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					               December 31, 2010

               Annual Report




            International Stock Portfolio




                                    This report is authorized for distribution only to
                                    those who have received a copy of the portfolio’s
                                    prospectus.

                                    T. Rowe Price Investment Services, Inc., Distributor.




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              T. Rowe Price International Stock Portfolio
              Highlights
              • International stock markets were volatile but sharply higher in the final months of the reporting period.
              • The portfolio outperformed its MSCI benchmark and generated returns that were generally in line with its Lipper
                peer group for the 6- and 12-month periods ended December 31, 2010.
              • Our investment focus remains on companies with durable global franchises that can grow their earnings and cash flow
                at a double-digit rate over the long term.
              • Our research is uncovering attractive growth opportunities across a broad array of international stock markets, and we
                remain especially encouraged by the prospects for emerging markets.




                           The views and opinions in this report were current as of December 31, 2010. They are not
                           guarantees of performance or investment results and should not be taken as investment
                           advice. Investment decisions reflect a variety of factors, and the managers reserve the
                           right to change their views about individual stocks, sectors, and the markets at any time.
                           As a result, the views expressed should not be relied upon as a forecast of the fund’s
                           future investment intent. The report is certified under the Sarbanes-Oxley Act, which
                           requires mutual funds and other public companies to affirm that, to the best of their
                           knowledge, the information in their financial reports is fairly and accurately stated in all
                           material respects.




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            Manager’s Letter
            T. Rowe Price International Stock Portfolio

            Dear Investor                                                                has delivered unusually strong results. Your portfolio
                                                                                         focuses on long-term performance and avoids fad
                    We are pleased to report favorable results for the                   investments and momentum trading. We believe that
                    6- and 12-month periods ended December 31, 2010.                     over the long term, stock prices move with earnings
                    The portfolio’s outperformance of its index was in large             and cash flow growth, meaning simply that if a company
                    part due to our talented research team and our disci-                grows free cash flow by 15% a year, its stock should
                    plined stock selection process. In the past six months,              appreciate at roughly the same rate. We search for
                    we did a good job of selecting stocks in Europe and                  companies we think can generate double-digit earnings
                    Japan. We believe emerging economies offer strong                    growth over time by participating in expanding markets,
                    growth prospects over the intermediate and longer term,              taking market share, or improving profitability faster
                    and that emphasis also produced solid results. The                   than sales. We think that if we can find those companies
                    portfolio remains broadly diversified across regions,                and pay a fair price for their stocks, we can compound
                    countries, and sectors and focused on companies with                 absolute returns at double-digit levels and provide solid
                    the best long-term growth prospects.                                 long-term relative results.
                                                                                         We work with our industry analysts and other T. Rowe
                     Performance Comparison                                              Price portfolio managers to find companies that fit
                                                       Total Return                      these criteria. We look for the best stocks wherever
                    Periods Ended 12/31/10        6 Months    12 Months                  we may find them rather than employing a regional,
                                                                                         country, or sector focus. While we are mindful of the
                    International Stock                                                  broad economic conditions in regions and countries,
                    Portfolio                       27.09%         14.46%                the portfolio’s composition is primarily determined
                    MSCI All Country World                                               by individual stock considerations.
                    ex-U.S.A. Index                 25.12          11.60
                    Lipper Variable Annuity
                    Underlying International                                          Market Review
                    Growth Funds Average            27.16          14.17                 Six months ago, I wrote about the market’s extreme
                                                                                         swings. I’m not sure if this is sad or funny, but most of
                    The International Stock Portfolio generated a strong                 the short-term prevailing sentiment that I referred to in
                    27.09% return for the six months and a 14.46% gain                   the last letter has flip-flopped once again. Commodities
                    for the year ended December 31, 2010. As shown in the                have rebounded, Japan is now the market of doom, and
                    Performance Comparison table, the portfolio performed                Europe is now priced as though it will work its way
                    in line with its Lipper peer group average and outper-               through its austerity issues. QE2, which was once an
                    formed the benchmark MSCI All Country World ex-                      acronym for a luxury cruise ship, is now an acronym for
                    U.S.A. Index. Our performance versus the MSCI index                  the second round of Federal Reserve quantitative easing.
                    benefited from strong stock selection in the materials,              We question this monetary policy initiative, but market
                    energy, and consumer staples sectors over the past six               opinion seems to have blessed it. If I have learned only
                    months. However, stock selection and our overweight                  one thing in my 23 years of investing experience, it’s that
                    allocation in the consumer discretionary sector detracted            when the market views all news as shades of good, it is
                    from relative results. On a regional basis, stock selection          time to be trimming, and when all the news is taken as
                    in Europe (ex U.K.) and the U.S. generated strong con-               shades of bad, it is time to be adding. I think the mar-
                    tributions to relative performance, while our holdings in            ket’s rosy take on many of the recent events is reason for
                    the Asia (ex Japan) region detracted from relative results.          near-term caution. Accordingly, we have increased the
                    Overall, stock selection and allocation decisions were               portfolio’s cash reserves moderately. Overall, our inter-
                    beneficial in our comparison with the MSCI benchmark                 mediate-term view is that economies and earnings are
                    over the last six months.                                            improving, but we believe that progress is going to be
                                                                                         made in fits and starts: moving forward, then pausing
                                                                                         before moving forward again.
            Portfolio Strategy                                                           At this time, our investment decisions are being shaped
                    Our core investment philosophy is to buy and hold                    by the following views:
                    high-quality growth companies, especially those with                 • Economies and earnings are improving in
                    a competitive advantage in their respective markets.                   most regions.
                    Since the bear market low in early 2009, the portfolio


