MetLife, Inc. (NYSE:MET) today reported the following results for the
fourth quarter and full year 2013:
Fourth Quarter Results
MetLife reported operating earnings* of $1.6 billion, up 14 percent over
the fourth quarter of 2012. On a per share basis, operating earnings
were $1.37, up 10 percent over the prior year quarter. Operating
earnings in the Americas grew 13 percent. Operating earnings in Asia
increased 64 percent on a reported basis and 74 percent on a constant
currency basis. Operating earnings in Europe, the Middle East and Africa
(EMEA) increased 51 percent on a reported basis and 48 percent on a
constant currency basis. Partially offsetting these gains were larger
losses in Corporate & Other.
Fourth quarter 2013 operating earnings included the following items:
-
variable investment income above the company’s 2013 quarterly plan
range by $101 million, or $0.09 per share, after tax and the impact of
deferred acquisition costs (DAC)
-
as previously announced, strengthening of asbestos claim reserves,
which reduced operating earnings by $101 million or $0.09 per share,
after tax
-
an increase in litigation-related reserves, which reduced operating
earnings by $46 million or $0.04 per share, after tax
-
favorable catastrophe experience and prior year loss reserve
development of $15 million and an $11 million benefit from tax-related
items in EMEA, which increased operating earnings by $26 million or
$0.02 per share, after tax
MetLife reported fourth quarter 2013 net income of $877 million, or
$0.77 per share, including $242 million, after tax, in net derivative
losses. Increases in interest rates, changes in foreign currencies and
the impact of MetLife’s own credit during the quarter contributed to the
net derivative losses. MetLife uses derivatives as part of its broader
asset-liability management strategy to hedge certain risks, such as
movements in interest rates and foreign currencies. This hedging
activity often generates derivative gains or losses and creates
fluctuations in net income because the risk being hedged may not have
the same GAAP accounting treatment.
Premiums, fees & other revenues* were $13.1 billion, down 1 percent (up
2 percent on a constant currency basis) from the fourth quarter of 2012.
Book value, excluding accumulated other comprehensive income (AOCI)*,
was $48.49 per share, up from $46.73 per share in the fourth quarter of
2012.
Full Year Results
For the full year 2013, MetLife reported operating earnings of $6.3
billion, up 11 percent over 2012. The increase reflects operating
earnings growth of 13 percent in the Americas, 20 percent in Asia (27
percent on a constant currency basis) and 21 percent in EMEA (18 percent
on a constant currency basis). Partially offsetting these gains were
larger losses in Corporate & Other. On a per share basis, 2013 operating
earnings were $5.63, up 7 percent over 2012. Growth on a per share basis
was dampened by the increase in the number of outstanding common shares
resulting from the conversion of $1.0 billion of the equity units issued
in 2010 to fund the Alico acquisition.
MetLife reported full year 2013 net income of $3.2 billion, or $2.91 per
share.
FOURTH QUARTER & FULL YEAR 2013 SUMMARY
|
($ in millions, except per share data)
|
Three months ended December 31
|
|
Year ended December 31
|
|
|
|
2013
|
|
|
2012
|
|
Change
|
|
|
2013
|
|
|
2012
|
|
Change
|
|
Premiums, fees & other revenues
|
$
|
13,077
|
|
$
|
13,184
|
|
(1
|
)%
|
|
$
|
48,714
|
|
$
|
47,879
|
|
2
|
%
|
|
Total operating revenues
|
$
|
18,382
|
|
$
|
18,359
|
|
0
|
%
|
|
$
|
69,298
|
|
$
|
68,351
|
|
1
|
%
|
|
Net income
|
$
|
877
|
|
$
|
96
|
|
-
|
|
|
$
|
3,246
|
|
$
|
1,202
|
|
-
|
|
|
Net income per share
|
$
|
0.77
|
|
$
|
0.09
|
|
-
|
|
|
$
|
2.91
|
|
$
|
1.12
|
|
-
|
|
|
Operating earnings
|
$
|
1,559
|
|
$
|
1,373
|
|
14
|
%
|
|
$
|
6,287
|
|
$
|
5,686
|
|
11
|
%
|
|
Operating earnings per share
|
$
|
1.37
|
|
$
|
1.25
|
|
10
|
%
|
|
$
|
5.63
|
|
$
|
5.28
|
|
7
|
%
|
|
Book value per share
|
$
|
53.04
|
|
$
|
57.17
|
|
(7
|
)%
|
|
|
|
|
|
|
|
Book value per share, excluding AOCI
|
$
|
48.49
|
|
$
|
46.73
|
|
4
|
%
|
|
|
|
|
|
|
*Information regarding the non-GAAP financial measures
included in this news release and the reconciliation of the non-GAAP
financial measures to GAAP measures is provided in the Non-GAAP and
Other Financial Disclosures discussion below, as well as in the tables
that accompany this release and/or the Fourth Quarter 2013 Financial
Supplement.
“We are very pleased with our results for the fourth quarter and full
year,” said Steven A. Kandarian, chairman, president and chief executive
officer of MetLife, Inc. “We achieved an operating return on equity of
12 percent for 2013 despite a decline in leverage. We believe this
demonstrates our strategy for creating long-term shareholder value is
working well and leaves us better positioned for the current regulatory
environment.”
BUSINESS DISCUSSIONS
All comparisons of the results for the fourth quarter 2013 in the
business discussions that follow are with the fourth quarter of 2012,
unless otherwise noted. All comparisons on a constant currency basis are
calculated using the average foreign currency exchange rates for the
current period and are applied to the prior period.
THE AMERICAS
Total operating earnings for the Americas were $1.4 billion, up 13
percent driven by strong results across the region. Premiums, fees &
other revenues for the Americas were $10.0 billion, up 1 percent, and
excluding pension closeouts, up 5 percent.
Retail
Operating earnings for Retail were $658 million, up 4 percent driven by
favorable results in the retail life and other segment. Premiums, fees &
other revenues for Retail were $3.3 billion, up 4 percent primarily due
to an increase in separate account fee income as well as higher income
annuity sales. Fourth quarter 2013 variable annuity sales were $1.7
billion, down 49 percent. For the full year 2013, variable annuity sales
were $10.6 billion – in line with the company’s plan of $10 to $11
billion.
Group, Voluntary & Worksite Benefits
Operating earnings for Group, Voluntary & Worksite Benefits were $231
million, up 38 percent driven by lower catastrophe losses and the
write-down of an intangible asset in the fourth quarter of 2012 in
dental. Premiums, fees & other revenues for Group, Voluntary & Worksite
Benefits were $4.1 billion, up 1 percent.
Corporate Benefit Funding
Operating earnings for Corporate Benefit Funding were $358 million, up
17 percent due to higher interest margins and improved underwriting.
Premiums, fees & other revenues for Corporate Benefit Funding were $1.5
billion, down from $1.9 billion due to a prior year conversion of a
participating pension contract to a non-participating closeout,
partially offset by strong closeout sales in the current quarter.
Latin America
Operating earnings for Latin America were $173 million, up 17 percent
(22 percent on a constant currency basis), due to the 2013 ProVida
acquisition, and improved underwriting results in Mexico. Premiums, fees
& other revenues in Latin America were $1.1 billion, up 28 percent (34
percent on a constant currency basis). Total sales for the region
increased 27 percent, driven by growth in the Mexico group business and
worksite marketing.
