MetLife 2004 Annual Report Download - page 93

Download and view the complete annual report

Please find page 93 of the 2004 MetLife annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

Page out of 101

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38
  • 39
  • 40
  • 41
  • 42
  • 43
  • 44
  • 45
  • 46
  • 47
  • 48
  • 49
  • 50
  • 51
  • 52
  • 53
  • 54
  • 55
  • 56
  • 57
  • 58
  • 59
  • 60
  • 61
  • 62
  • 63
  • 64
  • 65
  • 66
  • 67
  • 68
  • 69
  • 70
  • 71
  • 72
  • 73
  • 74
  • 75
  • 76
  • 77
  • 78
  • 79
  • 80
  • 81
  • 82
  • 83
  • 84
  • 85
  • 86
  • 87
  • 88
  • 89
  • 90
  • 91
  • 92
  • 93
  • 94
  • 95
  • 96
  • 97
  • 98
  • 99
  • 100
  • 101

METLIFE, INC.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS — (Continued)
15. Quarterly Results of Operations (Unaudited)
The unaudited quarterly results of operations for the years ended December 31, 2004 and 2003 are summarized in the table below:
Three Months Ended
March 31, June 30, September 30, December 31,
(Dollars in millions, except per share data)
2004
Total revenues******************************************************* $9,426 $9,479 $10,047 $10,062
Total expenses ****************************************************** $8,471 $8,389 $ 9,048 $ 9,327
Income from continuing operations************************************** $ 655 $ 843 $ 698 $ 512
Income from discontinued operations, net of income taxes ***************** $29 $111 $(3) $(1)
Income before cumulative effect of a change in accounting ***************** $ 684 $ 954 $ 695 $ 511
Net income ********************************************************* $ 598 $ 954 $ 695 $ 511
Basic earnings per share:
Income from continuing operations available to common shareholders ****** $ 0.87 $ 1.12 $ 0.93 $ 0.69
Income from discontinued operations, net of income taxes *************** $ 0.04 $ 0.15 $ — $ —
Income before cumulative effect of a change in accounting available to
common shareholders ******************************************** $ 0.90 $ 1.27 $ 0.93 $ 0.69
Net income available to common shareholders ************************* $ 0.79 $ 1.27 $ 0.93 $ 0.69
Diluted earnings per share:
Income from continuing operations available to common shareholders ****** $ 0.86 $ 1.11 $ 0.93 $ 0.68
Income from discontinued operations, net of income taxes *************** $ 0.04 $ 0.15 $ — $ —
Income before cumulative effect of a change in accounting available to
common shareholders ******************************************** $ 0.90 $ 1.26 $ 0.92 $ 0.68
Net income available to common shareholders ************************* $ 0.79 $ 1.26 $ 0.92 $ 0.68
2003
Total revenues******************************************************* $8,269 $8,809 $ 8,718 $ 9,529
Total expenses ****************************************************** $7,872 $8,036 $ 8,027 $ 8,831
Income from continuing operations************************************** $ 287 $ 564 $ 549 $ 499
Income from discontinued operations, net of income taxes ***************** $ 75 $ 16 $ 25 $ 228
Income before cumulative effect of a change in accounting ***************** $ 362 $ 580 $ 574 $ 727
Net income ********************************************************* $ 362 $ 580 $ 574 $ 701
Basic earnings per share:
Income from continuing operations available to common shareholders ****** $ 0.38 $ 0.77 $ 0.72 $ 0.66
Income from discontinued operations, net of income taxes *************** $ 0.11 $ 0.02 $ 0.03 $ 0.30
Income before cumulative effect of a change in accounting available to
common shareholders ******************************************** $ 0.49 $ 0.79 $ 0.75 $ 0.96
Net income available to common shareholders ************************* $ 0.49 $ 0.79 $ 0.75 $ 0.92
Diluted earnings per share:
Income from continuing operations available to common shareholders ****** $ 0.37 $ 0.77 $ 0.72 $ 0.66
Income from discontinued operations, net of income taxes *************** $ 0.10 $ 0.02 $ 0.03 $ 0.30
Income before cumulative effect of a change in accounting available to
common shareholders ******************************************** $ 0.47 $ 0.79 $ 0.75 $ 0.95
Net income available to common shareholders ************************* $ 0.47 $ 0.79 $ 0.75 $ 0.92
16. Business Segment Information
The Company provides insurance and financial services to customers in the United States, Canada, Central America, South America, Asia and
various other international markets. The Company’s business is divided into five operating segments: Institutional, Individual, Auto & Home, International
and Reinsurance, as well as Corporate & Other. These segments are managed separately because they either provide different products and services,
require different strategies or have different technology requirements.
Institutional offers a broad range of group insurance and retirement & savings products and services, including group life insurance, non-medical
health insurance, such as short and long-term disability, long-term care, and dental insurance, and other insurance products and services. Individual
offers a wide variety of protection and asset accumulation products, including life insurance, annuities and mutual funds. Auto & Home provides personal
lines property and casualty insurance, including private passenger automobile, homeowner’s and personal excess liability insurance. International
provides life insurance, accident and health insurance, annuities and retirement & savings products to both individuals and groups. Reinsurance provides
primarily reinsurance of life and annuity policies in North America and various international markets. Additionally, reinsurance of critical illness policies is
provided in select international markets.
Corporate & Other contains the excess capital not allocated to the business segments, various start-up entities, including MetLife Bank, N.A.
(‘‘MetLife Bank’’), a national bank, and run-off entities, as well as interest expense related to the majority of the Company’s outstanding debt and
expenses associated with certain legal proceedings and income tax audit issues. Corporate & Other also includes the elimination of all intersegment
amounts, which generally relate to intersegment loans, which bear interest rates commensurate with related borrowings, as well as intersegment
transactions. Additionally, the Company’s asset management business, including amounts reported as discontinued operations, is included in the results
of operations for Corporate & Other. See Note 18 for disclosures regarding discontinued operations, including real estate.
Set forth in the tables below is certain financial information with respect to the Company’s operating segments for the years ended December 31,
2004, 2003 and 2002. The accounting policies of the segments are the same as those of the Company, except for the method of capital allocation and
MetLife, Inc.
F-50