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                    • Interest rates have remained low in mature markets              Market Performance
                      but have been rising in developing markets, which
                      could prove to be a near-term headwind for                                                   Local
                      emerging countries.                                            Six Months        Local Currency vs.                  U.S.
                                                                                     Ended 12/31/10 Currency U.S. Dollars                Dollars
                    • Consumer spending in emerging markets should
                                                                                     United Kingdom 21.39%                       4.65%   27.03%
                      continue to be a strong global growth driver.
                                                                                     Japan                  8.83                 9.11    18.74
                    • The turmoil in Greece and the resultant contagion in
                      other European countries may not be resolved quickly           China                 11.31                 2.91    11.50
                      and will slow growth for companies that operate in             Switzerland            5.30            15.69        21.82
                      the region.                                                    Brazil                16.12                 8.58    26.08
                    • Financials, especially in the banking segment, is              France                12.49                 9.52    23.20
                      likely to face higher capital requirements, which
                                                                                     United States         23.81                   –     23.81
                      will undoubtedly mean more regulation and lower
                      return on equity.                                              India                 13.60                 3.87    17.99
                    • Government policy decisions are increasingly affecting         Source: RIMES Online, using MSCI indices.
                      our investment decisions.
                                                                                     Japan’s economy continues to struggle. The strong yen
                    As bottom-up stock pickers, we analyze every company
                                                                                     has made exports more expensive. Because exports are
                    using several criteria. First, we determine the quality of
                                                                                     a huge catalyst for the economy, the Bank of Japan
                    its management, growth potential, fundamental merits,
                                                                                     launched a bond buying program to stimulate growth
                    and ability to generate cash flow over time. We attempt
                                                                                     and drive the yen down. However, many of the large-
                    to discern if the management team is effective in deploy-
                                                                                     cap, export-oriented companies came through the latest
                    ing its free cash flow. We also look to see if the company
                                                                                     downturn in relatively good shape. Although Japanese
                    is taking market share and whether it has pricing power.
                                                                                     stocks appear historically cheap in our view—profit
                    Next, we analyze whether the stock, at current prices,
                                                                                     margins and cash flows could be poised to turn higher—
                    offers a good risk/reward proposition over the next few
                                                                                     the economy’s lack of growth, long-term structural debt,
                    years. Additionally, we are paying increasing attention to
                                                                                     and high unemployment are significant headwinds that
                    how government policy will affect companies in various
                                                                                     need to be addressed.
                    regions and sectors. Balancing the answers to these
                    questions shapes our buying and selling decisions and,           The last month of the reporting period was very positive
                    ultimately, the size of the positions in the portfolio.          for Japanese and European stocks, which was a reversal
                                                                                     from most of the prior 11 months. In fact, in many devel-
                                                                                     oped market countries, the lion’s share of the year’s gains
            Market Environment                                                       came in December. Emerging markets, on the other hand,
                                                                                     had been strong performers for most of the year but took
                    In our view, many similarities exist between the markets
                                                                                     a breather in the final quarter. Overall, emerging and
                    in Europe and the U.S. Both were hit hard in the eco-
                                                                                     developed markets posted similarly strong gains in the
                    nomic downturn. Each has serious issues with its bank-
                                                                                     last six months, but emerging markets outperformed for
                    ing system, and both have struggled to some degree in
                                                                                     the full year.
                    addressing them this year. One of the biggest issues for
                    Europe earlier in 2010 was currency weakness, although           We believe that emerging markets have performed well
                    the euro rebounded as the period progressed. On the              because their companies are growing faster than those
                    banking front, the fiscal crisis in Europe was somewhat          in most mature markets. This is particularly the case in
                    worse than in the U.S. Several of the heavily indebted           Latin America and Asia, where many firms are increasing
                    countries, including Greece, Ireland, Spain, and                 revenues by 25% or more per year. Our emerging mar-
                    Portugal, began to put pressure on the European Union.           kets exposure totals nearly one-third of the portfolio.
                                                                                     Additionally, many of our holdings based in developed
                    The worst of the sovereign debt crisis has passed, but
                                                                                     markets generate a portion of their sales and earnings
                    we think some countries will be forced to restructure
                                                                                     from emerging countries. There are pockets of strength
                    their debt in the future. Europe has done a reasonable
                                                                                     in developed markets, but it’s more of a mixed bag.
                    job, at least for now, in dealing with the issue. Although
                    the austerity programs that have been put in place in
                    several countries are likely to lead to slower growth, we
                    think that the European policymakers have made some
                    good fiscal decisions.
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                    The European sovereign debt crisis was in some ways a            We have witnessed a complete rerating in several sectors
                    positive for emerging markets because it eased some of           and across different regions. When a broad swath of
                    the inflation pressures. While we continue to have con-          investors embrace an investment theme that is somewhat
                    cerns about near-term inflation (a factor that hampered          open-ended, its valuations can go sky-high. For example,
                    emerging markets’ returns in the final months of the             a few years ago, Chinese banks traded at about 13 times
                    period), we think that emerging markets equities will            earnings and consumer stocks were priced near 15 times
                    benefit over the intermediate term from modest economic          earnings. Currently, Chinese banks trade near 10 times
                    growth in the U.S., Europe, and Japan. If, as we expect,         earnings and China’s consumer stocks are quoted at
                    these conditions play out, the longer-term environment           about a 20 multiple. The consumer theme in China has
                    for emerging markets investing remains promising.                benefited from the government’s five-year policy to bol-
                                                                                     ster consumer spending. This situation is not unique to
                                                                                     China and exists in several other emerging markets. In
            Portfolio Review                                                         the near term, these higher valuations could limit the
                                                                                     price appreciation in some consumer stocks.
                    Geographic Diversification
                                                                                     Where We Were Positioned and Why
                       Middle East                                                   Our goal is to continually improve the quality of the com-
                        and Africa                          Other and                panies that we own, and we remain vigilant in managing
                               2%                           Reserves                 risks relative to the potential return of our holdings.
                                                            3%                       Investing in European countries could remain challenging
                     North America
                               9%                           Europe                   because governments in the region will need to focus on
                     Latin America                          43%                      balance sheet repair at the expense of economic growth.
                             11%                                                     We were somewhat underweight in Europe, but it was
                              Japan                                                  not because we thought the euro would weaken or its
                               11%                                                   troubles would spread. It was largely because we found
                                                                                     more compelling opportunities in other regions.
                                                            Pacific
                                                            ex Japan                 Consumer discretionary was the portfolio’s best-performing
                                                            21%                      sector for the past six and 12 months and its largest
                    Based on net assets as of 12/31/10.                              overweight allocation at the end of the reporting period.
                                                                                     Switzerland-based Compagnie Financière Richemont,
                                                                                     one of the world’s premiere luxury goods companies with
                    Domestic consumption in emerging markets was our best
                                                                                     brands including Cartier and Van Cleef & Arpels, surged
                    investment theme this year. We think it could remain a
                                                                                     during the reporting period. Sales of the company’s high-
                    source of market strength for the next three to five years
                                                                                     end jewelry, watches, writing instruments, and clothing
                    and possibly longer. The divergence between emerging
                                                                                     benefited as stock markets rebounded and sentiment
                    markets consumer stocks and the “old economy” market
                                                                                     improved about future economic growth. Similarly, Ctrip.
                    segments has been cavernous over the last 12 months.
                                                                                     com International, a Chinese provider of discount hotel
                    For example, Brazil’s second-largest retailer, Lojas
                                                                                     reservations, airline tickets, and package tours, posted
                    Renner, nearly doubled since we purchased it in January.
                                                                                     good revenues and earnings over the last six months
                    In the same span, longtime portfolio holding and one-
                                                                                     thanks in part to improved consumer spending. The
                    time highflier Petroleo Brasileiro declined about 17%.
                                                                                     portfolio also generated good results from Honda and
                    Within emerging markets, the performance difference
                                                                                     Carnival Cruise Lines, a pair of recent purchases.
                    over the past year between export commodity stocks and
                    domestic consumer stocks was likely the largest in the
                    last 10 years. In Brazil, the government is making sure
                    that wages go up, which is benefiting consumer spend-
                    ing, and it is taxing some of its resource base, which has
                    hurt commodity-related stocks. (Please refer to the port-
                    folio of investments for a complete listing of holdings
                    and the amount each represents in the portfolio.)




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                                                                                                    it generated disappointing results in the last six months
                     Sector Diversification                                                         and for the year, we believe it will be a good longer-term
                                                             Percent of Net Assets                  performer as projects are completed and earnings accel-
                                                             6/30/10      12/31/10                  erate. In the technology sector, software holdings were
                    Financials                                17.8%         16.6%                   weakest. Autonomy and Alibaba.com were among the
                                                                                                    few stocks that declined during the past six months. We
                    Consumer Discretionary                    15.9          16.6                    eliminated our position in Nintendo.
                    Consumer Staples                          15.1          14.3
                    Industrials and
                    Business Services                          9.3               10.6            Investment Outlook
                    Energy                                     9.5               10.5               In hindsight, we could have been more aggressive and
                    Information Technology                     9.1                9.9               done a better job of taking advantage of the low valua-
                    Materials                                  8.1                8.9               tions in the market during the past six months. However,
                                                                                                    we continue to see some dark clouds on the intermediate-
                    Health Care                                6.2                4.4
                                                                                                    term horizon. We believe that non-U.S. stocks are likely
                    Telecommunication Services                 5.6                4.0               to generate positive results in 2011, but returns will be
                    Utilities                                  1.3                1.4               choppy. Fortunately, we are bottom-up investors and
                    Other and Reserves                         2.1                2.8               invest for the long term, making only modest tactical
                                                                                                    allocation shifts around our big-picture thoughts.
                    Total                                    100.0%             100.0%
                    Historical weightings reflect current industry/sector classifications.
                                                                                                    As always, we remain focused on owning companies
                                                                                                    that have solid balance sheets and are able to take
                    Several of our holdings in consumer staples also gener-                         market share. We believe that thorough fundamental
                    ated good results over the last 12 months. Portuguese                           research will be critical to investment success. We think
                    retailer Jerónimo Martins was a standout contributor                            that over the next few years, non-U.S. markets are likely
                    for the last six months and the year. The company                               to generate more normal returns than the outsized gains
                    operates convenience stores and supermarket chains in                           we have enjoyed for the past two years. However, earn-
                    Portugal and Poland and is involved in food distribution                        ings are improving around the globe, and it appears that
                    and consumer products manufacturing. A little more                              interest rates are going to stay low in mature markets for
                    than a year ago, we established a large position in                             another year. We like the prospects for emerging markets
                    Anheuser-Busch InBev, and the stock has also been a                             over the long term, but we are in a period when inflation
                    strong contributor.                                                             pressures could limit returns.

                    The fund’s best contributor since the end of June was
                    materials holding Antofagasta, the Chilean copper min-                          Respectfully submitted,
                    ing company and railroad network operator in Chile,
                    Bolivia, and Peru. Potash Corporation of Saskatchewan,
                    the Canadian fertilizer manufacturer that we purchased
                    earlier this year, was another top performer.
                                                                                                    Robert W. Smith
                    Energy stocks, which had been our worst performers                              Chairman of the Investment Advisory Committee
                    early in the year, recovered nicely in the second half.
                    We generated decent 12-month results from several                               January 7, 2011
                    new positions, including CNOOC and Tullow Oil.                                  The committee chairman has day-to-day responsibility for
                    Longtime holding Royal Dutch Shell and BP were                                  managing the portfolio and works with committee members
                    good contributors in the past six months, and stock                             in developing and executing its investment program.
                    selection within the sector was beneficial.
                    Although every sector in the portfolio generated positive
                    absolute performance in the last six months, the indus-
                    trials and business services and information technology
                    sectors were detractors from relative returns due to stock
                    selection. Indian holding Jaiprakash Associates has
                    been a prime beneficiary of infrastructure spending and
                    continues to take market share in its segment. Although


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            T. Rowe Price International Stock Portfolio




