prudential Agents	4,327	4,290	4,281	4,320	4,147
		International Life Planners	4,552	4,689	4,875	4,989	5,008
		Gibraltar Life Advisors	4,993	4,877	4,848	4,826	4,815

36	34	*Prudential Agent productivity ($ thousands)*	34	39	38	44	36

		*Third Party Distribution - Retail Products ($ millions) (4):*
28	23	Individual life insurance (5)	23	22	17	49	28
6	4	Corporate-owned life insurance sales	4	13	3	—	6
1,410	58	Individual annuities (6)	58	699	1,125	1,166	1,410
2,742	616	Mutual funds and wrap-fee products (6)	616	783	2,517	2,144	2,742

(1)	As of end of period.

(2)	At fair market value.

(3)

Assets under administration and Assets managed or administered for customers outside of the United States at the end of the period at June 30, 2003 include approximately $155 billion and $8 billion respectively, associated with businesses that were combined into Wachovia Securities Financial Holdings, LLC on July 1, 2003. As a result, Prudential Financial, Inc. no longer reports these assets as a component of its assets under management and administration.

(4)	Represents scheduled premiums from new sales on an annualized basis and first year excess premiums and deposits on a cash-received basis for Individual Life Insurance, including corporate-owned life insurance, and gross sales for Individual Annuities, Mutual Funds and Wrap-fee products.

(5)	Excludes corporate-owned life insurance sales.

(6)

Includes, effective July 1, 2003, production through Financial Advisors formerly associated with Prudential Securities, who became associated with Wachovia Securities Financial Holdings, LLC as a result of the combination of Prudential’s retail securities brokerage operation with Wachovia Securities Financial Holdings, LLC as of that date.

Page 3

Prudential Financial, Inc.

Quarterly Financial Supplement

First Quarter 2004

COMBINED STATEMENTS OF OPERATIONS - FINANCIAL SERVICES BUSINESSES

(in millions)


Year-to-date				% Change			2003								2004
2004		2003		% Change			1Q		2Q		3Q		4Q		1Q
						Revenues (1):

2,191		1,973		11	%	Premiums	1,973		1,953		1,950		2,042		2,191
559		458		22	%	Policy charges and fee income	458		481		509		553		559
1,246		1,252		—		Net investment income	1,252		1,250		1,215		1,226		1,246
759		894		-15	%	Commissions, investment management fees, and other income	894		1,059		695		714		759

4,755		4,577		4	%	Total revenues	4,577		4,743		4,369		4,535		4,755

						Benefits and Expenses (1):

2,262		2,107		7	%	Insurance and annuity benefits	2,107		1,983		2,023		2,171		2,262
477		418		14	%	Interest credited to policyholders’ account balances	418		421		424		428		477
53		42		26	%	Interest expense	42		42		59		57		53
(364	)	(285	)	-28	%	Deferral of acquisition costs	(285	)	(320	)	(312	)	(353	)	(364	)
187		160		17	%	Amortization of acquisition costs	160		142		150		81		187
1,591		1,703		-7	%	General and administrative expenses	1,703		1,946		1,504		1,661		1,591

4,206		4,145		1	%	Total benefits and expenses	4,145		4,214		3,848		4,045		4,206

549		432		27	%	Adjusted operating income before income taxes	432		529		521		490		549

						Items excluded from adjusted operating income before income taxes:
9		(114	)	108	%	Realized investment gains (losses), net, and related adjustments	(114	)	9		(40	)	(11	)	9
(8	)	1		-900	%	Related charges	1		(20	)	(6	)	(18	)	(8	)

1		(113	)	101	%	Total realized investment gains (losses), net, and related charges and adjustments	(113	)	(11	)	(46	)	(29	)	1

(21	)	(4	)	-425	%	Divested businesses	(4	)	(410	)	(36	)	265		(21	)

(20	)	(117	)	83	%	Total items excluded from adjusted operating income before income taxes	(117	)	(421	)	(82	)	236		(20	)

529		315		68	%	Income from continuing operations before income taxes and cumulative effect of accounting change	315		108		439		726		529
157		102		54	%	Income tax expense (benefit)	102		(1	)	194		224		157

372		213		75	%	Income from continuing operations before cumulative effect of accounting change	213		109		245		502		372

(1)

Revenues exclude realized investment gains, net of losses and related adjustments, and revenues of divested businesses and discontinued operations. Benefits and expenses exclude charges related to realized investment gains, net of losses, and benefits and expenses of divested businesses and discontinued operations.

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Prudential Financial, Inc.

Quarterly Financial Supplement

First Quarter 2004

COMBINED BALANCE SHEETS - FINANCIAL SERVICES BUSINESSES

(in millions)


	3/31/2003	6/30/2003	9/30/2003	12/31/2003	3/31/2004
Assets:
Investments:
Fixed maturities, available for sale, at fair value (amortized cost $76,766; $77,995; $79,964; $79,900; $84,853)	82,311	85,283	84,725	84,353	90,479
Fixed maturities, held to maturity, at amortized cost (fair value $2,859; $2,867; $2,954; $3,084; $2,999)	2,772	2,793	2,954	3,068	2,949
Trading account assets, at fair value	3,359	3,831	3,852	3,302	6,052
Equity securities, available for sale, at fair value (cost $1,101; $991; $950; $1,045; $1,027)	1,038	1,044	1,106	1,119	1,164
Commercial loans	12,407	12,210	12,261	12,463	11,508
Policy loans	2,923	2,992	2,732	2,609	2,671
Securities purchased under agreements to resell	5,990	5,424	1,276	1,464	2,086
Cash collateral for borrowed securities	4,429	5,089	—	—	—
Other long-term investments	4,476	4,546	4,796	4,568	4,143
Short-term investments	1,671	2,311	3,758	4,052	2,913

Total investments	121,376	125,523	117,460	116,998	123,965
Cash and cash equivalents	7,339	6,743	6,252	5,791	5,893
Accrued investment income	1,095	1,095	1,139	1,046	1,137
Broker-dealer related receivables	5,126	6,425	908	1,098	1,072
Deferred policy acquisition costs	5,926	5,997	6,348	6,605	6,665
Other assets	14,560	16,735	14,558	14,320	17,652
Separate account assets	70,710	99,116	101,841	106,680	106,833

Total assets	226,132	261,634	248,506	252,538	263,217

Liabilities:
Future policy benefits	43,243	43,792	44,608	46,003	47,648
Policyholders’ account balances	41,487	42,345	42,766	44,168	47,012
Unpaid claims and claim adjustment expenses	3,513	3,494	3,201	1,687	1,717
Securities sold under agreements to repurchase	10,907	9,835	5,454	5,196	5,536
Cash collateral for loaned securities	7,300	7,289	3,563	3,571	3,361
Income taxes payable	2,259	2,352	2,019	2,234	2,686
Broker-dealer related payables	4,915	6,099	1,951	2,364	2,555
Securities sold but not yet purchased	2,076	2,220	1,620	1,598	2,386
Short-term debt	4,212	5,416	5,117	4,739	4,603
Long-term debt (1)	2,582	2,663	4,330	3,860	3,820
Other liabilities	11,179	14,555	11,495	10,098	14,223
Separate account liabilities	70,710	99,116	101,841	106,680	106,833

Total liabilities	204,383	239,176	227,965	232,198	242,380

Guaranteed beneficial interest in Trust holding solely debentures of Parent (1)	690	690	—	—	—

Attributed Equity:
Accumulated other comprehensive income	2,463	3,245	1,977	1,777	2,283
Other attributed equity	18,596	18,523	18,564	18,563	18,554

Total attributed equity	21,059	21,768	20,541	20,340	20,837

Total liabilities and attributed equity	226,132	261,634	248,506	252,538	263,217

(1)	Effective September 30, 2003, Long-term debt includes the debt related to the Company’s Equity Security Units which was previously included in Guaranteed beneficial interest in Trust holding solely debentures of Parent.

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Prudential Financial, Inc.

Quarterly Financial Supplement

First Quarter 2004

FINANCIAL SERVICES BUSINESSES COMBINING STATEMENTS OF OPERATIONS - BY DIVISION

(in millions)


	Three Months Ended March 31, 2004
	Total Financial Services Businesses		Insurance Division		Investment Division		International Insurance & Investments Division		Corporate and Other Operations
Revenues (1) :
Premiums	2,191		850		12		1,330		(1	)
Policy charges and fee income	559		482		18		63		(4	)
Net investment income	1,246		369		523		231		123
Commissions, investment management fees, and other income	759		150		477		144		(12	)

Total revenues	4,755		1,851		1,030		1,768		106

Benefits and Expenses (1):
Insurance and annuity benefits	2,262		970		208		1,064		20
Interest credited to policyholders’ account balances	477		175		226		76		—
Interest expense	53		1		9		1		42
Deferral of acquisition costs	(364	)	(182	)	(8	)	(190	)	16
Amortization of acquisition costs	187		108		15		79		(15	)
General and administrative expenses	1,591		568		484		519		20

Total benefits and expenses	4,206		1,640		934		1,549		83

Adjusted operating income before income taxes	549		211		96		219		23


	Three Months Ended March 31, 2003
	Total Financial Services Businesses		Insurance Division		Investment Division		International Insurance & Investments Division		Corporate and Other Operations
Revenues (1):
Premiums	1,973		824		14		1,141		(6	)
Policy charges and fee income	458		389		18		54		(3	)
Net investment income	1,252		360		556		193		143
Commissions, investment management fees, and other income	894		53		814		74		(47	)

Total revenues	4,577		1,626		1,402		1,462		87

Benefits and Expenses (1):
Insurance and annuity benefits	2,107		956		210		906		35
Interest credited to policyholders’ account balances	418		157		236		25		—
Interest expense	42		—		8		—		34
Deferral of acquisition costs	(285	)	(112	)	(7	)	(177	)	11
Amortization of acquisition costs	160		85		19		74		(18	)
General and administrative expenses	1,703		377		863		456		7

Total benefits and expenses	4,145		1,463		1,329		1,284		69

Adjusted operating income before income taxes	432		163		73		178		18

(1)

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Prudential Financial, Inc.

Quarterly Financial Supplement

First Quarter 2004

FINANCIAL SERVICES BUSINESSES COMBINING BALANCE SHEETS - BY DIVISION

(in millions)


	As of March 31, 2004
	Total Financial Services Businesses	Insurance Division	Investment Division	International Insurance & Investments Division	Corporate and Other Operations
Assets:
Total investments	123,965	29,133	39,576	43,764	11,492
Deferred policy acquisition costs	6,665	3,823	19	2,935	(112	)
Other assets	25,754	3,321	10,793	6,162	5,478
Separate account assets	106,833	63,479	44,379	14	(1,039	)

Total assets	263,217	99,756	94,767	52,875	15,819

Liabilities:
Future policy benefits	47,648	4,913	13,756	28,344	635
Policyholders’ account balances	47,012	17,930	17,759	11,321	2
Debt	8,423	136	2,482	892	4,913
Other liabilities	32,464	6,901	11,951	8,228	5,384
Separate account liabilities	106,833	63,479	44,379	14	(1,039	)

Total liabilities	242,380	93,359	90,327	48,799	9,895

Attributed Equity:
Accumulated other comprehensive income	2,283	813	663	657	150
Other attributed equity	18,554	5,584	3,777	3,419	5,774

Total attributed equity	20,837	6,397	4,440	4,076	5,924

Total liabilities and attributed equity	263,217	99,756	94,767	52,875	15,819


	As of December 31, 2003
	Total Financial Services Businesses	Insurance Division	Investment Division	International Insurance & Investments Division	Corporate and Other Operations
Assets:
Total investments	116,998	27,048	38,002	41,015	10,933
Deferred policy acquisition costs	6,605	3,918	23	2,769	(105	)
Other assets	22,255	3,211	8,153	6,047	4,844
Separate account assets	106,680	64,034	43,019	649	(1,022	)

Total assets	252,538	98,211	89,197	50,480	14,650

Liabilities:
Future policy benefits	46,003	5,008	12,937	27,613	445
Policyholders’ account balances	44,168	15,863	17,632	10,673	—
Debt	8,599	437	2,645	528	4,989
Other liabilities	26,748	6,539	8,599	7,409	4,201
Separate account liabilities	106,680	64,034	43,019	649	(1,022	)

Total liabilities	232,198	91,881	84,832	46,872	8,613

Attributed Equity:
Accumulated other comprehensive income	1,777	632	587	415	143
Other attributed equity	18,563	5,698	3,778	3,193	5,894

Total attributed equity	20,340	6,330	4,365	3,608	6,037

Total liabilities and attributed equity	252,538	98,211	89,197	50,480	14,650

Page 7

Prudential Financial, Inc.

