MetLife 2005 Annual Report Download - page 81

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METLIFE, INC.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS — (Continued)
As of July 1, 2005
(In millions)
Sources:
Cash ********************************************************************************************* $4,198
Debt ********************************************************************************************* 2,716
Junior subordinated debt securities associated with common equity units *********************************** 2,134
Preferred stock ************************************************************************************ 2,100
Common stock ************************************************************************************ 1,010
Total sources of funds**************************************************************************** $12,158
Uses:
Debt and equity issuance costs ********************************************************************** $ 128
Investment in MetLife Capital Trusts II and III ************************************************************ 64
Acquisition costs *********************************************************************************** 113
Purchase price paid to Citigroup ********************************************************************** 11,853
Total purchase price****************************************************************************** 11,966
Total uses of funds ******************************************************************************* $12,158
As of July 1, 2005
(In millions)
Total purchase price******************************************************************************** $11,966
Net assets acquired from Travelers ***************************************************************** $9,412
Adjustments to reflect assets acquired at fair value:
Fixed maturities available-for-sale********************************************************************** (31)
Mortgage and consumer loans *********************************************************************** 72
Real estate and real estate joint ventures held-for-investment ********************************************** 17
Real estate held-for-sale***************************************************************************** 22
Other limited partnerships**************************************************************************** 51
Other invested assets ******************************************************************************* 201
Premiums and other receivables ********************************************************************** 1,008
Elimination of historical deferred policy acquisition costs ************************************************** (3,210)
Value of business acquired ************************************************************************** 3,780
Value of distribution agreement acquired *************************************************************** 645
Value of customer relationships acquired *************************************************************** 17
Elimination of historical goodwill *********************************************************************** (197)
Net deferred income tax assets*********************************************************************** 2,098
Other assets ************************************************************************************** (88)
Adjustments to reflect liabilities assumed at fair value:
Future policy benefits ******************************************************************************* (4,070)
Policyholder account balances *********************************************************************** (1,904)
Other liabilities ************************************************************************************* (34)
Net fair value of assets and liabilities assumed ****************************************************** 7,789
Goodwill resulting from the acquisition ************************************************************** $ 4,177
Goodwill resulting from the acquisition has been allocated to the Company’s segments, as well as Corporate & Other, that are expected to benefit
from the acquisition as follows:
As of July 1, 2005
(In millions)
Institutional********************************************************************************************* $ 894
Individual ********************************************************************************************** 2,702
International ******************************************************************************************** 193
Corporate & Other ************************************************************************************** 388
Total *********************************************************************************************** $4,177
Of the goodwill of $4.2 billion, approximately $1.5 billion is estimated to be deductible for income tax purposes.
MetLife, Inc. F-19