              Risks of International Investing                                  Portfolio Highlights
              Portfolios that invest overseas generally carry more risk         Twenty-Five Largest Holdings
              than those that invest strictly in U.S. assets. Portfolios
              investing in a single country or in a limited geographic                                                                     Percent of
                                                                                                                                           Net Assets
              region tend to be riskier than more-diversified portfolios.
                                                                                Company                             Country                 12/31/10
              Risks can result from varying stages of economic and
              political development; differing regulatory environments,         WPP                                 United Kingdom                1.9%
              trading days, and accounting standards; and higher                Credit Suisse                       Switzerland                   1.7
              transaction costs of non-U.S. markets. Non-U.S. invest-           Royal Dutch Shell                   United Kingdom                1.6
              ments are also subject to currency risk, or a decline in
                                                                                Itaú Unibanco                       Brazil                        1.6
              the value of a foreign currency versus the U.S. dollar,
              which reduces the dollar value of securities denominated          Anglo American                      United Kingdom                1.5
              in that currency.                                                 Tesco                               United Kingdom                1.5
                                                                                AXA                                 France                        1.4
                                                                                Samsung Electronics                 South Korea                   1.4
              Glossary
                                                                                Julius Baer                         Switzerland                   1.4
              Lipper averages: The averages of available mutual fund
                                                                                Antofagasta                         Chile                         1.4
              performance returns for specified periods in defined
              categories as tracked by Lipper Inc.                              Compagnie Financière
                                                                                Richemont                           Switzerland                   1.4
              MSCI All Country World ex-U.S.A. Index: An index
                                                                                Mitsubishi                          Japan                         1.4
              that measures equity market performance of developed
              and emerging countries, excluding the U.S.                        Honda                               Japan                         1.4
                                                                                Telefónica                          Spain                         1.4
                                                                                Schlumberger                        United States                 1.4
                                                                                Linde                               Germany                       1.3
                                                                                Compass Group                       United Kingdom                1.3
                                                                                Nestle                              Switzerland                   1.2
                                                                                Fresenius                           Germany                       1.2
                                                                                British Sky Broadcasting            United Kingdom                1.2
                                                                                Mitsui                     Japan                                  1.2
                                                                                Anheuser-Busch InBev       Belgium                                1.1
                                                                                WorleyParsons              Australia                              1.1
                                                                                Jupiter Telecommunications Japan                                  1.1
                                                                                Standard Chartered         United Kingdom                         1.1
                                                                                Total                                                            34.2%

                                                                                Note: The information shown does not reflect any exchange-traded funds
                                                                                (ETFs), cash reserves, or collateral for securities lending that may be held
                                                                                in the portfolio.




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            Performance and Expenses
            T. Rowe Price International Stock Portfolio



               Growth of $10,000                                                                  Fund Expense Example
             This chart shows the value of a hypothetical $10,000                                 As a mutual fund shareholder, you may incur two types of costs: (1) trans-
                                                                                                  action costs, such as redemption fees or sales loads, and (2) ongoing costs,
             investment in the portfolio over the past 10 fiscal year                             including management fees, distribution and service (12b-1) fees, and
             periods or since inception (for portfolios lacking 10-year                           other fund expenses. The following example is intended to help you under-
             records). The result is compared with benchmarks, which                              stand your ongoing costs (in dollars) of investing in the fund and to com-
             may include a broad-based market index and a peer group                              pare these costs with the ongoing costs of investing in other mutual funds.
             average or index. Market indexes do not include expenses,                            The example is based on an investment of $1,000 invested at the begin-
                                                                                                  ning of the most recent six-month period and held for the entire period.
             which are deducted from portfolio returns as well as
             mutual fund averages and indexes.                                                    Actual Expenses
                                                                                                  The first line of the following table (“Actual”) provides information about
              International Stock Portfolio                                                       actual account values and actual expenses. You may use the information
                                                                                                  in this line, together with your account balance, to estimate the expenses
                                                                                                  that you paid over the period. Simply divide your account value by $1,000
                                                                             As of                (for example, an $8,600 account value divided by $1,000 = 8.6), then mul-
                                                                           12/31/10
                                                                           ________               tiply the result by the number in the first line under the heading “Expenses
                $30,000           International Stock Portfolio             $13,190               Paid During Period” to estimate the expenses you paid on your account
                                  MSCI All Country World ex-U.S.A. Index    $17,862               during this period.
                    25,000        Lipper Variable Annuity Underlying        $15,200
                                  International Growth Funds Average                              Hypothetical Example for Comparison Purposes
                    20,000                                                                        The information on the second line of the table (“Hypothetical”) is
                                                                                                  based on hypothetical account values and expenses derived from the
                    15,000
                                                                                                  fund’s actual expense ratio and an assumed 5% per year rate of return
                    10,000                                                                        before expenses (not the fund’s actual return). You may compare the
                                                                                                  ongoing costs of investing in the fund with other funds by contrasting
                     5,000                                                                        this 5% hypothetical example and the 5% hypothetical examples that
                                                                                                  appear in the shareholder reports of the other funds. The hypothetical
                        0                                                                         account values and expenses may not be used to estimate the actual
                         12/00 12/01 12/02 12/03 12/04 12/05 12/06 12/07 12/08 12/09 12/10
                                                                                                  ending account balance or expenses you paid for the period.

                                                                                                  You should also be aware that the expenses shown in the table highlight
                                                                                                  only your ongoing costs and do not reflect any transaction costs, such as
              Average Annual Compound Total Return                                                redemption fees or sales loads. Therefore, the second line of the table is
              Periods Ended 12/31/10                    1 Year       5 Years     10 Years         useful in comparing ongoing costs only and will not help you determine
                                                                                                  the relative total costs of owning different funds. To the extent a fund
              International Stock Portfolio            14.46%         3.79%           2.81%       charges transaction costs, however, the total cost of owning that fund
                                                                                                  is higher.
              Current performance may be higher or lower than the quoted past
              performance, which cannot guarantee future results. Share price,
              principal value, and return will vary, and you may have a gain or                    International Stock Portfolio
              loss when you sell your shares. For the most recent month-end
              performance, please contact a T. Rowe Price representative at                                                                                      Expenses
              1-800-469-6587 (financial advisors, or customers who have an                                                     Beginning        Ending        Paid During
              advisor, should call 1-800-638-8790). Total returns do not include                                                 Account       Account            Period*
              charges imposed by your insurance company’s separate account. If                                                     Value          Value        7/1/10 to
              these had been included, performance would have been lower.                                                         7/1/10      12/31/10          12/31/10

              This table shows how the portfolio would have performed each                         Actual                      $1,000.00     $1,270.90              $6.01
              year if its actual (or cumulative) returns for the periods shown                     Hypothetical
              had been earned at a constant rate. Average annual total return                      (assumes 5% return
              figures include changes in principal value, reinvested dividends,                    before expenses)             1,000.00       1,019.91              5.35
              and capital gain distributions. When assessing performance,
              investors should consider both short- and long-term returns.                         *Expenses are equal to the portfolio’s annualized expense ratio for
                                                                                                    the 6-month period (1.05%), multiplied by the average account
                                                                                                    value over the period, multiplied by the number of days in the
                                                                                                    most recent fiscal half year (184) divided by the days in the year
                                                                                                    (365) to reflect the half-year period.




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            Financial Highlights
            T. Rowe Price International Stock Portfolio




                                                                                                  For a share outstanding throughout each period

                                                                     Year
                                                                    Ended
                                                                   12/31/10‡          12/31/09‡        12/31/08‡       12/31/07‡       12/31/06‡

             NET ASSET VALUE
             Beginning of period                               $    12.27        $        8.24     $    17.71      $    17.97      $    15.31

             Investment activities
               Net investment income                                  0.12                0.24           0.26            0.26            0.18
               Net realized and unrealized gain (loss)                1.65                4.07          (8.88)           2.01            2.74
               Total from investment activities                       1.77                4.31          (8.62)           2.27            2.92

             Distributions
              Net investment income                                  (0.12)              (0.28)         (0.29)          (0.28)          (0.20)
              Net realized gain                                      (0.04)               –             (0.56)          (2.25)          (0.06)
              Total distributions                                    (0.16)              (0.28)         (0.85)          (2.53)          (0.26)

             NET ASSET VALUE
             End of period                                     $    13.88        $       12.27     $     8.24      $    17.71      $    17.97


             Ratios/Supplemental Data

             Total return(1)                                   14.46%                    52.39%        (48.70)%         13.03%          19.09%
             Ratio of total expenses to average net assets      1.05%                     1.05%          1.05%           1.05%           1.05%
             Ratio of net investment income to average
             net assets                                         0.96%                     2.39%          1.83%           1.34%           1.13%
             Portfolio turnover rate                           57.4%                     66.8%          60.4%           73.4%           62.7%
             Net assets, end of period
             (in thousands)                                $ 320,758             $ 297,698         $ 202,480       $ 483,184       $ 508,167

             ‡      Per share amounts calculated using average shares outstanding method.
             (1)    Total return reflects the rate that an investor would have earned on an investment in the fund during each period,
                    assuming reinvestment of all distributions. Total return is not annualized for periods less than one year.




            The accompanying notes are an integral part of these financial statements.