ASIA
Operating earnings for Asia were $324 million, up 64 percent (74 percent
on a constant currency basis), driven by annual actuarial unlocking
charges in the prior year period, and unusually high investment income
in the current quarter for Japan. Premiums, fees & other revenues in
Asia were $2.3 billion, down 8 percent on a reported basis but up 9
percent on a constant currency basis, due to business growth, a greater
proportion of protection products and persistency improvements. Total
sales for the region increased 44 percent driven by a large group sale
in Australia and increased life sales in Japan.
EMEA
Operating earnings for EMEA were $89 million, up 51 percent (48 percent
on a constant currency basis), reflecting business growth in a number of
countries as well as some positive tax- related items. Premiums, fees &
other revenues were $700 million, up 3 percent (2 percent on a constant
currency basis). Total sales for the region decreased 1 percent as
continued strong growth of 21 percent in emerging markets was offset by
regulatory changes impacting the distribution of certain products in the
U.K.
INVESTMENTS
Net investment income was $5.3 billion, up 3 percent. Variable
investment income was $460 million ($296 million, after tax and DAC),
compared with $376 million ($242 million, after tax and DAC) in the
fourth quarter of 2012.
Investment portfolio net losses were $17 million, after tax, compared
with investment portfolio net losses of $2 million, after tax, in the
fourth quarter of 2012.
Increases in interest rates, changes in foreign currencies and the
impact of MetLife’s credit spreads during the quarter contributed to
derivative net losses of $358 million, after tax and other adjustments.
Derivative net losses in the fourth quarter of 2012 were $924 million,
after tax and other adjustments. Derivative gains or losses related to
MetLife’s credit spreads do not have an economic impact on the company.
CORPORATE & OTHER
Corporate & Other had an operating loss of $274 million, compared with
an operating loss of $137 million in the fourth quarter of 2012,
primarily due to the previously announced strengthening of asbestos
claim reserves.
Conference Call
MetLife will hold its fourth quarter and full year 2013 earnings
conference call and audio webcast on Thursday, Feb. 13, 2014, from 8-9
a.m. (EST). The conference call will be available live via telephone and
the Internet. To listen via telephone, dial (800) 553-0288 (U.S.) or
(612) 332-0335 (outside the U.S.). To listen to the conference call via
the Internet, visit www.metlife.com
through a link on the Investor Relations page. Those who want to listen
to the call via telephone or the Internet should dial in or go to the
website at least 15 minutes prior to the call to register, and/or
download and install any necessary audio software.
The conference call will be available for replay via telephone and the
Internet beginning at 10 a.m. (EST) on Thursday, Feb. 13, 2014, until
Thursday, Feb. 20, 2014, at 11:59 p.m. (EST). To listen to a replay of
the conference call via telephone, dial (800) 475-6701 (U.S.) or (320)
365-3844 (outside the U.S.). The access code for the replay is 314837.
To access the replay of the conference call over the Internet, visit the
above-mentioned website.
About MetLife
MetLife, Inc. (NYSE: MET), through its subsidiaries and affiliates
(“MetLife”), is a leading global provider of insurance, annuities and
employee benefit programs, serving 90 million customers. MetLife holds
leading market positions in the United States, Japan, Latin America,
Asia, Europe and the Middle East. For more information, visit www.metlife.com.
Non-GAAP and Other Financial Disclosures
Any references in this news release (except in this section and in the
tables that accompany this release) to net income (loss), net income
(loss) per share, operating earnings, operating earnings per share, book
value per share, book value per share, excluding AOCI, premiums, fees
and other revenues, and operating return on equity, should be read as
net income (loss) available to MetLife, Inc.’s common shareholders, net
income (loss) available to MetLife, Inc.’s common shareholders per
diluted common share, operating earnings available to common
shareholders, operating earnings available to common shareholders per
diluted common share, book value per common share, book value per common
share, excluding AOCI, premiums, fees and other revenues (operating),
and operating return on MetLife, Inc.’s common equity, excluding AOCI,
respectively.
Operating earnings is the measure of segment profit or loss that MetLife
uses to evaluate segment performance and allocate resources. Consistent
with accounting principles generally accepted in the United States of
America (GAAP) accounting guidance for segment reporting, operating
earnings is MetLife’s measure of segment performance. Operating earnings
is also a measure by which MetLife senior management’s and many other
employees’ performance is evaluated for the purposes of determining
their compensation under applicable compensation plans.
Operating earnings is defined as operating revenues less operating
expenses, both net of income tax. Operating earnings available to common
shareholders is defined as operating earnings less preferred stock
dividends.
Operating revenues and operating expenses exclude results of
discontinued operations and other businesses that have been or will be
sold or exited by MetLife. Operating revenues also excludes net
investment gains (losses) (NIGL) and net derivative gains (losses)
(NDGL). Operating expenses also excludes goodwill impairments.
The following additional adjustments are made to GAAP revenues, in the
line items indicated, in calculating operating revenues:
-
Universal life and investment-type product policy fees excludes the
amortization of unearned revenue related to NIGL and NDGL and certain
variable annuity guaranteed minimum income benefits (GMIB) fees (GMIB
fees);
-
Net investment income: (i) includes amounts for scheduled periodic
settlement payments and amortization of premium on derivatives that
are hedges of investments or that are used to replicate certain
investments but do not qualify for hedge accounting treatment, (ii)
includes income from discontinued real estate operations, (iii)
excludes post-tax operating earnings adjustments relating to insurance
joint ventures accounted for under the equity method, (iv) excludes
certain amounts related to contract holder-directed unit-linked
investments, and (v) excludes certain amounts related to
securitization entities that are variable interest entities (VIEs)
consolidated under GAAP; and
-
Other revenues are adjusted for settlements of foreign currency
earnings hedges.
The following additional adjustments are made to GAAP expenses, in the
line items indicated, in calculating operating expenses:
-
Policyholder benefits and claims and policyholder dividends excludes:
(i) changes in the policyholder dividend obligation related to NIGL
and NDGL, (ii) inflation-indexed benefit adjustments associated with
contracts backed by inflation-indexed investments and amounts
associated with periodic crediting rate adjustments based on the total
return of a contractually referenced pool of assets and other pass
through adjustments, (iii) benefits and hedging costs related to GMIBs
(GMIB costs), and (iv) market value adjustments associated with
surrenders or terminations of contracts (Market value adjustments);
-
Interest credited to policyholder account balances includes
adjustments for scheduled periodic settlement payments and
amortization of premium on derivatives that are hedges of policyholder
account balances but do not qualify for hedge accounting treatment and
excludes amounts related to net investment income earned on contract
holder-directed unit-linked investments;
-
Amortization of DAC and value of business acquired (VOBA) excludes
amounts related to: (i) NIGL and NDGL, (ii) GMIB fees and GMIB costs
and (iii) Market value adjustments;
-
Amortization of negative VOBA excludes amounts related to Market value
adjustments;
-
Interest expense on debt excludes certain amounts related to
securitization entities that are VIEs consolidated under GAAP; and
-
Other expenses excludes costs related to: (i) noncontrolling
interests, (ii) implementation of new insurance regulatory
requirements, and (iii) acquisition and integration costs.
Operating earnings also excludes the recognition of certain contingent
assets and liabilities that could not be recognized at acquisition or
adjusted for during the measurement period under GAAP business
combination accounting guidance.
