A.M. Best Affirms Financial Strength and Debt Ratings of Metropolitan Life and Affiliates.Business Editors OLDWICK, N.J.--(BUSINESS WIRE)--March 31, 2004 A.M. Best Co. has affirmed the financial strength ratings of A+ (Superior) of Metropolitan Life Insurance Company (MetLife), the primary insurance company of MetLife, Inc. (NYSE NYSE See: New York Stock Exchange : MET) (both of New York New York, state, United States New York, Middle Atlantic state of the United States. It is bordered by Vermont, Massachusetts, Connecticut, and the Atlantic Ocean (E), New Jersey and Pennsylvania (S), Lakes Erie and Ontario and the Canadian province of , NY) and eight of its affiliates. A.M. Best has also affirmed the financial strength rating of A (Excellent) of MetLife Auto and Home Pool (Pool) and its eight fully reinsured subsidiaries led by Metropolitan Property and Casualty Insurance Company (both of Rhode Island Rhode Island, island, United States Rhode Island, island, 15 mi (24 km) long and 5 mi (8 km) wide, S R.I., at the entrance to Narragansett Bay. It is the largest island in the state, with steep cliffs and excellent beaches. ). Additionally, A.M. Best has affirmed the financial strength ratings of A (Excellent) for Texas Life Insurance Company (Texas) as well as Metropolitan Insurance and Annuity Company (Delaware). At the same time, A.M. Best has affirmed the long-term debt Long-Term Debt Loans and financial obligations lasting over one year. Notes: For example debts obligations such as bonds and notes which have maturities greater than one year would be considered long-term debt. ratings on the group's outstanding senior notes, surplus notes and the indicative ratings under the $5 billion shelf registration, as well as the commercial paper programs at MetLife, Inc. and MetLife Funding, Inc., the organization's centralized cen·tral·ize v. cen·tral·ized, cen·tral·iz·ing, cen·tral·iz·es v.tr. 1. To draw into or toward a center; consolidate. 2. financing entity. All ratings have a stable outlook. The ratings for the affiliates of MetLife, Inc. reflect the organization's diverse sources of revenue and earnings, its well-established brand name, the prominent market position maintained in its core business lines, its solid level of risk-adjusted capitalization and strong liquidity position, as well as the overall balance of the organization provided by its investment management, property and casualty, international and financial service subsidiaries. The group continues to sharpen its strategic focus by divesting non-core and less profitable businesses and expanding market share through organic growth and strategic acquisitions, both domestically and abroad. As a result of these efforts and ongoing expense management, the company has reported improving operating earnings Operating Earnings Profits after subtracting expenses such as marketing, cost of goods sold, administration and general operating costs from revenue. Notes: Tax and interest expenses are not subtracted - operating earnings are synonymous with EBIT (earnings before , sales and growth in assets under management Assets Under Management (AUM) is a term used by financial services companies in the mutual fund and money management or investment management business to gauge how much money they are managing. . The ratings also recognize the group's improving level of risk-adjusted capitalization, moderate financial leverage, solid debt service capacity and a demonstrated ability to access the capital markets on a recurring re·cur intr.v. re·curred, re·cur·ring, re·curs 1. To happen, come up, or show up again or repeatedly. 2. To return to one's attention or memory. 3. To return in thought or discourse. basis after several years as a public company. The rating of the Pool reflects its excellent capitalization, solid operating performance, multiple distribution channels and marketing advantage derived from the established brand recognition of its parent, MetLife. The Pool has experienced continued improvement in operating earnings despite several years of adverse reserve development. It has also managed down exposure to catastrophe-related claims through reduced exposure concentrations, higher deductibles and reinsurance The contract made between an insurance company and a third party to protect the insurance company from losses. The contract provides for the third party to pay for the loss sustained by the insurance company when the company makes a payment on the original contract. protection. MetLife revised its organizational structure  This article has no lead section.To comply with Wikipedia's lead section guidelines, one should be written. by restacking the Pool under MetLife, Inc., as an effort to increase the financial flexibility of the organization and enhance upstream dividend capacity to the parent holding company. Overall, the collective actions taken by management reinforce MetLife's diverse and substantial financial resources, which continue to support the current ratings. A.M. Best recognizes the continued demand for efficiencies as well as the need to meet stringent compliance standards. For a complete listing of the financial strength and debt ratings of MetLife, Inc., please visit www.ambest.com/press/033101metlife.pdf. For a list of A.M. Best's debt ratings, please visit http://www3.ambest.com/debtratings/. A.M. Best Co., established in 1899, is the world's oldest and most authoritative insurance rating and information source. For more information, visit A.M. Best's Web site at www.ambest.com. |
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