MetLife 2000 Annual Report Download - page 4

Cautionary Statement on Forward-Looking Statements
This Annual Report, including the Management’s Discussion and Analysis of Financial Condition and Results of Operations, contains statements
which constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including statements relating to
trends in operations and financial results and the business and the products of MetLife, Inc. and its subsidiaries (the ‘‘Company’’), as well as other
statements including words such as ‘‘anticipate,’’ ‘‘believe,’’ ‘‘plan,’’ ‘‘estimate,’’ ‘‘expect,’’ ‘‘intend’’ and other similar expressions. Forward-looking
statements are made based upon management’s current expectations and beliefs concerning future developments and their potential effects on the
Company. Such forward-looking statements are not guarantees of future performance.
Actual results may differ materially from those included in the forward-looking statements as a result of risks and uncertainties including, but not
limited to the following: (i) changes in general economic conditions, including the performance of financial markets and interest rates; (ii) heightened
competition, including with respect to pricing, entry of new competitors and the development of new products by new and existing competitors; (iii) the
Company’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; (iv) catastrophe losses; (v) regulatory, accounting or tax changes that may affect the
cost of, or demand for, the Company’s products or services; (vi) downgrades in the Company’s financial strength ratings; (vii) discrepancies between
actual claims experience and assumptions used in setting prices for the Company’s products and establishing the liabilities for the Company’s obligations
for future policy benefits and claims; (viii) adverse litigation or arbitration results; and (ix) other risks and uncertainties described from time to time in the
Company’s filings with the Securities and Exchange Commission, including its S-1 registration statements. The Company specifically disclaims any
obligation to update or revise any forward-looking statement, whether as a result of new information, future developments or otherwise.
Selected Financial Data.
The following table sets forth selected consolidated financial information for the Company. The consolidated financial information for the years ended
December 31, 2000, 1999 and 1998 and at December 31, 2000 and 1999 has been derived from the Company’s audited consolidated financial
statements included elsewhere herein. The consolidated financial information for the years ended December 31, 1997 and 1996 and at December 31,
1998, 1997 and 1996 has been derived from the Company’s audited consolidated financial statements not included elsewhere herein. The following
consolidated statements of income and consolidated balance sheet data, other than the statutory data, have been prepared in conformity with GAAP.
The statutory data have been derived from Metropolitan Life’s Annual Statements filed with insurance regulatory authorities and have been prepared in
accordance with statutory accounting practices. The following information should be read in conjunction with and is qualified in its entirety by the
information contained in ‘‘Management’s Discussion and Analysis of Financial Condition and Results of Operations,’’ and the consolidated financial
statements appearing elsewhere herein.
For the years ended December 31,
2000 1999 1998 1997 1996
(Dollars in millions)
Statements of Income Data
Revenues
Premiums ************************************************************* $16,317 $12,088 $11,503 $11,278 $11,345
Universal life and investment-type product policy fees ************************ 1,820 1,433 1,360 1,418 1,243
Net investment income(3)(4) ********************************************** 11,768 9,816 10,228 9,491 8,978
Other revenues ******************************************************** 2,432 2,154 1,994 1,491 1,246
Net investment (losses) gains(5)******************************************* (390) (70) 2,021 787 231
Total revenues(1)(2) 31,947 25,421 27,106 24,465 23,043
Expenses
Policyholder benefits and claims(6) **************************************** 16,893 13,100 12,638 12,403 12,432
Interest credited to policyholder account balances *************************** 2,935 2,441 2,711 2,878 2,868
Policyholder dividends*************************************************** 1,919 1,690 1,651 1,742 1,728
Payments to former Canadian policyholders(1)******************************* 327————
Demutualization costs *************************************************** 230 260 6 — —
Other expenses(4)(7) **************************************************** 8,227 6,755 8,019 5,771 4,609
Total expenses(1)(2) 30,531 24,246 25,025 22,794 21,637
Income before provision for income taxes *************************************** 1,416 1,175 2,081 1,671 1,406
Provision for income taxes(8) *********************************************** 463 558 738 468 482
Income before discontinued operations*************************************** 953 617 1,343 1,203 924
Loss from discontinued operations(9) **************************************** ————(71)
Net income************************************************************** $ 953 $ 617 $ 1,343 $ 1,203 $ 853
Net income after April 7, 2000 (date of demutualization)************************* $ 1,173
MetLife, Inc. 1