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Investments (Tables)

6 Months Ended

Jun. 30, 2014

Investments, Debt and Equity Securities [Abstract]

Fixed Maturity and Equity Securities Available-for-Sale

The following table presents the fixed maturity and equity securities available-for-sale (“AFS”) by sector. Redeemable preferred stock is reported within U.S. corporate and foreign corporate fixed maturity securities and non-redeemable preferred stock is reported within equity securities. Included within fixed maturity securities are structured securities including residential mortgage-backed securities (“RMBS”), commercial mortgage-backed securities (“CMBS”) and asset-backed securities (“ABS”).



	June 30, 2014										December 31, 2013
	Cost or Amortized Cost		Gross Unrealized						Estimated Fair Value		Cost or Amortized Cost		Gross Unrealized						Estimated Fair Value
	Cost or Amortized Cost		Gains		Temporary Losses		OTTI Losses		Estimated Fair Value		Cost or Amortized Cost		Gains		Temporary Losses		OTTI Losses		Estimated Fair Value
	(In millions)
Fixed maturity securities
U.S. corporate	$	99,550	$	10,311	$	468	$	—	$	109,393	$	100,203	$	7,495	$	1,229	$	—	$	106,469
Foreign corporate	57,557		5,118		187		—		62,488		59,778		3,939		565		—		63,152
Foreign government	51,794		5,019		186		—		56,627		50,717		4,107		387		—		54,437
U.S. Treasury and agency	50,310		4,194		157		—		54,347		43,928		2,251		1,056		—		45,123
RMBS	37,344		2,082		259		103		39,064		34,167		1,584		490		206		35,055
CMBS	15,119		582		50		—		15,651		16,115		605		170		—		16,550
ABS	14,558		306		69		7		14,788		15,458		296		171		12		15,571
State and political subdivision	13,055		1,729		86		—		14,698		13,233		903		306		—		13,830
Total fixed maturity securities	$	339,287	$	29,341	$	1,462	$	110	$	367,056	$	333,599	$	21,180	$	4,374	$	218	$	350,187
Equity securities
Common stock	$	2,138	$	573	$	4	$	—	$	2,707	$	1,927	$	431	$	5	$	—	$	2,353
Non-redeemable preferred stock	1,114		82		40		—		1,156		1,085		76		112		—		1,049
Total equity securities	$	3,252	$	655	$	44	$	—	$	3,863	$	3,012	$	507	$	117	$	—	$	3,402

Available-for-sale fixed maturity securities by contractual maturity date

The amortized cost and estimated fair value of fixed maturity securities, by contractual maturity date, were as follows at:



	June 30, 2014				December 31, 2013
	Amortized Cost		Estimated Fair Value		Amortized Cost		Estimated Fair Value
	(In millions)
Due in one year or less	$	14,242	$	14,480	$	15,828	$	16,030
Due after one year through five years	77,029		81,202		70,467		74,229
Due after five years through ten years	78,643		85,648		78,159		83,223
Due after ten years	102,352		116,223		103,405		109,529
Subtotal	272,266		297,553		267,859		283,011
Structured securities (RMBS, CMBS and ABS)	67,021		69,503		65,740		67,176
Total fixed maturity securities	$	339,287	$	367,056	$	333,599	$	350,187

Continuous Gross Unrealized Loss and OTTI Loss for Fixed Maturity and Equity Securities Available-for-Sale



	June 30, 2014								December 31, 2013
	Less than 12 Months				Equal to or Greater than 12 Months				Less than 12 Months				Equal to or Greater than 12 Months
	Estimated Fair Value		Gross Unrealized Losses		Estimated Fair Value		Gross Unrealized Losses		Estimated Fair Value		Gross Unrealized Losses		Estimated Fair Value		Gross Unrealized Losses
	(In millions, except number of securities)
Fixed maturity securities
U.S. corporate	$	4,041	$	59	$	7,002	$	409	$	13,889	$	808	$	3,807	$	421
Foreign corporate	2,781		70		2,822		117		9,019		402		2,320		163
Foreign government	2,226		54		1,955		132		5,052		336		1,846		51
U.S. Treasury and agency	4,865		6		5,673		151		15,225		1,037		357		19
RMBS	1,640		77		4,162		285		10,754		363		2,302		333
CMBS	860		20		1,076		30		3,696		142		631		28
ABS	2,845		17		786		59		3,772		59		978		124
State and political subdivision	155		2		1,214		84		3,109		225		351		81
Total fixed maturity securities	$	19,413	$	305	$	24,690	$	1,267	$	64,516	$	3,372	$	12,592	$	1,220
Equity securities
Common stock	$	90	$	4	$	—	$	—	$	81	$	4	$	16	$	1
Non-redeemable preferred stock	68		2		348		38		364		65		191		47
Total equity securities	$	158	$	6	$	348	$	38	$	445	$	69	$	207	$	48
Total number of securities in an unrealized loss position	1,611				1,853				4,480				1,571

