MetLife Completes Risk Transfer Transaction With Global Atlantic Financial Group
November 16 2023 - 6:50AM
Business Wire
MetLife, Inc. (NYSE: MET) today announced it has completed its
risk transfer transaction with Global Atlantic Financial Group, a
retirement and life insurance company. The transaction accelerates
the run-off of MetLife Holdings, the company’s closed-block
businesses of its former U.S. Retail segment, representing
approximately $19 billion of statutory reserves.
As part of MetLife’s ongoing commitment to its customers, the
company will remain as administrator and service provider for the
policies to be reinsured. MetLife Investment Management will also
manage a significant amount of the assets under a five-year
investment management agreement.
“We are pleased to have closed this transaction, which
illustrates MetLife’s capacity to execute as well as our commitment
to reduce enterprise risk and deploy capital to its highest and
best use,” said MetLife President and CEO Michel Khalaf.
Forward Looking and Cautionary Statements
This news release may contain or incorporate by reference
information that includes or is based upon forward-looking
statements within the meaning of the Private Securities Litigation
Reform Act of 1995. Forward-looking statements give expectations or
forecasts of future events and do not relate strictly to historical
or current facts. They use words and terms such as “anticipate,”
"are confident," “assume,” “believe,” “continue,” “could,”
“estimate,” “expect,” “if,” “intend,” “likely,” “may,” “plan,”
“potential,” “project,” “should,” “will,” “would,” and other words
and terms of similar meaning or that are otherwise tied to future
periods or future performance, in each case in all derivative
forms. They include statements relating to future actions,
prospective services or products, future performance or results of
current and anticipated services or products, future sales efforts,
future expenses, the outcome of contingencies such as legal
proceedings, and future trends in operations and financial
results.
Many factors determine the results of MetLife, Inc., its
subsidiaries and affiliates, and they involve unpredictable risks
and uncertainties. Our forward-looking statements depend on our
assumptions, our expectations, and our understanding of the
economic environment, but they may be inaccurate and may change.
MetLife, Inc. does not guarantee any future performance. Our
results could differ materially from those MetLife, Inc. expresses
or implies in forward-looking statements. The risks, uncertainties
and other factors, including those relating to the COVID-19
pandemic, identified in MetLife, Inc.’s filings with the U.S.
Securities and Exchange Commission, and others, may cause such
differences. These factors include:
- economic condition difficulties, including risks relating to
public health, interest rates, credit spreads, equity, real estate,
obligors and counterparties, government default, currency exchange
rates, derivatives, climate change and terrorism and security;
- global capital and credit market adversity;
- credit facility inaccessibility;
- financial strength or credit ratings downgrades;
- unavailability, unaffordability, or inadequate reinsurance,
including reinsurance risks that arise from reinsurers’ credit
risk, and the potential shortfall or failure of risk mitigants to
protect against such risks;
- statutory life insurance reserve financing costs or limited
market capacity;
- legal, regulatory, and supervisory and enforcement policy
changes;
- changes in tax rates, tax laws or interpretations;
- litigation and regulatory investigations;
- London Interbank Offered Rate discontinuation and transition to
alternative reference rates;
- unsuccessful efforts to meet all environmental, social, and
governance standards or to enhance our sustainability;
- MetLife, Inc.’s inability to pay dividends and repurchase
common stock;
- MetLife, Inc.’s subsidiaries’ inability to pay dividends to
MetLife, Inc.;
- investment defaults, downgrades, or volatility;
- investment sales or lending difficulties;
- collateral or derivative-related payments;
- investment valuations, allowances, or impairments changes;
- claims or other results that differ from our estimates,
assumptions, or models;
- global political, legal, or operational risks;
- business competition;
- technological changes;
- catastrophes;
- climate changes or responses to it;
- deficiencies in our closed block;
- goodwill or other asset impairment, or deferred income tax
asset allowance;
- impairment of value of business acquired, value of distribution
agreements acquired or value of customer relationships
acquired;
- product guarantee volatility, costs, and counterparty
risks;
- risk management failures;
- insufficient protection from operational risks;
- failure to protect confidentiality and integrity of data or
other cybersecurity or disaster recovery failures;
- accounting standards changes;
- excessive risk-taking;
- marketing and distribution difficulties;
- pension and other postretirement benefit assumption
changes;
- inability to protect our intellectual property or avoid
infringement claims;
- acquisition, integration, growth, disposition, or
reorganization difficulties;
- Brighthouse Financial, Inc. separation risks;
- MetLife, Inc.’s Board of Directors influence over the outcome
of stockholder votes through the voting provisions of the MetLife
Policyholder Trust; and
- legal- and corporate governance-related effects on business
combinations.
MetLife, Inc. does not undertake any obligation to publicly
correct or update any forward-looking statement if MetLife, Inc.
later becomes aware that such statement is not likely to be
achieved. Please consult any further disclosures MetLife, Inc.
makes on related subjects in subsequent reports to the U.S.
Securities and Exchange Commission.
About MetLife
MetLife, Inc. (NYSE: MET), through its subsidiaries and
affiliates (“MetLife”), is one of the world’s leading financial
services companies, providing insurance, annuities, employee
benefits and asset management to help individual and institutional
customers build a more confident future. Founded in 1868, MetLife
has operations in more than 40 markets globally and holds leading
positions in the United States, Japan, Latin America, Asia, Europe
and the Middle East. For more information, visit
www.metlife.com.
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version on businesswire.com: https://www.businesswire.com/news/home/20231115656877/en/
For Media: Brian Blaser (212) 578-2415 bblaser@metlife.com
For Investors: John Hall (212) 578-7888
john.a.hall@metlife.com
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