Quarterly Financial Supplement

First Quarter 2004

SHORT TERM DEBT - FINANCIAL SERVICES BUSINESSES

(in millions)


	As of March 31, 2004				As of December 31, 2003
	Prudential Financial, Inc.	The Prudential Insurance Co. of America (1)	Other Affiliates	Total	Prudential Financial, Inc.	The Prudential Insurance Co. of America (1)	Other Affiliates	Total
Borrowings by use of proceeds:
General corporate purposes	—	5	—	5	—	5	—	5
Investment related	82	1,034	—	1,116	167	386	—	553
Securities business related	319	1,684	902	2,905	155	1,872	882	2,909
Specified other businesses	—	446	130	576	90	1,052	129	1,271
Limited recourse and non-recourse borrowing	—	—	1	1	—	—	1	1

Total short-term debt	401	3,169	1,033	4,603	412	3,315	1,012	4,739

Borrowings by type:
Long-term debt due within one year	—	455	—	455	—	453	—	453
Commercial paper	401	2,698	—	3,099	412	2,846	—	3,258
Bank borrowings	—	—	556	556	—	—	535	535
Other short-term debt	—	16	476	492	—	16	476	492

Total general obligations	401	3,169	1,032	4,602	412	3,315	1,011	4,738
Limited recourse and non-recourse borrowing	—	—	1	1	—	—	1	1

Total short-term debt	401	3,169	1,033	4,603	412	3,315	1,012	4,739

(1)	Includes Prudential Funding, LLC.

Page 8

Prudential Financial, Inc.

Quarterly Financial Supplement

First Quarter 2004

LONG TERM DEBT

(in millions)


	As of March 31, 2004
	General Corporate Purposes		Investment Related	Securities Business Related	Specified Other Businesses	Total General Obligations	Limited Recourse and non-Recourse	Total Borrowing
Financial Services Businesses:
Prudential Financial, Inc. (1):
Long-term fixed and floating rate notes	975		395	—	132	1,502	—	1,502
Hybrid notes	—		—	—	—	—	—	—

Total	975		395	—	132	1,502	—	1,502

The Prudential Insurance Company of America (2):
Surplus notes	691		—	—	—	691	—	691
Long-term fixed and floating rate notes	600		263	—	—	863	—	863
Commercial paper backed by long-term credit agreements	—		—	—	—	—	—	—

Total	1,291		263	—	—	1,554	—	1,554

Long-term debt of other affiliated companies	—		—	—	—	—	57	57

Total long-term debt of Financial Services Businesses, excluding debt related to Equity Security Units	2,266		658	—	132	3,056	57	3,113
Debt related to Equity Security Units (3)	707		—	—	—	707	—	707

Total long-term debt of Financial Services Businesses	2,973		658	—	132	3,763	57	3,820

Ratio of long-term and short-term corporate debt to capitalization	11.2	%

Closed Block Business:
Limited recourse notes of Prudential Holdings, LLC	—		—	—	—	—	1,750	1,750


	As of December 31, 2003
	General Corporate Purposes		Investment Related	Securities Business Related	Specified Other Businesses	Total General Obligations	Limited Recourse and non-Recourse	Total Borrowing
Financial Services Businesses:
Prudential Financial, Inc.:
Long-term fixed and floating rate notes	670		681	—	141	1,492	—	1,492
Hybrid notes	—		—	—	—	—	—	—

Total	670		681	—	141	1,492	—	1,492

The Prudential Insurance Company of America (2):
Surplus notes	691		—	—	—	691	—	691
Long-term fixed and floating rate notes	600		291	—	—	891	—	891
Commercial paper backed by long-term credit agreements	—		—	—	—	—	—	—

Total	1,291		291	—	—	1,582	—	1,582

Long-term debt of other affiliated companies	—		17	—	—	17	58	75

Total long-term debt of Financial Services Businesses, excluding debt related to Equity Security Units	1,961		989	—	141	3,091	58	3,149
Debt related to Equity Security Units (3)	711		—	—	—	711	—	711

Total long-term debt of Financial Services Businesses	2,672		989	—	141	3,802	58	3,860

Ratio of long-term and short-term corporate debt to capitalization	10.0	%

Closed Block Business:
Limited recourse notes of Prudential Holdings, LLC	—		—	—	—	—	1,750	1,750

(1)	Excluding obligations related to Equity Security Units.

(2)	Includes Prudential Funding, LLC.

(3)	Includes $690 million corresponding to contractual obligation of holders of Equity Security Units for purchase of Prudential Financial, Inc. Common Stock in November 2004.

Page 9

Prudential Financial, Inc.

Quarterly Financial Supplement

First Quarter 2004

COMBINED STATEMENTS OF OPERATIONS - INSURANCE DIVISION

(in millions)


Year-to-date				% Change			2003								2004
2004		2003		% Change			1Q		2Q		3Q		4Q		1Q
						Revenues (1):
850		824		3	%	Premiums	824		822		779		797		850
482		389		24	%	Policy charges and fee income	389		408		441		479		482
369		360		3	%	Net investment income	360		366		349		371		369
150		53		183	%	Commissions, investment management fees, and other income	53		81		108		145		150

1,851		1,626		14	%	Total revenues	1,626		1,677		1,677		1,792		1,851

						Benefits and Expenses (1):
970		956		1	%	Insurance and annuity benefits	956		891		918		1,033		970
175		157		11	%	Interest credited to policyholders’ account balances	157		161		158		160		175
1		—		—		Interest expense	—		—		1		(1	)	1
(182	)	(112	)	-63	%	Deferral of acquisition costs	(112	)	(149	)	(161	)	(173	)	(182	)
108		85		27	%	Amortization of acquisition costs	85		69		80		11		108
568		377		51	%	General and administrative expenses	377		469		498		556		568

1,640		1,463		12	%	Total benefits and expenses	1,463		1,441		1,494		1,586		1,640

211		163		29	%	Adjusted operating income before income taxes	163		236		183		206		211

(1)	Revenues exclude realized investment gains, net of losses and related adjustments. Benefits and expenses exclude charges related to realized investment gains, net of losses.

Page 10

Prudential Financial, Inc.

Quarterly Financial Supplement

First Quarter 2004

COMBINING STATEMENTS OF OPERATIONS - INSURANCE DIVISION

(in millions)


	Three Months Ended March 31, 2004
	Total Insurance Division		Individual Life and Annuities		Group Insurance		Individual Life and Annuities
	Total Insurance Division		Individual Life and Annuities		Group Insurance		Individual Life		Individual Annuities
Revenues (1):
Premiums	850		101		749		87		14
Policy charges and fee income	482		411		71		256		155
Net investment income	369		234		135		97		137
Commissions, investment management fees, and other income	150		139		11		67		72

Total revenues	1,851		885		966		507		378

Benefits and Expenses (1):
Insurance and annuity benefits	970		209		761		166		43
Interest credited to policyholders’ account balances	175		128		47		39		89
Interest expense	1		1		—		—		1
Deferral of acquisition costs	(182	)	(175	)	(7	)	(77	)	(98	)
Amortization of acquisition costs	108		107		1		70		37
General and administrative expenses (2)	568		430		138		222		208

Total benefits and expenses	1,640		700		940		420		280

Adjusted operating income before income taxes	211		185		26		87		98


	Three Months Ended March 31, 2003
	Total Insurance Division		Individual Life and Annuities		Group Insurance		Individual Life and Annuities
	Total Insurance Division		Individual Life and Annuities		Group Insurance		Individual Life		Individual Annuities
Revenues (1):
Premiums	824		113		711		94		19
Policy charges and fee income	389		298		91		254		44
Net investment income	360		208		152		101		107
Commissions, investment management fees, and other income	53		45		8		32		13

Total revenues	1,626		664		962		481		183

Benefits and Expenses (1):
Insurance and annuity benefits	956		216		740		173		43
Interest credited to policyholders’ account balances	157		97		60		36		61
Interest expense	—		(1	)	1		(1	)	—
Deferral of acquisition costs	(112	)	(104	)	(8	)	(77	)	(27	)
Amortization of acquisition costs	85		84		1		67		17
General and administrative expenses	377		243		134		177		66

Total benefits and expenses	1,463		535		928		375		160

Adjusted operating income before income taxes	163		129		34		106		23

(1)	Revenues exclude realized investment gains, net of losses and related adjustments. Benefits and expenses exclude charges related to realized investment gains, net of losses.

(2)	General and administrative expenses for Individual Annuities include $8 million for the three months ended March 31, 2004 for the amortization, net of interest, of value of business acquired (VOBA) associated with the May 1, 2003 acquisition of American Skandia.

Page 11

Prudential Financial, Inc.

Quarterly Financial Supplement

First Quarter 2004

INSURANCE DIVISION - INDIVIDUAL LIFE AND ANNUITIES SALES RESULTS AND ACCOUNT VALUES

(in millions)


Year-to-date					2003								2004
2004		2003			1Q		2Q		3Q		4Q		1Q
				INDIVIDUAL LIFE INSURANCE SALES:
				Excluding corporate-owned life insurance:
26		26		Variable life	26		26		20		27		26
32		29		Universal life	29		25		24		54		32
32		26		Term life	26		29		26		29		32

90		81		Total excluding corporate-owned life insurance	81		80		70		110		90
6		4		Corporate-owned life insurance	4		13		3		1		6

96		85		Total	85		93		73		111		96

				ANNUITY SALES AND ACCOUNT VALUES (1)
				Variable Annuities:
43,949		15,338		Beginning total account value	15,338		14,965		39,780		40,815		43,949
1,723		331		Sales	331		1,070		1,469		1,548		1,723
(1,352	)	(418	)	Surrenders and withdrawals	(418	)	(924	)	(1,159	)	(1,215	)	(1,352	)

371		(87	)	Net sales (redemptions)	(87	)	146		310		333		371
(161	)	(66	)	Benefit payments	(66	)	(114	)	(136	)	(133	)	(161	)

210		(153	)	Net flows	(153	)	32		174		200		210
843		(180	)	Change in market value, interest credited, and other	(180	)	2,447		990		3,072		843
(144	)	(40	)	Policy charges	(40	)	(95	)	(129	)	(138	)	(144	)
—		—		Acquisition	—		22,431		—		—		—

44,858		14,965		Ending total account value	14,965		39,780		40,815		43,949		44,858

				Fixed Annuities:
3,514		3,396		Beginning total account value	3,396		3,473		3,498		3,523		3,514
92		110		Sales	110		57		47		33		92
(51	)	(34	)	Surrenders and withdrawals	(34	)	(32	)	(33	)	(42	)	(51	)

41		76		Net sales (redemptions)	76		25		14		(9	)	41
(45	)	(41	)	Benefit payments	(41	)	(46	)	(39	)	(36	)	(45	)

(4)		35		Net flows	35		(21	)	(25	)	(45	)	(4	)
65		43		Interest credited and other	43		47		51		37		65
(1	)	(1	)	Policy charges	(1	)	(1	)	(1	)	(1	)	(1	)

3,574		3,473		Ending total account value	3,473		3,498		3,523		3,514		3,574

				SALES BY DISTRIBUTION CHANNEL
				Life Insurance:
				Excluding corporate-owned life insurance:
62		58		Prudential Agents	58		58		53		61		62
28		23		Third party distribution	23		22		17		49		28
6		4		Corporate-owned life insurance	4		13		3		1		6

96		85		Total	85		93		73		111		96

				Variable and Fixed Annuities (2):
405		326		Prudential Agents	326		380		391		415		405
108		79		Wirehouses	79		109		115		89		108
1,302		36		Independent Financial Planners (3)	36		638		1,010		1,077		1,302

1,815		441		Total	441		1,127		1,516		1,581		1,815

(1)

Annuity sales and account value tables have been reformatted to separately display net sales (representing premiums and deposits net of surrenders and withdrawals) and net flows (representing net sales less benefit payments). Data reported for earlier periods has been conformed to the current presentation.

