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Published: 2020-11-04 16:32:03 ET
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EX-99.2 3 ex992qfsq320doc.htm EX-99.2 Document
Exhibit 99.2



 image0a451a.jpg
Third Quarter
Financial Supplement
September 30, 2020
3

METLIFE
TABLE OF CONTENTS
 
 
 
 
INVESTMENTS
Investment Portfolio Results by Asset Category and Annualized Yields
 
1
METLIFE
As used in this QFS, “MetLife," “we” and “our” refer to MetLife, Inc., a Delaware corporation incorporated in 1999, its subsidiaries and affiliates. In this QFS, MetLife presents certain measures of its performance that are not calculated in accordance with GAAP. We believe that these non-GAAP financial measures enhance the understanding of our performance by highlighting the results of operations and the underlying profitability drivers of our business. See Appendix for definitions of non-GAAP financial measures and other financial disclosures.
GAAP INTERIM CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
For the Three Months EndedFor the Year-to-Date Period Ended
Unaudited (In millions)September 30, 2019December 31, 2019March 31, 2020June 30, 2020September 30, 2020September 30, 2019September 30, 2020
Revenues
Premiums$10,781 $11,920 $9,466 $8,736 $9,935 $30,315 $28,137 
Universal life and investment-type product policy fees1,440 1,386 1,431 1,299 1,497 4,217 4,227 
Net investment income4,623 4,644 3,061 4,087 4,729 14,224 11,877 
Other revenues419 451 439 456 455 1,391 1,350 
Net investment gains (losses)161 207 (288)231 (20)237 (77)
Net derivative gains (losses)1,254 (1,465)4,201 (710)(581)2,093 2,910 
Total revenues18,678 17,143 18,310 14,099 16,015 52,477 48,424 
Expenses
Policyholder benefits and claims10,648 11,748 9,022 8,667 10,000 29,713 27,689 
Interest credited to policyholder account balances1,500 1,488 80 1,962 1,416 4,976 3,458 
Policyholder dividends296 313 292 290 206 898 788 
Capitalization of DAC(882)(827)(774)(671)(764)(2,531)(2,209)
Amortization of DAC and VOBA797 786 788 560 1,066 2,110 2,414 
Amortization of negative VOBA(4)(9)(10)(10)(15)(24)(35)
Interest expense on debt223 224 222 232 229 731 683 
Other expenses3,309 3,457 3,047 2,872 2,954 9,772 8,873 
Total expenses15,887 17,180 12,667 13,902 15,092 45,645 41,661 
Income (loss) before provision for income tax2,791 (37)5,643 197 923 6,832 6,763 
Provision for income tax expense (benefit)601 (625)1,242 47 214 1,511 1,503 
Net income (loss) 2,190 588 4,401 150 709 5,321 5,260 
Less: Net income (loss) attributable to noncontrolling interests6 (5)3 5 3 15 11 
Net income (loss) attributable to MetLife, Inc.2,184 593 4,398 145 706 5,306 5,249 
Less: Preferred stock dividends32 57 32 77 59 121 168 
 Preferred stock redemption premium — — — — 14 — 14 
Net income (loss) available to MetLife, Inc.'s common shareholders$2,152 $536 $4,366 $68 $633 $5,185 $5,067 
Premiums, fees and other revenues$12,640 $13,757 $11,336 $10,491 $11,887 $35,923 $33,714 
2
METLIFE
CORPORATE OVERVIEW
For the Three Months Ended
Unaudited (In millions, except per share data)September 30, 2019December 31, 2019March 31, 2020June 30, 2020September 30, 2020
Net income (loss) available to MetLife, Inc.'s common shareholders$2,152 $536 $4,366 $68 $633 
Adjustments from net income (loss) available to MetLife, Inc.'s common shareholders to adjusted earnings available to common shareholders:
Less: Net investment gains (losses) 161 207 (288)231 (20)
Less: Net derivative gains (losses)1,254 (1,465)4,201 (710)(581)
Less: Goodwill impairment— — — — — 
Less: Other adjustments to net income (loss) (1)(107)(418)(65)(357)(522)
Less: Provision for income tax (expense) benefit (340)373 (928)151 195 
Add: Net income (loss) attributable to noncontrolling interests6 (5)3 5 3 
Add: Preferred stock redemption premium— — — — 14 
Adjusted earnings available to common shareholders1,190 1,834 1,449 758 1,578 
Less: Total notable items (2)(248)420 — — (203)
Adjusted earnings available to common shareholders, excluding total notable items (2)$1,438 $1,414 $1,449 $758 $1,781 
Net income (loss) available to MetLife, Inc.'s common shareholders per diluted common share$2.30 $0.58 $4.75 $0.07 $0.69 
Less: Net investment gains (losses)0.17 0.22 (0.31)0.25 (0.02)
Less: Net derivative gains (losses)1.34 (1.58)4.57 (0.78)(0.64)
Less: Goodwill impairment— — — — — 
Less: Other adjustments to net income (loss)(0.11)(0.45)(0.08)(0.39)(0.57)
Less: Provision for income tax (expense) benefit(0.36)0.40 (1.01)0.17 0.21 
Add: Net income (loss) attributable to noncontrolling interests0.01 (0.01)— 0.01 — 
Add: Preferred stock redemption premium— — — — 0.02 
Adjusted earnings available to common shareholders per diluted common share 1.27 1.98 1.58 0.83 1.73 
Less: Total notable items per diluted common share (2)(0.26)0.45 — — (0.22)
Adjusted earnings available to common shareholders, excluding total notable items, per diluted common share (2), (3)$1.54 $1.53 $1.58 $0.83 $1.95 
For the Three Months Ended
Unaudited (In millions, except per share data)September 30, 2019December 31, 2019March 31, 2020June 30, 2020September 30, 2020
Notable items impacting adjusted earnings available to common shareholders (2):
Actuarial assumption review and other insurance adjustments$(160)$— $— $— $(203)
Expense initiative costs(88)(119)— — — 
Interest on tax adjustments— 64 — — — 
Tax adjustments — 475 — — — 
Total notable items $(248)$420 $— $— $(203)
Notable items impacting adjusted earnings available to common shareholders per diluted common share (2):
Actuarial assumption review and other insurance adjustments$(0.17)$— $— $— $(0.22)
Expense initiative costs$(0.09)$(0.13)$— $— $— 
Interest on tax adjustments$— $0.07 $— $— $— 
Tax adjustments$— $0.51 $— $— $— 
Total notable items $(0.26)$0.45 $— $— $(0.22)
For the Three Months Ended
Unaudited (In millions)September 30, 2019December 31, 2019March 31, 2020June 30, 2020September 30, 2020
Weighted average common shares outstanding - diluted936.4 925.7 920.0 913.1 913.7 
(1)See Page A-1 for further detail.
(2)These notable items represent a positive (negative) impact to adjusted earnings available to common shareholders and adjusted earnings available to common shareholders per diluted common share. The per share data for each notable item is calculated on a standalone basis and may not sum to total notable items. Notable items reflect the unexpected impact of events that affect MetLife's results, but that were unknown and that MetLife could not anticipate when it devised its business plan. Notable items also include certain items regardless of the extent anticipated in the business plan to help investors have a better understanding of MetLife's results and to evaluate and forecast those results. See Page A-2 for further detail.
(3)Calculated on a standalone basis and may not equal (i) adjusted earnings available to common shareholders per diluted common share, less (ii) total notable items per diluted common share.

3
METLIFE
CORPORATE OVERVIEW (CONTINUED)
UnauditedSeptember 30, 2019December 31, 2019March 31, 2020June 30, 2020September 30, 2020
Book value per common share (1) $70.71 $68.62 $72.62 $78.65 $76.20 
Book value per common share, excluding AOCI other than FCTA (1) $48.56 $48.97 $52.36 $52.27 $53.10 
Book value per common share - tangible common stockholders' equity (1) $38.52 $38.86 $42.33 $42.16 $42.86 
For the Three Months Ended
UnauditedSeptember 30, 2019December 31, 2019March 31, 2020June 30, 2020September 30, 2020
Return on MetLife, Inc.'s (2):
Common stockholders' equity 13.7 %3.4 %27.1 %0.4 %3.6 %
Adjusted return on MetLife, Inc.'s (2):
Common stockholders' equity 7.6 %11.5 %9.0 %4.4 %9.0 %
Common stockholders' equity, excluding AOCI other than FCTA 10.7 %16.4 %12.6 %6.4 %13.2 %
Common stockholders' equity, excluding total notable items (excludes AOCI other than FCTA) (3)12.9 %12.6 %12.6 %6.4 %14.9 %
Tangible common stockholders' equity13.7 %20.7 %15.8 %8.0 %16.5 %
For the Three Months Ended
Unaudited (In millions)September 30, 2019December 31, 2019March 31, 2020June 30, 2020September 30, 2020
Common shares outstanding, beginning of period935.9 919.6 915.3 907.6 907.6 
Share repurchases (17.1)(5.1)(10.6)— (2.1)
Newly issued shares0.8 0.8 2.9 — 0.1 
Common shares outstanding, end of period 919.6 915.3 907.6 907.6 905.6 
Weighted average common shares outstanding - basic929.6 918.7 914.1 908.8 908.7 
Dilutive effect of the exercise or issuance of stock-based awards 6.8 7.0 5.9 4.3 5.0 
Weighted average common shares outstanding - diluted936.4 925.7 920.0 913.1 913.7 
MetLife Policyholder Trust Shares142.8 140.7 139.2 138.4 137.3 
(1) Calculated using common shares outstanding, end of period.
(2) Annualized using quarter-to-date results. See Page A-3 for further detail.
(3)Notable items reflect the unexpected impact of events that affect MetLife’s results, but that were unknown and that MetLife could not anticipate when it devised its business plan. Notable items also include certain items regardless of the extent anticipated in the business plan to help investors have a better understanding of MetLife's results and to evaluate and forecast those results. Notable items can affect MetLife’s results either positively or negatively. See Page A-2 for further detail.

4
METLIFE
KEY ADJUSTED EARNINGS STATEMENT LINE ITEMS
For the Three Months EndedFor the Year-to-Date Period Ended
Unaudited (In millions)September 30, 2019December 31, 2019March 31, 2020June 30, 2020September 30, 2020September 30, 2019September 30, 2020
Total revenues$18,678 $17,143 $18,310 $14,099 $16,015 $52,477 $48,424 
Less: Net investment gains (losses)161 207 (288)231 (20)237 (77)
Less: Net derivative gains (losses)1,254 (1,465)4,201 (710)(581)2,093 2,910 
Less: Adjustments related to net investment gains (losses) and net derivative gains (losses)59 18 18 5 2 79 25 
Less: Other adjustments to revenues:
GMIB fees
27 26 26 25 26 82 77 
Investment hedge adjustments
(121)(125)(138)(188)(229)(344)(555)
Operating joint venture adjustments
— — — — — — — 
Unit-linked contract income
250 228 (1,140)818 262 1,247 (60)
Securitization entities income
— — — — — — — 
Certain partnership distributions
(2)(5)(4)(1)— (10)(5)
Settlement of foreign currency earnings hedges
3 2 — — — 7 — 
TSA fees
69 40 42 39 39 206 120 
Divested businesses
60 63 56 35 8 60 99 
Total adjusted revenues$16,918 $18,154 $15,537 $13,845 $16,508 $48,820 $45,890 
For the Three Months EndedFor the Year-to-Date Period Ended
Unaudited (In millions)September 30, 2019December 31, 2019March 31, 2020June 30, 2020September 30, 2020September 30, 2019September 30, 2020
Net investment income$4,623 $4,644 $3,061 $4,087 $4,729 $14,224 $11,877 
Less: Adjustments to net investment income:
Investment hedge adjustments(121)(125)(138)(188)(229)(344)(555)
Operating joint venture adjustments— — — — — — — 
Unit-linked contract income250 228 (1,140)818 262 1,247 (60)
Securitization entities income— — — — — — — 
Certain partnership distributions(2)(5)(4)(1)— (10)(5)
Divested businesses 23 24 22 14 8 23 44 
Adjusted net investment income$4,473 $4,522 $4,321 $3,444 $4,688 $13,308 $12,453 
For the Three Months EndedFor the Year-to-Date Period Ended
Unaudited (In millions)September 30, 2019December 31, 2019March 31, 2020June 30, 2020September 30, 2020September 30, 2019September 30, 2020
Variable investment income (Included in net investment income above)$326 $327 $351 $(555)$652 $834 $448 
For the Three Months EndedFor the Year-to-Date Period Ended
Unaudited (In millions)September 30, 2019December 31, 2019March 31, 2020June 30, 2020September 30, 2020September 30, 2019September 30, 2020
Premiums, fees and other revenues$12,640 $13,757 $11,336 $10,491 $11,887 $35,923 $33,714 
Less: Adjustments to premiums, fees and other revenues:
Unearned revenue adjustments
59 18 18 5 2 79 25 
GMIB fees
27 26 26 25 26 82 77 
Settlement of foreign currency earnings hedges
3 2 — — — 7 — 
TSA fees
69 40 42 39 39 206 120 
Divested businesses
37 39 34 21 — 37 55 
Adjusted premiums, fees and other revenues$12,445 $13,632 $11,216 $10,401 $11,820 $35,512 $33,437 
Adjusted premiums, fees and other revenues, on a constant currency basis$12,359 $13,580 $11,219 $10,490 $11,820 
5
METLIFE
KEY ADJUSTED EARNINGS STATEMENT LINE ITEMS (CONTINUED)
For the Three Months EndedFor the Year-to-Date Period Ended
Unaudited (In millions)September 30, 2019December 31, 2019March 31, 2020June 30, 2020September 30, 2020September 30, 2019September 30, 2020
Total expenses$15,887 $17,180 $12,667 $13,902 $15,092 $45,645 $41,661 
Less: Adjustments related to net investment gains (losses) and net derivative gains (losses)39 106 30 (6)64 10 88 
Less: Goodwill impairment— — — — — — — 
Less: Other adjustments to expenses:
PBC hedge adjustment
9 10 9 9 9 9 27 
Inflation and pass-through adjustments
87 (6)48 106 (37)250 117 
GMIB costs and amortization of DAC and VOBA related to GMIB fees and GMIB costs
(47)105 (128)85 238 38 195 
Market value adjustments and amortization of DAC, VOBA and negative VOBA related to market value adjustments
3 8 11 21 21 (12)53 
PAB hedge adjustments
(5)(5)(5)(2)(1)(14)(8)
Unit-linked contract costs
223 240 (1,138)796 266 1,196 (76)
Securitization entities debt expense
— — — — — — — 
Noncontrolling interests(8)5 (3)(7)(4)(20)(14)
Regulatory implementation costs
5 3 2 — 6 15 8 
Acquisition, integration and other costs
8 7 6 — 7 37 13 
TSA fees
69 40 42 39 39 206 120 
Divested businesses
69 152 51 49 22 75 122 
Total adjusted expenses$15,435 $16,515 $13,742 $12,812 $14,462 $43,855 $41,016 
For the Three Months EndedFor the Year-to-Date Period Ended
Unaudited (In millions)September 30, 2019December 31, 2019March 31, 2020June 30, 2020September 30, 2020September 30, 2019September 30, 2020
Capitalization of DAC $(882)$(827)$(774)$(671)$(764)$(2,531)$(2,209)
Less: Divested businesses(11)(9)(3)(2)— (11)(5)
Adjusted capitalization of DAC$(871)$(818)$(771)$(669)$(764)$(2,520)$(2,204)
For the Three Months EndedFor the Year-to-Date Period Ended
Unaudited (In millions)September 30, 2019December 31, 2019March 31, 2020June 30, 2020September 30, 2020September 30, 2019September 30, 2020
Other expenses $3,309 $3,457 $3,047 $2,872 $2,954 $9,772 $8,873 
Less: Noncontrolling interests
(8)5 (3)(7)(4)(20)(14)
Less: Regulatory implementation costs
5 3 2 — 6 15 8 
Less: Acquisition, integration and other costs
8 7 6 — 7 37 13 
Less: TSA fees
69 40 42 39 39 206 120 
Less: Divested businesses
36 116 19 23 7 42 49 
Adjusted other expenses$3,199 $3,286 $2,981 $2,817 $2,899 $9,492 $8,697 
Adjusted other expenses on a constant currency basis$3,169 $3,267 $2,983 $2,851 $2,899 