Disclosure of Mortgage Loans Net of Valuation Allowance

Mortgage loans are summarized as follows at:



	June 30, 2014					December 31, 2013
	Carrying Value			% of Total		Carrying Value			% of Total
	(In millions)					(In millions)
Mortgage loans held-for-investment:
Commercial	$	40,604		71.0	%	$	40,926		70.9	%
Agricultural	11,961			20.9		12,391			21.5
Residential	3,947			6.9		2,772			4.8
Subtotal (1)	56,512			98.8		56,089			97.2
Valuation allowances	(294		)	(0.5	)	(322		)	(0.6	)
Subtotal mortgage loans held-for-investment, net	56,218			98.3		55,767			96.6
Residential — fair value option (“FVO”)	367			0.6		338			0.6
Commercial mortgage loans held by CSEs — FVO	638			1.1		1,598			2.8
Total mortgage loans held-for-investment, net	57,223			100.0		57,703			100.0
Mortgage loans held-for-sale	—			—		3			—
Total mortgage loans, net	$	57,223		100.0	%	$	57,706		100.0	%

__________________


(1)	Purchases of mortgage loans were $818 million and $1.4 billion for the three months and six months ended June 30, 2014, respectively. Purchases of mortgage loans were $836 million and $886 million for the three months and six months ended June 30, 2013, respectively.

Disclosure of mortgage loans held-for-investment and valuation allowances by method of evaluation for credit loss

The carrying value prior to valuation allowance (“recorded investment”) in mortgage loans held-for-investment, by portfolio segment, by method of evaluation of credit loss, and the related valuation allowances, by type of credit loss, were as follows at:



	June 30, 2014								December 31, 2013
	Commercial		Agricultural		Residential		Total		Commercial		Agricultural		Residential		Total
	(In millions)
Mortgage loans:
Evaluated individually for credit losses	$	415	$	75	$	9	$	499	$	506	$	100	$	16	$	622
Evaluated collectively for credit losses	40,189		11,886		3,938		56,013		40,420		12,291		2,756		55,467
Total mortgage loans	40,604		11,961		3,947		56,512		40,926		12,391		2,772		56,089
Valuation allowances:
Specific credit losses	33		6		—		39		58		7		1		66
Non-specifically identified credit losses	197		36		22		255		200		37		19		256
Total valuation allowances	230		42		22		294		258		44		20		322
Mortgage loans, net of valuation allowance	$	40,374	$	11,919	$	3,925	$	56,218	$	40,668	$	12,347	$	2,752	$	55,767

Allowance for Loan and Lease Losses, Provision for Loss, Net

The changes in the valuation allowance, by portfolio segment, were as follows:



	Three Months Ended June 30,
	2014											2013
	Commercial			Agricultural		Residential			Total			Commercial			Agricultural			Residential		Total
	(In millions)
Balance, beginning of period	$	259		$	42	$	25		$	326		$	275		$	54		$	3	$	332
Provision (release)	(5		)	—		(3		)	(8		)	(33		)	1			8		(24		)
Charge-offs, net of recoveries	(24		)	—		—			(24		)	—			(6		)	—		(6		)
Balance, end of period	$	230		$	42	$	22		$	294		$	242		$	49		$	11	$	302



	Six Months Ended June 30,
	2014												2013
	Commercial			Agricultural			Residential			Total			Commercial			Agricultural			Residential		Total
	(In millions)
Balance, beginning of period	$	258		$	44		$	20		$	322		$	293		$	52		$	2	$	347
Provision (release)	(4		)	(2		)	3			(3		)	(51		)	7			9		(35		)
Charge-offs, net of recoveries	(24		)	—			(1		)	(25		)	—			(10		)	—		(10		)
Balance, end of period	$	230		$	42		$	22		$	294		$	242		$	49		$	11	$	302

Schedule of Financing Receivables, Non Accrual Status

The past due and accrual status of mortgage loans at recorded investment, prior to valuation allowances, by portfolio segment, were as follows at:



	Past Due				Greater than 90 Days Past Due and Still Accruing Interest				Nonaccrual Status
	June 30, 2014		December 31, 2013		June 30, 2014		December 31, 2013		June 30, 2014		December 31, 2013
	(In millions)
Commercial	$	12	$	12	$	12	$	12	$	113	$	191
Agricultural	45		44		—		—		46		47
Residential	100		79		—		—		89		65
Total	$	157	$	135	$	12	$	12	$	248	$	303

Impaired mortgage loans held-for-investment

Impaired mortgage loans held-for-investment, including those modified in a troubled debt restructuring, by portfolio segment, were as follows at:



	Loans with a Valuation Allowance								Loans without a Valuation Allowance				All Impaired Loans
	Unpaid Principal Balance		Recorded Investment		Valuation Allowances		Carrying Value		Unpaid Principal Balance		Recorded Investment		Unpaid Principal Balance		Carrying Value
	(In millions)
June 30, 2014
Commercial	$	132	$	132	$	33	$	99	$	285	$	283	$	417	$	382
Agricultural	55		53		6		47		23		22		78		69
Residential	—		—		—		—		12		9		12		9
Total	$	187	$	185	$	39	$	146	$	320	$	314	$	507	$	460

December 31, 2013
Commercial	$	214	$	210	$	58	$	152	$	299	$	296	$	513	$	448
Agricultural	68		66		7		59		35		34		103		93
Residential	12		12		1		11		5		4		17		15
Total	$	294	$	288	$	66	$	222	$	339	$	334	$	633	$	556

The average recorded investment in impaired mortgage loans held-for-investment, including those modified in a troubled debt restructuring, and the related interest income, which is primarily recognized on a cash basis, by portfolio segment, was:



	Impaired Mortgage Loans
	Three Months Ended June 30,								Six Months Ended June 30,
	2014				2013				2014				2013
	Average Recorded Investment		Interest Income		Average Recorded Investment		Interest Income		Average Recorded Investment		Interest Income		Average Recorded Investment		Interest Income
	(In millions)
Commercial	$	462	$	4	$	531	$	4	$	476	$	7	$	534	$	7
Agricultural	88		3		158		2		92		6		165		3
Residential	9		—		14		—		12		—		14		—
Total	$	559	$	7	$	703	$	6	$	580	$	13	$	713	$	10

Mortgage loans modified in a troubled debt restructuring

The number of mortgage loans and carrying value after specific valuation allowance of mortgage loans modified during the period in a troubled debt restructuring were as follows:



	Three Months Ended June 30,
	2014					2013
	Number of Mortgage Loans	Carrying Value after Specific Valuation Allowance				Number of Mortgage Loans	Carrying Value after Specific Valuation Allowance
		Pre-Modification		Post-Modification			Pre-Modification		Post-Modification
		(In millions)					(In millions)
Commercial	—	$	—	$	—	—	$	—	$	—
Agricultural	1	1		1		1	4		4
Residential	17	3		2		6	1		1
Total	18	$	4	$	3	7	$	5	$	5



	Six Months Ended June 30,
	2014					2013
	Number of Mortgage Loans	Carrying Value after Specific Valuation Allowance				Number of Mortgage Loans	Carrying Value after Specific Valuation Allowance
		Pre-Modification		Post-Modification			Pre-Modification		Post-Modification
		(In millions)					(In millions)
Commercial	—	$	—	$	—	—	$	—	$	—
Agricultural	1	1		1		1	4		4
Residential	44	9		7		6	1		1
Total	45	$	10	$	8	7	$	5	$	5

The number of mortgage loans and carrying value of mortgage loans with subsequent payment defaults that were modified in a troubled debt restructuring during the previous 12 months were as follows:



	Three Months Ended June 30,
	2014			2013
	Number of Mortgage Loans	Carrying Value		Number of Mortgage Loans	Carrying Value
		(In millions)			(In millions)
Commercial	—	$	—	—	$	—
Agricultural	—	—		—	—
Residential (1)	2	—		—	—
Total	2	$	—	—	$	—



	Six Months Ended June 30,
	2014			2013
	Number of Mortgage Loans	Carrying Value		Number of Mortgage Loans	Carrying Value
		(In millions)			(In millions)
Commercial	—	$	—	—	$	—
Agricultural	2	24		—	—
Residential (1)	2	—		—	—
Total	4	$	24	—	$	—

__________________


(1)	Residential mortgage loans for the three months and six months ended June 30, 2014 had a carrying value of less than $1 million.

