To help you with tax planning, we provided ongoing estimates for accumulated realized capital gains in 2007 in Thrivent Mutual Funds. 2007 distributions have been made. The chart below lists tha actual capital gain distribution amount per share. If your fund is not listed, there were no capital gains for the fund. Dividends and capital gain distributions earned on qualified retirement accounts are not taxable unless paid to you in cash. Please contact your tax advisor to review the impact of these capital gains on your situations and discuss possible tax strategies.

If you have questions about your mutual fund account, please contact our Customer Interaction Center at 1-800-THRIVENT (847-4836).

2007 Actual Capital Gain Distributions
Thrivent Mutual Fund	Record Date	Payment Date	Actual Short-Term Capital Gain Per Share	Actual Long-Term Capital Gain Per Share	Total
Thrivent Aggressive Allocation Fund	12/17/2007	12/18/2007	$0.01020	$0.19928	$0.20948
Thrivent Moderately Aggressive Allocation Fund	12/17/2007	12/18/2007	$0.01308	$0.16171	$0.17479
Thrivent Moderate Allocation Fund	12/17/2007	12/18/2007	$0.01934	$0.15217	$0.17151
Thrivent Moderate Conservative Allocation Fund	12/17/2007	12/18/2007	$0.01118	$0.08970	$0.10088
Thrivent Balanced Fund	12/17/2007	12/18/2007	$0.30469	$0.53816	$0.84285
Thrivent Large Cap Stock Fund	12/17/2007	12/18/2007	$0.65810	$2.73155	$3.38965
Thrivent Large Cap Value Fund	12/17/2007	12/18/2007	$0.05352	$0.76073	$0.81425
Thrivent Large Cap Growth Fund	12/17/2007	12/18/2007	$0.27114	$0.16201	$0.43315
Thrivent Partner International Stock Fund	12/17/2007	12/18/2007	-	$1.35989	$1.35989
Thrivent Mid Cap Growth Fund	12/17/2007	12/18/2007	$0.86474	$1.36108	$2.22582
Thrivent Mid Cap Index Fund	12/17/2007	12/18/2007	$0.1855	$1.65407	$1.67262
Thrivent Mid Cap Index– Fund I	12/17/2007	12/18/2007	$0.03923	$4.45259	$4.49182
Thrivent Mid Cap Stock Fund	12/17/2007	12/18/2007	$0.72749	$1.63834	$2.36583
Thrivent Partner Mid Cap Value Fund	12/17/2007	12/18/2007	$0.27243	$0.36997	$0.64240
Thrivent Partner Small Cap Value Fund	12/17/2007	12/18/2007	$0.17951	$1.04516	$1.22467
Thrivent Small Cap Index Fund	12/17/2007	12/18/2007	$0.04746	$1.79172	$1.83918
Thrivent Small Cap Stock Fund	12/17/2007	12/18/2007	-	$2.32049	$2.32049
Thrivent Partner Small Cap Growth Fund	12/17/2007	12/18/2007	$0.07948	$0.49598	$0.57546
Thrivent Real Estate Securities Fund	12/27/2007	12/28/2007	$0.01122	$0.19115	$0.20237

Thrivent Mid Cap Stock Fund

• Took profits in energy holdings that had significantly appreciated in value.
• Implemented significant underweight to Energy sector as our outlook on this sector became less favorable.

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• The merger and acquisition environment remained robust over the past year driven by strong corporate earnings and private equity demand. The fund benefited from this environment as over twenty holdings were acquired during the period, many at substantial premiums. Activity was particularly strong within the Information Technology and Healthcare sectors.
• Due to concerns regarding the mortgage lending and credit markets our holdings within the Financials and Consumer Discretionary sectors were reduced.  Several stocks were long-time holdings which had accumulated significant gains, including many Real Estate Investment Trusts (REITS) and Financial Services stocks.
• As evidence of a slowing economy emerged throughout the year, economically sensitive positions were reduced in favor of more defensive non-cyclical positions.  Given the strength of economic activity over the past two to three years, many stocks within the Industrials, Basic Materials, and Energy sectors had significant gains.

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• Profits were taken in the portfolio as many holdings appreciated in value.
• Some companies within the portfolio were acquired forcing sales at substantial premiums that generated capital gains.

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• The index funds provide an idea of how much an impact M&A activity had on transactions.  These funds will generally eliminate positions in response to changes in the index rather than changes in investment outlook.  Several companies within the indices were acquired by firms forcing sales at substantial premiums that generated capital gains.
• Some companies also changed from one index to another causing a taxable event.

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• Profits were taken in the portfolio as many holdings appreciated in value.
• Portfolio restructuring following management change in March.

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• Portfolio restructuring following management change in March

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• Gains realized by companies being taken over or bought out. 
  • 2007 was the year with the greatest number of buy outs that our small cap funds ever experienced.
  1. Companies sold because they had grown so large they became mid-cap stocks.

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Thrivent Financial for Lutherans and its respective associates and employees cannot provide legal, accounting, or tax advice or services. Work with your Thrivent Financial representative in collaboration with your attorney and/or tax professional for complete details.

Investing in a mutual fund involves risks, including the possible loss of principal. The prospectus contains more complete information on the investment objectives, risks, charges and expenses of the investment company which investors should read and consider carefully before investing. To obtain a prospectus contact a registered representative or visit www.thrivent.com

Securities are offered through Thrivent Investment Management Inc., 625 Fourth Ave. South, Minneapolis, MN 55415-1665, 1-800-THRIVENT (800-847-4836) a wholly owned subsidiary of Thrivent Financial for Lutherans. Member FINRA. Member SIPC.