6
METLIFE
EXPENSE DETAIL AND RATIOS
For the Three Months EndedFor the Year-to-Date Period Ended
Unaudited (In millions, except ratio data)September 30, 2019December 31, 2019March 31, 2020June 30, 2020September 30, 2020September 30, 2019September 30, 2020
Other expenses$3,309 $3,457 $3,047 $2,872 $2,954 $9,772 $8,873 
Capitalization of DAC(882)(827)(774)(671)(764)(2,531)(2,209)
Other expenses, net of capitalization of DAC$2,427 $2,630 $2,273 $2,201 $2,190 $7,241 $6,664 
Premiums, fees and other revenues$12,640 $13,757 $11,336 $10,491 $11,887 $35,923 $33,714 
Expense ratio19.2 %19.1 %20.1 %21.0 %18.4 %20.2 %19.8 %
For the Three Months EndedFor the Year-to-Date Period Ended
Unaudited (In millions)September 30, 2019December 31, 2019March 31, 2020June 30, 2020September 30, 2020September 30, 2019September 30, 2020
Adjusted other expenses by major category
Direct expenses$1,475 $1,597 $1,344 $1,287 $1,288 $4,380 $3,919 
Pension, postretirement and postemployment benefit costs57 63 39 37 37 170 113 
Premium taxes, other taxes, and licenses & fees164 165 193 176 194 508 563 
Commissions and other variable expenses1,503 1,461 1,405 1,317 1,380 4,434 4,102 
Adjusted other expenses
3,199 3,286 2,981 2,817 2,899 9,492 8,697 
Adjusted capitalization of DAC(871)(818)(771)(669)(764)(2,520)(2,204)
Adjusted other expenses, net of adjusted capitalization of DAC
2,328 2,468 2,210 2,148 2,135 6,972 6,493 
Less: Total notable items related to adjusted other expenses (1)111 69 — — — 269 — 
Adjusted other expenses, net of adjusted capitalization of DAC, excluding total notable items related to adjusted other expenses (1)
$2,217 $2,399 $2,210 $2,148 $2,135 $6,703 $6,493 
For the Three Months EndedFor the Year-to-Date Period Ended
Unaudited (In millions, except ratio data)September 30, 2019December 31, 2019March 31, 2020June 30, 2020September 30, 2020September 30, 2019September 30, 2020
Employee related costs$871 $948 $866 $840 $865 $2,709 $2,571 
Third party staffing costs422 536 343 300 306 1,216 949 
General and administrative expenses182 113 135 147 117 455 399 
Direct expenses1,475 1,597 1,344 1,287 1,288 4,380 3,919 
Less: Total notable items related to direct expenses (1)111 69 — — — 269 — 
Direct expenses, excluding total notable items related to direct expenses (1)$1,364 $1,528 $1,344 $1,287 $1,288 $4,111 $3,919 
Adjusted other expenses, net of adjusted capitalization of DAC
$2,328 $2,468 $2,210 $2,148 $2,135 $6,972 $6,493 
Less: Total notable items related to adjusted other expenses (1)111 69 — — — 269 — 
Adjusted other expenses, net of adjusted capitalization of DAC, excluding total notable items related to adjusted other expenses (1)
$2,217 $2,399 $2,210 $2,148 $2,135 $6,703 $6,493 
Adjusted premiums, fees and other revenues$12,445 $13,632 $11,216 $10,401 $11,820 $35,512 $33,437 
Less: PRT1,293 2,499 (9)(6)487 1,847 472 
Adjusted premiums, fees and other revenues, excluding PRT$11,152 $11,133 $11,225 $10,407 $11,333 $33,665 $32,965 
Direct expense ratio 11.9 %11.7 %12.0 %12.4 %10.9 %12.3 %11.7 %
Direct expense ratio, excluding total notable items related to direct expenses and PRT (1)12.2 %13.7 %12.0 %12.4 %11.4 %12.2 %11.9 %
Adjusted expense ratio18.7 %18.1 %19.7 %20.7 %18.1 %19.6 %19.4 %
Adjusted expense ratio, excluding total notable items related to adjusted other expenses and PRT (1)19.9 %21.5 %19.7 %20.6 %18.8 %19.9 %19.7 %
(1)Notable items are related to “interest on tax adjustments” and “expense initiative costs.” Notable items reflect the unexpected impact of events that affect MetLife’s results, but that were unknown and that MetLife could not anticipate when it devised its business plan. Notable items also include certain items regardless of the extent anticipated in the business plan to help investors have a better understanding of MetLife's results and to evaluate and forecast those results. Notable items can affect MetLife’s results either positively or negatively. See Page A-2 for further detail.

7
METLIFE
CONSOLIDATED BALANCE SHEETS
Unaudited (In millions)September 30, 2019December 31, 2019March 31, 2020June 30, 2020September 30, 2020
ASSETS
Investments:
Fixed maturity securities available-for-sale, at estimated fair value$326,049 $327,820 $326,685 $340,005 $353,809 
Equity securities, at estimated fair value1,341 1,342 1,050 1,105 1,111 
Contractholder-directed equity securities and fair value option securities, at estimated fair value 12,671 13,102 11,145 11,911 12,276 
Mortgage loans78,959 80,529 81,344 82,890 82,881 
Policy loans9,671 9,680 9,638 9,639 9,580 
Real estate and real estate joint ventures10,246 10,741 11,250 11,524 11,643 
Other limited partnership interests7,441 7,716 8,230 7,794 8,569 
Short-term investments, principally at estimated fair value3,536 3,850 5,930 5,345 3,832 
Other invested assets21,979 19,015 27,839 24,731 22,544 
Total investments471,893 473,795 483,111 494,944 506,245 
Cash and cash equivalents, principally at estimated fair value19,452 16,598 24,094 24,289 24,405 
Accrued investment income3,561 3,523 3,828 3,388 3,424 
Premiums, reinsurance and other receivables20,723 20,443 21,224 20,848 20,712 
Deferred policy acquisition costs and value of business acquired17,382 17,833 17,254 16,353 16,179 
Goodwill9,278 9,308 9,159 9,245 9,360 
Other assets10,166 10,518 10,617 11,173 10,471 
Separate account assets190,357 188,445 168,454 187,343 189,696 
Total assets$742,812 $740,463 $737,741 $767,583 $780,492 
LIABILITIES AND EQUITY
Liabilities
Future policy benefits$193,310 $194,909 $193,106 $196,522 $203,929 
Policyholder account balances189,060 192,627 193,875 198,147 201,072 
Other policy-related balances16,960 17,171 16,755 16,870 16,883 
Policyholder dividends payable692 681 654 670 595 
Policyholder dividend obligation2,370 2,020 1,677 2,798 2,944 
Payables for collateral under securities loaned and other transactions28,443 26,745 35,530 34,133 34,772 
Short-term debt142 235 298 303 351 
Long-term debt 13,443 13,466 14,510 14,513 14,539 
Collateral financing arrangements1,013 993 981 968 924 
Junior subordinated debt securities3,149 3,150 3,151 3,151 3,152 
Current income tax payable31 363 708 928 638 
Deferred income tax liability10,153 9,097 10,009 11,334 10,839 
Other liabilities 25,070 24,179 27,570 23,963 26,589 
Separate account liabilities190,357 188,445 168,454 187,343 189,696 
Total liabilities674,193 674,081 667,278 691,643 706,923 
Equity
Preferred stock, at par value— — — — — 
Common stock, at par value12 12 12 12 12 
Additional paid-in capital32,639 32,680 33,711 33,728 33,744 
Retained earnings32,948 33,078 36,919 36,568 36,782 
Treasury stock, at cost(12,428)(12,678)(13,178)(13,178)(13,258)
Accumulated other comprehensive income (loss)15,197 13,052 12,757 18,563 16,036 
Total MetLife, Inc.'s stockholders' equity68,368 66,144 70,221 75,693 73,316 
Noncontrolling interests251 238 242 247 253 
Total equity68,619 66,382 70,463 75,940 73,569 
Total liabilities and equity$742,812 $740,463 $737,741 $767,583 $780,492 

8
METLIFE
SUMMARY OF ADJUSTED EARNINGS AVAILABLE TO COMMON SHAREHOLDERS 
  For the Three Months Ended
Unaudited (In millions)September 30, 2019December 31, 2019March 31, 2020June 30, 2020September 30, 2020
Adjusted earnings before provision for income tax
U.S.
GROUP BENEFITS$464 $416 $401 $319 $502 
RETIREMENT AND INCOME SOLUTIONS357 404 452 240 618 
PROPERTY & CASUALTY 67 27 134 101 19 
TOTAL U.S.$888 $847 $987 $660 $1,139 
ASIA501 468 491 361 662 
LATIN AMERICA220 204 139 188 63 
EMEA74 71 99 137 72 
METLIFE HOLDINGS183 333 344 19 314 
CORPORATE & OTHER(383)(284)(265)(332)(204)
Total adjusted earnings before provision for income tax
$1,483 $1,639 $1,795 $1,033 $2,046 
Provision for income tax expense (benefit)
U.S.
GROUP BENEFITS$98 $87 $89 $71 $110 
RETIREMENT AND INCOME SOLUTIONS73 83 93 48 128 
PROPERTY & CASUALTY 10 2 25 18 1 
TOTAL U.S.$181 $172 $207 $137 $239 
ASIA152 127 141 105 197 
LATIN AMERICA65 43 44 56 24 
EMEA21 5 21 21 20 
METLIFE HOLDINGS34 64 67 (1)61 
CORPORATE & OTHER(192)(663)(166)(120)(132)
Total provision for income tax expense (benefit)
$261 $(252)$314 $198 $409 
Adjusted earnings available to common shareholders
U.S.
GROUP BENEFITS$366 $329 $312 $248 $392 
RETIREMENT AND INCOME SOLUTIONS284 321 359 192 490 
PROPERTY & CASUALTY 57 25 109 83 18 
TOTAL U.S.$707 $675 $780 $523 $900 
ASIA349 341 350 256 465 
LATIN AMERICA155 161 95 132 39 
EMEA53 66 78 116 52 
METLIFE HOLDINGS149 269 277 20 253 
CORPORATE & OTHER (1)(223)322 (131)(289)(131)
Total adjusted earnings available to common shareholders (1)
$1,190 $1,834 $1,449 $758 $1,578 
(1)Includes impact of preferred stock dividends of $32 million, $57 million, $32 million, $77 million and $59 million for the three months ended September 30, 2019, December 31, 2019, March 31, 2020, June 30, 2020 and September 30, 2020, respectively.
9
METLIFE
ADJUSTED RETURN ON ALLOCATED EQUITY AND ALLOCATED TANGIBLE EQUITY (1), (2)
 
ADJUSTED RETURN ON ALLOCATED EQUITY
  For the Three Months Ended
Unaudited September 30, 2019December 31, 2019March 31, 2020June 30, 2020September 30, 2020
U.S.
GROUP BENEFITS52.0%46.7%43.1%34.3%54.1%
RETIREMENT AND INCOME SOLUTIONS19.3%21.9%23.2%12.4%31.7%
PROPERTY & CASUALTY 11.3%5.0%21.9%16.7%3.6%
TOTAL U.S.26.4%25.2%28.2%18.9%32.5%
ASIA9.8%9.6%9.8%7.2%13.0%
LATIN AMERICA20.9%21.7%12.4%17.2%5.1%
EMEA7.6%9.4%10.9%16.3%7.3%
METLIFE HOLDINGS6.2%11.2%11.2%0.8%10.2%
ADJUSTED RETURN ON ALLOCATED TANGIBLE EQUITY (3)
  For the Three Months Ended
Unaudited September 30, 2019December 31, 2019March 31, 2020June 30, 2020September 30, 2020
U.S.
30.0%28.6%32.4%21.8%37.3%
ASIA
14.9%14.6%14.8%10.9%19.6%
LATIN AMERICA
34.6%36.0%20.3%28.1%8.3%
EMEA
13.8%16.8%19.2%28.6%12.9%
METLIFE HOLDINGS
7.1%12.5%12.5%1.1%11.4%
(1) Annualized using quarter-to-date results.
(2) Allocated equity and allocated tangible equity are presented below:
  ALLOCATED EQUITYALLOCATED TANGIBLE EQUITY
Unaudited (In millions)2019202020192020
U.S.
GROUP BENEFITS
$2,817 $2,896 
RETIREMENT AND INCOME SOLUTIONS
5,876 6,187 
PROPERTY & CASUALTY
2,020 1,991 
TOTAL U.S.
$10,713 $11,074 $9,447 $9,652 
ASIA
$14,274 $14,313 $9,396 $9,490 
LATIN AMERICA
$2,965 $3,074 $1,791 $1,876 
EMEA
$2,802 $2,855 $1,595 $1,649 
METLIFE HOLDINGS
$9,599 $9,893 $8,715 $9,022 
(3) Adjusted earnings available to common shareholders used to calculate the adjusted return on allocated tangible equity excludes the impact of amortization on VODA and VOCRA, net of income tax, as presented below:
For the Three Months Ended
Unaudited (In millions)
September 30, 2019December 31, 2019March 31, 2020June 30, 2020September 30, 2020
U.S.
$1$—$1$2$1
ASIA
$1$2$1$2$1
LATIN AMERICA
$—$—$—$—$—
EMEA
$2$1$1$2$1
METLIFE HOLDINGS
$5$3$4$4$4

