0001193125-11-337914.txt : 20111212
0001193125-11-337914.hdr.sgml : 20111212
20111212140228
ACCESSION NUMBER: 0001193125-11-337914
CONFORMED SUBMISSION TYPE: 485APOS
PUBLIC DOCUMENT COUNT: 2
FILED AS OF DATE: 20111212
DATE AS OF CHANGE: 20111212
FILER:
COMPANY DATA:
COMPANY CONFORMED NAME: METLIFE INVESTORS USA SEPARATE ACCOUNT A
CENTRAL INDEX KEY: 0000356475
IRS NUMBER: 540696644
STATE OF INCORPORATION: DE
FISCAL YEAR END: 1231
FILING VALUES:
FORM TYPE: 485APOS
SEC ACT: 1933 Act
SEC FILE NUMBER: 333-176698
FILM NUMBER: 111255816
BUSINESS ADDRESS:
STREET 1: 5 PARK PLAZA, SUITE 1900
CITY: IRVINE
STATE: CA
ZIP: 92614
BUSINESS PHONE: 9492235680
MAIL ADDRESS:
STREET 1: 5 PARK PLAZA, SUITE 1900
CITY: IRVINE
STATE: CA
ZIP: 92614
FORMER COMPANY:
FORMER CONFORMED NAME: METLIFE INVESTORS SEPARATE ACCOUNT A
DATE OF NAME CHANGE: 20010314
FORMER COMPANY:
FORMER CONFORMED NAME: SECURITY FIRST LIFE SEPARATE ACCOUNT A
DATE OF NAME CHANGE: 19920703
FILER:
COMPANY DATA:
COMPANY CONFORMED NAME: METLIFE INVESTORS USA SEPARATE ACCOUNT A
CENTRAL INDEX KEY: 0000356475
IRS NUMBER: 540696644
STATE OF INCORPORATION: DE
FISCAL YEAR END: 1231
FILING VALUES:
FORM TYPE: 485APOS
SEC ACT: 1940 Act
SEC FILE NUMBER: 811-03365
FILM NUMBER: 111255817
BUSINESS ADDRESS:
STREET 1: 5 PARK PLAZA, SUITE 1900
CITY: IRVINE
STATE: CA
ZIP: 92614
BUSINESS PHONE: 9492235680
MAIL ADDRESS:
STREET 1: 5 PARK PLAZA, SUITE 1900
CITY: IRVINE
STATE: CA
ZIP: 92614
FORMER COMPANY:
FORMER CONFORMED NAME: METLIFE INVESTORS SEPARATE ACCOUNT A
DATE OF NAME CHANGE: 20010314
FORMER COMPANY:
FORMER CONFORMED NAME: SECURITY FIRST LIFE SEPARATE ACCOUNT A
DATE OF NAME CHANGE: 19920703
0000356475
S000005224
METLIFE INVESTORS USA SEPARATE ACCOUNT A
C000106693
Series S (offered on and after October 7, 2011)
C000108043
Series S - L Share Option (offered on and after October 7, 2011)
485APOS
1
d255251d485apos.txt
MLI USA SERIES S AND SERIES S - L SHARE OPTION POST-EFFECTIVE AMENDMENT NO. 2
As filed with the Securities and Exchange Commission on December 12, 2011
File Nos. 333-176698
811-03365
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM N-4
REGISTRATION STATEMENT UNDER THE SECURITIES ACT OF 1933
Pre-Effective Amendment No. [ ]
Post-Effective Amendment No. 2 [x]
and
REGISTRATION STATEMENT UNDER THE INVESTMENT COMPANY ACT OF 1940
Amendment No. 422 [x]
(Check Appropriate Box or Boxes)
MetLife Investors USA Separate Account A
(Exact Name of Registrant)
MetLife Investors USA Insurance Company
5 Park Plaza, Suite 1900 Irvine, California 92614
(Address of Depositor's Principal Executive Offices) (Zip Code)
Depositor's Telephone Number, including Area Code
(800) 989-3752
(Name and Address of Agent for Service)
Michael K. Farrell
President
MetLife Investors USA Insurance Company
c/o 10 Park Avenue
Morristown, NJ 07962
(973) 355-4000
COPIES TO:
W. Thomas Conner
Sutherland Asbill & Brennan LLP
1275 Pennsylvania Avenue, NW
Washington, DC 20004-2415
(202) 383-0590
(Approximate Date of Proposed Public Offering)
It is proposed that this filing will become effective (check appropriate box):
[] immediately upon filing pursuant to paragraph (b) of Rule 485.
[] on (date) pursuant to paragraph (b) of Rule 485.
[x] 60 days after filing pursuant to paragraph (a)(1) of Rule 485.
[] on (date) pursuant to paragraph (a)(1) of Rule 485.
[] If appropriate, check the following box:
[] this post-effective amendment designates a new effective date for a
previously filed post-effective amendment.
Title of Securities Registered: Interest in a separate account under individual
flexible premium deferred variable annuity contracts.
This registration statement incorporates herein by reference the
prospectus dated October 7, 2011 (the "Prospectus") (File Nos.
333-176698/811-03365) filed on October 11, 2011 pursuant to Rule 497.
This registration statement incorporates herein by reference the supplement
dated October 24, 2011 to the Prospectus (File Nos. 333-176698/811-03665) filed
on October 21, 2011 pursuant to Rule 497.
This registration statement incorporates herein by reference the supplement
dated December 7, 2011 to the supplement dated October 24, 2011 to the
Prospectus (File Nos. 333-176698/811-03665) filed on December 7, 2011 pursuant
to Rule 497.
This registration statement incorporates herein by reference the supplement
dated December 12, 2011 to the Prospectus (File Nos. 333-176698/811-03665) filed
on December 9, 2011 pursuant to Rule 497.
METLIFE INVESTORS USA INSURANCE COMPANY
METLIFE INVESTORS USA SEPARATE ACCOUNT A
SUPPLEMENT DATED JANUARY 3, 2012
TO
THE PROSPECTUS DATED OCTOBER 7, 2011 (AS SUPPLEMENTED)
This supplement describes new versions of the optional GMIB Max and EDB Max
riders that may be elected with the Series S (offered on and after October 7,
2011) and Series S - L Share Option (offered on and after October 7, 2011)
variable annuity contracts issued by MetLife Investors USA Insurance Company
("we," "us," or "our"). The new versions are called GMIB Max III and EDB Max
III. If approved in your state, GMIB Max III and EDB Max III may be elected
with contracts issued based on applications and necessary information that we
receive in good order at our MetLife Annuity Service Center after the close of
the New York Stock Exchange on December 30, 2011.
GMIB Max III and EDB Max III differ from the corresponding riders currently
described in the October 7, 2011 prospectus (GMIB Max II and EDB Max II,
respectively) only in that the amount of the annual increase rate and the
annual withdrawal amount percentage under GMIB Max III and EDB Max III is 5%
instead of 5.5%, and the 5.5% enhanced payout rate available under GMIB Max II
is not available under GMIB Max III.
Please note that the EDB Max III rider may only be elected if you have elected
the GMIB Max III rider, and that in states where the GMIB Max III and EDB Max
III riders are available for purchase, the GMIB Max II and EDB Max II riders
are no longer available for purchase.
This supplement should be read in its entirety and kept together with your
prospectus for future reference. If you would like another copy of the
prospectus, write to us at 5 Park Plaza, Suite 1900, Irvine, CA 92614 or call
us at (800) 343-8496 to request a free copy.
THIS SUPPLEMENT SHOULD BE READ AND RETAINED FOR FUTURE REFERENCE
Distributor:
MetLife Investors Distribution Company Telephone: (800) 343-8496
5 Park Plaza, Suite 1900, Irvine, CA 92614
SUPP-USS0112
STATEMENT OF ADDITIONAL INFORMATION
INDIVIDUAL VARIABLE DEFERRED ANNUITY CONTRACT
ISSUED BY
METLIFE INVESTORS USA SEPARATE ACCOUNT A
AND
METLIFE INVESTORS USA INSURANCE COMPANY
SERIES S
(OFFERED ON AND AFTER OCTOBER 7, 2011)
SERIES S - L SHARE OPTION
(OFFERED ON AND AFTER OCTOBER 7, 2011)
THIS IS NOT A PROSPECTUS. THIS STATEMENT OF ADDITIONAL INFORMATION SHOULD BE
READ IN CONJUNCTION WITH THE PROSPECTUS DATED OCTOBER 7, 2011, FOR THE
INDIVIDUAL VARIABLE DEFERRED ANNUITY CONTRACT THAT IS DESCRIBED HEREIN.
THE PROSPECTUS CONCISELY SETS FORTH INFORMATION THAT A PROSPECTIVE INVESTOR
OUGHT TO KNOW BEFORE INVESTING. FOR A COPY OF THE PROSPECTUS WRITE US AT: P.O.
BOX 10366, DES MOINES, IOWA 50306-0366, OR CALL (800) 343-8496.
THIS STATEMENT OF ADDITIONAL INFORMATION IS DATED OCTOBER 7, 2011, AS REVISED
JANUARY 3, 2012.
SAI-0112USAS2
TABLE OF CONTENTS PAGE
COMPANY................................. 2
INDEPENDENT REGISTERED PUBLIC ACCOUNTING
FIRM.................................... 2
CUSTODIAN............................... 2
DISTRIBUTION............................ 2
Reduction or Elimination of the
Withdrawal Charge.................. 4
CALCULATION OF PERFORMANCE INFORMATION.. 4
Total Return....................... 4
Historical Unit Values............. 5
Reporting Agencies................. 5
ANNUITY PROVISIONS...................... 6
Variable Annuity................... 6
Fixed Annuity...................... 7
Mortality and Expense Guarantee.... 7
Legal or Regulatory Restrictions
on Transactions.................... 7
TAX STATUS OF THE CONTRACTS............. 7
FINANCIAL STATEMENTS.................... 10
1
COMPANY
MetLife Investors USA Insurance Company (MetLife Investors USA) is a stock life
insurance company founded on September 13, 1960, and organized under the laws
of the State of Delaware. Its principal executive offices are located at 5 Park
Plaza, Suite 1900 Irvine, CA 92614. MetLife Investors USA is authorized to
transact the business of life insurance, including annuities, and is currently
licensed to do business in all states (except New York) and the District of
Columbia. On October 11, 2006, MetLife Investors USA became a wholly-owned
subsidiary of MetLife Insurance Company of Connecticut. We changed our name to
MetLife Investors USA Insurance Company on January 8, 2001. On December 31,
2002, MetLife Investors USA became an indirect subsidiary of MetLife, Inc., a
listed company on the New York Stock Exchange. MetLife, Inc., through its
subsidiaries and affiliates, is a leading provider of insurance and other
financial services to individual and institutional customers.
INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM
The financial statements and financial highlights comprising each of the
Sub-Accounts of MetLife Investors USA Separate Account A, included in this
Statement of Additional Information, have been audited by Deloitte & Touche
LLP, an independent registered public accounting firm, as stated in their
report appearing herein. Such financial statements and financial highlights
have been so included in reliance upon the report of such firm given upon their
authority as experts in accounting and auditing.
The consolidated financial statements of MetLife Investors USA Insurance
Company (the "Company"), included in this Statement of Additional Information,
have been audited by Deloitte & Touche LLP, an independent registered public
accounting firm, as stated in their report appearing herein (which report
expresses an unqualified opinion and includes an explanatory paragraph
referring to changes in the Company's method of accounting for the recognition
and presentation of other-than-temporary impairment losses for certain
investments as required by accounting guidance adopted on April 1, 2009 and its
method of accounting for certain assets and liabilities to a fair value
measurement approach as required by accounting guidance adopted on January 1,
2008). Such financial statements have been so included in reliance upon the
report of such firm given upon their authority as experts in accounting and
auditing.
The principal business address of Deloitte & Touche LLP is Two World Financial
Center, New York, New York 10281-1414.
CUSTODIAN
MetLife Investors USA Insurance Company, 5 Park Plaza, Suite 1900, Irvine, CA
92614, is the custodian of the assets of the Separate Account. The custodian
has custody of all cash of the Separate Account and handles the collection of
proceeds of shares of the underlying funds bought and sold by the Separate
Account.
DISTRIBUTION
Information about the distribution of the contracts is contained in the
prospectus. (See "Other Information.") Additional information is provided
below.
The contracts are offered to the public on a continuous basis. We anticipate
continuing to offer the contracts, but reserve the right to discontinue the
offering.
MetLife Investors Distribution Company ("Distributor") serves as principal
underwriter for the contracts. Distributor is a Missouri corporation and its
home office is located at 5 Park Plaza, Suite 1900, Irvine, CA 92614. In
December 2004, MetLife Investors Distribution Company, which was then a
Delaware corporation, was merged into General American Distributors, Inc., and
the name of the surviving corporation was changed to MetLife Investors
Distribution Company. Distributor is an indirect, wholly-owned subsidiary of
MetLife, Inc. Distributor is registered as a broker-dealer with the Securities
and Exchange Commission under the Securities Exchange Act of 1934 and is a
member of the Financial Industry Regulatory Authority ("FINRA"). Distributor is
not a member of the Securities Investor Protection Corporation. Distributor has
entered into selling agreements with other broker-dealers ("selling firms") and
compensates them for their services.
Distributor (including its predecessor) received sales compensation with
respect to all contracts issued from the
2
Separate Account in the following amounts during the periods indicated:
Aggregate Amount of
Commissions Retained
Aggregate Amount of by Distributor After
Commissions Paid to Payments to Selling
Fiscal year Distributor Firms
------------- --------------------- ---------------------
2010 $619,659,806 $0
2009 $444,461,790 $0
2008 $357,776,663 $0
Distributor passes through commissions to selling firms for their sales. In
addition we pay compensation to Distributor to offset its expenses, including
compensation costs, marketing and distribution expenses, advertising,
wholesaling, printing, and other expenses of distributing the contracts.
As noted in the prospectus, we and Distributor pay compensation to all selling
firms in the form of commissions and certain types of non-cash compensation. We
and Distributor may pay additional compensation to selected firms, including
marketing allowances, introduction fees, persistency payments, preferred status
fees and industry conference fees. The terms of any particular agreement
governing compensation may vary among selling firms and the amounts may be
significant. The amount of additional compensation (non-commission amounts)
paid to selected selling firms during 2010 ranged from $531 to $17,875,819*.
The amount of commissions paid to selected selling firms during 2010 ranged
from $75 to $55,116,180. The amount of total compensation (includes
non-commission as well as commission amounts) paid to selected selling firms
during 2010 ranged from $75 to $72,992,000*.
* For purposes of calculating this range, the additional compensation
(non-commission) amounts received by a selling firm includes additional
compensation received by the firm for the sale of insurance products issued by
our affiliates First MetLife Investors Insurance Company, MetLife Investors
Insurance Company and MetLife Insurance Company of Connecticut.
In view of the fact that the contracts are newly offered, none of the amounts
described herein were paid in connection with the contracts.
The following list sets forth the names of selling firms that received
additional compensation in 2010 in connection with the sale of our variable
annuity contracts, variable life policies and other insurance products. The
selling firms are listed in alphabetical order.
Ameriprise Financial Services, Inc.
Associated Securities Corp.
AXA Advisors LLC
Bancwest Investment Services, Inc.
Capital Investment Brokerage, Inc.
Capital Investments Group, Inc.
CCO Investment Services Corp.
Centaurus Financial, Inc.
Citigroup Global Markets, Inc.
Commonwealth Financial Network
Compass Brokerage, Inc.
CUSO Financial Services, L.P.
Edward D. Jones & Co., L.P.
Essex National Securities, Inc.
FSC Securities Corporation
First Allied Securities, Inc.
First Tennessee Brokerage, Inc.
Founders Financial Securities, LLC
GunnAllen Financial, Inc.
H. D. Vest Investment Securities, Inc.
Infinex Investments, Inc.
InterSecurities, Inc.
Invest Financial Corp.
Investment Centers of America, Inc.
Investment Professionals, Inc.
Investors Captial Corp.
Janney Montgomery Scott, LLC
J.J.B. Hilliard, W.L. Lyons, LLC
J. P. Turner & Company
Key Investment Services LLC
Lincoln Financial Advisors, Corp.
Lincoln Financial Securities Corporation
Lincoln Investment Planning, Inc.
LPL Financial LLC
Merrill Lynch, Inc.
Merrill Lynch Insurance Group
Morgan Keegan & Company, Inc.
Morgan Stanley & Co., Inc.
M&T Securities Inc.
National Planning Holdings Corporation
National Securities Corp.
NEXT Financial Group
NFP Securities, Inc.
Oppenheimer & Co., Inc.
Pacific West Securities, Inc.
Planning Corporation of America
3
PNC Investments LLC
Primerica
ProEquities, Inc.
Raymond James Financial Services, Inc.
RBC Wealth Management
Robert W. Baird & Co. Incorporated
Royal Alliance Associates, Inc.
Sammons Securities Company, LLC
Securities America, Inc.
Sigma Financial Corporation
Signator Investors, Inc.
SII Investments, Inc.
Sorento Pacific Financial, LLC
StagePoint Financial, Inc.
Stifel Nicolaus & Company
Transamerica Financial Advisors, Inc.
Tower Square Securities, Inc.
UBS Financial Services, Inc.
U.S. Bancorp Investments, Inc.
United Planners Financial Services of America
UVEST Financial Services Group, Inc.
Valmark Securities, Inc.
Wall Street Financial Group, Inc.
Walnut Street Securities, Inc.
Waterstone Financial Group, Inc.
Wells Fargo Advisers, LLC
Wells Fargo Advisers Financial Network, LLC
Wells Fargo Investments, LLC
Wescom Financial Services, LLC
Woodbury Financial Services, Inc.
There are other broker dealers who receive compensation for servicing our
contracts, and the account value of the contracts or the amount of added
purchase payments received may be included in determining their additional
compensation, if any.
REDUCTION OR ELIMINATION OF THE WITHDRAWAL CHARGE
The amount of the withdrawal charge on the contracts may be reduced or
eliminated when sales of the contracts are made to individuals or to a group of
individuals in a manner that results in savings of sales expenses. The
entitlement to reduction of the withdrawal charge will be determined by the
Company after examination of all the relevant factors such as:
1. The size and type of group to which sales are to be made will be
considered. Generally, the sales expenses for a larger group are less than
for a smaller group because of the ability to implement large numbers of
contracts with fewer sales contacts.
2. The total amount of purchase payments to be received will be considered.
Per contract sales expenses are likely to be less on larger purchase
payments than on smaller ones.
3. Any prior or existing relationship with the Company will be considered.
Per contract sales expenses are likely to be less when there is a prior
existing relationship because of the likelihood of implementing the
contract with fewer sales contacts.
4. There may be other circumstances, of which the Company is not presently
aware, which could result in reduced sales expenses.
If, after consideration of the foregoing factors, the Company determines that
there will be a reduction in sales expenses, the Company may provide for a
reduction or elimination of the withdrawal charge.
The withdrawal charge may be eliminated when the contracts are issued to an
officer, director or employee of the Company or any of its affiliates. In no
event will any reduction or elimination of the withdrawal charge be permitted
where the reduction or elimination will be unfairly discriminatory to any
person. In lieu of a withdrawal charge waiver, we may provide an account value
credit.
CALCULATION OF PERFORMANCE INFORMATION
TOTAL RETURN
From time to time, the Company may advertise performance data. Such data will
show the percentage change in the value of an accumulation unit based on the
performance of an investment portfolio over a period of time, usually a
calendar year, determined by dividing the increase (decrease) in value for that
unit by the accumulation unit value at the beginning of the period.
Any such advertisement will include total return figures for the time periods
indicated in the advertisement. Such total return figures will reflect the
deduction of the separate account product charges (including certain death
benefit rider charges), the expenses for the underlying investment portfolio
being advertised, and any applicable account fee, withdrawal charges, Enhanced
Death Benefit rider charge,
4
or GMIB rider charge. For purposes of calculating performance information, the
Enhanced Death Benefit rider charge is currently reflected as a percentage of
account value. Premium taxes are not reflected. The deduction of such charges
would reduce any percentage increase or make greater any percentage decrease.
The hypothetical value of a contract purchased for the time periods described
in the advertisement will be determined by using the actual accumulation unit
values for an initial $1,000 purchase payment, and deducting any applicable
account fee and any applicable sales charge to arrive at the ending
hypothetical value. The average annual total return is then determined by
computing the fixed interest rate that a $1,000 purchase payment would have to
earn annually, compounded annually, to grow to the hypothetical value at the
end of the time periods described. The formula used in these calculations is:
P (1 + T)n = ERV
Where:
P = a hypothetical initial payment of $1,000
T = average annual total return
n = number of years
ERV = ending redeemable value at the end of the time periods used (or
fractional portion thereof) of a hypothetical $1,000
payment made at the beginning of the 1, 5 or 10 year
periods used.
The Company may also advertise performance data which will be calculated in the
same manner as described above but which will not reflect the deduction of a
withdrawal charge, or applicable Enhanced Death Benefit, or GMIB rider charge.
Premium taxes are not reflected. The deduction of such charges would reduce any
percentage increase or make greater any percentage decrease.
Owners should note that the investment results of each investment portfolio
will fluctuate over time, and any presentation of the investment portfolio's
total return for any period should not be considered as a representation of
what an investment may earn or what the total return may be in any future
period.
HISTORICAL UNIT VALUES
The Company may also show historical accumulation unit values in certain
advertisements containing illustrations. These illustrations will be based on
actual accumulation unit values.
In addition, the Company may distribute sales literature which compares the
percentage change in accumulation unit values for any of the investment
portfolios against established market indices such as the Standard & Poor's 500
Composite Stock Price Index, the Dow Jones Industrial Average or other
management investment companies which have investment objectives similar to the
investment portfolio being compared. The Standard & Poor's 500 Composite Stock
Price Index is an unmanaged, unweighted average of 500 stocks, the majority of
which are listed on the New York Stock Exchange. The Dow Jones Industrial
Average is an unmanaged, weighted average of thirty blue chip industrial
corporations listed on the New York Stock Exchange. Both the Standard & Poor's
500 Composite Stock Price Index and the Dow Jones Industrial Average assume
quarterly reinvestment of dividends.
REPORTING AGENCIES
The Company may also distribute sales literature which compares the performance
of the accumulation unit values of the Contracts with the unit values of
variable annuities issued by other insurance companies. Such information will
be derived from the Lipper Variable Insurance Products Performance Analysis
Service, the VARDS Report or from Morningstar.
The Lipper Variable Insurance Products Performance Analysis Service is
published by Lipper Analytical Services, Inc., a publisher of statistical data
which currently tracks the performance of thousands of investment companies.
The rankings compiled by Lipper may or may not reflect the deduction of
asset-based insurance charges. The Company's sales literature utilizing these
rankings will indicate whether or not such charges have been deducted. Where
the charges have not been deducted, the sales literature will indicate that if
the charges had been deducted, the ranking might have been lower.
The VARDS Report is a monthly variable annuity industry analysis compiled by
Variable Annuity Research & Data Service. The VARDS rankings may or may not
reflect the deduction of asset-based insurance charges. In addition, VARDS
prepares risk adjusted rankings, which consider the effects of market risk on
total return performance. This type of ranking may address the question as to
which funds provide the highest total return with the least amount of
5
risk. Other ranking services may be used as sources of performance comparison,
such as CDA/Weisenberger.
Morningstar rates a variable annuity against its peers with similar investment
objectives. Morningstar does not rate any variable annuity that has less than
three years of performance data.
ANNUITY PROVISIONS
VARIABLE ANNUITY
A variable annuity is an annuity with payments which: (1) are not predetermined
as to dollar amount; and (2) will vary in amount in proportion to the amount
that the net investment factor exceeds the assumed investment return selected.
The Adjusted Contract Value (the account value, less any applicable premium
taxes, account fee, and any prorated rider charge) will be applied to the
applicable Annuity Table to determine the first annuity payment. The Adjusted
Contract Value is determined on the annuity calculation date, which is a
business day no more than five (5) business days before the annuity date. The
dollar amount of the first variable annuity payment is determined as follows:
The first variable annuity payment will be based upon the annuity option
elected, the annuitant's age, the annuitant's sex (where permitted by law), and
the appropriate variable annuity option table. Your annuity rates will not be
less than those guaranteed in your contract at the time of purchase for the
assumed investment return and annuity option elected. If, as of the annuity
calculation date, the then current variable annuity option rates applicable to
this class of contracts provide a first annuity payment greater than that which
is guaranteed under the same annuity option under this contract, the greater
payment will be made.
The dollar amount of variable annuity payments after the first payment is
determined as follows:
1. the dollar amount of the first variable annuity payment is divided by the
value of an annuity unit for each applicable investment portfolio as of
the annuity calculation date. This establishes the number of annuity units
for each monthly payment. The number of annuity units for each applicable
investment portfolio remains fixed during the annuity period, unless you
transfer values from the investment portfolio to another investment
portfolio;
2. the fixed number of annuity units per payment in each investment portfolio
is multiplied by the annuity unit value for that investment portfolio for
the business day for which the annuity payment is being calculated. This
result is the dollar amount of the payment for each applicable investment
portfolio, less any account fee. The account fee will be deducted pro rata
out of each annuity payment.
The total dollar amount of each variable annuity payment is the sum of all
investment portfolio variable annuity payments.
ANNUITY UNIT - The initial annuity unit value for each investment portfolio of
the Separate Account was set by us.
The subsequent annuity unit value for each investment portfolio is determined
by multiplying the annuity unit value for the immediately preceding business
day by the net investment factor for the investment portfolio for the current
business day and multiplying the result by a factor for each day since the last
business day which represents the daily equivalent of the AIR you elected.
(1) the dollar amount of the first annuity payment is divided by the value of
an annuity unit as of the annuity date. This establishes the number of annuity
units for each monthly payment. The number of annuity units remains fixed
during the annuity payment period.
(2) the fixed number of annuity units is multiplied by the annuity unit value
for the last valuation period of the month preceding the month for which the
payment is due. This result is the dollar amount of the payment.
NET INVESTMENT FACTOR - The net investment factor for each investment portfolio
is determined by dividing A by B and multiplying by (1-C) where:
A is (i) the net asset value per share of the portfolio at the end of the
current business day; plus
(ii) any dividend or capital gains per share declared on behalf of
such portfolio that has an ex-dividend date as of the current
business day.
B is the net asset value per share of the portfolio for the immediately
preceding business day.
C is (i) the separate account product charges and for each day since the last
business day. The daily charge is equal to the annual separate
account product charges divided by 365; plus
6
(ii) a charge factor, if any, for any taxes or any tax reserve we
have established as a result of the operation of the Separate
Account.
Transfers During the Annuity Phase:
o You may not make a transfer from the fixed annuity option to the variable
annuity option;
o Transfers among the subaccounts will be made by converting the number of
annuity units being transferred to the number of annuity units of the
subaccount to which the transfer is made, so that the next annuity payment
if it were made at that time would be the same amount that it would have
been without the transfer. Thereafter, annuity payments will reflect
changes in the value of the new annuity units; and
o You may make a transfer from the variable annuity option to the fixed
annuity option. The amount transferred from a subaccount of the Separate
Account will be equal to the product of "(a)" multiplied by "(b)"
multiplied by "(c)", where (a) is the number of annuity units representing
your interest in the subaccount per annuity payment; (b) is the annuity
unit value for the subaccount; and (c) is the present value of $1.00 per
payment period for the remaining annuity benefit period based on the
attained age of the annuitant at the time of transfer, calculated using
the same actuarial basis as the variable annuity rates applied on the
annuity date for the annuity option elected. Amounts transferred to the
fixed annuity option will be applied under the annuity option elected at
the attained age of the annuitant at the time of the transfer using the
fixed annuity option table. If at the time of transfer, the then current
fixed annuity option rates applicable to this class of contracts provide a
greater payment, the greater payment will be made. All amounts and annuity
unit values will be determined as of the end of the business day on which
the Company receives a notice.
FIXED ANNUITY
A fixed annuity is a series of payments made during the annuity phase which are
guaranteed as to dollar amount by the Company and do not vary with the
investment experience of the Separate Account. The Adjusted Contract Value on
the day immediately preceding the annuity date will be used to determine the
fixed annuity monthly payment. The monthly annuity payment will be based upon
the annuity option elected, the annuitant's age, the annuitant's sex (where
permitted by law), and the appropriate annuity option table. Your annuity rates
will not be less than those guaranteed in your contract at the time of
purchase. If, as of the annuity calculation date, the then current annuity
option rates applicable to this class of contracts provide an annuity payment
greater than that which is guaranteed under the same annuity option under this
contract, the greater payment will be made.
MORTALITY AND EXPENSE GUARANTEE
The Company guarantees that the dollar amount of each annuity payment after the
first annuity payment will not be affected by variations in mortality or
expense experience.
LEGAL OR REGULATORY RESTRICTIONS ON TRANSACTIONS
If mandated under applicable law, the Company may be required to reject a
premium payment. The Company may also be required to block a contract owner's
account and thereby refuse to pay any request for transfers, withdrawals,
surrenders, death benefits or continue making annuity payments until
instructions are received from the appropriate regulator.
TAX STATUS OF THE CONTRACTS
Tax law imposes several requirements that variable annuities must satisfy in
order to receive the tax treatment normally accorded to annuity contracts.
DIVERSIFICATION. In order for your Non-Qualified Contract to be considered an
annuity contract for federal income tax purposes, we must comply with certain
diversification standards with respect to the investments underlying the
contract. We believe that we satisfy and will continue to satisfy these
diversification standards. However, the tax law concerning these rules is
subject to change and to different interpretations. Inadvertent failure to meet
these standards may be correctable. Failure to meet these standards would
result in immediate taxation to contract owners of gains under their contracts.
Consult your tax adviser prior to purchase.
If underlying fund shares are sold directly to tax-qualified retirement plans
that later lose their tax-qualified status or to non-qualified plans, the
separate accounts investing in the underlying fund may fail the diversification
7
requirements of Section 817, which could have adverse tax consequences for
variable contract owners, including losing the benefit of tax deferral.
REQUIRED DISTRIBUTIONS. In order to be treated as an annuity contract for
Federal income tax purposes, Section 72(s) of the Code generally requires any
Non-Qualified Contract to contain certain provisions specifying how your
interest in the contract will be distributed in the event of the death of an
owner of the contract (or on the death of, or change in, any primary annuitant
where the contract is owned by a non-natural person). Specifically, Section
72(s) requires that: (a) if any owner dies on or after the annuity starting
date, but prior to the time the entire interest in the contract has been
distributed, the entire interest in the contract will be distributed at least
as rapidly as under the method of distribution being used as of the date of
such owner's death; and (b) if any owner dies prior to the annuity starting
date, the entire interest in the contract will be distributed within five years
after the date of such owner's death. These requirements will be considered
satisfied as to any portion of an owner's interest which is payable to or for
the benefit of a designated beneficiary and which is distributed over the life
of such designated beneficiary or over a period not extending beyond the life
expectancy of that beneficiary, provided that such distributions begin within
one year of the owner's death. The designated beneficiary refers to a natural
person designated by the owner as a beneficiary and to whom ownership of the
contract passes by reason of death. However, if the designated beneficiary is
the surviving spouse of the deceased owner, the contract may be continued with
the surviving spouse as the new owner.
The Non-Qualified Contracts contain provisions that are intended to comply with
these Code requirements, although no regulations interpreting these
requirements have yet been issued. We intend to review such provisions and
modify them if necessary to assure that they comply with the applicable
requirements when such requirements are clarified by regulation or otherwise.
Other rules may apply to Qualified Contracts.
MANDATORY DISTRIBUTIONS FOR QUALIFIED PLANS. Federal tax law requires that
minimum annual distributions begin by April 1st of the calendar year following
the calendar year in which an IRA owner attains age 70 1/2. Participants in
qualified plans and 403(b) annuities may defer minimum distributions until the
later of April 1st of the calendar year following the calendar year in which
they attain age 70 1/2 or the year of retirement (except for 5% or more
owners). If you own more than one individual retirement annuity and/or account,
you may satisfy the minimum distribution rules on an aggregate basis (i.e.,
determine the total amount of required distributions from all IRAs and take the
required amount from any one or more IRAs). A similar aggregate approach is
available to meet your 403(b) minimum distribution requirements if you have
multiple 403(b) annuities. Recently promulgated Treasury regulations changed
the distribution requirements; therefore, it is important that you consult your
tax adviser as to the impact of these regulations on your personal situation.