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            Portfolio of Investments‡
            T. Rowe Price International Stock Portfolio
            December 31, 2010

                                               Shares       Value                                       Shares     Value
            (Cost and value in $000s)                                   (Cost and value in $000s)

             ARGENTINA 0.9%
                                                                        Preferred Stocks 1.7%
             Common Stocks 0.9%                                         Itau UniBanco                 220,020     5,274
             Tenaris, ADR (USD) (4)           57,800       2,831                                                  5,274
             Total Argentina
             (Cost $2,296)                                 2,831        Total Brazil
                                                                        (Cost $11,875)                           20,757
             AUSTRALIA 1.6%
                                                                        CANADA 4.0%
             Common Stocks 1.6%
                                                                        Common Stocks 4.0%
             Macquarie Group                  37,765       1,429
                                                                        Potash Corporation of
             WorleyParsons                   131,991       3,610
                                                                             Saskatchewan (USD)        21,200     3,282
             Total Australia                                            Shaw Communications
             (Cost $4,331)                                 5,039             Class B (USD)             97,000     2,074
                                                                        Shoppers Drug Mart (4)         62,700     2,493
             BELGIUM 1.1%                                               Sun Life Financial (USD)       54,400     1,637
             Common Stocks 1.1%                                         Suncor Energy (USD)            88,900     3,404

             Anheuser-Busch InBev             63,260       3,618        Total Canada
                                                                        (Cost $10,318)                           12,890
             Anheuser-Busch InBev (1)         84,536           1
             Total Belgium                                              CHILE 1.4%
             (Cost $958)                                   3,619
                                                                        Common Stocks 1.4%
             BRAZIL 6.5%                                                Antofagasta (GBP)             181,125     4,552
             Common Stocks 4.8%                                         Total Chile
                                                                        (Cost $2,506)                             4,552
             Banco Santander Brasil
                   ADR (USD)                 203,500       2,768
             Cielo                           146,900       1,190        CHINA 8.3%
             Hypermarcas (1)                  38,300         520        Common Stocks 8.3%
             Lojas Renner                     64,600       2,195
                                                                        Alibaba.com (HKD)(4)          723,000     1,302
             PDG Realty                      448,100       2,743
                                                                        Baidu, ADR (USD)(1)            18,100     1,747
             Petroleo Brasileiro
                                                                        Beijing Enterprises (HKD)     329,500     2,033
                   ADR (USD)                  83,180       2,842
                                                                        China Citic Bank, H Shares
             Vale, ADR (USD)                  87,700       2,650
                                                                              (HKD)                  3,425,000    2,216
             Weg                              43,800         575
                                                                        China Construction Bank
                                                          15,483              H Shares (HKD)         1,901,620    1,713
                                                                        China National Building
                                                                              H Shares (HKD)          622,000     1,424
                                                                        China Railway
                                                                              Construction
                                                                              H Shares (HKD)         1,551,000    1,868
                                                                        CNOOC (HKD)                    563,000    1,343



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                                               Shares       Value                                        Shares     Value
            (Cost and value in $000s)                                   (Cost and value in $000s)

             Ctrip.com International                                    Preferred Stocks 1.9%
                   ADR (USD)(1)               53,000       2,144
                                                                        Fresenius                       45,036     3,856
             Hengan International
                   Group (HKD)               171,000       1,475        Henkel                          33,300     2,071
             Parkson Retail (HKD)          1,633,500       2,513                                                   5,927
             Ping An Insurance
                   H Shares (HKD)             66,000         736        Total Germany
             Sina (USD)(1)                    17,400       1,198        (Cost $11,317)                            14,065
             Tencent Holdings (HKD)          116,500       2,563
                                                                        HONG KONG 1.2%
             Want Want China
                   Holdings (HKD)          2,843,000       2,502
                                                                        Common Stocks 1.2%
             Total China                                                AIA Group (1)                  418,200     1,176
             (Cost $21,974)                               26,777
                                                                        Kerry Properties               249,500     1,294
             DENMARK 2.0%                                               Li & Fung                      252,000     1,473
                                                                        Total Hong Kong
             Common Stocks 2.0%                                         (Cost $2,921)                              3,943
             Carlsberg, Series B              20,200       2,023
             Novo Nordisk                     26,560       2,995        INDIA 4.8%
             Pandora (1)                      21,200       1,277
                                                                        Common Stocks 4.8%
             Total Denmark                                              Adani Power (1)                770,390     2,247
             (Cost $3,329)                                 6,295
                                                                        Axis Bank                       53,800     1,622
             FRANCE 5.3%                                                BF Investment (1)               29,518        99
                                                                        Educomp Solutions               88,926     1,057
             Common Stocks 5.3%                                         Housing Development
             Air Liquide                      23,700       2,997              Finance                   143,881    2,339
             AXA                             278,073       4,626        Jaiprakash Associates         1,057,970    2,507
             Danone                           43,328       2,722        Reliance Industries              83,529    1,976
             Pernod-Ricard                    36,693       3,450        United Spirits Limited           64,931    2,126
             Schneider Electric               11,897       1,781        Zee Entertainment
                                                                              Enterprises              393,700     1,294
             Societe Generale                 27,604       1,484
                                                                        Total India
             Total France                                               (Cost $12,216)                            15,267
             (Cost $14,987)                               17,060

                                                                        INDONESIA 0.4%
             GERMANY 4.4%
                                                                        Common Stocks 0.4%
             Common Stocks 2.5%
                                                                        Sarana Menara Nusantara (1)    825,500     1,186
             Brenntag (1)                     14,400       1,468
             Deutsche Boerse                  34,640       2,398        Total Indonesia
                                                                        (Cost $1,110)                              1,186
             Linde                            28,156       4,272
                                                           8,138



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                                               Shares       Value                                     Shares   Value
            (Cost and value in $000s)                                    (Cost and value in $000s)

             ISRAEL 0.8%                                                 NETHERLANDS 0.8%

             Common Stocks 0.8%                                          Common Stocks 0.8%
             Teva Pharmaceutical                                         ASML                         67,123   2,592
                  ADR (USD)                   49,400       2,575
                                                                         Total Netherlands
             Total Israel                                                (Cost $1,231)                         2,592
             (Cost $2,334)                                 2,575
                                                                         NORWAY 0.4%
             JAPAN 11.1%
                                                                         Common Stocks 0.4%
             Common Stocks 11.1%                                         Subsea 7 (1)(4)              49,960   1,301
             Fanuc                             8,900       1,367
                                                                         Total Norway
             Honda                           110,600       4,380         (Cost $511)                           1,301
             Jupiter
                   Telecommunications          3,430       3,608
                                                                         OMAN 0.2%
             Kirin Holdings                  175,000       2,455
             Konica Minolta                  187,000       1,944         Common Stocks 0.2%
             Mitsubishi                      163,000       4,413         Bank Muscat (SAOG)          236,057    589
             Mitsubishi Estate                53,000         983         Total Oman
             Mitsui                          225,800       3,730         (Cost $358)                            589
             Nitori                            8,650         756
             Shin-Etsu Chemical               26,200       1,420         PORTUGAL 0.9%
             Softbank                         54,000       1,870
                                                                         Common Stocks 0.9%
             Sony Financial                      851       3,443
                                                                         Jeronimo Martins            196,938   3,000
             Terumo                           35,200       1,981
             Tokyo Electron                   51,800       3,279         Total Portugal
                                                                         (Cost $880)                           3,000
             Total Japan
             (Cost $27,524)                               35,629
                                                                         RUSSIA 1.1%

             MEXICO 1.7%                                                 Common Stocks 1.1%

             Common Stocks 1.7%                                          Magnit, GDR (USD)            57,807   1,694
                                                                         Rosneft, GDR (USD)          250,551   1,794
             America Movil, ADR (USD)         58,400       3,349
             Wal-Mart de Mexico              753,100       2,152         Total Russia
                                                                         (Cost $2,139)                         3,488
             Total Mexico
             (Cost $1,099)                                 5,501
                                                                         SINGAPORE 0.5%

                                                                         Common Stocks 0.5%
                                                                         Singapore
                                                                              Telecommunications     675,000   1,604
                                                                         Total Singapore
                                                                         (Cost $1,482)                         1,604



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                                               Shares       Value                                         Shares   Value
            (Cost and value in $000s)                                    (Cost and value in $000s)

             SOUTH KOREA 3.1%                                            TAIWAN 1.2%

             Common Stocks 3.1%                                          Common Stocks 1.2%
             NHN (1)                          12,066       2,413         Hon Hai Precision              336,326    1,356
             Samsung Electronics               5,492       4,592         Synnex Technology
             Shinsegae (1)                     5,343       2,891             International              885,530    2,390

             Total South Korea                                           Total Taiwan
             (Cost $7,366)                                 9,896         (Cost $2,513)                             3,746