MetLife believes the presentation of operating earnings and operating
earnings available to common shareholders as MetLife measures it for
management purposes enhances the understanding of the company’s
performance by highlighting the results of operations and the underlying
profitability drivers of the business. Operating revenues, operating
expenses, operating earnings, operating earnings available to common
shareholders, operating earnings available to common shareholders per
diluted common share, book value per common share, excluding AOCI, book
value per diluted common share, excluding AOCI, operating return on
MetLife, Inc.’s common equity, operating return on MetLife, Inc.’s
common equity, excluding AOCI, investment portfolio gains (losses) and
derivative gains (losses) should not be viewed as substitutes for the
following financial measures calculated in accordance with GAAP: GAAP
revenues, GAAP expenses, income (loss) from continuing operations, net
of income tax, net income (loss) available to MetLife, Inc.’s common
shareholders, net income (loss) available to MetLife, Inc.’s common
shareholders per diluted common share, book value per common share, book
value per diluted common share, return on MetLife, Inc.’s common equity,
return on MetLife, Inc.’s common equity, excluding AOCI, net investment
gains (losses) and net derivative gains (losses), respectively.
Reconciliations of these measures to the most directly comparable GAAP
measures are included in the Fourth Quarter 2013 Financial Supplement
and/or in the tables that accompany this earnings news release.
Operating return on MetLife, Inc.’s common equity is defined as
operating earnings available to common shareholders divided by average
GAAP common equity.
Operating expense ratio is calculated by dividing operating expenses
(other expenses, net of capitalization of DAC) by operating premiums,
fees and other revenues.
Statistical sales information for life insurance is calculated by
MetLife using the LIMRA International, Inc. definition of sales for core
direct sales, excluding company sponsored internal exchanges,
corporate-owned life insurance, bank-owned life insurance, and private
placement variable universal life insurance. Individual annuities sales
consists of statutory premiums direct and assumed, excluding company
sponsored internal exchanges.
Forward-Looking Statements
This news release may contain or incorporate by reference information
that includes or is based upon forward-looking statements within the
meaning of the Private Securities Litigation Reform Act of 1995.
Forward-looking statements give expectations or forecasts of future
events. These statements can be identified by the fact that they do not
relate strictly to historical or current facts. They use words such as
“anticipate,” “estimate,” “expect,” “project,” “intend,” “plan,”
“believe” and other words and terms of similar meaning in connection
with a discussion of future operating or financial performance. In
particular, these include statements relating to future actions,
prospective services or products, future performance or results of
current and anticipated services or products, sales efforts, expenses,
the outcome of contingencies such as legal proceedings, trends in
operations and financial results.
Any or all forward-looking statements may turn out to be wrong. They can
be affected by inaccurate assumptions or by known or unknown risks and
uncertainties. Many such factors will be important in determining the
actual future results of MetLife, Inc., its subsidiaries and affiliates.
These statements are based on current expectations and the current
economic environment. They involve a number of risks and uncertainties
that are difficult to predict. These statements are not guarantees of
future performance. Actual results could differ materially from those
expressed or implied in the forward-looking statements. Risks,
uncertainties, and other factors that might cause such differences
include the risks, uncertainties and other factors identified in
MetLife, Inc.’s filings with the U.S. Securities and Exchange Commission
(the “SEC”). These factors include: (1) difficult conditions in the
global capital markets; (2) increased volatility and disruption of the
capital and credit markets, which may affect our ability to meet
liquidity needs and access capital, including through our credit
facilities, generate fee income and market-related revenue and finance
statutory reserve requirements and may require us to pledge collateral
or make payments related to declines in value of specified assets,
including assets supporting risks ceded to certain of our captive
reinsurers or hedging arrangements associated with those risks; (3)
exposure to financial and capital market risks, including as a result of
the disruption in Europe and possible withdrawal of one or more
countries from the Euro zone; (4) impact of comprehensive financial
services regulation reform on us, as a potential non-bank systemically
important financial institution, or otherwise; (5) numerous rulemaking
initiatives required or permitted by the Dodd-Frank Wall Street Reform
and Consumer Protection Act which may impact how we conduct our
business, including those compelling the liquidation of certain
financial institutions; (6) regulatory, legislative or tax changes
relating to our insurance, international, or other operations that may
affect the cost of, or demand for, our products or services, or increase
the cost or administrative burdens of providing benefits to employees;
(7) adverse results or other consequences from litigation, arbitration
or regulatory investigations; (8) potential liquidity and other risks
resulting from our participation in a securities lending program and
other transactions; (9) investment losses and defaults, and changes to
investment valuations; (10) changes in assumptions related to investment
valuations, deferred policy acquisition costs, deferred sales
inducements, value of business acquired or goodwill; (11) impairments of
goodwill and realized losses or market value impairments to illiquid
assets; (12) defaults on our mortgage loans; (13) the defaults or
deteriorating credit of other financial institutions that could
adversely affect us; (14) economic, political, legal, currency and other
risks relating to our international operations, including with respect
to fluctuations of exchange rates; (15) downgrades in our claims paying
ability, financial strength or credit ratings; (16) a deterioration in
the experience of the “closed block” established in connection with the
reorganization of Metropolitan Life Insurance Company; (17) availability
and effectiveness of reinsurance or indemnification arrangements, as
well as any default or failure of counterparties to perform; (18)
differences between actual claims experience and underwriting and
reserving assumptions; (19) ineffectiveness of risk management policies
and procedures; (20) catastrophe losses; (21) increasing cost and
limited market capacity for statutory life insurance reserve financings;
(22) heightened competition, including with respect to pricing, entry of
new competitors, consolidation of distributors, the development of new
products by new and existing competitors, and for personnel; (23)
exposure to losses related to variable annuity guarantee benefits,
including from significant and sustained downturns or extreme volatility
in equity markets, reduced interest rates, unanticipated policyholder
behavior, mortality or longevity, and the adjustment for nonperformance
risk; (24) our ability to address difficulties, unforeseen liabilities,
asset impairments, or rating agency actions arising from business
acquisitions, including our acquisition of American Life Insurance
Company and Delaware American Life Insurance Company, integrating and
managing the growth of such acquired businesses, or arising from
dispositions of businesses or legal entity reorganizations; (25) the
dilutive impact on our stockholders resulting from the settlement of our
outstanding common equity units; (26) regulatory and other restrictions
affecting MetLife, Inc.’s ability to pay dividends and repurchase common
stock; (27) MetLife, Inc.’s primary reliance, as a holding company, on
dividends from its subsidiaries to meet debt payment obligations and the
applicable regulatory restrictions on the ability of the subsidiaries to
pay such dividends; (28) the possibility that MetLife, Inc.’s Board of
Directors may control the outcome of stockholder votes through the
voting provisions of the MetLife Policyholder Trust; (29) changes in
accounting standards, practices and/or policies; (30) increased expenses
relating to pension and postretirement benefit plans, as well as health
care and other employee benefits; (31) inability to protect our
intellectual property rights or claims of infringement of the
intellectual property rights of others; (32) inability to attract and
retain sales representatives; (33) provisions of laws and our
incorporation documents may delay, deter or prevent takeovers and
corporate combinations involving MetLife; (34) the effects of business
disruption or economic contraction due to disasters such as terrorist
attacks, cyberattacks, other hostilities, or natural catastrophes,
including any related impact on the value of our investment portfolio,
our disaster recovery systems, cyber- or other information security
systems and management continuity planning; (35) the effectiveness of
our programs and practices in avoiding giving our associates incentives
to take excessive risks; and (36) other risks and uncertainties
described from time to time in MetLife, Inc.’s filings with the SEC.