Components of net unrealized investment gains (losses) included in accumulated other comprehensive income (loss)

The components of net unrealized investment gains (losses), included in AOCI, were as follows:



	June 30, 2014			December 31, 2013
	(In millions)
Fixed maturity securities	$	27,769		$	16,672
Fixed maturity securities with noncredit OTTI losses in AOCI	(110		)	(218		)
Total fixed maturity securities	27,659			16,454
Equity securities	631			390
Derivatives	737			375
Other	(12		)	(73		)
Subtotal	29,015			17,146
Amounts allocated from:
Insurance liability loss recognition	(1,980		)	(898		)
DAC and VOBA related to noncredit OTTI losses recognized in AOCI	1			6
DAC and VOBA	(1,881		)	(1,190		)
Policyholder dividend obligation	(2,986		)	(1,771		)
Subtotal	(6,846		)	(3,853		)
Deferred income tax benefit (expense) related to noncredit OTTI losses recognized in AOCI	39			73
Deferred income tax benefit (expense)	(7,826		)	(4,956		)
Net unrealized investment gains (losses)	14,382			8,410
Net unrealized investment gains (losses) attributable to noncontrolling interests	3			4
Net unrealized investment gains (losses) attributable to MetLife, Inc.	$	14,385		$	8,414

Other than temporary impairment, credit losses recognized earnings

The changes in fixed maturity securities with noncredit OTTI losses included in AOCI were as follows:



	Six Months Ended June 30, 2014			Year Ended December 31, 2013
	(In millions)
Balance, beginning of period	$	(218	)	$	(361	)
Noncredit OTTI losses and subsequent changes recognized (1)	2			60
Securities sold with previous noncredit OTTI loss	25			149
Subsequent changes in estimated fair value	81			(66		)
Balance, end of period	$	(110	)	$	(218	)

__________________


(1)	Noncredit OTTI losses and subsequent changes recognized, net of DAC, were ($6) million and $52 million for the six months ended June 30, 2014 and the year ended December 31, 2013, respectively.

The changes in net unrealized investment gains (losses) were as follows:



	Six Months Ended June 30, 2014
	(In millions)
Balance, beginning of period	$	8,414
Fixed maturity securities on which noncredit OTTI losses have been recognized	108
Unrealized investment gains (losses) during the period	11,761
Unrealized investment gains (losses) relating to:
Insurance liability gain (loss) recognition	(1,082		)
DAC and VOBA related to noncredit OTTI losses recognized in AOCI	(5		)
DAC and VOBA	(691		)
Policyholder dividend obligation	(1,215		)
Deferred income tax benefit (expense) related to noncredit OTTI losses recognized in AOCI	(34		)
Deferred income tax benefit (expense)	(2,870		)
Net unrealized investment gains (losses)	14,386
Net unrealized investment gains (losses) attributable to noncontrolling interests	(1		)
Balance, end of period	$	14,385
Change in net unrealized investment gains (losses)	$	5,972
Change in net unrealized investment gains (losses) attributable to noncontrolling interests	(1		)
Change in net unrealized investment gains (losses) attributable to MetLife, Inc.	$	5,971

Securities Lending

Elements of the securities lending program are presented below at:



	June 30, 2014		December 31, 2013
	(In millions)
Securities on loan: (1)
Amortized cost	$	28,356	$	27,094
Estimated fair value	$	30,355	$	27,595
Cash collateral on deposit from counterparties (2)	$	30,910	$	28,319
Security collateral on deposit from counterparties (3)	$	85	$	—
Reinvestment portfolio — estimated fair value	$	31,396	$	28,481

_________________


(1)	Included within fixed maturity securities, short-term investments, equity securities and cash and cash equivalents.


(2)	Included within payables for collateral under securities loaned and other transactions.


(3)	Security collateral on deposit from counterparties may not be sold or repledged, unless the counterparty is in default, and is not reflected in the consolidated financial statements.