             SPAIN 2.7%                                                  TURKEY 0.3%

             Common Stocks 2.7%                                          Common Stocks 0.3%
             Banco Santander                 309,141       3,275         Turkiye Garanti Bankasi        162,000     821
             Iberdrola Renovables             23,134          82         Total Turkey
             Inditex                          13,084         980         (Cost $791)                                821
             Telefonica                      192,388       4,361
                                                                         UNITED ARAB EMIRATES 0.8%
             Total Spain
             (Cost $6,614)                                 8,698         Common Stocks 0.8%
                                                                         DP World (USD)                4,336,264   2,732
             SWEDEN 0.2%
                                                                         Total United Arab Emirates
             Common Stocks 0.2%                                          (Cost $983)                               2,732
             Atlas Copco, A Shares            31,600        797
                                                                         UNITED KINGDOM 16.1%
             Total Sweden
             (Cost $784)                                    797          Common Stocks 16.1%
                                                                         Anglo American                  93,320    4,853
             SWITZERLAND 8.1%
                                                                         Autonomy (1)                    76,889    1,804
             Common Stocks 8.1%                                          BG Group                       117,200    2,368
             Compagnie Financiere                                        BHP Billiton                    78,587    3,126
                   Richemont, Class A         77,222       4,542         British Sky Broadcasting       334,599    3,839
             Credit Suisse                   133,505       5,379         Capita Group                   177,984    1,933
             Julius Baer                      97,765       4,580         Compass Group                  450,067    4,077
             Kuehne & Nagel                   24,745       3,440         Kingfisher                     685,426    2,815
             Nestle                           68,340       4,002         Rolls-Royce (1)                258,866    2,514
             Roche Holding -                                             Royal Dutch Shell, B Shares    160,429    5,290
                   Genusscheine               17,453       2,557         Serco Group                    254,123    2,201
             SGS Group                           833       1,398         Standard Chartered             130,481    3,510
             Total Switzerland                                           Tesco                          707,088    4,685
             (Cost $20,101)                               25,898         Tullow Oil                     131,561    2,587




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            T. Rowe Price International Stock Portfolio




                                                  Shares          Value                                                   Shares           Value
            (Cost and value in $000s)                                          (Cost and value in $000s)


                                                                               Repurchase Agreements 0.2%
             WPP                                497,361          6,122
                                                                               Credit Suisse (USA), Tri-
             Total United Kingdom                                                   Party, Dated
             (Cost $40,531)                                    51,724               12/31/10, 0.20%
                                                                                    Delivery Value of
                                                                                    $597,466 on 1/3/11
             UNITED STATES 5.3%                                                     Collateralized by U.S.
                                                                                    Government
             Common Stocks 5.3%                                                     securities, 0.625% -
             Accenture, Class A                  67,700          3,283              3.125%, 5/31/11-
                                                                                    9/30/13, valued at
             Carnival                            66,400          3,062
                                                                                    $609,408                            597,456              597
             Liberty Global (1) (4)              64,700          2,289
                                                                               Deustche Bank Securities
             NII Holdings, Class B (1)           40,200          1,795              Tri-Party, Dated
             Philip Morris International         36,700          2,148              12/31/10, 0.22%
             Schlumberger                        52,100          4,351              Delivery Value of
                                                                                    $134,671 on 1/3/11
             Total United States                                                    Collateralized by U.S.
             (Cost $11,516)                                    16,928               Government
                                                                                    securities, 0.00%-
                                                                                    0.00%, 6/20/11-
             SHORT-TERM INVESTMENTS 2.3%
                                                                                    11/15/22, valued at
                                                                                    $137,362                            134,668              135
             Money Market Funds 2.3%
             T. Rowe Price Reserve                                                                                                          732
               Investment Fund
               0.27% (2)(3)                   7,295,281          7,295         Total Investments through Securities Lending
                                                                               Program with JPMorgan Chase Bank                           4,312
             Total Short-Term Investments
             (Cost $7,295)                                      7,295
                                                                               Total Securities Lending Collateral
             SECURITIES LENDING COLLATERAL 1.3%                                (Cost $4,312)                                              4,312

             Investments in a Pooled Account through Securities Lending
             Program with JPMorgan Chase Bank 1.3%                             Total Investments in Securities
                                                                               100.8% of Net Assets (Cost $240,502)            $       323,407
             Money Market Funds 1.1%
             T. Rowe Price Reserve
                                                                                        ‡    Country classifications are generally based on MSCI
                  Investment Fund
                                                                                             categories or another unaffiliated third party data
                  0.27% (2)(3)                3,580,351          3,580                       provider; securities are denominated in the currency
                                                                3,580                        of the country presented unless otherwise noted.
                                                                                       (1)   Non-income producing
                                                                                       (2)   Seven-day yield
                                                                                       (3)   Affiliated Companies
                                                                                       (4)   All or a portion of this security is on loan at
                                                                                             December 31, 2010 -- total value of such securities
                                                                                             at period-end amounts to $4,176. See Note 3.
                                                                                    ADR      American Depository Receipts
                                                                                    GBP      British Pound
                                                                                    GDR      Global Depository Receipts
                                                                                    HKD      Hong Kong Dollar
                                                                                    USD      U.S. Dollar




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            T. Rowe Price International Stock Portfolio




             Affiliated Companies
             ($000s)


             The fund may invest in certain securities that are considered affiliated companies. As defined by the 1940 Act, an affiliated
             company is one in which the fund owns 5% or more of the outstanding voting securities, or a company which is under
             common ownership or control. Based on the fund’s relative ownership, the following securities were considered affiliated
             companies for all or some portion of the year ended December 31, 2010. Purchase and sales cost and investment income
             reflect all activity for the period then ended.

                                                Purchase          Sales       Investment                Value
             Affiliate                              Cost          Cost           Income        12/31/10       12/31/09
             _______________________________________________________________________________________________________
             T. Rowe Price Reserve
             Investment Fund, 0.27%                                   ¤                    ¤            $      16^           $    10,875       $ 18,674
             Totals                                                                                     $      16            $    10,875       $ 18,674

             ¤ Purchase and sale information not shown for cash management funds.
             ^ Excludes earnings on securities lending collateral investments, which are subject to rebates and fees as described in Note 3.

             Amounts reflected on the accompanying financial statements include the following amounts related to affiliated companies:

             Investment in securities, at cost                                    $10,875
               Dividend income                                                         16
               Interest income                                                          –
             Investment income                                                    $    16
             Realized gain (loss) on securities                                   $     –
             Capital gain distributions from mutual funds                         $     –




            The accompanying notes are an integral part of these financial statements.


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            Statement of Assets and Liabilities
            T. Rowe Price International Stock Portfolio
            December 31, 2010
            ($000s, except shares and per share amounts)


             Assets
             Investments in securities, at value (cost $240,502)                            $   323,407
             Foreign currency (cost $802)                                                           820
             Receivable for investment securities sold                                              727
             Dividends and interest receivable                                                      312
             Receivable for shares sold                                                              83
             Cash                                                                                    72
             Other assets                                                                         1,188
             Total assets                                                                       326,609

             Liabilities
             Obligation to return securities lending collateral                                   4,312
             Payable for investment securities purchased                                            339
             Due to affiliates                                                                      299
             Payable for shares redeemed                                                             89
             Other liabilities                                                                      812
             Total liabilities                                                                    5,851

             NET ASSETS                                                                     $   320,758

             Net Assets Consist of:
             Undistributed net investment income                                            $       100
             Accumulated undistributed net realized loss                                        (54,357)
             Net unrealized gain                                                                 82,963
             Paid-in capital applicable to 23,104,595 shares of $0.0001 par value capital
             stock outstanding; 1,000,000,000 shares of the Corporation authorized              292,052

             NET ASSETS                                                                     $   320,758

             NET ASSET VALUE PER SHARE                                                      $     13.88




            The accompanying notes are an integral part of these financial statements.


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            Statement of Operations
            T. Rowe Price International Stock Portfolio
            ($000s)



                                                                                                 Year
                                                                                               Ended
                                                                                             12/31/10
             Investment Income (Loss)
             Income
               Dividend (net of foreign taxes of $497)                                   $     5,830
               Securities lending                                                                 75
               Total income                                                                    5,905
             Investment management and administrative expense                                  3,082
             Net investment income                                                             2,823

             Realized and Unrealized Gain (Loss)
             Net realized gain (loss)
              Securities                                                                      13,733
              Foreign currency transactions                                                     (266)
              Net realized gain                                                               13,467
             Change in net unrealized gain (loss)
              Securities                                                                      23,666
              Other assets and liabilities denominated in foreign currencies                      54
              Change in net unrealized gain                                                   23,720
             Net realized and unrealized gain                                                 37,187

             INCREASE IN NET ASSETS FROM OPERATIONS                                      $    40,010




            The accompanying notes are an integral part of these financial statements.


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            Statement of Changes in Net Assets
            T. Rowe Price International Stock Portfolio
            ($000s)



                                                                                                 Year
                                                                                               Ended
                                                                                             12/31/10        12/31/09
            Increase (Decrease) in Net Assets
            Operations
              Net investment income                                                      $     2,823     $     5,660
              Net realized gain (loss)                                                        13,467         (33,212)
              Change in net unrealized gain                                                   23,720         127,215
              Increase in net assets from operations                                          40,010          99,663

            Distributions to shareholders
             Net investment income                                                             (2,741)         (6,638)
             Net realized gain                                                                   (914)              –
             Decrease in net assets from distributions                                         (3,655)         (6,638)

            Capital share transactions*
             Shares sold                                                                       38,429          40,852
             Distributions reinvested                                                           3,655           6,638
             Shares redeemed                                                                  (55,379)        (45,297)
             Increase (decrease) in net assets from capital share transactions                (13,295)          2,193

            Net Assets
            Increase during period                                                            23,060          95,218
            Beginning of period                                                              297,698         202,480

            End of period                                                                $   320,758     $   297,698

            Undistributed net investment income                                                  100              18


            *Share information
             Shares sold                                                                        3,044           3,806
             Distributions reinvested                                                             270             554
             Shares redeemed                                                                   (4,470)         (4,660)
             Decrease in shares outstanding                                                    (1,156)           (300)




            The accompanying notes are an integral part of these financial statements.