10
U.S.
STATEMENTS OF ADJUSTED EARNINGS AVAILABLE TO COMMON SHAREHOLDERS
  For the Three Months EndedFor the Year-to-Date Period Ended
Unaudited (In millions)September 30, 2019December 31, 2019March 31, 2020June 30, 2020September 30, 2020September 30, 2019September 30, 2020
Adjusted revenues
Premiums$6,903 $8,097 $5,674 $5,184 $6,333 $18,704 $17,191 
Universal life and investment-type product policy fees264 270 275 268 263 808 806 
Net investment income1,760 1,747 1,766 1,425 1,827 5,274 5,018 
Other revenues224 219 240 240 237 668 717 
Total adjusted revenues9,151 10,333 7,955 7,117 8,660 25,454 23,732 
Adjusted expenses
Policyholder benefits and claims and policyholder dividends6,759 7,932 5,435 5,038 6,108 18,233 16,581 
Interest credited to policyholder account balances507 472 458 412 381 1,512 1,251 
Capitalization of DAC(131)(112)(112)(122)(119)(372)(353)
Amortization of DAC and VOBA121 123 119 115 123 352 357 
Amortization of negative VOBA— — — — — — — 
Interest expense on debt3 2 2 2 2 8 6 
Other expenses1,004 1,069 1,066 1,012 1,026 3,006 3,104 
Total adjusted expenses8,263 9,486 6,968 6,457 7,521 22,739 20,946 
Adjusted earnings before provision for income tax888 847 987 660 1,139 2,715 2,786 
Provision for income tax expense (benefit)181 172 207 137 239 552 583 
Adjusted earnings707 675 780 523 900 2,163 2,203 
Preferred stock dividends— — — — — — — 
Adjusted earnings available to common shareholders$707 $675 $780 $523 $900 $2,163 $2,203 
Adjusted premiums, fees and other revenues$7,391 $8,586 $6,189 $5,692 $6,833 $20,180 $18,714 
Less: PRT
1,293 2,499 (9)(6)487 1,847 472 
Adjusted premiums, fees and other revenues, excluding PRT$6,098 $6,087 $6,198 $5,698 $6,346 $18,333 $18,242 
11
U.S.
GROUP BENEFITS
STATEMENTS OF ADJUSTED EARNINGS AVAILABLE TO COMMON SHAREHOLDERS
For the Three Months EndedFor the Year-to-Date Period Ended
Unaudited (In millions)September 30, 2019December 31, 2019March 31, 2020June 30, 2020September 30, 2020September 30, 2019September 30, 2020
Adjusted revenues
Premiums$4,239 $4,217 $4,487 $3,989 $4,545 $12,694 $13,021 
Universal life and investment-type product policy fees198 194 204 200 200 595 604 
Net investment income293 297 277 277 290 865 844 
Other revenues145 143 160 157 156 432 473 
Total adjusted revenues4,875 4,851 5,128 4,623 5,191 14,586 14,942 
Adjusted expenses
Policyholder benefits and claims and policyholder dividends3,724 3,685 3,973 3,602 3,965 11,247 11,540 
Interest credited to policyholder account balances42 37 34 31 31 120 96 
Capitalization of DAC(9)(5)(7)(6)(5)(23)(18)
Amortization of DAC and VOBA8 10 7 7 12 25 26 
Amortization of negative VOBA— — — — — — — 
Interest expense on debt— — — — 1 1 1 
Other expenses646 708 720 670 685 1,926 2,075 
Total adjusted expenses4,411 4,435 4,727 4,304 4,689 13,296 13,720 
Adjusted earnings before provision for income tax464 416 401 319 502 1,290 1,222 
Provision for income tax expense (benefit)98 87 89 71 110 271 270 
Adjusted earnings366 329 312 248 392 1,019 952 
Preferred stock dividends— — — — — — — 
Adjusted earnings available to common shareholders$366 $329 $312 $248 $392 $1,019 $952 
Adjusted premiums, fees and other revenues$4,582 $4,554 $4,851 $4,346 $4,901 $13,721 $14,098 
12
U.S.
RETIREMENT AND INCOME SOLUTIONS
STATEMENTS OF ADJUSTED EARNINGS AVAILABLE TO COMMON SHAREHOLDERS
For the Three Months EndedFor the Year-to-Date Period Ended
Unaudited (In millions)September 30, 2019December 31, 2019March 31, 2020June 30, 2020September 30, 2020September 30, 2019September 30, 2020
Adjusted revenues
Premiums$1,739 $2,955 $275 $367 $885 $3,275 $1,527 
Universal life and investment-type product policy fees66 76 71 68 63 213 202 
Net investment income1,419 1,409 1,444 1,126 1,484 4,272 4,054 
Other revenues73 73 71 76 76 219 223 
Total adjusted revenues3,297 4,513 1,861 1,637 2,508 7,979 6,006 
Adjusted expenses
Policyholder benefits and claims and policyholder dividends2,361 3,550 870 909 1,428 5,079 3,207 
Interest credited to policyholder account balances465 435 424 381 350 1,392 1,155 
Capitalization of DAC(5)— (8)(12)(8)(25)(28)
Amortization of DAC and VOBA5 6 8 5 7 17 20 
Amortization of negative VOBA— — — — — — — 
Interest expense on debt3 2 2 2 1 7 5 
Other expenses111 116 113 112 112 352 337 
Total adjusted expenses2,940 4,109 1,409 1,397 1,890 6,822 4,696 
Adjusted earnings before provision for income tax357 404 452 240 618 1,157 1,310 
Provision for income tax expense (benefit)73 83 93 48 128 237 269 
Adjusted earnings284 321 359 192 490 920 1,041 
Preferred stock dividends— — — — — — — 
Adjusted earnings available to common shareholders$284 $321 $359 $192 $490 $920 $1,041 
Adjusted premiums, fees and other revenues$1,878 $3,104 $417 $511 $1,024 $3,707 $1,952 
Less: PRT
1,293 2,499 (9)(6)487 1,847 472 
Adjusted premiums, fees and other revenues, excluding PRT$585 $605 $426 $517 $537 $1,860 $1,480 
13
U.S.
PROPERTY & CASUALTY
STATEMENTS OF ADJUSTED EARNINGS AVAILABLE TO COMMON SHAREHOLDERS
  For the Three Months EndedFor the Year-to-Date Period Ended
Unaudited (In millions)September 30, 2019December 31, 2019March 31, 2020June 30, 2020September 30, 2020September 30, 2019September 30, 2020
Adjusted revenues
Premiums$925 $925 $912 $828 $903 $2,735 $2,643 
Universal life and investment-type product policy fees— — — — — — — 
Net investment income48 41 45 22 53 137 120 
Other revenues6 3 9 7 5 17 21 
Total adjusted revenues979 969 966 857 961 2,889 2,784 
Adjusted expenses
Policyholder benefits and claims and policyholder dividends674 697 592 527 715 1,907 1,834 
Interest credited to policyholder account balances— — — — — — — 
Capitalization of DAC(117)(107)(97)(104)(106)(324)(307)
Amortization of DAC and VOBA108 107 104 103 104 310 311 
Amortization of negative VOBA— — — — — — — 
Interest expense on debt— — — — — — — 
Other expenses247 245 233 230 229 728 692 
Total adjusted expenses912 942 832 756 942 2,621 2,530 
Adjusted earnings before provision for income tax67 27 134 101 19 268 254 
Provision for income tax expense (benefit)10 2 25 18 1 44 44 
Adjusted earnings57 25 109 83 18 224 210 
Preferred stock dividends— — — — — — — 
Adjusted earnings available to common shareholders$57 $25 $109 $83 $18 $224 $210 
Adjusted premiums, fees and other revenues$931 $928 $921 $835 $908 $2,752 $2,664 
14
U.S.
GROUP BENEFITS
FUTURE POLICY BENEFITS AND POLICYHOLDER ACCOUNT BALANCES
  For the Three Months Ended
Unaudited (In millions)September 30, 2019December 31, 2019March 31, 2020June 30, 2020September 30, 2020
Balance, beginning of period$18,965 $18,963 $18,965 $18,935 $19,665 
Premiums and deposits5,051 5,001 5,327 5,220 5,298 
Surrenders and withdrawals(638)(592)(625)(537)(565)
Benefit payments(3,798)(3,757)(4,072)(3,655)(4,078)
Net flows615 652 630 1,028 655 
Net transfers from (to) separate accounts— — — 5 6 
Interest149 145 138 130 131 
Policy charges(145)(149)(146)(149)(145)
Other(621)(646)(652)(284)(288)
Balance, end of period$18,963 $18,965 $18,935 $19,665 $20,024 
SEPARATE ACCOUNT LIABILITIES
  For the Three Months Ended
Unaudited (In millions)September 30, 2019December 31, 2019March 31, 2020June 30, 2020September 30, 2020
Balance, beginning of period$925 $905 $970 $793 $945 
Premiums and deposits62 65 64 64 64 
Surrenders and withdrawals(28)(18)(19)(12)(17)
Benefit payments(1)(1)— (1)(4)
Net flows33 46 45 51 43 
Investment performance1 74 (162)160 77 
Net transfers from (to) general account— — — (5)(6)
Policy charges(53)(54)(55)(55)(56)
Other(1)(1)(5)1 — 
Balance, end of period$905 $970 $793 $945 $1,003 
15
U.S.
GROUP BENEFITS
OTHER EXPENSES BY MAJOR CATEGORY
  For the Three Months Ended
Unaudited (In millions)September 30, 2019December 31, 2019March 31, 2020June 30, 2020September 30, 2020
Direct and allocated expenses$316 $363 $354 $326 $332 
Pension, postretirement and postemployment benefit costs15 19 5 4 4 
Premium taxes, other taxes, and licenses & fees62 66 88 89 93 
Commissions and other variable expenses253 260 273 251 256 
Adjusted other expenses$646 $708 $720 $670 $685 
OTHER STATISTICAL INFORMATION (1)
  For the Three Months Ended
Unaudited (In millions, except ratios)September 30, 2019December 31, 2019March 31, 2020June 30, 2020September 30, 2020
Group Life (2)
Adjusted premiums, fees and other revenues$1,846 $1,858 $1,920 $1,943 $1,915 
Mortality ratio87.0 %85.4 %87.9 %95.9 %89.6 %
Group Non-Medical Health (3)
Adjusted premiums, fees and other revenues$1,830 $1,849 $1,959 $1,376 $1,977 
Interest adjusted benefit ratio (4)70.3 %71.4 %71.7 %58.5 %67.4 %
(1) Results are derived from insurance contracts.
(2) Excludes certain experience-rated contracts and includes accidental death and dismemberment.
(3) Includes dental, group and individual disability, accident & health, critical illness, vision and other health.
(4) Reflects actual claims experience and excludes the impact of interest credited on future policyholder benefits. The product within Group Non-Medical Health with interest credited on future policyholder benefits is disability.

16
U.S.
RETIREMENT AND INCOME SOLUTIONS
 
FUTURE POLICY BENEFITS AND POLICYHOLDER ACCOUNT BALANCES
  For the Three Months Ended
Unaudited (In millions)September 30, 2019December 31, 2019March 31, 2020June 30, 2020September 30, 2020
Balance, beginning of period$118,073 $118,134 $121,853 $124,174 $129,030 
Premiums and deposits21,104 21,132 20,967 22,473 18,957 
Surrenders and withdrawals(21,018)(17,718)(17,441)(20,125)(18,536)
Benefit payments(1,100)(1,040)(1,132)(1,176)(1,206)
Net flows(1,014)2,374 2,394 1,172 (785)
Net transfers from (to) separate accounts— — — — — 
Interest1,053 1,029 1,032 988 953 
Policy charges(47)(23)(43)(42)(42)
Other69 339 (1,062)2,738 3,220 
Balance, end of period$118,134 $121,853 $124,174 $129,030 $132,376 
SEPARATE ACCOUNT LIABILITIES
  For the Three Months Ended
Unaudited (In millions)September 30, 2019December 31, 2019March 31, 2020June 30, 2020September 30, 2020
Balance, beginning of period$76,596 $78,346 $74,959 $76,838 $81,486 
Premiums and deposits1,472 1,681 4,051 2,167 1,709 
Surrenders and withdrawals (1)(1,461)(4,360)(2,729)(2,319)(2,127)
Benefit payments(21)(27)(34)(24)(25)
Net flows(10)(2,706)1,288 (176)(443)
Investment performance1,508 865 (414)3,618 1,447 
Net transfers from (to) general account— — — — — 
Policy charges(83)(85)(80)(83)(83)
Other335 (1,461)1,085 1,289 1,480 
Balance, end of period$78,346 $74,959 $76,838 $81,486 $83,887 
SYNTHETIC GICS (2)
For the Three Months Ended
Unaudited (In millions)September 30, 2019December 31, 2019March 31, 2020June 30, 2020September 30, 2020
Balance, beginning of period$27,219 $28,098 $30,341 $33,588 $34,921 
Premiums and deposits (1)1,054 3,019 3,906 1,424 1,598 
Surrenders and withdrawals(369)(985)(863)(318)(417)
Net flows 685 2,034 3,043 1,106 1,181 
Interest194 209 204 227 228 
Balance, end of period$28,098 $30,341 $33,588 $34,921 $36,330 
(1)Includes $20 million, $2.4 billion, $0, $0 and $616 million of transfers from separate account GICs to synthetic GICs at September 30, 2019, December 31, 2019, March 31, 2020, June 30, 2020 and September 30, 2020, respectively. These transfers are reported as surrenders and withdrawals on the separate account liabilities table and premiums and deposits on the synthetic GICs table.
(2)A synthetic GIC is a contract that simulates the performance of a traditional GIC through the use of financial instruments and is reported as a derivative. A key difference between a synthetic GIC and a traditional GIC is that the contractholder owns the assets underlying the synthetic GIC. The assets and corresponding contractholder account balance are not on MetLife, Inc.'s consolidated balance sheet, as they are for a traditional GIC. The contractholder account balance is reported at contract value in the table above.

