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Condensed Financial Information (Parent Company)
 12 Months Ended
Dec. 31, 2023
Condensed Financial Information Disclosure [Abstract]  
Condensed Financial Information (Parent Company)
MetLife, Inc.
Schedule II
Condensed Financial Information
(Parent Company Only)
December 31, 2023 and 2022
(In millions, except share and per share data)
20232022
Condensed Balance Sheets
Assets
Investments:
Fixed maturity securities available-for-sale, at estimated fair value (amortized cost: $1,689 and $3,877, respectively)
$1,583 $3,729 
Short-term investments, principally at estimated fair value
52 — 
Other invested assets, at estimated fair value
517 376 
Total investments
2,152 4,105 
Cash and cash equivalents
3,021 1,290 
Accrued investment income
9 20 
Investment in subsidiaries
43,838 42,736 
Loans to subsidiaries
305 95 
Other assets
667 724 
Total assets
$49,992 $48,970 
Liabilities and Stockholders’ Equity
Liabilities
Payables for collateral under derivatives transactions
$265 $154 
Long-term debt — unaffiliated
14,516 13,588 
Long-term debt — affiliated
1,585 1,676 
Junior subordinated debt securities
2,468 2,465 
Other liabilities
1,143 1,206 
Total liabilities
19,977 19,089 
Stockholders’ Equity
Preferred stock, par value $0.01 per share; $3,905 aggregate liquidation preference
— — 
Common stock, par value $0.01 per share; 3,000,000,000 shares authorized; 1,191,823,651 and 1,189,831,471 shares issued, respectively; 730,821,111 and 779,098,414 shares outstanding, respectively
12 12 
Additional paid-in capital
33,690 33,616 
Retained earnings
40,146 40,332 
Treasury stock, at cost; 461,002,540 and 410,733,057 shares, respectively
(24,591)(21,458)
Accumulated other comprehensive income (loss)
(19,242)(22,621)
Total stockholders’ equity
30,015 29,881 
Total liabilities and stockholders’ equity
$49,992 $48,970 
See accompanying notes to the condensed financial information.
MetLife, Inc.
Schedule II
Condensed Financial Information — (continued)
(Parent Company Only)
Years Ended December 31, 2023, 2022 and 2021
(In millions)
202320222021
Condensed Statements of Operations
Revenues
Net investment income
$188 $58 $25 
Other revenues
17 17 19 
Net investment gains (losses)
134 332 1,655 
Net derivative gains (losses)
(41)129 116 
Total revenues
298 536 1,815 
Expenses
Interest expense
907 829 847 
Other expenses
140 79 207 
Total expenses
1,047 908 1,054 
Income (loss) before provision for income tax and equity in earnings of subsidiaries(749)(372)761 
Provision for income tax (expense) benefit128 37 (202)
Equity in earnings of subsidiaries2,199 5,619 6,296 
Net income (loss)
1,578 5,284 6,855 
Less: Preferred stock dividends
198 185 195 
Preferred stock redemption premium— — 6 
Net income (loss) available to common shareholders
$1,380 $5,099 $6,654 
Comprehensive income (loss)
$4,957 $(14,886)$4,089 
See accompanying notes to the condensed financial information.
MetLife, Inc.