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            Notes to Financial Statements
            T. Rowe Price International Stock Portfolio
            December 31, 2010


                     T. Rowe Price International Series, Inc. (the corporation), is registered under the Investment Company Act of 1940 (the
                     1940 Act). The International Stock Portfolio (the fund), a diversified, open-end management investment company, is one
                     portfolio established by the corporation. The fund commenced operations on March 31, 1994. The fund seeks long-term
                     growth of capital through investments primarily in the common stocks of established, non-U.S. companies. Shares of the
                     fund are currently offered only through certain insurance companies as an investment medium for both variable annuity
                     contracts and variable life insurance policies.


            NOTE 1 - SIGNIFICANT ACCOUNTING POLICIES
                     Basis of Preparation The accompanying financial statements were prepared in accordance with accounting principles
                     generally accepted in the United States of America (GAAP), which require the use of estimates made by fund manage-
                     ment. Fund management believes that estimates and valuations are appropriate; however, actual results may differ from
                     those estimates, and the valuations reflected in the accompanying financial statements may differ from the value ulti-
                     mately realized upon sale or maturity.
                     Investment Transactions, Investment Income, and Distributions Income and expenses are recorded on the accrual
                     basis. Premiums and discounts on debt securities are amortized for financial reporting purposes. Dividends received
                     from mutual fund investments are reflected as dividend income; capital gain distributions are reflected as realized gain/
                     loss. Dividend income and capital gain distributions are recorded on the ex-dividend date. Income tax-related interest
                     and penalties, if incurred, would be recorded as income tax expense. Investment transactions are accounted for on the
                     trade date. Realized gains and losses are reported on the identified cost basis. Distributions to shareholders are recorded
                     on the ex-dividend date. Income distributions are declared and paid annually. Capital gain distributions, if any, are gener-
                     ally declared and paid by the fund annually.
                     Currency Translation Assets, including investments, and liabilities denominated in foreign currencies are translated
                     into U.S. dollar values each day at the prevailing exchange rate, using the mean of the bid and asked prices of such
                     currencies against U.S. dollars as quoted by a major bank. Purchases and sales of securities, income, and expenses
                     are translated into U.S. dollars at the prevailing exchange rate on the date of the transaction. The effect of changes in
                     foreign currency exchange rates on realized and unrealized security gains and losses is reflected as a component of
                     security gains and losses.
                     New Accounting Pronouncement On January 1, 2010, the fund adopted new accounting guidance that requires
                     enhanced disclosures about fair value measurements in the financial statements. Adoption of this guidance had no
                     impact on the fund’s net assets or results of operations.


            NOTE 2 - VALUATION
                     The fund’s financial instruments are reported at fair value as defined by GAAP. The fund determines the values of its
                     assets and liabilities and computes its net asset value per share at the close of the New York Stock Exchange (NYSE),
                     normally 4 p.m. ET, each day that the NYSE is open for business.
                     Valuation Methods Equity securities listed or regularly traded on a securities exchange or in the over-the-counter (OTC)
                     market are valued at the last quoted sale price or, for certain markets, the official closing price at the time the valuations
                     are made, except for OTC Bulletin Board securities, which are valued at the mean of the latest bid and asked prices. A
                     security that is listed or traded on more than one exchange is valued at the quotation on the exchange determined to be
                     the primary market for such security. Listed securities not traded on a particular day are valued at the mean of the latest
                     bid and asked prices for domestic securities and the last quoted sale price for international securities. Debt securities with
                     remaining maturities of less than one year at the time of acquisition generally use amortized cost in local currency to
                     approximate fair value. However, if amortized cost is deemed not to reflect fair value or the fund holds a significant
                     amount of such securities with remaining maturities of more than 60 days, the securities are valued at prices furnished
                     by dealers who make markets in such securities or by an independent pricing service.
                     Investments in mutual funds are valued at the mutual fund’s closing net asset value per share on the day of valuation.


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                     Other investments, including restricted securities, and those financial instruments for which the above valuation proce-
                     dures are inappropriate or are deemed not to reflect fair value are stated at fair value as determined in good faith by the
                     T. Rowe Price Valuation Committee, established by the fund’s Board of Directors.
                     For valuation purposes, the last quoted prices of non-U.S. equity securities may be adjusted under the circumstances
                     described below. If the fund determines that developments between the close of a foreign market and the close of the
                     NYSE will, in its judgment, materially affect the value of some or all of its portfolio securities, the fund will adjust the
                     previous closing prices to reflect what it believes to be the fair value of the securities as of the close of the NYSE. In
                     deciding whether it is necessary to adjust closing prices to reflect fair value, the fund reviews a variety of factors, includ-
                     ing developments in foreign markets, the performance of U.S. securities markets, and the performance of instruments
                     trading in U.S. markets that represent foreign securities and baskets of foreign securities. A fund may also fair value secu-
                     rities in other situations, such as when a particular foreign market is closed but the fund is open. The fund uses outside
                     pricing services to provide it with closing prices and information to evaluate and/or adjust those prices. The fund cannot
                     predict how often it will use closing prices and how often it will determine it necessary to adjust those prices to reflect
                     fair value. As a means of evaluating its security valuation process, the fund routinely compares closing prices, the next
                     day’s opening prices in the same markets, and adjusted prices.
                     Valuation Inputs Various inputs are used to determine the value of the fund’s financial instruments. These inputs are
                     summarized in the three broad levels listed below:
                     Level 1 – quoted prices in active markets for identical financial instruments
                     Level 2 – observable inputs other than Level 1 quoted prices (including, but not limited to, quoted prices for similar
                             financial instruments, interest rates, prepayment speeds, and credit risk)
                     Level 3 – unobservable inputs
                     Observable inputs are those based on market data obtained from sources independent of the fund, and unobservable inputs reflect
                     the fund’s own assumptions based on the best information available. The input levels are not necessarily an indication of the risk
                     or liquidity associated with financial instruments at that level. For example, non-U.S. equity securities actively traded in foreign
                     markets generally are reflected in Level 2 despite the availability of closing prices because the fund evaluates and determines
                     whether those closing prices reflect fair value at the close of the NYSE or require adjustment, as described above. The following
                     table summarizes the fund’s financial instruments, based on the inputs used to determine their values on December 31, 2010:

                     ($000s)                                                      Level 1             Level 2               Level 3        Total Value
                                                                                                   Significant           Significant
                                                                                  Quoted           Observable          Unobservable
                                                                                   Prices              Inputs                Inputs
                                 Assets
                     Investments in Securities, except:                  $             –      $       223,541      $              –    $       223,541
                       Argentina                                                   2,831                    –                     –              2,831
                       Brazil                                                      8,260               12,497                     –             20,757
                       Canada                                                     10,397                2,493                     –             12,890
                       China                                                       5,089               21,688                     –             26,777
                       Israel                                                      2,575                    –                     –              2,575
                       Mexico                                                      3,349                2,152                     –              5,501
                       United States                                              16,928                    –                     –             16,928
                     Short-Term Investments                                        7,295                    –                     –              7,295
                     Securities Lending Collateral                                 3,580                  732                     –              4,312

                     Total                                               $        60,304      $       263,103      $              –    $       323,407




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            NOTE 3 - OTHER INVESTMENT TRANSACTIONS
                     Consistent with its investment objective, the fund engages in the following practices to manage exposure to certain risks
                     and/or to enhance performance. The investment objective, policies, program, and risk factors of the fund are described
                     more fully in the fund’s prospectus and Statement of Additional Information.
                     Emerging Markets At December 31, 2010, approximately 31% of the fund’s net assets were invested, either directly or
                     through investments in T. Rowe Price institutional funds, in securities of companies located in emerging markets, securi-
                     ties issued by governments of emerging market countries, and/or securities denominated in or linked to the currencies
                     of emerging market countries. Emerging market securities are often subject to greater price volatility, less liquidity, and
                     higher rates of inflation than U.S. securities. In addition, emerging markets may be subject to greater political, economic
                     and social uncertainty, and differing regulatory environments that may potentially impact the fund’s ability to buy or sell
                     certain securities or repatriate proceeds to U.S. dollars.
                     Repurchase Agreements All repurchase agreements are fully collateralized by U.S. government securities. Collateral
                     is in the possession of the fund’s custodian or, for tri-party agreements, the custodian designated by the agreement.
                     Collateral is evaluated daily to ensure that its market value exceeds the delivery value of the repurchase agreements at
                     maturity. Although risk is mitigated by the collateral, the fund could experience a delay in recovering its value and a
                     possible loss of income or value if the counterparty fails to perform in accordance with the terms of the agreement.
                     Securities Lending The fund lends its securities to approved brokers to earn additional income. It receives as collateral
                     cash and U.S. government securities valued at 102% to 105% of the value of the securities on loan. Cash collateral is
                     invested by the fund’s lending agent(s) in accordance with investment guidelines approved by fund management.
                     Although risk is mitigated by the collateral, the fund could experience a delay in recovering its securities and a possible
                     loss of income or value if the borrower fails to return the securities or if collateral investments decline in value. Securities
                     lending revenue recognized by the fund consists of earnings on invested collateral and borrowing fees, net of any rebates
                     to the borrower and compensation to the lending agent. In accordance with GAAP, investments made with cash collateral
                     are reflected in the accompanying financial statements, but collateral received in the form of securities are not. On
                     December 31, 2010, the value of loaned securities was $4,176,000 and cash collateral investments totaled $4,312,000.
                     Other Purchases and sales of portfolio securities other than short-term securities aggregated $162,637,000 and
                     $175,563,000, respectively, for the year ended December 31, 2010.