Final income tax regulations regarding minimum distribution requirements were
released in June 2004. These regulations affect both deferred and income
annuities. Under these new rules, effective with respect to minimum
distributions required for the 2006 distribution year, in general, the value of
all benefits under a deferred annuity (including death benefits in excess of
cash value) must be added to the account value in computing the amount required
to be distributed over the applicable period. We will provide you with
additional information as to the amount of your interest in the contract that
is subject to required minimum distributions under this new rule and either
compute the required amount for you or offer to do so at your request. The new
rules are not entirely clear and you should consult your tax adviser as to how
these rules affect your contract.
MINIMUM DISTRIBUTIONS FOR BENEFICIARIES UPON THE CONTRACT OWNER'S DEATH. Upon
the death of the contract owner and/or annuitant of a Qualified Contract, the
funds remaining in the contract must be completely withdrawn within 5 years
from the date of death (including in a single lump sum) or minimum
distributions may be taken over the life expectancy of the individual
beneficiaries (and in certain situations, trusts for individuals), provided
such distributions are payable at least annually and begin within one year from
the date of death. Special rules apply in the case of an IRA where the
beneficiary is the surviving spouse which allow the spouse to assume the
contract as owner. Alternative rules permit a spousal beneficiary under a
qualified contract, including an IRA, to defer the required minimum
distribution ("RMD") requirements until the end of the year in which the
deceased spouse would have attained age 70 1/2 or to rollover the death
proceeds to his or her own IRA or to
8
another eligible retirement plan in which he or she participates.
For RMDs after the death of the contract owner, the five-year rule is applied
without regard to calendar year 2009. For instance, for a contract owner who
died in 2007, the five-year period would end in 2013 instead of 2012. The RMD
rules are complex, so consult with your tax adviser because the application of
these rules to your particular circumstances may have been impacted by the 2009
RMD waiver.
9
FINANCIAL STATEMENTS
The financial statements and financial highlights comprising each of the
Sub-Accounts of the Separate Account and the consolidated financial statements
of the Company are included herein.
The financial statements of the Company should be considered only as bearing
upon the ability of the Company to meet its obligations under the contract.
10
REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM
To the Contract Owners of
MetLife Investors USA Separate Account A
and Board of Directors of
MetLife Investors USA Insurance Company
We have audited the accompanying statements of assets and liabilities of
MetLife Investors USA Separate Account A (the "Separate Account") of MetLife
Investors USA Insurance Company (the "Company") comprising each of the
individual Sub-Accounts listed in Note 2 as of December 31, 2010, the related
statements of operations for the respective stated period in the year then
ended, the statements of changes in net assets for the respective stated
periods in the two years then ended, and the financial highlights in Note 8 for
the respective stated periods in the five years then ended. These financial
statements and financial highlights are the responsibility of the Separate
Account's management. Our responsibility is to express an opinion on these
financial statements and financial highlights based on our audits.
We conducted our audits in accordance with the standards of the Public Company
Accounting Oversight Board (United States). Those standards require that we
plan and perform the audit to obtain reasonable assurance about whether the
financial statements and financial highlights are free of material
misstatement. The Separate Account is not required to have, nor were we engaged
to perform, an audit of its internal control over financial reporting. Our
audits included consideration of internal control over financial reporting as a
basis for designing audit procedures that are appropriate in the circumstances,
but not for the purpose of expressing an opinion on the effectiveness of the
Separate Account's internal control over financial reporting. Accordingly, we
express no such opinion. An audit also includes examining, on a test basis,
evidence supporting the amounts and disclosures in the financial statements,
assessing the accounting principles used and significant estimates made by
management, as well as evaluating the overall financial statement presentation.
Our procedures included confirmation of investments owned as of December 31,
2010, by correspondence with the custodian or mutual fund companies. We believe
that our audits provide a reasonable basis for our opinion.
In our opinion, the financial statements and financial highlights referred to
above present fairly, in all material respects, the financial position of each
of the Sub-Accounts constituting the Separate Account of the Company as of
December 31, 2010, the results of their operations for the respective stated
period in the year then ended, the changes in their net assets for the
respective stated periods in the two years then ended, and the financial
highlights for the respective stated periods in the five years then ended, in
conformity with accounting principles generally accepted in the United States
of America.
/s/ DELOITTE & TOUCHE LLP
Certified Public Accountants
Tampa, Florida
March 31, 2011
This page is intentionally left blank.
METLIFE INVESTORS USA SEPARATE ACCOUNT A
OF METLIFE INVESTORS USA INSURANCE COMPANY
STATEMENTS OF ASSETS AND LIABILITIES
DECEMBER 31, 2010
MIST LORD ABBETT MIST LORD ABBETT MIST MORGAN STANLEY MIST LORD ABBETT
GROWTH AND INCOME BOND DEBENTURE MID CAP GROWTH MID CAP VALUE
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
----------------- ---------------- ------------------- ----------------
ASSETS:
Investments at fair value $ 558,423,625 $ 267,920,774 $ 89,015,754 $ 108,323,433
Accrued dividends -- -- -- --
Due from MetLife Investors
USA Insurance Company 22 2 -- --
----------------- ---------------- ------------------- ----------------
Total Assets 558,423,647 267,920,776 89,015,754 108,323,433
----------------- ---------------- ------------------- ----------------
LIABILITIES:
Accrued fees 41 81 82 53
Due to MetLife Investors
USA Insurance Company -- -- -- 1
----------------- ---------------- ------------------- ----------------
Total Liabilities 41 81 82 54
----------------- ---------------- ------------------- ----------------
NET ASSETS $ 558,423,606 $ 267,920,695 $ 89,015,672 $ 108,323,379
================= ================ =================== ================
CONTRACT OWNERS' EQUITY
Net assets from accumulation units $ 558,188,238 $ 267,641,542 $ 89,015,672 $ 108,323,379
Net assets from contracts in payout 235,368 279,153 -- --
----------------- ---------------- ------------------- ----------------
Total Net Assets $ 558,423,606 $ 267,920,695 $ 89,015,672 $ 108,323,379
================= ================ =================== ================
The accompanying notes are an integral part of these financial statements.
1
METLIFE INVESTORS USA SEPARATE ACCOUNT A
OF METLIFE INVESTORS USA INSURANCE COMPANY
STATEMENTS OF ASSETS AND LIABILITIES -- (CONTINUED)
DECEMBER 31, 2010
MIST HARRIS
MIST LAZARD MIST INVESCO SMALL OAKMARK MIST THIRD AVENUE
MID CAP CAP GROWTH INTERNATIONAL SMALL CAP VALUE
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
------------- ------------------ ------------- -----------------
ASSETS:
Investments at fair value $ 135,205,459 $ 186,610,643 $ 459,739,266 $ 327,520,528
Accrued dividends -- -- -- --
Due from MetLife Investors
USA Insurance Company 4 7 4 --
------------- ------------------ ------------- -----------------
Total Assets 135,205,463 186,610,650 459,739,270 327,520,528
------------- ------------------ ------------- -----------------
LIABILITIES:
Accrued fees 57 92 73 51
Due to MetLife Investors
USA Insurance Company -- -- -- --
------------- ------------------ ------------- -----------------
Total Liabilities 57 92 73 51
------------- ------------------ ------------- -----------------
NET ASSETS $ 135,205,406 $ 186,610,558 $ 459,739,197 $ 327,520,477
============= ================== ============= =================
CONTRACT OWNERS' EQUITY
Net assets from accumulation units $ 135,158,899 $ 186,555,625 $ 459,595,735 $ 327,379,475
Net assets from contracts in payout 46,507 54,933 143,462 141,002
------------- ------------------ ------------- -----------------
Total Net Assets $ 135,205,406 $ 186,610,558 $ 459,739,197 $ 327,520,477
============= ================== ============= =================
The accompanying notes are an integral part of these financial statements.
2
MIST LEGG MASON MIST PIMCO
MIST OPPENHEIMER CLEARBRIDGE MIST PIMCO MIST RCM INFLATION MIST T. ROWE PRICE
CAPITAL APPRECIATION AGGRESSIVE GROWTH TOTAL RETURN TECHNOLOGY PROTECTED BOND MID CAP GROWTH
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
-------------------- ----------------- --------------- ------------- -------------- ------------------
$ 196,389,807 $ 102,505,804 $ 1,761,602,512 $ 109,729,058 $ 711,162,968 $ 414,850,160
-- -- -- -- -- --
-- -- -- -- -- 1
-------------------- ----------------- --------------- ------------- -------------- ------------------
196,389,807 102,505,804 1,761,602,512 109,729,058 711,162,968 414,850,161
-------------------- ----------------- --------------- ------------- -------------- ------------------
52 44 45 35 93 30
-- 2 3 7 1 --
-------------------- ----------------- --------------- ------------- -------------- ------------------
52 46 48 42 94 30
-------------------- ----------------- --------------- ------------- -------------- ------------------
$ 196,389,755 $ 102,505,758 $ 1,761,602,464 $ 109,729,016 $ 711,162,874 $ 414,850,131
==================== ================= =============== ============= ============== ==================
$ 196,159,382 $ 102,487,184 $ 1,761,297,602 $ 109,724,913 $ 710,980,958 $ 414,814,615
230,373 18,574 304,862 4,103 181,916 35,516
-------------------- ----------------- --------------- ------------- -------------- ------------------
$ 196,389,755 $ 102,505,758 $ 1,761,602,464 $ 109,729,016 $ 711,162,874 $ 414,850,131
==================== ================= =============== ============= ============== ==================
The accompanying notes are an integral part of these financial statements.
3
METLIFE INVESTORS USA SEPARATE ACCOUNT A
OF METLIFE INVESTORS USA INSURANCE COMPANY
STATEMENTS OF ASSETS AND LIABILITIES -- (CONTINUED)
DECEMBER 31, 2010
MIST MFS RESEARCH MIST CLARION MIST TURNER MIST GOLDMAN SACHS
INTERNATIONAL GLOBAL REAL ESTATE MID CAP GROWTH MID CAP VALUE
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
----------------- ------------------ -------------- ------------------
ASSETS:
Investments at fair value $ 318,521,682 $ 139,330,818 $ 83,688,790 $ 112,015,715
Accrued dividends -- -- -- --
Due from MetLife Investors
USA Insurance Company 6 4 4 3
----------------- ------------------ -------------- ------------------
Total Assets 318,521,688 139,330,822 83,688,794 112,015,718
----------------- ------------------ -------------- ------------------
LIABILITIES:
Accrued fees 62 68 53 54
Due to MetLife Investors
USA Insurance Company -- -- -- --
----------------- ------------------ -------------- ------------------
Total Liabilities 62 68 53 54
----------------- ------------------ -------------- ------------------
NET ASSETS $ 318,521,626 $ 139,330,754 $ 83,688,741 $ 112,015,664
================= ================== ============== ==================
CONTRACT OWNERS' EQUITY
Net assets from accumulation units $ 318,426,193 $ 139,303,034 $ 83,671,348 $ 111,981,964
Net assets from contracts in payout 95,433 27,720 17,393 33,700
----------------- ------------------ -------------- ------------------
Total Net Assets $ 318,521,626 $ 139,330,754 $ 83,688,741 $ 112,015,664
================= ================== ============== ==================
The accompanying notes are an integral part of these financial statements.
4
MIST METLIFE MIST METLIFE MIST METLIFE MIST METLIFE MIST METLIFE MIST VAN KAMPEN
DEFENSIVE STRATEGY MODERATE STRATEGY BALANCED STRATEGY GROWTH STRATEGY AGGRESSIVE STRATEGY COMSTOCK
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
------------------ ----------------- ----------------- --------------- ------------------- ---------------
$ 2,003,850,540 $ 3,094,289,696 $ 6,437,293,469 $ 5,512,372,237 $ 522,967,859 $ 230,561,399
-- -- -- -- -- --
3 2 5 7 4 1
------------------ ----------------- ----------------- --------------- ------------------- ---------------
2,003,850,543 3,094,289,698 6,437,293,474 5,512,372,244 522,967,863 230,561,400
------------------ ----------------- ----------------- --------------- ------------------- ---------------
44 39 35 38 26 82
-- -- -- -- -- --
------------------ ----------------- ----------------- --------------- ------------------- ---------------
44 39 35 38 26 82
------------------ ----------------- ----------------- --------------- ------------------- ---------------
$ 2,003,850,499 $ 3,094,289,659 $ 6,437,293,439 $ 5,512,372,206 $ 522,967,837 $ 230,561,318
================== ================= ================= =============== =================== ===============
$ 2,003,568,498 $ 3,094,010,082 $ 6,435,936,935 $ 5,512,255,935 $ 522,897,689 $ 230,536,939
282,001 279,577 1,356,504 116,271 70,148 24,379
------------------ ----------------- ----------------- --------------- ------------------- ---------------
$ 2,003,850,499 $ 3,094,289,659 $ 6,437,293,439 $ 5,512,372,206 $ 522,967,837 $ 230,561,318
================== ================= ================= =============== =================== ===============
The accompanying notes are an integral part of these financial statements.
5
METLIFE INVESTORS USA SEPARATE ACCOUNT A
OF METLIFE INVESTORS USA INSURANCE COMPANY
STATEMENTS OF ASSETS AND LIABILITIES -- (CONTINUED)
DECEMBER 31, 2010
MIST LEGG MASON MIST MFS EMERGING MIST LOOMIS SAYLES
VALUE EQUITY MARKETS EQUITY GLOBAL MARKETS MIST JANUS FORTY
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
--------------- ----------------- ------------------ ----------------
ASSETS:
Investments at fair value $ 98,632,601 $ 365,169,280 $ 137,171,881 $ 53,356,815
Accrued dividends -- -- -- --
Due from MetLife Investors
USA Insurance Company -- -- 2 2
--------------- ----------------- ------------------ ----------------
Total Assets 98,632,601 365,169,280 137,171,883 53,356,817
--------------- ----------------- ------------------ ----------------
LIABILITIES:
Accrued fees 62 24 38 131
Due to MetLife Investors
USA Insurance Company -- 1 -- --
--------------- ----------------- ------------------ ----------------
Total Liabilities 62 25 38 131
--------------- ----------------- ------------------ ----------------
NET ASSETS $ 98,632,539 $ 365,169,255 $ 137,171,845 $ 53,356,686
=============== ================= ================== ================
CONTRACT OWNERS' EQUITY
Net assets from accumulation units $ 98,632,539 $ 365,169,255 $ 137,171,845 $ 53,356,686
Net assets from contracts in payout -- -- -- --
--------------- ----------------- ------------------ ----------------
Total Net Assets $ 98,632,539 $ 365,169,255 $ 137,171,845 $ 53,356,686
=============== ================= ================== ================
The accompanying notes are an integral part of these financial statements.
6
MIST DREMAN MIST PIONEER MIST BLACKROCK MIST BLACKROCK MIST RAINIER
SMALL CAP VALUE MIST PIONEER FUND STRATEGIC INCOME LARGE CAP CORE HIGH YIELD LARGE CAP EQUITY
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
--------------- ----------------- ---------------- -------------- -------------- ----------------
$ 24,427,109 $ 112,914,817 $ 419,601,978 $ 9,613,686 $ 182,367,378 $ 45,894,129
-- -- -- -- -- --
-- -- -- -- -- --
--------------- ----------------- ---------------- -------------- -------------- ----------------
24,427,109 112,914,817 419,601,978 9,613,686 182,367,378 45,894,129
--------------- ----------------- ---------------- -------------- -------------- ----------------
130 148 111 94 68 35
5 3 -- 4 7 3
--------------- ----------------- ---------------- -------------- -------------- ----------------
135 151 111 98 75 38
--------------- ----------------- ---------------- -------------- -------------- ----------------
$ 24,426,974 $ 112,914,666 $ 419,601,867 $ 9,613,588 $ 182,367,303 $ 45,894,091
=============== ================= ================ ============== ============== ================
$ 24,426,974 $ 112,914,666 $ 419,601,867 $ 9,613,588 $ 182,360,822 $ 45,894,091
-- -- -- -- 6,481 --
--------------- ----------------- ---------------- -------------- -------------- ----------------
$ 24,426,974 $ 112,914,666 $ 419,601,867 $ 9,613,588 $ 182,367,303 $ 45,894,091
=============== ================= ================ ============== ============== ================
The accompanying notes are an integral part of these financial statements.
7
METLIFE INVESTORS USA SEPARATE ACCOUNT A
OF METLIFE INVESTORS USA INSURANCE COMPANY
STATEMENTS OF ASSETS AND LIABILITIES -- (CONTINUED)
DECEMBER 31, 2010
MIST AMERICAN MIST AMERICAN
FUNDS BALANCED MIST AMERICAN MIST AMERICAN FUNDS GROWTH
ALLOCATION FUNDS BOND FUNDS GROWTH ALLOCATION
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
--------------- ------------- ------------- ---------------
ASSETS:
Investments at fair value $ 2,478,289,326 $ 274,791,820 $ 480,253,574 $ 1,454,861,055
Accrued dividends -- -- -- --
Due from MetLife Investors
USA Insurance Company -- -- -- --
--------------- ------------- ------------- ---------------
Total Assets 2,478,289,326 274,791,820 480,253,574 1,454,861,055
--------------- ------------- ------------- ---------------
LIABILITIES:
Accrued fees 2 27 46 37
Due to MetLife Investors
USA Insurance Company -- 1 3 2
--------------- ------------- ------------- ---------------
Total Liabilities 2 28 49 39
--------------- ------------- ------------- ---------------
NET ASSETS $ 2,478,289,324 $ 274,791,792 $ 480,253,525 $ 1,454,861,016
=============== ============= ============= ===============
CONTRACT OWNERS' EQUITY
Net assets from accumulation units $ 2,478,289,324 $ 274,791,792 $ 480,253,525 $ 1,454,791,925
Net assets from contracts in payout -- -- -- 69,091
--------------- ------------- ------------- ---------------
Total Net Assets $ 2,478,289,324 $ 274,791,792 $ 480,253,525 $ 1,454,861,016
=============== ============= ============= ===============
The accompanying notes are an integral part of these financial statements.
8
MIST AMERICAN MIST MET/FRANKLIN
MIST AMERICAN FUNDS MODERATE MIST MET/FRANKLIN TEMPLETON FOUNDING MIST SSGA MIST SSGA GROWTH
FUNDS INTERNATIONAL ALLOCATION MUTUAL SHARES STRATEGY GROWTH ETF AND INCOME ETF
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
------------------- --------------- ----------------- ------------------ ------------- ----------------
$ 301,922,176 $ 1,452,175,029 $ 121,115,890 $ 571,218,195 $ 325,453,383 $ 995,772,765
-- -- -- -- -- --
-- -- -- -- -- --
------------------- --------------- ----------------- ------------------ ------------- ----------------
301,922,176 1,452,175,029 121,115,890 571,218,195 325,453,383 995,772,765
------------------- --------------- ----------------- ------------------ ------------- ----------------
23 26 53 45 35 13
4 -- 2 3 2 --
------------------- --------------- ----------------- ------------------ ------------- ----------------
27 26 55 48 37 13
------------------- --------------- ----------------- ------------------ ------------- ----------------
$ 301,922,149 $ 1,452,175,003 $ 121,115,835 $ 571,218,147 $ 325,453,346 $ 995,772,752
=================== =============== ================= ================== ============= ================
$ 301,922,149 $ 1,452,125,720 $ 121,115,835 $ 571,201,870 $ 325,453,346 $ 995,772,752
-- 49,283 -- 16,277 -- --
------------------- --------------- ----------------- ------------------ ------------- ----------------
$ 301,922,149 $ 1,452,175,003 $ 121,115,835 $ 571,218,147 $ 325,453,346 $ 995,772,752
=================== =============== ================= ================== ============= ================
The accompanying notes are an integral part of these financial statements.
9
METLIFE INVESTORS USA SEPARATE ACCOUNT A
OF METLIFE INVESTORS USA INSURANCE COMPANY
STATEMENTS OF ASSETS AND LIABILITIES -- (CONTINUED)
DECEMBER 31, 2010
MIST
MIST MET/TEMPLETON MIST MET/TEMPLETON MET/EATON VANCE INVESCO V.I.
INTERNATIONAL BOND GROWTH FLOATING RATE CORE EQUITY
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
------------------ ------------------ --------------- ------------
ASSETS:
Investments at fair value $ 36,302,482 $ 7,380,502 $ 16,334,410 $ 393,935
Accrued dividends -- -- -- --
Due from MetLife Investors
USA Insurance Company -- -- -- --
------------------ ------------------ --------------- ------------
Total Assets 36,302,482 7,380,502 16,334,410 393,935
------------------ ------------------ --------------- ------------
LIABILITIES:
Accrued fees 55 92 91 --
Due to MetLife Investors
USA Insurance Company 2 5 4 2
------------------ ------------------ --------------- ------------
Total Liabilities 57 97 95 2
------------------ ------------------ --------------- ------------
NET ASSETS $ 36,302,425 $ 7,380,405 $ 16,334,315 $ 393,933
================== ================== =============== ============
CONTRACT OWNERS' EQUITY
Net assets from accumulation units $ 36,302,425 $ 7,380,405 $ 16,334,315 $ 393,933
Net assets from contracts in payout -- -- -- --
------------------ ------------------ --------------- ------------
Total Net Assets $ 36,302,425 $ 7,380,405 $ 16,334,315 $ 393,933
================== ================== =============== ============
The accompanying notes are an integral part of these financial statements.
10
INVESCO V.I. CAPITAL INVESCO V.I. INVESCO V.I. BASIC INVESCO V.I. GLOBAL INVESCO V.I. INVESCO V.I.
APPRECIATION INTERNATIONAL GROWTH BALANCED REAL ESTATE CAPITAL GROWTH GROWTH AND INCOME
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
-------------------- -------------------- ------------------ ------------------- -------------- -----------------
$ 142,669 $ 111,888,074 $ 256,612 $ 9,028,155 $ 130,770 $ 160,437,290
-- -- -- -- -- --
-- -- -- -- -- --
-------------------- -------------------- ------------------ ------------------- -------------- -----------------
142,669 111,888,074 256,612 9,028,155 130,770 160,437,290
-------------------- -------------------- ------------------ ------------------- -------------- -----------------
-- 1 -- 18 5 7
4 8 4 3 1 5
-------------------- -------------------- ------------------ ------------------- -------------- -----------------
4 9 4 21 6 12
-------------------- -------------------- ------------------ ------------------- -------------- -----------------
$ 142,665 $ 111,888,065 $ 256,608 $ 9,028,134 $ 130,764 $ 160,437,278
==================== ==================== ================== =================== ============== =================
$ 142,665 $ 111,888,065 $ 256,608 $ 9,028,134 $ 130,764 $ 160,437,278
-- -- -- -- -- --
-------------------- -------------------- ------------------ ------------------- -------------- -----------------
$ 142,665 $ 111,888,065 $ 256,608 $ 9,028,134 $ 130,764 $ 160,437,278
==================== ==================== ================== =================== ============== =================
The accompanying notes are an integral part of these financial statements.
11
METLIFE INVESTORS USA SEPARATE ACCOUNT A
OF METLIFE INVESTORS USA INSURANCE COMPANY
STATEMENTS OF ASSETS AND LIABILITIES -- (CONTINUED)
DECEMBER 31, 2010
INVESCO V.I. INVESCO V.I. MFS VIT MFS VIT
EQUITY AND INCOME U.S. MID CAP VALUE RESEARCH INVESTORS TRUST
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
----------------- ------------------ ----------- ---------------
ASSETS:
Investments at fair value $ 345,124,827 $ 28,139,059 $ 112,397 $ 43,412
Accrued dividends -- -- -- --
Due from MetLife Investors
USA Insurance Company -- -- -- --
----------------- ------------------ ----------- ---------------
Total Assets 345,124,827 28,139,059 112,397 43,412
----------------- ------------------ ----------- ---------------
LIABILITIES:
Accrued fees -- 12 4 5
Due to MetLife Investors
USA Insurance Company 19 3 5 3
----------------- ------------------ ----------- ---------------
Total Liabilities 19 15 9 8
----------------- ------------------ ----------- ---------------
NET ASSETS $ 345,124,808 $ 28,139,044 $ 112,388 $ 43,404
================= ================== =========== ===============
CONTRACT OWNERS' EQUITY
Net assets from accumulation units $ 345,124,808 $ 28,139,044 $ 112,388 $ 43,404
Net assets from contracts in payout -- -- -- --
----------------- ------------------ ----------- ---------------
Total Net Assets $ 345,124,808 $ 28,139,044 $ 112,388 $ 43,404
================= ================== =========== ===============
The accompanying notes are an integral part of these financial statements.
12
OPPENHEIMER VA OPPENHEIMER VA
MFS VIT OPPENHEIMER VA OPPENHEIMER VA GLOBAL STRATEGIC MAIN STREET OPPENHEIMER VA
NEW DISCOVERY MAIN STREET CORE BOND INCOME SMALL CAP MONEY
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
------------- -------------- -------------- ---------------- -------------- --------------
$ 46,875 $ 119,258 $ 9,895 $ 4,107 $ 70,331,798 $ 116,314
-- -- -- -- -- --
-- -- -- -- -- --
------------- -------------- -------------- ---------------- -------------- --------------
46,875 119,258 9,895 4,107 70,331,798 116,314
------------- -------------- -------------- ---------------- -------------- --------------
7 5 7 4 10 4
3 4 3 6 11 --
------------- -------------- -------------- ---------------- -------------- --------------
10 9 10 10 21 4
------------- -------------- -------------- ---------------- -------------- --------------
$ 46,865 $ 119,249 $ 9,885 $ 4,097 $ 70,331,777 $ 116,310
============= ============== ============== ================ ============== ==============
$ 46,865 $ 119,249 $ 9,885 $ 4,097 $ 70,331,777 $ 116,310
-- -- -- -- -- --
------------- -------------- -------------- ---------------- -------------- --------------
$ 46,865 $ 119,249 $ 9,885 $ 4,097 $ 70,331,777 $ 116,310
============= ============== ============== ================ ============== ==============
The accompanying notes are an integral part of these financial statements.
13
METLIFE INVESTORS USA SEPARATE ACCOUNT A
OF METLIFE INVESTORS USA INSURANCE COMPANY
STATEMENTS OF ASSETS AND LIABILITIES -- (CONTINUED)
DECEMBER 31, 2010
FIDELITY VIP FIDELITY VIP FIDELITY VIP FIDELITY VIP
ASSET MANAGER GROWTH CONTRAFUND OVERSEAS
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
------------- ------------- ------------- ------------
ASSETS:
Investments at fair value $ 101,784,904 $ 147,385,507 $ 379,741,654 $ 6,266,281
Accrued dividends -- -- -- --
Due from MetLife Investors
USA Insurance Company -- 5 -- --
------------- ------------- ------------- ------------
Total Assets 101,784,904 147,385,512 379,741,654 6,266,281
------------- ------------- ------------- ------------
LIABILITIES:
Accrued fees 10 8 58 --
Due to MetLife Investors
USA Insurance Company 5 -- -- 5
------------- ------------- ------------- ------------
Total Liabilities 15 8 58 5
------------- ------------- ------------- ------------
NET ASSETS $ 101,784,889 $ 147,385,504 $ 379,741,596 $ 6,266,276
============= ============= ============= ============
CONTRACT OWNERS' EQUITY
Net assets from accumulation units $ 101,784,889 $ 147,385,504 $ 379,741,596 $ 6,266,276
Net assets from contracts in payout -- -- -- --
------------- ------------- ------------- ------------
Total Net Assets $ 101,784,889 $ 147,385,504 $ 379,741,596 $ 6,266,276
============= ============= ============= ============
The accompanying notes are an integral part of these financial statements.
14
FIDELITY VIP FIDELITY VIP FIDELITY VIP FIDELITY VIP FIDELITY VIP DWS
EQUITY-INCOME INDEX 500 MONEY MARKET MID CAP FUNDSMANAGER 60% INTERNATIONAL
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
------------- ------------ ------------ ------------- ---------------- -------------
$ 6,350,751 $ 68,501,218 $ 67,343,848 $ 187,246,536 $ 1,176,598,694 $ 20,962,771
-- -- -- -- -- --
-- -- -- 9 -- --
------------- ------------ ------------ ------------- ---------------- -------------
6,350,751 68,501,218 67,343,848 187,246,545 1,176,598,694 20,962,771
------------- ------------ ------------ ------------- ---------------- -------------
-- 12 2 8 -- --
-- 4 13 -- 7 8
------------- ------------ ------------ ------------- ---------------- -------------
-- 16 15 8 7 8
------------- ------------ ------------ ------------- ---------------- -------------
$ 6,350,751 $ 68,501,202 $ 67,343,833 $ 187,246,537 $ 1,176,598,687 $ 20,962,763
============= ============ ============ ============= ================ =============
$ 6,350,751 $ 68,501,202 $ 67,343,833 $ 187,246,537 $ 1,176,598,687 $ 20,962,763
-- -- -- -- -- --
------------- ------------ ------------ ------------- ---------------- -------------
$ 6,350,751 $ 68,501,202 $ 67,343,833 $ 187,246,537 $ 1,176,598,687 $ 20,962,763
============= ============ ============ ============= ================ =============
The accompanying notes are an integral part of these financial statements.
15
METLIFE INVESTORS USA SEPARATE ACCOUNT A
OF METLIFE INVESTORS USA INSURANCE COMPANY
STATEMENTS OF ASSETS AND LIABILITIES -- (CONTINUED)
DECEMBER 31, 2010
MSF FI MSF RUSSELL MSF ARTIO MSF METLIFE
VALUE LEADERS 2000 INDEX INTERNATIONAL STOCK STOCK INDEX
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
------------- ------------ ------------------- -------------
ASSETS:
Investments at fair value $ 5,267,618 $ 46,792,859 $ 3,979,725 $ 343,187,104
Accrued dividends -- -- -- --
Due from MetLife Investors
USA Insurance Company 9 -- -- 15
------------- ------------ ------------------- -------------
Total Assets 5,267,627 46,792,859 3,979,725 343,187,119
------------- ------------ ------------------- -------------
LIABILITIES:
Accrued fees 97 90 19 43
Due to MetLife Investors
USA Insurance Company -- 6 5 --
------------- ------------ ------------------- -------------
Total Liabilities 97 96 24 43
------------- ------------ ------------------- -------------
NET ASSETS $ 5,267,530 $ 46,792,763 $ 3,979,701 $ 343,187,076
============= ============ =================== =============
CONTRACT OWNERS' EQUITY
Net assets from accumulation units $ 5,267,530 $ 46,792,763 $ 3,979,701 $ 343,072,630
Net assets from contracts in payout -- -- -- 114,446
------------- ------------ ------------------- -------------
Total Net Assets $ 5,267,530 $ 46,792,763 $ 3,979,701 $ 343,187,076
============= ============ =================== =============
The accompanying notes are an integral part of these financial statements.
16
MSF BLACKROCK MSF BARCLAYS
LEGACY LARGE CAP MSF NEUBERGER MSF BLACKROCK MSF BLACKROCK CAPITAL AGGREGATE
GROWTH BERMAN GENESIS BOND INCOME LARGE CAP VALUE BOND INDEX MSF MFS VALUE
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
---------------- -------------- ------------- --------------- ----------------- -------------
$ 9,563,318 $ 9,730,062 $ 47,336,223 $ 2,872,598 $ 86,675,015 $ 45,430,410
-- -- -- -- -- --
-- -- -- -- -- --
---------------- -------------- ------------- --------------- ----------------- -------------
9,563,318 9,730,062 47,336,223 2,872,598 86,675,015 45,430,410
---------------- -------------- ------------- --------------- ----------------- -------------
160 8 76 10 44 121
3 5 2 3 7 8
---------------- -------------- ------------- --------------- ----------------- -------------
163 13 78 13 51 129
---------------- -------------- ------------- --------------- ----------------- -------------
$ 9,563,155 $ 9,730,049 $ 47,336,145 $ 2,872,585 $ 86,674,964 $ 45,430,281
================ ============== ============= =============== ================= =============
$ 9,563,155 $ 9,730,049 $ 47,330,231 $ 2,872,585 $ 86,674,964 $ 45,430,281
-- -- 5,914 -- -- --
---------------- -------------- ------------- --------------- ----------------- -------------
$ 9,563,155 $ 9,730,049 $ 47,336,145 $ 2,872,585 $ 86,674,964 $ 45,430,281
================ ============== ============= =============== ================= =============
The accompanying notes are an integral part of these financial statements.