MetLife, Inc. does not undertake any obligation to publicly correct or
update any forward-looking statement if MetLife, Inc. later becomes
aware that such statement is not likely to be achieved. Please consult
any further disclosures MetLife, Inc. makes on related subjects in
reports to the SEC.
|
MetLife, Inc.
|
|
Consolidated Statements of Operating Earnings Available to Common
Shareholders
|
|
(Unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
For the Three Months Ended
|
For the Years Ended
|
|
|
|
December 31,
|
|
December 31,
|
|
|
|
2013
|
|
2012
|
|
2013
|
|
2012
|
|
|
|
(In millions)
|
|
(In millions)
|
|
OPERATING REVENUES
|
|
|
|
|
|
|
|
|
|
Premiums
|
|
$
|
10,273
|
|
|
$
|
10,585
|
|
|
$
|
37,675
|
|
|
$
|
37,911
|
|
|
Universal life and investment-type product policy fees
|
|
|
2,317
|
|
|
|
2,156
|
|
|
|
9,085
|
|
|
|
8,212
|
|
|
Net investment income
|
|
|
5,305
|
|
|
|
5,175
|
|
|
|
20,584
|
|
|
|
20,472
|
|
|
Other revenues
|
|
|
487
|
|
|
|
443
|
|
|
|
1,954
|
|
|
|
1,756
|
|
|
Total operating revenues
|
|
|
18,382
|
|
|
|
18,359
|
|
|
|
69,298
|
|
|
|
68,351
|
|
|
|
|
|
|
|
|
|
|
|
|
OPERATING EXPENSES
|
|
|
|
|
|
|
|
|
|
Policyholder benefits and claims and policyholder dividends
|
|
|
10,342
|
|
|
|
10,704
|
|
|
|
37,968
|
|
|
|
37,770
|
|
|
Interest credited to policyholder account balances
|
|
|
1,468
|
|
|
|
1,589
|
|
|
|
6,015
|
|
|
|
6,242
|
|
|
Capitalization of DAC
|
|
|
(1,165
|
)
|
|
|
(1,308
|
)
|
|
|
(4,786
|
)
|
|
|
(5,284
|
)
|
|
Amortization of DAC and VOBA
|
|
|
983
|
|
|
|
946
|
|
|
|
4,083
|
|
|
|
4,177
|
|
|
Amortization of negative VOBA
|
|
|
(156
|
)
|
|
|
(99
|
)
|
|
|
(524
|
)
|
|
|
(555
|
)
|
|
Interest expense on debt
|
|
|
296
|
|
|
|
292
|
|
|
|
1,159
|
|
|
|
1,190
|
|
|
Other expenses
|
|
|
4,483
|
|
|
|
4,266
|
|
|
|
16,615
|
|
|
|
16,680
|
|
|
Total operating expenses
|
|
|
16,251
|
|
|
|
16,390
|
|
|
|
60,530
|
|
|
|
60,220
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating earnings before provision for income tax
|
|
|
2,131
|
|
|
|
1,969
|
|
|
|
8,768
|
|
|
|
8,131
|
|
|
Provision for income tax expense (benefit)
|
|
|
541
|
|
|
|
565
|
|
|
|
2,359
|
|
|
|
2,323
|
|
|
Operating earnings
|
|
|
1,590
|
|
|
|
1,404
|
|
|
|
6,409
|
|
|
|
5,808
|
|
|
Preferred stock dividends
|
|
|
31
|
|
|
|
31
|
|
|
|
122
|
|
|
|
122
|
|
|
OPERATING EARNINGS AVAILABLE TO COMMON SHAREHOLDERS
|
|
$
|
1,559
|
|
|
$
|
1,373
|
|
|
$
|
6,287
|
|
|
$
|
5,686
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Reconciliation to Net Income (Loss) and Financial Statement
Line Item Adjustments from GAAP
|
|
|
|
|
|
|
|
|
|
Operating earnings
|
|
$
|
1,590
|
|
|
$
|
1,404
|
|
|
$
|
6,409
|
|
|
$
|
5,808
|
|
|
Adjustments from operating earnings to income (loss) from continuing
operations, net of income tax:
|
|
|
|
|
|
|
|
Net investment gains (losses) (1)
|
|
|
(178
|
)
|
|
|
(200
|
)
|
|
|
161
|
|
|
|
(352
|
)
|
|
Net derivative gains (losses)
|
|
|
(373
|
)
|
|
|
(1,315
|
)
|
|
|
(3,239
|
)
|
|
|
(1,919
|
)
|
|
Premiums
|
|
|
(2
|
)
|
|
|
4
|
|
|
|
(1
|
)
|
|
|
64
|
|
|
Universal life and investment-type product policy fees
|
|
|
100
|
|
|
|
94
|
|
|
|
366
|
|
|
|
344
|
|
|
Net investment income
|
|
|
542
|
|
|
|
373
|
|
|
|
1,648
|
|
|
|
1,512
|
|
|
Other revenues
|
|
|
(13
|
)
|
|
|
18
|
|
|
|
(34
|
)
|
|
|
150
|
|
|
Policyholder benefits and claims and policyholder dividends
|
|
|
(243
|
)
|
|
|
(644
|
)
|
|
|
(1,398
|
)
|
|
|
(1,586
|
)
|
|
Interest credited to policyholder account balances
|
|
|
(675
|
)
|
|
|
(459
|
)
|
|
|
(2,164
|
)
|
|
|
(1,487
|
)
|
|
Capitalization of DAC
|
|
|
-
|
|
|
|
-
|
|
|
|
-
|
|
|
|
5
|
|
|
Amortization of DAC and VOBA
|
|
|
56
|
|
|
|
(52
|
)
|
|
|
533
|
|
|
|
(22
|
)
|
|
Amortization of negative VOBA
|
|
|
13
|
|
|
|
17
|
|
|
|
55
|
|
|
|
67
|
|
|
Interest expense on debt
|
|
|
(27
|
)
|
|
|
(38
|
)
|
|
|
(123
|
)
|
|
|
(166
|
)
|
|
Other expenses (1)
|
|
|
(63
|
)
|
|
|
(244
|
)
|
|
|
(520
|
)
|
|
|
(1,431
|
)
|
|
Goodwill impairment
|
|
|
-
|
|
|
|
-
|
|
|
|
-
|
|
|
|
(1,868
|
)
|
|
Provision for income tax (expense) benefit (1), (2)
|
|
|
188
|
|
|
|
1,147
|
|
|
|
1,698
|
|
|
|
2,195
|
|
|
Income (loss) from continuing operations, net of income tax
|
|
|
915
|
|
|
|
105
|
|
|
|
3,391
|
|
|
|
1,314
|
|
|
Income (loss) from discontinued operations, net of income tax
|
|
|
1
|
|
|
|
31
|
|
|
|
2
|
|
|
|
48
|
|
|
Net income (loss)
|
|
|
916
|
|
|
|
136
|
|
|
|
3,393
|
|
|
|
1,362
|
|
|
Less: Net income (loss) attributable to noncontrolling interests
|
|
|
8
|
|
|
|
9
|
|
|
|
25
|
|
|
|
38
|
|
|
Net income (loss) attributable to MetLife, Inc.