            NOTE 4 - FEDERAL INCOME TAXES
                     No provision for federal income taxes is required since the fund intends to continue to qualify as a regulated investment
                     company under Subchapter M of the Internal Revenue Code and distribute to shareholders all of its taxable income and
                     gains. Distributions determined in accordance with federal income tax regulations may differ in amount or character from
                     net investment income and realized gains for financial reporting purposes. Financial reporting records are adjusted for
                     permanent book/tax differences to reflect tax character but are not adjusted for temporary differences.
                     The fund files U.S. federal, state, and local tax returns as required. The fund’s tax returns are subject to examination by
                     the relevant tax authorities until expiration of the applicable statute of limitations, which is generally three years after the
                     filing of the tax return but which can be extended to six years in certain circumstances. Tax returns for open years have
                     incorporated no uncertain tax positions that require a provision for income taxes.
                     Distributions during the years ended December 31, 2010 and December 31, 2009, totaled $3,655,000 and $6,638,000,
                     respectively, and were characterized as ordinary income for tax purposes. At December 31, 2010, the tax-basis cost of
                     investments and components of net assets were as follows:




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                     ($000s)

                     Cost of investments                                                                                          $       245,478

                     Unrealized appreciation                                                                                      $        84,488
                     Unrealized depreciation                                                                                               (6,501)
                     Net unrealized appreciation (depreciation)                                                                            77,987
                     Undistributed ordinary income                                                                                            411
                     Capital loss carryforwards                                                                                           (49,653)
                     Post-October loss deferrals                                                                                              (39)
                     Paid-in capital                                                                                                      292,052

                     Net assets                                                                                                   $       320,758


                     The difference between book-basis and tax-basis net unrealized appreciation (depreciation) is attributable to the deferral
                     of losses from wash sales and the realization of unrealized gains/losses on passive foreign investment companies for tax
                     purposes. The fund intends to retain realized gains to the extent of available capital loss carryforwards. During the year
                     ended December 31, 2010, the fund utilized $12,028,000 of capital loss carryforwards. The fund’s unused capital loss
                     carryforwards as of December 31, 2010, all expire in fiscal 2017. In accordance with federal income tax regulations
                     applicable to investment companies, recognition of capital and/or currency losses on certain transactions realized
                     between November 1 and the fund’s fiscal year-end is deferred for tax purposes until the subsequent year (post-October
                     loss deferrals); however, such losses are recognized for financial reporting purposes in the year realized.


            NOTE 5 - FOREIGN TAXES
                     The fund is subject to foreign income taxes imposed by certain countries in which it invests. Acquisition of certain foreign
                     currencies related to security transactions are also subject to tax. Additionally, capital gains realized by the fund upon dis-
                     position of securities issued in or by certain foreign countries are subject to capital gains tax imposed by those countries.
                     All taxes are computed in accordance with the applicable foreign tax law, and, to the extent permitted, capital losses are
                     used to offset capital gains. Taxes attributable to income are accrued by the fund as a reduction of income. Taxes incurred
                     on the purchase of foreign currencies are recorded as realized loss on foreign currency transactions. Current and deferred
                     tax expense attributable to net capital gains is reflected as a component of realized and/or change in unrealized gain/loss
                     on securities in the accompanying financial statements. At December 31, 2010, the fund had no deferred tax liability
                     attributable to foreign securities and $3,595,000 of foreign capital loss carryforwards, including $555,000 that expire in
                     2011, $1,332,000 that expire in 2012, $54,000 that expire in 2013, $740,000 that expire in 2017, and $914,000 that
                     expire in 2018.


            NOTE 6 - RELATED PARTY TRANSACTIONS
                     The fund is managed by T. Rowe Price International, Inc. (the manager), a wholly owned subsidiary of T. Rowe Price
                     Associates, Inc. (Price Associates), which is wholly owned by T. Rowe Price Group, Inc. The investment management
                     and administrative agreement between the fund and the manager provides for an all-inclusive annual fee equal to 1.05%
                     of the fund’s average daily net assets. The fee is computed daily and paid monthly. The all-inclusive fee covers investment
                     management, shareholder servicing, transfer agency, accounting, and custody services provided to the fund, as well as
                     fund directors’ fees and expenses; interest, taxes, brokerage commissions, and extraordinary expenses are paid directly
                     by the fund.
                     The fund may invest in the T. Rowe Price Reserve Investment Fund and the T. Rowe Price Government Reserve
                     Investment Fund (collectively, the T. Rowe Price Reserve Investment Funds), open-end management investment compa-
                     nies managed by Price Associates and considered affiliates of the fund. The T. Rowe Price Reserve Investment Funds are



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                     offered as cash management options to mutual funds, trusts, and other accounts managed by Price Associates and/or its
                     affiliates and are not available for direct purchase by members of the public. The T. Rowe Price Reserve Investment Funds
                     pay no investment management fees.


            NOTE 7 - SUBSEQUENT EVENT
                     Effective at the close of business on December 31, 2010, T. Rowe Price International, Inc. (Price International) was merged
                     into its parent company, Price Associates. Thereafter, Price Associates assumed responsibility for all of Price International’s
                     existing investment management contracts, and Price International ceased all further operations. The corporate reorganiza-
                     tion is designed to simplify Price Group’s corporate structure related to its international business and is intended to result
                     in no material changes in the nature, quality, level or cost of services provided to the T. Rowe Price funds.




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            Report of Independent Registered Public Accounting Firm

            To the Board of Directors of T. Rowe Price International Series, Inc. and
            Shareholders of T. Rowe Price International Stock Portfolio
                     In our opinion, the accompanying statement of assets and liabilities, including the portfolio of investments, and the
                     related statements of operations and of changes in net assets and the financial highlights present fairly, in all material
                     respects, the financial position of T. Rowe Price International Stock Portfolio (one of the portfolios comprising T. Rowe
                     Price International Series, Inc., hereafter referred to as the “Fund”) at December 31, 2010, the results of its operations
                     for the year then ended, the changes in its net assets for each of the two years in the period then ended and the financial
                     highlights for each of the five years in the period then ended, in conformity with accounting principles generally accepted
                     in the United States of America. These financial statements and financial highlights (hereafter referred to as “financial
                     statements”) are the responsibility of the Fund’s management; our responsibility is to express an opinion on these financial
                     statements based on our audits. We conducted our audits of these financial statements in accordance with the standards
                     of the Public Company Accounting Oversight Board (United States). Those standards require that we plan and perform
                     the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit
                     includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements, assessing
                     the accounting principles used and significant estimates made by management, and evaluating the overall financial state-
                     ment presentation. We believe that our audits, which included confirmation of securities at December 31, 2010 by corre-
                     spondence with the custodian and brokers, and confirmation of the underlying funds by correspondence with the transfer
                     agent, provide a reasonable basis for our opinion.


                     PricewaterhouseCoopers LLP
                     Baltimore, Maryland
                     February 11, 2011




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              Tax Information (Unaudited) for the Tax Year Ended 12/31/10
              We are providing this information as required by the Internal Revenue Code. The amounts shown may differ from those
              elsewhere in this report because of differences between tax and financial reporting requirements.
              The fund’s distributions to shareholders included $914,000 from short-term capital gains.
              For taxable non-corporate shareholders, $4,138,000 of the fund’s income represents qualified dividend income subject to
              the 15% rate category.
              For corporate shareholders, $130,000 of the fund’s income qualifies for the dividends-received deduction.
              The fund will pass through foreign source income of $4,069,000 and foreign taxes paid of $414,000.


              Information on Proxy Voting Policies, Procedures, and Records
              A description of the policies and procedures used by T. Rowe Price funds and portfolios to determine how to vote proxies
              relating to portfolio securities is available in each fund’s Statement of Additional Information, which you may request by
              calling 1-800-225-5132 or by accessing the SEC’s website, sec.gov. The description of our proxy voting policies and proce-
              dures is also available on our website, troweprice.com. To access it, click on the words “Our Company” at the top of our
              corporate homepage. Then, when the next page appears, click on the words “Proxy Voting Policies” on the left side of
              the page.
              Each fund’s most recent annual proxy voting record is available on our website and through the SEC’s website. To access it
              through our website, follow the directions above, then click on the words “Proxy Voting Records” on the right side of the
              Proxy Voting Policies page.