(2)	Amounts represent gross sales.

(3)	Including bank distribution.

Page 12

Prudential Financial, Inc.

Quarterly Financial Supplement

First Quarter 2004

INSURANCE DIVISION - INDIVIDUAL LIFE ACCOUNT VALUE ACTIVITY

(in millions)


Year-to-date					2003								2004
2004		2003			1Q		2Q		3Q		4Q		1Q
				INDIVIDUAL LIFE INSURANCE (1):
				Policyholders’ Account Balances (2):
4,520		4,112		Beginning balance	4,112		4,205		4,275		4,373		4,520
293		249		Premiums and deposits	249		237		248		281		293
(158	)	(122	)	Surrenders and withdrawals	(122	)	(143	)	(137	)	(147	)	(158	)

135		127		Net sales	127		94		111		134		135
(25	)	(22	)	Benefit payments	(22	)	(20	)	(25	)	(20	)	(25	)

110		105		Net flows	105		74		86		114		110
(49	)	20		Interest credited and other	20		27		39		55		(49	)
18		(7	)	Net transfers (to) from separate account	(7	)	(2	)	(1	)	10		18
(32	)	(25	)	Policy charges	(25	)	(29	)	(26	)	(32	)	(32	)

4,567		4,205		Ending balance	4,205		4,275		4,373		4,520		4,567

				Separate Account Liabilities:
13,981		11,412		Beginning balance	11,412		11,235		12,511		12,843		13,981
331		373		Premiums and deposits	373		379		354		328		331
(145	)	(157	)	Surrenders and withdrawals	(157	)	(177	)	(132	)	(134	)	(145	)

186		216		Net sales	216		202		222		194		186
(8	)	(5	)	Benefit payments	(5	)	(8	)	(5	)	(4	)	(8	)

178		211		Net flows	211		194		217		190		178
328		(154	)	Change in market value, interest credited and other	(154	)	1,311		340		1,181		328
(39	)	(29	)	Net transfers to general account	(29	)	(23	)	(21	)	(29	)	(39	)
(202	)	(205	)	Policy charges	(205	)	(206	)	(204	)	(204	)	(202	)

14,246		11,235		Ending balance	11,235		12,511		12,843		13,981		14,246

(1)	Account value tables have been reformatted to separately display net sales (representing premiums and deposits net of surrenders and withdrawals) and net flows (representing net sales less benefit payments). Data reported for earlier periods has been conformed to the current presentation.

(2)	Includes fixed rate funds, alliance deposits, supplementary contracts and deferred revenues on variable products.

Page 13

Prudential Financial, Inc.

Quarterly Financial Supplement

First Quarter 2004

INSURANCE DIVISION - ANNUITIES ACCOUNT VALUE ACTIVITY

(in millions)


Year-to-date					2003								2004
2004		2003			1Q		2Q		3Q		4Q		1Q
				INDIVIDUAL ANNUITIES (1):
				Account Values in General Account (2):
7,660		6,795		Beginning balance	6,795		7,073		7,457		7,614		7,660
249		270		Premiums and deposits	270		327		263		209		249
(251	)	(107	)	Surrenders and withdrawals	(107	)	(100	)	(102	)	(120	)	(251	)

(2	)	163		Net sales (redemptions)	163		227		161		89		(2	)
(82	)	(73	)	Benefit payments	(73	)	(78	)	(71	)	(69	)	(82	)

(84	)	90		Net flows	90		149		90		20		(84	)
22		76		Interest credited and other	76		71		105		62		22
2,079		114		Net transfers (to) from separate account (3)	114		8		(36	)	(34	)	2,079
(2	)	(2	)	Policy charges	(2	)	(2	)	(2	)	(2	)	(2	)
—		—		Acquisition	—		158		—		—		—

9,675		7,073		Ending balance	7,073		7,457		7,614		7,660		9,675

				Account Values in Separate Account:
39,803		11,939		Beginning balance	11,939		11,365		35,821		36,724		39,803
1,566		171		Premiums and deposits	171		800		1,253		1,372		1,566
(1,152	)	(345	)	Surrenders and withdrawals	(345	)	(856	)	(1,090	)	(1,137	)	(1,152	)

414		(174	)	Net sales (redemptions)	(174	)	(56	)	163		235		414
(124	)	(34	)	Benefit payments	(34	)	(82	)	(104	)	(100	)	(124	)

290		(208	)	Net flows	(208	)	(138	)	59		135		290
886		(213	)	Change in market value, interest credited and other	(213	)	2,423		936		3,047		886
(2,079	)	(114	)	Net transfers (to) from general account (3)	(114	)	(8	)	36		34		(2,079	)
(143	)	(39	)	Policy charges	(39	)	(94	)	(128	)	(137	)	(143	)
—		—		Acquisition	—		22,273		—		—		—

38,757		11,365		Ending balance	11,365		35,821		36,724		39,803		38,757

(1)	Account value tables have been reformatted to separately display net sales (representing premiums and deposits net of surrenders and withdrawals) and net flows (representing net sales less benefit payments). Data reported for earlier periods has been conformed to the current presentation.

(2)

Premiums and deposits, and surrenders and withdrawals, are classified within the general account and separate account for purposes of this presentation based on the allocation of customer funds. For example, premiums allocated by customers to separate account investments at the time of sale, while remitted through the company’s general account, are shown as separate account premium in this display, rather than as general account premium and transfers to the separate account.

(3)

Includes the transfer in classification, as of January 1, 2004, of $2,168 million of assets from separate account to general account, reflecting the adoption of Statement of Position 03-1, “Accounting and Reporting by Insurance Enterprises for Certain Non-Traditional Long-Duration Contracts and for Separate Accounts” (SOP 03-1).

Page 14

Prudential Financial, Inc.

Quarterly Financial Supplement

First Quarter 2004

INSURANCE DIVISION - DEFERRED POLICY ACQUISITION COSTS

(in millions)


Year-to-date					2003								2004
2004		2003			1Q		2Q		3Q		4Q		1Q
				INDIVIDUAL LIFE INSURANCE:
3,194		3,110		Beginning balance	3,110		3,104		3,102		3,131		3,194
77		77		Capitalization	77		74		68		75		77
(70	)	(67	)	Amortization - operating results	(67	)	(49	)	(56	)	(23	)	(70	)
—		—		Amortization - realized investment gains and losses	—		—		—		—		—
(169	)	(16	)	Impact of unrealized (gains) or losses on AFS securities	(16	)	(27	)	17		11		(169	)

3,032		3,104		Ending balance	3,104		3,102		3,131		3,194		3,032

				INDIVIDUAL ANNUITIES:
636		473		Beginning balance	473		471		471		522		636
98		27		Capitalization	27		65		85		90		98
(37	)	(17	)	Amortization - operating results	(17	)	(20	)	(23	)	13		(37	)
1		(2	)	Amortization - realized investment gains and losses	(2	)	(1	)	(3	)	(5	)	1
(5	)	(10	)	Impact of unrealized (gains) or losses on AFS securities	(10	)	(44	)	(8	)	16		(5	)
4		—		Other (1)	—		—		—		—		4

697		471		Ending balance	471		471		522		636		697

				GROUP INSURANCE (2):
88		57		Beginning balance	57		64		74		81		88
7		8		Capitalization	8		10		8		8		7
(1	)	(1	)	Amortization - operating results	(1	)	—		(1	)	(1	)	(1	)
—		—		Amortization - realized investment gains and losses	—		—		—		—		—
—		—		Impact of unrealized losses on AFS securities	—		—		—		—		—

94		64		Ending balance	64		74		81		88		94

				TOTAL INSURANCE DIVISION:
3,918		3,640		Beginning balance	3,640		3,639		3,647		3,734		3,918
182		112		Capitalization	112		149		161		173		182
(108	)	(85	)	Amortization - operating results	(85	)	(69	)	(80	)	(11	)	(108	)
1		(2	)	Amortization - realized investment gains and losses	(2	)	(1	)	(3	)	(5	)	1
(174	)	(26	)	Impact of unrealized (gains) or losses on AFS securities	(26	)	(71	)	9		27		(174	)
4		—		Other (1)	—		—		—		—		4

3,823		3,639		Ending balance	3,639		3,647		3,734		3,918		3,823

(1)	Reflects the impact of adoption of SOP 03-1 on January 1, 2004.

(2)	Represents long-term care products.

Page 15

Prudential Financial, Inc.

Quarterly Financial Supplement

First Quarter 2004

INSURANCE DIVISION - SUPPLEMENTARY INFORMATION FOR INDIVIDUAL LIFE INSURANCE

(dollar amounts in millions)


Year-to-date					2003								2004
2004		2003			1Q		2Q		3Q		4Q		1Q
				Individual Life Insurance:
				Policy Surrender Experience:
164		170		Cash value of surrenders	170		182		154		147		164
3.5	%	4.2	%	Cash value of surrenders as a percentage of mean future policy benefits, policyholders’ account balances, and separate account balances	4.2	%	4.4	%	3.5	%	3.2	%	3.5	%
				Death benefits per $1,000 of in force (1):
2.90		2.43		Variable and universal life	2.43		2.74		2.40		4.57		2.90
1.75		1.80		Term life	1.80		0.90		4.16		1.65		1.75
2.75		2.40		Total, Individual Life Insurance	2.40		2.53		3.10		3.94		2.75

(1)	Annualized, for interim reporting periods. Amounts are stated net of reinsurance.

Page 16

Prudential Financial, Inc.