Invested Assets on Deposit, Held in Trust and Pledged as Collateral

Invested assets on deposit, held in trust and pledged as collateral are presented below at estimated fair value for cash and cash equivalents, short-term investments, fixed maturity and equity securities and FVO and trading securities, and at carrying value for mortgage loans at:



	June 30, 2014		December 31, 2013
	(In millions)
Invested assets on deposit (regulatory deposits) (1)	$	9,057	$	2,153
Invested assets held in trust (collateral financing arrangements and reinsurance agreements)	11,583		11,004
Invested assets pledged as collateral (2)	23,857		23,770
Total invested assets on deposit, held in trust and pledged as collateral	$	44,497	$	36,927

__________________

(1)

In 2013, MetLife, Inc. announced its plans to merge three U.S.-based life insurance companies and an offshore reinsurance subsidiary to create one larger U.S.-based and U.S.-regulated life insurance company (the “Mergers”). The Mergers are expected to occur in the fourth quarter of 2014, subject to regulatory approvals. The companies to be merged are MetLife Insurance Company of Connecticut (“MICC”), MetLife Investors USA Insurance Company (“MLI-USA”) and MetLife Investors Insurance Company, each a U.S. insurance company that issues variable annuity products in addition to other products, and Exeter Reassurance Company, Ltd. (“Exeter”), a reinsurance company that mainly reinsures guarantees associated with variable annuity products. MICC, which is expected to be renamed and domiciled in Delaware, will be the surviving entity. In October 2013, Exeter, formerly a Cayman Islands company, was re-domesticated to Delaware. Effective January 1, 2014, following receipt of New York State Department of Financial Services (the “Department of Financial Services”) approval, MICC withdrew its license to issue insurance policies and annuity contracts in New York. Also effective January 1, 2014, MICC reinsured with an affiliate all existing New York insurance policies and annuity contracts that include a separate account feature. On December 31, 2013, MICC deposited investments with an estimated fair market value of $6.3 billion into a custodial account to secure MICC’s remaining New York policyholder liabilities not covered by the reinsurance, which became restricted on January 1, 2014.

(2)

The Company has pledged invested assets in connection with various agreements and transactions, including funding agreements (see Notes 4 and 12 of the Notes to the Consolidated Financial Statements included in the 2013 Annual Report), collateral financing arrangements (see Note 13 of the Notes to the Consolidated Financial Statements included in the 2013 Annual Report) and derivative transactions (see Note 7).

The Components of Net Investment Income

The components of net investment income were as follows:



	Three Months Ended June 30,					Six Months Ended June 30,
	2014		2013			2014		2013
	(In millions)
Investment income:
Fixed maturity securities	$	3,758	$	3,709		$	7,411	$	7,535
Equity securities	37		36			67		60
FVO and trading securities — Actively Traded Securities and FVO general account securities (1)	44		(11		)	81		10
Mortgage loans	708		716			1,417		1,454
Policy loans	158		152			315		307
Real estate and real estate joint ventures	262		243			479		436
Other limited partnership interests	206		275			535		521
Cash, cash equivalents and short-term investments	41		45			88		94
International joint ventures	3		5			3		(9		)
Other	31		49			76		112
Subtotal	5,248		5,219			10,472		10,520
Less: Investment expenses	299		287			575		587
Subtotal, net	4,949		4,932			9,897		9,933
FVO and trading securities — FVO contractholder-directed unit-linked investments (1)	295		314			360		1,353
FVO CSEs — interest income:
Commercial mortgage loans	14		34			36		71
Securities	1		2			1		2
Subtotal	310		350			397		1,426
Net investment income	$	5,259	$	5,282		$	10,294	$	11,359

__________________


(1)	Changes in estimated fair value subsequent to purchase for securities still held as of the end of the respective periods included in net investment income were as follows:



	Three Months Ended June 30,					Six Months Ended June 30,
	2014		2013			2014		2013
	(In millions)
Actively Traded Securities and FVO general account securities	$	14	$	(24	)	$	25	$	(14	)
FVO contractholder-directed unit-linked investments	$	138	$	123		$	81	$	1,078

The components of net investment gains (losses)

The components of net investment gains (losses) were as follows:



	Three Months Ended June 30,						Six Months Ended June 30,
	2014			2013			2014			2013
	(In millions)
Total gains (losses) on fixed maturity securities:
Total OTTI losses recognized — by sector and industry:
U.S. and foreign corporate securities — by industry:
Utility	$	—		$	(27	)	$	—		$	(32	)
Consumer	—			—			(7		)	(8		)
Finance	—			—			—			(10		)
Transportation	(2		)	—			(2		)	—
Communications	—			(2		)	—			(2		)
Total U.S. and foreign corporate securities	(2		)	(29		)	(9		)	(52		)
RMBS	(6		)	(10		)	(9		)	(47		)
ABS	(7		)	—			(7		)	—
OTTI losses on fixed maturity securities recognized in earnings	(15		)	(39		)	(25		)	(99		)
Fixed maturity securities — net gains (losses) on sales and disposals	69			179			165			548
Total gains (losses) on fixed maturity securities	54			140			140			449
Total gains (losses) on equity securities:
Total OTTI losses recognized — by sector:
Non-redeemable preferred stock	(23		)	—			(23		)	(20		)
Common stock	(10		)	(1		)	(11		)	(2		)
OTTI losses on equity securities recognized in earnings	(33		)	(1		)	(34		)	(22		)
Equity securities — net gains (losses) on sales and disposals	58			5			84			(1		)
Total gains (losses) on equity securities	25			4			50			(23		)
FVO and trading securities — FVO general account securities	(1		)	4			8			8
Mortgage loans	16			23			5			35
Real estate and real estate joint ventures	(1		)	(9		)	64			(23		)
Other limited partnership interests	(36		)	(41		)	(38		)	(41		)
Other investment portfolio gains (losses)	(2		)	27			(6		)	34
Subtotal — investment portfolio gains (losses)	55			148			223			439
FVO CSEs:
Commercial mortgage loans	(16		)	(19		)	(15		)	(32		)
Long-term debt — related to commercial mortgage loans	17			26			18			48
Long-term debt — related to securities	—			1			—			—
Non-investment portfolio gains (losses) (1)	(181		)	(46		)	(762		)	(31		)
Subtotal FVO CSEs and non-investment portfolio gains (losses)	(180		)	(38		)	(759		)	(15		)
Total net investment gains (losses)	$	(125	)	$	110		$	(536	)	$	424

__________________


(1)	Non-investment portfolio gain (losses) for the three months and six months ended June 30, 2014 includes a loss of ($138) million and ($633) million, respectively, related to the disposition of MAL. See Note 3.

Proceeds from sales or disposals of fixed maturity and equity securities and the components of fixed maturity and equity securities net investment gains and losses

Proceeds from sales or disposals of fixed maturity and equity securities and the components of fixed maturity and equity securities net investment gains (losses) are as shown in the tables below. Investment gains and losses on sales of securities are determined on a specific identification basis.



	Three Months Ended June 30,
	2014			2013			2014			2013			2014			2013
	Fixed Maturity Securities						Equity Securities						Total
	(In millions)
Proceeds	$	19,700		$	22,072		$	326		$	269		$	20,026		$	22,341
Gross investment gains	$	176		$	323		$	60		$	10		$	236		$	333
Gross investment losses	(107		)	(144		)	(2		)	(5		)	(109		)	(149		)
Total OTTI losses:
Credit-related	(15		)	(39		)	—			—			(15		)	(39		)
Other (1)	—			—			(33		)	(1		)	(33		)	(1		)
Total OTTI losses	(15		)	(39		)	(33		)	(1		)	(48		)	(40		)
Net investment gains (losses)	$	54		$	140		$	25		$	4		$	79		$	144



	Six Months Ended June 30,
	2014			2013			2014			2013			2014			2013
	Fixed Maturity Securities						Equity Securities						Total
	(In millions)
Proceeds	$	41,991		$	41,622		$	427		$	355		$	42,418		$	41,977
Gross investment gains	$	490		$	823		$	87		$	18		$	577		$	841
Gross investment losses	(325		)	(275		)	(3		)	(19		)	(328		)	(294		)
Total OTTI losses:
Credit-related	(25		)	(81		)	—			—			(25		)	(81		)
Other (1)	—			(18		)	(34		)	(22		)	(34		)	(40		)
Total OTTI losses	(25		)	(99		)	(34		)	(22		)	(59		)	(121		)
Net investment gains (losses)	$	140		$	449		$	50		$	(23	)	$	190		$	426

_________________

(1)

Other OTTI losses recognized in earnings include impairments on (i) equity securities, (ii) perpetual hybrid securities classified within fixed maturity securities where the primary reason for the impairment was the severity and/or the duration of an unrealized loss position and (iii) fixed maturity securities where there is an intent to sell or it is more likely than not that the Company will be required to sell the security before recovery of the decline in estimated fair value.

