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BRIEF-Metlife began restructuring derivative hedges
May 5, 2017 / 11:01 AM / 7 months ago

BRIEF-Metlife began restructuring derivative hedges

May 5 (Reuters) - Metlife Inc:

* Metlife - during Q1, began restructuring some derivative hedges to partially stabilize volatility from nonqualified interest rate derivatives

* Metlife - began restructuring derivative hedges “to help meet prospective dividend and free cash flow objectives under varying interest rate scenarios”

* Metlife - restructuring of hedge program outside of brighthouse financial segment is “substantially complete” in meeting co’s initial objectives

* Metlife - as part of restructuring, replaced certain nonqualified derivatives with derivatives that qualify for hedge accounting treatment

* Metlife says as part of restructuring, co also entered replication transactions using interest rate swaps

* Metlife - anticipate co will need to undertake certain additional tasks to comply with certain exemptions provided in dol regulations related to ERISA

* Metlife - application of rules related to ERISA on June 9, in light of rule reconsideration requested by president Trump, could negatively impact product sales

* Metlife - operating expenses within businesses could increase as a result of uncertainties during negotiation period and upon UK’s withdrawal from EU

* Metlife - UK business model utilizes certain rights to operate cross-border insurance, investment operations which may be modified/eliminated if UK exits EU

* Metlife - if current rules on government procurement under NAFTA modified or eliminated, it could materially impact business in Mexico, given co's business model Source text: ( Further company coverage:

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