17
METLIFE INVESTORS USA SEPARATE ACCOUNT A
OF METLIFE INVESTORS USA INSURANCE COMPANY
STATEMENTS OF ASSETS AND LIABILITIES -- (CONTINUED)
DECEMBER 31, 2010
MSF MORGAN STANLEY MSF MFS MSF METLIFE MSF DAVIS
EAFE INDEX TOTAL RETURN MID CAP STOCK INDEX VENTURE VALUE
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
------------------ ------------ ------------------- -------------
ASSETS:
Investments at fair value $ 58,834,738 $ 40,676,843 $ 59,472,998 $ 606,785,233
Accrued dividends -- -- -- --
Due from MetLife Investors
USA Insurance Company -- 13 -- 18
------------------ ------------ ------------------- -------------
Total Assets 58,834,738 40,676,856 59,472,998 606,785,251
------------------ ------------ ------------------- -------------
LIABILITIES:
Accrued fees 45 147 57 51
Due to MetLife Investors
USA Insurance Company 4 -- 6 --
------------------ ------------ ------------------- -------------
Total Liabilities 49 147 63 51
------------------ ------------ ------------------- -------------
NET ASSETS $ 58,834,689 $ 40,676,709 $ 59,472,935 $ 606,785,200
================== ============ =================== =============
CONTRACT OWNERS' EQUITY
Net assets from accumulation units $ 58,834,689 $ 40,676,709 $ 59,472,935 $ 606,499,383
Net assets from contracts in payout -- -- -- 285,817
------------------ ------------ ------------------- -------------
Total Net Assets $ 58,834,689 $ 40,676,709 $ 59,472,935 $ 606,785,200
================== ============ =================== =============
The accompanying notes are an integral part of these financial statements.
18
MSF WESTERN ASSET
MSF MET/ARTISAN MSF JENNISON MSF BLACKROCK MSF T. ROWE PRICE MANAGEMENT MSF OPPENHEIMER
MID CAP VALUE GROWTH MONEY MARKET SMALL CAP GROWTH U.S. GOVERNMENT GLOBAL EQUITY
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
--------------- ------------- ------------- ----------------- ----------------- ---------------
$ 213,857,247 $ 243,817,724 $ 553,885,965 $ 8,285,684 $ 214,907,988 $ 11,272,181
-- -- 9 -- -- --
2 -- 29 -- 3 --
--------------- ------------- ------------- ----------------- ----------------- ---------------
213,857,249 243,817,724 553,886,003 8,285,684 214,907,991 11,272,181
--------------- ------------- ------------- ----------------- ----------------- ---------------
43 67 198 28 73 60
-- -- -- 8 -- 2
--------------- ------------- ------------- ----------------- ----------------- ---------------
43 67 198 36 73 62
--------------- ------------- ------------- ----------------- ----------------- ---------------
$ 213,857,206 $ 243,817,657 $ 553,885,805 $ 8,285,648 $ 214,907,918 $ 11,272,119
=============== ============= ============= ================= ================= ===============
$ 213,729,557 $ 243,732,983 $ 553,773,459 $ 8,285,648 $ 214,883,750 $ 11,272,119
127,649 84,674 112,346 -- 24,168 --
--------------- ------------- ------------- ----------------- ----------------- ---------------
$ 213,857,206 $ 243,817,657 $ 553,885,805 $ 8,285,648 $ 214,907,918 $ 11,272,119
=============== ============= ============= ================= ================= ===============
The accompanying notes are an integral part of these financial statements.
19
METLIFE INVESTORS USA SEPARATE ACCOUNT A
OF METLIFE INVESTORS USA INSURANCE COMPANY
STATEMENTS OF ASSETS AND LIABILITIES -- (CONTINUED)
DECEMBER 31, 2010
MSF METLIFE MSF METLIFE
MSF METLIFE CONSERVATIVE CONSERVATIVE TO MSF METLIFE
AGGRESSIVE ALLOCATION ALLOCATION MODERATE ALLOCATION MODERATE ALLOCATION
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
--------------------- ------------ ------------------- -------------------
ASSETS:
Investments at fair value $ 1,960,693 $ 9,998,215 $ 9,257,869 $ 48,715,886
Accrued dividends -- -- -- --
Due from MetLife Investors
USA Insurance Company -- -- 2 --
--------------------- ------------ ------------------- -------------------
Total Assets 1,960,693 9,998,215 9,257,871 48,715,886
--------------------- ------------ ------------------- -------------------
LIABILITIES:
Accrued fees 43 23 15 23
Due to MetLife Investors
USA Insurance Company 2 1 -- 2
--------------------- ------------ ------------------- -------------------
Total Liabilities 45 24 15 25
--------------------- ------------ ------------------- -------------------
NET ASSETS $ 1,960,648 $ 9,998,191 $ 9,257,856 $ 48,715,861
===================== ============ =================== ===================
CONTRACT OWNERS' EQUITY
Net assets from accumulation units $ 1,960,648 $ 9,998,191 $ 9,257,856 $ 48,715,861
Net assets from contracts in payout -- -- -- --
--------------------- ------------ ------------------- -------------------
Total Net Assets $ 1,960,648 $ 9,998,191 $ 9,257,856 $ 48,715,861
===================== ============ =================== ===================
The accompanying notes are an integral part of these financial statements.
20
MSF METLIFE MSF NEUBERGER MSF MET/DIMENSIONAL MSF VAN ECK
MODERATE TO MSF T. ROWE PRICE MSF LOOMIS SAYLES BERMAN INTERNATIONAL SMALL GLOBAL NATURAL
AGGRESSIVE ALLOCATION LARGE CAP GROWTH SMALL CAP CORE MID CAP VALUE COMPANY RESOURCES
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
--------------------- ----------------- ----------------- ------------- ------------------- --------------
$ 57,766,999 $ 1,365,651 $ 7,224,138 $ 1,984,720 $ 35,750,292 $ 74,371,777
-- -- -- -- -- --
-- -- 17 -- -- --
--------------------- ----------------- ----------------- ------------- ------------------- --------------
57,766,999 1,365,651 7,224,155 1,984,720 35,750,292 74,371,777
--------------------- ----------------- ----------------- ------------- ------------------- --------------
22 1 80 80 54 53
1 3 -- 4 2 1
--------------------- ----------------- ----------------- ------------- ------------------- --------------
23 4 80 84 56 54
--------------------- ----------------- ----------------- ------------- ------------------- --------------
$ 57,766,976 $ 1,365,647 $ 7,224,075 $ 1,984,636 $ 35,750,236 $ 74,371,723
===================== ================= ================= ============= =================== ==============
$ 57,766,976 $ 1,365,647 $ 7,224,075 $ 1,984,636 $ 35,750,236 $ 74,371,723
-- -- -- -- -- --
--------------------- ----------------- ----------------- ------------- ------------------- --------------
$ 57,766,976 $ 1,365,647 $ 7,224,075 $ 1,984,636 $ 35,750,236 $ 74,371,723
===================== ================= ================= ============= =================== ==============
The accompanying notes are an integral part of these financial statements.
21
METLIFE INVESTORS USA SEPARATE ACCOUNT A
OF METLIFE INVESTORS USA INSURANCE COMPANY
STATEMENTS OF ASSETS AND LIABILITIES -- (CONTINUED)
DECEMBER 31, 2010
FEDERATED FEDERATED HIGH
CAPITAL INCOME INCOME BOND FEDERATED KAUFMAN NEUBERGER GENESIS
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
-------------- -------------- ----------------- -----------------
ASSETS:
Investments at fair value $ 13,868 $ 29,629 $ 79,875 $ 8,664
Accrued dividends -- -- -- --
Due from MetLife Investors
USA Insurance Company -- -- -- --
-------------- -------------- ----------------- -----------------
Total Assets 13,868 29,629 79,875 8,664
-------------- -------------- ----------------- -----------------
LIABILITIES:
Accrued fees 9 5 -- 1
Due to MetLife Investors
USA Insurance Company 1 4 1 --
-------------- -------------- ----------------- -----------------
Total Liabilities 10 9 1 1
-------------- -------------- ----------------- -----------------
NET ASSETS $ 13,858 $ 29,620 $ 79,874 $ 8,663
============== ============== ================= =================
CONTRACT OWNERS' EQUITY
Net assets from accumulation units $ 13,858 $ 29,620 $ 79,874 $ 8,663
Net assets from contracts in payout -- -- -- --
-------------- -------------- ----------------- -----------------
Total Net Assets $ 13,858 $ 29,620 $ 79,874 $ 8,663
============== ============== ================= =================
The accompanying notes are an integral part of these financial statements.
22
AMERICAN FUNDS
ALGER T. ROWE PRICE T. ROWE PRICE T. ROWE PRICE JANUS ASPEN GLOBAL SMALL
SMALL CAP GROWTH GROWTH STOCK INTERNATIONAL STOCK PRIME RESERVE WORLDWIDE CAPITALIZATION
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
---------------- ------------- ------------------- ------------- ----------- --------------
$ 58,325,343 $ 7,170,861 $ 932,129 $ 1,264,580 $ 6,505 $ 80,582,940
-- -- -- -- -- --
-- -- -- 38 1 --
---------------- ------------- ------------------- ------------- ----------- --------------
58,325,343 7,170,861 932,129 1,264,618 6,506 80,582,940
---------------- ------------- ------------------- ------------- ----------- --------------
-- -- -- -- -- 12
1 3 3 -- -- 3
---------------- ------------- ------------------- ------------- ----------- --------------
1 3 3 -- -- 15
---------------- ------------- ------------------- ------------- ----------- --------------
$ 58,325,342 $ 7,170,858 $ 932,126 $ 1,264,618 $ 6,506 $ 80,582,925
================ ============= =================== ============= =========== ==============
$ 58,325,342 $ 7,170,858 $ 932,126 $ 1,264,618 $ 6,506 $ 80,582,925
-- -- -- -- -- --
---------------- ------------- ------------------- ------------- ----------- --------------
$ 58,325,342 $ 7,170,858 $ 932,126 $ 1,264,618 $ 6,506 $ 80,582,925
================ ============= =================== ============= =========== ==============
The accompanying notes are an integral part of these financial statements.
23
METLIFE INVESTORS USA SEPARATE ACCOUNT A
OF METLIFE INVESTORS USA INSURANCE COMPANY
STATEMENTS OF ASSETS AND LIABILITIES -- (CONTINUED)
DECEMBER 31, 2010
AMERICAN FUNDS AMERICAN FUNDS AMERICAN FUNDS AMERICAN FUNDS
GROWTH GROWTH-INCOME GLOBAL GROWTH BOND
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
-------------- -------------- -------------- --------------
ASSETS:
Investments at fair value $ 568,813,972 $ 266,511,973 $ 202,441,704 $ 86,203,073
Accrued dividends -- -- -- --
Due from MetLife Investors
USA Insurance Company -- 23 9 --
-------------- -------------- -------------- --------------
Total Assets 568,813,972 266,511,996 202,441,713 86,203,073
-------------- -------------- -------------- --------------
LIABILITIES:
Accrued fees 41 45 64 18
Due to MetLife Investors
USA Insurance Company 7 -- -- 3
-------------- -------------- -------------- --------------
Total Liabilities 48 45 64 21
-------------- -------------- -------------- --------------
NET ASSETS $ 568,813,924 $ 266,511,951 $ 202,441,649 $ 86,203,052
============== ============== ============== ==============
CONTRACT OWNERS' EQUITY
Net assets from accumulation units $ 568,807,099 $ 266,501,729 $ 202,433,714 $ 86,195,290
Net assets from contracts in payout 6,825 10,222 7,935 7,762
-------------- -------------- -------------- --------------
Total Net Assets $ 568,813,924 $ 266,511,951 $ 202,441,649 $ 86,203,052
============== ============== ============== ==============
The accompanying notes are an integral part of these financial statements.
24
FTVIPT TEMPLETON FTVIPT FRANKLIN
FTVIPT MUTUAL FTVIPT TEMPLETON FTVIPT TEMPLETON FTVIPT FRANKLIN GLOBAL BOND SMALL CAP VALUE
SHARES SECURITIES FOREIGN SECURITIES GROWTH SECURITIES INCOME SECURITIES SECURITIES SECURITIES
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
----------------- ------------------ ----------------- ----------------- ---------------- ---------------
$ 110,507,154 $ 79,683,812 $ 45,199,230 $ 176,548,697 $ 88,294,185 $ 29,718,675
-- -- -- -- -- --
1 -- -- 2 -- --
----------------- ------------------ ----------------- ----------------- ---------------- ---------------
110,507,155 79,683,812 45,199,230 176,548,699 88,294,185 29,718,675
----------------- ------------------ ----------------- ----------------- ---------------- ---------------
9 53 18 52 8 31
-- -- 1 -- -- 1
----------------- ------------------ ----------------- ----------------- ---------------- ---------------
9 53 19 52 8 32
----------------- ------------------ ----------------- ----------------- ---------------- ---------------
$ 110,507,146 $ 79,683,759 $ 45,199,211 $ 176,548,647 $ 88,294,177 $ 29,718,643
================= ================== ================= ================= ================ ===============
$ 110,507,146 $ 79,683,759 $ 45,199,211 $ 176,544,664 $ 88,294,177 $ 29,718,643
-- -- -- 3,983 -- --
----------------- ------------------ ----------------- ----------------- ---------------- ---------------
$ 110,507,146 $ 79,683,759 $ 45,199,211 $ 176,548,647 $ 88,294,177 $ 29,718,643
================= ================== ================= ================= ================ ===============
The accompanying notes are an integral part of these financial statements.
25
METLIFE INVESTORS USA SEPARATE ACCOUNT A
OF METLIFE INVESTORS USA INSURANCE COMPANY
STATEMENTS OF ASSETS AND LIABILITIES -- (CONTINUED)
DECEMBER 31, 2010
PIONEER VCT PIONEER VCT PIONEER VCT
UIF U.S. REAL ESTATE BOND CULLEN VALUE EMERGING MARKETS
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
-------------------- ----------- ------------ ----------------
ASSETS:
Investments at fair value $ 68,963,657 $ 2,417,790 $ 2,192,928 $ 1,212,605
Accrued dividends -- -- -- --
Due from MetLife Investors
USA Insurance Company -- -- -- --
-------------------- ----------- ------------ ----------------
Total Assets 68,963,657 2,417,790 2,192,928 1,212,605
-------------------- ----------- ------------ ----------------
LIABILITIES:
Accrued fees 8 53 81 68
Due to MetLife Investors
USA Insurance Company 1 3 4 --
-------------------- ----------- ------------ ----------------
Total Liabilities 9 56 85 68
-------------------- ----------- ------------ ----------------
NET ASSETS $ 68,963,648 $ 2,417,734 $ 2,192,843 $ 1,212,537
==================== =========== ============ ================
CONTRACT OWNERS' EQUITY
Net assets from accumulation units $ 68,963,648 $ 2,417,734 $ 2,192,843 $ 1,212,537
Net assets from contracts in payout -- -- -- --
-------------------- ----------- ------------ ----------------
Total Net Assets $ 68,963,648 $ 2,417,734 $ 2,192,843 $ 1,212,537
==================== =========== ============ ================
The accompanying notes are an integral part of these financial statements.
26
PIONEER VCT PIONEER VCT PIONEER VCT IBBOTSON PIONEER VCT IBBOTSON PIONEER VCT PIONEER VCT REAL
EQUITY INCOME FUND GROWTH ALLOCATION MODERATE ALLOCATION MID CAP VALUE ESTATE SHARES
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
------------- ----------- -------------------- -------------------- ------------- ----------------
$ 375,831 $ 261,768 $ 19,386,446 $ 27,517,094 $ 46,621,868 $ 234,270
-- -- -- -- -- --
-- -- -- -- 2 --
------------- ----------- -------------------- -------------------- ------------- ----------------
375,831 261,768 19,386,446 27,517,094 46,621,870 234,270
------------- ----------- -------------------- -------------------- ------------- ----------------
75 61 25 27 52 56
2 2 -- 1 -- 6
------------- ----------- -------------------- -------------------- ------------- ----------------
77 63 25 28 52 62
------------- ----------- -------------------- -------------------- ------------- ----------------
$ 375,754 $ 261,705 $ 19,386,421 $ 27,517,066 $ 46,621,818 $ 234,208
============= =========== ==================== ==================== ============= ================
$ 375,754 $ 261,705 $ 19,386,421 $ 27,517,066 $ 46,621,818 $ 234,208
-- -- -- -- -- --
------------- ----------- -------------------- -------------------- ------------- ----------------
$ 375,754 $ 261,705 $ 19,386,421 $ 27,517,066 $ 46,621,818 $ 234,208
============= =========== ==================== ==================== ============= ================
The accompanying notes are an integral part of these financial statements.
27
METLIFE INVESTORS USA SEPARATE ACCOUNT A
OF METLIFE INVESTORS USA INSURANCE COMPANY
STATEMENTS OF ASSETS AND LIABILITIES -- (CONTINUED)
DECEMBER 31, 2010
LMPVET
LMPVET LMPVET CLEARBRIDGE VARIABLE LMPVET
CLEARBRIDGE VARIABLE CLEARBRIDGE VARIABLE FUNDAMENTAL ALL CAP CLEARBRIDGE VARIABLE
SMALL CAP GROWTH LARGE CAP VALUE VALUE APPRECIATION
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
-------------------- -------------------- -------------------- --------------------
ASSETS:
Investments at fair value $ 33,662,856 $ 2,729,866 $ 99,528,276 $ 173,626,561
Accrued dividends -- -- -- --
Due from MetLife Investors
USA Insurance Company -- -- 9 6
-------------------- -------------------- -------------------- --------------------
Total Assets 33,662,856 2,729,866 99,528,285 173,626,567
-------------------- -------------------- -------------------- --------------------
LIABILITIES:
Accrued fees 49 70 52 64
Due to MetLife Investors
USA Insurance Company 3 -- -- --
-------------------- -------------------- -------------------- --------------------
Total Liabilities 52 70 52 64
-------------------- -------------------- -------------------- --------------------
NET ASSETS $ 33,662,804 $ 2,729,796 $ 99,528,233 $ 173,626,503
==================== ==================== ==================== ====================
CONTRACT OWNERS' EQUITY
Net assets from accumulation units $ 33,662,804 $ 2,729,796 $ 99,528,233 $ 173,626,503
Net assets from contracts in payout -- -- -- --
-------------------- -------------------- -------------------- --------------------
Total Net Assets $ 33,662,804 $ 2,729,796 $ 99,528,233 $ 173,626,503
==================== ==================== ==================== ====================
The accompanying notes are an integral part of these financial statements.
28
LMPVET LMPVET
LMPVET LMPVET LMPVET INVESTMENT CLEARBRIDGE LMPVET CLEARBRIDGE
CLEARBRIDGE VARIABLE CLEARBRIDGE VARIABLE COUNSEL VARIABLE VARIABLE EQUITY CLEARBRIDGE VARIABLE DIVIDEND
AGGRESSIVE GROWTH LARGE CAP GROWTH SOCIAL AWARENESS INCOME BUILDER VARIABLE CAPITAL STRATEGY
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
-------------------- -------------------- ----------------- --------------- ---------------- -----------------
$ 156,472,030 $ 6,065,569 $ 510,704 $ 81,006,947 $ 5,296,229 $ 5,852,312
-- -- -- -- -- --
4 -- -- -- -- --
-------------------- -------------------- ----------------- --------------- ---------------- -----------------
156,472,034 6,065,569 510,704 81,006,947 5,296,229 5,852,312
-------------------- -------------------- ----------------- --------------- ---------------- -----------------
116 36 22 31 89 45
-- -- 2 3 1 --
-------------------- -------------------- ----------------- --------------- ---------------- -----------------
116 36 24 34 90 45
-------------------- -------------------- ----------------- --------------- ---------------- -----------------
$ 156,471,918 $ 6,065,533 $ 510,680 $ 81,006,913 $ 5,296,139 $ 5,852,267
==================== ==================== ================= =============== ================ =================
$ 156,471,918 $ 6,065,533 $ 510,680 $ 81,006,913 $ 5,296,139 $ 5,852,267
-- -- -- -- -- --
-------------------- -------------------- ----------------- --------------- ---------------- -----------------
$ 156,471,918 $ 6,065,533 $ 510,680 $ 81,006,913 $ 5,296,139 $ 5,852,267
==================== ==================== ================= =============== ================ =================
The accompanying notes are an integral part of these financial statements.
29
METLIFE INVESTORS USA SEPARATE ACCOUNT A
OF METLIFE INVESTORS USA INSURANCE COMPANY
STATEMENTS OF ASSETS AND LIABILITIES -- (CONCLUDED)
DECEMBER 31, 2010
LMPVIT WESTERN
LMPVET LMPVET LMPVET ASSET VARIABLE
VARIABLE LIFESTYLE VARIABLE LIFESTYLE VARIABLE LIFESTYLE ADJUSTABLE RATE
ALLOCATION 50% ALLOCATION 70% ALLOCATION 85% INCOME
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
------------------ ------------------ ------------------ ---------------
ASSETS:
Investments at fair value $ 13,086,849 $ 3,395,304 $ 62,035,174 $ 2,150,005
Accrued dividends -- -- -- --
Due from MetLife Investors
USA Insurance Company -- -- -- --
------------------ ------------------ ------------------ ---------------
Total Assets 13,086,849 3,395,304 62,035,174 2,150,005
------------------ ------------------ ------------------ ---------------
LIABILITIES:
Accrued fees 23 15 25 59
Due to MetLife Investors
USA Insurance Company 3 2 -- 3
------------------ ------------------ ------------------ ---------------
Total Liabilities 26 17 25 62
------------------ ------------------ ------------------ ---------------
NET ASSETS $ 13,086,823 $ 3,395,287 $ 62,035,149 $ 2,149,943
================== ================== ================== ===============
CONTRACT OWNERS' EQUITY
Net assets from accumulation units $ 13,086,823 $ 3,395,287 $ 62,035,149 $ 2,149,943
Net assets from contracts in payout -- -- -- --
------------------ ------------------ ------------------ ---------------
Total Net Assets $ 13,086,823 $ 3,395,287 $ 62,035,149 $ 2,149,943
================== ================== ================== ===============
The accompanying notes are an integral part of these financial statements.
30
LMPVIT WESTERN
ASSET VARIABLE GLOBAL
HIGH YIELD BOND
SUB-ACCOUNT
---------------------
$ 61,092,548
--
--
---------------------
61,092,548
---------------------
40
1
---------------------
41
---------------------
$ 61,092,507
=====================
$ 61,092,507
--
---------------------
$ 61,092,507
=====================
The accompanying notes are an integral part of these financial statements.
31
METLIFE INVESTORS USA SEPARATE ACCOUNT A
OF METLIFE INVESTORS USA INSURANCE COMPANY
STATEMENTS OF OPERATIONS
FOR THE YEAR ENDED DECEMBER 31, 2010
MIST LORD ABBETT MIST LORD ABBETT MIST MORGAN STANLEY MIST LORD ABBETT
GROWTH AND INCOME BOND DEBENTURE MID CAP GROWTH MID CAP VALUE
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
-------------------- ---------------- ---------------------- -------------------
INVESTMENT INCOME:
Dividends $ 5,643,879 $ 15,690,405 $ 3,573 $ 437,013
-------------------- ---------------- ---------------------- -------------------
EXPENSES:
Mortality and expense risk and
other charges 6,968,797 3,517,149 865,981 1,108,641
Administrative charges 854,716 611,591 162,101 197,686
-------------------- ---------------- ---------------------- -------------------
Total expenses 7,823,513 4,128,740 1,028,082 1,306,327
-------------------- ---------------- ---------------------- -------------------
Net investment income (loss) (2,179,634) 11,561,665 (1,024,509) (869,314)
-------------------- ---------------- ---------------------- -------------------
NET REALIZED AND CHANGE IN
UNREALIZED GAINS (LOSSES) ON
INVESTMENTS:
Realized gain distributions -- -- -- --
Realized gains (losses) on sale of
investments (11,738,174) 655,266 249,855 114,776
-------------------- ---------------- ---------------------- -------------------
Net realized gains (losses) (11,738,174) 655,266 249,855 114,776
-------------------- ---------------- ---------------------- -------------------
Change in unrealized gains (losses)
on investments 88,503,005 14,381,461 19,404,837 19,290,624
-------------------- ---------------- ---------------------- -------------------
Net realized and change in
unrealized gains (losses) on
investments 76,764,831 15,036,727 19,654,692 19,405,400
-------------------- ---------------- ---------------------- -------------------
Net increase (decrease) in net assets
resulting from operations $ 74,585,197 $ 26,598,392 $ 18,630,183 $ 18,536,086
==================== ================ ====================== ===================
(a) For the period May 3, 2010 to December 31, 2010.
(b) For the period March 15, 2010 to December 31, 2010.
The accompanying notes are an integral part of these financial statements.
32
MIST MIST LEGG MASON
MIST MIST INVESCO HARRIS OAKMARK MIST THIRD AVENUE MIST OPPENHEIMER CLEARBRIDGE
LAZARD MID CAP SMALL CAP GROWTH INTERNATIONAL SMALL CAP VALUE CAPITAL APPRECIATION AGGRESSIVE GROWTH
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
----------------- ------------------- ----------------- -------------------- ----------------------- --------------------
$ 970,198 $ -- $ 6,578,513 $ 3,246,967 $ 860,244 $ --
----------------- ------------------- ----------------- -------------------- ----------------------- --------------------
1,581,304 2,088,857 4,975,791 3,817,999 2,562,064 1,129,229
280,768 379,708 900,567 675,252 449,279 203,621
----------------- ------------------- ----------------- -------------------- ----------------------- --------------------
1,862,072 2,468,565 5,876,358 4,493,251 3,011,343 1,332,850
----------------- ------------------- ----------------- -------------------- ----------------------- --------------------
(891,874) (2,468,565) 702,155 (1,246,284) (2,151,099) (1,332,850)
----------------- ------------------- ----------------- -------------------- ----------------------- --------------------
-- -- -- -- -- --
(1,471,607) (466,657) (2,155,945) (801,208) (9,290,928) (927,201)
----------------- ------------------- ----------------- -------------------- ----------------------- --------------------
(1,471,607) (466,657) (2,155,945) (801,208) (9,290,928) (927,201)
----------------- ------------------- ----------------- -------------------- ----------------------- --------------------
24,676,618 37,724,319 54,275,769 51,293,976 25,130,998 19,271,527
----------------- ------------------- ----------------- -------------------- ----------------------- --------------------
23,205,011 37,257,662 52,119,824 50,492,768 15,840,070 18,344,326
----------------- ------------------- ----------------- -------------------- ----------------------- --------------------
$ 22,313,137 $ 34,789,097 $ 52,821,979 $ 49,246,484 $ 13,688,971 $ 17,011,476
================= =================== ================= ==================== ======================= ====================
The accompanying notes are an integral part of these financial statements.
33
METLIFE INVESTORS USA SEPARATE ACCOUNT A
OF METLIFE INVESTORS USA INSURANCE COMPANY
STATEMENTS OF OPERATIONS -- (CONTINUED)
FOR THE YEAR ENDED DECEMBER 31, 2010
MIST
MIST MIST PIMCO INFLATION MIST T. ROWE PRICE
PIMCO TOTAL RETURN RCM TECHNOLOGY PROTECTED BOND MID CAP GROWTH
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
------------------ ----------------- --------------- ---------------------
INVESTMENT INCOME:
Dividends $ 46,367,361 $ -- $ 13,193,376 $ --
------------------ ----------------- --------------- ---------------------
EXPENSES:
Mortality and expense risk and
other charges 19,692,134 1,167,712 8,137,298 4,182,931
Administrative charges 3,457,755 205,448 1,480,461 769,953
------------------ ----------------- --------------- ---------------------
Total expenses 23,149,889 1,373,160 9,617,759 4,952,884
------------------ ----------------- --------------- ---------------------
Net investment income (loss) . 23,217,472 (1,373,160) 3,575,617 (4,952,884)
------------------ ----------------- --------------- ---------------------
NET REALIZED AND CHANGE IN
UNREALIZED GAINS (LOSSES) ON
INVESTMENTS:
Realized gain distributions 6,980,097 -- 14,738,610 --
Realized gains (losses) on sale of
investments 4,490,439 (256,411) 494,168 1,190,797
------------------ ----------------- --------------- ---------------------
Net realized gains (losses) 11,470,536 (256,411) 15,232,778 1,190,797
------------------ ----------------- --------------- ---------------------
Change in unrealized gains (losses)
on investments 43,519,330 22,084,395 12,409,725 79,898,499
------------------ ----------------- --------------- ---------------------
Net realized and change in
unrealized gains (losses) on
investments 54,989,866 21,827,984 27,642,503 81,089,296
------------------ ----------------- --------------- ---------------------
Net increase (decrease) in net assets
resulting from operations $ 78,207,338 $ 20,454,824 $ 31,218,120 $ 76,136,412
================== ================= =============== =====================
(a) For the period May 3, 2010 to December 31, 2010.
(b) For the period March 15, 2010 to December 31, 2010.
The accompanying notes are an integral part of these financial statements.
34
MIST MFS RESEARCH MIST CLARION MIST TURNER MIST GOLDMAN SACHS MIST METLIFE MIST METLIFE
INTERNATIONAL GLOBAL REAL ESTATE MID CAP GROWTH MID CAP VALUE DEFENSIVE STRATEGY MODERATE STRATEGY
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
-------------------- --------------------- ----------------- --------------------- ------------------ --------------------
$ 4,813,823 $ 8,621,931 $ -- $ 776,261 $ 52,596,961 $ 63,131,562
-------------------- --------------------- ----------------- --------------------- ------------------ --------------------
3,910,498 1,566,831 890,643 1,178,263 23,609,255 34,897,769
683,925 277,429 161,578 209,733 4,312,497 6,405,875
-------------------- --------------------- ----------------- --------------------- ------------------ --------------------
4,594,423 1,844,260 1,052,221 1,387,996 27,921,752 41,303,644
-------------------- --------------------- ----------------- --------------------- ------------------ --------------------
219,400 6,777,671 (1,052,221) (611,735) 24,675,209 21,827,918
-------------------- --------------------- ----------------- --------------------- ------------------ --------------------
-- -- -- -- -- --
(4,301,992) (1,407,595) (238,041) (1,042,195) 6,974,977 (1,300,604)
-------------------- --------------------- ----------------- --------------------- ------------------ --------------------
(4,301,992) (1,407,595) (238,041) (1,042,195) 6,974,977 (1,300,604)
-------------------- --------------------- ----------------- --------------------- ------------------ --------------------
32,018,558 10,898,100 16,851,840 20,162,482 129,661,482 249,479,440
-------------------- --------------------- ----------------- --------------------- ------------------ --------------------
27,716,566 9,490,505 16,613,799 19,120,287 136,636,459 248,178,836
-------------------- --------------------- ----------------- --------------------- ------------------ --------------------
$ 27,935,966 $ 16,268,176 $ 15,561,578 $ 18,508,552 $ 161,311,668 $ 270,006,754
==================== ===================== ================= ===================== ================== ====================
The accompanying notes are an integral part of these financial statements.
