MetLife Swings To Loss In 1Q On Derivatives Costs
April 20, 2012
NEW YORK -- MetLife Inc. swung to a loss in the first three months of the year, mainly because its complex financial investments lost value.
The insurance giant released the preliminary figures ahead of schedule Friday after accidentally disclosing them on its website. MetLife said it will disclose revised figures next week that give a more reliable picture of the company's finances.
MetLife posted a net loss in the quarter ended
Most of the loss came from declining value of derivatives _ financial products whose value is based on the price of another investment. MetLife lost
MetLife buys derivatives to protect against unexpected costs such as spiking benefit claims or changes and changes in interest rates, according to its annual report, filed in February. MetLife's per-share profit was
The company's revenue for the quarter rose seven percent, to
MetLife's operating income, which excludes gains and losses on derivatives, investments, taxes and other non-core items, was
The results exceeded the expectations of
The release comes two days after MetLife accidentally disclosed the results on its website. MetLife says it posted a document containing revisions of its 2011 financial results on Wednesday evening. On Thursday, it learned that its preliminary first-quarter results were visible as a result of the posting.
MetLife, based in
MetLife has move up its regular quarterly earnings release to
MetLife provides insurance, annuities and employee benefit programs in
MetLife' stock price fell
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