MetLife Transfers Variable Annuity Death Benefit Exposure to Societe Generale Corporate & Investment Banking

Business Wire, Jan 26, 2006

NEW YORK -- MetLife, Inc. (NYSE: MET) and Societe Generale Corporate & Investment Banking ("SG CIB") today announced they have closed an innovative transaction in which Exeter Reassurance Company, Ltd, a wholly-owned subsidiary of MetLife, Inc., transferred a large block of Guaranteed Minimum Death Benefit (GMDB) risk to Catalyst Re Ltd, a reinsurance company 100% owned by Societe Generale.

The transaction is a first of its kind for MetLife and the industry. It transfers variable annuity guarantee risk to a non-traditional, bank-owned reinsurer, providing MetLife with protection against adverse equity market scenarios. This aspect makes it a very effective approach to mitigating both the risk of loss and potential capital requirements associated with this type of variable annuity benefit. Societe Generale was selected from several counterparties based on its pricing, innovation and structuring flexibility.

"As the second largest provider of variable annuities in the U.S., MetLife is committed to managing and hedging the risk associated with all the riders on its variable annuity products," said Andy Rallis, Vice President and Senior Actuary for MetLife. "By working with a partner which has extensive experience managing mutual fund and equity market risk, we were able to structure a tailored solution for a large block of our variable annuity guarantee exposure. This next generation, cost-effective reinsurance transaction provides MetLife with long-term economic and capital protection."

"A key benefit of the structure is that it provides protection against severe equity market downturns," said Marshall Greenbaum, Director with SG CIB, adding "the structure can be used for all variable annuity benefits including guaranteed minimum income and withdrawal benefits."

MetLife, Inc. is a leading provider of insurance and other financial services to millions of individual and institutional customers throughout the United States. Through its subsidiaries and affiliates, MetLife, Inc. offers life insurance, annuities, automobile and homeowner's insurance and retail banking services to individuals, as well as group insurance, reinsurance and retirement and savings products and services to corporations and other institutions. Outside the U.S., the MetLife companies have direct insurance operations in Asia Pacific, Latin America and Europe. For more information, please visit www.metlife.com.

Societe Generale Corporate & Investment Banking is the world leader in equity derivatives and an innovative provider of risk management solutions for the insurance industry as well as other financial services firms. In 2005, SG CIB was ranked the best equity derivatives house in the Americas by The Banker, and the world's best equity derivatives house by IFR, Risk Magazine and The Banker.