17
U.S.
RETIREMENT AND INCOME SOLUTIONS
OTHER EXPENSES BY MAJOR CATEGORY
For the Three Months Ended
Unaudited (In millions)September 30, 2019December 31, 2019March 31, 2020June 30, 2020September 30, 2020
Direct and allocated expenses$56 $61 $61 $56 $57 
Pension, postretirement and postemployment benefit costs2 3 2 1 1 
Premium taxes, other taxes, and licenses & fees4 12 8 4 6 
Commissions and other variable expenses49 40 42 51 48 
Adjusted other expenses$111 $116 $113 $112 $112 
SPREAD
For the Three Months Ended
UnauditedSeptember 30, 2019December 31, 2019March 31, 2020June 30, 2020September 30, 2020
Investment income yield excluding variable investment income yield4.43 %4.32 %4.24 %4.02 %3.99 %
Variable investment income yield0.23 %0.23 %0.31 %(0.60)%0.58 %
Total investment income yield4.66 %4.55 %4.55 %3.42 %4.57 %
Average crediting rate3.64 %3.49 %3.41 %3.17 %3.01 %
Annualized general account spread1.02 %1.06 %1.14 %0.25 %1.56 %
Annualized general account spread excluding variable investment income yield0.79 %0.83 %0.83 %0.85 %0.98 %

18
U.S.
PROPERTY & CASUALTY
OTHER EXPENSES BY MAJOR CATEGORY
  For the Three Months Ended
Unaudited (In millions)September 30, 2019December 31, 2019March 31, 2020June 30, 2020September 30, 2020
Direct and allocated expenses$101 $105 $94 $89 $90 
Pension, postretirement and postemployment benefit costs2 3 1 1 — 
Premium taxes, other taxes, and licenses & fees24 23 21 25 24 
Commissions and other variable expenses120 114 117 115 115 
Adjusted other expenses$247 $245 $233 $230 $229 
NET WRITTEN PREMIUMS BY PRODUCT AND SELECTED FINANCIAL INFORMATION AND SUPPLEMENTAL DATA
For the Three Months Ended
Unaudited (In millions, except ratios)September 30, 2019December 31, 2019March 31, 2020June 30, 2020September 30, 2020
Net Written Premiums by Product
Auto$623 $576 $564 $517 $574 
Homeowners & Other354 321 283 333 334 
Total$977 $897 $847 $850 $908 
Selected Financial Information and Supplemental Data (1)
Total Property & Casualty
Net earned premium$925 $925 $912 $828 $903 
Loss and loss adjustment expense ratio72.9  %75.3  %64.9  %63.7  %79.1  %
Other expense ratio25.5  %26.3  %26.1  %27.4  %25.1  %
Total combined ratio98.4  %101.6  %91.0  %91.1  %104.2  %
Effect of catastrophe losses7.6  %1.4  %4.7  %13.7  %16.2  %
Combined ratio, excluding catastrophes90.8  %100.2  %86.3  %77.4  %88.0  %
Prior year development(0.6) %6.3  %2.7  %0.8  %3.2  %
Combined ratio, excluding catastrophes and prior year development, before provision for income tax91.4  %93.9  %83.6  %76.6  %84.8  %
Auto
Net earned premium$603 $599 $588 $512 $581 
Loss and loss adjustment expense ratio73.8  %92.8 %64.8 %52.4  %62.0  %
Other expense ratio24.9  %25.8 %25.2 %27.3  %23.6  %
Total combined ratio98.7  %118.6 %90.0 %79.7  %85.6  %
Effect of catastrophe losses2.1  %0.3 %0.5 %1.3  %2.3  %
Combined ratio, excluding catastrophes96.6  %118.3 %89.5 %78.4  %83.3  %
Prior year development(0.8) %10.9 %(0.1)%1.4  %—  %
Combined ratio, excluding catastrophes and prior year development, before provision for income tax97.4  %107.4 %89.6 %77.0  %83.3  %
Homeowners & Other
Net earned premium$322 $326 $324 $316 $322 
Loss and loss adjustment expense ratio71.2  %43.2  %65.1  %82.1  %110.1  %
Other expense ratio26.6  %27.1  %27.8  %27.4  %27.7  %
Total combined ratio97.8  %70.3  %92.9  %109.5  %137.8  %
Effect of catastrophe losses17.9  %3.5  %12.3  %33.9  %41.2  %
Combined ratio, excluding catastrophes79.9  %66.8  %80.6  %75.6  %96.6  %
Prior year development(0.3) %(2.0) %8.0  %(0.2) %8.8  %
Combined ratio, excluding catastrophes and prior year development, before provision for income tax80.2  %68.8  %72.6  %75.8  %87.8  %
Catastrophe Losses Before Provision for Income Tax
Auto$13 $2 $3 $6 $14 
Homeowners & Other57 11 40 107 132 
Total$70 $13 $43 $113 $146 
(1) This selected financial information and supplemental data are presented and calculated based on general industry standards.
19
ASIA
STATEMENTS OF ADJUSTED EARNINGS AVAILABLE TO COMMON SHAREHOLDERS 
For the Three Months EndedFor the Year-to-Date Period Ended
Unaudited (In millions)September 30, 2019December 31, 2019March 31, 2020June 30, 2020September 30, 2020September 30, 2019September 30, 2020
Adjusted revenues
Premiums$1,654 $1,648 $1,636 $1,584 $1,654 $4,984 $4,874 
Universal life and investment-type product policy fees430 419 430 420 595 1,255 1,445 
Net investment income915 952 937 767 1,088 2,739 2,792 
Other revenues14 13 14 14 16 43 44 
Total adjusted revenues3,013 3,032 3,017 2,785 3,353 9,021 9,155 
Adjusted expenses
Policyholder benefits and claims and policyholder dividends1,264 1,323 1,321 1,255 1,291 3,862 3,867 
Interest credited to policyholder account balances440 443 445 447 470 1,267 1,362 
Capitalization of DAC(498)(464)(421)(351)(431)(1,449)(1,203)
Amortization of DAC and VOBA353 316 315 284 506 972 1,105 
Amortization of negative VOBA(2)(7)(8)(8)(14)(18)(30)
Interest expense on debt— — — — — — — 
Other expenses955 953 874 797 869 2,865 2,540 
Total adjusted expenses2,512 2,564 2,526 2,424 2,691 7,499 7,641 
Adjusted earnings before provision for income tax501 468 491 361 662 1,522 1,514 
Provision for income tax expense (benefit)152 127 141 105 197 458 443 
Adjusted earnings349 341 350 256 465 1,064 1,071 
Preferred stock dividends— — — — — — — 
Adjusted earnings available to common shareholders$349 $341 $350 $256 $465 $1,064 $1,071 
Adjusted premiums, fees and other revenues$2,098 $2,080 $2,080 $2,018 $2,265 $6,282 $6,363 
20
ASIA
ADJUSTED PREMIUMS, FEES AND OTHER REVENUES
For the Three Months Ended
Unaudited (In millions)September 30, 2019December 31, 2019March 31, 2020June 30, 2020September 30, 2020
Adjusted premiums, fees and other revenues$2,098 $2,080 $2,080 $2,018 $2,265 
Adjusted premiums, fees and other revenues, on a constant currency basis $2,120 $2,118 $2,130 $2,053 $2,265 
Add: Operating joint ventures, on a constant currency basis (1), (2)250 280 278 266 286 
Adjusted premiums, fees and other revenues, including operating joint ventures, on a constant currency basis$2,370 $2,398 $2,408 $2,319 $2,551 
OTHER EXPENSES BY MAJOR CATEGORY
For the Three Months Ended
Unaudited (In millions)September 30, 2019December 31, 2019March 31, 2020June 30, 2020September 30, 2020
Direct and allocated expenses$316 $343 $321 $309 $313 
Pension, postretirement and postemployment benefit costs23 23 23 24 24 
Premium taxes, other taxes, and licenses & fees43 51 40 34 42 
Commissions and other variable expenses573 536 490 430 490 
Adjusted other expenses$955 $953 $874 $797 $869 
Adjusted other expenses, net of adjusted capitalization of DAC$457 $489 $453 $446 $438 
Adjusted other expenses on a constant currency basis$964 $969 $894 $808 $869 
Add: Operating joint ventures, on a constant currency basis (1), (2)104 112 95 105 99 
Adjusted other expenses, including operating joint ventures, on a constant currency basis$1,068 $1,081 $989 $913 $968 
Adjusted other expenses, including operating joint ventures, net of adjusted capitalization of DAC, on a constant currency basis
$531 $573 $533 $524 $512 
SALES ON A CONSTANT CURRENCY BASIS
For the Three Months Ended
Unaudited (In millions)September 30, 2019December 31, 2019March 31, 2020June 30, 2020September 30, 2020
Japan:
Life$169 $156 $174 $101 $203 
Accident & Health92 94 80 50 77 
Annuities123 65 62 30 56 
Other4 5 2 2 2 
Total Japan388 320 318 183 338 
Other Asia274 207 192 159 221 
   Total sales$662 $527 $510 $342 $559 
OTHER STATISTICAL INFORMATION
For the Three Months Ended
Unaudited (In millions)September 30, 2019December 31, 2019March 31, 2020June 30, 2020September 30, 2020
Adjusted earnings available to common shareholders$349 $341 $350 $256 $465 
Adjusted earnings available to common shareholders, on a constant currency basis$354 $343 $357 $263 $465 
(1)Adjusted premiums, fees and other revenues as well as other expenses are reported as part of net investment income on the statements of adjusted earnings available to common shareholders for operating joint ventures.
(2)Includes MetLife, Inc.'s percentage interest in operating joint ventures of: (i) China, (ii) India, (iii) Malaysia and (iv) Vietnam, which are consolidated using the equity method of accounting.

21
ASIA
GENERAL ACCOUNT ASSETS UNDER MANAGEMENT AND RELATED MEASURES (1)
Unaudited (In millions)September 30, 2019December 31, 2019March 31, 2020June 30, 2020September 30, 2020
GA AUM $131,309 $130,861 $131,521 $134,769 $139,445 
GA AUM (at amortized cost)$117,917 $119,044 $120,490 $121,429 $125,171 
GA AUM (at amortized cost), on a constant currency basis$120,421 $120,906 $124,477 $123,527 $125,171 
  Add: Operating joint ventures, on a constant currency basis (2)4,403 4,664 4,847 5,072 5,200 
GA AUM (at amortized cost), including operating joint ventures, on a constant currency basis$124,824 $125,570 $129,324 $128,599 $130,371 
(1)In June 2020, MetLife completed the sale of MetLife Limited and Metropolitan Life Insurance Company of Hong Kong Limited (collectively, “MetLife Hong Kong”) to a third party. The GA AUM (at amortized cost) related to MetLife Hong Kong was historically reported in the Asia segment and is reflected in the above table for the periods through March 31, 2020. The GA AUM (at amortized cost) disposed in the sale was $2,226 million at June 30, 2020.
(2)Includes MetLife, Inc.'s percentage interest in operating joint ventures of: (i) China, (ii) India, (iii) Malaysia and (iv) Vietnam, which are consolidated using the equity method of accounting and reported in other invested assets, a component of total investments.

22
LATIN AMERICA
STATEMENTS OF ADJUSTED EARNINGS AVAILABLE TO COMMON SHAREHOLDERS
 
For the Three Months EndedFor the Year-to-Date Period Ended
Unaudited (In millions)September 30, 2019December 31, 2019March 31, 2020June 30, 2020September 30, 2020September 30, 2019September 30, 2020
Adjusted revenues
Premiums$703 $601 $640 $489 $529 $2,122 $1,658 
Universal life and investment-type product policy fees256 274 270 238 225 820 733 
Net investment income295 320 218 260 221 951 699 
Other revenues8 13 11 10 7 31 28 
Total adjusted revenues1,262 1,208 1,139 997 982 3,924 3,118 
Adjusted expenses
Policyholder benefits and claims and policyholder dividends656 580 610 449 575 2,043 1,634 
Interest credited to policyholder account balances74 78 70 56 52 254 178 
Capitalization of DAC(102)(100)(100)(74)(84)(296)(258)
Amortization of DAC and VOBA58 76 74 70 62 215 206 
Amortization of negative VOBA— — — — — — — 
Interest expense on debt— 1 1 1 1 2 3 
Other expenses356 369 345 307 313 1,074 965 
Total adjusted expenses1,042 1,004 1,000 809 919 3,292 2,728 
Adjusted earnings before provision for income tax220 204 139 188 63 632 390 
Provision for income tax expense (benefit)65 43 44 56 24 184 124 
Adjusted earnings155 161 95 132 39 448 266 
Preferred stock dividends— — — — — — — 
Adjusted earnings available to common shareholders$155 $161 $95 $132 $39 $448 $266 
Adjusted premiums, fees and other revenues$967 $888 $921 $737 $761 $2,973 $2,419 
23
LATIN AMERICA
OTHER EXPENSES BY MAJOR CATEGORY
For the Three Months Ended
Unaudited (In millions)September 30, 2019December 31, 2019March 31, 2020June 30, 2020September 30, 2020
Direct and allocated expenses$130 $145 $129 $119 $117 
Pension, postretirement and postemployment benefit costs1 2 2 1 1 
Premium taxes, other taxes, and licenses & fees15 14 15 8 11 
Commissions and other variable expenses210 208 199 179 184 
Adjusted other expenses$356 $369 $345 $307 $313 
Adjusted other expenses, net of adjusted capitalization of DAC$254 $269 $245 $233 $229 
Adjusted other expenses on a constant currency basis$315 $333 $324 $319 $313 
Adjusted other expenses, net of adjusted capitalization of DAC, on a constant currency basis$225 $244 $231 $242 $229 
SALES ON A CONSTANT CURRENCY BASIS
For the Three Months Ended
Unaudited (In millions)September 30, 2019December 31, 2019March 31, 2020June 30, 2020September 30, 2020
Mexico$73 $87 $110 $60 $69 
Chile80 64 87 41 43 
All other43 61 46 32 42 
Total sales$196 $212 $243 $133 $154 
OTHER STATISTICAL INFORMATION
For the Three Months Ended
Unaudited (In millions)September 30, 2019December 31, 2019March 31, 2020June 30, 2020September 30, 2020
Adjusted premiums, fees and other revenues$967 $888 $921 $737 $761 
Adjusted earnings available to common shareholders$155 $161 $95 $132 $39 
Adjusted premiums, fees and other revenues, on a constant currency basis$854 $798 $869 $771 $761 
Adjusted earnings available to common shareholders, on a constant currency basis$135 $145 $83 $141 $39 