Schedule II
Condensed Financial Information — (continued)
(Parent Company Only)
Years Ended December 31, 2023, 2022 and 2021
(In millions)
202320222021
Condensed Statements of Cash Flows
Cash flows from operating activities
Net income (loss)
$1,578 $5,284 $6,855 
Earnings of subsidiaries
(2,199)(5,619)(6,296)
Dividends from subsidiaries
4,780 5,168 4,830 
(Gains) losses on investments and from sales of businesses, net
(134)(332)(1,655)
Other, net
158 (73)23 
Net cash provided by (used in) operating activities
4,183 4,428 3,757 
Cash flows from investing activities
Sales, maturities and repayments of fixed maturity securities available-for-sale
3,093 1,609 5,078 
Purchases of fixed maturity securities available-for-sale
(973)(2,757)(4,371)
Sales, maturities and repayments of short-term investments
1,330 — — 
Purchases of short-term investments
(1,375)— — 
Net change in short-term investments
— — 156 
Cash received in connection with freestanding derivatives
161 296 111 
Cash paid in connection with freestanding derivatives
(155)(103)(27)
Sales of businesses
— — 3,902 
Expense paid on behalf of subsidiaries
(4)(10)(15)
Receipts on loans to subsidiaries
250 150 195 
Issuances of loans to subsidiaries
(460)(210)(230)
Returns of capital from subsidiaries
6 8 13 
Capital contributions to subsidiaries
(528)(5)(88)
Other, net
(3)15 9 
Net cash provided by (used in) investing activities
1,342 (1,007)4,733 
Cash flows from financing activities
Net change in payables for collateral under derivative transactions
111 1 88 
Long-term debt issued
1,986 1,000 496 
Long-term debt repaid
(1,000)— (996)
Treasury stock acquired in connection with share repurchases
(3,103)(3,326)(4,303)
Redemption of preferred stock— — (494)
Preferred stock redemption premium— — (6)
Dividends on preferred stock
(198)(185)(195)
Dividends on common stock
(1,566)(1,598)(1,647)
Other, net
(24)16 87 
Net cash provided by (used in) financing activities
(3,794)(4,092)(6,970)
Change in cash and cash equivalents
1,731 (671)1,520 
Cash and cash equivalents, beginning of year
1,290 1,961 441 
Cash and cash equivalents, end of year
$3,021 $1,290 $1,961 
MetLife, Inc.
Schedule II
Condensed Financial Information — (continued)
(Parent Company Only)
Years Ended December 31, 2023, 2022 and 2021
(In millions)
202320222021
Supplemental disclosures of cash flow information
Net cash paid (received) for:
Interest
$852 $800 $853 
Income tax:
Amounts paid to (received from) subsidiaries, net
$(671)$(214)$(110)
Income tax paid (received) by MetLife, Inc., net
506 85 128 
Total income tax, net
$(165)$(129)$18 
Non-cash transactions:
Dividends from subsidiary
$— $— $14 
Returns of capital from subsidiaries
$2 $12 $7 
Capital contributions to subsidiaries
$1 $11 $15 
MetLife, Inc.
Schedule II
Notes to the Condensed Financial Information
(Parent Company Only)
1. Basis of Presentation
The condensed financial information of MetLife, Inc. (parent company only) should be read in conjunction with the consolidated financial statements of MetLife, Inc. and its subsidiaries and the notes thereto (the “Consolidated Financial Statements”). These condensed unconsolidated financial statements reflect the results of operations, financial position and cash flows for MetLife, Inc. Investments in subsidiaries are accounted for using the equity method of accounting.
The preparation of these condensed unconsolidated financial statements in conformity with GAAP requires management to adopt accounting policies and make certain estimates and assumptions. The most important of these estimates and assumptions relate to the fair value measurements, the accounting for goodwill and the provision for potential losses that may arise from litigation and regulatory proceedings and tax audits, which may affect the amounts reported in the condensed unconsolidated financial statements and accompanying notes. Actual results could differ from these estimates.
Adoption of ASU 2018-12 - Targeted Improvements to the Accounting for Long-Duration Contracts
Effective January 1, 2023, MetLife, Inc. adopted ASU 2018-12, Financial Services—Insurance (Topic 944): Targeted Improvements to the Accounting for Long-Duration Contracts, as amended by ASU 2019-09, Financial Services—Insurance (Topic 944): Effective Date; ASU 2020-11, Financial Services—Insurance (Topic 944): Effective Date and Early Application; and ASU 2022-05, Financial Services—Insurance (Topic 944): Transition for Sold Contracts (“LDTI”), with a transition date of January 1, 2021. Adoption of LDTI impacted MetLife, Inc.’s accounting and presentation related to long-duration insurance contracts and certain related balances for the years ended December 31, 2022 and 2021. Amounts within these condensed unconsolidated financial statements which were previously presented, primarily investment in subsidiaries and net investment income, have been revised to conform with the current year accounting and presentation under LDTI. See Note 1 of the Notes to the Consolidated Financial Statements for further information on the adoption of LDTI.