|
|
|
908
|
|
|
|
127
|
|
|
|
3,368
|
|
|
|
1,324
|
|
|
Less: Preferred stock dividends
|
|
|
31
|
|
|
|
31
|
|
|
|
122
|
|
|
|
122
|
|
|
Net income (loss) available to MetLife, Inc.'s common shareholders
|
|
$
|
877
|
|
|
$
|
96
|
|
|
$
|
3,246
|
|
|
$
|
1,202
|
|
|
|
|
|
|
|
|
|
|
|
|
See footnotes on last page.
|
|
|
|
|
|
|
|
|
|
MetLife, Inc.
|
|
(Unaudited)
|
|
|
|
|
|
For the Three Months Ended
|
|
|
|
For the Years Ended
|
|
|
|
December 31,
|
|
|
|
December 31,
|
|
|
|
2013
|
|
|
2012
|
|
|
|
|
2013
|
|
|
2012
|
|
|
|
|
|
|
Earnings Per Weighted Average Common Shares Diluted
|
|
|
|
Earnings Per Weighted Average Common Shares Diluted (3)
|
|
|
|
|
|
Earnings Per Weighted Average Common Shares Diluted
|
|
|
|
Earnings Per Weighted Average Common Shares Diluted (3)
|
|
|
|
(In millions, except per share data)
|
|
|
|
(In millions, except per share data)
|
|
Reconciliation to Net Income (Loss) Available to MetLife, Inc.'s
Common Shareholders
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating earnings available to common shareholders
|
|
$
|
1,559
|
|
|
$
|
1.37
|
|
|
$
|
1,373
|
|
|
$
|
1.25
|
|
|
|
|
$
|
6,287
|
|
|
$
|
5.63
|
|
|
$
|
5,686
|
|
|
$
|
5.28
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjustments from operating earnings available to common
shareholders to net income (loss) available to MetLife, Inc.'s
common shareholders:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Add: Net investment gains (losses) (1)
|
|
|
(178
|
)
|
|
|
(0.16
|
)
|
|
|
(200
|
)
|
|
|
(0.18
|
)
|
|
|
|
|
161
|
|
|
|
0.14
|
|
|
|
(352
|
)
|
|
|
(0.33
|
)
|
|
Add: Net derivative gains (losses)
|
|
|
(373
|
)
|
|
|
(0.33
|
)
|
|
|
(1,315
|
)
|
|
|
(1.20
|
)
|
|
|
|
|
(3,239
|
)
|
|
|
(2.90
|
)
|
|
|
(1,919
|
)
|
|
|
(1.78
|
)
|
|
Add: Goodwill impairment
|
|
|
-
|
|
|
|
-
|
|
|
|
-
|
|
|
|
-
|
|
|
|
|
|
-
|
|
|
|
-
|
|
|
|
(1,868
|
)
|
|
|
(1.73
|
)
|
|
Add: Other adjustments to continuing operations (1)
|
|
|
(312
|
)
|
|
|
(0.27
|
)
|
|
|
(931
|
)
|
|
|
(0.85
|
)
|
|
|
|
|
(1,638
|
)
|
|
|
(1.47
|
)
|
|
|
(2,550
|
)
|
|
|
(2.36
|
)
|
|
Add: Provision for income tax (expense) benefit (1), (2)
|
|
|
188
|
|
|
|
0.17
|
|
|
|
1,147
|
|
|
|
1.05
|
|
|
|
|
|
1,698
|
|
|
|
1.53
|
|
|
|
2,195
|
|
|
|
2.04
|
|
|
Add: Income (loss) from discontinued operations, net of income tax
|
|
|
1
|
|
|
|
-
|
|
|
|
31
|
|
|
|
0.03
|
|
|
|
|
|
2
|
|
|
|
-
|
|
|
|
48
|
|
|
|
0.04
|
|
|
Less: Net income (loss) attributable to noncontrolling interests
|
|
|
8
|
|
|
|
0.01
|
|
|
|
9
|
|
|
|
0.01
|
|
|
|
|
|
25
|
|
|
|
0.02
|
|
|
|
38
|
|
|
|
0.04
|
|
|
Net income (loss) available to MetLife, Inc.'s common shareholders
|
|
$
|
877
|
|
|
$
|
0.77
|
|
|
$
|
96
|
|
|
$
|
0.09
|
|
|
|
|
$
|
3,246
|
|
|
$
|
2.91
|
|
|
$
|
1,202
|
|
|
$
|
1.12
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Weighted average common shares outstanding - diluted
|
|
|
|
|
1,138.1
|
|
|
|
|
|
1,097.5
|
|
|
|
|
|
|
|
1116.2
|
|
|
|
|
|
1076.8
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
For the Three Months Ended
|
|
For the Years Ended
|
|
|
|
|
|
|
|
|
|
|
|
|
|
December 31,
|
|
December 31,
|
|
|
|
|
|
|
|
|
|
|
|
|
|
2013
|
|
2012
|
|
2013
|
|
2012
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(In millions)
|
|
(In millions)
|
|
|
|
|
|
|
|
|
|
|
|
Reconciliation to GAAP Premiums, Fees and Other Revenues
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total operating premiums, fees and other revenues
|
|
$
|
13,077
|
|
|
$
|
13,184
|
|
|
$
|
48,714
|
|
|
$
|
47,879
|
|
|
|
|
|
|
|
|
|
|
|
|
Add: Adjustments to premiums, fees and other revenues
|
|
|
85
|
|
|
|
116
|
|
|
|
331
|
|
|
|
558
|
|
|
|
|
|
|
|
|
|
|
|
|
Total premiums, fees and other revenues
|
|
$
|
13,162
|
|
|
$
|
13,300
|
|
|
$
|
49,045
|
|
|
$
|
48,437
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Reconciliation to GAAP Revenues and GAAP Expenses
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total operating revenues
|
|
$
|
18,382
|
|
|
$
|
18,359
|
|
|
$
|
69,298
|
|
|
$
|
68,351
|
|
|
|
|
|
|
|
|
|
|
|
|
Add: Net investment gains (losses) (1)
|
|
|
(178
|
)
|
|
|
(200
|
)
|
|
|
161
|
|
|
|
(352
|
)
|
|
|
|
|
|
|
|
|
|
|
|
Add: Net derivative gains (losses)
|
|
|
(373
|
)
|
|
|
(1,315
|
)
|
|
|
(3,239
|
)
|
|
|
(1,919
|
)
|
|
|
|
|
|
|
|
|
|
|
|
Add: Adjustments related to net investment gains (losses) and net
derivative gains (losses)
|
|
|
7
|
|
|
|
5
|
|
|
|
7
|
|
|
|
15
|
|
|
|
|
|
|
|
|
|
|
|
|
Add: Other adjustments to revenues
|
|
|
620
|
|
|
|
484
|
|
|
|
1,972
|
|
|
|
2,055
|
|
|
|
|
|
|
|
|
|
|
|
|
Total revenues
|
|
$
|
18,458
|
|
|
$
|
17,333
|
|
|
$
|
68,199
|
|
|
$
|
68,150
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total operating expenses
|
|
$
|
16,251
|
|
|
$
|
16,390
|
|
|
$
|
60,530
|
|
|
$
|
60,220
|
|
|
|
|
|
|
|
|
|
|
|
|
Add: Adjustments related to net investment gains (losses) and net
derivative gains (losses)
