NOTES TO FINANCIAL STATEMENTS
JUNE 30, 1997 (UNAUDITED)
1. ORGANIZATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
ORGANIZATION--American Century Variable Portfolios, Inc., formerly TCI Portfolios, Inc., (the
Corporation) is registered under the Investment Company Act of 1940 as an open-end diversified management
investment company. American Century VP International, formerly TCI International, (the Fund) is one of the five
series of funds issued by the Corporation. The Fund's investment objective is capital growth. The Fund seeks to
achieve its investment objective by investing primarily in an internationally diversified portfolio of equity securities
that are considered by management to have prospects for appreciation. The Fund will invest primarily in securities
of issuers located in developed markets. The following significant accounting policies, related to the Fund, are in
accordance with accounting policies generally accepted in the investment company industry.
SECURITY VALUATIONS--Portfolio securities traded primarily on a principal securities exchange are valued
at the last reported sales price, or the mean of the latest bid and asked prices where no last sales price is
available. Securities traded over-the-counter are valued at the mean of the latest bid and asked prices or, in the
case of certain foreign securities, at the last reported sales price, depending on local convention or regulation.
When valuations are not readily available, securities are valued at fair value as determined in accordance with
procedures adopted by the Board of Directors.
SECURITY TRANSACTIONS--Security transactions are accounted for on the date purchased or sold. Net
realized gains and losses are determined on the identified cost basis, which is also used for federal income tax
INVESTMENT INCOME--Dividend income less foreign taxes withheld (if any) is recorded as of the ex-
dividend date. Interest income is recorded on the accrual basis and includes amortization of discounts and