              How to Obtain Quarterly Portfolio Holdings
              The fund files a complete schedule of portfolio holdings with the Securities and Exchange Commission for the first and third
              quarters of each fiscal year on Form N-Q. The fund’s Form N-Q is available electronically on the SEC’s website (sec.gov); hard
              copies may be reviewed and copied at the SEC’s Public Reference Room, 450 Fifth St. N.W., Washington, DC 20549. For more
              information on the Public Reference Room, call 1-800-SEC-0330.




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              About the Portfolio’s Directors and Officers

              Your portfolio is overseen by a Board of Directors (Board) that meets regularly to review a wide variety of matters affecting
              the portfolio, including performance, investment programs, compliance matters, advisory fees and expenses, service pro-
              viders, and other business affairs. The Board elects the portfolio’s officers, who are listed in the final table. At least 75% of
              the Board’s members are independent of T. Rowe Price Associates, Inc. (T. Rowe Price), and T. Rowe Price International
              Ltd (T. Rowe Price International); “inside” or “interested” directors are employees or officers of T. Rowe Price. The business
              address of each director and officer is 100 East Pratt Street, Baltimore, Maryland 21202. The Statement of Additional
              Information includes additional information about the portfolio directors and is available without charge by calling a
              T. Rowe Price representative at 1-800-225-5132.


              Independent Directors
              Name (Year of Birth)                    Principal Occupation(s) and Directorships of Public Companies and Other Investment Companies
              Year Elected*                           During the Past Five Years
              William R. Brody, M.D., Ph.D.           President and Trustee, Salk Institute for Biological Studies (2009 to present); Director, Novartis, Inc. (2009
              (1944)                                  to present); Director, IBM (2007 to present); President and Trustee, Johns Hopkins University (1996 to 2009);
              2009                                    Chairman of Executive Committee and Trustee, Johns Hopkins Health System (1996 to 2009); Director, Medtronic,
                                                      Inc. (1998 to 2007); Director, Mercantile Bankshares (1997 to 2007)
              Jeremiah E. Casey (1940)                Director, National Life Insurance (2001 to 2005); Director, NLV Financial Corporation (2004 to 2005)
              2006
              Anthony W. Deering (1945)               Chairman, Exeter Capital, LLC, a private investment firm (2004 to present); Director, Under Armour (2008 to
              1994                                    present); Director, Vornado Real Estate Investment Trust (2004 to present); Director, Mercantile Bankshares
                                                      (2002 to 2007); Member, Advisory Board, Deutsche Bank North America (2004 to present)
              Donald W. Dick, Jr. (1943)              Principal, EuroCapital Partners, LLC, an acquisition and management advisory firm (1995 to present)
              1994
              Karen N. Horn (1943)                    Senior Managing Director, Brock Capital Group, an advisory and investment banking firm (2004 to present);
              2003                                    Director, Eli Lilly and Company (1987 to present); Director, Simon Property Group (2004 to present); Director,
                                                      Norfolk Southern (2008 to present); Director, Fannie Mae (2006 to 2008); Director, Georgia Pacific (2004 to 2005)
              Theo C. Rodgers (1941)                  President, A&R Development Corporation (1977 to present)
              2006
              John G. Schreiber (1946)                Owner/President, Centaur Capital Partners, Inc., a real estate investment company (1991 to present); Cofounder
              2001                                    and Partner, Blackstone Real Estate Advisors, L.P. (1992 to present)
              Mark R. Tercek (1957)                   President and Chief Executive Officer, The Nature Conservancy (2008 to present); Managing Director, The Goldman
              2009                                    Sachs Group, Inc. (1984 to 2008)

              *Each independent director oversees 128 T. Rowe Price portfolios and serves until retirement, resignation, or election of a successor.




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              Inside Directors
              Name (Year of Birth)
              Year Elected* [Number of T. Rowe         Principal Occupation(s) and Directorships of Public Companies and Other Investment Companies
              Price Portfolios Overseen]               During the Past Five Year
              Edward C. Bernard (1956)                 Director and Vice President, T. Rowe Price; Vice Chairman of the Board, Director, and Vice President, T. Rowe Price
              2006 [128]                               Group, Inc.; Chairman of the Board, Director, and President, T. Rowe Price Investment Services, Inc.; Chairman
                                                       of the Board and Director, T. Rowe Price Retirement Plan Services, Inc., T. Rowe Price Savings Bank, and T. Rowe
                                                       Price Services, Inc.; Director and Chief Executive Officer, T. Rowe Price International; Chief Executive Officer,
                                                       Chairman of the Board, Director, and President, T. Rowe Price Trust Company; Chairman of the Board, all funds
              Brian C. Rogers, CFA, CIC (1955)         Chief Investment Officer, Director, and Vice President, T. Rowe Price; Chairman of the Board, Chief Investment
              2006 [73]                                Officer, Director, and Vice President, T. Rowe Price Group, Inc.; Vice President, T. Rowe Price Trust Company

              *Each inside director serves until retirement, resignation, or election of a successor.


              Officers
              Name (Year of Birth)
              Position Held With
              International Series                     Principal Occupation(s)
              Christopher D. Alderson (1962)           Director and President-International Equity, T. Rowe Price International; Director and Vice President, Price Hong
              President                                Kong and Price Singapore; Vice President, T. Rowe Price Group, Inc.
              Mark C.J. Bickford-Smith (1962)          Vice President, T. Rowe Price Group, Inc., and T. Rowe Price International
              Vice President
              Richard N. Clattenburg, CFA (1979)       Vice President, T. Rowe Price and T. Rowe Price Group, Inc.
              Vice President
              David J. Eiswert, CFA (1972)             Vice President, T. Rowe Price and T. Rowe Price Group, Inc.
              Vice President
              Roger L. Fiery III, CPA (1959)           Vice President, Price Hong Kong, Price Singapore, T. Rowe Price, T. Rowe Price Group, Inc., T. Rowe Price
              Vice President                           International, and T. Rowe Price Trust Company
              Robert N. Gensler (1957)                 Vice President, T. Rowe Price, T. Rowe Price Group, Inc., and T. Rowe Price International
              Vice President
              John R. Gilner (1961)                    Chief Compliance Officer and Vice President, T. Rowe Price; Vice President, T. Rowe Price Group, Inc., and
              Chief Compliance Officer                 T. Rowe Price Investment Services, Inc.
              Gregory S. Golczewski (1966)             Vice President, T. Rowe Price and T. Rowe Price Trust Company
              Vice President
              M. Campbell Gunn (1956)                  Vice President, T. Rowe Price Group, Inc., and T. Rowe Price International
              Vice President
              Gregory K. Hinkle, CPA (1958)            Vice President, T. Rowe Price, T. Rowe Price Group, Inc., and T. Rowe Price Trust Company; formerly Partner,
              Treasurer                                PricewaterhouseCoopers LLP (to 2007)
              Patricia B. Lippert (1953)               Assistant Vice President, T. Rowe Price and T. Rowe Price Investment Services, Inc.
              Secretary
              David Oestreicher (1967)                 Director and Vice President, T. Rowe Price Investment Services, Inc., T. Rowe Price Trust Company, T. Rowe Price
              Vice President                           Services, Inc.; Vice President, Price Hong Kong, Price Singapore, T. Rowe Price, T. Rowe Price Group, Inc., T. Rowe
                                                       Price International, and T. Rowe Price Retirement Plan Services, Inc.
              Gonzalo Pangaro, CFA (1968)              Vice President, T. Rowe Price Group, Inc., and T. Rowe Price International
              Vice President
              Sebastian Schrott (1977)                 Vice President, T. Rowe Price Group, Inc., and T. Rowe Price International
              Vice President

              Unless otherwise noted, officers have been employees of T. Rowe Price or T. Rowe Price International for at least 5 years.




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              Officers (continued)
              Name (Year of Birth)
              Position Held With
              International Series                                                          Principal Occupation(s)
              Deborah D. Seidel (1962)                                                      Vice President, T. Rowe Price, T. Rowe Price Group, Inc., and T. Rowe Price
              Vice President                                                                Investment Services, Inc.; Vice President and Assistant Treasurer, T. Rowe
                                                                                            Price Services, Inc.
              Robert W. Smith (1961)                                                        Vice President, T. Rowe Price, T. Rowe Price Group, Inc., and T. Rowe Price
              Executive Vice President                                                      Trust Company
              Dean Tenerelli (1964)                                                         Vice President, T. Rowe Price Group, Inc., and T. Rowe Price International
              Vice President
              Julie L. Waples (1970)                                                        Vice President, T. Rowe Price
              Vice President

              Unless otherwise noted, officers have been employees of T. Rowe Price or T. Rowe Price International for at least 5 years.




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                              100 East Pratt Street
                             Baltimore, MD 21202



            103271
            TRP653 (12/10)                            E301-050 2/11




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