Rollforward of the Cumulative Credit Loss Component of OTTI income (loss)

The table below presents a rollforward of the cumulative credit loss component of OTTI loss recognized in earnings on fixed maturity securities still held for which a portion of the OTTI loss was recognized in other comprehensive income (loss) (“OCI”):



	Three Months Ended June 30,						Six Months Ended June 30,
	2014			2013			2014			2013
	(In millions)
Balance, beginning of period	$	370		$	398		$	378		$	392
Additions:
Initial impairments — credit loss OTTI recognized on securities not previously impaired	—			1			—			2
Additional impairments — credit loss OTTI recognized on securities previously impaired	6			6			8			41
Reductions:
Sales (maturities, pay downs or prepayments) during the period of securities previously impaired as credit loss OTTI	(10		)	(24		)	(20		)	(54		)
Securities impaired to net present value of expected future cash flows	(7		)	—			(7		)	—
Balance, end of period	$	359		$	381		$	359		$	381

Variable Interest Entity, Primary Beneficiary [Member]

Variable Interest Entity [Line Items]

Schedule of Variable Interest Entities [Table Text Block]

The following table presents the total assets and total liabilities relating to VIEs for which the Company has concluded that it is the primary beneficiary and which are consolidated at June 30, 2014 and December 31, 2013. Creditors or beneficial interest holders of VIEs where the Company is the primary beneficiary have no recourse to the general credit of the Company, as the Company’s obligation to the VIEs is limited to the amount of its committed investment.



	June 30, 2014				December 31, 2013
	Total Assets		Total Liabilities		Total Assets		Total Liabilities
	(In millions)
MRSC (collateral financing arrangement (primarily securities)) (1)	$	3,457	$	—	$	3,440	$	—
Operating joint venture (2)	2,383		2,016		2,095		1,777
CSEs (assets (primarily loans) and liabilities (primarily debt)) (3)	661		512		1,630		1,457
Investments:
Real estate and real estate joint ventures (4)	10		15		1,181		443
Other invested assets	75		—		82		7
FVO and trading securities	66		—		69		—
Other limited partnership interests	61		—		61		—
Total	$	6,713	$	2,543	$	8,558	$	3,684

__________________


(1)	See Note 13 of the Notes to the Consolidated Financial Statements included in the 2013 Annual Report for a description of the MetLife Reinsurance Company of South Carolina (“MRSC”) collateral financing arrangement.


(2)	Assets of the operating joint venture are primarily fixed maturity securities and separate account assets. Liabilities of the operating joint venture are primarily future policy benefits, other policyholder funds and separate account liabilities.

(3)

The Company consolidates entities that are structured as CMBS and as collateralized debt obligations. The assets of these entities can only be used to settle their respective liabilities, and under no circumstances is the Company liable for any principal or interest shortfalls should any arise. The Company’s exposure was limited to that of its remaining investment in these entities of $129 million and $154 million at estimated fair value at June 30, 2014 and December 31, 2013, respectively. The long-term debt bears interest primarily at fixed rates ranging from 2.25% to 5.57%, payable primarily on a monthly basis. Interest expense related to these obligations, included in other expenses, was $13 million and $31 million for the three months and six months ended June 30, 2014, respectively, and $34 million and $67 million for the three months and six months ended June 30, 2013, respectively.

(4)

At December 31, 2013, the Company consolidated an open ended core real estate fund formed in the fourth quarter of 2013 (the “MetLife Core Property Fund”), which represented the majority of the balances at December 31, 2013. As a result of the quarterly reassessment in the first quarter of 2014, the Company no longer consolidates the MetLife Core Property Fund, effective March 31, 2014, based on the terms of the revised partnership agreement. The Company accounts for its retained interest in the real estate fund under the equity method. Assets of the real estate fund are a real estate investment trust which holds primarily traditional core income-producing real estate which has associated liabilities that are primarily non-recourse debt secured by certain real estate assets of the fund. The assets of these entities can only be used to settle their respective liabilities, and under no circumstances is the Company liable for any principal or interest shortfalls should any arise. The Company’s exposure was limited to that of its investment in the real estate fund of $178 million at carrying value at December 31, 2013. The long-term debt bore interest primarily at fixed rates ranging from 1.39% to 4.45%, payable primarily on a monthly basis.

