MetLife 2009 Annual Report Download - page 146

5. Fair Value
Effective January 1, 2008, the Company prospectively adopted the provisions of fair value measurement guidance. Considerable
judgment is often required in interpreting market data to develop estimates of fair value and the use of different assumptions or valuation
methodologies may have a material effect on the estimated fair value amounts.
Fair Value of Financial Instruments
Amounts related to the Company’s financial instruments are as follows:
December 31, 2009 Notional Amount Carrying Value
Estimated
Fair
Value
(In millions)
Assets:
Fixedmaturitysecurities................................................. $227,642 $227,642
Equitysecurities...................................................... $ 3,084 $ 3,084
Tradingsecurities..................................................... $ 2,384 $ 2,384
Mortgage loans:
Held-for-investment .................................................. $ 48,181 $ 46,315
Held-for-sale....................................................... 2,728 2,728
Mortgageloans,net................................................. $ 50,909 $ 49,043
Policyloans......................................................... $ 10,061 $ 11,294
Realestatejointventures(1) .............................................. $ 115 $ 127
Otherlimitedpartnershipinterests(1)......................................... $ 1,571 $ 1,581
Short-terminvestments ................................................. $ 8,374 $ 8,374
Other invested assets:(1)
Derivativeassets(2) .................................................. $122,156 $ 6,133 $ 6,133
Mortgageservicingrights............................................... $ 878 $ 878
Other ........................................................... $ 1,241 $ 1,284
Cashandcashequivalents............................................... $ 10,112 $ 10,112
Accruedinvestmentincome .............................................. $ 3,173 $ 3,173
Premiumsandotherreceivables(1).......................................... $ 3,375 $ 3,532
Otherassets(1) ...................................................... $ 425 $ 440
Separateaccountassets ................................................ $149,041 $149,041
Netembeddedderivativeswithinassethostcontracts(3)............................ $ 76 $ 76
Liabilities:
Policyholderaccountbalances(1)........................................... $ 97,131 $ 96,735
Payables for collateral under securities loaned and other transactions . . . . . . . . . . . . . . . . . . . $ 24,196 $ 24,196
Bankdeposits ....................................................... $ 10,211 $ 10,300
Short-termdebt...................................................... $ 912 $ 912
Long-termdebt(1)..................................................... $ 13,185 $ 13,831
Collateralfinancingarrangements........................................... $ 5,297 $ 2,877
Juniorsubordinateddebtsecurities ......................................... $ 3,191 $ 3,167
Other liabilities:(1)
Derivativeliabilities(2) ................................................. $ 73,721 $ 4,115 $ 4,115
Tradingliabilities .................................................... $ 106 $ 106
Other ........................................................... $ 1,788 $ 1,788
Separateaccountliabilities(1) ............................................. $ 32,171 $ 32,171
Netembeddedderivativeswithinliabilityhostcontracts(3)........................... $ 1,505 $ 1,505
Commitments:(4)
Mortgageloancommitments.............................................. $ 2,220 $ — $ (48)
Commitments to fund bank credit facilities, bridge loans and private corporate bond
investments ....................................................... $ 1,261 $ — $ (52)
F-62 MetLife, Inc.
MetLife, Inc.
Notes to the Consolidated Financial Statements — (Continued)