MetLife 2012 Annual Report Download - page 177

MetLife, Inc.
Notes to the Consolidated Financial Statements — (Continued)
Dividend
Declaration Date Record Date Payment Date Series A Per Share Series A Aggregate Series B Per Share Series B Aggregate
(In millions, except per share data)
November 15, 2012 November 30, 2012 December 17, 2012 $0.253 $ 7 $0.406 $24
August 15, 2012 August 31, 2012 September 17, 2012 $0.256 6 $0.406 24
May 15, 2012 May 31, 2012 June 15, 2012 $0.256 7 $0.406 24
March 5, 2012 February 29, 2012 March 15, 2012 $0.253 6 $0.406 24
$26 $96
November 15, 2011 November 30, 2011 December 15, 2011 $0.253 $ 7 $0.406 $24
August 15, 2011 August 31, 2011 September 15, 2011 $0.256 6 $0.406 24
May 16, 2011 May 31, 2011 June 15, 2011 $0.256 7 $0.406 24
March 7, 2011 February 28, 2011 March 15, 2011 $0.250 6 $0.406 24
$26 $96
November 15, 2010 November 30, 2010 December 15, 2010 $0.253 $ 7 $0.406 $24
August 16, 2010 August 31, 2010 September 15, 2010 $0.256 6 $0.406 24
May 17, 2010 May 31, 2010 June 15, 2010 $0.256 7 $0.406 24
March 5, 2010 February 28, 2010 March 15, 2010 $0.250 6 $0.406 24
$26 $96
See Note 23 for information on subsequent dividends declared.
Convertible Preferred Stock
In connection with the financing of the ALICO Acquisition in November 2010, MetLife, Inc. issued to AM Holdings 6,857,000 shares of convertible
preferred stock with a $0.01 par value per share, a liquidation preference of $0.01 per share and a fair value of $2.8 billion. On March 8, 2011, MetLife,
Inc. repurchased and canceled all of the convertible preferred stock for $3.0 billion in cash, which resulted in a preferred stock redemption premium of
$146 million.
For purposes of the earnings per common share calculation, for the year ended December 31, 2010, the convertible preferred stock was assumed
converted into shares of common stock for both basic and diluted weighted average common shares. See Note 20.
Common Stock
Issuances
In October 2012, MetLife, Inc. delivered 28,231,956 shares of newly issued common stock for $1.0 billion. The issuance was made in connection
with the settlement of the Series C Purchase Contracts. See Note 15.
In March 2011, MetLife, Inc. issued 68,570,000 new shares of its common stock in a public offering at a price of $43.25 per share for gross
proceeds of $3.0 billion. In connection with this offering of common stock, $16 million of issuance costs were incurred which have been recorded as a
reduction of additional paid-in capital. The proceeds were used to repurchase the convertible preferred stock issued to AM Holdings in November
2010. See Note 3.
In November 2010, MetLife, Inc. issued to AM Holdings in connection with the financing of the ALICO Acquisition 78,239,712 new shares of its
common stock at $40.90 per share with a fair value of $3.2 billion.
In August 2010, MetLife, Inc. issued 86,250,000 new shares of its common stock at a price of $42.00 per share for gross proceeds of $3.6 billion.
In connection with this offering of common stock, $94 million of issuance costs were incurred which have been recorded as a reduction of additional
paid-in capital.
During the years ended December 31, 2012, 2011 and 2010, 5,497,752, 3,549,211 and 2,182,174 new shares of common stock were issued for
$171 million, $115 million and $74 million, respectively, to satisfy various stock option exercises and other stock-based awards. There were no shares
of common stock issued from treasury stock during the years ended December 31, 2012 and 2011, while during the year ended December 31, 2010,
332,121 shares of common stock were issued from treasury stock for $18 million to satisfy various stock option exercises and other stock-based
awards.
Repurchase Programs
At December 31, 2012, MetLife, Inc. had $1.3 billion remaining under its common stock repurchase program authorizations. During the years ended
December 31, 2012, 2011 and 2010, no shares of common stock were repurchased under these repurchase program authorizations.
Under the aforementioned authorizations, MetLife, Inc. may purchase its common stock from the MetLife Policyholder Trust, in the open market
(including pursuant to the terms of a pre-set trading plan meeting the requirements of Rule 10b5-1 under the Securities Exchange Act of 1934) and in
privately negotiated transactions. Any future common stock repurchases will be dependent upon several factors, including the Company’s capital
position, its liquidity, its financial strength and credit ratings, general market conditions and the market price of MetLife, Inc.’s common stock compared
to management’s assessment of the stock’s underlying value and applicable regulatory approvals, as well as other legal and accounting factors.
MetLife, Inc. 171