MetLife 2010 Annual Report Download - page 141

The following tables present the changes in the valuation allowance, by portfolio segment:
CommercialAgriculturalResidential Total
Mortgage Loan Valuation Allowances
(In millions)
Balance at January 1, 2008 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $167 $ 24 $ 6 $197
Provision(release)................................... 145 49 6 200
Charge-offs,netofrecoveries........................... (80) (12) (1) (93)
Balance at December 31, 2008 . . . . . . . . . . . . . . . . . . . . . . . . . . . 232 61 11 304
Provision(release)................................... 384 79 12 475
Charge-offs,netofrecoveries........................... (27) (25) (6) (58)
Balance at December 31, 2009 . . . . . . . . . . . . . . . . . . . . . . . . . . . 589 115 17 721
Provision(release)................................... (5) 12 2 9
Charge-offs,netofrecoveries........................... (22) (39) (5) (66)
Balance at December 31, 2010 . . . . . . . . . . . . . . . . . . . . . . . . . . . $562 $ 88 $14 $664
Commercial Mortgage Loans — by Credit Quality Indicators with Estimated Fair Value: Presented below for the commercial mortgage
loans held-for-investment is the recorded investment, prior to valuation allowances, by the indicated loan-to-value ratio categories and debt
service coverage ratio categories and estimated fair value of such mortgage loans by the indicated loan-to-value ratio categories at:
H1.20x 1.00x - 1.20x G1.00x Total % of Total Estimated Fair Value % of Total
Debt Service Coverage Ratios
Recorded Investment
December 31, 2010
(In millions) (In millions)
Loan-to-value ratios:
Less than 65% . . . . . . . . . . . . . . . $16,664 $ 125 $ 483 $17,272 45.7% $18,183 46.9%
65% to 75% . . . . . . . . . . . . . . . . . 9,023 765 513 10,301 27.2 10,686 27.6
76% to 80% . . . . . . . . . . . . . . . . . 3,033 304 135 3,472 9.2 3,536 9.1
Greater than 80% . . . . . . . . . . . . . 4,155 1,813 807 6,775 17.9 6,374 16.4
Total . . . . . . . . . . . . . . . . . . . . $32,875 $3,007 $1,938 $37,820 100.0% $38,779 100.0%
Agricultural and Residential Mortgage Loans — by Credit Quality Indicator: The recorded investment in agricultural and residential
mortgage loans held-for-investment, prior to valuation allowances, by credit quality indicator, was at:
Recorded Investment % of Total Recorded Investment % of Total
Agricultural Mortgage Loans Residential Mortgage Loans
December 31, 2010
(In millions) (In millions)
Loan-to-value ratios: Performance indicators:
Lessthan65% .................. $11,483 90.1% Performing ........ $2,225 96.4%
65%to75%.................... 885 6.9 Nonperforming...... 83 3.6
76% to 80% . . . . . . . . . . . . . . . . . . . . 48 0.4 Total . . . . . . . . . . . $2,308 100.0%
Greaterthan80% ................ 335 2.6
Total........................ $12,751 100.0%
Past Due and Interest Accrual Status of Mortgage Loans. The Company has a high quality, well performing, mortgage loan portfolio with
approximately 99% of all mortgage loans classified as performing.
Past Due. The Company defines delinquent mortgage loans consistent with industry practice, when interest and principal payments are
past due as follows: commercial mortgage loans — 60 days past due; agricultural mortgage loans — 90 days past due; and residential
mortgage loans — 60 days past due. The recorded investment in mortgage loans held-for-investment, prior to valuation allowances, past
due according to these aging categories was $58 million, $159 million and $79 million for commercial, agricultural and residential mortgage
loans, respectively, at December 31, 2010; and for all mortgage loans was $296 million and $220 million at December 31, 2010 and 2009,
respectively.
Accrual Status. Past Due 90 Days or More and Still Accruing Interest. The recorded investment in mortgage loans held-for-investment,
prior to valuation allowances, that were past due 90 days or more and still accruing interest was $1 million, $13 million and $11 million for
commercial, agricultural and residential mortgage loans, respectively, at December 31, 2010; and for all mortgage loans, was $25 million and
$14 million at December 31, 2010 and 2009, respectively.
Accrual Status. Mortgage Loans in Nonaccrual Status. The recorded investment in mortgage loans held-for-investment, prior to
valuation allowances, that were in nonaccrual status was $7 million, $177 million and $25 million for commercial, agricultural and residential
F-52 MetLife, Inc.
MetLife, Inc.
Notes to the Consolidated Financial Statements — (Continued)