Summary
MetLife, Inc. (MET) announced a significant positive development resulting from the Internal Revenue Service (IRS) audit for the years 1997-1999. The resolution of issues in this audit has led to a reduction in liabilities by $105 million, net of income taxes. This favorable adjustment has resulted in an increase to MetLife's net income for the second quarter ended June 30, 2004. Specifically, the company's previously reported net income of $842 million, or $1.11 per diluted share, has been revised upwards to $947 million, or $1.25 per diluted share. This financial benefit will be recognized within the "Corporate and Other" segment of MetLife's consolidated results of operations in their forthcoming Form 10-Q filing. Investors should note this is a non-operational, tax-related adjustment that boosts the quarter's earnings.
Key Highlights
- 1IRS audit for 1997-1999 tax years has been resolved.
- 2Reduction in liabilities of $105 million (net of income taxes) due to audit resolution.
- 3Second quarter 2004 net income revised upwards by $105 million.
- 4Second quarter 2004 diluted earnings per share increased from $1.11 to $1.25.
- 5The financial benefit will be reported in the 'Corporate and Other' segment.
- 6This disclosure is a result of a previously issued press release on July 28, 2004.