MetLife 2008 Annual Report Download - page 226

December 31, 2008 Notional Amount Carrying Value Estimated Fair Value
(In millions)
Assets:
Fixedmaturitysecurities ............................................... $188,251 $188,251
Equitysecurities..................................................... $ 3,197 $ 3,197
Tradingsecurities.................................................... $ 946 $ 946
Mortgage and consumer loans:
Held-for-investment................................................. $ 49,352 $ 48,133
Held-for-sale ..................................................... $ 2,012 $ 2,010
Mortgageandconsumerloans,net ..................................... $ 51,364 $ 50,143
Policyloans ....................................................... $ 9,802 $ 11,952
Realestatejointventures(1)............................................. $ 163 $ 176
Otherlimitedpartnershipinterests(1) ....................................... $ 1,900 $ 2,269
Short-terminvestments................................................ $ 13,878 $ 13,878
Other invested assets:(1)
Derivativeassets................................................... $133,565 $ 12,306 $ 12,306
Mortgageservicingrights ............................................. $ 191 $ 191
Other .......................................................... $ 801 $ 900
Cashandcashequivalents.............................................. $ 24,207 $ 24,207
Accruedinvestmentincome............................................. $ 3,061 $ 3,061
Premiumsandotherreceivables(1)......................................... $ 2,995 $ 3,473
Otherassets(1) ..................................................... $ 800 $ 629
Assetsofsubsidiariesheld-for-sale(1)....................................... $ 630 $ 649
Separateaccountassets............................................... $120,839 $120,839
Netembeddedderivativeswithinassethostcontracts(2) .......................... $ 205 $ 205
Liabilities:
Policyholderaccountbalances(1).......................................... $110,174 $102,902
Short-termdebt..................................................... $ 2,659 $ 2,659
Long-termdebt(1) ................................................... $ 9,619 $ 8,155
Collateralfinancingarrangements ......................................... $ 5,192 $ 1,880
Juniorsubordinateddebtsecurities ........................................ $ 3,758 $ 2,606
Payablesforcollateralundersecuritiesloanedandothertransactions.................. $ 31,059 $ 31,059
Otherliabilities:(1)....................................................
Derivativeliabilities.................................................. $ 64,523 $ 4,042 $ 4,042
Tradingliabilities ................................................... $ 57 $ 57
Other .......................................................... $ 638 $ 638
Liabilitiesofsubsidiariesheld-for-sale(1) ..................................... $ 50 $ 49
Separateaccountliabilities(1)............................................ $ 28,862 $ 28,862
Netembeddedderivativeswithinliabilityhostcontracts(2).......................... $ 3,051 $ 3,051
Commitments:(3)
Mortgageloancommitments............................................. $ 2,690 $ — $ (129)
Commitments to fund bank credit facilities, bridge loans and private corporate bond
investments...................................................... $ 979 $ — $ (105)
(1) Carrying values presented herein differ from those presented on the consolidated balance sheet because certain items within the
respective financial statement caption are not considered financial instruments. Financial statement captions omitted from the table
above are not considered financial instruments.
(2) Net embedded derivatives within asset host contracts are presented within premiums and other receivables. Net embedded derivatives
within liability host contracts are presented within policyholder account balances. Equity securities also include embedded derivatives of
($173) million.
(3) Commitments are off-balance sheet obligations. Negative estimated fair values represent off-balance sheet liabilities.
The methods and assumptions used to estimate the fair value of financial instruments are summarized as follows:
Fixed Maturity Securities, Equity Securities and Trading Securities — When available, the estimated fair value of the Company’s fixed
maturity, equity and trading securities are based on quoted prices in active markets that are readily and regularly obtainable. Generally,
these are the most liquid of the Company’s securities holdings and valuation of these securities does not involve management judgment.
F-103MetLife, Inc.
MetLife, Inc.
Notes to the Consolidated Financial Statements — (Continued)