35
METLIFE INVESTORS USA SEPARATE ACCOUNT A
OF METLIFE INVESTORS USA INSURANCE COMPANY
STATEMENTS OF OPERATIONS -- (CONTINUED)
FOR THE YEAR ENDED DECEMBER 31, 2010
MIST METLIFE MIST METLIFE MIST METLIFE MIST VAN KAMPEN
BALANCED STRATEGY GROWTH STRATEGY AGGRESSIVE STRATEGY COMSTOCK
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
-------------------- ------------------ ---------------------- ------------------
INVESTMENT INCOME:
Dividends $ 110,826,665 $ 86,553,771 $ 5,184,796 $ 2,704,547
-------------------- ------------------ ---------------------- ------------------
EXPENSES:
Mortality and expense risk and
other charges 73,519,240 69,758,061 6,073,887 2,358,184
Administrative charges 13,484,203 12,642,115 1,101,195 466,089
-------------------- ------------------ ---------------------- ------------------
Total expenses 87,003,443 82,400,176 7,175,082 2,824,273
-------------------- ------------------ ---------------------- ------------------
Net investment income (loss) 23,823,222 4,153,595 (1,990,286) (119,726)
-------------------- ------------------ ---------------------- ------------------
NET REALIZED AND CHANGE IN
UNREALIZED GAINS (LOSSES) ON
INVESTMENTS:
Realized gain distributions -- -- -- --
Realized gains (losses) on sale of
investments (8,304,795) (69,645,465) (7,464,595) 104,490
-------------------- ------------------ ---------------------- ------------------
Net realized gains (losses) (8,304,795) (69,645,465) (7,464,595) 104,490
-------------------- ------------------ ---------------------- ------------------
Change in unrealized gains (losses)
on investments 615,445,203 719,869,373 73,777,886 25,565,625
-------------------- ------------------ ---------------------- ------------------
Net realized and change in
unrealized gains (losses) on
investments 607,140,408 650,223,908 66,313,291 25,670,115
-------------------- ------------------ ---------------------- ------------------
Net increase (decrease) in net assets
resulting from operations $ 630,963,630 $ 654,377,503 $ 64,323,005 $ 25,550,389
==================== ================== ====================== ==================
(a) For the period May 3, 2010 to December 31, 2010.
(b) For the period March 15, 2010 to December 31, 2010.
The accompanying notes are an integral part of these financial statements.
36
MIST LEGG MASON MIST MFS EMERGING MIST LOOMIS SAYLES MIST DREMAN
VALUE EQUITY MARKETS EQUITY GLOBAL MARKETS MIST JANUS FORTY SMALL CAP VALUE MIST PIONEER FUND
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
------------------ -------------------- --------------------- ------------------- ------------------ --------------------
$ 1,636,661 $ 2,454,734 $ 2,851,732 $ 400,074 $ 173,916 $ 597,414
------------------ -------------------- --------------------- ------------------- ------------------ --------------------
1,076,544 3,384,656 1,306,557 457,057 324,564 884,475
212,110 629,018 238,315 76,843 52,757 191,808
------------------ -------------------- --------------------- ------------------- ------------------ --------------------
1,288,654 4,013,674 1,544,872 533,900 377,321 1,076,283
------------------ -------------------- --------------------- ------------------- ------------------ --------------------
348,007 (1,558,940) 1,306,860 (133,826) (203,405) (478,869)
------------------ -------------------- --------------------- ------------------- ------------------ --------------------
-- -- -- -- -- --
(1,107,947) 184,674 (479,440) 36,628 154,017 88,907
------------------ -------------------- --------------------- ------------------- ------------------ --------------------
(1,107,947) 184,674 (479,440) 36,628 154,017 88,907
------------------ -------------------- --------------------- ------------------- ------------------ --------------------
6,128,692 57,796,915 17,346,226 3,912,856 3,630,265 13,686,623
------------------ -------------------- --------------------- ------------------- ------------------ --------------------
5,020,745 57,981,589 16,866,786 3,949,484 3,784,282 13,775,530
------------------ -------------------- --------------------- ------------------- ------------------ --------------------
$ 5,368,752 $ 56,422,649 $ 18,173,646 $ 3,815,658 $ 3,580,877 $ 13,296,661
================== ==================== ===================== =================== ================== ====================
The accompanying notes are an integral part of these financial statements.
37
METLIFE INVESTORS USA SEPARATE ACCOUNT A
OF METLIFE INVESTORS USA INSURANCE COMPANY
STATEMENTS OF OPERATIONS -- (CONTINUED)
FOR THE YEAR ENDED DECEMBER 31, 2010
MIST PIONEER MIST BLACKROCK MIST BLACKROCK MIST RAINIER
STRATEGIC INCOME LARGE CAP CORE HIGH YIELD LARGE CAP EQUITY
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
---------------- ----------------- -------------- -------------------
INVESTMENT INCOME:
Dividends $ 14,959,933 $ 78,389 $ 7,845,720 $ 148,311
---------------- ----------------- -------------- -------------------
EXPENSES:
Mortality and expense risk and
other charges 3,772,866 112,540 1,835,629 478,137
Administrative charges 815,014 18,372 332,807 88,933
---------------- ----------------- -------------- -------------------
Total expenses 4,587,880 130,912 2,168,436 567,070
---------------- ----------------- -------------- -------------------
Net investment income (loss) 10,372,053 (52,523) 5,677,284 (418,759)
---------------- ----------------- -------------- -------------------
NET REALIZED AND CHANGE IN
UNREALIZED GAINS (LOSSES) ON
INVESTMENTS:
Realized gain distributions -- -- -- --
Realized gains (losses) on sale of
investments 393,452 (80,252) 7,521,614 (368,008)
---------------- ----------------- -------------- -------------------
Net realized gains (losses) 393,452 (80,252) 7,521,614 (368,008)
---------------- ----------------- -------------- -------------------
Change in unrealized gains (losses)
on investments 20,915,857 1,037,963 4,162,987 5,878,677
---------------- ----------------- -------------- -------------------
Net realized and change in
unrealized gains (losses) on
investments 21,309,309 957,711 11,684,601 5,510,669
---------------- ----------------- -------------- -------------------
Net increase (decrease) in net
assets resulting from
operations $ 31,681,362 $ 905,188 $ 17,361,885 $ 5,091,910
================ ================= ============== ===================
(a) For the period May 3, 2010 to December 31, 2010.
(b) For the period March 15, 2010 to December 31, 2010.
The accompanying notes are an integral part of these financial statements.
38
MIST MIST MIST
AMERICAN FUNDS MIST AMERICAN MIST AMERICAN AMERICAN FUNDS MIST AMERICAN AMERICAN FUNDS
BALANCED ALLOCATION FUNDS BOND FUNDS GROWTH GROWTH ALLOCATION FUNDS INTERNATIONAL MODERATE ALLOCATION
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
---------------------- ------------- ---------------- -------------------- ---------------------- ----------------------
$ 18,372,356 $ 3,357,479 $ 687,245 $ 11,242,182 $ 1,717,496 $ 15,677,866
---------------------- ------------- ---------------- -------------------- ---------------------- ----------------------
23,794,232 2,722,486 4,440,968 16,743,242 2,992,082 14,640,050
4,518,203 512,001 838,762 3,147,967 564,002 2,784,642
---------------------- ------------- ---------------- -------------------- ---------------------- ----------------------
28,312,435 3,234,487 5,279,730 19,891,209 3,556,084 17,424,692
---------------------- ------------- ---------------- -------------------- ---------------------- ----------------------
(9,940,079) 122,992 (4,592,485) (8,649,027) (1,838,588) (1,746,826)
---------------------- ------------- ---------------- -------------------- ---------------------- ----------------------
788,317 -- -- -- 539,861 --
643,121 228,924 791,765 4,410,087 50,263 442,079
---------------------- ------------- ---------------- -------------------- ---------------------- ----------------------
1,431,438 228,924 791,765 4,410,087 590,124 442,079
---------------------- ------------- ---------------- -------------------- ---------------------- ----------------------
218,397,822 6,583,360 65,409,390 148,410,760 18,687,175 99,071,297
---------------------- ------------- ---------------- -------------------- ---------------------- ----------------------
219,829,260 6,812,284 66,201,155 152,820,847 19,277,299 99,513,376
---------------------- ------------- ---------------- -------------------- ---------------------- ----------------------
$ 209,889,181 $ 6,935,276 $ 61,608,670 $ 144,171,820 $ 17,438,711 $ 97,766,550
====================== ============= ================ ==================== ====================== ======================
The accompanying notes are an integral part of these financial statements.
39
METLIFE INVESTORS USA SEPARATE ACCOUNT A
OF METLIFE INVESTORS USA INSURANCE COMPANY
STATEMENTS OF OPERATIONS -- (CONTINUED)
FOR THE YEAR ENDED DECEMBER 31, 2010
MIST MET/FRANKLIN
MIST MET/FRANKLIN TEMPLETON MIST MIST SSGA GROWTH
MUTUAL SHARES FOUNDING STRATEGY SSGA GROWTH ETF AND INCOME ETF
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
-------------------- -------------------- ------------------ -------------------
INVESTMENT INCOME:
Dividends $ -- $ -- $ 3,099,949 $ 6,242,372
-------------------- -------------------- ------------------ -------------------
EXPENSES:
Mortality and expense risk and
other charges 1,174,695 6,436,768 3,003,480 7,603,705
Administrative charges 215,815 1,210,060 572,201 1,476,216
-------------------- -------------------- ------------------ -------------------
Total expenses 1,390,510 7,646,828 3,575,681 9,079,921
-------------------- -------------------- ------------------ -------------------
Net investment income (loss) (1,390,510) (7,646,828) (475,732) (2,837,549)
-------------------- -------------------- ------------------ -------------------
NET REALIZED AND CHANGE IN
UNREALIZED GAINS (LOSSES) ON
INVESTMENTS:
Realized gain distributions 977,279 1,673 -- 21,792
Realized gains (losses) on sale of
investments 289,269 2,431,013 1,702,495 111,747
-------------------- -------------------- ------------------ -------------------
Net realized gains (losses) 1,266,548 2,432,686 1,702,495 133,539
-------------------- -------------------- ------------------ -------------------
Change in unrealized gains (losses)
on investments 9,275,276 46,152,780 29,566,077 78,303,612
-------------------- -------------------- ------------------ -------------------
Net realized and change in
unrealized gains (losses) on
investments 10,541,824 48,585,466 31,268,572 78,437,151
-------------------- -------------------- ------------------ -------------------
Net increase (decrease) in net assets
resulting from operations $ 9,151,314 $ 40,938,638 $ 30,792,840 $ 75,599,602
==================== ==================== ================== ===================
(a) For the period May 3, 2010 to December 31, 2010.
(b) For the period March 15, 2010 to December 31, 2010.
The accompanying notes are an integral part of these financial statements.
40
MIST
MIST MET/TEMPLETON MIST MET/TEMPLETON MET/EATON VANCE INVESCO V.I. INVESCO V.I. INVESCO V.I.
INTERNATIONAL BOND GROWTH FLOATING RATE CORE EQUITY CAPITAL APPRECIATION INTERNATIONAL GROWTH
SUB-ACCOUNT SUB-ACCOUNT (a) SUB-ACCOUNT (a) SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
--------------------- --------------------- ------------------ ------------------ ----------------------- --------------------
$ 100,003 $ -- $ -- $ 3,627 $ 1,023 $ 1,692,607
--------------------- --------------------- ------------------ ------------------ ----------------------- --------------------
254,009 43,400 57,886 5,351 1,974 920,733
48,511 9,447 10,593 -- -- 209,399
--------------------- --------------------- ------------------ ------------------ ----------------------- --------------------
302,520 52,847 68,479 5,351 1,974 1,130,132
--------------------- --------------------- ------------------ ------------------ ----------------------- --------------------
(202,517) (52,847) (68,479) (1,724) (951) 562,475
--------------------- --------------------- ------------------ ------------------ ----------------------- --------------------
4,897 -- -- -- -- --
39,391 (6,335) 3,564 604 (6,842) 41,708
--------------------- --------------------- ------------------ ------------------ ----------------------- --------------------
44,288 (6,335) 3,564 604 (6,842) 41,708
--------------------- --------------------- ------------------ ------------------ ----------------------- --------------------
2,042,343 499,282 384,248 31,231 26,623 10,609,535
--------------------- --------------------- ------------------ ------------------ ----------------------- --------------------
2,086,631 492,947 387,812 31,835 19,781 10,651,243
--------------------- --------------------- ------------------ ------------------ ----------------------- --------------------
$ 1,884,114 $ 440,100 $ 319,333 $ 30,111 $ 18,830 $ 11,213,718
===================== ===================== ================== ================== ======================= ====================
The accompanying notes are an integral part of these financial statements.
41
METLIFE INVESTORS USA SEPARATE ACCOUNT A
OF METLIFE INVESTORS USA INSURANCE COMPANY
STATEMENTS OF OPERATIONS -- (CONTINUED)
FOR THE YEAR ENDED DECEMBER 31, 2010
INVESCO V.I. INVESCO V.I. INVESCO V.I. INVESCO V.I.
BASIC BALANCED GLOBAL REAL ESTATE CAPITAL GROWTH GROWTH AND INCOME
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
----------------- --------------------- ------------------ --------------------
INVESTMENT INCOME:
Dividends $ 4,894 $ 344,779 $ -- $ 116,453
----------------- --------------------- ------------------ --------------------
EXPENSES:
Mortality and expense risk and
other charges 3,546 67,022 1,663 1,463,211
Administrative charges -- 15,490 -- 318,528
----------------- --------------------- ------------------ --------------------
Total expenses 3,546 82,512 1,663 1,781,739
----------------- --------------------- ------------------ --------------------
Net investment income (loss) 1,348 262,267 (1,663) (1,665,286)
----------------- --------------------- ------------------ --------------------
NET REALIZED AND CHANGE IN
UNREALIZED GAINS (LOSSES) ON
INVESTMENTS:
Realized gain distributions -- -- -- --
Realized gains (losses) on sale of
investments (6,291) (35,497) (661) 5,754
----------------- --------------------- ------------------ --------------------
Net realized gains (losses) (6,291) (35,497) (661) 5,754
----------------- --------------------- ------------------ --------------------
Change in unrealized gains (losses)
on investments 20,472 795,938 22,436 16,781,592
----------------- --------------------- ------------------ --------------------
Net realized and change in
unrealized gains (losses) on
investments 14,181 760,441 21,775 16,787,346
----------------- --------------------- ------------------ --------------------
Net increase (decrease) in net
assets resulting from
operations $ 15,529 $ 1,022,708 $ 20,112 $ 15,122,060
================= ===================== ================== ====================
(a) For the period May 3, 2010 to December 31, 2010.
(b) For the period March 15, 2010 to December 31, 2010.
The accompanying notes are an integral part of these financial statements.
42
INVESCO V.I. INVESCO V.I. MFS VIT MFS VIT OPPENHEIMER VA
EQUITY AND INCOME U.S. MID CAP VALUE MFS VIT RESEARCH INVESTORS TRUST NEW DISCOVERY MAIN STREET
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
-------------------- --------------------- ------------------- ------------------ ---------------- -----------------
$ 5,516,602 $ 163,190 $ 1,008 $ 623 $ -- $ 1,266
-------------------- --------------------- ------------------- ------------------ ---------------- -----------------
3,370,920 224,109 1,539 668 676 1,599
716,876 51,177 -- -- -- --
-------------------- --------------------- ------------------- ------------------ ---------------- -----------------
4,087,796 275,286 1,539 668 676 1,599
-------------------- --------------------- ------------------- ------------------ ---------------- -----------------
1,428,806 (112,096) (531) (45) (676) (333)
-------------------- --------------------- ------------------- ------------------ ---------------- -----------------
-- -- -- -- -- --
(177,941) 20,908 1,434 (490) 1,723 (1,607)
-------------------- --------------------- ------------------- ------------------ ---------------- -----------------
(177,941) 20,908 1,434 (490) 1,723 (1,607)
-------------------- --------------------- ------------------- ------------------ ---------------- -----------------
29,567,980 4,289,045 14,248 3,782 13,838 17,514
-------------------- --------------------- ------------------- ------------------ ---------------- -----------------
29,390,039 4,309,953 15,682 3,292 15,561 15,907
-------------------- --------------------- ------------------- ------------------ ---------------- -----------------
$ 30,818,845 $ 4,197,857 $ 15,151 $ 3,247 $ 14,885 $ 15,574
==================== ===================== =================== ================== ================ =================
The accompanying notes are an integral part of these financial statements.
43
METLIFE INVESTORS USA SEPARATE ACCOUNT A
OF METLIFE INVESTORS USA INSURANCE COMPANY
STATEMENTS OF OPERATIONS -- (CONTINUED)
FOR THE YEAR ENDED DECEMBER 31, 2010
OPPENHEIMER VA OPPENHEIMER VA
OPPENHEIMER VA GLOBAL MAIN STREET OPPENHEIMER VA
CORE BOND STRATEGIC INCOME SMALL CAP MONEY
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
----------------- ------------------- ----------------- -----------------
INVESTMENT INCOME:
Dividends $ 1,102 $ 1,289 $ 202,291 $ 33
----------------- ------------------- ----------------- -----------------
EXPENSES:
Mortality and expense risk and
other charges 321 111 599,989 1,638
Administrative charges -- -- 136,018 --
----------------- ------ ------------ ----------------- -----------------
Total expenses 321 111 736,007 1,638
----------------- ------ ------------ ----------------- -----------------
Net investment income (loss) 781 1,178 (533,716) (1,605)
----------------- ------ ------------ ----------------- -----------------
NET REALIZED AND CHANGE IN
UNREALIZED GAINS (LOSSES) ON
INVESTMENTS:
Realized gain distributions -- -- -- --
Realized gains (losses) on sale of
investments (25,321) 610 126,865 --
----------------- ------ ------------ ----------------- -----------------
Net realized gains (losses) (25,321) 610 126,865 --
----------------- ------ ------------ ----------------- -----------------
Change in unrealized gains
(losses) on investments 27,071 (781) 12,065,565 --
----------------- ------ ------------ ----------------- -----------------
Net realized and change in
unrealized gains (losses) on
investments 1,750 (171) 12,192,430 --
----------------- ------ ------------ ----------------- -----------------
Net increase (decrease) in net
assets resulting from operations $ 2,531 $ 1,007 $ 11,658,714 $ (1,605)
================= =================== ================= =================
(a) For the period May 3, 2010 to December 31, 2010.
(b) For the period March 15, 2010 to December 31, 2010.
The accompanying notes are an integral part of these financial statements.
44
FIDELITY VIP FIDELITY VIP FIDELITY VIP FIDELITY VIP FIDELITY VIP
ASSET MANAGER FIDELITY VIP GROWTH CONTRAFUND OVERSEAS EQUITY-INCOME INDEX 500
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
---------------- ---------------------- --------------- --------------- ---------------- ---------------
$ 1,646,613 $ 364,788 $ 4,104,352 $ 81,021 $ 108,132 $ 1,244,942
---------------- ---------------------- --------------- --------------- ---------------- ---------------
1,343,397 1,770,852 4,188,624 73,506 86,692 895,367
-- -- 266,646 -- -- --
---------------- ---------------------- --------------- --------------- ---------------- ---------------
1,343,397 1,770,852 4,455,270 73,506 86,692 895,367
---------------- ---------------------- --------------- --------------- ---------------- ---------------
303,216 (1,406,064) (350,918) 7,515 21,440 349,575
---------------- ---------------------- --------------- --------------- ---------------- ---------------
495,586 444,877 156,928 11,048 -- 1,309,895
(1,832,730) (2,480,503) (2,974,189) (221,613) (368,831) (562,748)
---------------- ---------------------- --------------- --------------- ---------------- ---------------
(1,337,144) (2,035,626) (2,817,261) (210,565) (368,831) 747,147
---------------- ---------------------- --------------- --------------- ---------------- ---------------
12,924,187 30,948,642 54,045,265 839,726 1,122,280 7,212,312
---------------- ---------------------- --------------- --------------- ---------------- ---------------
11,587,043 28,913,016 51,228,004 629,161 753,449 7,959,459
---------------- ---------------------- --------------- --------------- ---------------- ---------------
$ 11,890,259 $ 27,506,952 $ 50,877,086 $ 636,676 $ 774,889 $ 8,309,034
================ ====================== =============== =============== ================ ===============
The accompanying notes are an integral part of these financial statements.
45
METLIFE INVESTORS USA SEPARATE ACCOUNT A
OF METLIFE INVESTORS USA INSURANCE COMPANY
STATEMENTS OF OPERATIONS -- (CONTINUED)
FOR THE YEAR ENDED DECEMBER 31, 2010
FIDELITY VIP FIDELITY VIP FIDELITY VIP
MONEY MARKET MID CAP FUNDSMANAGER 60% DWS INTERNATIONAL
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
--------------- --------------- ------------------- --------------------
INVESTMENT INCOME:
Dividends $ 134,396 $ 199,606 $ 13,983,999 $ 451,586
--------------- --------------- ------------------- --------------------
EXPENSES:
Mortality and expense risk and
other charges 1,360,574 1,597,268 10,083,678 280,052
Administrative charges -- 347,186 -- --
--------------- --------------- ------------------- --------------------
Total expenses 1,360,574 1,944,454 10,083,678 280,052
--------------- --------------- ------------------- --------------------
Net investment income (loss) (1,226,178) (1,744,848) 3,900,321 171,534
--------------- --------------- ------------------- --------------------
NET REALIZED AND CHANGE IN
UNREALIZED GAINS (LOSSES) ON
INVESTMENTS:
Realized gain distributions 49,334 455,071 2,447,200 --
Realized gains (losses) on sale of
investments -- 103,083 (39) (987,076)
--------------- --------------- ------------------- --------------------
Net realized gains (losses) 49,334 558,154 2,447,161 (987,076)
--------------- --------------- ------------------- --------------------
Change in unrealized gains (losses)
on investments -- 36,279,089 84,722,208 751,044
--------------- --------------- ------------------- --------------------
Net realized and change in
unrealized gains (losses) on
investments 49,334 36,837,243 87,169,369 (236,032)
--------------- --------------- ------------------- --------------------
Net increase (decrease) in net
assets resulting from
operations $ (1,176,844) $ 35,092,395 $ 91,069,690 $ (64,498)
=============== =============== =================== ====================
(a) For the period May 3, 2010 to December 31, 2010.
(b) For the period March 15, 2010 to December 31, 2010.
The accompanying notes are an integral part of these financial statements.
46
MSF
MSF FI MSF MSF ARTIO MSF BLACKROCK LEGACY MSF NEUBERGER
VALUE LEADERS RUSSELL 2000 INDEX INTERNATIONAL STOCK METLIFE STOCK INDEX LARGE CAP GROWTH BERMAN GENESIS
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
---------------- --------------------- ---------------------- ---------------------- ------------------- -----------------
$ 64,800 $ 209,210 $ 53,310 $ 4,839,782 $ 19,080 $ 44,464
---------------- --------------------- ---------------------- ---------------------- ------------------- -----------------
68,962 360,453 52,236 4,555,306 118,795 116,346
11,230 47,697 8,934 605,619 17,832 --
---------------- --------------------- ---------------------- ---------------------- ------------------- -----------------
80,192 408,150 61,170 5,160,925 136,627 116,346
---------------- --------------------- ---------------------- ---------------------- ------------------- -----------------
(15,392) (198,940) (7,860) (321,143) (117,547) (71,882)
---------------- --------------------- ---------------------- ---------------------- ------------------- -----------------
-- -- -- -- -- --
(191,128) 84,268 (397,491) (1,255,570) 313,167 (650,477)
---------------- --------------------- ---------------------- ---------------------- ------------------- -----------------
(191,128) 84,268 (397,491) (1,255,570) 313,167 (650,477)
---------------- --------------------- ---------------------- ---------------------- ------------------- -----------------
775,693 7,422,690 580,114 38,151,546 1,246,529 2,336,728
---------------- --------------------- ---------------------- ---------------------- ------------------- -----------------
584,565 7,506,958 182,623 36,895,976 1,559,696 1,686,251
---------------- --------------------- ---------------------- ---------------------- ------------------- -----------------
$ 569,173 $ 7,308,018 $ 174,763 $ 36,574,833 $ 1,442,149 $ 1,614,369
================ ===================== ====================== ====================== =================== =================
The accompanying notes are an integral part of these financial statements.
47
METLIFE INVESTORS USA SEPARATE ACCOUNT A
OF METLIFE INVESTORS USA INSURANCE COMPANY
STATEMENTS OF OPERATIONS -- (CONTINUED)
FOR THE YEAR ENDED DECEMBER 31, 2010
MSF BARCLAYS
MSF BLACKROCK MSF BLACKROCK CAPITAL AGGREGATE
BOND INCOME LARGE CAP VALUE BOND INDEX MSF MFS VALUE
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
------------- ------------------ ----------------- ----------------
INVESTMENT INCOME:
Dividends $ 1,751,737 $ 29,633 $ 1,434,714 $ 494,843
------------- ------------------ ----------------- ----------------
EXPENSES:
Mortality and expense risk and
other charges 705,244 36,597 716,275 550,962
Administrative charges 100,257 -- 113,414 79,817
------------- ------------------ ----------------- ----------------
Total expenses 805,501 36,597 829,689 630,779
------------- ------------------ ----------------- ----------------
Net investment income (loss) 946,236 (6,964) 605,025 (135,936)
------------- ------------------ ----------------- ----------------
NET REALIZED AND CHANGE IN
UNREALIZED GAINS (LOSSES) ON
INVESTMENTS:
Realized gain distributions -- -- -- --
Realized gains (losses) on sale of
investments 88,985 (131,394) 114,537 (310,701)
------------- ------------------ ----------------- ----------------
Net realized gains (losses) 88,985 (131,394) 114,537 (310,701)
------------- ------------------ ----------------- ----------------
Change in unrealized gains (losses)
on investments 1,711,245 334,187 572,374 4,411,295
------------- ------------------ ----------------- ----------------
Net realized and change in
unrealized gains (losses) on
investments 1,800,230 202,793 686,911 4,100,594
------------- ------------------ ----------------- ----------------
Net increase (decrease) in net
assets resulting from
operations $ 2,746,466 $ 195,829 $ 1,291,936 $ 3,964,658
============= ================== ================= ================
(a) For the period May 3, 2010 to December 31, 2010.
(b) For the period March 15, 2010 to December 31, 2010.
The accompanying notes are an integral part of these financial statements.
48
MSF MORGAN STANLEY MSF MSF METLIFE MSF MSF MET/ARTISAN MSF
EAFE INDEX MFS TOTAL RETURN MID CAP STOCK INDEX DAVIS VENTURE VALUE MID CAP VALUE JENNISON GROWTH
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
--------------------- ------------------- ---------------------- ---------------------- ------------------ ------------------
$ 874,978 $ 1,152,885 $ 288,957 $ 4,527,614 $ 1,169,554 $ 790,490
--------------------- ------------------- ---------------------- ---------------------- ------------------ ------------------
515,433 558,086 501,223 7,105,757 2,726,334 2,831,285
58,946 73,364 47,949 1,269,306 459,561 513,132
--------------------- ------------------- ---------------------- ---------------------- ------------------ ------------------
574,379 631,450 549,172 8,375,063 3,185,895 3,344,417
--------------------- ------------------- ---------------------- ---------------------- ------------------ ------------------
300,599 521,435 (260,215) (3,847,449) (2,016,341) (2,553,927)
--------------------- ------------------- ---------------------- ---------------------- ------------------ ------------------
-- -- 41,056 -- -- --
(373,439) (860,808) (55,246) 724,558 (8,689,096) 113,415
--------------------- ------------------- ---------------------- ---------------------- ------------------ ------------------
(373,439) (860,808) (14,190) 724,558 (8,689,096) 113,415
--------------------- ------------------- ---------------------- ---------------------- ------------------ ------------------
3,884,414 3,449,400 9,587,123 57,763,744 35,137,677 23,243,885
--------------------- ------------------- ---------------------- ---------------------- ------------------ ------------------
3,510,975 2,588,592 9,572,933 58,488,302 26,448,581 23,357,300
--------------------- ------------------- ---------------------- ---------------------- ------------------ ------------------
$ 3,811,574 $ 3,110,027 $ 9,312,718 $ 54,640,853 $ 24,432,240 $ 20,803,373
===================== =================== ====================== ====================== ================== ==================
The accompanying notes are an integral part of these financial statements.
49
METLIFE INVESTORS USA SEPARATE ACCOUNT A
OF METLIFE INVESTORS USA INSURANCE COMPANY
STATEMENTS OF OPERATIONS -- (CONTINUED)
FOR THE YEAR ENDED DECEMBER 31, 2010
MSF WESTERN ASSET
MSF BLACKROCK MSF T. ROWE PRICE MANAGEMENT MSF OPPENHEIMER
MONEY MARKET SMALL CAP GROWTH U.S. GOVERNMENT GLOBAL EQUITY
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
---------------- -------------------- ----------------- ------------------
INVESTMENT INCOME:
Dividends $ 90 $ -- $ 4,079,194 $ 143,488
----------------- -------------------- ----------------- ------------------
EXPENSES:
Mortality and expense risk and
other charges 8,033,137 98,188 2,309,048 129,562
Administrative charges 1,467,554 11,927 455,669 26,693
---------------- -------------------- ----------------- ------------------
Total expenses 9,500,691 110,115 2,764,717 156,255
---------------- -------------------- ----------------- ------------------
Net investment income (loss) (9,500,601) (110,115) 1,314,477 (12,767)
---------------- -------------------- ----------------- ------------------
NET REALIZED AND CHANGE IN
UNREALIZED GAINS (LOSSES) ON
INVESTMENTS:
Realized gain distributions -- -- 467,468 --
Realized gains (losses) on sale of
investments -- 262,986 226,514 (121,999)
---------------- -------------------- ----------------- ------------------
Net realized gains (losses) -- 262,986 693,982 (121,999)
---------------- -------------------- ----------------- ------------------
Change in unrealized gains (losses)
on investments -- 1,841,343 3,670,982 1,598,724
---------------- -------------------- ----------------- ------------------
Net realized and change in
unrealized gains (losses) on
investments -- 2,104,329 4,364,964 1,476,725
---------------- -------------------- ----------------- ------------------
Net increase (decrease) in net
assets resulting from operations $ (9,500,601) $ 1,994,214 $ 5,679,441 $ 1,463,958
================= ==================== ================= ==================
(a) For the period May 3, 2010 to December 31, 2010.
(b) For the period March 15, 2010 to December 31, 2010.
The accompanying notes are an integral part of these financial statements.
50
MSF METLIFE MSF METLIFE MSF METLIFE
MSF METLIFE CONSERVATIVE CONSERVATIVE TO MSF METLIFE MODERATE TO MSF T. ROWE PRICE
AGGRESSIVE ALLOCATION ALLOCATION MODERATE ALLOCATION MODERATE ALLOCATION AGGRESSIVE ALLOCATION LARGE CAP GROWTH
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
------------------------ ------------ ------------------- ---------------------- ------------------------ --------------------
$ 19,517 $ 474,067 $ 288,649 $ 1,153,011 $ 1,142,281 $ 768
------------------------ ------------ ------------------- ---------------------- ------------------------ --------------------
27,606 169,084 128,632 675,468 789,404 15,747
4,622 29,215 21,315 113,947 133,515 2,901
------------------------ ------------ ------------------- ---------------------- ------------------------ --------------------
32,228 198,299 149,947 789,415 922,919 18,648
------------------------ ------------ ------------------- ---------------------- ------------------------ --------------------
(12,711) 275,768 138,702 363,596 219,362 (17,880)
------------------------ ------------ ------------------- ---------------------- ------------------------ --------------------
-- -- -- -- -- --
(45,643) 354,562 107,507 (281,593) (651,563) 4,288
------------------------ ------------ ------------------- ---------------------- ------------------------ --------------------
(45,643) 354,562 107,507 (281,593) (651,563) 4,288
------------------------ ------------ ------------------- ---------------------- ------------------------ --------------------
292,785 307,150 548,177 4,846,286 6,983,802 174,952
------------------------ ------------ ------------------- ---------------------- ------------------------ --------------------
247,142 661,712 655,684 4,564,693 6,332,239 179,240
------------------------ ------------ ------------------- ---------------------- ------------------------ --------------------
$ 234,431 $ 937,480 $ 794,386 $ 4,928,289 $ 6,551,601 $ 161,360
======================== ============ =================== ====================== ======================== ====================
The accompanying notes are an integral part of these financial statements.