Variable Interest Entity, Not Primary Beneficiary [Member]

Variable Interest Entity [Line Items]

Schedule of Variable Interest Entities [Table Text Block]

The carrying amount and maximum exposure to loss relating to VIEs in which the Company holds a significant variable interest but is not the primary beneficiary and which have not been consolidated were as follows at:



	June 30, 2014				December 31, 2013
	Carrying Amount		Maximum Exposure to Loss (1)		Carrying Amount		Maximum Exposure to Loss (1)
	(In millions)
Fixed maturity securities AFS:
Structured securities (RMBS, CMBS and ABS) (2)	$	69,503	$	69,503	$	67,176	$	67,176
U.S. and foreign corporate	4,234		4,234		3,966		3,966
Other limited partnership interests	5,362		7,264		5,041		6,994
Other invested assets	1,571		1,715		1,509		1,897
FVO and trading securities	582		582		619		619
Mortgage loans	107		107		106		106
Real estate joint ventures	66		67		70		71
Equity securities AFS:
Non-redeemable preferred stock	41		41		35		35
Total	$	81,466	$	83,513	$	78,522	$	80,864

__________________

(1)

The maximum exposure to loss relating to fixed maturity securities AFS, FVO and trading securities and equity securities AFS is equal to their carrying amounts or the carrying amounts of retained interests. The maximum exposure to loss relating to other limited partnership interests, mortgage loans and real estate joint ventures is equal to the carrying amounts plus any unfunded commitments of the Company. For certain of its investments in other invested assets, the Company’s return is in the form of income tax credits which are guaranteed by creditworthy third parties. For such investments, the maximum exposure to loss is equal to the carrying amounts plus any unfunded commitments, reduced by income tax credits guaranteed by third parties of $234 million and $257 million at June 30, 2014 and December 31, 2013, respectively. Such a maximum loss would be expected to occur only upon bankruptcy of the issuer or investee.


(2)	For these variable interests, the Company’s involvement is limited to that of a passive investor in mortgage-backed or asset-backed securities issued by trusts that do not have substantial equity.

Commercial mortgage loans portfolio segment [Member]

Mortgage Loans on Real Estate [Line Items]

Disclosure of the mortgage loans portfolio segment by the recorded investment, prior to valuation allowances, by credit quality indicator categories

The credit quality of commercial mortgage loans held-for-investment were as follows at:



	Recorded Investment										Estimated Fair Value		% of Total
	Debt Service Coverage Ratios								% of Total
	> 1.20x		1.00x - 1.20x		< 1.00x		Total		% of Total
	(In millions)										(In millions)
June 30, 2014
Loan-to-value ratios:
Less than 65%	$	31,658	$	587	$	534	$	32,779	80.7	%	$	34,876	81.5	%
65% to 75%	5,513		498		57		6,068		15.0		6,206		14.5
76% to 80%	548		212		57		817		2.0		816		1.9
Greater than 80%	424		303		213		940		2.3		909		2.1
Total	$	38,143	$	1,600	$	861	$	40,604	100.0	%	$	42,807	100.0	%
December 31, 2013
Loan-to-value ratios:
Less than 65%	$	30,552	$	614	$	841	$	32,007	78.2	%	$	33,519	78.9	%
65% to 75%	6,360		438		149		6,947		17.0		7,039		16.6
76% to 80%	525		192		189		906		2.2		892		2.1
Greater than 80%	661		242		163		1,066		2.6		1,006		2.4
Total	$	38,098	$	1,486	$	1,342	$	40,926	100.0	%	$	42,456	100.0	%

Agricultural [Member]

Mortgage Loans on Real Estate [Line Items]

Disclosure of the mortgage loans portfolio segment by the recorded investment, prior to valuation allowances, by credit quality indicator categories

The credit quality of agricultural mortgage loans held-for-investment were as follows at:



	June 30, 2014				December 31, 2013
	Recorded Investment		% of Total		Recorded Investment		% of Total
	(In millions)				(In millions)
Loan-to-value ratios:
Less than 65%	$	11,277	94.3	%	$	11,461	92.5	%
65% to 75%	552		4.6		729		5.9
76% to 80%	40		0.3		84		0.7
Greater than 80%	92		0.8		117		0.9
Total	$	11,961	100.0	%	$	12,391	100.0	%

Residential [Member]

Mortgage Loans on Real Estate [Line Items]

Disclosure of the mortgage loans portfolio segment by the recorded investment, prior to valuation allowances, by credit quality indicator categories

The credit quality of residential mortgage loans held-for-investment were as follows at:



	June 30, 2014				December 31, 2013
	Recorded Investment		% of Total		Recorded Investment		% of Total
	(In millions)				(In millions)
Performance indicators:
Performing	$	3,847	97.5	%	$	2,693	97.1	%
Nonperforming	100		2.5		79		2.9
Total	$	3,947	100.0	%	$	2,772	100.0	%