|
|
|
39
|
|
|
|
(38
|
)
|
|
|
(196
|
)
|
|
|
41
|
|
|
|
|
|
|
|
|
|
|
|
|
Add: Goodwill impairment
|
|
|
-
|
|
|
|
-
|
|
|
|
-
|
|
|
|
1,868
|
|
|
|
|
|
|
|
|
|
|
|
|
Add: Other adjustments to expenses (1)
|
|
|
900
|
|
|
|
1,458
|
|
|
|
3,813
|
|
|
|
4,579
|
|
|
|
|
|
|
|
|
|
|
|
|
Total expenses
|
|
$
|
17,190
|
|
|
$
|
17,810
|
|
|
$
|
64,147
|
|
|
$
|
66,708
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
December 31,
|
|
|
|
|
|
|
|
|
|
|
|
Book Value Per Common Share (4)
|
|
|
|
|
|
2013
|
|
2012
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Book value per common share, excluding accumulated other
comprehensive
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
income (loss) - (actual common shares outstanding)
|
|
|
|
|
|
$
|
48.49
|
|
|
$
|
46.73
|
|
|
|
|
|
|
|
|
|
|
|
|
Add: Accumulated other comprehensive income (loss) per common share
|
|
|
|
|
|
|
4.55
|
|
|
|
10.44
|
|
|
|
|
|
|
|
|
|
|
|
|
Book value per common share - (actual common shares outstanding)
|
|
|
|
|
|
$
|
53.04
|
|
|
$
|
57.17
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Common shares outstanding, end of period (In millions)
|
|
|
|
|
|
|
1,122.0
|
|
|
|
1,091.7
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
For the Three Months Ended
|
|
Year Ended
|
|
|
|
|
|
|
|
|
|
December 31, (5)
|
|
December 31,
|
|
|
|
|
|
|
|
Return on MetLife, Inc.'s Common Equity
|
|
2013
|
|
2012
|
|
2013
|
|
2012
|
|
2011
|
|
2010
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating return on MetLife, Inc.'s common equity, excluding
accumulated other comprehensive income (loss) (6)
|
|
|
11.5
|
%
|
|
|
10.8
|
%
|
|
|
12.0
|
%
|
|
|
11.3
|
%
|
|
10.1
|
%
|
|
|
9.8
|
%
|
|
|
|
|
|
|
|
Operating return on MetLife, Inc.'s common equity (6)
|
|
|
10.5
|
%
|
|
|
8.8
|
%
|
|
|
10.4
|
%
|
|
|
9.6
|
%
|
|
9.3
|
%
|
|
|
9.7
|
%
|
|
|
|
|
|
|
|
Return on MetLife, Inc.'s common equity, excluding accumulated other
comprehensive income (loss) (7)
|
|
|
6.5
|
%
|
|
|
0.8
|
%
|
|
|
6.2
|
%
|
|
|
2.4
|
%
|
|
13.2
|
%
|
|
|
7.0
|
%
|
|
|
|
|
|
|
|
Return on MetLife, Inc.'s common equity (7)
|
|
|
5.9
|
%
|
|
|
0.6
|
%
|
|
|
5.4
|
%
|
|
|
2.0
|
%
|
|
12.2
|
%
|
|
|
6.9
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
See footnotes on last page.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
MetLife, Inc.
|
|
Reconciliations to Net Income (Loss) Available to Common
Shareholders
|
|
(Unaudited)
|
|
|
|
|
|
For the Three Months Ended
|
|
For the Years Ended
|
|
|
|
December 31,
|
|
December 31,
|
|
|
|
2013
|
|
2012
|
|
2013
|
|
2012
|
|
|
|
(In millions)
|
|
(In millions)
|
|
Total Americas Operations:
|
|
|
|
|
|
|
|
|
|
Operating earnings available to common shareholders
|
|
$
|
1,420
|
|
|
$
|
1,253
|
|
|
$
|
5,367
|
|
|
$
|
4,769
|
|
|
Add: Net investment gains (losses)
|
|
|
(1
|
)
|
|
|
112
|
|
|
|
61
|
|
|
|
310
|
|
|
Add: Net derivative gains (losses)
|
|
|
(8
|
)
|
|
|
(649
|
)
|
|
|
(1,659
|
)
|
|
|
(20
|
)
|
|
Add: Goodwill impairment
|
|
|
-
|
|
|
|
-
|
|
|
|
-
|
|
|
|
(1,692
|
)
|
|
Add: Other adjustments to continuing operations
|
|
|
(291
|
)
|
|
|
(704
|
)
|
|
|
(885
|
)
|
|
|
(1,575
|
)
|
|
Add: Provision for income tax (expense) benefit
|
|
|
91
|
|
|
|
442
|
|
|
|
855
|
|
|
|
671
|
|
|
Add: Income (loss) from discontinued operations, net of income tax
|
|
|
1
|
|
|
|
29
|
|
|
|
1
|
|
|
|
46
|
|
|
Less: Net income (loss) attributable to noncontrolling interests
|
|
|
5
|
|
|
|
1
|
|
|
|
5
|
|
|
|
2
|
|
|
Net income (loss) available to MetLife, Inc.'s common shareholders
|
|
$
|
1,207
|
|
|
$
|
482
|
|
|
$
|
3,735
|
|
|
$
|
2,507
|
|
|
|
|
|
|
|
|
|
|
|
|
Retail:
|
|
|
|
|
|
|
|
|
|
Operating earnings available to common shareholders
|
|
$
|
658
|
|
|
$
|
633
|
|
|
$
|
2,524
|
|
|
$
|
2,002
|
|
|
Add: Net investment gains (losses)
|
|
|
2
|
|
|
|
34
|
|
|
|
70
|
|
|
|
212
|
|
|
Add: Net derivative gains (losses)
|
|
|
55
|
|
|
|
(475
|
)
|
|
|
(724
|
)
|
|
|
162
|
|
|
Add: Goodwill impairment
|
|
|
-
|
|
|
|
-
|
|
|
|
-
|
|
|
|
(1,692
|
)
|
|
Add: Other adjustments to continuing operations
|
|
|
(328
|
)
|
|
|
(638
|
)
|
|
|
(926
|
)
|
|
|
(1,260
|
)
|
|
Add: Provision for income tax (expense) benefit
|
|
|
96
|
|
|
|
379
|
|
|
|
554
|
|
|
|
532
|
|
|
Add: Income (loss) from discontinued operations, net of income tax
|
|
|
1
|
|
|
|
23
|
|
|
|
1
|
|
|
|
33
|
|
|
Net income (loss) available to MetLife, Inc.'s common shareholders
|
|
$
|
484
|
|
|
$
|
(44
|
)
|
|
$
|
1,499
|
|
|
$
|
(11
|
)
|
|
|
|
|
|
|
|
|
|
|
|
Group, Voluntary & Worksite Benefits:
|
|
|
|
|
|
|
|
|
|
Operating earnings available to common shareholders
|
|
$
|
231
|
|
|
$
|
167
|
|
|
$
|
962
|
|
|
$
|
960
|
|
|
Add: Net investment gains (losses)
|
|
|
(7
|
)
|
|
|
(18
|
)
|
|
|
(21
|
)
|
|
|
(7
|
)
|
|
Add: Net derivative gains (losses)
|
|
|
(64
|
)
|
|
|
(162
|
)
|
|
|
(676
|
)
|
|
|
(63
|
)
|
|
Add: Other adjustments to continuing operations
