MetLife, Inc. (NYSE:MET) announced today that it originated $3.3 billion
in agricultural mortgage loans in 2013 through its Agricultural
Investments Department, an increase of nearly 10 percent year-over-year.
MetLife is one of the largest agricultural lenders in the insurance
industry, managing an agricultural loan portfolio of more than $12
billion.
“Our agricultural mortgage business performed very well in 2013, and
MetLife was able to strengthen its position as a leader in the
agricultural lending industry,” said Robert Merck, senior managing
director and global head of agricultural investments for MetLife. “Our
customers know they can rely on MetLife as a trusted source of financing
for the long-term growth of their business, and this drives our success
year after year.
Consistent with the company’s strategy to grow its business in
international markets, MetLife continued to increase lending in Brazil,
the largest economy in Latin America. MetLife originated $285 million in
agricultural loans to Brazilian producers of cotton, grains and
oilseeds, among other crops. MetLife is also actively marketing its
agricultural loan services in Canada, Australia and New Zealand.
Agricultural lending provides MetLife with investment opportunities that
match the long-term liabilities the company writes through its insurance
products.
“We grew our business both domestically and internationally in 2013
because our customers value our prudent risk management and long-term
approach to business,” said Barry Bogseth, managing director and head of
MetLife’s agricultural portfolio unit. “In 2014, we expect to continue
our growth by identifying superior agricultural lending opportunities in
the United States and abroad, especially in key emerging markets such as
Brazil.”
Highlights of MetLife’s domestic and international transactions for 2013
include:
Gaylon Lawrence Family
-
$189 million, senior secured 20-year fixed rate loan
-
Secured by improved farmland in southeast Missouri and northeast
Arkansas
-
The security primarily finances cotton, corn, rice and soybean
production
Sugar Creek Packing Co.
-
$30 million first mortgage, 15-year loan
-
Secured by processing facilities in Kansas and Ohio
-
Sugar Creek is one of the largest privately owned manufacturing
companies providing a range of bacon protein products for the U.S.
food service and retail industries
Fazenda São Francisco
-
$50 million first mortgage, 10-year fixed rate
-
Secured by agricultural real estate in Bahia, Brazil
-
Fazenda São Francisco is family owned and one of the largest producers
in the region
Paulo Massayoshi Mizote
-
$30 million first mortgage, 10-year fixed rate
-
Secured by agricultural real estate located in Bahia, Brazil
-
Mizote, a traditional producer in that region, primarily farms a mix
of soybeans, cotton and corn
Cumberland Tree Farm
-
CA$75 million (US$73.47) senior secured, two tranches: CA$70 million
(US $63.2 million) 10-year fixed rate, and CA$5 million (US$ 4.5
million) variable rate with a 10-year term
-
Secured by timberland in Nova Scotia, Canada
-
Cumberland Tree Farm is one of the largest private timberland holdings
in Nova Scotia
MetLife’s Agricultural Investments Department oversees an agricultural
portfolio of more than $12 billion, consisting primarily of mortgages
for farms, ranches, food production, agribusiness and timberland.
MetLife has provided agricultural financing solutions since 1917 and is
one of the largest agricultural mortgage lenders in North America.
MetLife has agricultural investments offices in Fresno, Calif., Overland
Park, Kan., Memphis, Tenn., and a consulting office in Sao Paulo, Brazil.
About MetLife
MetLife, Inc. (NYSE: MET), through its subsidiaries and affiliates
(“MetLife”), is a leading global provider of insurance, annuities and
employee benefit programs. 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.
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
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to future actions, prospective services or products, future performance
or results of current and anticipated services or products, sales
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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; (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, and 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 influence 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.
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