51
METLIFE INVESTORS USA SEPARATE ACCOUNT A
OF METLIFE INVESTORS USA INSURANCE COMPANY
STATEMENTS OF OPERATIONS -- (CONTINUED)
FOR THE YEAR ENDED DECEMBER 31, 2010
MSF NEUBERGER MSF MET/DIMENSIONAL MSF VAN ECK
MSF LOOMIS SAYLES BERMAN INTERNATIONAL SMALL GLOBAL NATURAL
SMALL CAP CORE MID CAP VALUE COMPANY RESOURCES
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
-------------------- ---------------- ---------------------- -----------------
INVESTMENT INCOME:
Dividends $ -- $ 1,534 $ 314,235 $ 97,524
-------------------- ---------------- ---------------------- -----------------
EXPENSES:
Mortality and expense risk and
other charges 57,031 10,028 327,987 514,805
Administrative charges 9,594 1,760 60,349 97,321
-------------------- ---------------- ---------------------- -----------------
Total expenses 66,625 11,788 388,336 612,126
-------------------- ---------------- ---------------------- -----------------
Net investment income (loss) (66,625) (10,254) (74,101) (514,602)
-------------------- ---------------- ---------------------- -----------------
NET REALIZED AND CHANGE IN
UNREALIZED GAINS (LOSSES) ON
INVESTMENTS:
Realized gain distributions -- -- 1,195,267 2,087,390
Realized gains (losses) on sale of
investments 52,849 14,391 245,227 13,045
-------------------- ---------------- ---------------------- -----------------
Net realized gains (losses) 52,849 14,391 1,440,494 2,100,435
-------------------- ---------------- ---------------------- -----------------
Change in unrealized gains (losses)
on investments 1,146,011 277,374 4,020,489 12,805,750
-------------------- ---------------- ---------------------- -----------------
Net realized and change in
unrealized gains (losses) on
investments 1,198,860 291,765 5,460,983 14,906,185
-------------------- ---------------- ---------------------- -----------------
Net increase (decrease) in net assets
resulting from operations $ 1,132,235 $ 281,511 $ 5,386,882 $ 14,391,583
==================== ================ ====================== =================
(a) For the period May 3, 2010 to December 31, 2010.
(b) For the period March 15, 2010 to December 31, 2010.
The accompanying notes are an integral part of these financial statements.
52
FEDERATED FEDERATED HIGH ALGER T. ROWE PRICE
CAPITAL INCOME INCOME BOND FEDERATED KAUFMAN NEUBERGER GENESIS SMALL CAP GROWTH GROWTH STOCK
SUB-ACCOUNT (b) SUB-ACCOUNT SUB-ACCOUNT (b) SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
------------------ ----------------- -------------------- -------------------- ------------------- ----------------
$ 36 $ 2,201 $ -- $ -- $ -- $ 3,832
------------------ ----------------- -------------------- -------------------- ------------------- ----------------
175 389 834 79 711,530 59,850
-- -- -- -- -- --
------------------ ----------------- -------------------- -------------------- ------------------- ----------------
175 389 834 79 711,530 59,850
------------------ ----------------- -------------------- -------------------- ------------------- ----------------
(139) 1,812 (834) (79) (711,530) (56,018)
------------------ ----------------- -------------------- -------------------- ------------------- ----------------
-- -- -- -- -- --
(39) (31) (21) 463 (350,422) 12,135
------------------ ----------------- -------------------- -------------------- ------------------- ----------------
(39) (31) (21) 463 (350,422) 12,135
------------------ ----------------- -------------------- -------------------- ------------------- ----------------
1,123 1,676 10,091 1,309 12,464,995 1,033,917
------------------ ----------------- -------------------- -------------------- ------------------- ----------------
1,084 1,645 10,070 1,772 12,114,573 1,046,052
------------------ ----------------- -------------------- -------------------- ------------------- ----------------
$ 945 $ 3,457 $ 9,236 $ 1,693 $ 11,403,043 $ 990,034
================== ================= ==================== ==================== =================== ================
The accompanying notes are an integral part of these financial statements.
53
METLIFE INVESTORS USA SEPARATE ACCOUNT A
OF METLIFE INVESTORS USA INSURANCE COMPANY
STATEMENTS OF OPERATIONS -- (CONTINUED)
FOR THE YEAR ENDED DECEMBER 31, 2010
AMERICAN FUNDS
T. ROWE PRICE T. ROWE PRICE JANUS ASPEN GLOBAL SMALL
INTERNATIONAL STOCK PRIME RESERVE WORLDWIDE CAPITALIZATION
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
---------------------- ---------------- -------------- -----------------
INVESTMENT INCOME:
Dividends $ 9,678 $ 168 $ 36 $ 1,162,008
---------------------- ---------------- -------------- -----------------
EXPENSES:
Mortality and expense risk and
other charges 7,620 12,351 51 786,513
Administrative charges -- -- -- 113,358
---------------------- ---------------- -------------- -----------------
Total expenses 7,620 12,351 51 899,871
---------------------- ---------------- -------------- -----------------
Net investment income (loss) 2,058 (12,183) (15) 262,137
---------------------- ---------------- -------------- -----------------
NET REALIZED AND CHANGE IN
UNREALIZED GAINS (LOSSES) ON
INVESTMENTS:
Realized gain distributions 2,581 -- -- --
Realized gains (losses) on sale of
investments (8,280) -- 51 (620,368)
---------------------- ---------------- -------------- -----------------
Net realized gains (losses) (5,699) -- 51 (620,368)
---------------------- ---------------- -------------- -----------------
Change in unrealized gains (losses)
on investments 114,449 -- 785 13,607,870
---------------------- ---------------- -------------- -----------------
Net realized and change in
unrealized gains (losses) on
investments 108,750 -- 836 12,987,502
---------------------- ---------------- -------------- -----------------
Net increase (decrease) in net assets
resulting from operations $ 110,808 $ (12,183) $ 821 $ 13,249,639
====================== ================ ============== =================
(a) For the period May 3, 2010 to December 31, 2010.
(b) For the period March 15, 2010 to December 31, 2010.
The accompanying notes are an integral part of these financial statements.
54
AMERICAN FUNDS AMERICAN FUNDS AMERICAN FUNDS AMERICAN FUNDS FTVIPT MUTUAL FTVIPT TEMPLETON
GROWTH GROWTH-INCOME GLOBAL GROWTH BOND SHARES SECURITIES FOREIGN SECURITIES
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
----------------- ----------------- ----------------- -------------- -------------------- ---------------------
$ 3,623,277 $ 3,623,812 $ 2,711,542 $ 2,469,726 $ 1,567,236 $ 1,337,413
----------------- ----------------- ----------------- -------------- -------------------- ---------------------
5,954,636 3,049,328 2,215,406 786,597 1,157,531 1,115,695
1,100,375 520,392 433,543 179,482 241,439 178,171
----------------- ----------------- ----------------- -------------- -------------------- ---------------------
7,055,011 3,569,720 2,648,949 966,079 1,398,970 1,293,866
----------------- ----------------- ----------------- -------------- -------------------- ---------------------
(3,431,734) 54,092 62,593 1,503,647 168,266 43,547
----------------- ----------------- ----------------- -------------- -------------------- ---------------------
-- -- -- -- -- --
(567,706) (942,084) (242,233) 71,340 (385,340) (879,380)
----------------- ----------------- ----------------- -------------- -------------------- ---------------------
(567,706) (942,084) (242,233) 71,340 (385,340) (879,380)
----------------- ----------------- ----------------- -------------- -------------------- ---------------------
84,253,153 24,414,298 18,852,792 1,549,414 9,513,224 5,846,879
----------------- ----------------- ----------------- -------------- -------------------- ---------------------
83,685,447 23,472,214 18,610,559 1,620,754 9,127,884 4,967,499
----------------- ----------------- ----------------- -------------- -------------------- ---------------------
$ 80,253,713 $ 23,526,306 $ 18,673,152 $ 3,124,401 $ 9,296,150 $ 5,011,046
================= ================= ================= ============== ==================== =====================
The accompanying notes are an integral part of these financial statements.
55
METLIFE INVESTORS USA SEPARATE ACCOUNT A
OF METLIFE INVESTORS USA INSURANCE COMPANY
STATEMENTS OF OPERATIONS -- (CONTINUED)
FOR THE YEAR ENDED DECEMBER 31, 2010
FTVIPT TEMPLETON FTVIPT FRANKLIN
FTVIPT TEMPLETON FTVIPT FRANKLIN GLOBAL BOND SMALL CAP VALUE
GROWTH SECURITIES INCOME SECURITIES SECURITIES SECURITIES
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
-------------------- -------------------- ---------------- ------------------
INVESTMENT INCOME:
Dividends $ 593,829 $ 9,966,679 $ 868,342 $ 143,826
-------------------- -------------------- ---------------- ------------------
EXPENSES:
Mortality and expense risk and
other charges 527,806 1,783,341 684,188 212,922
Administrative charges 107,487 377,366 158,829 49,063
-------------------- -------------------- ---------------- ------------------
Total expenses 635,293 2,160,707 843,017 261,985
-------------------- -------------------- ---------------- ------------------
Net investment income (loss) (41,464) 7,805,972 25,325 (118,159)
-------------------- -------------------- ---------------- ------------------
NET REALIZED AND CHANGE IN
UNREALIZED GAINS (LOSSES) ON
INVESTMENTS:
Realized gain distributions -- -- 157,085 --
Realized gains (losses) on sale of
investments (1,194,460) (465,020) 71,872 54,701
-------------------- -------------------- ---------------- ------------------
Net realized gains (losses) (1,194,460) (465,020) 228,957 54,701
-------------------- -------------------- ---------------- ------------------
Change in unrealized gains (losses)
on investments 3,626,718 9,173,322 7,083,996 5,414,279
-------------------- -------------------- ---------------- ------------------
Net realized and change in
unrealized gains (losses) on
investments 2,432,258 8,708,302 7,312,953 5,468,980
-------------------- -------------------- ---------------- ------------------
Net increase (decrease) in net assets
resulting from operations $ 2,390,794 $ 16,514,274 $ 7,338,278 $ 5,350,821
==================== ==================== ================ ==================
(a) For the period May 3, 2010 to December 31, 2010.
(c) For the period March 15, 2010 to December 31, 2010.
The accompanying notes are an integral part of these financial statements.
56
PIONEER VCT PIONEER VCT PIONEER VCT PIONEER VCT PIONEER VCT
UIF U.S. REAL ESTATE BOND CULLEN VALUE EMERGING MARKETS EQUITY INCOME FUND
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
----------------------- ----------- --------------- ------------------- ------------- --------------
$ 1,320,960 $ 106,688 $ 11,513 $ 3,369 $ 7,659 $ 2,642
----------------------- ----------- --------------- ------------------- ------------- --------------
764,984 28,141 25,019 14,744 5,117 2,651
153,396 5,658 4,970 2,644 912 583
----------------------- ----------- --------------- ------------------- ------------- --------------
918,380 33,799 29,989 17,388 6,029 3,234
----------------------- ----------- --------------- ------------------- ------------- --------------
402,580 72,889 (18,476) (14,019) 1,630 (592)
----------------------- ----------- --------------- ------------------- ------------- --------------
-- -- -- -- -- --
(3,793,020) 28,371 22,967 51,198 17,928 1,674
----------------------- ----------- --------------- ------------------- ------------- --------------
(3,793,020) 28,371 22,967 51,198 17,928 1,674
----------------------- ----------- --------------- ------------------- ------------- --------------
18,634,695 55,693 155,011 110,840 38,303 32,740
----------------------- ----------- --------------- ------------------- ------------- --------------
14,841,675 84,064 177,978 162,038 56,231 34,414
----------------------- ----------- --------------- ------------------- ------------- --------------
$ 15,244,255 $ 156,953 $ 159,502 $ 148,019 $ 57,861 $ 33,822
======================= =========== =============== =================== ============= ==============
The accompanying notes are an integral part of these financial statements.
57
METLIFE INVESTORS USA SEPARATE ACCOUNT A
OF METLIFE INVESTORS USA INSURANCE COMPANY
STATEMENTS OF OPERATIONS -- (CONTINUED)
FOR THE YEAR ENDED DECEMBER 31, 2010
PIONEER VCT IBBOTSON PIONEER VCT IBBOTSON PIONEER VCT PIONEER VCT REAL
GROWTH ALLOCATION MODERATE ALLOCATION MID CAP VALUE ESTATE SHARES
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
-------------------- -------------------- ---------------- ----------------
INVESTMENT INCOME:
Dividends $ 333,393 $ 643,849 $ 337,027 $ 5,409
-------------------- -------------------- ---------------- ----------------
EXPENSES:
Mortality and expense risk and
other charges 249,686 328,293 465,847 2,986
Administrative charges 44,216 63,518 96,556 551
-------------------- -------------------- ---------------- ----------------
Total expenses 293,902 391,811 562,403 3,537
-------------------- -------------------- ---------------- ----------------
Net investment income (loss) 39,491 252,038 (225,376) 1,872
-------------------- -------------------- ---------------- ----------------
NET REALIZED AND CHANGE IN
UNREALIZED GAINS (LOSSES) ON
INVESTMENTS:
Realized gain distributions -- -- -- --
Realized gains (losses) on sale of
investments 360,330 221,662 (237,712) 28,087
-------------------- -------------------- ---------------- ----------------
Net realized gains (losses) 360,330 221,662 (237,712) 28,087
-------------------- -------------------- ---------------- ----------------
Change in unrealized gains (losses)
on investments 1,818,686 2,500,603 6,635,500 27,619
-------------------- -------------------- ---------------- ----------------
Net realized and change in
unrealized gains (losses) on
investments 2,179,016 2,722,265 6,397,788 55,706
-------------------- -------------------- ---------------- ----------------
Net increase (decrease) in net assets
resulting from operations $ 2,218,507 $ 2,974,303 $ 6,172,412 $ 57,578
==================== ==================== ================ ================
(a) For the period May 3, 2010 to December 31, 2010.
(b) For the period March 15, 2010 to December 31, 2010.
The accompanying notes are an integral part of these financial statements.
58
LMPVET
LMPVET LMPVET CLEARBRIDGE VARIABLE LMPVET LMPVET LMPVET
CLEARBRIDGE VARIABLE CLEARBRIDGE VARIABLE FUNDAMENTAL CLEARBRIDGE VARIABLE CLEARBRIDGE VARIABLE CLEARBRIDGE VARIABLE
SMALL CAP GROWTH LARGE CAP VALUE ALL CAP VALUE APPRECIATION AGGRESSIVE GROWTH LARGE CAP GROWTH
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
--------------------- --------------------- --------------------- --------------------- --------------------- ---------------------
$ -- $ 75,586 $ 1,556,462 $ 2,549,002 $ 195,409 $ 6,925
--------------------- --------------------- --------------------- --------------------- --------------------- ---------------------
327,041 38,094 1,079,364 1,682,048 1,697,456 91,852
64,955 6,248 217,229 348,246 332,306 15,087
--------------------- --------------------- --------------------- --------------------- --------------------- ---------------------
391,996 44,342 1,296,593 2,030,294 2,029,762 106,939
--------------------- --------------------- --------------------- --------------------- --------------------- ---------------------
(391,996) 31,244 259,869 518,708 (1,834,353) (100,014)
--------------------- --------------------- --------------------- --------------------- --------------------- ---------------------
-- -- -- -- -- --
96,515 (95,704) (692,388) (46,528) (729,737) (67,178)
--------------------- --------------------- --------------------- --------------------- --------------------- ---------------------
96,515 (95,704) (692,388) (46,528) (729,737) (67,178)
--------------------- --------------------- --------------------- --------------------- --------------------- ---------------------
6,313,023 249,108 13,378,879 15,933,466 31,554,611 580,884
--------------------- --------------------- --------------------- --------------------- --------------------- ---------------------
6,409,538 153,404 12,686,491 15,886,938 30,824,874 513,706
--------------------- --------------------- --------------------- --------------------- --------------------- ---------------------
$ 6,017,542 $ 184,648 $ 12,946,360 $ 16,405,646 $ 28,990,521 $ 413,692
===================== ===================== ===================== ===================== ===================== =====================
The accompanying notes are an integral part of these financial statements.
59
METLIFE INVESTORS USA SEPARATE ACCOUNT A
OF METLIFE INVESTORS USA INSURANCE COMPANY
STATEMENTS OF OPERATIONS -- (CONCLUDED)
FOR THE YEAR ENDED DECEMBER 31, 2010
LMPVET
LMPVET INVESTMENT CLEARBRIDGE LMPVET LMPVET
COUNSEL VARIABLE VARIABLE EQUITY CLEARBRIDGE CLEARBRIDGE VARIABLE
SOCIAL AWARENESS INCOME BUILDER VARIABLE CAPITAL DIVIDEND STRATEGY
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
-------------------- ------------------ ------------------- -----------------------
INVESTMENT INCOME:
Dividends $ 6,582 $ 2,879,006 $ 40,567 $ 161,132
-------------------- ------------------ ------------------- -----------------------
EXPENSES:
Mortality and expense risk and
other charges 7,215 875,364 78,428 83,281
Administrative charges 1,325 175,898 12,599 13,943
-------------------- ------------------ ------------------- -----------------------
Total expenses 8,540 1,051,262 91,027 97,224
-------------------- ------------------ ------------------- -----------------------
Net investment income (loss) (1,958) 1,827,744 (50,460) 63,908
-------------------- ------------------ ------------------- -----------------------
NET REALIZED AND CHANGE IN
UNREALIZED GAINS (LOSSES) ON
INVESTMENTS:
Realized gain distributions -- -- -- --
Realized gains (losses) on sale of
investments (15,882) (2,284,460) (459,328) (127,436)
-------------------- ------------------ ------------------- -----------------------
Net realized gains (losses) (15,882) (2,284,460) (459,328) (127,436)
-------------------- ------------------ ------------------- -----------------------
Change in unrealized gains (losses)
on investments 67,430 7,931,196 1,016,611 598,520
-------------------- ------------------ ------------------- -----------------------
Net realized and change in
unrealized gains (losses) on
investments 51,548 5,646,736 557,283 471,084
-------------------- ------------------ ------------------- -----------------------
Net increase (decrease) in net assets
resulting from operations $ 49,590 $ 7,474,480 $ 506,823 $ 534,992
==================== ================== =================== =======================
(a) For the period May 3, 2010 to December 31, 2010.
(b) For the period March 15, 2010 to December 31, 2010.
The accompanying notes are an integral part of these financial statements.
60
LMPVIT WESTERN
LMPVET LMPVET LMPVET ASSET VARIABLE LMPVIT WESTERN
VARIABLE LIFESTYLE VARIABLE LIFESTYLE VARIABLE LIFESTYLE ADJUSTABLE RATE ASSET VARIABLE GLOBAL
ALLOCATION 50% ALLOCATION 70% ALLOCATION 85% INCOME HIGH YIELD BOND
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
--------------------- --------------------- --------------------- ------------------ ------------------------
$ 351,792 $ 67,686 $ 913,002 $ 23,448 $ 5,101,414
--------------------- --------------------- --------------------- ------------------ ------------------------
112,783 45,195 583,866 29,272 687,794
21,428 8,277 132,131 5,366 134,601
--------------------- --------------------- --------------------- ------------------ ------------------------
134,211 53,472 715,997 34,638 822,395
--------------------- --------------------- --------------------- ------------------ ------------------------
217,581 14,214 197,005 (11,190) 4,279,019
--------------------- --------------------- --------------------- ------------------ ------------------------
-- -- -- -- --
(104,317) (75,321) (47,518) (34,178) (257,958)
--------------------- --------------------- --------------------- ------------------ ------------------------
(104,317) (75,321) (47,518) (34,178) (257,958)
--------------------- --------------------- --------------------- ------------------ ------------------------
1,061,494 464,939 7,347,126 200,066 2,633,790
--------------------- --------------------- --------------------- ------------------ ------------------------
957,177 389,618 7,299,608 165,888 2,375,832
--------------------- --------------------- --------------------- ------------------ ------------------------
$ 1,174,758 $ 403,832 $ 7,496,613 $ 154,698 $ 6,654,851
===================== ===================== ===================== ================== ========================
The accompanying notes are an integral part of these financial statements.
61
METLIFE INVESTORS USA SEPARATE ACCOUNT A
OF METLIFE INVESTORS USA INSURANCE COMPANY
STATEMENTS OF CHANGES IN NET ASSETS
FOR THE YEARS ENDED DECEMBER 31, 2010 AND 2009
MIST LORD ABBETT GROWTH AND INCOME MIST LORD ABBETT BOND DEBENTURE
SUB-ACCOUNT SUB-ACCOUNT
-------------------- ---------------- -------------------- --------------
2010 2009 2010 2009
---------------- -------------------- ---------------- ------------------
INCREASE (DECREASE) IN NET ASSETS:
FROM OPERATIONS:
Net investment income (loss) $ (2,179,634) $ 3,407,335 $ 11,561,665 $ 11,651,022
Net realized gains (losses) (11,738,174) (19,779,752) 655,266 (2,618,629)
Change in unrealized gains (losses)
on investments 88,503,005 89,166,515 14,381,461 53,160,028
---------------- -------------------- ---------------- ------------------
Net increase (decrease) in net
assets resulting from operations 74,585,197 72,794,098 26,598,392 62,192,421
---------------- -------------------- ---------------- ------------------
CONTRACT TRANSACTIONS:
Purchase payments received from
contract owners 34,498,056 24,790,970 19,319,664 13,520,954
Net transfers (including fixed
account) (9,485,921) (9,170,650) (2,789,729) 8,532,182
Contract charges (1,907,565) (1,725,909) (1,255,669) (1,091,983)
Transfers for contract benefits and
terminations (41,749,572) (31,471,695) (19,865,961) (15,416,833)
---------------- -------------------- ---------------- ------------------
Net increase (decrease) in net
assets resulting from
contract transactions (18,645,002) (17,577,284) (4,591,695) 5,544,320
---------------- -------------------- ---------------- ------------------
Net increase (decrease) in
net assets 55,940,195 55,216,814 22,006,697 67,736,741
NET ASSETS:
Beginning of year 502,483,411 447,266,597 245,913,998 178,177,257
---------------- -------------------- ---------------- ------------------
End of year $ 558,423,606 $ 502,483,411 $ 267,920,695 $ 245,913,998
================ ==================== ================ ==================
(a) For the period May 4, 2009 to December 31, 2009.
(b) For the period May 3, 2010 to December 31, 2010.
(c) For the period October 15, 2009 to December 15, 2009.
(d) For the period March 15, 2010 to December 31, 2010.
The accompanying notes are an integral part of these financial statements.
62
MIST MORGAN STANLEY MID CAP GROWTH MIST LORD ABBETT MID CAP VALUE MIST LAZARD MID CAP
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
------------------------------------- ---------------------------------- ----------------------------------
2010 2009 2010 2009 2010 2009
--------------- --------------------- ---------------- ----------------- ---------------- -----------------
$ (1,024,509) $ (629,905) $ (869,314) $ 23,534 $ (891,874) $ (414,902)
249,855 (846,552) 114,776 (729,988) (1,471,607) (3,302,687)
19,404,837 18,975,278 19,290,624 12,132,534 24,676,618 29,227,950
--------------- --------------------- ---------------- ----------------- ---------------- -----------------
18,630,183 17,498,821 18,536,086 11,426,080 22,313,137 25,510,361
--------------- --------------------- ---------------- ----------------- ---------------- -----------------
20,931,300 14,583,797 27,767,987 18,776,021 18,328,029 11,713,789
(368,519) (2,621,706) 5,462,249 8,850,724 1,824,089 (1,645,217)
(484,810) (293,779) (589,256) (241,571) (711,764) (500,917)
(3,982,569) (2,104,313) (3,756,372) (1,808,129) (7,455,077) (4,372,768)
--------------- --------------------- ---------------- ----------------- ---------------- -----------------
16,095,402 9,563,999 28,884,608 25,577,045 11,985,277 5,194,887
--------------- --------------------- ---------------- ----------------- ---------------- -----------------
34,725,585 27,062,820 47,420,694 37,003,125 34,298,414 30,705,248
54,290,087 27,227,267 60,902,685 23,899,560 100,906,992 70,201,744
--------------- --------------------- ---------------- ----------------- ---------------- -----------------
$ 89,015,672 $ 54,290,087 $ 108,323,379 $ 60,902,685 $ 135,205,406 $ 100,906,992
=============== ===================== ================ ================= ================ =================
The accompanying notes are an integral part of these financial statements.
63
METLIFE INVESTORS USA SEPARATE ACCOUNT A
OF METLIFE INVESTORS USA INSURANCE COMPANY
STATEMENTS OF CHANGES IN NET ASSETS -- (CONTINUED)
FOR THE YEARS ENDED DECEMBER 31, 2010 AND 2009
MIST INVESCO SMALL CAP GROWTH MIST HARRIS OAKMARK INTERNATIONAL
SUB-ACCOUNT SUB-ACCOUNT
----------------------------------- ------------------------------------
2010 2009 2010 2009
---------------- ------------------ ---------------- ---------------
INCREASE (DECREASE) IN NET ASSETS:
FROM OPERATIONS:
Net investment income (loss) $ (2,468,565) $ (1,876,335) $ 702,155 $ 14,134,303
Net realized gains (losses) (466,657) (2,814,981) (2,155,945) (8,257,515)
Change in unrealized gains (losses)
on investments 37,724,319 37,631,558 54,275,769 95,170,553
---------------- ------------------ ---------------- ---------------
Net increase (decrease) in net
assets resulting from operations 34,789,097 32,940,242 52,821,979 101,047,341
---------------- ------------------ ---------------- ---------------
CONTRACT TRANSACTIONS:
Purchase payments received from
contract owners 22,455,325 14,721,210 82,957,906 32,490,984
Net transfers (including fixed
account) (1,342,715) (558,124) 35,195,388 44,876
Contract charges (883,578) (683,499) (2,086,105) (1,394,770)
Transfers for contract benefits and
terminations (8,881,497) (6,393,128) (18,631,233) (11,888,624)
---------------- ------------------ ---------------- ---------------
Net increase (decrease) in net
assets resulting from
contract transactions 11,347,535 7,086,459 97,435,956 19,252,466
---------------- ------------------ ---------------- ---------------
Net increase (decrease) in
net assets 46,136,632 40,026,701 150,257,935 120,299,807
NET ASSETS:
Beginning of year 140,473,926 100,447,225 309,481,262 189,181,455
---------------- ------------------ ---------------- ---------------
End of year $ 186,610,558 $ 140,473,926 $ 459,739,197 $ 309,481,262
================ ================== ================ ===================
(a) For the period May 4, 2009 to December 31, 2009.
(b) For the period May 3, 2010 to December 31, 2010.
(c) For the period October 15, 2009 to December 15, 2009.
(d) For the period March 15, 2010 to December 31, 2010.
The accompanying notes are an integral part of these financial statements.
64
MIST
MIST THIRD AVENUE SMALL CAP VALUE MIST OPPENHEIMER CAPITAL APPRECIATION LEGG MASON CLEARBRIDGE AGGRESSIVE GROWTH
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
------------------------------------ ---------------------------------------- -------------------------------------------
2010 2009 2010 2009 2010 2009
---------------- ------------------- ---------------- ----------------------- ---------------- --------------------------
$ (1,246,284) $ (1,038,997) $ (2,151,099) $ (2,827,781) $ (1,332,850) $ (1,032,858)
(801,208) (856,195) (9,290,928) (16,868,181) (927,201) (3,151,338)
51,293,976 53,626,734 25,130,998 81,408,078 19,271,527 21,503,806
---------------- ------------------- ---------------- ----------------------- ---------------- --------------------------
49,246,484 51,731,542 13,688,971 61,712,116 17,011,476 17,319,610
---------------- ------------------- ---------------- ----------------------- ---------------- --------------------------
35,681,864 26,362,759 3,281,141 3,154,999 12,070,122 5,272,403
(1,476,974) 2,707,898 (7,070,024) (9,985,808) 5,475,099 (1,962,041)
(1,539,921) (1,222,132) (906,090) (960,351) (468,260) (379,561)
(16,870,282) (12,018,057) (14,069,318) (11,619,466) (4,991,971) (3,535,631)
---------------- ------------------- ---------------- ----------------------- ---------------- --------------------------
15,794,687 15,830,468 (18,764,291) (19,410,626) 12,084,990 (604,830)
---------------- ------------------- ---------------- ----------------------- ---------------- --------------------------
65,041,171 67,562,010 (5,075,320) 42,301,490 29,096,466 16,714,780
262,479,306 194,917,296 201,465,075 159,163,585 73,409,292 56,694,512
---------------- ------------------- ---------------- ----------------------- ---------------- --------------------------
$ 327,520,477 $ 262,479,306 $ 196,389,755 $ 201,465,075 $ 102,505,758 $ 73,409,292
================ =================== ================ ======================= ================ ==========================
The accompanying notes are an integral part of these financial statements.
65
METLIFE INVESTORS USA SEPARATE ACCOUNT A
OF METLIFE INVESTORS USA INSURANCE COMPANY
STATEMENTS OF CHANGES IN NET ASSETS -- (CONTINUED)
FOR THE YEARS ENDED DECEMBER 31, 2010 AND 2009
MIST PIMCO TOTAL RETURN MIST RCM TECHNOLOGY
SUB-ACCOUNT SUB-ACCOUNT
------------------------------------- ----------------------------------
2010 2009 2010 2009
------------------ ------------------ ---------------- -------------
INCREASE (DECREASE) IN NET ASSETS:
FROM OPERATIONS:
Net investment income (loss) $ 23,217,472 $ 36,006,518 $ (1,373,160) $ (856,547)
Net realized gains (losses) 11,470,536 28,108,034 (256,411) (4,131,893)
Change in unrealized gains (losses)
on investments 43,519,330 43,548,561 22,084,395 28,745,651
------------------ ------------------ ---------------- -------------
Net increase (decrease) in net
assets resulting from operations 78,207,338 107,663,113 20,454,824 23,757,211
------------------ ------------------ ---------------- -------------
CONTRACT TRANSACTIONS:
Purchase payments received from
contract owners 528,002,334 283,591,707 15,191,832 8,378,739
Net transfers (including fixed
account) 193,559,819 186,018,088 4,638,445 7,819,129
Contract charges (9,123,029) (3,508,859) (485,886) (308,883)
Transfers for contract benefits and
terminations (84,494,300) (60,877,549) (4,684,902) (2,421,353)
------------------ ------------------ ---------------- -------------
Net increase (decrease) in net
assets resulting from
contract transactions 627,944,824 405,223,387 14,659,489 13,467,632
------------------ ------------------ ---------------- -------------
Net increase (decrease) in
net assets 706,152,162 512,886,500 35,114,313 37,224,843
NET ASSETS:
Beginning of year 1,055,450,302 542,563,802 74,614,703 37,389,860
------------------ ------------------ ---------------- -------------
End of year $ 1,761,602,464 $ 1,055,450,302 $ 109,729,016 $ 74,614,703
================== ================== ================ ==============
(a) For the period May 4, 2009 to December 31, 2009.
(b) For the period May 3, 2010 to December 31, 2010.
(c) For the period October 15, 2009 to December 15, 2009.
(d) For the period March 15, 2010 to December 31, 2010.
The accompanying notes are an integral part of these financial statements.
66
MIST PIMCO INFLATION PROTECTED BOND MIST T. ROWE PRICE MID CAP GROWTH MIST MFS RESEARCH INTERNATIONAL
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
-------------------------------------- ------------------------------------ -----------------------------------
2010 2009 2010 2009 2010 2009
---------------- ---------------- ---------------- --------------- --------------- --------------
$ 3,575,617 $ 5,334,190 $ (4,952,884) $ (3,080,007) $ 219,400 $ 3,448,924
15,232,778 (156,702) 1,190,797 (1,354,117) (4,301,992) (7,097,913)
12,409,725 43,470,993 79,898,499 73,868,915 32,018,558 67,944,426
---------------- ---------------- ---------------- --------------- --------------- --------------
31,218,120 48,648,481 76,136,412 69,434,791 27,935,966 64,295,437
---------------- ---------------- ---------------- --------------- --------------- --------------
186,076,017 108,272,363 81,005,710 48,579,554 33,595,278 30,714,776
55,668,915 91,767,453 16,938,802 11,965,211 (4,781,993) (5,055,706)
(3,960,123) (1,879,564) (1,874,240) (1,056,634) (1,690,651) (1,383,407)
(36,501,799) (23,038,668) (15,531,496) (9,815,630) (17,692,270) (12,091,315)
---------------- ---------------- ---------------- --------------- --------------- --------------
201,283,010 175,121,584 80,538,776 49,672,501 9,430,364 12,184,348
---------------- ---------------- ---------------- --------------- --------------- --------------
232,501,130 223,770,065 156,675,188 119,107,292 37,366,330 76,479,785
478,661,744 254,891,679 258,174,943 139,067,651 281,155,296 204,675,511
---------------- ---------------- ---------------- --------------- --------------- --------------
$ 711,162,874 $ 478,661,744 $ 414,850,131 $ 258,174,943 $ 318,521,626 $ 281,155,296
================ ================ ================ =============== =============== ===============
The accompanying notes are an integral part of these financial statements.