Quarterly Financial Supplement

First Quarter 2004

INSURANCE DIVISION - SUPPLEMENTARY INFORMATION FOR GROUP INSURANCE

(dollar amounts in millions)


Year-to-date					2003								2004
2004		2003			1Q		2Q		3Q		4Q		1Q
				GROUP INSURANCE NEW ANNUALIZED PREMIUMS:
127		88		Group life	88		35		30		72		127
90		67		Group disability (1)	67		29		24		24		90

217		155		Total	155		64		54		96		217

				Future Policy Benefits (2):
				Group life	1,754		1,730		1,656		1,832		1,780
				Group disability (1)	191		201		217		224		277

				Total	1,945		1,931		1,873		2,056		2,057

				Policyholders’ Account Balances (2):
				Group life	4,471		4,729		4,499		4,341		4,353
				Group disability (1)	61		60		61		66		59

				Total	4,532		4,789		4,560		4,407		4,412

				Separate Account Liabilities (2):
				Group life	8,977		9,994		9,970		10,253		10,476
				Group disability (1)	—		—		—		—		—

				Total	8,977		9,994		9,970		10,253		10,476

				Group Life Insurance:
674		691		Gross premiums, policy charges and fee income (3)	691		636		603		612		674
647		638		Earned premiums, policy charges and fee income	638		591		577		620		647
92.1	%	91.9	%	Benefits ratio	91.9	%	89.9	%	91.2	%	90.5	%	92.1	%
9.5	%	9.1	%	Administrative operating expense ratio	9.1	%	9.1	%	10.0	%	10.6	%	9.5	%
				Persistency ratio	96.4	%	95.6	%	93.7	%	92.8	%	95.7	%

				Group Disability Insurance (1):
176		171		Gross premiums, policy charges and fee income (3)	171		161		165		165		176
173		164		Earned premiums, policy charges and fee income	164		162		159		157		173
95.4	%	93.9	%	Benefits ratio	93.9	%	87.0	%	93.1	%	95.5	%	95.4	%
21.0	%	20.5	%	Administrative operating expense ratio	20.5	%	23.0	%	22.4	%	24.2	%	21.0	%
				Persistency ratio	92.1	%	89.2	%	87.5	%	85.0	%	90.8	%

(1)	Group disability amounts include long-term care products.

(2)	As of end of period.

(3)	Before returns of premiums to participating policyholders for favorable claims experience.

Page 17

Prudential Financial, Inc.

Quarterly Financial Supplement

First Quarter 2004

COMBINED STATEMENTS OF OPERATIONS - INVESTMENT DIVISION

(in millions)


Year-to-date			% Change			2003								2004
2004	2003		% Change			1Q		2Q		3Q		4Q		1Q
					Revenues (1):
12	14		-14	%	Premiums	14		8		1		6		12
18	18		—		Policy charges and fee income	18		19		17		18		18
523	556		-6	%	Net investment income	556		553		516		526		523
477	814		-41	%	Commissions, investment management fees, and other income	814		906		481		494		477

1,030	1,402		-27	%	Total revenues	1,402		1,486		1,015		1,044		1,030

					Benefits and Expenses (1):
208	210		-1	%	Insurance and annuity benefits	210		204		187		190		208
226	236		-4	%	Interest credited to policyholders’ account balances	236		233		239		238		226
9	8		13	%	Interest expense	8		8		9		8		9
(8)	(7	)	-14	%	Deferral of acquisition costs	(7	)	(8	)	(6	)	(8	)	(8	)
15	19		-21	%	Amortization of acquisition costs	19		17		15		15		15
484	863		-44	%	General and administrative expenses	863		955		488		545		484

934	1,329		-30	%	Total benefits and expenses	1,329		1,409		932		988		934

96	73		32	%	Adjusted operating income before income taxes	73		77		83		56		96

(1)	Revenues exclude realized investment gains, net of losses and related adjustments. Benefits and expenses exclude charges related to realized investment gains, net of losses.

Page 18

Prudential Financial, Inc.

Quarterly Financial Supplement

First Quarter 2004

COMBINING STATEMENTS OF OPERATIONS - INVESTMENT DIVISION

(in millions)


	Three Months Ended March 31, 2004
	Total Investment Division		Asset Management(2)		Financial Advisory		Retirement
Revenues (1):
Premiums	12		—		—		12
Policy charges and fee income	18		—		—		18
Net investment income	523		16		1		506
Commissions, investment management fees, and other income	477		331		105		41

Total revenues	1,030		347		106		577

Benefits and Expenses (1):
Insurance and annuity benefits	208		—		—		208
Interest credited to policyholders’ account balances	226		—		—		226
Interest expense	9		3		4		2
Deferral of acquisition costs	(8	)	(6	)	—		(2	)
Amortization of acquisition costs	15		12		—		3
General and administrative expenses	484		280		116		88

Total benefits and expenses	934		289		120		525

Adjusted operating income before income taxes	96		58		(14	)	52


	Three Months Ended March 31, 2003
	Total Investment Division		Asset Management(2)		Financial Advisory		Retirement
Revenues (1):
Premiums	14		—		—		14
Policy charges and fee income	18		—		—		18
Net investment income	556		12		27		517
Commissions, investment management fees, and other income	814		293		489		32

Total revenues	1,402		305		516		581

Benefits and Expenses (1):
Insurance and annuity benefits	210		—		—		210
Interest credited to policyholders’ account balances	236		—		—		236
Interest expense	8		3		—		5
Deferral of acquisition costs	(7	)	(5	)	—		(2	)
Amortization of acquisition costs	19		16		—		3
General and administrative expenses	863		246		541		76

Total benefits and expenses	1,329		260		541		528

Adjusted operating income before income taxes	73		45		(25	)	53

(1)	Revenues exclude realized investment gains, net of losses and related adjustments. Benefits and expenses exclude charges related to realized investment gains, net of losses.

(2)	Includes the results of the former Investment Management and Other Asset Management segments.

Page 19

Prudential Financial, Inc.

Quarterly Financial Supplement

First Quarter 2004

INVESTMENT DIVISION - SUPPLEMENTARY REVENUE INFORMATION FOR ASSET MANAGEMENT SEGMENT

(dollar amounts in millions unless otherwise noted)


Year-to-date		% Change			2003				2004
2004	2003	% Change			1Q	2Q	3Q	4Q	1Q
				Asset Management Segment:
				Analysis of revenues by source:
				Investment Management and Advisory Services:
54	43	26	%	Retail customers	43	45	50	49	54
95	79	20	%	Institutional customers	79	87	92	114	95
53	55	-4	%	General account	55	50	56	58	53

202	177	14	%	Subtotal	177	182	198	221	202
145	128	13	%	Mutual Fund and other segment revenues (1)	128	152	144	158	145

347	305	14	%	Total Asset Management segment revenues	305	334	342	379	347

				Analysis of commissions, investment management fees and other revenues by type:
				Investment Management and Advisory Services:
186	165	13	%	Asset-based fees	165	162	173	182	186
9	5	80	%	Transaction-based and other revenues	5	14	16	33	9

195	170	15	%	Subtotal	170	176	189	215	195
136	123	11	%	Mutual Fund and other segment revenues (1)	123	146	135	151	136

331	293	13	%	Total	293	322	324	366	331

(1)	Represents mutual fund and other segment revenues other than asset management fees paid to affiliates, which are included in appropriate categories above.

Page 20

Prudential Financial, Inc.

Quarterly Financial Supplement

First Quarter 2004

INVESTMENT DIVISION - SUPPLEMENTARY INFORMATION FOR FINANCIAL ADVISORY SEGMENT

(dollar amounts in millions unless otherwise noted)


	2003		2003		2004
	3Q		4Q		1Q
Information pertaining to Wachovia Securities Financial Holdings, LLC:

Revenues:
Net investment income	53		55		56
Commissions	646		643		672
Fees	351		364		393
Other non-interest revenues	25		19		29

Total revenues	1,075		1,081		1,150
Expenses:
Expenses before transition costs	939		948		1,001
Transition costs	41		43		57

Total expenses	980		991		1,058

Income before income taxes	95		90		92

Prudential Financial, Inc., 38% share of Wachovia Securities Financial Holdings, LLC	36		34		35
Wachovia Securities Financial Holdings, LLC adjustments to Prudential Financial, Inc. minority interest	2		8		5

Prudential Financial, Inc., minority interest as reported by Wachovia Securities Financial Holdings, LLC	38		42		40
Prudential Financial, Inc., purchase accounting adjustments	(7	)	(17	)	(8	)

Prudential Financial, Inc., equity income from Wachovia Securities Financial Holdings, LLC	31		25		32

Recurring revenue as a percentage of total non-interest revenue (1)	38.2	%	38.0	%	39.1	%
Total client assets ($ in billions) (2)	568.5		603.1		614.9
Distribution representatives (2):
Series 7 Financial Advisors	8,309		8,192		8,133
Series 6 Financial Representatives	3,316		3,270		3,081
Customer debit balances ($ in billions) (2)	5.6		6.1		6.1

Prudential Financial, Inc. income (loss) from investment in Wachovia Securities Financial Holdings, LLC, including 38% interest in results, costs incurred at Prudential level, and purchase accounting adjustments	4		(64	)	(17	)

(1)	Calculated on a YTD annualized basis. 2003 amounts are calculated from July 1, 2003.

(2)	As of end of period.

Page 21

Prudential Financial, Inc.

Quarterly Financial Supplement

First Quarter 2004

INVESTMENT DIVISION - ASSETS UNDER MANAGEMENT FOR INVESTMENT MANAGEMENT AND ADVISORY SERVICES OPERATIONS

(in billions)


	March 31, 2004
	Equity	Fixed Income	Real Estate	Total
Retail customers	43.4	34.0	1.0	78.4
Institutional customers	31.8	54.9	13.2	99.9
General account	2.9	127.2	1.1	131.2

Total	78.1	216.1	15.3	309.5


	March 31, 2003
	Equity	Fixed Income	Real Estate	Total
Retail customers	31.7	46.2	1.0	78.9
Institutional customers	23.5	48.1	12.6	84.2
General account	2.5	119.7	1.4	123.6

Total	57.7	214.0	15.0	286.7


Year-to-date					2003								2004
2004		2003			1Q		2Q		3Q		4Q		1Q
				Institutional Assets Under Management:

				Assets gathered by Investment Management & Advisory Services sales force:
69.3		62.0		Beginning assets under management	62.0		60.8		64.4		65.6		69.3
5.6		2.6		Additions to managed portfolio	2.6		2.1		3.1		5.4		5.6
(2.8	)	(3.1	)	Withdrawals	(3.1	)	(2.6	)	(3.1	)	(3.9	)	(2.8	)
1.6		—		Change in market value	—		4.2		1.3		2.6		1.6
0.5		(0.7	)	Net money market flows	(0.7	)	(0.1	)	(0.1	)	(0.4	)	0.5

74.2		60.8		Ending assets under management	60.8		64.4		65.6		69.3		74.2
25.7		23.4		Other institutional assets under management	23.4		24.8		24.1		25.5		25.7

99.9		84.2		Total assets managed for institutional customers at end of period	84.2		89.2		89.7		94.8		99.9

Page 22

Prudential Financial, Inc.