24
EMEA
STATEMENTS OF ADJUSTED EARNINGS AVAILABLE TO COMMON SHAREHOLDERS
 
For the Three Months EndedFor the Year-to-Date Period Ended
Unaudited (In millions)September 30, 2019December 31, 2019March 31, 2020June 30, 2020September 30, 2020September 30, 2019September 30, 2020
Adjusted revenues
Premiums$526 $558 $568 $557 $551 $1,619 $1,676 
Universal life and investment-type product policy fees117 98 116 92 116 325 324 
Net investment income73 71 69 63 67 220 199 
Other revenues13 14 13 11 13 40 37 
Total adjusted revenues729 741 766 723 747 2,204 2,236 
Adjusted expenses
Policyholder benefits and claims and policyholder dividends291 309 310 263 304 867 877 
Interest credited to policyholder account balances25 26 27 27 29 72 83 
Capitalization of DAC(128)(134)(130)(115)(122)(371)(367)
Amortization of DAC and VOBA128 101 130 85 125 327 340 
Amortization of negative VOBA(2)(2)(2)(2)(1)(6)(5)
Interest expense on debt— — — — — — — 
Other expenses341 370 332 328 340 1,029 1,000 
Total adjusted expenses655 670 667 586 675 1,918 1,928 
Adjusted earnings before provision for income tax74 71 99 137 72 286 308 
Provision for income tax expense (benefit)21 5 21 21 20 70 62 
Adjusted earnings53 66 78 116 52 216 246 
Preferred stock dividends— — — — — — — 
Adjusted earnings available to common shareholders$53 $66 $78 $116 $52 $216 $246 
Adjusted premiums, fees and other revenues$656 $670 $697 $660 $680 $1,984 $2,037 
25
EMEA
OTHER EXPENSES BY MAJOR CATEGORY
For the Three Months Ended
Unaudited (In millions)September 30, 2019December 31, 2019March 31, 2020June 30, 2020September 30, 2020
Direct and allocated expenses$115 $142 $110 $110 $119 
Pension, postretirement and postemployment benefit costs2 1 2 2 1 
Premium taxes, other taxes, and licenses & fees7 6 7 8 7 
Commissions and other variable expenses217 221 213 208 213 
Adjusted other expenses$341 $370 $332 $328 $340 
Adjusted other expenses, net of adjusted capitalization of DAC$213 $236 $202 $213 $218 
Adjusted other expenses on a constant currency basis $343 $371 $335 $339 $340 
Adjusted other expenses, net of adjusted capitalization of DAC, on a constant currency basis$216 $240 $206 $220 $218 
OTHER STATISTICAL INFORMATION
  For the Three Months Ended
Unaudited (In millions)September 30, 2019December 31, 2019March 31, 2020June 30, 2020September 30, 2020
Adjusted premiums, fees and other revenues$656 $670 $697 $660 $680 
Adjusted earnings available to common shareholders$53 $66 $78 $116 $52 
Adjusted premiums, fees and other revenues, on a constant currency basis$661 $670 $702 $680 $680 
Adjusted earnings available to common shareholders, on a constant currency basis$51 $65 $77 $119 $52 
Total sales on a constant currency basis$204 $218 $253 $196 $208 
26
METLIFE HOLDINGS
STATEMENTS OF ADJUSTED EARNINGS AVAILABLE TO COMMON SHAREHOLDERS
For the Three Months EndedFor the Year-to-Date Period Ended
Unaudited (In millions)September 30, 2019December 31, 2019March 31, 2020June 30, 2020September 30, 2020September 30, 2019September 30, 2020
Adjusted revenues
Premiums$925 $972 $904 $889 $876 $2,776 $2,669 
Universal life and investment-type product policy fees284 280 294 249 269 844 812 
Net investment income1,316 1,340 1,315 981 1,427 3,941 3,723 
Other revenues52 69 35 70 61 184 166 
Total adjusted revenues2,577 2,661 2,548 2,189 2,633 7,745 7,370 
Adjusted expenses
Policyholder benefits and claims and policyholder dividends1,856 1,763 1,661 1,705 1,697 5,207 5,063 
Interest credited to policyholder account balances228 224 218 219 217 681 654 
Capitalization of DAC(9)(5)(5)(5)(5)(23)(15)
Amortization of DAC and VOBA94 62 100 11 177 237 288 
Amortization of negative VOBA— — — — — — — 
Interest expense on debt2 2 2 1 2 6 5 
Other expenses223 282 228 239 231 687 698 
Total adjusted expenses2,394 2,328 2,204 2,170 2,319 6,795 6,693 
Adjusted earnings before provision for income tax183 333 344 19 314 950 677 
Provision for income tax expense (benefit)34 64 67 (1)61 185 127 
Adjusted earnings149 269 277 20 253 765 550 
Preferred stock dividends— — — — — — — 
Adjusted earnings available to common shareholders$149 $269 $277 $20 $253 $765 $550 
Adjusted premiums, fees and other revenues$1,261 $1,321 $1,233 $1,208 $1,206 $3,804 $3,647 
27
METLIFE HOLDINGS
FUTURE POLICY BENEFITS AND POLICYHOLDER ACCOUNT BALANCES
LIFE & OTHER (1)
For the Three Months Ended
Unaudited (In millions)September 30, 2019December 31, 2019March 31, 2020June 30, 2020September 30, 2020
Balance, beginning of period$80,830 $81,118 $81,161 $81,458 $81,497 
Premiums and deposits (2), (3)1,177 1,322 1,236 1,227 1,236 
Surrenders and withdrawals(682)(680)(642)(554)(607)
Benefit payments(717)(813)(800)(892)(830)
Net flows(222)(171)(206)(219)(201)
Net transfers from (to) separate accounts12 20 (1)31 5 
Interest833 834 832 833 836 
Policy charges(190)(188)(188)(186)(184)
Other(145)(452)(140)(420)1,068 
Balance, end of period$81,118 $81,161 $81,458 $81,497 $83,021 
ANNUITIESFor the Three Months Ended
Unaudited (In millions)September 30, 2019December 31, 2019March 31, 2020June 30, 2020September 30, 2020
Balance, beginning of period$19,309 $19,402 $18,755 $19,895 $19,538 
Premiums and deposits (2), (3)100 97 116 107 91 
Surrenders and withdrawals(389)(512)(390)(277)(286)
Benefit payments(149)(161)(168)(158)(149)
Net flows(438)(576)(442)(328)(344)
Net transfers from (to) separate accounts93 80 177 73 188 
Interest138 134 134 132 130 
Policy charges(4)(4)(4)(4)(4)
Other304 (281)1,275 (230)(42)
Balance, end of period$19,402 $18,755 $19,895 $19,538 $19,466 
SEPARATE ACCOUNT LIABILITIES
LIFE & OTHER
For the Three Months Ended
Unaudited (In millions)September 30, 2019December 31, 2019March 31, 2020June 30, 2020September 30, 2020
Balance, beginning of period$5,368 $5,324 $5,647 $4,586 $5,583 
Premiums and deposits (3)62 62 63 60 59 
Surrenders and withdrawals(61)(59)(60)(38)(51)
Benefit payments(9)(7)(10)(10)(10)
Net flows(8)(4)(7)12 (2)
Investment performance(9)409 (987)1,082 527 
Net transfers from (to) general account(12)(20)1 (31)(5)
Policy charges(67)(66)(65)(65)(65)
Other52 4 (3)(1)1 
Balance, end of period$5,324 $5,647 $4,586 $5,583 $6,039 
ANNUITIES
For the Three Months Ended
Unaudited (In millions)September 30, 2019December 31, 2019March 31, 2020June 30, 2020September 30, 2020
Balance, beginning of period$40,255 $39,122 $39,962 $32,942 $36,852 
Premiums and deposits (3)77 79 85 77 65 
Surrenders and withdrawals(1,070)(1,147)(1,111)(641)(812)
Benefit payments(104)(105)(100)(98)(106)
Net flows(1,097)(1,173)(1,126)(662)(853)
Investment performance
269 2,294 (5,531)4,831 2,269 
Net transfers from (to) general account(93)(80)(177)(73)(188)
Policy charges(212)(201)(187)(185)(197)
Other— — 1 (1)— 
Balance, end of period$39,122 $39,962 $32,942 $36,852 $37,883 
(1) Long-term care and Japan reinsurance are reported as part of "Other" within Life & Other.
(2) Includes premiums and deposits directed to the general account investment option of variable products.
(3) Includes company-sponsored internal exchanges.
28
METLIFE HOLDINGS
OTHER EXPENSES BY MAJOR CATEGORY
  For the Three Months Ended
Unaudited (In millions)September 30, 2019December 31, 2019March 31, 2020June 30, 2020September 30, 2020
Direct and allocated expenses$141 $184 $151 $149 $155 
Pension, postretirement and postemployment benefit costs7 9 3 3 3 
Premium taxes, other taxes, and licenses & fees17 14 17 17 17 
Commissions and other variable expenses58 75 57 70 56 
Adjusted other expenses$223 $282 $228 $239 $231 
OTHER STATISTICAL INFORMATION
For the Three Months Ended
Unaudited (In millions, except ratios)September 30, 2019December 31, 2019March 31, 2020June 30, 2020September 30, 2020
Life (1)
Adjusted premiums, fees and other revenues$845 $906 $830 $817 $811 
Interest adjusted benefit ratio67.5 %55.5 %51.0 %59.1 %60.2 %
Lapse Ratio (2)
Traditional life4.8 %4.8 %4.7 %4.5 %4.3 %
Variable & universal life4.2 %4.1 %4.1 %3.9 %3.7 %
Fixed annuity10.7 %11.3 %9.6 %9.1 %8.5 %
Variable annuity10.2 %10.2 %10.6 %9.8 %9.2 %
(1) Represents the traditional life and variable & universal life components of Life & Other. Results are derived from insurance contracts.                                        
(2) Lapse ratios are calculated based on the average of the most recent 12 months of experience.

29
CORPORATE & OTHER
STATEMENTS OF ADJUSTED EARNINGS AVAILABLE TO COMMON SHAREHOLDERS
For the Three Months EndedFor the Year-to-Date Period Ended
Unaudited (In millions)September 30, 2019December 31, 2019March 31, 2020June 30, 2020September 30, 2020September 30, 2019September 30, 2020
Adjusted revenues
Premiums$35 $8 $12 $13 $(8)$75 $17 
Universal life and investment-type product policy fees1 — — 1 1 2 2 
Net investment income114 92 16 (52)58 183 22 
Other revenues36 79 84 72 82 212 238 
Total adjusted revenues186 179 112 34 133 472 279 
Adjusted expenses
Policyholder benefits and claims and policyholder dividends32 3 26 3 (6)70 23 
Interest credited to policyholder account balances— — — — — — — 
Capitalization of DAC(3)(3)(3)(2)(3)(9)(8)
Amortization of DAC and VOBA2 1 1 3 2 5 6 
Amortization of negative VOBA— — — — — — — 
Interest expense on debt218 219 217 228 224 715 669 
Other expenses320 243 136 134 120 831 390 
Total adjusted expenses569 463 377 366 337 1,612 1,080 
Adjusted earnings before provision for income tax(383)(284)(265)(332)(204)(1,140)(801)
Provision for income tax expense (benefit)(192)(663)(166)(120)(132)(538)(418)
Adjusted earnings(191)379 (99)(212)(72)(602)(383)
Preferred stock dividends32 57 32 77 59 121 168 
Adjusted earnings available to common shareholders$(223)$322 $(131)$(289)$(131)$(723)$(551)
Adjusted premiums, fees and other revenues$72 $87 $96 $86 $75 $289 $257 
ADJUSTED EARNINGS AVAILABLE TO COMMON SHAREHOLDERS BY SOURCE
  For the Three Months EndedFor the Year-to-Date Period Ended
Unaudited (In millions)September 30, 2019December 31, 2019March 31, 2020June 30, 2020September 30, 2020September 30, 2019September 30, 2020
Business activities$25 $20 $18 $12 $30 $50 $60 
Net investment income114 101 17 (50)59 189 26 
Interest expense on debt(229)(230)(229)(238)(238)(748)(705)
Corporate initiatives and projects(151)(195)(31)(25)(27)(368)(83)
Other(142)(67)(40)(31)(28)(263)(99)
Provision for income tax (expense) benefit and other tax-related items192 750 166 120 132 538 418 
Preferred stock dividends(32)(57)(32)(77)(59)(121)(168)
Adjusted earnings available to common shareholders$(223)$322 $(131)$(289)$(131)$(723)$(551)
30
INVESTMENTS
INVESTMENT PORTFOLIO RESULTS BY ASSET CATEGORY AND ANNUALIZED YIELDS
This yield table presentation is consistent with how we measure our investment performance for management purposes, and we believe it enhances understanding of our investment portfolio results.
At or For the Three Months Ended (1)At or For the Year-to-Date Period Ended (1)
Unaudited (In millions, except yields)September 30, 2019December 31, 2019March 31, 2020June 30, 2020September 30, 2020September 30, 2019September 30, 2020
Fixed Maturity Securities
Yield4.15 %4.19 %3.82 %3.99 %3.87 %4.23 %3.89 %
Investment income (2), (3)$2,901 $2,965 $2,739 $2,885 $2,849 $8,778 $8,473 
Investment gains (losses)82 71 4 146 113 196 263 
Ending carrying value (4)327,203 329,067 327,913 341,365 355,220 327,203 355,220 
Mortgage Loans
Yield4.74 %5.00 %4.37 %4.20 %4.27 %4.76 %4.28 %
Investment income (3)929 998 884 862 885 2,784 2,631 
Investment gains (losses)(16)6 (63)(80)(5)(17)(148)
Ending carrying value78,959 80,529 81,344 82,890 82,881 78,959 82,881 
Real Estate and Real Estate Joint Ventures
Yield3.53 %3.58 %2.95 %0.62 %0.39 %3.08 %1.30 %
Investment income91 94 81 18 11 233 110 
Investment gains (losses)96 297 1 2 1 102 4 
Ending carrying value10,246 10,741 11,250 11,524 11,643 10,246 11,643 
Policy Loans
Yield5.33 %5.21 %5.23 %5.15 %5.15 %5.32 %5.18 %
Investment income129 126 126 124 124 386 374 
Ending carrying value9,671 9,680 9,638 9,639 9,580 9,671 9,580 
Equity Securities
Yield4.62 %5.85 %5.43 %4.12 %5.56 %5.07 %5.03 %
Investment income13 16 14 11 15 45 40 
Investment gains (losses)17 12 (284)72 2 122 (210)
Ending carrying value1,341 1,342 1,050 1,105 1,111 1,341 1,111 
Other Limited Partnership Interests
Yield15.37 %9.87 %16.22 %(30.23)%28.28 %12.51 %4.90 %
Investment income 279 187 323 (605)578 653 296 
Investment gains (losses)3 3 4 1 (4)3 1 
Ending carrying value7,441 7,716 8,230 7,794 8,569 7,441 8,569 
Cash and Short-term Investments
Yield2.31 %2.09 %1.73 %1.35 %1.28 %2.58 %1.44 %
Investment income62 50 44 38 34 206 116 
Investment gains (losses)(1)9 4 (5)(19)(6)(20)
Ending carrying value (5)22,988 20,448 30,024 29,631 28,234 22,988 28,234 
Other Invested Assets
Investment income 226 247 266 247 331 654 844 
Investment gains (losses)(30)(10)21 106 54 (135)181 
Ending carrying value21,979 19,015 27,839 24,731 22,544 21,979 22,544 
Total Investments
Investment income yield4.57 %4.57 %4.30 %3.40 %4.52 %4.55 %4.07 %
Investment fees and expenses yield(0.13)%(0.13)%(0.13)%(0.12)%(0.12)%(0.14)%(0.12)%
Net Investment Income Yield4.44 %4.44 %4.17 %3.28 %4.40 %4.41 %3.95 %
Investment income$4,630 $4,683 $4,477 $3,580 $4,827 $13,739 $12,884 
Investment fees and expenses(134)(137)(134)(122)(131)(408)(387)
Net investment income including Divested businesses4,496 4,546 4,343 3,458 4,696 13,331 12,497 
Less: Net investment income from Divested businesses23 24 22 14 8 23 44 
Adjusted Net Investment Income (6)$4,473 $4,522 $4,321 $3,444 $4,688 $13,308 $12,453 
Ending Carrying Value$479,828 $478,538 $497,288 $508,679 $519,782 $479,828 $519,782 
Investment Portfolio Gains (Losses) including Divested businesses$151 $388 $(313)$242 $142 $265 $71 
Less: Divested businesses— — — — 18 — 18 
Investment Portfolio Gains (Losses) (7)$151 $388 $(313)$242 $124 $265 $53 
Gross investment gains332 672 436 677 289 1,035 1,402 
Gross investment losses(159)(144)(495)(339)(202)(619)(1,036)
Net credit loss (provision) release and (impairments)(22)(140)(254)(96)37 (151)(313)
Investment Portfolio Gains (Losses) (7)151 388 (313)242 124 265 53 
Investment portfolio gains (losses) income tax (expense) benefit(64)(96)69 (166)(19)(107)(116)
Investment Portfolio Gains (Losses), Net of Income Tax$87 $292 $(244)$76 $105 $158 $(63)
Derivative gains (losses) (7)$1,141 $(1,583)$4,068 $(896)$(809)$1,770 $2,363 
Derivative gains (losses) income tax (expense) benefit(259)364 (885)195 165 (427)(525)
Derivative Gains (Losses), Net of Income Tax$882 $(1,219)$3,183 $(701)$(644)$1,343 $1,838 
See footnotes on Page 34.