2. Investment in Subsidiaries
In April 2021, MetLife, Inc. received $3.9 billion in cash in connection with the disposition of MetLife P&C.
See Note 3 of the Notes to the Consolidated Financial Statements for additional information on dispositions.
3. Loans to Subsidiaries
MetLife, Inc. lends funds as necessary, through credit agreements or otherwise to its subsidiaries, some of which are regulated, to meet their capital requirements or to provide liquidity. Payments of interest and principal on surplus notes of regulated subsidiaries, which are subordinate to all other obligations of the issuing company, may be made only with the prior approval of the insurance department of the state of domicile.
In March 2023, under the existing credit facility, MetLife Services and Solutions, LLC (“MSS”) issued a $250 million short-term note to MetLife, Inc, which was repaid by December 2023. The short-term note bore interest at three-month CME Term SOFR plus 1.24%. During 2022 and 2021, MSS also issued $150 million and $195 million, respectively, in short-term notes to MetLife, Inc. which were repaid by September 2022 and August 2021, respectively. The short-term notes bore interest at six-month LIBOR plus 1.00%.
In March 2023, Missouri Reinsurance, Inc. (“MoRe”), issued to MetLife, Inc. an $80 million 5.34% promissory note maturing in March 2028, an $80 million 5.68% promissory note maturing in March 2033 and a $50 million 6.05% promissory note maturing in March 2038. In December 2022 and 2021, MoRe also issued to MetLife, Inc. a $60 million 5.23% promissory note maturing in December 2024 and a $35 million 2.12% promissory note maturing in December 2024. All notes are payable semi-annually.
Interest income earned on loans to subsidiaries of $22 million, $2 million and $1 million for the years ended December 31, 2023, 2022 and 2021, respectively, is included in net investment income.
4. Long-term Debt
Long-term debt outstanding was as follows:
Interest Rates (1)
December 31,
Range
Maturity
20232022
(Dollars in millions)
Senior notes — unaffiliated (2)0.50%-6.50%2024-2054$14,516 $13,588 
Senior notes — affiliated1.59%-7.49%2025-20311,585 1,676 
Total
$16,101 $15,264 
__________________
(1)Range of interest rates are for the year ended December 31, 2023.
(2)Net of $106 million and $83 million of unamortized issuance costs and net premiums and discounts at December 31, 2023 and 2022, respectively.
See Notes 16 of the Notes to the Consolidated Financial Statements for additional information.
The aggregate maturities of long-term debt at December 31, 2023 for the next five years and thereafter are $1.4 billion in 2024, $1.2 billion in 2025, $476 million in 2026, $0 in 2027, $237 million in 2028 and $12.7 billion thereafter.
Senior Notes – Affiliated
In July 2023, a ¥37.3 billion 1.6015% senior unsecured note issued to MLIC matured and was refinanced with a ¥37.3 billion 2.1575% senior unsecured note due July 2030 issued to MLIC.
In December 2021, ¥54.6 billion 3.1350% senior unsecured notes issued to various subsidiaries matured and were refinanced with the following senior unsecured notes issued to various subsidiaries: (i) ¥12.2 billion 1.588% due December 2026, (ii) ¥19.1 billion 1.7185% due December 2028 and (iii) ¥23.3 billion 1.850% due December 2031.
In July 2021, ¥53.7 billion 2.9725% senior unsecured notes issued to various subsidiaries matured and were refinanced with the following senior unsecured notes issued to various subsidiaries: (i) ¥13.7 billion 1.610% due July 2026, (ii) ¥14.3 billion 1.755% due July 2028 and (iii) ¥25.7 billion 1.852% due July 2031.