Quarterly Financial Supplement

First Quarter 2004

INVESTMENT DIVISION - MUTUAL FUNDS AND WRAP-FEE PRODUCTS SALES RESULTS AND ASSETS UNDER MANAGEMENT

(in millions)


Year-to-date					2003								2004
2004		2003			1Q		2Q		3Q		4Q		1Q
				MUTUAL FUNDS AND WRAP-FEE PRODUCTS SALES AND ASSETS UNDER MANAGEMENT

				Mutual Funds:
46,784		49,756		Beginning total mutual funds assets	49,756		48,170		51,835		51,016		46,784
873		1,086		Sales (other than money market)	1,086		1,100		963		758		873
(1,296	)	(962	)	Redemptions (other than money market)	(962	)	(1,358	)	(1,749	)	(1,385	)	(1,296	)
566		103		Reinvestment of distributions and change in market value	103		2,583		757		2,447		566
(2,900	)	(1,813	)	Net money market sales	(1,813	)	(2,792	)	(790	)	(6,052	)	(2,900	)
—		—		Acquisition	—		4,132		—		—		—

44,027		48,170		Ending total mutual funds assets	48,170		51,835		51,016		46,784		44,027

(423	)	124		Net Mutual Funds sales (redemptions) other than money market	124		(258	)	(786	)	(627	)	(423	)

				Wrap-fee Products (1):
19,833		15,153		Beginning total wrap-fee product assets	15,153		14,860		16,702		17,960		19,833
2,154		1,287		Sales (2)	1,287		1,462		1,754		1,612		2,154
(1,423	)	(1,178	)	Redemptions	(1,178	)	(1,345	)	(1,370	)	(1,361	)	(1,423	)
520		(402	)	Reinvestment of distributions and change in market value (2)	(402	)	1,725		874		1,622		520

21,084		14,860		Ending total wrap-fee product assets	14,860		16,702		17,960		19,833		21,084
—		16,712		Other managed accounts at end of period (3)	16,712		18,089		804		807		—

21,084		31,572		Total wrap-fee products and other managed accounts at end of period	31,572		34,791		18,764		20,640		21,084

731		109		Net wrap-fee product sales (1)	109		117		384		251		731

				MUTUAL FUNDS AND WRAP-FEE PRODUCTS GROSS SALES BY DISTRIBUTION CHANNEL

				Mutual funds, excluding wrap-fee products (4):
121		99		Prudential Agents	99		119		93		105		121
—		469		Financial Advisors	469		357		—		—		—
727		501		Third party distributors (5)	501		616		865		649		727
25		17		Other	17		8		5		4		25

873		1,086		Total	1,086		1,100		963		758		873

				Wrap-fee products (1):
139		118		Prudential Agents	118		80		102		117		139
—		1,054		Financial Advisors	1,054		1,215		—		—		—
2,015		115		Third party distributors (5)	115		167		1,652		1,495		2,015

2,154		1,287		Total	1,287		1,462		1,754		1,612		2,154

(1)	Excludes other managed accounts.

(2)

As a result of the combination of the company’s retail securities brokerage business with Wachovia Securities Financial Holdings, LLC, the Asset Management segment assumed responsibility for management of Latin American wrap-fee assets amounting to $383 million as of July 1, 2003 which were formerly managed within the International Investments segment. This balance is included in “Reinvestment of distributions and change in market value”. New sales related to this business are included in the Asset Management segment’s wrap-fee sales data commencing with the third quarter of 2003.

(3)

Other managed accounts which were associated with businesses that were combined into Wachovia Securities Financial Holdings, LLC on July 1, 2003 are no longer reported by Prudential Financial, Inc. as a component of its wrap-fee products and other managed accounts, commencing as of that date. These managed accounts amounted to $17.3 billion as of June 30, 2003.

(4)	Other than money market.

(5)

Page 23

Prudential Financial, Inc.

Quarterly Financial Supplement

First Quarter 2004

INVESTMENT DIVISION - RETIREMENT SALES RESULTS AND ACCOUNT VALUES

(in millions)


Year-to-date					2003								2004
2004		2003			1Q		2Q		3Q		4Q		1Q
				RETIREMENT SALES AND ACCOUNT VALUES

				Defined Contribution:
28,658		22,914		Beginning total account value	22,914		22,757		24,315		26,766		28,658
1,124		1,028		Sales	1,028		876		2,484		791		1,124
(1,535	)	(638	)	Withdrawals	(638	)	(1,270	)	(613	)	(860	)	(1,535	)
597		(547	)	Change in market value and interest credited	(547	)	1,952		580		1,961		597

28,844		22,757		Ending total account value	22,757		24,315		26,766		28,658		28,844

(411	)	390		Net sales (withdrawals)	390		(394	)	1,871		(69	)	(411	)

				Asset management of ending total account value:
				Proprietary	15,927		17,023		17,331		18,085		17,797
				Non-proprietary	6,830		7,292		9,435		10,573		11,047

				Total	22,757		24,315		26,766		28,658		28,844

				Guaranteed Products:
41,955		39,058		Beginning total account value	39,058		38,925		40,372		40,727		41,955
501		554		Sales	554		648		966		1,088		501
(842	)	(1,045	)	Withdrawals and benefits	(1,045	)	(1,020	)	(1,045	)	(903	)	(842	)
1,033		481		Change in market value and interest income	481		1,520		381		899		1,033
(387	)	(123	)	Other (1)	(123	)	299		53		144		(387	)

42,260		38,925		Ending total account value	38,925		40,372		40,727		41,955		42,260

(341	)	(491	)	Net sales (withdrawals)	(491	)	(372	)	(79	)	185		(341	)

				Product composition of ending total account value (2):
				Spread-based products	18,791		18,994		18,853		19,606		20,256
				Fee-based products	20,134		21,378		21,874		22,349		22,004

				Total	38,925		40,372		40,727		41,955		42,260

(1)	Represents changes in asset balances for externally managed accounts. Includes a $152 million reduction in account value as of January 1, 2004 reflecting the adoption of SOP 03-1.

(2)	Fee and spread based product account values at March 31, 2004, reflect the reclassification of $471 million of account values from fee based to spread based as of January 1, 2004, upon the adoption of SOP 03-1.

Page 24

Prudential Financial, Inc.

Quarterly Financial Supplement

First Quarter 2004

COMBINED STATEMENTS OF OPERATIONS - INTERNATIONAL INSURANCE AND INVESTMENTS DIVISION

(in millions)


Year-to-date				% Change			2003								2004
2004		2003		% Change			1Q		2Q		3Q		4Q		1Q
						Revenues (1):
1,330		1,141		17	%	Premiums	1,141		1,129		1,170		1,236		1,330
63		54		17	%	Policy charges and fee income	54		58		54		60		63
231		193		20	%	Net investment income	193		205		212		189		231
144		74		95	%	Commissions, investment management fees, and other income	74		87		85		64		144

1,768		1,462		21	%	Total revenues	1,462		1,479		1,521		1,549		1,768

						Benefits and Expenses (1):
1,064		906		17	%	Insurance and annuity benefits	906		865		894		949		1,064
76		25		204	%	Interest credited to policyholders’ account balances	25		27		27		30		76
1		—		—		Interest expense	—		1		1		1		1
(190	)	(177	)	-7	%	Deferral of acquisition costs	(177	)	(175	)	(157	)	(186	)	(190	)
79		74		7	%	Amortization of acquisition costs	74		71		69		70		79
519		456		14	%	General and administrative expenses	456		473		464		501		519

1,549		1,284		21	%	Total benefits and expenses	1,284		1,262		1,298		1,365		1,549

219		178		23	%	Adjusted operating income before income taxes	178		217		223		184		219

(1)	Revenues exclude realized investment gains, net of losses. Benefits and expenses exclude charges related to realized investment gains, net of losses.

Page 25

Prudential Financial, Inc.

Quarterly Financial Supplement

First Quarter 2004

COMBINING STATEMENTS OF OPERATIONS - INTERNATIONAL INSURANCE AND INVESTMENTS DIVISION

(in millions)


	Three Months Ended March 31, 2004
	Total International Insurance & Investments Division		International Insurance excl. Gibraltar Life		International Insurance - Gibraltar Life		International Investments
Revenues (1):
Premiums	1,330		752		578		—
Policy charges and fee income	63		44		19		—
Net investment income	231		72		150		9
Commissions, investment management fees, and other income	144		35		(4	)	113

Total revenues	1,768		903		743		122

Benefits and Expenses (1):
Insurance and annuity benefits	1,064		573		491		—
Interest credited to policyholders’ account balances	76		49		27		—
Interest expense	1		3		(3	)	1
Deferral of acquisition costs	(190	)	(135	)	(55	)	—
Amortization of acquisition costs	79		64		15		—
General and administrative expenses	519		228		174		117

Total benefits and expenses	1,549		782		649		118

Adjusted operating income before income taxes	219		121		94		4


	Three Months Ended March 31, 2003
	Total International Insurance & Investments Division		International Insurance excl. Gibraltar Life		International Insurance - Gibraltar Life		International Investments
Revenues (1):
Premiums	1,141		626		515		—
Policy charges and fee income	54		33		21		—
Net investment income	193		49		132		12
Commissions, investment management fees, and other income	74		(1	)	(2	)	77

Total revenues	1,462		707		666		89

Benefits and Expenses (1):
Insurance and annuity benefits	906		474		432		—
Interest credited to policyholders’ account balances	25		3		22		—
Interest expense	—		3		(3	)	—
Deferral of acquisition costs	(177	)	(130	)	(47	)	—
Amortization of acquisition costs	74		64		10		—
General and administrative expenses	456		193		177		86

Total benefits and expenses	1,284		607		591		86

Adjusted operating income before income taxes	178		100		75		3

(1)	Revenues exclude realized investment gains, net of losses. Benefits and expenses exclude charges related to realized investment gains, net of losses.

Page 26

Prudential Financial, Inc.

Quarterly Financial Supplement

First Quarter 2004

INTERNATIONAL INSURANCE SEGMENT - SUPPLEMENTARY INCOME STATEMENT INFORMATION

(Yen and Dollars in millions)


	2002									2003								2004
	1Q			2Q		3Q		4Q		1Q		2Q		3Q		4Q		1Q
Japanese Yen Basis Results:
Revenues (1):
Japanese insurance operations excluding Gibraltar Life	¥	57,529		¥	52,060	¥	55,622	¥	55,928	¥	62,904	¥	59,351	¥	64,695	¥	62,352	¥	74,107
Gibraltar Life		88,984			86,888		79,504		80,835		80,475		83,420		80,309		78,638		81,002

Total revenues, Japan, yen basis		146,513			138,948		135,126		136,763		143,379		142,771		145,004		140,990		155,109

Benefits and Expenses (1):
Japanese insurance operations excluding Gibraltar Life		45,660			43,639		46,387		45,390		52,737		48,803		53,806		50,148		62,136
Gibraltar Life		76,731			75,234		67,582		72,576		71,421		71,206		67,489		67,094		69,991

Total benefits and expenses, Japan, yen basis		122,391			118,873		113,969		117,966		124,158		120,009		121,295		117,242		132,127

Adjusted operating income (2):
Japanese insurance operations excluding Gibraltar Life		11,869			8,421		9,235		10,538		10,167		10,548		10,889		12,204		11,971
Gibraltar Life		12,253			11,654		11,922		8,259		9,054		12,214		12,820		11,544		11,011

Total adjusted operating income, Japan, yen basis	¥	24,122		¥	20,075	¥	21,157	¥	18,797	¥	19,221	¥	22,762	¥	23,709	¥	23,748	¥	22,982

U.S. Dollar adjusted operating income (3):
Japanese insurance operations excluding Gibraltar Life	$	101		$	72	$	80	$	89	$	85	$	84	$	88	$	100	$	103
Gibraltar Life		104			101		102		71		75		98		104		93		94

Total adjusted operating income, Japan, U.S. dollar basis		205			173		182		160		160		182		192		193		197
All other countries		(1	)		14		4		20		15		25		23		29		18

Total adjusted operating income, International Insurance segment, U.S. dollar basis	$	204		$	187	$	186	$	180	$	175	$	207	$	215	$	222	$	215

(1)	Revenues exclude realized investment gains, net of losses and related adjustments, and currency hedging. Benefits and expenses exclude charges related to realized investment gains, net of losses.

(2)	Adjusted operating income on yen basis excludes impact of currency hedging.