31
INVESTMENTS
 
SUMMARY OF FIXED MATURITY SECURITIES AVAILABLE-FOR-SALE
BY SECTOR AND QUALITY DISTRIBUTION
September 30, 2019December 31, 2019March 31, 2020June 30, 2020September 30, 2020
Unaudited (In millions, except ratios)Amount% of TotalAmount% of TotalAmount% of TotalAmount% of TotalAmount% of Total
U.S. corporate securities$87,114 26.7 %$87,753 26.8 %$85,071 26.0 %$90,112 26.5 %$90,622 25.6 %
Foreign government securities67,547 20.7 %67,229 20.5 %64,844 19.9 %65,706 19.3 %68,611 19.4 %
Foreign corporate securities63,100 19.3 %64,165 19.6 %59,195 18.1 %62,817 18.5 %65,394 18.5 %
U.S. government and agency securities40,802 12.5 %42,084 12.8 %47,959 14.7 %47,287 13.9 %51,644 14.6 %
Residential mortgage-backed securities29,591 9.1 %28,547 8.7 %30,469 9.3 %31,875 9.4 %33,454 9.5 %
Asset-backed securities14,345 4.4 %14,542 4.4 %14,838 4.5 %16,324 4.8 %17,355 4.9 %
Municipals12,942 4.0 %13,053 4.0 %13,871 4.3 %14,611 4.3 %14,958 4.2 %
Commercial mortgage-backed securities10,608 3.3 %10,447 3.2 %10,438 3.2 %11,273 3.3 %11,771 3.3 %
Fixed Maturity Securities Available-For-Sale$326,049 100.0 %$327,820 100.0 %$326,685 100.0 %$340,005 100.0 %$353,809 100.0 %
NAICNRSRO
DESIGNATIONRATING
1Aaa / Aa / A$229,104 70.3 %$230,708 70.4 %$235,650 72.1 %$243,645 71.7 %$255,171 72.1 %
2Baa81,478 25.0 %81,425 24.8 %76,239 23.3 %80,714 23.7 %82,519 23.3 %
3Ba11,400 3.5 %11,652 3.6 %10,999 3.4 %11,250 3.3 %11,710 3.3 %
4B3,423 1.0 %3,337 1.0 %3,200 1.0 %3,654 1.1 %3,672 1.1 %
5Caa and lower609 0.2 %693 0.2 %564 0.2 %640 0.2 %721 0.2 %
6In or near default35 — %5 — %33 — %102 — %16 — %
Fixed Maturity Securities Available-For-Sale (8)$326,049 100.0 %$327,820 100.0 %$326,685 100.0 %$340,005 100.0 %$353,809 100.0 %
UNREALIZED GAINS AND LOSSES AGING SCHEDULE
FIXED MATURITY SECURITIES AVAILABLE-FOR-SALE
September 30, 2019December 31, 2019March 31, 2020June 30, 2020September 30, 2020
Unaudited (In millions, except ratios)Amount% of TotalAmount% of TotalAmount% of TotalAmount% of TotalAmount% of Total
Less than 20%$1,499 73.3 %$1,370 83.2 %$5,301 68.3 %$2,539 80.1 %$1,728 81.7 %
20% or more for less than six months370 18.1 %116 7.0 %2,371 30.6 %574 18.1 %194 9.2 %
20% or more for six months or greater176 8.6 %161 9.8 %85 1.1 %57 1.8 %192 9.1 %
Gross Unrealized Losses2,045 100.0 %1,647 100.0 %7,757 100.0 %3,170 100.0 %2,114 100.0 %
Gross Unrealized Gains34,964 31,812 32,005 40,479 42,902 
Net Unrealized Gains (Losses)$32,919 $30,165 $24,248 $37,309 $40,788 
See footnotes on Page 34.

32
INVESTMENTS
SUMMARY OF MORTGAGE LOANS
Unaudited (In millions)September 30, 2019December 31, 2019March 31, 2020June 30, 2020September 30, 2020
          
Commercial mortgage loans$49,898 $49,624 $50,077 $51,043 $51,448 
Agricultural mortgage loans15,752 16,695 16,788 17,167 17,402 
Residential mortgage loans13,659 14,504 14,943 15,235 14,551 
Mortgage loans held-for-sale— 59 — — — 
Mortgage Loans79,309 80,882 81,808 83,445 83,401 
Valuation allowances(350)(353)(464)(555)(520)
Mortgage Loans, net$78,959 $80,529 $81,344 $82,890 $82,881 
SUMMARY OF COMMERCIAL MORTGAGE LOANS
BY REGION AND PROPERTY TYPE
 
September 30, 2019December 31, 2019March 31, 2020June 30, 2020September 30, 2020
Unaudited (In millions, except ratios)Amount% of TotalAmount% of TotalAmount% of TotalAmount% of TotalAmount% of Total
Pacific$10,079 20.2 %$10,169 20.5 %$10,183 20.3 %$10,275 20.1 %$10,374 20.2 %
Non-U.S.9,480 19.0 %10,093 20.3 %9,424 18.8 %9,542 18.7 %9,828 19.1 %
Middle Atlantic8,210 16.4 %8,302 16.7 %7,967 15.9 %8,257 16.2 %8,234 16.0 %
South Atlantic6,896 13.8 %6,487 13.1 %6,461 12.9 %6,513 12.8 %6,661 13.0 %
West South Central4,454 8.9 %4,255 8.6 %3,970 7.9 %3,945 7.7 %3,973 7.7 %
East North Central3,225 6.5 %3,066 6.2 %2,183 4.4 %2,443 4.8 %2,518 4.9 %
New England1,705 3.4 %1,433 2.9 %1,670 3.3 %1,719 3.4 %2,019 3.9 %
Mountain1,774 3.6 %1,602 3.2 %1,755 3.5 %1,755 3.4 %1,753 3.4 %
West North Central592 1.2 %607 1.2 %635 1.3 %633 1.2 %635 1.2 %
East South Central530 1.1 %502 1.0 %483 1.0 %482 1.0 %499 1.0 %
Multi-Region and Other2,953 5.9 %3,108 6.3 %5,346 10.7 %5,479 10.7 %4,954 9.6 %
Total$49,898 100.0 %$49,624 100.0 %$50,077 100.0 %$51,043 100.0 %$51,448 100.0 %
Office$23,455 47.0 %$22,925 46.2 %$22,857 45.6 %$23,359 45.8 %$23,657 46.0 %
Retail9,707 19.5 %9,052 18.2 %8,842 17.7 %8,906 17.4 %8,903 17.3 %
Apartment6,906 13.8 %8,212 16.6 %8,869 17.7 %8,639 16.9 %8,651 16.8 %
Industrial4,226 8.5 %3,985 8.0 %4,101 8.2 %4,431 8.7 %4,770 9.3 %
Hotel3,617 7.2 %3,471 7.0 %3,328 6.6 %3,333 6.5 %3,361 6.5 %
Other1,987 4.0 %1,979 4.0 %2,080 4.2 %2,375 4.7 %2,106 4.1 %
Total$49,898 100.0 %$49,624 100.0 %$50,077 100.0 %$51,043 100.0 %$51,448 100.0 %

33
INVESTMENTS
FOOTNOTES
(1)We calculate yields using average quarterly asset carrying values. Yields exclude the impact of recognized gains and losses, include the impact of changes in foreign currency exchange rates and reflect the adjustments described on Page A-6 and presented on Page 5. Asset carrying values exclude unrealized gains (losses), collateral received in connection with our securities lending program, annuities funding structured settlement claims, freestanding derivative assets, collateral received from derivative counterparties, the effects of consolidating under GAAP certain VIEs that are treated as CSEs and contractholder-directed equity securities. A yield is not presented for other invested assets, as it is not considered a meaningful measure of performance for this asset class.
(2)Fixed maturity securities includes investment income related to fair value option securities of $59 million, $32 million, ($78) million, $114 million and $36 million for the three months ended September 30, 2019, December 31,2019, March 31, 2020, June 30, 2020 and September 30, 2020, respectively, and $152 million and $72 million for the year-to-date period ended September 30, 2019 and September 30, 2020, respectively.
(3)Investment income from fixed maturity securities and mortgage loans includes prepayment fees.
(4)The following table presents the components of total fixed maturity securities and a reconciliation to ending carrying value presented for fixed maturity securities.
September 30, 2019December 31, 2019March 31, 2020June 30, 2020September 30, 2020
Fixed maturity securities available-for-sale$326,049 $327,820 $326,685 $340,005 $353,809 
Contractholder-directed equity securities and fair value option securities12,671 13,102 11,145 11,911 12,276 
Total fixed maturity securities338,720 340,922 337,830 351,916 366,085 
Less: Contractholder-directed equity securities11,514 11,852 9,914 10,548 10,865 
Less: Effects of consolidating under GAAP certain VIEs that are treated as CSEs3 3 3 3 — 
Fixed maturity securities$327,203 $329,067 $327,913 $341,365 $355,220 
(5)Ending carrying value excludes the effects of consolidating under GAAP certain VIEs that are treated as CSEs of $3 million at both June 30, 2020 and September 30, 2020 and less than $1 million for each of the other periods presented.
(6)Adjusted net investment income reflects the adjustments as presented on Page 5.
(7)Investment portfolio gains (losses) and Derivative gains (losses) reflect the non-GAAP adjustments as presented below:
For the Three Months EndedFor the Year-to-Date Period Ended
September 30, 2019December 31, 2019March 31, 2020June 30, 2020September 30, 2020September 30, 2019September 30, 2020
Net investment gains (losses) $161 $207 $(288)$231 $(20)$237 $(77)
Less: Change in estimated fair value of other limited partnership interests and real estate joint ventures(1)(1)1 (13)3 (13)(9)
Less: Non-investment portfolio gains (losses)11 (180)24 2 (165)(15)(139)
Less: Divested businesses— — — — 18 — 18 
Investment portfolio gains (losses) $151 $388 $(313)$242 $124 $265 $53 
For the Three Months EndedFor the Year-to-Date Period Ended
September 30, 2019December 31, 2019March 31, 2020June 30, 2020September 30, 2020September 30, 2019September 30, 2020
Net derivative gains (losses) $1,254 $(1,465)$4,201 $(710)$(581)$2,093 $2,910 
Less: Investment hedge adjustments121 125 138 188 229 344 555 
Less: Settlement of foreign currency earnings hedges(3)(2)— — — (7)— 
Less: PAB hedge adjustments(5)(5)(5)(2)(1)(14)(8)
Derivative gains (losses) $1,141 $(1,583)$4,068 $(896)$(809)$1,770 $2,363 
(8)Amounts presented are based on ratings of NRSRO and the applicable NAIC designation from the NAIC published comparison of NRSRO ratings to NAIC designations, except for certain mortgage-backed securities (non-agency residential mortgage-backed securities and commercial mortgage-backed securities). NRSRO ratings are based on availability of applicable ratings. If no NRSRO rating is available, then an internally developed rating is used. Over time, credit ratings can migrate, up or down, through the NRSRO continuous monitoring process. Amounts presented for certain mortgage-backed securities held by MetLife, Inc.'s insurance subsidiaries that maintain the NAIC statutory basis of accounting reflect designations based on revised NAIC methodologies. The NAIC's present methodology is to evaluate certain mortgage-backed securities held by insurers using revised NAIC methodologies on an annual basis. An internally developed designation is used until a final designation becomes available from the NAIC annual review. These revised NAIC designations may not correspond to NRSRO ratings.
34
image0a451a.jpg
Appendix