67
METLIFE INVESTORS USA SEPARATE ACCOUNT A
OF METLIFE INVESTORS USA INSURANCE COMPANY
STATEMENTS OF CHANGES IN NET ASSETS -- (CONTINUED)
FOR THE YEARS ENDED DECEMBER 31, 2010 AND 2009
MIST CLARION GLOBAL REAL ESTATE MIST TURNER MID CAP GROWTH
SUB-ACCOUNT SUB-ACCOUNT
---------------------------------- ---------------------------------
2010 2009 2010 2009
---------------- ------------- --------------- -------------
INCREASE (DECREASE) IN NET ASSETS:
FROM OPERATIONS:
Net investment income (loss) $ 6,777,671 $ 1,094,435 $ (1,052,221) $ (702,339)
Net realized gains (losses) (1,407,595) (3,927,292) (238,041) (3,199,344)
Change in unrealized gains (losses)
on investments 10,898,100 28,010,276 16,851,840 20,390,571
---------------- ------------- --------------- -------------
Net increase (decrease) in net
assets resulting from operations 16,268,176 25,177,419 15,561,578 16,488,888
---------------- ------------- --------------- -------------
CONTRACT TRANSACTIONS:
Purchase payments received from
contract owners 25,322,980 13,577,318 12,031,375 6,825,058
Net transfers (including fixed
account) 6,872,912 1,492,861 4,219,138 (338,209)
Contract charges (743,161) (492,700) (401,167) (264,019)
Transfers for contract benefits and
terminations (6,511,048) (5,599,109) (3,352,777) (2,298,537)
---------------- ------------- --------------- -------------
Net increase (decrease) in net
assets resulting from
contract transactions 24,941,683 8,978,370 12,496,569 3,924,293
---------------- ------------- --------------- -------------
Net increase (decrease) in
net assets 41,209,859 34,155,789 28,058,147 20,413,181
NET ASSETS:
Beginning of year 98,120,895 63,965,106 55,630,594 35,217,413
---------------- ------------- --------------- -------------
End of year $ 139,330,754 $ 98,120,895 $ 83,688,741 $ 55,630,594
================ ============== =============== ==============
(a) For the period May 4, 2009 to December 31, 2009.
(b) For the period May 3, 2010 to December 31, 2010.
(c) For the period October 15, 2009 to December 15, 2009.
(d) For the period March 15, 2010 to December 31, 2010.
The accompanying notes are an integral part of these financial statements.
68
MIST GOLDMAN SACHS MID CAP VALUE MIST METLIFE DEFENSIVE STRATEGY MIST METLIFE MODERATE STRATEGY
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
----------------------------------- ------------------------------------- -------------------------------------
2010 2009 2010 2009 2010 2009
---------------- ------------------ ------------------ ------------------ ------------------ ------------------
$ (611,735) $ (285,815) $ 24,675,209 $ 14,285,976 $ 21,827,918 $ 26,502,192
(1,042,195) (5,598,321) 6,974,977 13,352,866 (1,300,604) 27,972,825
20,162,482 24,667,040 129,661,482 207,905,178 249,479,440 327,614,224
---------------- ------------------ ------------------ ------------------ ------------------ ------------------
18,508,552 18,782,904 161,311,668 235,544,020 270,006,754 382,089,241
---------------- ------------------ ------------------ ------------------ ------------------ ------------------
16,294,780 46,636 289,119,491 214,143,790 566,634,946 382,099,405
4,973,575 (5,802,925) 209,055,614 210,670,824 221,642,130 158,217,461
(421,017) (419,044) (13,246,517) (8,298,113) (18,256,739) (11,449,813)
(4,968,579) (3,914,680) (108,776,548) (73,393,069) (134,165,438) (93,949,243)
---------------- ------------------ ------------------ ------------------ ------------------ ------------------
15,878,759 (10,090,013) 376,152,040 343,123,432 635,854,899 434,917,810
---------------- ------------------ ------------------ ------------------ ------------------ ------------------
34,387,311 8,692,891 537,463,708 578,667,452 905,861,653 817,007,051
77,628,353 68,935,462 1,466,386,791 887,719,339 2,188,428,006 1,371,420,955
---------------- ------------------ ------------------ ------------------ ------------------ ------------------
$ 112,015,664 $ 77,628,353 $ 2,003,850,499 $ 1,466,386,791 $ 3,094,289,659 $ 2,188,428,006
================ ================== ================== ================== ================== ==================
The accompanying notes are an integral part of these financial statements.
69
METLIFE INVESTORS USA SEPARATE ACCOUNT A
OF METLIFE INVESTORS USA INSURANCE COMPANY
STATEMENTS OF CHANGES IN NET ASSETS -- (CONTINUED)
FOR THE YEARS ENDED DECEMBER 31, 2010 AND 2009
MIST METLIFE BALANCED STRATEGY MIST METLIFE GROWTH STRATEGY
SUB-ACCOUNT SUB-ACCOUNT
------------------------------------- -------------------------------------
2010 2009 2010 2009
------------------ ------------------ ------------------ ------------------
INCREASE (DECREASE) IN NET ASSETS:
FROM OPERATIONS:
Net investment income (loss) $ 23,823,222 $ (63,616,568) $ 4,153,595 $ (70,638,840)
Net realized gains (losses) (8,304,795) (39,830,891) (69,645,465) (126,970,726)
Change in unrealized gains (losses)
on investments 615,445,203 1,040,029,640 719,869,373 1,313,230,729
------------------ ------------------ ------------------ ------------------
Net increase (decrease) in net
assets resulting from operations 630,963,630 936,582,181 654,377,503 1,115,621,163
------------------ ------------------ ------------------ ------------------
CONTRACT TRANSACTIONS:
Purchase payments received from
contract owners 999,224,042 610,294,471 209,101,091 366,476,905
Net transfers (including fixed
account) 306,719,217 139,386,054 (103,089,847) (199,867,285)
Contract charges (39,416,993) (29,471,803) (44,853,911) (41,661,343)
Transfers for contract benefits and
terminations (292,332,034) (208,445,256) (229,225,934) (173,118,459)
------------------ ------------------ ------------------ ------------------
Net increase (decrease) in net
assets resulting from
contract transactions 974,194,232 511,763,466 (168,068,601) (48,170,182)
------------------ ------------------ ------------------ ------------------
Net increase (decrease) in
net assets 1,605,157,862 1,448,345,647 486,308,902 1,067,450,981
NET ASSETS:
Beginning of year 4,832,135,577 3,383,789,930 5,026,063,304 3,958,612,323
------------------ ------------------ ------------------ ------------------
End of year $ 6,437,293,439 $ 4,832,135,577 $ 5,512,372,206 $ 5,026,063,304
================== ================== ================== ==================
(a) For the period May 4, 2009 to December 31, 2009.
(b) For the period May 3, 2010 to December 31, 2010.
(c) For the period October 15, 2009 to December 15, 2009.
(d) For the period March 15, 2010 to December 31, 2010.
The accompanying notes are an integral part of these financial statements.
70
MIST METLIFE AGGRESSIVE STRATEGY MIST VAN KAMPEN COMSTOCK MIST LEGG MASON VALUE EQUITY
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
----------------------------------- ----------------------------------- ---------------------------------
2010 2009 2010 2009 2010 2009
---------------- -------------- ---------------- -------------- --------------- -------------
$ (1,990,286) $ (5,510,343) $ (119,726) $ (460,408) $ 348,007 $ (16,433)
(7,464,595) (16,962,168) 104,490 (1,068,540) (1,107,947) (3,027,666)
73,777,886 115,113,676 25,565,625 34,431,722 6,128,692 22,636,627
---------------- -------------- ---------------- -------------- --------------- -------------
64,323,005 92,641,165 25,550,389 32,902,774 5,368,752 19,592,528
---------------- -------------- ---------------- -------------- --------------- -------------
73,554,766 41,759,162 45,629,577 27,885,743 16,314,286 13,698,004
(2,887,628) (5,756,557) 10,047,975 66,012,743 4,334,364 2,844,859
(2,698,799) (2,281,803) (973,881) (479,581) (575,256) (363,256)
(21,726,238) (16,233,770) (10,735,249) (5,930,902) (4,087,428) (2,923,377)
---------------- -------------- ---------------- -------------- --------------- -------------
46,242,101 17,487,032 43,968,422 87,488,003 15,985,966 13,256,230
---------------- -------------- ---------------- -------------- --------------- -------------
110,565,106 110,128,197 69,518,811 120,390,777 21,354,718 32,848,758
412,402,731 302,274,534 161,042,507 40,651,730 77,277,821 44,429,063
---------------- -------------- ---------------- -------------- --------------- -------------
$ 522,967,837 $ 412,402,731 $ 230,561,318 $ 161,042,507 $ 98,632,539 $ 77,277,821
================ ============== ================ ============== =============== =============
The accompanying notes are an integral part of these financial statements.
71
METLIFE INVESTORS USA SEPARATE ACCOUNT A
OF METLIFE INVESTORS USA INSURANCE COMPANY
STATEMENTS OF CHANGES IN NET ASSETS -- (CONTINUED)
FOR THE YEARS ENDED DECEMBER 31, 2010 AND 2009
MIST MFS EMERGING MARKETS EQUITY MIST LOOMIS SAYLES GLOBAL MARKETS
SUB-ACCOUNT SUB-ACCOUNT
---------------------------------- -------------------------------------
2010 2009 2010 2009
---------------- --------------- ---------------- ---------------
INCREASE (DECREASE) IN NET ASSETS:
FROM OPERATIONS:
Net investment income (loss) $ (1,558,940) $ (194,930) $ 1,306,860 $ 175,348
Net realized gains (losses) 184,674 (1,132,770) (479,440) (3,107,251)
Change in unrealized gains (losses)
on investments 57,796,915 56,909,602 17,346,226 21,190,524
---------------- --------------- ---------------- ---------------
Net increase (decrease) in net
assets resulting from operations 56,422,649 55,581,902 18,173,646 18,258,621
---------------- --------------- ---------------- ---------------
CONTRACT TRANSACTIONS:
Purchase payments received from
contract owners 98,823,178 47,544,106 23,179,133 10,702,120
Net transfers (including fixed
account) 33,608,948 32,034,394 23,135,238 5,516,677
Contract charges (1,721,209) (694,901) (622,257) (370,960)
Transfers for contract benefits and
terminations (11,726,391) (5,126,179) (4,077,382) (2,073,246)
---------------- --------------- ---------------- ---------------
Net increase (decrease) in net
assets resulting from
contract transactions 118,984,526 73,757,420 41,614,732 13,774,591
---------------- --------------- ---------------- ---------------
Net increase (decrease) in
net assets 175,407,175 129,339,322 59,788,378 32,033,212
NET ASSETS:
Beginning of year 189,762,080 60,422,758 77,383,467 45,350,255
---------------- --------------- ---------------- ---------------
End of year $ 365,169,255 $ 189,762,080 $ 137,171,845 $ 77,383,467
================ =============== ================ ===============
(a) For the period May 4, 2009 to December 31, 2009.
(b) For the period May 3, 2010 to December 31, 2010.
(c) For the period October 15, 2009 to December 15, 2009.
(d) For the period March 15, 2010 to December 31, 2010.
The accompanying notes are an integral part of these financial statements.
72
MIST JANUS FORTY MIST DREMAN SMALL CAP VALUE MIST PIONEER FUND
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
--------------------------------- --------------------------------- ----------------------------------
2010 2009 2010 2009 2010 2009
--------------- ----------------- --------------- ----------------- ---------------- -----------------
$ (133,826) $ (298,143) $ (203,405) $ (138,611) $ (478,869) $ 33,212
36,628 (800,679) 154,017 (293,997) 88,907 (31,424)
3,912,856 6,731,098 3,630,265 4,683,332 13,686,623 8,417,448
--------------- ----------------- --------------- ----------------- ---------------- -----------------
3,815,658 5,632,276 3,580,877 4,250,724 13,296,661 8,419,236
--------------- ----------------- --------------- ----------------- ---------------- -----------------
20,304,418 5,269,399 4,622,090 4,183,333 43,813,736 25,641,164
9,195,931 2,113,444 (1,986,526) (287,971) 6,452,572 3,919,423
(235,237) (129,910) (171,270) (116,706) (405,987) (107,948)
(1,589,721) (2,510,153) (1,193,285) (715,969) (3,551,027) (1,011,033)
--------------- ----------------- --------------- ----------------- ---------------- -----------------
27,675,391 4,742,780 1,271,009 3,062,687 46,309,294 28,441,606
--------------- ----------------- --------------- ----------------- ---------------- -----------------
31,491,049 10,375,056 4,851,886 7,313,411 59,605,955 36,860,842
21,865,637 11,490,581 19,575,088 12,261,677 53,308,711 16,447,869
--------------- ----------------- --------------- ----------------- ---------------- -----------------
$ 53,356,686 $ 21,865,637 $ 24,426,974 $ 19,575,088 $ 112,914,666 $ 53,308,711
=============== ================= =============== ================= ================ =================
The accompanying notes are an integral part of these financial statements.
73
METLIFE INVESTORS USA SEPARATE ACCOUNT A
OF METLIFE INVESTORS USA INSURANCE COMPANY
STATEMENTS OF CHANGES IN NET ASSETS -- (CONTINUED)
FOR THE YEARS ENDED DECEMBER 31, 2010 AND 2009
MIST PIONEER STRATEGIC INCOME MIST BLACKROCK LARGE CAP CORE
SUB-ACCOUNT SUB-ACCOUNT
----------------------------------- --------------------------------
2010 2009 2010 2009
-------------- ---------------- -------------- ----------------
INCREASE (DECREASE) IN NET ASSETS:
FROM OPERATIONS:
Net investment income (loss) $ 10,372,053 $ 6,029,903 $ (52,523) $ (18,960)
Net realized gains (losses) 393,452 (191,058) (80,252) (301,081)
Change in unrealized gains (losses)
on investments 20,915,857 42,593,196 1,037,963 1,074,214
-------------- ---------------- -------------- ----------------
Net increase (decrease) in net
assets resulting from operations 31,681,362 48,432,041 905,188 754,173
-------------- ---------------- -------------- ----------------
CONTRACT TRANSACTIONS:
Purchase payments received from
contract owners 122,502,926 76,452,855 3,102,112 838,893
Net transfers (including fixed
account) 35,965,663 7,690,397 1,040,120 144,646
Contract charges (1,532,681) (656,970) (53,878) (31,944)
Transfers for contract benefits and
terminations (20,015,981) (9,969,287) (458,682) (226,128)
-------------- ---------------- -------------- ----------------
Net increase (decrease) in net
assets resulting from
contract transactions 136,919,927 73,516,995 3,629,672 725,467
-------------- ---------------- -------------- ----------------
Net increase (decrease) in
net assets 168,601,289 121,949,036 4,534,860 1,479,640
NET ASSETS:
Beginning of year 251,000,578 129,051,542 5,078,728 3,599,088
-------------- ---------------- -------------- ----------------
End of year $ 419,601,867 $ 251,000,578 $ 9,613,588 $ 5,078,728
============== ================ ============== ================
(a) For the period May 4, 2009 to December 31, 2009.
(b) For the period May 3, 2010 to December 31, 2010.
(c) For the period October 15, 2009 to December 15, 2009.
(d) For the period March 15, 2010 to December 31, 2010.
The accompanying notes are an integral part of these financial statements.
74
MIST BLACKROCK HIGH YIELD MIST RAINIER LARGE CAP EQUITY MIST AMERICAN FUNDS BALANCED ALLOCATION
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
---------------------------------- --------------------------------- ------------------------------------------
2010 2009 2010 2009 2010 2009
---------------- ----------------- --------------- ----------------- ------------------ -----------------------
$ 5,677,284 $ 1,095,795 $ (418,759) $ (217,515) $ (9,940,079) $ (12,236,408)
7,521,614 422,595 (368,008) (3,536,480) 1,431,438 191,299
4,162,987 18,932,338 5,878,677 9,381,760 218,397,822 219,603,120
---------------- ----------------- --------------- ----------------- ------------------ -----------------------
17,361,885 20,450,728 5,091,910 5,627,765 209,889,181 207,558,011
---------------- ----------------- --------------- ----------------- ------------------ -----------------------
48,324,470 27,978,785 8,349,710 9,306,349 780,028,567 542,325,700
25,077,556 40,605,633 (344,347) (2,781,759) 248,657,423 260,661,354
(890,146) (298,135) (271,652) (166,701) (14,036,590) (4,189,539)
(7,785,000) (2,168,156) (1,335,546) (1,235,750) (61,424,966) (24,044,834)
---------------- ----------------- --------------- ----------------- ------------------ -----------------------
64,726,880 66,118,127 6,398,165 5,122,139 953,224,434 774,752,681
---------------- ----------------- --------------- ----------------- ------------------ -----------------------
82,088,765 86,568,855 11,490,075 10,749,904 1,163,113,615 982,310,692
100,278,538 13,709,683 34,404,016 23,654,112 1,315,175,709 332,865,017
---------------- ----------------- --------------- ----------------- ------------------ -----------------------
$ 182,367,303 $ 100,278,538 $ 45,894,091 $ 34,404,016 $ 2,478,289,324 $ 1,315,175,709
================ ================= =============== ================= ================== =======================
The accompanying notes are an integral part of these financial statements.
75
METLIFE INVESTORS USA SEPARATE ACCOUNT A
OF METLIFE INVESTORS USA INSURANCE COMPANY
STATEMENTS OF CHANGES IN NET ASSETS -- (CONTINUED)
FOR THE YEARS ENDED DECEMBER 31, 2010 AND 2009
MIST AMERICAN FUNDS BOND MIST AMERICAN FUNDS GROWTH
SUB-ACCOUNT SUB-ACCOUNT
----------------------------------- -----------------------------------
2010 2009 2010 2009
---------------- ------------------ ---------------- ------------------
INCREASE (DECREASE) IN NET ASSETS:
FROM OPERATIONS:
Net investment income (loss) $ 122,992 $ (1,269,526) $ (4,592,485) $ (2,182,895)
Net realized gains (losses) 228,924 28,504 791,765 (519,260)
Change in unrealized gains (losses)
on investments 6,583,360 8,847,600 65,409,390 49,442,762
---------------- ------------------ ---------------- ------------------
Net increase (decrease) in net
assets resulting from operations 6,935,276 7,606,578 61,608,670 46,740,607
---------------- ------------------ ---------------- ------------------
CONTRACT TRANSACTIONS:
Purchase payments received from
contract owners 95,186,014 62,636,955 154,860,118 103,582,571
Net transfers (including fixed
account) 40,265,959 46,203,898 38,314,169 37,218,397
Contract charges (1,541,781) (344,696) (2,420,201) (695,505)
Transfers for contract benefits and
terminations (7,200,361) (3,127,075) (10,207,058) (3,714,491)
---------------- ------------------ ---------------- ------------------
Net increase (decrease) in net
assets resulting from
contract transactions 126,709,831 105,369,082 180,547,028 136,390,972
---------------- ------------------ ---------------- ------------------
Net increase (decrease) in
net assets 133,645,107 112,975,660 242,155,698 183,131,579
NET ASSETS:
Beginning of year 141,146,685 28,171,025 238,097,827 54,966,248
---------------- ------------------ ---------------- ------------------
End of year $ 274,791,792 $ 141,146,685 $ 480,253,525 $ 238,097,827
================ ================== ================ ==================
(a) For the period May 4, 2009 to December 31, 2009.
(b) For the period May 3, 2010 to December 31, 2010.
(c) For the period October 15, 2009 to December 15, 2009.
(d) For the period March 15, 2010 to December 31, 2010.
The accompanying notes are an integral part of these financial statements.
76
MIST AMERICAN FUNDS GROWTH ALLOCATION MIST AMERICAN FUNDS INTERNATIONAL MIST AMERICAN FUNDS MODERATE ALLOCATION
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
---------------------------------------- ------------------------------------ -----------------------------------------
2010 2009 2010 2009 2010 2009
------------------ --------------------- ---------------- ------------------- ------------------ -----------------------
$ (8,649,027) $ (13,577,682) $ (1,838,588) $ (1,592,046) $ (1,746,826) $ (7,890,743)
4,410,087 841,106 590,124 (265,007) 442,079 4,019
148,410,760 282,438,706 18,687,175 38,360,906 99,071,297 114,712,832
------------------ --------------------- ---------------- ------------------- ------------------ -----------------------
144,171,820 269,702,130 17,438,711 36,503,853 97,766,550 106,826,108
------------------ --------------------- ---------------- ------------------- ------------------ -----------------------
180,475,839 328,976,500 99,256,032 67,379,015 427,726,570 350,843,448
18,088,978 119,673,133 24,122,092 22,261,881 133,946,313 173,945,155
(11,094,760) (6,021,052) (1,627,834) (553,760) (9,314,240) (2,681,289)
(41,629,664) (22,708,729) (6,247,664) (2,420,645) (37,039,718) (13,664,347)
------------------ --------------------- ---------------- ------------------- ------------------ -----------------------
145,840,393 419,919,852 115,502,626 86,666,491 515,318,925 508,442,967
------------------ --------------------- ---------------- ------------------- ------------------ -----------------------
290,012,213 689,621,982 132,941,337 123,170,344 613,085,475 615,269,075
1,164,848,803 475,226,821 168,980,812 45,810,468 839,089,528 223,820,453
------------------ --------------------- ---------------- ------------------- ------------------ -----------------------
$ 1,454,861,016 $ 1,164,848,803 $ 301,922,149 $ 168,980,812 $ 1,452,175,003 $ 839,089,528
================== ===================== ================ =================== ================== =======================
The accompanying notes are an integral part of these financial statements.
77
METLIFE INVESTORS USA SEPARATE ACCOUNT A
OF METLIFE INVESTORS USA INSURANCE COMPANY
STATEMENTS OF CHANGES IN NET ASSETS -- (CONTINUED)
FOR THE YEARS ENDED DECEMBER 31, 2010 AND 2009
MIST MET/FRANKLIN TEMPLETON
MIST MET/FRANKLIN MUTUAL SHARES FOUNDING STRATEGY
SUB-ACCOUNT SUB-ACCOUNT
---------------------------------- -----------------------------------
2010 2009 2010 2009
---------------- ----------------- ---------------- ------------------
INCREASE (DECREASE) IN NET ASSETS:
FROM OPERATIONS:
Net investment income (loss) $ (1,390,510) $ (549,255) $ (7,646,828) $ (5,049,630)
Net realized gains (losses) 1,266,548 (53,543) 2,432,686 451,638
Change in unrealized gains (losses)
on investments 9,275,276 9,923,609 46,152,780 92,147,991
---------------- ----------------- ---------------- ------------------
Net increase (decrease) in net
assets resulting from operations 9,151,314 9,320,811 40,938,638 87,549,999
---------------- ----------------- ---------------- ------------------
CONTRACT TRANSACTIONS:
Purchase payments received from
contract owners 35,685,384 21,824,367 90,556,345 107,223,575
Net transfers (including fixed
account) 17,119,197 19,440,639 24,451,171 64,570,368
Contract charges (611,489) (175,693) (4,270,744) (2,316,785)
Transfers for contract benefits and
terminations (2,680,809) (996,731) (19,144,666) (11,687,873)
---------------- ----------------- ---------------- ------------------
Net increase (decrease) in net
assets resulting from
contract transactions 49,512,283 40,092,582 91,592,106 157,789,285
---------------- ----------------- ---------------- ------------------
Net increase (decrease) in
net assets 58,663,597 49,413,393 132,530,744 245,339,284
NET ASSETS:
Beginning of year 62,452,238 13,038,845 438,687,403 193,348,119
---------------- ----------------- ---------------- ------------------
End of year $ 121,115,835 $ 62,452,238 $ 571,218,147 $ 438,687,403
================ ================= ================ ==================
(a) For the period May 4, 2009 to December 31, 2009.
(b) For the period May 3, 2010 to December 31, 2010.
(c) For the period October 15, 2009 to December 15, 2009.
(d) For the period March 15, 2010 to December 31, 2010.
The accompanying notes are an integral part of these financial statements.
78
MIST SSGA GROWTH ETF MIST SSGA GROWTH AND INCOME ETF MIST MET/TEMPLETON INTERNATIONAL BOND
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
----------------------------------- ----------------------------------- ---------------------------------------
2010 2009 2010 2009 2010 2009 (a)
---------------- ------------------ ---------------- ------------------ --------------- ------------------------
$ (475,732) $ (500,314) $ (2,837,549) $ (964,411) $ (202,517) $ (28,316)
1,702,495 1,358,621 133,539 278,018 44,288 2,410
29,566,077 26,439,276 78,303,612 34,296,659 2,042,343 237,577
---------------- ------------------ ---------------- ------------------ --------------- ------------------------
30,792,840 27,297,583 75,599,602 33,610,266 1,884,114 211,671
---------------- ------------------ ---------------- ------------------ --------------- ------------------------
80,239,314 86,105,143 380,468,433 183,863,776 17,534,053 4,368,717
59,618,400 50,157,768 246,936,681 96,458,703 9,043,816 3,873,921
(1,658,321) (168,097) (4,250,216) (172,125) (128,805) (3,092)
(6,830,381) (1,590,434) (17,106,759) (2,286,739) (469,277) (12,693)
---------------- ------------------ ---------------- ------------------ --------------- ------------------------
131,369,012 134,504,380 606,048,139 277,863,615 25,979,787 8,226,853
---------------- ------------------ ---------------- ------------------ --------------- ------------------------
162,161,852 161,801,963 681,647,741 311,473,881 27,863,901 8,438,524
163,291,494 1,489,531 314,125,011 2,651,130 8,438,524 --
---------------- ------------------ ---------------- ------------------ --------------- ------------------------
$ 325,453,346 $ 163,291,494 $ 995,772,752 $ 314,125,011 $ 36,302,425 $ 8,438,524
================ ================== ================ ================== =============== ========================
The accompanying notes are an integral part of these financial statements.
79
METLIFE INVESTORS USA SEPARATE ACCOUNT A
OF METLIFE INVESTORS USA INSURANCE COMPANY
STATEMENTS OF CHANGES IN NET ASSETS -- (CONTINUED)
FOR THE YEARS ENDED DECEMBER 31, 2010 AND 2009
MIST MIST
MET/TEMPLETON MET/EATON VANCE
GROWTH FLOATING RATE INVESCO V.I. CORE EQUITY
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
---------------- ------------------ ---------------------------
2010 (b) 2010 (b) 2010 2009
---------------- ------------------ ------------ --------------
INCREASE (DECREASE) IN NET ASSETS:
FROM OPERATIONS:
Net investment income (loss) $ (52,847) $ (68,479) $ (1,724) $ 1,360
Net realized gains (losses) (6,335) 3,564 604 (16,052)
Change in unrealized gains (losses)
on investments 499,282 384,248 31,231 103,659
---------------- ------------------ ------------ --------------
Net increase (decrease) in net
assets resulting from operations 440,100 319,333 30,111 88,967
---------------- ------------------ ------------ --------------
CONTRACT TRANSACTIONS:
Purchase payments received from
contract owners 2,919,536 6,853,875 -- --
Net transfers (including fixed
account) 4,153,672 9,283,240 (4,682) (10,577)
Contract charges (5,446) (16,372) -- --
Transfers for contract benefits and
terminations (127,457) (105,761) (39,341) (62,473)
---------------- ------------------ ------------ --------------
Net increase (decrease) in net
assets resulting from
contract transactions 6,940,305 16,014,982 (44,023) (73,050)
---------------- ------------------ ------------ --------------
Net increase (decrease) in
net assets 7,380,405 16,334,315 (13,912) 15,917
NET ASSETS:
Beginning of year -- -- 407,845 391,928
---------------- ------------------ ------------ --------------
End of year $ 7,380,405 $ 16,334,315 $ 393,933 $ 407,845
================ ================== ============ ==============
(a) For the period May 4, 2009 to December 31, 2009.
(b) For the period May 3, 2010 to December 31, 2010.
(c) For the period October 15, 2009 to December 15, 2009.
(d) For the period March 15, 2010 to December 31, 2010.
The accompanying notes are an integral part of these financial statements.
80
INVESCO V.I. CAPITAL APPRECIATION INVESCO V.I. INTERNATIONAL GROWTH INVESCO V.I. BASIC BALANCED
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
------------------------------------ ----------------------------------- -------------------------------
2010 2009 2010 2009 2010 2009
------------ --------------------- ---------------- ---------------- ------------ ----------------
$ (951) $ (1,132) $ 562,475 $ 176,901 $ 1,348 $ 8,459
(6,842) (16,131) 41,708 (59,133) (6,291) (57,173)
26,623 42,046 10,609,535 13,640,583 20,472 111,144
------------ --------------------- ---------------- ---------------- ------------ ----------------
18,830 24,783 11,213,718 13,758,351 15,529 62,430
------------ --------------------- ---------------- ---------------- ------------ ----------------
-- -- 36,782,367 23,590,536 -- --
(43) (3,492) 2,732,799 1,766,090 (3,757) (38,367)
-- -- (509,705) (252,722) -- --
(33,542) (24,515) (3,646,505) (1,507,974) (17,482) (50,744)
------------ --------------------- ---------------- ---------------- ------------ ----------------
(33,585) (28,007) 35,358,956 23,595,930 (21,239) (89,111)
------------ --------------------- ---------------- ---------------- ------------ ----------------
(14,755) (3,224) 46,572,674 37,354,281 (5,710) (26,681)
157,420 160,644 65,315,391 27,961,110 262,318 288,999
------------ --------------------- ---------------- ---------------- ------------ ----------------
$ 142,665 $ 157,420 $ 111,888,065 $ 65,315,391 $ 256,608 $ 262,318
============ ===================== ================ ================ ============ ================
The accompanying notes are an integral part of these financial statements.
81
METLIFE INVESTORS USA SEPARATE ACCOUNT A
OF METLIFE INVESTORS USA INSURANCE COMPANY
STATEMENTS OF CHANGES IN NET ASSETS -- (CONTINUED)
FOR THE YEARS ENDED DECEMBER 31, 2010 AND 2009
INVESCO V.I. GLOBAL REAL ESTATE INVESCO V.I. CAPITAL GROWTH
SUB-ACCOUNT SUB-ACCOUNT
---------------------------------- ------------------------------
2010 2009 2010 2009
-------------- ------------------- ------------ -----------------
INCREASE (DECREASE) IN NET ASSETS:
FROM OPERATIONS:
Net investment income (loss) $ 262,267 $ (43,055) $ (1,663) $ (1,273)
Net realized gains (losses) (35,497) (195,448) (661) (11,410)
Change in unrealized appreciation
(depreciation) on investments 795,938 1,256,847 22,436 61,642
-------------- ------------------- ------------ -----------------
Net increase (decrease) in net
assets resulting from operations 1,022,708 1,018,344 20,112 48,959
-------------- ------------------- ------------ -----------------
CONTRACT TRANSACTIONS:
Payments received from contract
owners 3,138,876 1,457,840 -- --
Net transfers (including fixed
account) 418,871 140,769 (50) (3,531)
Contract charges (40,040) (21,122) -- --
Transfers for contract benefits &
terminations (298,589) (169,585) (6,344) (17,305)
-------------- ------------------- ------------ -----------------
Net increase (decrease) in net
assets resulting from
contract transactions 3,219,118 1,407,902 (6,394) (20,836)
-------------- ------------------- ------------ -----------------
Net increase (decrease) in
net assets 4,241,826 2,426,246 13,718 28,123
NET ASSETS:
Beginning of year 4,786,308 2,360,062 117,046 88,923
-------------- ------------------- ------------ -----------------
End of year $ 9,028,134 $ 4,786,308 $ 130,764 $ 117,046
============== =================== ============ =================
(a) For the period May 4, 2009 to December 31, 2009.