(3)	U.S. dollar adjusted operating income includes impact of currency hedging.

Page 27

Prudential Financial, Inc.

Quarterly Financial Supplement

First Quarter 2004

INTERNATIONAL INSURANCE AND INVESTMENTS DIVISION - SALES RESULTS AND SUPPLEMENTARY INFORMATION

(dollar amounts in millions unless otherwise noted)


Year-to-date			2003				2004
2004	2003		1Q	2Q	3Q	4Q	1Q
		INTERNATIONAL INSURANCE OPERATING DATA:

		Actual exchange rate basis (1):
		Net premiums, policy charges and fee income:
580	484	Japan, excluding Gibraltar Life	484	451	499	509	580
597	536	Gibraltar Life	536	552	527	566	597
216	175	All other countries	175	184	198	221	216

1,393	1,195	Total	1,195	1,187	1,224	1,296	1,393

		Annualized new business premiums:
128	106	Japan, excluding Gibraltar Life	106	85	95	112	128
62	64	Gibraltar Life	64	89	75	68	62
50	50	All other countries	50	46	53	61	50

240	220	Total	220	220	223	241	240

		Constant exchange rate basis (2):
		Net premiums, policy charges and fee income:
537	497	Japan, excluding Gibraltar Life	497	463	505	479	537
551	555	Gibraltar Life	555	567	540	543	551
212	178	All other countries	178	184	191	219	212

1,300	1,230	Total	1,230	1,214	1,236	1,241	1,300

		Annualized new business premiums:
119	109	Japan, excluding Gibraltar Life	109	87	97	105	119
58	67	Gibraltar Life	67	91	77	64	58
49	51	All other countries	51	48	51	61	49

226	227	Total	227	226	225	230	226

(1)	Translated based on applicable average exchange rates for the period shown.

(2)	Translated based on average exchange rates for the year ended December 31, 2003.

Page 28

Prudential Financial, Inc.

Quarterly Financial Supplement

First Quarter 2004

INTERNATIONAL INSURANCE AND INVESTMENTS DIVISION - SALES RESULTS AND SUPPLEMENTARY INFORMATION


	2003								2004
	1Q		2Q		3Q		4Q		1Q
Face amount of individual policies in force at end of period (in billions) (1):
(Constant exchange rate basis)
Japan, excluding Gibraltar Life	160		163		167		171		176
Gibraltar Life	230		226		222		218		215
All other countries	53		56		58		61		63

Total	443		445		447		450		454

Number of individual policies in force at end of period (in thousands):
Japan, excluding Gibraltar Life	1,069		1,099		1,137		1,180		1,231
Gibraltar Life	4,461		4,380		4,334		4,288		4,226
All other countries	716		745		786		830		863

Total	6,246		6,224		6,257		6,298		6,320

International insurance policy persistency (2):
13 months	93.3	%	93.1	%	92.9	%	92.8	%	92.7	%
25 months	86.9	%	87.1	%	87.1	%	87.0	%	86.7	%
Number of Life Planners at end of period (3):
Japan	2,159		2,175		2,293		2,347		2,422
All other countries	2,393		2,514		2,582		2,642		2,586

Total	4,552		4,689		4,875		4,989		5,008

(1)	Translated based on exchange rates as of December 31, 2003.

(2)	Excluding Gibraltar Life.

(3)	Excluding Gibraltar Life Advisors.

Page 29

Prudential Financial, Inc.

Quarterly Financial Supplement

First Quarter 2004

INVESTMENT PORTFOLIO COMPOSITION

(in millions)


	March 31, 2004					December 31, 2003
	Consolidated Portfolio	Closed Block Business	Financial Services Businesses			Consolidated Portfolio	Closed Block Business	Financial Services Businesses
	Consolidated Portfolio	Closed Block Business	Amount	% of Total		Consolidated Portfolio	Closed Block Business	Amount	% of Total
Fixed maturities:
Public, available for sale, at fair value	105,362	32,572	72,790	62.7	%	95,968	29,538	66,430	59.9	%
Public, held to maturity, at amortized cost	2,894	—	2,894	2.5	%	3,010	—	3,010	2.7	%
Private, available for sale, at fair value	32,712	15,056	17,656	15.2	%	32,973	15,052	17,921	16.2	%
Private, held to maturity, at amortized cost	55	—	55	0.0	%	58	—	58	0.1	%
Trading account assets, at fair value (5)	991	—	991	0.9	%	226	—	226	0.2	%
Equity securities, available for sale, at fair value	3,466	2,320	1,146	1.0	%	3,383	2,282	1,101	1.0	%
Commercial loans	18,639	7,131	11,508	9.9	%	18,780	7,006	11,774	10.6	%
Policy loans	8,163	5,492	2,671	2.3	%	8,152	5,543	2,609	2.4	%
Other long-term investments (2)	4,510	1,054	3,456	3.0	%	4,743	1,041	3,702	3.3	%
Short-term investments	5,386	2,473	2,913	2.5	%	7,633	3,581	4,052	3.6	%

Subtotal (1)	182,178	66,098	116,080	100.0	%	174,926	64,043	110,883	100.0	%

Invested assets of other entities and operations (3)	7,885	—	7,885			6,115	—	6,115

Total investments	190,063	66,098	123,965			181,041	64,043	116,998


Fixed Maturities byCredit Quality (1):	March 31, 2004						December 31, 2003
	Financial Services Businesses						Financial Services Businesses
	Amortized Cost	Gross Unrealized Gains	Gross Unrealized Losses	Fair Value	% of Total		Amortized Cost	Gross Unrealized Gains	Gross Unrealized Losses	Fair Value	% of Total
Public Fixed Maturities:

NAIC Rating (4) Rating Agency Equivalent
1 Aaa, Aa, A	53,762	2,901	168	56,495	74.6	%	50,133	2,247	210	52,170	75.1	%
2 Baa	15,455	1,149	67	16,537	21.8	%	13,767	900	91	14,576	21.0	%

Subtotal Investment Grade	69,217	4,050	235	73,032	96.4	%	63,900	3,147	301	66,746	96.1	%

3 Ba	1,601	179	9	1,771	2.3	%	1,580	167	11	1,736	2.5	%
4 B	706	74	5	775	1.0	%	757	89	3	843	1.2	%
5 C and lower	88	26	1	113	0.2	%	67	30	2	95	0.1	%
6 In or near default	38	7	2	43	0.1	%	34	3	1	36	0.1	%

Subtotal Below Investment Grade	2,433	286	17	2,702	3.6	%	2,438	289	17	2,710	3.9	%

Total	71,650	4,336	252	75,734	100.0	%	66,338	3,436	318	69,456	100.0	%

Private Fixed Maturities:

NAIC Rating (4) Rating Agency Equivalent
1 Aaa, Aa, A	4,585	448	3	5,030	28.4	%	4,647	400	7	5,040	28.0	%
2 Baa	8,684	892	4	9,572	54.0	%	8,749	749	13	9,485	52.6	%

Subtotal Investment Grade	13,269	1,340	7	14,602	82.4	%	13,396	1,149	20	14,525	80.6	%

3 Ba	1,734	149	6	1,877	10.6	%	2,004	146	13	2,137	12.1	%
4 B	479	41	2	518	2.9	%	508	38	3	543	3.0	%
5 C and lower	462	73	5	530	3.0	%	552	62	12	602	3.3	%
6 In or near default	176	12	4	184	1.1	%	168	7	3	172	1.0	%

Subtotal Below Investment Grade	2,851	275	17	3,109	17.6	%	3,232	253	31	3,454	19.4	%

Total	16,120	1,615	24	17,711	100.0	%	16,628	1,402	51	17,979	100.0	%

(1)

Excludes investments of securities brokerage operations, securities trading operations, banking operations, assets related to special purpose entities consolidated in accordance with FIN 46, assets of our asset management operations managed for third parties, and separate account assets for which the customer assumes risks of ownership.

(2)

Other long-term investments consist of real estate and non-real estate related investments in joint ventures (other than our equity investment in Wachovia Securities Financial Holdings, LLC) and partnerships, investment real estate held through direct ownership, our interest in separate account investments and other miscellaneous investments.

(3)

Includes invested assets of securities brokerage operations, securities trading operations, banking operations and assets related to special purpose entities consolidated in accordance with FIN 46. Excludes assets of our asset management operations managed for third parties and separate account assets for which the customer assumes risks of ownership. Our investment in Wachovia Securities Financial Holdings, LLC is included in “Other assets”.

(4)

Reflects equivalent ratings for investments of international insurance operations that are not rated by United States insurance regulatory authorities. Includes, as of March 31, 2004 and December 31, 2003, respectively, 183 securities with amortized cost of $3,515 million (fair value $3,648 million) and 223 securities with amortized cost of $2,952 million (fair value, $3,027 million) that have been categorized based on expected NAIC designations pending receipt of SVO ratings.

(5)	Trading account assets as of March 31, 2004 reflect the reclassification of $627 million of assets from separate account assets on January 1, 2004, upon adoption of SOP 03-1.

Page 30

Prudential Financial, Inc.

Quarterly Financial Supplement

First Quarter 2004

FINANCIAL SERVICES BUSINESSES INVESTMENT PORTFOLIO COMPOSITION

(in millions)


	March 31, 2004			December 31, 2003
	Amount	% of Total		Amount	% of Total
Japanese Insurance Operations:
Fixed maturities:
Public, available for sale, at fair value	29,411	74.6	%	28,488	74.3	%
Public, held to maturity, at amortized cost	2,894	7.3	%	3,010	7.8	%
Private, available for sale, at fair value	385	1.0	%	280	0.7	%
Private, held to maturity, at amortized cost	55	0.1	%	58	0.2	%
Trading account assets, at fair value (2)	834	2.1	%	88	0.2	%
Equity securities, available for sale, at fair value	964	2.5	%	934	2.4	%
Commercial loans	2,863	7.3	%	2,922	7.6	%
Policy loans	897	2.3	%	862	2.3	%
Other long-term investments (3)	1,087	2.8	%	1,291	3.4	%
Short-term investments	13	0.0	%	440	1.1	%

Total	39,403	100.0	%	38,373	100.0	%


	March 31, 2004			December 31, 2003
	Amount	% of Total		Amount	% of Total
Financial Services Businesses excluding Japanese Insurance Operations (1):
Fixed maturities:
Public, available for sale, at fair value	43,379	56.6	%	37,942	52.4	%
Public, held to maturity, at amortized cost	—	0.0	%	—	0.0	%
Private, available for sale, at fair value	17,271	22.5	%	17,641	24.3	%
Private, held to maturity, at amortized cost	—	0.0	%	—	0.0	%
Trading account assets, at fair value	157	0.2	%	138	0.2	%
Equity securities, available for sale, at fair value	182	0.2	%	167	0.2	%
Commercial loans	8,645	11.3	%	8,852	12.2	%
Policy loans	1,774	2.3	%	1,747	2.4	%
Other long-term investments (3)	2,369	3.1	%	2,411	3.3	%
Short-term investments	2,900	3.8	%	3,612	5.0	%

Total	76,677	100.0	%	72,510	100.0	%

(1)

(2)	Trading account assets as of March 31, 2004, include $627 million in assets reclassified from separate account assets upon the January 1, 2004, adoption of SOP 03-1.

(3)

Other long-term investments consist of real estate and non-real estate related investments in joint ventures and partnerships, investment real estate held through direct ownership, our interest in separate account investments and other miscellaneous investments. Our investment in Wachovia Securities Financial Holdings, LLC is included in “Other assets”.