|
|
|
(43
|
)
|
|
|
(34
|
)
|
|
|
(172
|
)
|
|
|
(141
|
)
|
|
Add: Provision for income tax (expense) benefit
|
|
|
39
|
|
|
|
76
|
|
|
|
304
|
|
|
|
75
|
|
|
Add: Income (loss) from discontinued operations, net of income tax
|
|
|
-
|
|
|
|
2
|
|
|
|
-
|
|
|
|
2
|
|
|
Net income (loss) available to MetLife, Inc.'s common shareholders
|
|
$
|
156
|
|
|
$
|
31
|
|
|
$
|
397
|
|
|
$
|
826
|
|
|
|
|
|
|
|
|
|
|
|
|
Corporate Benefit Funding:
|
|
|
|
|
|
|
|
|
|
Operating earnings available to common shareholders
|
|
$
|
358
|
|
|
$
|
305
|
|
|
$
|
1,307
|
|
|
$
|
1,224
|
|
|
Add: Net investment gains (losses)
|
|
|
(12
|
)
|
|
|
86
|
|
|
|
(8
|
)
|
|
|
107
|
|
|
Add: Net derivative gains (losses)
|
|
|
9
|
|
|
|
(8
|
)
|
|
|
(235
|
)
|
|
|
(157
|
)
|
|
Add: Other adjustments to continuing operations
|
|
|
1
|
|
|
|
8
|
|
|
|
46
|
|
|
|
19
|
|
|
Add: Provision for income tax (expense) benefit
|
|
|
-
|
|
|
|
(30
|
)
|
|
|
68
|
|
|
|
11
|
|
|
Add: Income (loss) from discontinued operations, net of income tax
|
|
|
-
|
|
|
|
4
|
|
|
|
-
|
|
|
|
11
|
|
|
Less: Net income (loss) attributable to noncontrolling interest
|
|
|
-
|
|
|
|
1
|
|
|
|
-
|
|
|
|
1
|
|
|
Net income (loss) available to MetLife, Inc.'s common shareholders
|
|
$
|
356
|
|
|
$
|
364
|
|
|
$
|
1,178
|
|
|
$
|
1,214
|
|
|
|
|
|
|
|
|
|
|
|
|
Latin America:
|
|
|
|
|
|
|
|
|
|
Operating earnings available to common shareholders
|
|
$
|
173
|
|
|
$
|
148
|
|
|
$
|
574
|
|
|
$
|
583
|
|
|
Add: Net investment gains (losses)
|
|
|
16
|
|
|
|
10
|
|
|
|
20
|
|
|
|
(2
|
)
|
|
Add: Net derivative gains (losses)
|
|
|
(8
|
)
|
|
|
(4
|
)
|
|
|
(24
|
)
|
|
|
38
|
|
|
Add: Other adjustments to continuing operations
|
|
|
79
|
|
|
|
(40
|
)
|
|
|
167
|
|
|
|
(193
|
)
|
|
Add: Provision for income tax (expense) benefit
|
|
|
(44
|
)
|
|
|
17
|
|
|
|
(71
|
)
|
|
|
53
|
|
|
Less: Net income (loss) attributable to noncontrolling interests
|
|
|
5
|
|
|
|
-
|
|
|
|
5
|
|
|
|
1
|
|
|
Net income (loss) available to MetLife, Inc.'s common shareholders
|
|
$
|
211
|
|
|
$
|
131
|
|
|
$
|
661
|
|
|
$
|
478
|
|
|
|
|
|
|
|
|
|
|
|
|
Asia:
|
|
|
|
|
|
|
|
|
|
Operating earnings available to common shareholders
|
|
$
|
324
|
|
|
$
|
198
|
|
|
$
|
1,244
|
|
|
$
|
1,037
|
|
|
Add: Net investment gains (losses) (1)
|
|
|
78
|
|
|
|
(174
|
)
|
|
|
343
|
|
|
|
(342
|
)
|
|
Add: Net derivative gains (losses)
|
|
|
(183
|
)
|
|
|
(159
|
)
|
|
|
(1,057
|
)
|
|
|
(170
|
)
|
|
Add: Other adjustments to continuing operations (1)
|
|
|
(18
|
)
|
|
|
(21
|
)
|
|
|
(435
|
)
|
|
|
(32
|
)
|
|
Add: Provision for income tax (expense) benefit (1), (2)
|
|
|
(44
|
)
|
|
|
424
|
|
|
|
487
|
|
|
|
483
|
|
|
Add: Income (loss) from discontinued operations, net of income tax
|
|
|
-
|
|
|
|
-
|
|
|
|
(3
|
)
|
|
|
-
|
|
|
Less: Net income (loss) attributable to noncontrolling interests
|
|
|
7
|
|
|
|
1
|
|
|
|
22
|
|
|
|
26
|
|
|
Net income (loss) available to MetLife, Inc.'s common shareholders
|
|
$
|
150
|
|
|
$
|
267
|
|
|
$
|
557
|
|
|
$
|
950
|
|
|
|
|
|
|
|
|
|
|
|
|
EMEA:
|
|
|
|
|
|
|
|
|
|
Operating earnings available to common shareholders
|
|
$
|
89
|
|
|
$
|
59
|
|
|
$
|
329
|
|
|
$
|
271
|
|
|
Add: Net investment gains (losses)
|
|
|
(65
|
)
|
|
|
(6
|
)
|
|
|
(16
|
)
|
|
|
31
|
|
|
Add: Net derivative gains (losses)
|
|
|
(26
|
)
|
|
|
5
|
|
|
|
(6
|
)
|
|
|
61
|
|
|
Add: Other adjustments to continuing operations
|
|
|
79
|
|
|
|
-
|
|
|
|
75
|
|
|
|
(22
|
)
|
|
Add: Provision for income tax (expense) benefit
|
|
|
3
|
|
|
|
(30
|
)
|
|
|
(33
|
)
|
|
|
(48
|
)
|
|
Less: Net income (loss) attributable to noncontrolling interests
|
|
|
-
|
|
|
|
3
|
|
|
|
3
|
|
|
|
9
|
|
|
Net income (loss) available to MetLife, Inc.'s common shareholders
|
|
$
|
80
|
|
|
$
|
25
|
|
|
$
|
346
|
|
|
$
|
284
|
|
|
|
|
|
|
|
|
|
|
|
|
Corporate & Other:
|
|
|
|
|
|
|
|
|
|
Operating earnings available to common shareholders
|
|
$
|
(274
|
)
|
|
$
|
(137
|
)
|
|
$
|
(653
|
)
|
|
$
|
(391
|
)
|
|
Add: Net investment gains (losses)
|
|
|
(190
|
)
|
|
|
(132
|
)
|
|
|
(227
|
)
|
|
|
(351
|
)
|
|
Add: Net derivative gains (losses)
|
|
|
(156
|
)
|
|
|
(512
|
)
|
|
|
(517
|
)
|
|
|
(1,790
|
)
|
|
Add: Goodwill impairment
|
|
|
-
|
|
|
|
-
|
|
|
|
-
|
|
|
|
(176
|
)
|
|
Add: Other adjustments to continuing operations
|
|
|
(82
|
)
|
|
|
(206
|
)
|
|
|
(393
|
)
|
|
|
(921
|
)
|
|
Add: Provision for income tax (expense) benefit
|
|
|
138
|
|
|
|
311
|
|
|
|
389
|
|
|
|
1,089
|
|
|
Add: Income (loss) from discontinued operations, net of income tax
|
|
|
-
|
|
|
|
2
|
|
|
|
4
|
|
|
|
2
|
|
|
Less: Net income (loss) attributable to noncontrolling interests
|
|
|
(4
|
)
|
|
|
4
|
|
|
|
(5
|
)
|
|
|
1
|
|
|
Net income (loss) available to MetLife, Inc.'s common shareholders
|
|
$
|
(560
|
)
|
|
$
|
(678
|
)
|
|
$
|
(1,392
|
)
|
|
$
|
(2,539
|
)
|
|
|
|
|
|
|
|
|
|
|
|
See footnotes on last page.
