Metlife, Inc. · NYSE:MET
Metlife — Barclays Capital Global Financial Services Conference 2009
15 slides from Metlife's conference presentation, Sep 15, 2009
Slide 1: Barclays Capital Global Financial Services Conference
Barclays Capital Global Financial Services Conference September 15, 2009 William J. Wheeler Executive Vice-President & CFO, MetLife
Slide 2: Safe Harbor Statement
Safe Harbor Statement These materials 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.
Slide 3: Explanatory Note on Non-GAAP Financial Information
Explanatory Note on Non-GAAP Financial Information All references in this presentation to net income (loss), net income (loss) per share, operating earnings and operating earnings per share should be read as net income (loss) available to MetLife, Inc.'s common shareholders, net income (loss) availa
Slide 4: MetLife's Business Fundamentals Remain Strong in 2Q09
MetLife's Business Fundamentals Remain Strong in 2Q09 Revenue growth is up; we are gaining market share Underwriting is mixed, but generally favorable Operational excellence is driving solid expense control Investment losses are manageable; valuations are recovering
Slide 5: Sales / Revenues
Sales / Revenues The recession is impacting sales / revenues in the industry, but we have... Record Fixed annuity deposits Record variable annuity deposits Good individual life sales Strong group sales Good closeout activity Significant increase in structured settlement sales Recent up tick in Auto
Slide 6: Annuity Deposits - Fixed vs. Variable
Annuity Deposits - Fixed vs. Variable 2Q 08 3Q 08 4Q 08 1Q 09 2Q 09 Fixed Annuities 277 499 4122 3645 949 Variable Annuities 3538 3787 3424 3737 4507 3815 4286 7546 7382 5456 ($ Millions)
Slide 7: Underwriting Results
Underwriting Results 2007 2008 Q208 Q209 Group Term Life Mortality 0.916 0.923 0.913 0.913 2007 2008 Q208 Q209 Individual Mortality (Gross of Reinsurance) 0.899 0.897 0.897 0.876 2007 2008 Q208 Q209 Individual Mortality (Gross of Reinsurance) 0.864 0.875 0.898 0.749 2007 2008 Q208 Q209 Combined Rati
Slide 8: Operating Expenses
Operating Expenses Operating Expenses See Appendix to MetLife, Inc.'s 2008 Investor Day presentation and MetLife, Inc.'s Quarterly Financial Supplement for non-GAAP financial information definitions and/or reconciliations. These materials are available on the Investor Relations portion of MetLife, I
Slide 9: Investment Performance
Investment Performance MetLife's Investment organization... Called the housing bubble early Began preparing for the recession in 2007 Raised cash quickly last Fall to ease any concerns about liquidity Stress Test results show the quality of our investment portfolio Our strong performance is just beg
Slide 10: Net Pre-Tax Unrealized Investment Losses
Q2 08 3Q 08 Q4 08 Q1 09 Q2 09 4 12.8 22.2 24.4 14.6 Net Pre-Tax Unrealized Investment Losses ($ Billions) (40%)
Slide 11: Net Realized Gain/Losses
Net Realized Gain/Losses (Millions) Post-Tax Financial Items _Q208_ __Q308 Q408__Q109 1 Total Gains/(Losses) ($231) $483 $1,361 ($590) | ($2,563)! 1 1 1 1 Derivatives Gains/(Losses) (25) 766 1,733 59 | (1,838)} 1 1 Total Gains/(Losses) excl. ($206) ($283) ($372) (s649) | ($725)! 1 1 Derivatives Gain
Slide 12: Investment Income
Investment Income Core investment income Cash & Short term investments decreased from $38B at 12/31/08 to $21B at 6/30/09 Collateral for derivatives was $8B at 12/31/08 and $3B at 6/30/09 Treasuries increased from $21B at 12/31/08 to $28B at 6/30/09 Variable investment income Modest improvement, con
Slide 13: Capital Strength & Ratings
Capital Strength & Ratings Capital levels Statutory earnings Investment losses and impairments Ratings migration in investment portfolio Cash at Holding Company
Slide 14: Earnings Power
Earnings Power Business fundamentals are strong Working through investment dislocation Recovery in alternative asset classes uncertain Expenses are well managed Earnings power is recovering
Slide 15: MetLife
MetLife
Metlife — Barclays Capital Global Financial Services Conference 2009 on 6ix