Page 31

Prudential Financial, Inc.

Quarterly Financial Supplement

First Quarter 2004

FINANCIAL SERVICES BUSINESSES INVESTMENT RESULTS

(in millions)


	Three Months Ended March 31
	2004						2003
	Investment Income				Realized Gains / (Losses)		Investment Income				Realized Gains / (Losses)
	Yield (3)		Amount		Realized Gains / (Losses)		Yield (3)		Amount		Realized Gains / (Losses)
Financial Services Businesses (1) (4):
Fixed maturities	4.61	%	954		31		4.88	%	926		(80	)
Equity securities	2.09	%	5		25		0.98	%	3		(44	)
Commercial loans	6.74	%	194		16		6.92	%	201		6
Policy loans	4.62	%	30		—		5.83	%	44		—
Short-term investments and cash equivalents	1.43	%	23		—		2.20	%	28		—
Other investments	6.58	%	73		(23	)	8.85	%	93		10

Gross investment income before investment expenses	4.76	%	1,279		49		5.18	%	1,295		(108	)
Investment expenses	-0.19	%	(64	)	—		-0.16	%	(57	)	—

Subtotal	4.57	%	1,215		49		5.02	%	1,238		(108	)

Investment results of other entities and operations (2)			30		(57	)			44		—
Less, investment income relating to divested businesses			1						(30	)

Total			1,246		(8	)			1,252		(108	)

(1)	Excludes investments of securities brokerage operations, securities trading operations, assets of our asset management operations managed for third parties, and separate account assets for which the customer assumes risks of ownership.

(2)	Investment income of securities brokerage and securities trading operations.

(3)

Yields are annualized, for interim periods, and based on quarterly average carrying values except for fixed maturities, equity securities and securities lending activity. Yields for fixed maturities are based on amortized cost. Yields for equity securities are based on cost. Yields for securities lending activity are calculated net of corresponding liabilities and rebate expenses.

(4)	Prior period amounts are presented on a basis consistent with current reporting practices.

Page 32

Prudential Financial, Inc.

Quarterly Financial Supplement

First Quarter 2004

FINANCIAL SERVICES BUSINESSES INVESTMENT RESULTS - JAPANESE INSURANCE OPERATIONS

(in millions)


	Three Months Ended March 31
	2004					2003
	Investment Income				Realized Gains / (Losses)	Investment Income				Realized Gains / (Losses)
	Yield (1)		Amount		Realized Gains / (Losses)	Yield (1)		Amount		Realized Gains / (Losses)
Japanese Insurance Operations (2):
Fixed maturities	1.89	%	150		10	1.69	%	116		8
Equity securities	1.24	%	3		23	0.82	%	2		(42	)
Commercial loans	4.27	%	31		3	4.74	%	37		8
Policy loans	3.22	%	7		—	2.89	%	5		—
Short-term investments and cash equivalents	8.51	%	—		—	0.51	%	—		—
Other investments	7.19	%	25		—	7.55	%	23		(2	)

Gross investment income before investment expenses	2.29	%	216		36	2.17	%	183		(28	)
Investment expenses	-0.22	%	(20	)	—	-0.27	%	(23	)	—

Total	2.07	%	196		36	1.90	%	160		(28	)

(1)

(2)	Prior period amounts are presented on a basis consistent with current reporting practices.

Page 33

Prudential Financial, Inc.

Quarterly Financial Supplement

First Quarter 2004

FINANCIAL SERVICES BUSINESSES INVESTMENT RESULTS - EXCLUDING JAPANESE INSURANCE OPERATIONS

(in millions)


	Three Months Ended March 31
	2004						2003
	Investment Income				Realized Gains / (Losses)		Investment Income				Realized Gains / (Losses)
	Yield (2)		Amount		Realized Gains / (Losses)		Yield (2)		Amount		Realized Gains / (Losses)
Financial Services Businesses excluding Japanese Insurance Operations (1) (3):
Fixed maturities	6.32	%	804		21		6.73	%	810		(88	)
Equity securities	8.12	%	2		2		1.51	%	1		(2	)
Commercial loans	7.56	%	163		13		7.73	%	164		(2	)
Policy loans	5.32	%	23		—		6.72	%	39		—
Short-term investments and cash equivalents	1.39	%	23		—		2.33	%	28		—
Other investments	6.29	%	48		(23	)	9.38	%	70		12

Gross investment income before investment expenses	6.13	%	1,063		13		6.74	%	1,112		(80	)
Investment expenses	-0.17	%	(44	)	—		-0.10	%	(34	)	—

Total	5.96	%	1,019		13		6.64	%	1,078		(80	)

(1)	Excludes investments of securities brokerage operations, securities trading operations, assets of our asset management operations managed for third parties, and separate account assets for which the customer assumes risks of ownership.

(2)

(3)	Prior period amounts are presented on a basis consistent with current reporting practices.

Page 34

Prudential Financial, Inc.

Quarterly Financial Supplement

First Quarter 2004

RECLASSIFIED INSURANCE DIVISION - ANNUITIES SALES RESULTS AND ACCOUNT VALUES

(in millions)


	2002								2003
	1Q		2Q		3Q		4Q		1Q		2Q		3Q		4Q
ANNUITY SALES AND ACCOUNT VALUES (1)
Variable Annuities:
Beginning total account value	18,689		18,435		16,802		14,961		15,338		14,965		39,780		40,815
Sales	374		406		339		276		331		1,070		1,469		1,548
Surrenders and withdrawals	(534	)	(563	)	(487	)	(447	)	(418	)	(924	)	(1,159	)	(1,215	)

Net sales (redemptions)	(160	)	(157	)	(148	)	(171	)	(87	)	146		310		333
Benefit payments	(73	)	(74	)	(70	)	(56	)	(66	)	(114	)	(136	)	(133	)

Net flows	(233	)	(231	)	(218	)	(227	)	(153	)	32		174		200
Change in market value, interest credited, and other	31		(1,352	)	(1,580	)	646		(180	)	2,447		990		3,072
Policy charges	(52	)	(50	)	(43	)	(42	)	(40	)	(95	)	(129	)	(138	)
Acquisition	—		—		—		—		—		22,431		—		—

Ending total account value	18,435		16,802		14,961		15,338		14,965		39,780		40,815		43,949

Fixed Annuities:
Beginning total account value	2,975		2,909		3,048		3,260		3,396		3,473		3,498		3,523
Sales	37		181		224		163		110		57		47		33
Surrenders and withdrawals	(42	)	(36	)	(31	)	(34	)	(34	)	(32	)	(33	)	(42	)

Net sales (redemptions)	(5	)	145		193		129		76		25		14		(9	)
Benefit payments	(35	)	(35	)	(36	)	(39	)	(41	)	(46	)	(39	)	(36	)

Net flows	(40	)	110		157		90		35		(21	)	(25	)	(45	)
Interest credited and other	(26	)	30		56		47		43		47		51		37
Policy charges	—		(1	)	(1	)	(1	)	(1	)	(1	)	(1	)	(1	)

Ending total account value	2,909		3,048		3,260		3,396		3,473		3,498		3,523		3,514

(1)

Page 35

Prudential Financial, Inc.

Quarterly Financial Supplement

First Quarter 2004

RECLASSIFIED INSURANCE DIVISION - INDIVIDUAL LIFE ACCOUNT VALUE ACTIVITY

(in millions)


	2002								2003
	1Q		2Q		3Q		4Q		1Q		2Q		3Q		4Q
INDIVIDUAL LIFE INSURANCE (1):
Policyholders’ Account Balances (2):
Beginning balance	3,826		3,924		3,992		4,033		4,112		4,205		4,275		4,373
Premiums and deposits	227		226		223		226		249		237		248		281
Surrenders and withdrawals	(135	)	(138	)	(157	)	(137	)	(122	)	(143	)	(137	)	(147	)

Net sales	92		88		66		89		127		94		111		134
Benefit payments	(15	)	(27	)	(14	)	(14	)	(22	)	(20	)	(25	)	(20	)

Net flows	77		61		52		75		105		74		86		114
Interest credited and other	23		15		5		27		20		27		39		55
Net transfers (to) from separate account	14		14		5		(4	)	(7	)	(2	)	(1	)	10
Policy charges	(16	)	(22	)	(21	)	(19	)	(25	)	(29	)	(26	)	(32	)

Ending balance	3,924		3,992		4,033		4,112		4,205		4,275		4,373		4,520

Separate Account Liabilities:
Beginning balance	13,010		13,129		12,117		10,702		11,412		11,235		12,511		12,843
Premiums and deposits	396		468		430		563		373		379		354		328
Surrenders and withdrawals	(124	)	(132	)	(209	)	(245	)	(157	)	(177	)	(132	)	(134	)

Net sales	272		336		221		318		216		202		222		194
Benefit payments	(15	)	(7	)	(4	)	(9	)	(5	)	(8	)	(5	)	(4	)

Net flows	257		329		217		309		211		194		217		190
Change in market value, interest credited and other	111		(1,097	)	(1,385	)	624		(154	)	1,311		340		1,181
Net transfers to general account	(38	)	(37	)	(44	)	(14	)	(29	)	(23	)	(21	)	(29	)
Policy charges	(211	)	(207	)	(203	)	(209	)	(205	)	(206	)	(204	)	(204	)

Ending balance	13,129		12,117		10,702		11,412		11,235		12,511		12,843		13,981

(1)	Account value tables have been reformatted to separately display net sales (representing premiums and deposits net of surrenders and withdrawals) and net flows (representing net sales less benefit payments). Data reported for earlier periods has been conformed to the current presentation.

(2)	Includes fixed rate funds, alliance deposits, supplementary contracts and deferred revenues on variable products.

Page 36

Prudential Financial, Inc.

Quarterly Financial Supplement

First Quarter 2004

RECLASSIFIED INSURANCE DIVISION - ANNUITIES ACCOUNT VALUE ACTIVITY

(in millions)


	2002								2003
	1Q		2Q		3Q		4Q		1Q		2Q		3Q		4Q
INDIVIDUAL ANNUITIES (1):
Account Values in General Account (2):
Beginning balance	6,152		5,825		6,093		6,533		6,795		7,073		7,457		7,614
Premiums and deposits	228		372		403		292		270		327		263		209
Surrenders and withdrawals	(118	)	(113	)	(105	)	(108	)	(107	)	(100	)	(102	)	(120	)

Net sales	110		259		298		184		163		227		161		89
Benefit payments	(62	)	(64	)	(66	)	(61	)	(73	)	(78	)	(71	)	(69	)

Net flows	48		195		232		123		90		149		90		20
Interest credited and other	(46	)	70		89		79		76		71		105		62
Net transfers (to) from separate account	(328	)	5		121		62		114		8		(36	)	(34	)
Policy charges	(1	)	(2	)	(2	)	(2	)	(2	)	(2	)	(2	)	(2	)
Acquisition	—		—		—		—		—		158		—		—

Ending balance	5,825		6,093		6,533		6,795		7,073		7,457		7,614		7,660

Account Values in Separate Account:
Beginning balance	15,512		15,519		13,757		11,688		11,939		11,365		35,821		36,724
Premiums and deposits	183		215		160		147		171		800		1,253		1,372
Surrenders and withdrawals	(458	)	(486	)	(413	)	(373	)	(345	)	(856	)	(1,090	)	(1,137	)

Net sales (redemptions)	(275	)	(271	)	(253	)	(226	)	(174	)	(56	)	163		235
Benefit payments	(46	)	(45	)	(40	)	(34	)	(34	)	(82	)	(104	)	(100	)

Net flows	(321	)	(316	)	(293	)	(260	)	(208	)	(138	)	59		135
Change in market value, interest credited and other	51		(1,392	)	(1,613	)	614		(213	)	2,423		936		3,047
Net transfers (to) from general account	328		(5	)	(121	)	(62	)	(114	)	(8	)	36		34
Policy charges	(51	)	(49	)	(42	)	(41	)	(39	)	(94	)	(128	)	(137	)
Acquisition	—		—		—		—		—		22,273		—		—

Ending balance	15,519		13,757		11,688		11,939		11,365		35,821		36,724		39,803

(1)	Account value tables have been reformatted to separately display net sales (representing premiums and deposits net of surrenders and withdrawals) and net flows (representing net sales less benefit payments). Data reported for earlier periods has been conformed to the current presentation.