APPENDIX
METLIFE
RECONCILIATION DETAIL
For the Three Months EndedFor the Year-to-Date Period Ended
Unaudited (In millions)September 30, 2019December 31, 2019March 31, 2020June 30, 2020September 30, 2020September 30, 2019September 30, 2020
Reconciliation to Adjusted Earnings Available to Common Shareholders
Net income (loss) available to MetLife, Inc.'s common shareholders$2,152 $536 $4,366 $68 $633 $5,185 $5,067 
Add: Preferred stock dividends32 57 32 77 59 121 168 
Add: Preferred stock redemption premium— — — — 14 — 14 
Add: Net Income (loss) attributable to noncontrolling interests6 (5)3 5 3 15 11 
Net income (loss) 2,190 588 4,401 150 709 $5,321 $5,260 
Less: adjustments from net income (loss) to adjusted earnings:
Net investment gains (losses)161 207 (288)231 (20)237 (77)
Net derivative gains (losses)1,254 (1,465)4,201 (710)(581)2,093 2,910 
Premiums - Divested businesses
35 36 32 20 — 35 52 
Universal life and investment-type product policy fees
Unearned revenue adjustments59 18 18 5 2 79 25 
GMIB fees27 26 26 25 26 82 77 
Divested businesses2 1 2 1 — 2 3 
Net investment income
Investment hedge adjustments(121)(125)(138)(188)(229)(344)(555)
Operating joint venture adjustments— — — — — — — 
Unit-linked contract income250 228 (1,140)818 262 1,247 (60)
Securitization entities income— — — — — — — 
Certain partnership distributions(2)(5)(4)(1)— (10)(5)
Divested businesses23 24 22 14 8 23 44 
Other revenues
Settlement of foreign currency earnings hedges3 2 — — — 7 — 
TSA fees69 40 42 39 39 206 120 
Divested businesses— 2 — — — — — 
Policyholder benefits and claims and policyholder dividends
PBC hedge adjustments(9)(10)(9)(9)(9)(9)(27)
PDO adjustments— — — — — — — 
Inflation and pass-through adjustments(87)6 (48)(106)37 (250)(117)
GMIB costs47 (106)141 (90)(231)(48)(180)
Market value adjustments(3)(8)(11)(21)(21)12 (53)
Divested businesses(34)(33)(24)(18)(13)(34)(55)
Interest credited to policyholder account balances
PAB hedge adjustments5 5 5 2 1 14 8 
Unit-linked contract costs(223)(240)1,138 (796)(266)(1,196)76 
Divested businesses(8)(10)(5)(7)(2)(8)(14)
Capitalization of DAC - Divested businesses
11 9 3 2 — 11 5 
Amortization of DAC and VOBA
Related to NIGL and NDGL(39)(106)(30)6 (64)(10)(88)
Related to GMIB fees and GMIB costs— 1 (13)5 (7)10 (15)
Related to market value adjustments— — — — — — — 
Divested businesses(2)(2)(6)(3)— (2)(9)
Amortization of negative VOBA
Related to market value adjustments— — — — — — — 
Divested businesses— — — — — — — 
Interest expense on debt
Securitization entities debt expense— — — — — — — 
Divested businesses— — — — — — — 
Other expenses
Noncontrolling interests8 (5)3 7 4 20 14 
Regulatory implementation costs(5)(3)(2)— (6)(15)(8)
Acquisition, integration and other costs(8)(7)(6)— (7)(37)(13)
TSA fees(69)(40)(42)(39)(39)(206)(120)
Divested businesses(36)(116)(19)(23)(7)(42)(49)
Goodwill impairment— — — — — — — 
Provision for income tax (expense) benefit(340)373 (928)151 195 (600)(582)
Adjusted earnings1,222 1,891 1,481 835 1,637 4,054 3,953 
Less: Preferred stock dividends32 57 32 77 59 121 168 
Adjusted earnings available to common shareholders$1,190 $1,834 $1,449 $758 $1,578 $3,933 $3,785 
A-1
APPENDIX
METLIFE
NOTABLE ITEMS (1)
METLIFE TOTAL
For the Three Months EndedFor the Year-to-Date Period Ended
Unaudited (In millions)September 30, 2019December 31, 2019March 31, 2020June 30, 2020September 30, 2020September 30, 2019September 30, 2020
Actuarial assumption review and other insurance adjustments$(160)$— $— $— $(203)$(160)$(203)
Expense initiative costs(88)(119)— — — (213)— 
Interest on tax adjustments
— 64 — — — — — 
Tax adjustments— 475 — — — — — 
Total notable items$(248)$420 $— $— $(203)$(373)$(203)
ASIA
  For the Three Months EndedFor the Year-to-Date Period Ended
Unaudited (In millions)September 30, 2019December 31, 2019March 31, 2020June 30, 2020September 30, 2020September 30, 2019September 30, 2020
Actuarial assumption review and other insurance adjustments
$(19)$— $— $— $(28)$(19)$(28)
Total notable items
$(19)$— $— $— $(28)$(19)$(28)
LATIN AMERICA
  
For the Three Months EndedFor the Year-to-Date Period Ended
Unaudited (In millions)
September 30, 2019December 31, 2019March 31, 2020June 30, 2020September 30, 2020September 30, 2019September 30, 2020
Actuarial assumption review and other insurance adjustments
$10 $— $— $— $(9)$10 $(9)
Total notable items
$10 $— $— $— $(9)$10 $(9)
EMEA
  
For the Three Months EndedFor the Year-to-Date Period Ended
Unaudited (In millions)
September 30, 2019December 31, 2019March 31, 2020June 30, 2020September 30, 2020September 30, 2019September 30, 2020
Actuarial assumption review and other insurance adjustments
$(13)$— $— $— $(31)$(13)$(31)
Total notable items
$(13)$— $— $— $(31)$(13)$(31)
METLIFE HOLDINGS
  
For the Three Months EndedFor the Year-to-Date Period Ended
Unaudited (In millions)
September 30, 2019December 31, 2019March 31, 2020June 30, 2020September 30, 2020September 30, 2019September 30, 2020
Actuarial assumption review and other insurance adjustments
$(138)$— $— $— $(135)$(138)$(135)
Total notable items
$(138)$— $— $— $(135)$(138)$(135)
CORPORATE & OTHER
  
For the Three Months EndedFor the Year-to-Date Period Ended
Unaudited (In millions)
September 30, 2019December 31, 2019March 31, 2020June 30, 2020September 30, 2020September 30, 2019September 30, 2020
Expense initiative costs(88)(119)— — — (213)— 
Interest on tax adjustments— 64 — — — — — 
Tax adjustments
— 475 — — — — — 
Total notable items
$(88)$420 $— $— $— $(213)$— 
(1)These notable items represent a positive (negative) impact to adjusted earnings available to common shareholders. Notable items reflect the unexpected impact of events that affect MetLife's results, but that were unknown and that MetLife could not anticipate when it devised its business plan. Notable items also include certain items regardless of the extent anticipated in the business plan to help investors have a better understanding of MetLife's results and to evaluate and forecast those results.
A-2
APPENDIX
METLIFE
EQUITY DETAILS, BOOK VALUE DETAILS AND RETURN ON EQUITY
Unaudited (In millions)September 30, 2019December 31, 2019March 31, 2020June 30, 2020September 30, 2020
Total MetLife, Inc.'s stockholders' equity$68,368 $66,144 $70,221 $75,693 $73,316 
Less: Preferred stock
3,340 3,340 4,312 4,312 4,312 
MetLife, Inc.'s common stockholders' equity 65,028 62,804 65,909 71,381 69,004 
Less: Net unrealized investment gains (losses), net of income tax
22,330 19,981 20,369 25,913 22,869 
  Defined benefit plans adjustment, net of income tax(1,961)(2,002)(1,985)(1,968)(1,954)
Total MetLife, Inc.'s common stockholders' equity, excluding AOCI other than FCTA$44,659 $44,825 $47,525 $47,436 $48,089 
Less: Goodwill, net of income tax
8,955 8,986 8,828 8,910 9,021 
  VODA and VOCRA, net of income tax
279 268 276 264 253 
Total MetLife, Inc.'s tangible common stockholders' equity$35,425 $35,571 $38,421 $38,262 $38,815 
Unaudited (In millions)September 30, 2019December 31, 2019March 31, 2020June 30, 2020September 30, 2020
Total MetLife, Inc.'s common stockholders' equity, excluding AOCI other than FCTA$44,659 $44,825 $47,525 $47,436 $48,089 
Less: Accumulated year-to-date total notable items (2)
(373)47 — — (203)
Total MetLife, Inc.'s common stockholders' equity, excluding total notable items (excludes AOCI other than FCTA) (2)$45,032 $44,778 $47,525 $47,436 $48,292 
Unaudited (In millions, except per share data)September 30, 2019December 31, 2019March 31, 2020June 30, 2020September 30, 2020
Book value per common share $70.71 $68.62 $72.62 $78.65 $76.20 
Less: Net unrealized investment gains (losses), net of income tax
24.28 21.84 22.45 28.55 25.26 
  Defined benefit plans adjustment, net of income tax
(2.13)(2.19)(2.19)(2.17)(2.16)
Book value per common share, excluding AOCI other than FCTA$48.56 $48.97 $52.36 $52.27 $53.10 
Less: Goodwill, net of income tax
9.74 9.82 9.73 9.82 9.96 
  VODA and VOCRA, net of income tax
0.30 0.29 0.30 0.29 0.28 
Book value per common share - tangible common stockholders' equity$38.52 $38.86 $42.33 $42.16 $42.86 
Common shares outstanding, end of period 919.6 915.3 907.6 907.6 905.6 
For the Three Months Ended (1)
Unaudited (In millions, except ratios)September 30, 2019December 31, 2019March 31, 2020June 30, 2020September 30, 2020
Return on MetLife, Inc.'s:
Common stockholders' equity 13.7 %3.4 %27.1 %0.4 %3.6 %
Adjusted return on MetLife, Inc.'s:
Common stockholders' equity 7.6 %11.5 %9.0 %4.4 %9.0 %
Common stockholders' equity, excluding AOCI other than FCTA 10.7 %16.4 %12.6 %6.4 %13.2 %
Common stockholders' equity, excluding total notable items (excludes AOCI other than FCTA) (2)12.9 %12.6 %12.6 %6.4 %14.9 %
Tangible common stockholders' equity (3) 13.7 %20.7 %15.8 %8.0 %16.5 %
Average common stockholders' equity $62,750 $63,916 $64,357 $68,645 $70,193 
Average common stockholders' equity, excluding AOCI other than FCTA $44,367 $44,742 $46,175 $47,481 $47,763 
Average common stockholders' equity, excluding total notable items (excludes AOCI other than FCTA) (2)$44,616 $44,905 $46,175 $47,481 $47,864 
Average tangible common stockholders' equity
$35,070 $35,498 $36,996 $38,342 $38,539 
(1) Annualized using quarter-to-date results.
(2)Notable items reflect the unexpected impact of events that affect MetLife’s results, but that were unknown and that MetLife could not anticipate when it devised its business plan. Notable items also include certain items regardless of the extent anticipated in the business plan to help investors have a better understanding of MetLife's results and to evaluate and forecast those results. Notable items can affect MetLife’s results either positively or negatively. See Page A-2 for further detail.
(3)Adjusted earnings available to common shareholders used to calculate the return on tangible common stockholders' equity excludes the impact of amortization of VODA and VOCRA, net of income tax, for the three months ended September 30, 2019, December 31, 2019, March 31, 2020, June 30, 2020 and September 30, 2020 of $9 million, $6 million, $8 million, $10 million and $7 million, respectively.
A-3
APPENDIX
METLIFE
ADJUSTED PREMIUMS, FEES AND OTHER REVENUES, OTHER EXPENSES AND ADJUSTED EARNINGS AVAILABLE TO COMMON SHAREHOLDERS - CONSTANT CURRENCY BASIS
 ADJUSTED PREMIUMS, FEES AND OTHER REVENUES, ON A CONSTANT CURRENCY BASIS
For the Three Months Ended
Unaudited (In millions)September 30, 2019December 31, 2019March 31, 2020June 30, 2020September 30, 2020
U.S. (1)$7,391 $8,586 $6,189 $5,692 $6,833 
ASIA 2,120 2,118 2,130 2,053 2,265 
LATIN AMERICA854 798 869 771 761 
EMEA 661 670 702 680 680 
METLIFE HOLDINGS (1)1,261 1,321 1,233 1,208 1,206 
CORPORATE & OTHER (1)72 87 96 86 75 
Adjusted premiums, fees and other revenues, on a constant currency basis$12,359 $13,580 $11,219 $10,490 $11,820 
Adjusted premiums, fees and other revenues$12,445 $13,632 $11,216 $10,401 $11,820 
ASIA (including operating joint ventures) (2), (3)$2,370 $2,398 $2,408 $2,319 $2,551 
 OTHER EXPENSES ON A CONSTANT CURRENCY BASIS
For the Three Months Ended
Unaudited (In millions)September 30, 2019December 31, 2019March 31, 2020June 30, 2020September 30, 2020
U.S. (1)$1,004 $1,069 $1,066 $1,012 $1,026 
ASIA 964 969 894 808 869 
LATIN AMERICA315 333 324 319 313 
EMEA343 371 335 339 340 
METLIFE HOLDINGS (1)223 282 228 239 231 
CORPORATE & OTHER (1)320 243 136 134 120 
Adjusted other expenses on a constant currency basis$3,169 $3,267 $2,983 $2,851 $2,899 
Adjusted other expenses$3,199 $3,286 $2,981 $2,817 $2,899 
ASIA (including operating joint ventures) (2), (3)$1,068 $1,081 $989 $913 $968 
 ADJUSTED EARNINGS AVAILABLE TO COMMON SHAREHOLDERS ON A CONSTANT CURRENCY BASIS
For the Three Months Ended
Unaudited (In millions)September 30, 2019December 31, 2019March 31, 2020June 30, 2020September 30, 2020
U.S. (1)$707 $675 $780 $523 $900 
ASIA 354 343 357 263 465 
LATIN AMERICA135 145 83 141 39 
EMEA 51 65 77 119 52 
METLIFE HOLDINGS (1)149 269 277 20 253 
CORPORATE & OTHER (1)(223)322 (131)(289)(131)
Adjusted earnings available to common shareholders on a constant currency basis$1,173 $1,819 $1,443 $777 $1,578 
Adjusted earnings available to common shareholders$1,190 $1,834 $1,449 $758 $1,578 
 (1) Amounts on a reported basis, as constant currency impact is not significant.
 (2) Adjusted premiums, fees and other revenues as well as other expenses are reported as part of net investment income on the statements of adjusted earnings available to common shareholders on Page 20 for operating joint ventures.
 (3) Includes MetLife, Inc.'s percentage interest in operating joint ventures of: (i) China, (ii) India, (iii) Malaysia and (iv) Vietnam, which are consolidated using the equity method of accounting.
A-4
METLIFE
NON-GAAP AND OTHER FINANCIAL DISCLOSURES

In this QFS, MetLife presents certain measures of its performance on a consolidated and segment basis that are not calculated in accordance with GAAP. We believe that these non-GAAP financial measures enhance the understanding of our performance by highlighting the results of operations and the underlying profitability drivers of our business. Segment-specific financial measures are calculated using only the portion of consolidated results attributable to that specific segment.