(b) For the period May 3, 2010 to December 31, 2010.
(c) For the period October 15, 2009 to December 15, 2009.
(d) For the period March 15, 2010 to December 31, 2010.
The accompanying notes are an integral part of these financial statements.
82
INVESCO V.I. GROWTH AND INCOME INVESCO V.I. EQUITY AND INCOME INVESCO V.I. U.S. MID CAP VALUE
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
---------------------------------- ----------------------------------- ----------------------------------
2010 2009 2010 2009 2010 2009
---------------- ----------------- ---------------- ------------------ --------------- ------------------
$ (1,665,286) $ 1,695,011 $ 1,428,806 $ 2,636,596 $ (112,096) $ (16,876)
5,754 (72,754) (177,941) (1,942,156) 20,908 (183,244)
16,781,592 17,669,646 29,567,980 39,158,557 4,289,045 3,959,933
---------------- ----------------- ---------------- ------------------ --------------- ------------------
15,122,060 19,291,903 30,818,845 39,852,997 4,197,857 3,759,813
---------------- ----------------- ---------------- ------------------ --------------- ------------------
40,927,969 31,207,291 75,371,131 63,347,128 9,830,122 4,910,207
4,412,046 3,908,767 7,697,762 858,130 (335,610) (49,234)
(662,294) (338,292) (1,230,553) (633,902) (125,359) (68,356)
(6,967,310) (3,982,405) (16,932,459) (12,262,683) (829,616) (345,188)
---------------- ----------------- ---------------- ------------------ --------------- ------------------
37,710,411 30,795,361 64,905,881 51,308,673 8,539,537 4,447,429
---------------- ----------------- ---------------- ------------------ --------------- ------------------
52,832,471 50,087,264 95,724,726 91,161,670 12,737,394 8,207,242
107,604,807 57,517,543 249,400,082 158,238,412 15,401,650 7,194,408
---------------- ----------------- ---------------- ------------------ --------------- ------------------
$ 160,437,278 $ 107,604,807 $ 345,124,808 $ 249,400,082 $ 28,139,044 $ 15,401,650
================ ================= ================ ================== =============== ==================
The accompanying notes are an integral part of these financial statements.
83
METLIFE INVESTORS USA SEPARATE ACCOUNT A
OF METLIFE INVESTORS USA INSURANCE COMPANY
STATEMENTS OF CHANGES IN NET ASSETS -- (CONTINUED)
FOR THE YEARS ENDED DECEMBER 31, 2010 AND 2009
MFS VIT RESEARCH MFS VIT INVESTORS TRUST
SUB-ACCOUNT SUB-ACCOUNT
-------------------------- --------------------------
2010 2009 2010 2009
------------ ------------- ----------- --------------
INCREASE (DECREASE) IN NET ASSETS:
FROM OPERATIONS:
Net investment income (loss) $ (531) $ 35 $ (45) $ 176
Net realized gains (losses) 1,434 (3,435) (490) (1,543)
Change in unrealized appreciation
(depreciation) on investments 14,248 27,152 3,782 12,125
------------ ------------- ----------- --------------
Net increase (decrease) in net
assets resulting from operations 15,151 23,752 3,247 10,758
------------ ------------- ----------- --------------
CONTRACT TRANSACTIONS:
Payments received from contract
owners -- -- -- --
Net transfers (including fixed
account) -- (3,812) -- --
Contract charges -- -- -- --
Transfers for contract benefits &
terminations (13,820) (3,398) (12,601) (6,391)
------------ ------------- ----------- --------------
Net increase (decrease) in net
assets resulting from
contract transactions (13,820) (7,210) (12,601) (6,391)
------------ ------------- ----------- --------------
Net increase (decrease) in
net assets 1,331 16,542 (9,354) 4,367
NET ASSETS:
Beginning of year 111,057 94,515 52,758 48,391
------------ ------------- ----------- --------------
End of year $ 112,388 $ 111,057 $ 43,404 $ 52,758
============ ============= =========== ==============
(a) For the period May 4, 2009 to December 31, 2009.
(b) For the period May 3, 2010 to December 31, 2010.
(c) For the period October 15, 2009 to December 15, 2009.
(d) For the period March 15, 2010 to December 31, 2010.
The accompanying notes are an integral part of these financial statements.
84
MFS VIT NEW DISCOVERY OPPENHEIMER VA MAIN STREET OPPENHEIMER VA CORE BOND
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
-------------------------- ----------------------------- ---------------------------
2010 2009 2010 2009 2010 2009
----------- -------------- ------------ ---------------- ---------- ----------------
$ (676) $ (574) $ (333) $ 611 $ 781 $ (865)
1,723 (10,436) (1,607) (3,478) (25,321) (34,236)
13,838 31,574 17,514 30,582 27,071 34,717
----------- -------------- ------------ ---------------- ---------- ----------------
14,885 20,564 15,574 27,715 2,531 (384)
----------- -------------- ------------ ---------------- ---------- ----------------
-- -- -- -- -- --
(323) (19,686) -- -- -- (21,078)
-- -- -- -- -- --
(13,188) (41) (17,151) (15,288) (50,402) (16,787)
----------- -------------- ------------ ---------------- ---------- ----------------
(13,511) (19,727) (17,151) (15,288) (50,402) (37,865)
----------- -------------- ------------ ---------------- ---------- ----------------
1,374 837 (1,577) 12,427 (47,871) (38,249)
45,491 44,654 120,826 108,399 57,756 96,005
----------- -------------- ------------ ---------------- ---------- ----------------
$ 46,865 $ 45,491 $ 119,249 $ 120,826 $ 9,885 $ 57,756
=========== ============== ============ ================ ========== ================
The accompanying notes are an integral part of these financial statements.
85
METLIFE INVESTORS USA SEPARATE ACCOUNT A
OF METLIFE INVESTORS USA INSURANCE COMPANY
STATEMENTS OF CHANGES IN NET ASSETS -- (CONTINUED)
FOR THE YEARS ENDED DECEMBER 31, 2010 AND 2009
OPPENHEIMER VA GLOBAL STRATEGIC INCOME OPPENHEIMER VA MAIN STREET SMALL CAP
SUB-ACCOUNT SUB-ACCOUNT
-------------------------------------- ------------------------------------
2010 2009 2010 2009
---------- -------------------------- --------------- -------------------
INCREASE (DECREASE) IN NET ASSETS:
FROM OPERATIONS:
Net investment income (loss) $ 1,178 $ (115) $ (533,716) $ (245,661)
Net realized gains (losses) 610 (83) 126,865 (27,101)
Change in unrealized appreciation
(depreciation) on investments (781) 2,311 12,065,565 10,675,311
---------- -------------------------- --------------- -------------------
Net increase (decrease) in net
assets resulting from operations 1,007 2,113 11,658,714 10,402,549
---------- -------------------------- --------------- -------------------
CONTRACT TRANSACTIONS:
Payments received from contract
owners -- -- 18,693,771 14,554,796
Net transfers (including fixed
account) -- -- (1,159,906) 818,939
Contract charges -- -- (343,300) (175,957)
Transfers for contract benefits &
terminations (11,485) (792) (2,399,412) (1,090,745)
---------- -------------------------- --------------- -------------------
Net increase (decrease) in net
assets resulting from
contract transactions (11,485) (792) 14,791,153 14,107,033
---------- -------------------------- --------------- -------------------
Net increase (decrease) in
net assets (10,478) 1,321 26,449,867 24,509,582
NET ASSETS:
Beginning of year 14,575 13,254 43,881,910 19,372,328
---------- -------------------------- --------------- -------------------
End of year $ 4,097 $ 14,575 $ 70,331,777 $ 43,881,910
========== =========================== =============== ====================
(a) For the period May 4, 2009 to December 31, 2009.
(b) For the period May 3, 2010 to December 31, 2010.
(c) For the period October 15, 2009 to December 15, 2009.
(d) For the period March 15, 2010 to December 31, 2010.
The accompanying notes are an integral part of these financial statements.
86
OPPENHEIMER VA MONEY FIDELITY VIP ASSET MANAGER FIDELITY VIP GROWTH
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
--------------------------- ---------------------------------- -----------------------------------
2010 2009 2010 2009 2010 2009
------------ -------------- ---------------- ----------------- ---------------- ------------------
$ (1,605) $ (1,340) $ 303,216 $ 950,626 $ (1,406,064) $ (1,021,896)
-- -- (1,337,144) (3,930,612) (2,035,626) (5,620,142)
-- -- 12,924,187 25,436,293 30,948,642 34,339,329
------------ -------------- ---------------- ----------------- ---------------- ------------------
(1,605) (1,340) 11,890,259 22,456,307 27,506,952 27,697,291
------------ -------------- ---------------- ----------------- ---------------- ------------------
-- -- 2,625,696 3,045,081 5,252,607 5,974,891
-- -- (3,532,576) (4,201,921) (4,311,860) (5,240,430)
-- -- (17,088) (19,514) (28,747) (33,667)
(2) (30,396) (11,293,877) (7,713,451) (11,675,407) (9,169,633)
------------ -------------- ---------------- ----------------- ---------------- ------------------
(2) (30,396) (12,217,845) (8,889,805) (10,763,407) (8,468,839)
------------ -------------- ---------------- ----------------- ---------------- ------------------
(1,607) (31,736) (327,586) 13,566,502 16,743,545 19,228,452
117,917 149,653 102,112,475 88,545,973 130,641,959 111,413,507
------------ -------------- ---------------- ----------------- ---------------- ------------------
$ 116,310 $ 117,917 $ 101,784,889 $ 102,112,475 $ 147,385,504 $ 130,641,959
============ ============== ================ ================= ================ ==================
The accompanying notes are an integral part of these financial statements.
87
METLIFE INVESTORS USA SEPARATE ACCOUNT A
OF METLIFE INVESTORS USA INSURANCE COMPANY
STATEMENTS OF CHANGES IN NET ASSETS -- (CONTINUED)
FOR THE YEARS ENDED DECEMBER 31, 2010 AND 2009
FIDELITY VIP CONTRAFUND FIDELITY VIP OVERSEAS
SUB-ACCOUNT SUB-ACCOUNT
----------------------------------- -------------------------------
2010 2009 2010 2009
---------------- ------------------ -------------- ----------------
INCREASE (DECREASE) IN NET ASSETS:
FROM OPERATIONS:
Net investment income (loss) $ (350,918) $ 229,547 $ 7,515 $ 49,646
Net realized gains (losses) (2,817,261) (8,147,043) (210,565) (335,524)
Change in unrealized appreciation
(depreciation) on investments 54,045,265 85,877,398 839,726 1,550,624
---------------- ------------------ -------------- ----------------
Net increase (decrease) in net
assets resulting from operations 50,877,086 77,959,902 636,676 1,264,746
---------------- ------------------ -------------- ----------------
CONTRACT TRANSACTIONS:
Payments received from contract
owners 48,392,314 37,790,703 110,002 129,298
Net transfers (including fixed
account) (4,433,949) (5,777,656) (181,503) (11,251)
Contract charges (680,969) (373,565) (61) (70)
Transfers for contract benefits &
terminations (27,989,530) (18,696,848) (581,613) (513,397)
---------------- ------------------ -------------- ----------------
Net increase (decrease) in net
assets resulting from
contract transactions 15,287,866 12,942,634 (653,175) (395,420)
---------------- ------------------ -------------- ----------------
Net increase (decrease) in
net assets 66,164,952 90,902,536 (16,499) 869,326
NET ASSETS:
Beginning of year 313,576,644 222,674,108 6,282,775 5,413,449
---------------- ------------------ -------------- ----------------
End of year $ 379,741,596 $ 313,576,644 $ 6,266,276 $ 6,282,775
================ ================== ============== ================
(a) For the period May 4, 2009 to December 31, 2009.
(b) For the period May 3, 2010 to December 31, 2010.
(c) For the period October 15, 2009 to December 15, 2009.
(d) For the period March 15, 2010 to December 31, 2010.
The accompanying notes are an integral part of these financial statements.
88
FIDELITY VIP EQUITY-INCOME FIDELITY VIP INDEX 500 FIDELITY VIP MONEY MARKET
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
-------------------------------- --------------------------------- ------------------------------------
2010 2009 2010 2009 2010 2009
-------------- ----------------- --------------- ----------------- ----------------- ------------------
$ 21,440 $ 49,168 $ 349,575 $ 736,951 $ (1,226,178) $ (268,588)
(368,831) (854,761) 747,147 (1,065,596) 49,334 --
1,122,280 2,262,987 7,212,312 14,484,264 -- --
-------------- ----------------- --------------- ----------------- ----------------- ------------------
774,889 1,457,394 8,309,034 14,155,619 (1,176,844) (268,588)
-------------- ----------------- --------------- ----------------- ----------------- ------------------
42,332 19,311 1 3,054 1,083,470,105 54,255,706
(216,013) (257,254) (2,819,598) (3,083,161) (1,061,048,748) (40,739,904)
-- -- (29,920) (34,782) (5,638) (7,822)
(789,438) (800,253) (7,037,362) (5,126,122) (4,468,030) (4,368,200)
-------------- ----------------- --------------- ----------------- ----------------- ------------------
(963,119) (1,038,196) (9,886,879) (8,241,011) 17,947,689 9,139,780
-------------- ----------------- --------------- ----------------- ----------------- ------------------
(188,230) 419,198 (1,577,845) 5,914,608 16,770,845 8,871,192
6,538,981 6,119,783 70,079,047 64,164,439 50,572,988 41,701,796
-------------- ----------------- --------------- ----------------- ----------------- ------------------
$ 6,350,751 $ 6,538,981 $ 68,501,202 $ 70,079,047 $ 67,343,833 $ 50,572,988
============== ================= =============== ================= ================= ==================
The accompanying notes are an integral part of these financial statements.
89
METLIFE INVESTORS USA SEPARATE ACCOUNT A
OF METLIFE INVESTORS USA INSURANCE COMPANY
STATEMENTS OF CHANGES IN NET ASSETS -- (CONTINUED)
FOR THE YEARS ENDED DECEMBER 31, 2010 AND 2009
FIDELITY VIP MID CAP FIDELITY VIP FUNDSMANAGER 60%
SUB-ACCOUNT SUB-ACCOUNT
---------------------------------- ------------------------------------
2010 2009 2010 2009 (c)
---------------- ----------------- ------------------ -----------------
INCREASE (DECREASE) IN NET ASSETS:
FROM OPERATIONS:
Net investment income (loss) $ (1,744,848) $ (629,458) $ 3,900,321 $ 401,046
Net realized gains (losses) 558,154 312,025 2,447,161 38,717
Change in unrealized appreciation
(depreciation) on investments 36,279,089 24,075,131 84,722,208 (356,360)
---------------- ----------------- ------------------ -----------------
Net increase (decrease) in net
assets resulting from operations 35,092,395 23,757,698 91,069,690 83,403
---------------- ----------------- ------------------ -----------------
CONTRACT TRANSACTIONS:
Payments received from contract
owners 56,263,722 33,950,852 605,734 (1,091,042)
Net transfers (including fixed
account) (555,816) 3,031,315 1,058,443,175 37,223,652
Contract charges (681,019) (268,436) -- --
Transfers for contract benefits &
terminations (6,657,156) (3,171,116) (9,735,236) (689)
---------------- ----------------- ------------------ -----------------
Net increase (decrease) in net
assets resulting from
contract transactions 48,369,731 33,542,615 1,049,313,673 36,131,921
---------------- ----------------- ------------------ -----------------
Net increase (decrease) in
net assets 83,462,126 57,300,313 1,140,383,363 36,215,324
NET ASSETS:
Beginning of year 103,784,411 46,484,098 36,215,324 --
---------------- ----------------- ------------------ -----------------
End of year $ 187,246,537 $ 103,784,411 $ 1,176,598,687 $ 36,215,324
================ ================= ================== =================
(a) For the period May 4, 2009 to December 31, 2009.
(b) For the period May 3, 2010 to December 31, 2010.
(c) For the period October 15, 2009 to December 15, 2009.
(d) For the period March 15, 2010 to December 31, 2010.
The accompanying notes are an integral part of these financial statements.
90
DWS INTERNATIONAL MSF FI VALUE LEADERS MSF RUSSELL 2000 INDEX
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
--------------------------------- ------------------------------- ---------------------------------
2010 2009 2010 2009 2010 2009
--------------- ----------------- -------------- ---------------- --------------- -----------------
$ 171,534 $ 588,316 $ (15,392) $ 30,744 $ (198,940) $ 20,581
(987,076) (1,165,546) (191,128) (302,926) 84,268 (560,773)
751,044 6,007,926 775,693 956,728 7,422,690 2,716,791
--------------- ----------------- -------------- ---------------- --------------- -----------------
(64,498) 5,430,696 569,173 684,546 7,308,018 2,176,599
--------------- ----------------- -------------- ---------------- --------------- -----------------
1,099,752 1,284,790 930,358 230,413 17,061,843 5,084,961
(923,121) (465,091) 234,046 73,108 8,588,645 3,198,545
(3,204) (3,929) (26,263) (20,896) (110,588) (3,189)
(1,991,327) (1,509,984) (512,619) (117,899) (1,392,164) (417,963)
--------------- ----------------- -------------- ---------------- --------------- -----------------
(1,817,900) (694,214) 625,522 164,726 24,147,736 7,862,354
--------------- ----------------- -------------- ---------------- --------------- -----------------
(1,882,398) 4,736,482 1,194,695 849,272 31,455,754 10,038,953
22,845,161 18,108,679 4,072,835 3,223,563 15,337,009 5,298,056
--------------- ----------------- -------------- ---------------- --------------- -----------------
$ 20,962,763 $ 22,845,161 $ 5,267,530 $ 4,072,835 $ 46,792,763 $ 15,337,009
=============== ================= ============== ================ =============== =================
The accompanying notes are an integral part of these financial statements.
91
METLIFE INVESTORS USA SEPARATE ACCOUNT A
OF METLIFE INVESTORS USA INSURANCE COMPANY
STATEMENTS OF CHANGES IN NET ASSETS -- (CONTINUED)
FOR THE YEARS ENDED DECEMBER 31, 2010 AND 2009
MSF ARTIO INTERNATIONAL STOCK MSF METLIFE STOCK INDEX
SUB-ACCOUNT SUB-ACCOUNT
-------------------------------- -----------------------------------
2010 2009 2010 2009
-------------- ----------------- ---------------- ------------------
INCREASE (DECREASE) IN NET ASSETS:
FROM OPERATIONS:
Net investment income (loss) $ (7,860) $ (41,775) $ (321,143) $ 845,701
Net realized gains (losses) (397,491) (536,794) (1,255,570) (2,515,307)
Change in unrealized appreciation
(depreciation) on investments 580,114 1,254,318 38,151,546 57,162,274
-------------- ----------------- ---------------- ------------------
Net increase (decrease) in net
assets resulting from operations 174,763 675,749 36,574,833 55,492,668
-------------- ----------------- ---------------- ------------------
CONTRACT TRANSACTIONS:
Payments received from contract
owners 16,090 26,434 42,455,345 36,568,257
Net transfers (including fixed
account) 205,234 12,211 3,607,353 38,578,203
Contract charges (1,253) (1,363) (1,245,063) (792,619)
Transfers for contract benefits &
terminations (370,265) (297,210) (19,449,033) (12,769,515)
-------------- ----------------- ---------------- ------------------
Net increase (decrease) in net
assets resulting from
contract transactions (150,194) (259,928) 25,368,602 61,584,326
-------------- ----------------- ---------------- ------------------
Net increase (decrease) in
net assets 24,569 415,821 61,943,435 117,076,994
NET ASSETS:
Beginning of year 3,955,132 3,539,311 281,243,641 164,166,647
-------------- ----------------- ---------------- ------------------
End of year $ 3,979,701 $ 3,955,132 $ 343,187,076 $ 281,243,641
============== ================= ================ ==================
(a) For the period May 4, 2009 to December 31, 2009.
(b) For the period May 3, 2010 to December 31, 2010.
(c) For the period October 15, 2009 to December 15, 2009.
(d) For the period March 15, 2010 to December 31, 2010.
The accompanying notes are an integral part of these financial statements.
92
MSF BLACKROCK LEGACY LARGE CAP GROWTH MSF NEUBERGER BERMAN GENESIS MSF BLACKROCK BOND INCOME
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
---------------------------------------- ------------------------------- ---------------------------------
2010 2009 2010 2009 2010 2009
-------------- ------------------------- -------------- ---------------- --------------- -----------------
$ (117,547) $ (78,977) $ (71,882) $ (18,016) $ 946,236 $ 1,764,401
313,167 101,626 (650,477) (601,664) 88,985 (268,086)
1,246,529 2,007,220 2,336,728 1,528,950 1,711,245 1,156,351
-------------- ------------------------- -------------- ---------------- --------------- -----------------
1,442,149 2,029,869 1,614,369 909,270 2,746,466 2,652,666
-------------- ------------------------- -------------- ---------------- --------------- -----------------
718,471 409,354 913,386 1,142,383 7,431,346 7,000,686
(103,953) 5,415,621 (369,832) (409,962) (24,972) 3,408,567
(44,148) (24,684) (690) (728) (346,239) (239,391)
(868,449) (442,875) (920,397) (525,459) (5,107,032) (2,881,747)
-------------- ------------------------- -------------- ---------------- --------------- -----------------
(298,079) 5,357,416 (377,533) 206,234 1,953,103 7,288,115
-------------- ------------------------- -------------- ---------------- --------------- -----------------
1,144,070 7,387,285 1,236,836 1,115,504 4,699,569 9,940,781
8,419,085 1,031,800 8,493,213 7,377,709 42,636,576 32,695,795
-------------- ------------------------- -------------- ---------------- --------------- -----------------
$ 9,563,155 $ 8,419,085 $ 9,730,049 $ 8,493,213 $ 47,336,145 $ 42,636,576
============== ========================= ============== ================ =============== =================
The accompanying notes are an integral part of these financial statements.
93
METLIFE INVESTORS USA SEPARATE ACCOUNT A
OF METLIFE INVESTORS USA INSURANCE COMPANY
STATEMENTS OF CHANGES IN NET ASSETS -- (CONTINUED)
FOR THE YEARS ENDED DECEMBER 31, 2010 AND 2009
MSF BLACKROCK LARGE CAP VALUE MSF BARCLAYS CAPITAL AGGREGATE BOND INDEX
SUB-ACCOUNT SUB-ACCOUNT
-------------------------------- --------------------------------------------
2010 2009 2010 2009
-------------- ----------------- --------------- ----------------------------
INCREASE (DECREASE) IN NET ASSETS:
FROM OPERATIONS:
Net investment income (loss) $ (6,964) $ 5,693 $ 605,025 $ 313,687
Net realized gains (losses) (131,394) (205,113) 114,537 7,943
Change in unrealized appreciation
(depreciation) on investments 334,187 443,173 572,374 76,682
-------------- ----------------- --------------- ----------------------------
Net increase (decrease) in net
assets resulting from operations 195,829 243,753 1,291,936 398,312
-------------- ----------------- --------------- ----------------------------
CONTRACT TRANSACTIONS:
Payments received from contract
owners 206,964 219,198 39,404,408 13,077,565
Net transfers (including fixed
account) 5,765 25 18,788,029 9,346,152
Contract charges (291) (269) (281,641) (7,068)
Transfers for contract benefits &
terminations (319,095) (144,128) (2,421,734) (817,015)
-------------- ----------------- --------------- ----------------------------
Net increase (decrease) in net
assets resulting from
contract transactions (106,657) 74,826 55,489,062 21,599,634
-------------- ----------------- --------------- ----------------------------
Net increase (decrease) in
net assets 89,172 318,579 56,780,998 21,997,946
NET ASSETS:
Beginning of year 2,783,413 2,464,834 29,893,966 7,896,020
-------------- ----------------- --------------- ----------------------------
End of year $ 2,872,585 $ 2,783,413 $ 86,674,964 $ 29,893,966
============== ================= =============== ============================
(a) For the period May 4, 2009 to December 31, 2009.
(b) For the period May 3, 2010 to December 31, 2010.
(c) For the period October 15, 2009 to December 15, 2009.
(d) For the period March 15, 2010 to December 31, 2010.
The accompanying notes are an integral part of these financial statements.
94
MSF MFS VALUE MSF MORGAN STANLEY EAFE INDEX MSF MFS TOTAL RETURN
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
--------------------------------- --------------------------------- --------------------------------=
2010 2009 2010 2009 2010 2009
--------------- ----------------- --------------- ----------------- --------------- -----------------
$ (135,936) $ (439,728) $ 300,599 $ 301,592 $ 521,435 $ 927,608
(310,701) (645,688) (373,439) (165,572) (860,808) (1,798,808)
4,411,295 6,208,062 3,884,414 3,702,628 3,449,400 6,598,073
--------------- ----------------- --------------- ----------------- --------------- -----------------
3,964,658 5,122,646 3,811,574 3,838,648 3,110,027 5,726,873
--------------- ----------------- --------------- ----------------- --------------- -----------------
6,763,435 5,093,158 21,515,731 9,512,540 2,095,943 2,991,527
2,915,996 3,024,185 8,263,400 3,378,259 (777,300) 1,298,745
(238,593) (154,910) (160,371) (2,492) (82,268) (69,493)
(1,959,275) (1,308,639) (1,694,141) (806,974) (4,441,917) (3,285,692)
--------------- ----------------- --------------- ----------------- --------------- -----------------
7,481,563 6,653,794 27,924,619 12,081,333 (3,205,542) 935,087
--------------- ----------------- --------------- ----------------- --------------- -----------------
11,446,221 11,776,440 31,736,193 15,919,981 (95,515) 6,661,960
33,984,060 22,207,620 27,098,496 11,178,515 40,772,224 34,110,264
--------------- ----------------- --------------- ----------------- --------------- -----------------
$ 45,430,281 $ 33,984,060 $ 58,834,689 $ 27,098,496 $ 40,676,709 $ 40,772,224
=============== ================= =============== ================= =============== =================
The accompanying notes are an integral part of these financial statements.
95
METLIFE INVESTORS USA SEPARATE ACCOUNT A
OF METLIFE INVESTORS USA INSURANCE COMPANY
STATEMENTS OF CHANGES IN NET ASSETS -- (CONTINUED)
FOR THE YEARS ENDED DECEMBER 31, 2010 AND 2009
MSF METLIFE MID CAP STOCK INDEX MSF DAVIS VENTURE VALUE
SUB-ACCOUNT SUB-ACCOUNT
---------------------------------- -----------------------------------
2010 2009 2010 2009
--------------- ------------------ ---------------- ------------------
INCREASE (DECREASE) IN NET ASSETS:
FROM OPERATIONS:
Net investment income (loss) $ (260,215) $ 27,603 $ (3,847,449) $ (1,002,867)
Net realized gains (losses) (14,190) 87,129 724,558 (1,256,250)
Change in unrealized appreciation
(depreciation) on investments 9,587,123 4,737,345 57,763,744 114,664,484
--------------- ------------------ ---------------- ------------------
Net increase (decrease) in net
assets resulting from operations 9,312,718 4,852,077 54,640,853 112,405,367
--------------- ------------------ ---------------- ------------------
CONTRACT TRANSACTIONS:
Payments received from contract
owners 19,332,219 6,623,277 88,556,952 57,257,190
Net transfers (including fixed
account) 8,788,748 2,625,094 8,497,558 3,145,313
Contract charges (121,148) (1,513) (2,997,527) (2,252,605)
Transfers for contract benefits &
terminations (1,822,663) (795,299) (29,777,128) (22,653,418)
--------------- ------------------ ---------------- ------------------
Net increase (decrease) in net
assets resulting from
contract transactions 26,177,156 8,451,559 64,279,855 35,496,480
--------------- ------------------ ---------------- ------------------
Net increase (decrease) in
net assets 35,489,874 13,303,636 118,920,708 147,901,847
NET ASSETS:
Beginning of year 23,983,061 10,679,425 487,864,492 339,962,645
--------------- ------------------ ---------------- ------------------
End of year $ 59,472,935 $ 23,983,061 $ 606,785,200 $ 487,864,492
=============== ================== ================ ==================
(a) For the period May 4, 2009 to December 31, 2009.
(b) For the period May 3, 2010 to December 31, 2010.
(c) For the period October 15, 2009 to December 15, 2009.
(d) For the period March 15, 2010 to December 31, 2010.
The accompanying notes are an integral part of these financial statements.
96
MSF MET/ARTISAN MID CAP VALUE MSF JENNISON GROWTH MSF BLACKROCK MONEY MARKET
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
----------------------------------- ----------------------------------- ---------------------------------
2010 2009 2010 2009 2010 2009
---------------- ------------------ ---------------- ------------------ ---------------- ----------------
$ (2,016,341) $ (1,285,694) $ (2,553,927) $ (2,362,276) $ (9,500,601) $ (8,628,982)
(8,689,096) (12,233,086) 113,415 (1,582,386) -- --
35,137,677 69,654,908 23,243,885 51,528,912 -- --
---------------- ------------------ ---------------- ------------------ ---------------- ----------------
24,432,240 56,136,128 20,803,373 47,584,250 (9,500,601) (8,628,982)
---------------- ------------------ ---------------- ------------------ ---------------- ----------------
15,548,005 9,640,019 37,818,417 27,418,833 200,280,780 247,789,417
(7,453,544) (5,448,819) 6,868,212 12,415,738 (102,198,285) (167,281,841)
(1,007,295) (914,020) (1,222,061) (802,758) (4,785,118) (3,693,120)
(13,585,886) (10,206,566) (11,101,785) (8,371,760) (106,443,255) (86,957,735)
---------------- ------------------ ---------------- ------------------ ---------------- ----------------
(6,498,720) (6,929,386) 32,362,783 30,660,053 (13,145,878) (10,143,279)
---------------- ------------------ ---------------- ------------------ ---------------- ----------------
17,933,520 49,206,742 53,166,156 78,244,303 (22,646,479) (18,772,261)
195,923,686 146,716,944 190,651,501 112,407,198 576,532,284 595,304,545
---------------- ------------------ ---------------- ------------------ ---------------- ----------------
$ 213,857,206 $ 195,923,686 $ 243,817,657 $ 190,651,501 $ 553,885,805 $ 576,532,284
================ ================== ================ ================== ================ ================
The accompanying notes are an integral part of these financial statements.
97
METLIFE INVESTORS USA SEPARATE ACCOUNT A
OF METLIFE INVESTORS USA INSURANCE COMPANY
STATEMENTS OF CHANGES IN NET ASSETS -- (CONTINUED)
FOR THE YEARS ENDED DECEMBER 31, 2010 AND 2009
MSF WESTERN ASSET MANAGEMENT
MSF T. ROWE PRICE SMALL CAP GROWTH U.S. GOVERNMENT
SUB-ACCOUNT SUB-ACCOUNT
------------------------------------- ----------------------------------
2010 2009 2010 2009
-------------- ------------------ ---------------- -------------
INCREASE (DECREASE) IN NET ASSETS:
FROM OPERATIONS:
Net investment income (loss) $ (110,115) $ (77,786) $ 1,314,477 $ 2,834,557
Net realized gains (losses) 262,986 16,037 693,982 (437,814)
Change in unrealized appreciation
(depreciation) on investments 1,841,343 1,900,637 3,670,982 506,647
-------------- ---------------------- ---------------- -----------------
Net increase (decrease) in net
assets resulting from operations 1,994,214 1,838,888 5,679,441 2,903,390
-------------- ---------------------- ---------------- -----------------
CONTRACT TRANSACTIONS:
Payments received from contract
owners 153,649 1,681,267 59,447,399 46,830,938
Net transfers (including fixed
account) 152,774 (63,313) 20,021,970 14,855,368
Contract charges (55,446) (31,369) (1,131,770) (516,513)
Transfers for contract benefits &
terminations (366,307) (262,411) (10,034,988) (8,499,279)
-------------- ---------------------- ---------------- -----------------
Net increase (decrease) in net
assets resulting from
contract transactions (115,330) 1,324,174 68,302,611 52,670,514
-------------- ---------------------- ---------------- -----------------
Net increase (decrease) in
net assets 1,878,884 3,163,062 73,982,052 55,573,904
NET ASSETS:
Beginning of year 6,406,764 3,243,702 140,925,866 85,351,962
-------------- ---------------------- ---------------- -----------------
End of year $ 8,285,648 $ 6,406,764 $ 214,907,918 $ 140,925,866
============== ====================== ================ =================
(a) For the period May 4, 2009 to December 31, 2009.