Interest Expense
Interest expense was comprised of the following:
Years Ended December 31,
202320222021
(In millions)
Long-term debt — unaffiliated
$653 $583 $590 
Long-term debt — affiliated
45 37 47 
Collateral financing arrangements
4 4 5 
Junior subordinated debt securities
205 205 205 
Total
$907 $829 $847 
See Notes 17 and 18 of the Notes to the Consolidated Financial Statements for information on the collateral financing arrangement and junior subordinated debt securities.
5. Support Agreements
MetLife, Inc. is party to various capital support commitments and guarantees with certain of its subsidiaries. Under these arrangements, MetLife, Inc. has agreed to cause each such entity to meet specified capital and surplus levels or has guaranteed certain contractual obligations.
MetLife, Inc. guarantees the obligations of MoRe under a retrocession agreement with RGA Reinsurance (Barbados) Inc., pursuant to which MoRe retrocedes a portion of the closed block liabilities associated with industrial life and ordinary life insurance policies that it assumed from MLIC.
MetLife, Inc. guarantees the obligations of MetLife Reinsurance Company of Bermuda, Ltd. (“MrB”), a Bermuda insurance affiliate and an indirect, wholly-owned subsidiary of MetLife, Inc. under a reinsurance agreement with a former affiliate that is now an unaffiliated third party, under which MrB reinsures certain variable annuity business written by such third party.
MetLife, Inc. guarantees the obligations of MrB in an aggregate amount up to $1.0 billion, under a reinsurance agreement with MetLife Europe d.a.c., in respect of MrB’s reinsurance of the guaranteed living benefits and guaranteed death benefits associated with certain Unit-linked investments issued by MetLife Europe d.a.c.
MetLife, Inc., in connection with MRV’s reinsurance of certain universal life and term life insurance risks, committed to the Vermont Department of Banking, Insurance, Securities and Health Care Administration to take necessary action to cause the two protected cells of MRV to maintain total adjusted capital in an amount that is equal to or greater than 200% of each such protected cell’s authorized control level RBC, as defined in Vermont state insurance statutes.
MetLife, Inc., in connection with the collateral financing arrangement associated with MRC’s reinsurance of a portion of the liabilities associated with the closed block, committed to the South Carolina Department of Insurance to make capital contributions, if necessary, to MRC so that MRC may at all times maintain its total adjusted capital in an amount that is equal to or greater than 200% of the Company Action Level RBC, as defined in South Carolina state insurance statutes as in effect on the date of determination or December 31, 2007, whichever calculation produces the greater capital requirement, or as otherwise required by the South Carolina Department of Insurance. See Note 17 of the Notes to the Consolidated Financial Statements.
MetLife, Inc. guarantees obligations arising from OTC-bilateral derivatives of MrB. MrB is exposed to various risks relating to its ongoing business operations, including interest rate, foreign currency exchange rate, credit and equity market. MrB uses a variety of strategies to manage these risks, including the use of derivatives. Further, MrB’s derivatives are subject to industry standard netting agreements and collateral agreements that limit the unsecured portion of any open derivative position. On a net counterparty basis at December 31, 2023 and 2022, derivative transactions with positive mark-to-market values (in-the-money) were $27 million and $174 million, respectively, and derivative transactions with negative mark-to-market values (out-of-the-money) were $191 million and $181 million, respectively. To secure the obligations represented by the out-of-the-money transactions, MrB had provided collateral to its counterparties with an estimated fair value of $183 million and $181 million at December 31, 2023 and 2022, respectively. Accordingly, unsecured derivative liabilities guaranteed by MetLife, Inc. were $8 million and $0 at December 31, 2023 and 2022, respectively.
MetLife, Inc. also guarantees the obligations of certain of its subsidiaries under committed facilities with third-party banks. See Note 16 of the Notes to the Consolidated Financial Statements.