Exhibit 12.1
MetLife, Inc.
Ratio of Earnings to Fixed Charges
Six Months Ended June 30, | Years Ended December 31, | |||||||||||||||||||||||||||
2013 | 2012 | 2012 | 2011 | 2010 | 2009 | 2008 | ||||||||||||||||||||||
(In millions, except ratios) | ||||||||||||||||||||||||||||
Income (loss) from continuing operations before provision for income tax | $ | 1,808 | $ | 2,929 | $ | 1,442 | $ | 9,184 | $ | 3,729 | $ | (4,618 | ) | $ | 4,936 | |||||||||||||
Less: Undistributed income (loss) from equity investees | 333 | 436 | 377 | 180 | 424 | (1,473 | ) | (784 | ) | |||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||||
Adjusted earnings before fixed charges (1) | 1,475 | 2,493 | 1,065 | 9,004 | 3,305 | (3,145 | ) | 5,720 | ||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||||
Add: Fixed charges | ||||||||||||||||||||||||||||
Interest and debt issue costs (2) | 675 | 714 | 1,389 | 1,666 | 1,565 | 1,083 | 1,157 | |||||||||||||||||||||
Estimated interest component of rent expense | 17 | 16 | 28 | 34 | 50 | 74 | 46 | |||||||||||||||||||||
Interest credited to bank deposits | 2 | 41 | 78 | 95 | 137 | 163 | 166 | |||||||||||||||||||||
Interest credited to policyholder account balances | 4,436 | 3,579 | 7,729 | 5,603 | 4,919 | 4,845 | 4,787 | |||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||||
Total fixed charges | 5,130 | 4,350 | 9,224 | 7,398 | 6,671 | 6,165 | 6,156 | |||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||||
Preferred stock dividends (3) | 73 | 82 | 134 | 385 | 173 | 225 | 181 | |||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||||
Total fixed charges plus preferred stock dividends | 5,203 | 4,432 | 9,358 | 7,783 | 6,844 | 6,390 | 6,337 | |||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||||
Total earnings and fixed charges | $ | 6,605 | $ | 6,843 | $ | 10,289 | $ | 16,402 | $ | 9,976 | $ | 3,020 | $ | 11,876 | ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||||
Ratio of earnings to fixed charges (1) | 1.29 | 1.57 | 1.12 | 2.22 | 1.50 | — | 1.93 | |||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||||
Total earnings including fixed charges and preferred stock dividends | $ | 6,678 | $ | 6,925 | $ | 10,423 | $ | 16,787 | $ | 10,149 | $ | 3,245 | $ | 12,057 | ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||||
Ratio of earnings to fixed charges and preferred stock dividends (1) | 1.28 | 1.56 | 1.11 | 2.16 | 1.48 | — | 1.90 | |||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1) | Earnings were insufficient to cover fixed charges at a 1:1 ratio by $3,145 million for the year ended December 31, 2009, primarily due to increased derivatives losses on freestanding derivatives, partially offset by gains on embedded derivatives. |
(2) | Interest costs include $67 million and $85 million related to variable interest entities for the six months ended June 30, 2013 and 2012, respectively. Excluding these costs would result in a ratio of earnings to fixed charges and ratio of earnings to fixed charges including preferred stock dividends of 1.29 and 1.29, and 1.58 and 1.57, respectively. Interest costs include $163 million, $324 million and $411 million related to variable interest entities for the years ended December 31, 2012, 2011 and 2010, respectively. Excluding these costs would result in a ratio of earnings to fixed charges and ratio of earnings to fixed charges including preferred stock dividends of 1.12 and 1.12, 2.49 and 2.40, and 1.53 and 1.51, respectively. |
(3) | For the year ended December 31, 2011, preferred stock dividends includes the redemption premium of $211 million associated with the convertible preferred stock repurchased and canceled in March 2011. |
1