Terms

Series

5.625% Non-Cumulative Preferred Stock, Series E

Liquidation Preference

$25.00

Coupon Rate

5.625%

Rate Type

Fixed

Annual Dividend

$1.41

Payment Frequency

Quarterly

Cumulative

No

Perpetual

Yes

Convertible

No

Callable

Yes

First Call Date

June 15, 2023

First Call Price

$25.00

Capital Stack Ranking

Junior To: All Indebtedness And Other Non-Equity Claims On Metlife, Inc., 6.400% Fixed-To-Floating Rate Junior Subordinated Debentures Due 2066, 9.250% Fixed-To-Floating Rate Junior Subordinated Debentures Due 2068, 10.750% Fixed-To-Floating Rate Junior Subordinated Debentures Due 2069; Pari Passu With: Series A Floating Rate Non-Cumulative Preferred Stock, Series C 5.250% Fixed-To-Floating Rate Non-Cumulative Preferred Stock, Series D 5.875% Non-Cumulative Preferred Stock; Senior To: Metlife, Inc. Common Stock, Series A Junior Participating Preferred Stock, All Other Junior Stock

Regulatory (Basel III) Call

Yes

Tax Classification

Qualified Dividend

Qualifies for QDI

Yes

Qualifies for DRD

Yes

Depositary Share Fraction

0.001

Shares Offered

28,000,000

Prospectus Summary

MetLife, Inc. (NYSE: MET) is offering 28,000,000 Depositary Shares (NYSE: METPrE), each representing a 1/1,000th interest in a share of its 5.625% Non-Cumulative Preferred Stock, Series E, with a liquidation preference of $25,000 per underlying share (equivalent to $25 per Depositary Share). Dividends accrue at a fixed 5.625% annual rate (~$1.406 per Depositary Share per year, or ~$0.352 quarterly) payable on March 15, June 15, September 15, and December 15, commencing September 15, 2018. These dividends are non-cumulative: if the board does not declare a dividend for any quarter, it is permanently forfeited — holders have no right to catch up in future periods. As a holding company issuer, MetLife, Inc.'s Series E Preferred Stock is structurally subordinated to all obligations of its operating insurance subsidiaries; the holding company depends on dividends from those regulated subsidiaries to service its securities. Within the MetLife, Inc. capital stack, the Series E ranks senior to common stock and junior preferred series (Series A Junior Participating Preferred), pari passu with Series A Floating Rate, Series C (5.250%), and Series D (5.875%) preferred, and junior to approximately $20.5 billion of total debt including junior subordinated debentures — which contain covenants that can block preferred dividends if financial tests are not met or interest is being deferred. MetLife may redeem the Series E at any time before June 15, 2023 if a 'regulatory capital event' occurs (loss of Tier 1 capital treatment under applicable capital regulations), or at $25.50 per share for a 'rating agency event,' with regular par redemption at $25.00 per share on or after June 15, 2023. At the $25.00 offering price, the Series E yields 5.625% annually. For non-corporate U.S. holders, dividends are expected to qualify for the preferential 15%/20% qualified dividend income (QDI) rate (plus potential 3.8% net investment income surtax). Corporate holders may claim a 50% dividends-received deduction (DRD) for taxable years beginning after December 31, 2017, subject to limitations described in the prospectus. The dividend stopper provision blocks MetLife from paying dividends on common or other junior stock if the most recent Series E dividend has not been paid in full; however, MetLife's junior subordinated debenture covenants can independently block preferred dividends if certain financial thresholds are breached or if interest deferral is in effect on those instruments.

Summarized from the SEC prospectus filing.

Distribution History

Ranking vs. Other Preferreds

Dividend Stopper Provisions

Dividend Stopper Description

If MetLife has not paid full dividends on the Series E Preferred Stock for the latest completed period, it may not pay dividends on or repurchase its common stock or other junior stock. Separately, MetLife's outstanding junior subordinated debentures prohibit it from paying dividends on the Series E Preferred Stock if certain financial tests are not met or while interest is being deferred on those instruments.

Other Preferreds from MetLife Inc

Div Score Breakdown

Reinvesty's multi-factor safety analysis for this preferred, composite score: 60 (Average)