|
|
|
|
|
|
|
|
|
|
MetLife, Inc.
|
|
GAAP Interim Condensed Consolidated Statements of Operations
|
|
(Unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
For the Three Months Ended
|
|
For the Years Ended
|
|
|
|
December 31,
|
|
December 31,
|
|
|
|
2013
|
|
2012
|
|
2013
|
|
2012
|
|
|
|
(In millions)
|
|
Revenues
|
|
|
|
|
|
|
|
|
|
Premiums
|
|
$
|
10,271
|
|
|
$
|
10,589
|
|
|
$
|
37,674
|
|
|
$
|
37,975
|
|
|
Universal life and investment-type product policy fees
|
|
|
2,417
|
|
|
|
2,250
|
|
|
|
9,451
|
|
|
|
8,556
|
|
|
Net investment income
|
|
|
5,847
|
|
|
|
5,548
|
|
|
|
22,232
|
|
|
|
21,984
|
|
|
Other revenues
|
|
|
474
|
|
|
|
461
|
|
|
|
1,920
|
|
|
|
1,906
|
|
|
Net investment gains (losses):
|
|
|
|
|
|
|
|
|
|
Other-than-temporary impairments on fixed maturity securities
|
|
|
(29
|
)
|
|
|
(36
|
)
|
|
|
(106
|
)
|
|
|
(346
|
)
|
|
Other-than-temporary impairments on fixed maturity securities
|
|
|
|
|
|
|
|
|
|
transferred to other comprehensive income (loss)
|
|
|
(4
|
)
|
|
|
(10
|
)
|
|
|
(60
|
)
|
|
|
29
|
|
|
Other net investment gains (losses) (1)
|
|
|
(145
|
)
|
|
|
(154
|
)
|
|
|
327
|
|
|
|
(35
|
)
|
|
Total net investment gains (losses)
|
|
|
(178
|
)
|
|
|
(200
|
)
|
|
|
161
|
|
|
|
(352
|
)
|
|
Net derivative gains (losses)
|
|
|
(373
|
)
|
|
|
(1,315
|
)
|
|
|
(3,239
|
)
|
|
|
(1,919
|
)
|
|
Total revenues
|
|
|
18,458
|
|
|
|
17,333
|
|
|
|
68,199
|
|
|
|
68,150
|
|
|
|
|
|
|
|
|
|
|
|
|
Expenses
|
|
|
|
|
|
|
|
|
|
Policyholder benefits and claims
|
|
|
10,280
|
|
|
|
11,029
|
|
|
|
38,107
|
|
|
|
37,987
|
|
|
Interest credited to policyholder account balances
|
|
|
2,143
|
|
|
|
2,048
|
|
|
|
8,179
|
|
|
|
7,729
|
|
|
Policyholder dividends
|
|
|
305
|
|
|
|
319
|
|
|
|
1,259
|
|
|
|
1,369
|
|
|
Goodwill impairment
|
|
|
-
|
|
|
|
-
|
|
|
|
-
|
|
|
|
1,868
|
|
|
Other expenses (1)
|
|
|
4,462
|
|
|
|
4,414
|
|
|
|
16,602
|
|
|
|
17,755
|
|
|
Total expenses
|
|
|
17,190
|
|
|
|
17,810
|
|
|
|
64,147
|
|
|
|
66,708
|
|
|
|
|
|
|
|
|
|
|
|
|
Income (loss) from continuing operations before provision for income
tax
|
|
|
1,268
|
|
|
|
(477
|
)
|
|
|
4,052
|
|
|
|
1,442
|
|
|
Provision for income tax expense (benefit) (1), (2)
|
|
|
353
|
|
|
|
(582
|
)
|
|
|
661
|
|
|
|
128
|
|
|
Income (loss) from continuing operations, net of income tax
|
|
|
915
|
|
|
|
105
|
|
|
|
3,391
|
|
|
|
1,314
|
|
|
Income (loss) from discontinued operations, net of income tax
|
|
|
1
|
|
|
|
31
|
|
|
|
2
|
|
|
|
48
|
|
|
Net income (loss)
|
|
|
916
|
|
|
|
136
|
|
|
|
3,393
|
|
|
|
1,362
|
|
|
Less: Net income (loss) attributable to noncontrolling interests
|
|
|
8
|
|
|
|
9
|
|
|
|
25
|
|
|
|
38
|
|
|
Net income (loss) attributable to MetLife, Inc.
|
|
|
908
|
|
|
|
127
|
|
|
|
3,368
|
|
|
|
1,324
|
|
|
Less: Preferred stock dividends
|
|
|
31
|
|
|
|
31
|
|
|
|
122
|
|
|
|
122
|
|
|
Net income (loss) available to MetLife, Inc.'s common shareholders
|
|
$
|
877
|
|
|
$
|
96
|
|
|
$
|
3,246
|
|
|
$
|
1,202
|
|
|
(1)
|
|
The year ended Deecmber 31, 2013 includes net investment gains of
$19 million, expenses of $154 million and a tax benefit of $119
million related to a settlement of an acquisition tax contingency.
|
|
|
|
|
|
(2)
|
|
The three months and year ended December 31, 2013 includes a
deferred tax benefit (expense) of ($86) million and $9 million,
respectively, and both the three months and year ended December
31, 2012 includes a deferred tax benefit of $324 million, related
to the conversion of the Japan branch to a subsidiary. The year
ended December 31, 2013 also includes a deferred tax benefit of
$52 million due to a revised estimate of effective tax rates
related to net investment gains (losses) and other comprehensive
income.
|
|
|
|
|
|
(3)
|
|
For the three months and year ended December 31, 2012, all shares
related to the assumed issuance of shares in settlement of the
applicable purchase contracts of the common equity units have been
excluded from the weighted average common shares outstanding -
diluted, as these assumed shares would be anti-dilutive to
operating earnings available to common shareholders per common
share - diluted and net income available to MetLife, Inc.’s common
shareholders per common share - diluted.
|
|
|
|
|
|
(4)
|
|
Book value per common share and book value per common share,
excluding accumulated other comprehensive income (loss) exclude
$2,043 million of equity related to preferred stock.
|
|
|
|
|
|
(5)
|
|
Annualized using quarter-to-date results.
|
|
|
|
|
|
(6)
|
|
Operating return on MetLife, Inc.'s common equity is defined as
operating earnings available to common shareholders divided by
average GAAP common equity.
|
|
|
|
|
|
(7)
|
|
Return on MetLife, Inc.'s common equity is defined as net income
available to common shareholders divided by average GAAP common
equity.
|
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