BestWeek: Citing SIFI Drag, MetLife Plans to Separate US Retail Operations
January 18, 2016 by Caroline Saucer, editor, BestWeek: Caroline.Saucer@ambest.com
OLDWICK, N.J. – Citing the need to keep its U.S. retail unit at a competitive advantage and free of federal Systemically Important Financial Institution costs, MetLife announced it is pursuing the “separation” of the segment that could take the division public, according to the latest issue of BestWeek.
After the markets closed Jan. 12, MetLife in a statement said it was “evaluating structural alternatives for such a separation, including a public offering of shares in an independent, publicly traded company, a spin-off, or a sale.” Included in the new company would be MetLife Insurance Co. USA, General American Life Insurance Co., Metropolitan Tower Life Insurance Co. and several subsidiaries that have reinsured risks underwritten by MetLife Insurance Co. USA.