(2)

Page 37

Prudential Financial, Inc.

Quarterly Financial Supplement

First Quarter 2004

KEY DEFINITIONS AND FORMULAS

1. Adjusted operating income before income taxes:

Adjusted operating income is a non-GAAP measure that excludes realized investment gains, net of losses, and related charges and adjustments; results of divested businesses and discontinued operations; cumulative effect of accounting change; and the related tax effects thereof. Revenues and benefits and expenses shown as components of adjusted operating income, are presented on the same basis as pre-tax adjusted operating income and exclude these items as well. Adjusted operating income should not be viewed as a substitute for net income determined in accordance with GAAP, and our definition of adjusted operating income may differ from that used by other companies. The excluded items are important to an understanding of our overall results of operations. However, we believe that the presentation of adjusted operating income as we measure it for management purposes enhances the understanding of our results of operations by highlighting the results from ongoing operations and the underlying profitability factors of our businesses.

2. After-tax adjusted operating income:

Adjusted operating income before taxes, as defined above, less the income tax effect applicable to adjusted operating income before taxes.

3. Assets Under Management:

Fair market value or account value of assets which Prudential manages directly in proprietary products, such as mutual funds and variable annuities, in separate accounts, wrap-fee products and the general account, and assets invested in investment options included in the Company’s products that are managed by third party sub-managers (i.e., the non-proprietary investment options in the Company’s products).

4. Attributed Equity:

Amount of capital assigned to each of the Company’s segments for purposes of measuring segment adjusted operating income before income taxes, established at a level which management considers necessary to support the segment’s risks. Attributed equity for the Financial Services Businesses represents all of the Company’s equity that is not included in the Closed Block Business.

5. Book value per share of Common Stock:

Equity attributed to Financial Services Businesses divided by the number of Common shares outstanding at end of period, on a diluted basis.

6. Borrowings - General Corporate Purposes:

Amounts used for general corporate purposes include those used for cash flow timing mismatches at Prudential Financial, Prudential Financial’s investments in equity and debt securities of subsidiaries, and amounts utilized for regulatory capital purposes.

7. Borrowings - Investment Related:

Debt issued to finance specific investment assets or portfolios of investment assets, including institutional spread lending investment portfolios, real estate, and real estate related investments held in consolidated joint ventures, as well as institutional and insurance company portfolio cash flow timing differences.

8. Borrowings - Securities Business Related:

Debt issued to finance primarily the liquidity of our broker-dealers, and our capital markets and other securities business related operations.

9. Borrowings - Specified Other Businesses:

Borrowings associated with consumer banking activities, the individual annuity business, real estate franchises, and relocation services.

10. Client Assets:

Fair market value of assets in client accounts of International brokerage operations, Prudential Bank and mortgage loan servicing business, that are not included in Assets Under Management. Prudential does not receive a management or administrative fee on these assets, but may receive a fee for executing trades, custody or recordkeeping services. For periods prior to July 1, 2003, also includes fair market value of assets in client accounts of Prudential Securities businesses combined into Wachovia Securities Financial Holdings, LLC.

Page 38

Prudential Financial, Inc.

Quarterly Financial Supplement

First Quarter 2004

KEY DEFINITIONS AND FORMULAS

11. Earned Premiums:

The portion of a premium, net of any amount ceded, that represents coverage already provided or that belongs to the insurer based on the part of the policy period that has passed.

12. Earnings Per Share of Common Stock:

Net income for the Financial Services Businesses and the Closed Block Business is determined in accordance with GAAP and includes general and administrative expenses charged to each of the businesses based on the Company's methodology for the allocation of such expenses. Cash flows between the Financial Services Businesses and the Closed Block Business related to administrative expenses are determined by a policy servicing fee arrangement that is based upon insurance and policies in force and statutory cash premiums. To the extent reported administrative expenses vary from these cash flow amounts, the differences are recorded, on an after-tax basis, as direct equity adjustments to the equity balances of each business. The direct equity adjustments modify earnings available to holders of Common Stock and Class B Stock for earnings per share purposes. Earnings per share of Common Stock based on adjusted operating income of the Financial Services Businesses reflects these adjustments as well.

13. General Account:

Invested assets and policyholder liabilities and reserves for which the Company bears the investment risk. Excludes assets recognized for statutory purposes that are specifically allocated to a separate account. General account assets also include assets of the parent company, Prudential Financial, Inc.

14. Gibraltar Life Advisors:

Insurance representatives for Gibraltar Life.

15. Group Life Insurance and Group Disability Insurance Administrative Operating Expense Ratios:

Ratio of administrative operating expenses (excluding commissions) to gross premiums, policy charges and fee income.

16. Group Life Insurance and Group Disability Insurance Benefits Ratios:

Ratio of policyholder benefits to earned premiums, policy charges and fee income.

17. Individual Life Insurance Sales:

Scheduled premiums from new sales on an annualized basis and first year excess premiums and deposits on a cash-received basis.

18. Insurance and Annuity Benefits:

Total death benefits, annuity benefits, disability benefits, other policy benefits, and losses paid or incurred, under insurance and annuity contracts, plus the change in reserves for future policy benefits, losses and loss adjustment expenses.

19. International Life Planners:

Insurance agents in our insurance operations outside the United States, excluding Gibraltar Life Advisors.

20. New annualized premiums:

Premiums from new sales that are expected to be collected over a one year period. Group insurance new annualized premiums exclude new premiums resulting from rate changes on existing policies, from additional coverage issued under our Servicemembers’ Group Life Insurance contract, and from excess premiums on group universal life insurance that build cash value but do not purchase face amounts. Group insurance new annualized premiums include premiums from the takeover of claim liabilities.

21. Non-recourse and Limited-recourse Debt:

Limited and non-recourse borrowing is where the holder is entitled to collect only against the assets pledged to the debt as collateral or has only very limited rights to collect against other assets.

Page 39

Prudential Financial, Inc.

Quarterly Financial Supplement

First Quarter 2004

KEY DEFINITIONS AND FORMULAS

22. Operating return on average equity (based on adjusted operating income):

Adjusted operating income after-tax (giving effect to the direct equity adjustment for earnings per share calculation), annualized for interim periods, divided by average attributed equity for the Financial Services Businesses excluding unrealized gains and losses on investments.

An alternative measure to operating return on average equity (based on adjusted operating income) is return on average equity (based on income from continuing operations). Return on average equity (based on income from continuing operations) represents income from continuing operations after-tax as determined in accordance with GAAP (giving effect to the direct equity adjustment for earnings per share calculation), annualized for interim periods, divided by average total attributed equity for the Financial Services Businesses. Return on average equity (based on income from continuing operations) is 7.60% for the three months ended March 31, 2004, 4.44% for the three months ended March 31, 2003, 10.12% for the three months ended December 31, 2003, 4.99% for the three months ended September 30, 2003 and 2.19% for the three months ended June 30, 2003.

23. Policy Persistency - Group Insurance:

Percentage of the premiums in force at the end of the prior year that are still in force at the end of the period (excluding Servicemembers' Group Life Insurance and Prudential Employee Benefit Plan).

24. Policy Persistency - International Insurance:

13 month persistency represents the percentage of policies issued that are still in force at the beginning of their second policy year. 25 month persistency represents the percentage of policies issued that are still in force at the beginning of their third policy year.

25. Prudential Agents:

Insurance agents in our insurance operations in the United States.

26. Prudential Agent productivity:

Commissions on new sales of all products by Prudential Agents under contract for the entire period, divided by the number of those Prudential Agents. Excludes commissions on new sales by Prudential Agents hired or departed during the period. For interim reporting periods, the productivity measures are annualized.

27. Ratio of corporate debt to total capitalization:

For purposes of this ratio, we measure “debt” as the sum of borrowings for general corporate purposes, excluding debt related to Equity Security Units, and 20% of the amount corresponding to contractual obligation of holders of Equity Security Units for purchase of Prudential Financial, Inc. Common Stock, and we measure “total capitalization” as the sum of equity excluding unrealized gains and losses on investments, corporate debt excluding Equity Security Units and the amount corresponding to contractual obligation of holders of Equity Security Units for purchase of Prudential Financial, Inc. Common Stock.

28. Redeemable Capital Securities:

Capital Trust Certificates of Prudential Financial Capital Trust I (element of Equity Security Units).

29. Separate Accounts:

Assets of our insurance companies allocated under certain policies and contracts that are segregated from the general account and other separate accounts. The policyholder or contractholder predominantly bears the risk of investments held in a separate account.

30. Wrap-Fee Products:

Investment products generating asset-based fees in which the funds of the customer are generally invested in other investment products such as mutual funds.

Page 40

Prudential Financial, Inc.

Quarterly Financial Supplement

First Quarter 2004

RATINGS AND INVESTOR INFORMATION

INSURANCE CLAIMS PAYING RATINGS

as of May 4, 2004


	A.M. Best	Standard & Poor’s	Moody’s	Fitch Ratings
The Prudential Insurance Company of America	A+	A+	A1	AA-
PRICOA Global Funding I	NR*	A+	A1	NR
PRUCO Life Insurance Company	A+	A+	A1	AA-
PRUCO Life Insurance Company of New Jersey	A+	A+	NR	NR
American Skandia Life Assurance Corporation	A+	A+	NR	AA-
CIGNA Life Insurance Co. (1)	A+	A+	NR	NR
The Prudential Life Insurance Co., Ltd. (Prudential of Japan)	A+	AA-	NR	NR
Gibraltar Life Insurance Company, Ltd.	NR	A	A2	NR

CREDIT RATINGS: as of May 4, 2004

Prudential Financial, Inc.:
Short-Term Borrowings	AMB-1	A-2	P-2	F1
Long-Term Senior Debt	a-	A-	A3	A
Retail Notes	NR	A-	A3	NR
Redeemable Capital Securities	a-	A-	A3	A

The Prudential Insurance Company of America :
Capital and surplus notes	a	A-	A3	A

Prudential Funding, LLC:
Short-Term Debt	AMB-1	A-1	P-1	F1
Long-Term Senior Debt	a+	A+	A2	A+

*	NR indicates not rated.

(1)	Acquired on April 1, 2004. Results of CIGNA will be included in the results of the Company commencing with the date of acquisition.


INVESTOR INFORMATION:

Corporate Offices:		Investor Information Hotline:

Prudential Financial, Inc.		Dial 877-998-ROCK for additional printed information or inquiries.
751 Broad Street
Newark, New Jersey 07102
		Web Site:

		www.prudential.com

Publicly Traded Securities:

Common Stock of Prudential Financial, Inc. is traded on the New York Stock Exchange under the symbol PRU.

Equity Security Units of Prudential Financial, Inc. are traded on the New York Stock Exchange under the symbol PFA.

Page 41

Form: 8-K

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