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Oldwick, N.J.-(Business Wire)-(May 23, 2006)-A.M. Best Co. has affirmed the financial strength rating of A++ (Superior) of The Northwestern Mutual Life Insurance Company (Northwestern Mutual) and its subsidiary, Northwestern Long Term Care Insurance Company (both of Milwaukee, WI). Concurrently, A.M. Best affirmed the issuer credit rating of “aaa” of Northwestern Mutual. A.M. Best has also affirmed the debt rating of “aaa” on the $350 million 5.625% senior unsecured notes of its subsidiary, Frank Russell Company (Russell) (Tacoma, WA). Principal and interest payments on these securities are unconditionally guaranteed by Northwestern Mutual. The outlook for all ratings is stable.

These ratings are a reflection of Northwestern Mutual’s well regarded individual life insurance franchise, conservative operating profile, excellent earnings performance and superior risk-adjusted capitalization. The ratings also recognize the loyalty and productivity of the Northwestern Mutual Financial Network, its exclusive distribution system, as well as the competitive advantages derived from historically favorable investment, expense, persistency and mortality experience in its core business lines.

Offsetting these factors is the company’s recent history of sluggish life sales, reflecting the increasingly competitive individual life insurance market. Additionally, Northwestern Mutual’s career agency system head count has begun to slowly decline, as the company remains challenged to effectively recruit and retain productive sales professionals. A.M. Best notes that concerns over the declining fundamentals within Northwestern Mutual’s career agency system are heightened by the lack of distribution diversification. Nevertheless, relative to its peers, Northwestern Mutual’s agent retention rates remain quite favorable.

Northwestern Mutual has consistently provided individual life policyowners with dividend rates that are among the industry’s highest, contributing to both its marketing efforts as well as its excellent policy persistency. The growth and stability of the inforce business, combined with Northwestern Mutual’s focus on operating fundamentals, has enabled it to consistently generate favorable earnings from its traditional individual life insurance segment. In addition, the company has conservatively grown its individual annuity business and improved the profitability of its individual disability income line. Additionally, A.M. Best believes that the negative statutory book value associated with the company’s investment in Russell is a source of significant embedded value and effectively understates Northwestern Mutual’s capital and surplus.

Broadening Northwestern Mutual’s global presence in asset management, Russell’s mutual funds are distributed through the Northwestern Mutual Financial Network, as well as to other retail clients through financial institutions, registered investment advisors and brokers. Russell funds are also made available as investment options in Northwestern Mutual’s variable products. Russell has experienced favorable growth in revenues and operating earnings, enabling it to provide sufficient stand-alone debt service coverage, notwithstanding the guarantee. Furthermore, Northwestern Mutual’s financial leverage is expected to remain in the low single digits, consistent with its conservative approach to balance sheet management.

For Best’s Debt Ratings, all other Best’s Ratings, an overview of the rating process and rating methodologies, please visit www.ambest.comatings.

A.M. Best Co., established in 1899, is the world’s oldest and most authoritative insurance rating and information source. For more information, visit A.M. Best’s Web site at www.ambest.com.

Check out Northwestern Mutual’s New Online Test

(Milwaukee, Wis. - May 25, 2006) - So how much do you know when it comes to financial matters? To many, the answer is ‘probably not as much as I should,’ especially as multiple research studies show Americans are behind the curve on many important aspects of financial intelligence. But now, Americans have an opportunity to see where they’re at and do something about it thanks to the new Money Maladies Test (MMT) from Northwestern Mutual.

The test, available online at www.moneymaladiestest.com, features fourteen questions from a recent national study1 conducted by Northwestern Mutual that gauged America’s familiarity with subjects tied to financial strategies. The study found that while Americans comprehend the basics, they aren’t grasping more relevant financial matters that can affect their future.

For instance, Americans can identify terms such as asset allocation, and diversification, yet they are unclear on specific details of their company-sponsored insurance programs, unaware of the purpose of 529 plans, and uncertain as to the best protection against inflation, among other things.

“Our research shows that most Americans don’t have the depth of knowledge needed to address strategies for financial security, so we developed a tool that can help benchmark their financial literacy,” says Meridee Maynard, senior vice president at Milwaukee-based Northwestern Mutual. “Our new online test does just that, and provides people with much needed resources to help improve their financial futures.”

The Northwestern Mutual Life Insurance Company, Milwaukee, WI (Northwestern Mutual), the nation’s largest direct provider of individual life insurance, according to statistics compiled from A. M. Best data, has always received the best possible insurance financial strength ratings from Standard & Poor’s, Fitch Ratings, A. M. Best and Moody’s. The company has also been recognized as one of the “50 Best Companies to Sell For,” by Selling Power magazine (2005).

The company, its subsidiaries and affiliates are also providers of annuities, mutual funds, long-term care insurance, disability income insurance and employee benefit services to the group employee and executive markets. These products and services are distributed through the representatives of the Northwestern Mutual Financial Network. Among Northwestern Mutual’s affiliated companies are those that comprise the Russell Investment Group, which provide investment management and advisory services; Northwestern Mutual Investment Services, LLC (NMIS), a wholly-owned company of Northwestern Mutual, broker-dealer and member NASD and SIPC; and Northwestern Mutual Wealth Management Company, a wholly-owned company of Northwestern Mutual, limited purpose federal savings bank and a registered investment adviser which provides financial planning, investment management and trust services. A subsidiary, Northwestern Long Term Care Insurance Company, offers long-term care insurance.