The following non-GAAP financial measures should not be viewed as substitutes for the most directly comparable financial measures calculated in accordance with GAAP:
Non-GAAP financial measures:Comparable GAAP financial measures:
(i)total adjusted revenues(i)total revenues
(ii)total adjusted expenses(ii)total expenses
(iii)adjusted premiums, fees and other revenues(iii)premiums, fees and other revenues
(iv)adjusted premiums, fees & other revenues, excluding PRT (iv)premiums, fees and other revenues
(v)adjusted net investment income(v)net investment income
(vi)adjusted earnings(vi)net income (loss)
(vii)adjusted earnings available to common shareholders(vii)net income (loss) available to MetLife, Inc.’s common shareholders
(viii)adjusted earnings available to common shareholders, excluding total notable items(viii)net income (loss) available to MetLife, Inc.’s common shareholders
(ix)adjusted earnings available to common shareholders per diluted common share(ix)net income (loss) available to MetLife, Inc.’s common shareholders per diluted common share
(x)adjusted earnings available to common shareholders, excluding total notable items, per diluted common share(x)net income (loss) available to MetLife, Inc.’s common shareholders per diluted common share
(xi)adjusted return on equity(xi)return on equity
(xii)adjusted return on equity, excluding AOCI other than FCTA(xii)return on equity
(xiii)adjusted return on equity, excluding total notable items (excludes AOCI other than FCTA)(xiii)return on equity
(xiv)adjusted tangible return on equity(xiv)return on equity
(xv)investment portfolio gains (losses)(xv)net investment gains (losses)
(xvi)derivative gains (losses)(xvi)net derivative gains (losses)
(xvii)adjusted capitalization of DAC(xvii)capitalization of DAC
(xviii)total MetLife, Inc.’s tangible common stockholders’ equity(xviii)total MetLife, Inc.’s stockholders’ equity
(xix)total MetLife, Inc.’s common stockholders’ equity, excluding AOCI other than FCTA(xix)total MetLife, Inc.’s stockholders’ equity
(xx)total MetLife, Inc.’s common stockholders’ equity, excluding total notable items (excludes AOCI other than FCTA)(xx)total MetLife, Inc.’s stockholders’ equity
(xxi)book value per common share, excluding AOCI other than FCTA(xxi)book value per common share
(xxii)book value per common share - tangible common stockholders' equity(xxii)book value per common share
(xxiii)adjusted other expenses(xxiii)other expenses
(xxiv)adjusted other expenses, net of adjusted capitalization of DAC(xxiv)other expenses, net of capitalization of DAC
(xxv)adjusted other expenses, net of adjusted capitalization of DAC, excluding total notable items related to adjusted other expenses(xxv)other expenses, net of capitalization of DAC
(xxvi)adjusted expense ratio(xxvi)expense ratio
(xxvii)adjusted expense ratio, excluding total notable items related to other adjusted expenses and PRT(xxvii)expense ratio
(xxviii)direct expenses(xxviii)other expenses
(xxix)direct expenses, excluding total notable items related to direct expenses(xxix)other expenses
(xxx)direct expense ratio(xxx)expense ratio
(xxxi)direct expense ratio, excluding total notable items related to direct expenses and PRT(xxxi)expense ratio
Any of these financial measures shown on a constant currency basis reflect the impact of changes in foreign currency exchange rates and are calculated using the average foreign currency exchange rates for the most recent period. As a result, comparable prior period amounts are updated each period to reflect the most recent period average foreign currency exchange rates.
Reconciliations of these non-GAAP financial measures to the most directly comparable GAAP financial measures are included in this QFS and in this period’s earnings news release, which is available at www.metlife.com.

A-5
METLIFE
NON-GAAP AND OTHER FINANCIAL DISCLOSURES (CONTINUED)
Our definitions of non-GAAP and other financial measures discussed in this QFS may differ from those used by other companies:

Adjusted earnings and related measures
•adjusted earnings;
•adjusted earnings available to common shareholders;
•adjusted earnings available to common shareholders, excluding total notable items;
•adjusted earnings available to common shareholders per diluted common share;
•adjusted earnings available to common shareholders, excluding total notable items per diluted common share; and
•adjusted earnings available to common shareholders on a constant currency basis.
These measures are used by management to evaluate performance and allocate resources. Consistent with GAAP guidance for segment reporting, adjusted earnings and components of, or other financial measures based on, adjusted earnings are also MetLife’s GAAP measures of segment performance. Adjusted earnings and other financial measures based on adjusted earnings are also the measures by which MetLife senior management’s and many other employees’ performance is evaluated for the purposes of determining their compensation under applicable compensation plans. Adjusted earnings and other financial measures based on adjusted earnings allow analysis of MetLife's performance relative to its business plan and facilitate comparisons to industry results.

Adjusted earnings is defined as adjusted revenues less adjusted expenses, net of income tax. Adjusted earnings available to common shareholders is defined as adjusted earnings less preferred stock dividends.
Adjusted revenues and adjusted expenses
These financial measures, along with the related adjusted premiums, fees and other revenues, focus on our primary businesses principally by excluding the impact of market volatility, which could distort trends, and revenues and costs related to non-core products and certain entities required to be consolidated under GAAP. Also, these measures exclude results of discontinued operations under GAAP and other businesses that have been or will be sold or exited by MetLife but do not meet the discontinued operations criteria under GAAP (“Divested businesses”). Divested businesses also include the net impact of transactions with exited businesses that have been eliminated in consolidation under GAAP and costs relating to businesses that have been or will be sold or exited by MetLife that do not meet the criteria to be included in results of discontinued operations under GAAP. Adjusted revenues also excludes NIGL and NDGL. Adjusted expenses also excludes goodwill impairments.
The following additional adjustments are made to revenues, in the line items indicated, in calculating adjusted revenues:
•Universal life and investment-type product policy fees excludes the amortization of unearned revenue related to NIGL and NDGL (“Unearned revenue adjustments”) and certain variable annuity GMIB fees (“GMIB fees”);
•Net investment income: (i) includes adjustments for earned income on derivatives and amortization of premium on derivatives that are hedges of investments or that are used to replicate certain investments, but do not qualify for hedge accounting treatment (“Investment hedge adjustments”), (ii) excludes post-tax adjusted earnings adjustments relating to insurance joint ventures accounted for under the equity method (“Operating joint venture adjustments”), (iii) excludes certain amounts related to contractholder-directed equity securities (“Unit-linked contract income”), (iv) excludes certain amounts related to securitization entities that are VIEs consolidated under GAAP (“Securitization entities income”), and (v) includes distributions of profits from certain other limited partnership interests that were previously accounted for under the cost method, but are now accounted for at estimated fair value, where the change in estimated fair value is recognized in NIGL under GAAP ("Certain partnership distributions"); and
•Other revenues is adjusted for settlements of foreign currency earnings hedges and excludes fees received in association with services provided under transition service agreements ("TSA fees").
The following additional adjustments are made to expenses, in the line items indicated, in calculating adjusted expenses:
•Policyholder benefits and claims and policyholder dividends excludes: (i) amortization of basis adjustments associated with de-designated fair value hedges of future policy benefits ("PBC hedge adjustments"), (ii) changes in the policyholder dividend obligation related to NIGL and NDGL (“PDO adjustments”), (iii) inflation-indexed benefit adjustments associated with contracts backed by inflation-indexed investments and amounts associated with periodic crediting rate adjustments based on the total return of a contractually referenced pool of assets and other pass-through adjustments (“Inflation and pass-through adjustments”), (iv) benefits and hedging costs related to GMIBs (“GMIB costs”), and (v) market value adjustments associated with surrenders or terminations of contracts (“Market value adjustments”);
•Interest credited to policyholder account balances includes adjustments for earned income on derivatives and amortization of premium on derivatives that are hedges of policyholder account balances but do not qualify for hedge accounting treatment (“PAB hedge adjustments”) and excludes certain amounts related to net investment income earned on contractholder-directed equity securities (“Unit-linked contract costs”);
•Amortization of DAC and VOBA excludes amounts related to: (i) NIGL and NDGL, (ii) GMIB fees and GMIB costs, and (iii) Market value adjustments;
•Amortization of negative VOBA excludes amounts related to Market value adjustments;
•Interest expense on debt excludes certain amounts related to securitization entities that are VIEs consolidated under GAAP (“Securitization entities debt expense”); and
•Other expenses excludes: (i) noncontrolling interests, (ii) implementation of new insurance regulatory requirements costs (“Regulatory implementation costs”) and (iii) acquisition, integration and other costs. Other expenses includes TSA fees.
Adjusted earnings also excludes the recognition of certain contingent assets and liabilities that could not be recognized at acquisition or adjusted for during the measurement period under GAAP business combination accounting guidance.

The tax impact of the adjustments mentioned above are calculated net of the U.S. or foreign statutory tax rate, which could differ from MetLife's effective tax rate. Additionally, the provision for income tax (expense) benefit also includes the impact related to the timing of certain tax credits, as well as certain tax reforms.

In addition, adjusted earnings available to common shareholders excludes the impact of preferred stock redemption premium. which is reported as a reduction to net income (loss) available to MetLife, Inc.’s common shareholders.
Investment portfolio gains (losses) and derivative gains (losses)

These are measures of investment and hedging activity. Investment portfolio gains (losses) principally excludes amounts that are reported within net investment gains (losses) but do not relate to the performance of the investment portfolio, such as gains (losses) on sales and divestitures of businesses and goodwill impairment, as well as investment portfolio gains (losses) of divested businesses. Derivative gains (losses) principally excludes earned income on derivatives and amortization of premium on derivatives, where such derivatives are either hedges of investments or are used to replicate certain investments, and where such derivatives do not qualify for hedge accounting. This earned income and amortization of premium is reported within adjusted earnings and not within derivative gains (losses).
A-6

METLIFE
NON-GAAP AND OTHER FINANCIAL DISCLOSURES (CONTINUED)
Return on equity, allocated equity, tangible equity and related measures
•Total MetLife, Inc.’s common stockholders’ equity, excluding AOCI other than FCTA: Total MetLife, Inc.’s common stockholders’ equity, excluding the net unrealized investment gains (losses) and defined benefit plans adjustment components of AOCI, net of income tax.
•Total MetLife, Inc.’s common stockholders’ equity, excluding total notable items (excludes AOCI other than FCTA): Total MetLife, Inc.’s common stockholders’ equity, excluding the net unrealized investment gains (losses), defined benefit plans adjustment components of AOCI and total notable items, net of income tax.
•Return on MetLife, Inc.’s common stockholders’ equity: net income (loss) available to MetLife, Inc.’s common shareholders divided by MetLife, Inc.'s average common stockholders’ equity.
•Adjusted return on MetLife, Inc.’s common stockholders’ equity: adjusted earnings available to common shareholders divided by MetLife, Inc.'s average common stockholders’ equity.
•Adjusted return on MetLife, Inc.’s common stockholders’ equity, excluding AOCI other than FCTA: adjusted earnings available to common shareholders divided by MetLife, Inc.'s average common stockholders’ equity, excluding AOCI other than FCTA.
•Adjusted return on MetLife, Inc.’s common stockholders’ equity, excluding total notable items (excludes AOCI other than FCTA): adjusted earnings available to common shareholders, excluding total notable items, divided by MetLife, Inc.'s average common stockholders’ equity, excluding total notable items (excludes AOCI other than FCTA).
•Allocated equity: portion of MetLife, Inc.’s common stockholders’ equity that management allocates to each of its segments and sub-segments based on local capital requirements and economic capital. Economic capital is an internally developed risk capital model, the purpose of which is to measure the risk in the business and to provide a basis upon which capital is deployed. MetLife management periodically reviews this model to ensure that it remains consistent with emerging industry practice standards and the local capital requirements; allocated equity may be adjusted if warranted by such review. Allocated equity excludes the impact of AOCI other than FCTA.
•Adjusted return on allocated equity: adjusted earnings available to common shareholders divided by allocated equity.
The above measures represent a level of equity consistent with the view that, in the ordinary course of business, we do not plan to sell most investments for the sole purpose of realizing gains or losses. Also, refer to the utilization of adjusted earnings and components of, or other financial measures based on, adjusted earnings mentioned above.
•Total MetLife, Inc.’s tangible common stockholders’ equity or tangible equity: Total MetLife, Inc.’s common stockholders’ equity, excluding AOCI other than FCTA, reduced by the impact of goodwill, VODA and VOCRA, all net of income tax.
•Adjusted return on MetLife, Inc.’s tangible common stockholders’ equity: adjusted earnings available to common shareholders, excluding amortization of VODA and VOCRA, net of income tax, divided by MetLife, Inc.’s average tangible common stockholders’ equity.
•Allocated tangible equity: Allocated equity reduced by the impact of goodwill, VODA and VOCRA, all net of income tax.
•Adjusted return on allocated tangible equity: adjusted earnings available to common shareholders, excluding amortization of VODA and VOCRA, net of income tax, divided by allocated tangible equity.
The above measures are, when considered in conjunction with regulatory capital ratios, a measure of capital adequacy.
Expense ratio, direct expense ratio, adjusted expense ratio and related measures
•Expense ratio: other expenses, net of capitalization of DAC, divided by premiums, fees and other revenues.
•Direct expense ratio: adjusted direct expenses divided by adjusted premiums, fees and other revenues.
•Direct expense ratio, excluding total notable items related to direct expenses and PRT: adjusted direct expenses, excluding total notable items related to direct expenses, divided by adjusted premiums, fees and other revenues, excluding PRT.
•Adjusted expense ratio: adjusted other expenses, net of adjusted capitalization of DAC, divided by adjusted premiums, fees and other revenues.
•Adjusted expense ratio, excluding total notable items related to adjusted other expenses and PRT: adjusted other expenses, net of adjusted capitalization of DAC, excluding total notable items related to adjusted other expenses, divided by adjusted premiums, fees and other revenues, excluding PRT.
General account assets under management and related measures
GA AUM is used by MetLife to describe assets in its GA investment portfolio which are actively managed and stated at estimated fair value. GA AUM is comprised of GA total investments and cash and cash equivalents, excluding policy loans, contractholder-directed equity securities, fair value option securities and certain other invested assets, as substantially all of these assets are not actively managed in MetLife’s GA investment portfolio. Mortgage loans (including commercial, agricultural and residential) and real estate and real estate joint ventures included in GA AUM (at net asset value, net of deduction for encumbering debt) have been adjusted from carrying value to estimated fair value. At the segment level, intersegment balances (intercompany activity, primarily related to investments in subsidiaries, that eliminate at the MetLife consolidated level) are excluded from GA AUM.

GA AUM (at amortized cost) excludes the following adjustments: (i) unrealized gain (loss) on investments carried at estimated fair value and (ii) adjustments from carrying value to estimated fair value on mortgage loans (including commercial, agricultural and residential) and real estate and real estate joint ventures. GA AUM (at amortized cost) is presented net of related allowance for credit loss.
Other items
The following additional information is relevant to an understanding of our performance results:
•Statistical sales information for Latin America, Asia and EMEA: calculated using 10% of single-premium deposits (mainly from retirement products such as variable annuity, fixed annuity and pensions), 20% of single-premium deposits from credit insurance and 100% of annualized full-year premiums and fees from recurring-premium policy sales of all products (mainly from risk and protection products such as individual life, accident & health and group). Sales statistics do not correspond to revenues under GAAP, but are used as relevant measures of business activity.
A-7
METLIFE
ACRONYMS
 
AOCIAccumulated other comprehensive income (loss)
CSEConsolidated securitization entity
DACDeferred policy acquisition costs
EMEAEurope, the Middle East and Africa
FCTAForeign currency translation adjustments
GAGeneral account
GA AUMGeneral account assets under management
GAAPAccounting principles generally accepted in the United States of America
GICsGuaranteed interest contracts
GMIBGuaranteed minimum income benefits
NAICNational Association of Insurance Commissioners
NDGLNet derivative gains (losses)
NIGLNet investment gains (losses)
NRSRONationally Recognized Statistical Rating Organizations
PABPolicyholder account balances
PBCPolicyholder benefits and claims
PDOPolicyholder dividend obligation
PRTPension risk transfers
QFSQuarterly financial supplement
TSATransition service agreement
VIEVariable interest entity
VOBAValue of business acquired
VOCRAValue of customer relationships acquired
VODAValue of distribution agreements
A-8

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