(b) For the period May 3, 2010 to December 31, 2010.
(c) For the period October 15, 2009 to December 15, 2009.
(d) For the period March 15, 2010 to December 31, 2010.
The accompanying notes are an integral part of these financial statements.
98
MSF OPPENHEIMER GLOBAL EQUITY MSF METLIFE AGGRESSIVE ALLOCATION MSF METLIFE CONSERVATIVE ALLOCATION
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
-------------------------------- ------------------------------------ --------------------------------------
2010 2009 2010 2009 2010 2009
--------------- ---------------- -------------- --------------------- -------------- -----------------------
$ (12,767) $ 77,188 $ (12,711) $ 7,084 $ 275,768 $ 108,062
(121,999) (449,562) (45,643) (123,785) 354,562 40,974
1,598,724 3,493,463 292,785 523,966 307,150 1,147,227
--------------- ---------------- -------------- --------------------- -------------- -----------------------
1,463,958 3,121,089 234,431 407,265 937,480 1,296,263
--------------- ---------------- -------------- --------------------- -------------- -----------------------
45,146 983,118 1,241 -- 74,196 249,427
(349,931) (458,676) 288,322 80,850 (1,366,604) 3,917,097
(46,244) (35,753) (8,043) (7,755) (80,329) (66,864)
(744,464) (606,217) (191,376) (27,470) (337,980) (277,955)
--------------- ---------------- -------------- --------------------- -------------- -----------------------
(1,095,493) (117,528) 90,144 45,625 (1,710,717) 3,821,705
--------------- ---------------- -------------- --------------------- -------------- -----------------------
368,465 3,003,561 324,575 452,890 (773,237) 5,117,968
10,903,654 7,900,093 1,636,073 1,183,183 10,771,428 5,653,460
--------------- ---------------- -------------- --------------------- -------------- -----------------------
$ 11,272,119 $ 10,903,654 $ 1,960,648 $ 1,636,073 $ 9,998,191 $ 10,771,428
=============== ================ ============== ===================== ============== =======================
The accompanying notes are an integral part of these financial statements.
99
METLIFE INVESTORS USA SEPARATE ACCOUNT A
OF METLIFE INVESTORS USA INSURANCE COMPANY
STATEMENTS OF CHANGES IN NET ASSETS -- (CONTINUED)
FOR THE YEARS ENDED DECEMBER 31, 2010 AND 2009
MSF METLIFE CONSERVATIVE TO
MODERATE ALLOCATION MSF METLIFE MODERATE ALLOCATION
SUB-ACCOUNT SUB-ACCOUNT
-------------------------------- ------------------- --------------
2010 2009 2010 2009
-------------- ----------------- --------------- ------------------
INCREASE (DECREASE) IN NET ASSETS:
FROM OPERATIONS:
Net investment income (loss) $ 138,702 $ 96,066 $ 363,596 $ 480,991
Net realized gains (losses) 107,507 (84,391) (281,593) (164,634)
Change in unrealized appreciation
(depreciation) on investments 548,177 1,460,263 4,846,286 8,417,844
-------------- ----------------- --------------- ------------------
Net increase (decrease) in net
assets resulting from operations 794,386 1,471,938 4,928,289 8,734,201
-------------- ----------------- --------------- ------------------
CONTRACT TRANSACTIONS:
Payments received from contract
owners 69,146 239,794 416,630 579,503
Net transfers (including fixed
account) (80,023) 1,735,556 941,258 1,258,223
Contract charges (70,068) (61,473) (393,540) (370,296)
Transfers for contract benefits &
terminations (471,770) (271,981) (2,033,561) (1,131,673)
-------------- ----------------- --------------- ------------------
Net increase (decrease) in net
assets resulting from
contract transactions (552,715) 1,641,896 (1,069,213) 335,757
-------------- ----------------- --------------- ------------------
Net increase (decrease) in
net assets 241,671 3,113,834 3,859,076 9,069,958
NET ASSETS:
Beginning of year 9,016,185 5,902,351 44,856,785 35,786,827
-------------- ----------------- --------------- ------------------
End of year $ 9,257,856 $ 9,016,185 $ 48,715,861 $ 44,856,785
============== ================= =============== ==================
(a) For the period May 4, 2009 to December 31, 2009.
(b) For the period May 3, 2010 to December 31, 2010.
(c) For the period October 15, 2009 to December 15, 2009.
(d) For the period March 15, 2010 to December 31, 2010.
The accompanying notes are an integral part of these financial statements.
100
MSF METLIFE MODERATE TO
AGGRESSIVE ALLOCATION MSF T. ROWE PRICE LARGE CAP GROWTH MSF LOOMIS SAYLES SMALL CAP CORE
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
--------------------------------- ------------------------------------- -----------------------------------
2010 2009 2010 2009 2010 2009
--------------- ----------------- -------------- ---------------------- -------------- --------------------
$ 219,362 $ 381,794 $ (17,880) $ (10,951) $ (66,625) $ (12,405)
(651,563) (2,006,955) 4,288 (39,827) 52,849 4,026
6,983,802 13,286,168 174,952 358,699 1,146,011 269,382
--------------- ----------------- -------------- ---------------------- -------------- --------------------
6,551,601 11,661,007 161,360 307,921 1,132,235 261,003
--------------- ----------------- -------------- ---------------------- -------------- --------------------
283,570 1,922,699 4,645 3,657 3,008,912 1,275,264
770,376 (4,213,495) 156,041 363,170 1,307,578 446,280
(520,426) (506,223) (517) (548) (28,834) (1,578)
(1,880,898) (975,857) (117,700) (77,528) (186,487) (10,460)
--------------- ----------------- -------------- ---------------------- -------------- --------------------
(1,347,378) (3,772,876) 42,469 288,751 4,101,169 1,709,506
--------------- ----------------- -------------- ---------------------- -------------- --------------------
5,204,223 7,888,131 203,829 596,672 5,233,404 1,970,509
52,562,753 44,674,622 1,161,818 565,146 1,990,671 20,162
--------------- ----------------- -------------- ---------------------- -------------- --------------------
$ 57,766,976 $ 52,562,753 $ 1,365,647 $ 1,161,818 $ 7,224,075 $ 1,990,671
=============== ================= ============== ====================== ============== ====================
The accompanying notes are an integral part of these financial statements.
101
METLIFE INVESTORS USA SEPARATE ACCOUNT A
OF METLIFE INVESTORS USA INSURANCE COMPANY
STATEMENTS OF CHANGES IN NET ASSETS -- (CONTINUED)
FOR THE YEARS ENDED DECEMBER 31, 2010 AND 2009
MSF MET/DIMENSIONAL
MSF NEUBERGER BERMAN MID CAP VALUE INTERNATIONAL SMALL COMPANY
SUB-ACCOUNT SUB-ACCOUNT
------------------------------------ ------------------- -------------
2010 2009 2010 2009
-------------- ---------------------- --------------- -----------------
INCREASE (DECREASE) IN NET ASSETS:
FROM OPERATIONS:
Net investment income (loss) $ (10,254) $ (1,089) $ (74,101) $ (136,028)
Net realized gains (losses) 14,391 7,311 1,440,494 389,832
Change in unrealized appreciation
(depreciation) on investments 277,374 48,105 4,020,489 2,668,479
-------------- ---------------------- --------------- -----------------
Net increase (decrease) in net
assets resulting from operations 281,511 54,327 5,386,882 2,922,283
-------------- ---------------------- --------------- -----------------
CONTRACT TRANSACTIONS:
Payments received from contract
owners 1,248,510 147,926 11,080,864 5,686,215
Net transfers (including fixed
account) 245,962 7,125 3,658,370 9,413,696
Contract charges (3,205) (199) (146,969) (25,184)
Transfers for contract benefits &
terminations (13,696) (2,198) (1,665,871) (688,189)
-------------- ---------------------- --------------- -----------------
Net increase (decrease) in net
assets resulting from
contract transactions 1,477,571 152,654 12,926,394 14,386,538
-------------- ---------------------- --------------- -----------------
Net increase (decrease) in
net assets 1,759,082 206,981 18,313,276 17,308,821
NET ASSETS:
Beginning of year 225,554 18,573 17,436,960 128,139
-------------- ---------------------- --------------- -----------------
End of year $ 1,984,636 $ 225,554 $ 35,750,236 $ 17,436,960
============== ====================== =============== =================
(a) For the period May 4, 2009 to December 31, 2009.
(b) For the period May 3, 2010 to December 31, 2010.
(c) For the period October 15, 2009 to December 15, 2009.
(d) For the period March 15, 2010 to December 31, 2010.
The accompanying notes are an integral part of these financial statements.
102
FEDERATED FEDERATED
MSF VAN ECK GLOBAL NATURAL RESOURCES CAPITAL INCOME FEDERATED HIGH INCOME BOND KAUFMAN
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
--------------------------------------- ----------------- ----------------------------- --------------
2010 2009 (a) 2010 (d) 2010 2009 2010 (d)
--------------- ----------------------- ----------------- ----------- ----------------- --------------
$ (514,602) $ (71,165) $ (139) $ 1,812 $ 2,008 $ (834)
2,100,435 -- (39) (31) (17,126) (21)
12,805,750 1,451,075 1,123 1,676 24,323 10,091
--------------- ----------------------- ----------------- ----------- ----------------- --------------
14,391,583 1,379,910 945 3,457 9,205 9,236
--------------- ----------------------- ----------------- ----------- ----------------- --------------
29,380,798 10,642,485 -- -- -- --
13,938,995 5,676,473 18,638 -- (34,355) 76,417
(264,726) (5,434) -- -- -- --
(710,853) (57,508) (5,725) (137) (245) (5,779)
--------------- ----------------------- ----------------- ----------- ----------------- --------------
42,344,214 16,256,016 12,913 (137) (34,600) 70,638
--------------- ----------------------- ----------------- ----------- ----------------- --------------
56,735,797 17,635,926 13,858 3,320 (25,395) 79,874
17,635,926 -- -- 26,300 51,695 --
--------------- ----------------------- ----------------- ----------- ----------------- --------------
$ 74,371,723 $ 17,635,926 $ 13,858 $ 29,620 $ 26,300 $ 79,874
=============== ======================= ================= =========== ================= ==============
The accompanying notes are an integral part of these financial statements.
103
METLIFE INVESTORS USA SEPARATE ACCOUNT A
OF METLIFE INVESTORS USA INSURANCE COMPANY
STATEMENTS OF CHANGES IN NET ASSETS -- (CONTINUED)
FOR THE YEARS ENDED DECEMBER 31, 2010 AND 2009
NEUBERGER GENESIS ALGER SMALL CAP GROWTH
SUB-ACCOUNT SUB-ACCOUNT
--------------------------- ---------------------------------
2010 2009 2010 2009
---------- ---------------- --------------- -----------------
INCREASE (DECREASE) IN NET ASSETS:
FROM OPERATIONS:
Net investment income (loss) $ (79) $ (74) $ (711,530) $ (582,628)
Net realized gains (losses) 463 125 (350,422) (1,582,055)
Change in unrealized appreciation
(depreciation) on investments 1,309 1,945 12,464,995 18,064,321
---------- ---------------- --------------- -----------------
Net increase (decrease) in net
assets resulting from operations 1,693 1,996 11,403,043 15,899,638
---------- ---------------- --------------- -----------------
CONTRACT TRANSACTIONS:
Payments received from contract
owners -- -- 2,401,744 2,390,957
Net transfers (including fixed
account) -- -- (1,760,881) (1,180,545)
Contract charges -- -- (11,016) (12,110)
Transfers for contract benefits &
terminations (1,815) (1,357) (5,259,755) (3,372,072)
---------- ---------------- --------------- -----------------
Net increase (decrease) in net
assets resulting from
contract transactions (1,815) (1,357) (4,629,908) (2,173,770)
---------- ---------------- --------------- -----------------
Net increase (decrease) in
net assets (122) 639 6,773,135 13,725,868
NET ASSETS:
Beginning of year 8,785 8,146 51,552,207 37,826,339
---------- ---------------- --------------- -----------------
End of year $ 8,663 $ 8,785 $ 58,325,342 $ 51,552,207
========== ================ =============== =================
(a) For the period May 4, 2009 to December 31, 2009.
(b) For the period May 3, 2010 to December 31, 2010.
(c) For the period October 15, 2009 to December 15, 2009.
(d) For the period March 15, 2010 to December 31, 2010.
The accompanying notes are an integral part of these financial statements.
104
T. ROWE PRICE GROWTH STOCK T. ROWE PRICE INTERNATIONAL STOCK T. ROWE PRICE PRIME RESERVE
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
------------------------------- --------------------------------- -------------------------------
2010 2009 2010 2009 2010 2009
-------------- ---------------- ------------ -------------------- -------------- ----------------
$ (56,018) $ (40,245) $ 2,058 $ 11,369 $ (12,183) $ (13,228)
12,135 (204,643) (5,699) (30,033) -- 62
1,033,917 2,364,460 114,449 320,779 -- (77)
-------------- ---------------- ------------ -------------------- -------------- ----------------
990,034 2,119,572 110,808 302,115 (12,183) (13,243)
-------------- ---------------- ------------ -------------------- -------------- ----------------
203,128 252,296 38,671 37,268 -- 555
(490,172) (345,144) (74,296) (55,201) 27,384 (611,809)
(1,988) (2,143) (245) (244) (299) (469)
(523,405) (358,485) (20,782) (16,963) (150,759) (193,032)
-------------- ---------------- ------------ -------------------- -------------- ----------------
(812,437) (453,476) (56,652) (35,140) (123,674) (804,755)
-------------- ---------------- ------------ -------------------- -------------- ----------------
177,597 1,666,096 54,156 266,975 (135,857) (817,998)
6,993,261 5,327,165 877,970 610,995 1,400,475 2,218,473
-------------- ---------------- ------------ -------------------- -------------- ----------------
$ 7,170,858 $ 6,993,261 $ 932,126 $ 877,970 $ 1,264,618 $ 1,400,475
============== ================ ============ ==================== ============== ================
The accompanying notes are an integral part of these financial statements.
105
METLIFE INVESTORS USA SEPARATE ACCOUNT A
OF METLIFE INVESTORS USA INSURANCE COMPANY
STATEMENTS OF CHANGES IN NET ASSETS -- (CONTINUED)
FOR THE YEARS ENDED DECEMBER 31, 2010 AND 2009
JANUS ASPEN WORLDWIDE AMERICAN FUNDS GLOBAL SMALL CAPITALIZATION
SUB-ACCOUNT SUB-ACCOUNT
------------------------------ ---------------------------------------------
2010 2009 2010 2009
------------- ---------------- --------------- -----------------------------
INCREASE (DECREASE) IN NET ASSETS:
FROM OPERATIONS:
Net investment income (loss) $ (15) $ 30 $ 262,137 $ (422,773)
Net realized gains (losses) 51 (118) (620,368) (1,694,311)
Change in unrealized appreciation
(depreciation) on investments 785 1,751 13,607,870 21,104,646
------------- ---------------- --------------- -----------------------------
Net increase (decrease) in net
assets resulting from operations 821 1,663 13,249,639 18,987,562
------------- ---------------- --------------- -----------------------------
CONTRACT TRANSACTIONS:
Payments received from contract
owners -- -- 15,736,532 11,280,934
Net transfers (including fixed
account) -- -- (1,915,026) 3,523,195
Contract charges -- -- (292,049) (163,746)
Transfers for contract benefits &
terminations (600) (396) (4,804,773) (2,448,047)
------------- ---------------- --------------- -----------------------------
Net increase (decrease) in net
assets resulting from
contract transactions (600) (396) 8,724,684 12,192,336
------------- ---------------- --------------- -----------------------------
Net increase (decrease) in
net assets 221 1,267 21,974,323 31,179,898
NET ASSETS:
Beginning of year 6,285 5,018 58,608,602 27,428,704
------------- ---------------- --------------- -----------------------------
End of year $ 6,506 $ 6,285 $ 80,582,925 $ 58,608,602
============= ================ =============== =============================
(a) For the period May 4, 2009 to December 31, 2009.
(b) For the period May 3, 2010 to December 31, 2010.
(c) For the period October 15, 2009 to December 15, 2009.
(d) For the period March 15, 2010 to December 31, 2010.
The accompanying notes are an integral part of these financial statements.
106
AMERICAN FUNDS GROWTH AMERICAN FUNDS GROWTH-INCOME AMERICAN FUNDS GLOBAL GROWTH
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
----------------------------------- -------------------- -------------- -------------------- --------------
2010 2009 2010 2009 2010 2009
---------------- ------------------ ---------------- ------------------ ---------------- ------------------
$ (3,431,734) $ (2,543,759) $ 54,092 $ 322,059 $ 62,593 $ (61,017)
(567,706) (1,802,447) (942,084) (1,316,628) (242,233) (1,759,994)
84,253,153 109,262,944 24,414,298 48,223,682 18,852,792 45,865,486
---------------- ------------------ ---------------- ------------------ ---------------- ------------------
80,253,713 104,916,738 23,526,306 47,229,113 18,673,152 44,044,475
---------------- ------------------ ---------------- ------------------ ---------------- ------------------
107,355,899 95,440,088 42,925,104 41,542,923 31,999,173 25,741,878
(6,071,807) 6,549,517 (1,498,795) 4,722,600 1,300,586 (1,708,623)
(2,705,735) (1,599,950) (1,248,617) (807,236) (988,637) (719,043)
(29,767,957) (16,657,656) (16,881,959) (9,808,992) (9,981,482) (7,370,639)
---------------- ------------------ ---------------- ------------------ ---------------- ------------------
68,810,400 83,731,999 23,295,733 35,649,295 22,329,640 15,943,573
---------------- ------------------ ---------------- ------------------ ---------------- ------------------
149,064,113 188,648,737 46,822,039 82,878,408 41,002,792 59,988,048
419,749,811 231,101,074 219,689,912 136,811,504 161,438,857 101,450,809
---------------- ------------------ ---------------- ------------------ ---------------- ------------------
$ 568,813,924 $ 419,749,811 $ 266,511,951 $ 219,689,912 $ 202,441,649 $ 161,438,857
================ ================== ================ ================== ================ ==================
The accompanying notes are an integral part of these financial statements.
107
METLIFE INVESTORS USA SEPARATE ACCOUNT A
OF METLIFE INVESTORS USA INSURANCE COMPANY
STATEMENTS OF CHANGES IN NET ASSETS -- (CONTINUED)
FOR THE YEARS ENDED DECEMBER 31, 2010 AND 2009
AMERICAN FUNDS BOND FTVIPT MUTUAL SHARES SECURITIES
SUB-ACCOUNT SUB-ACCOUNT
-------------------------------- -----------------------------------
2010 2009 2010 2009
--------------- ----------------- ---------------- -----------------
INCREASE (DECREASE) IN NET ASSETS:
FROM OPERATIONS:
Net investment income (loss) $ 1,503,647 $ 1,049,959 $ 168,266 $ 382,773
Net realized gains (losses) 71,340 (14,212) (385,340) (911,324)
Change in unrealized appreciation
(depreciation) on investments 1,549,414 3,366,855 9,513,224 16,912,881
--------------- ----------------- ---------------- -----------------
Net increase (decrease) in net
assets resulting from operations 3,124,401 4,402,602 9,296,150 16,384,330
--------------- ----------------- ---------------- -----------------
CONTRACT TRANSACTIONS:
Payments received from contract
owners 23,293,244 21,984,872 16,708,584 14,489,145
Net transfers (including fixed
account) 6,626,017 5,886,542 2,264,306 4,173,875
Contract charges (386,206) (193,865) (388,319) (235,781)
Transfers for contract benefits &
terminations (3,667,017) (1,884,649) (5,928,025) (4,828,261)
--------------- ----------------- ---------------- -----------------
Net increase (decrease) in net
assets resulting from
contract transactions 25,866,038 25,792,900 12,656,546 13,598,978
--------------- ----------------- ---------------- -----------------
Net increase (decrease) in
net assets 28,990,439 30,195,502 21,952,696 29,983,308
NET ASSETS:
Beginning of year 57,212,613 27,017,111 88,554,450 58,571,142
--------------- ----------------- ---------------- -----------------
End of year $ 86,203,052 $ 57,212,613 $ 110,507,146 $ 88,554,450
=============== ================= ================ =================
(a) For the period May 4, 2009 to December 31, 2009.
(b) For the period May 3, 2010 to December 31, 2010.
(c) For the period October 15, 2009 to December 15, 2009.
(d) For the period March 15, 2010 to December 31, 2010.
The accompanying notes are an integral part of these financial statements.
108
FTVIPT TEMPLETON FOREIGN SECURITIES FTVIPT TEMPLETON GROWTH SECURITIES FTVIPT FRANKLIN INCOME SECURITIES
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
-------------------------------------- ------------------------------------- ------------------------------------
2010 2009 2010 2009 2010 2009
--------------- ---------------------- --------------- --------------------- ---------------- -------------------
$ 43,547 $ 714,539 $ (41,464) $ 535,174 $ 7,805,972 $ 6,733,320
(879,380) (113,326) (1,194,460) (952,770) (465,020) (1,114,066)
5,846,879 17,837,025 3,626,718 9,712,864 9,173,322 25,289,201
--------------- ---------------------- --------------- --------------------- ---------------- -------------------
5,011,046 18,438,238 2,390,794 9,295,268 16,514,274 30,908,455
--------------- ---------------------- --------------- --------------------- ---------------- -------------------
10,323,305 11,330,132 3,084,160 6,551,312 31,740,127 24,603,795
(388,389) (4,337,377) 247,468 1,433,916 5,350,734 3,120,765
(619,064) (493,502) (166,940) (106,326) (644,646) (377,234)
(5,158,694) (2,973,545) (3,050,792) (2,409,432) (10,503,367) (6,613,713)
--------------- ---------------------- --------------- --------------------- ---------------- -------------------
4,157,158 3,525,708 113,896 5,469,470 25,942,848 20,733,613
--------------- ---------------------- --------------- --------------------- ---------------- -------------------
9,168,204 21,963,946 2,504,690 14,764,738 42,457,122 51,642,068
70,515,555 48,551,609 42,694,521 27,929,783 134,091,525 82,449,457
--------------- ---------------------- --------------- --------------------- ---------------- -------------------
$ 79,683,759 $ 70,515,555 $ 45,199,211 $ 42,694,521 $ 176,548,647 $ 134,091,525
=============== ====================== =============== ===================== ================ ===================
The accompanying notes are an integral part of these financial statements.
109
METLIFE INVESTORS USA SEPARATE ACCOUNT A
OF METLIFE INVESTORS USA INSURANCE COMPANY
STATEMENTS OF CHANGES IN NET ASSETS -- (CONTINUED)
FOR THE YEARS ENDED DECEMBER 31, 2010 AND 2009
FTVIPT TEMPLETON GLOBAL BOND SECURITIES FTVIPT FRANKLIN SMALL CAP VALUE SECURITIES
SUB-ACCOUNT SUB-ACCOUNT
------------------- ---------------------- ------------------- -------------------------
2010 2009 2010 2009
--------------- -------------------------- --------------- -----------------------------
INCREASE (DECREASE) IN NET ASSETS:
FROM OPERATIONS:
Net investment income (loss) $ 25,325 $ 3,804,528 $ (118,159) $ 29,038
Net realized gains (losses) 228,957 (67,357) 54,701 285,695
Change in unrealized appreciation
(depreciation) on investments 7,083,996 1,012,803 5,414,279 2,358,393
--------------- -------------------------- --------------- -----------------------------
Net increase (decrease) in net
assets resulting from operations 7,338,278 4,749,974 5,350,821 2,673,126
--------------- -------------------------- --------------- -----------------------------
CONTRACT TRANSACTIONS:
Payments received from contract
owners 32,227,307 16,847,632 10,270,768 5,816,489
Net transfers (including fixed
account) 7,610,097 4,589,899 1,603,361 79,568
Contract charges (359,384) (159,367) (115,372) (45,361)
Transfers for contract benefits &
terminations (3,158,181) (967,955) (596,198) (284,145)
--------------- -------------------------- --------------- -----------------------------
Net increase (decrease) in net
assets resulting from
contract transactions 36,319,839 20,310,209 11,162,559 5,566,551
--------------- -------------------------- --------------- -----------------------------
Net increase (decrease) in
net assets 43,658,117 25,060,183 16,513,380 8,239,677
NET ASSETS:
Beginning of year 44,636,060 19,575,877 13,205,263 4,965,586
--------------- -------------------------- --------------- -----------------------------
End of year $ 88,294,177 $ 44,636,060 $ 29,718,643 $ 13,205,263
=============== ========================== =============== =============================
(a) For the period May 4, 2009 to December 31, 2009.
(b) For the period May 3, 2010 to December 31, 2010.
(c) For the period October 15, 2009 to December 15, 2009.
(d) For the period March 15, 2010 to December 31, 2010.
The accompanying notes are an integral part of these financial statements.
110
UIF U.S. REAL ESTATE PIONEER VCT BOND PIONEER VCT CULLEN VALUE
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
--------------------------------- ------------------------------- -------------------------------
2010 2009 2010 2009 2010 2009
--------------- ----------------- -------------- ---------------- -------------- ----------------
$ 402,580 $ 762,443 $ 72,889 $ 39,789 $ (18,476) $ (8,053)
(3,793,020) (3,055,013) 28,371 4,359 22,967 18,659
18,634,695 15,536,655 55,693 109,546 155,011 265,327
--------------- ----------------- -------------- ---------------- -------------- ----------------
15,244,255 13,244,085 156,953 153,694 159,502 275,933
--------------- ----------------- -------------- ---------------- -------------- ----------------
7,881,010 5,789,425 77,543 1,552,748 54,370 1,069,928
(6,001,729) 2,400,649 25,645 442,144 197,796 379,928
(214,161) (121,416) (23,318) (841) (19,010) (1,685)
(4,411,829) (3,000,390) (32,964) (15,872) (67,707) (12,778)
--------------- ----------------- -------------- ---------------- -------------- ----------------
(2,746,709) 5,068,268 46,906 1,978,179 165,449 1,435,393
--------------- ----------------- -------------- ---------------- -------------- ----------------
12,497,546 18,312,353 203,859 2,131,873 324,951 1,711,326
56,466,102 38,153,749 2,213,875 82,002 1,867,892 156,566
--------------- ----------------- -------------- ---------------- -------------- ----------------
$ 68,963,648 $ 56,466,102 $ 2,417,734 $ 2,213,875 $ 2,192,843 $ 1,867,892
=============== ================= ============== ================ ============== ================
The accompanying notes are an integral part of these financial statements.
111
METLIFE INVESTORS USA SEPARATE ACCOUNT A
OF METLIFE INVESTORS USA INSURANCE COMPANY
STATEMENTS OF CHANGES IN NET ASSETS -- (CONTINUED)
FOR THE YEARS ENDED DECEMBER 31, 2010 AND 2009
PIONEER VCT EMERGING MARKETS PIONEER VCT EQUITY INCOME
SUB-ACCOUNT SUB-ACCOUNT
------------------------------- ----------------------------
2010 2009 2010 2009
-------------- ---------------- ------------ ---------------
INCREASE (DECREASE) IN NET ASSETS:
FROM OPERATIONS:
Net investment income (loss) $ (14,019) $ (4,999) $ 1,630 $ 3,551
Net realized gains (losses) 51,198 30,973 17,928 (481)
Change in unrealized appreciation
(depreciation) on investments 110,840 223,119 38,303 48,175
-------------- ---------------- ------------ ---------------
Net increase (decrease) in net
assets resulting from operations 148,019 249,093 57,861 51,245
-------------- ---------------- ------------ ---------------
CONTRACT TRANSACTIONS:
Payments received from contract
owners 43,087 432,254 9,062 236,141
Net transfers (including fixed
account) 45,142 314,789 (9,014) 42,972
Contract charges (7,268) (388) (2,995) (315)
Transfers for contract benefits &
terminations (37,357) (18,638) (33,620) (8,028)
-------------- ---------------- ------------ ---------------
Net increase (decrease) in net
assets resulting from
contract transactions 43,604 728,017 (36,567) 270,770
-------------- ---------------- ------------ ---------------
Net increase (decrease) in
net assets 191,623 977,110 21,294 322,015
NET ASSETS:
Beginning of year 1,020,914 43,804 354,460 32,445
-------------- ---------------- ------------ ---------------
End of year $ 1,212,537 $ 1,020,914 $ 375,754 $ 354,460
============== ================ ============ ===============
(a) For the period May 4, 2009 to December 31, 2009.
(b) For the period May 3, 2010 to December 31, 2010.
(c) For the period October 15, 2009 to December 15, 2009.
(d) For the period March 15, 2010 to December 31, 2010.
The accompanying notes are an integral part of these financial statements.
112
PIONEER VCT FUND PIONEER VCT IBBOTSON GROWTH ALLOCATION PIONEER VCT IBBOTSON MODERATE ALLOCATION
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
--------------------------- ----------------------------------------- -------------------------------------------
2010 2009 2010 2009 2010 2009
------------ -------------- --------------- ------------------------- --------------- ---------------------------
$ (592) $ 436 $ 39,491 $ 151,196 $ 252,038 $ 216,658
1,674 (1,970) 360,330 216,580 221,662 94,668
32,740 49,927 1,818,686 4,278,917 2,500,603 4,279,005
------------ -------------- --------------- ------------------------- --------------- ---------------------------
33,822 48,393 2,218,507 4,646,693 2,974,303 4,590,331
------------ -------------- --------------- ------------------------- --------------- ---------------------------
-- 120,319 1,115,979 8,727,223 411,530 16,950,987
13,107 20,907 (327,776) 276,874 225,730 1,755,175
(1,770) (412) (126,183) (24,076) (244,941) (9,645)
(12,231) (103) (428,428) (279,627) (166,894) (96,671)
------------ -------------- --------------- ------------------------- --------------- ---------------------------
(894) 140,711 233,592 8,700,394 225,425 18,599,846
------------ -------------- --------------- ------------------------- --------------- ---------------------------
32,928 189,104 2,452,099 13,347,087 3,199,728 23,190,177
228,777 39,673 16,934,322 3,587,235 24,317,338 1,127,161
------------ -------------- --------------- ------------------------- --------------- ---------------------------
$ 261,705 $ 228,777 $ 19,386,421 $ 16,934,322 $ 27,517,066 $ 24,317,338
============ ============== =============== ========================= =============== ===========================
The accompanying notes are an integral part of these financial statements.
113
METLIFE INVESTORS USA SEPARATE ACCOUNT A
OF METLIFE INVESTORS USA INSURANCE COMPANY
STATEMENTS OF CHANGES IN NET ASSETS -- (CONTINUED)
FOR THE YEARS ENDED DECEMBER 31, 2010 AND 2009
PIONEER VCT MID CAP VALUE PIONEER VCT REAL ESTATE SHARES
SUB-ACCOUNT SUB-ACCOUNT
--------------------------------- ---------------------------------
2010 2009 2010 2009
--------------- ----------------- ------------ --------------------
INCREASE (DECREASE) IN NET ASSETS:
FROM OPERATIONS:
Net investment income (loss) $ (225,376) $ (50,878) $ 1,872 $ 4,733
Net realized gains (losses) (237,712) (740,526) 28,087 17,981
Change in unrealized appreciation
(depreciation) on investments 6,635,500 7,060,304 27,619 61,778
--------------- ----------------- ------------ --------------------
Net increase (decrease) in net
assets resulting from operations 6,172,412 6,268,900 57,578 84,492
--------------- ----------------- ------------ --------------------
CONTRACT TRANSACTIONS:
Payments received from contract
owners 7,085,201 5,777,023 5,951 108,358
Net transfers (including fixed
account) 950,970 839,891 (16,768) 15,393
Contract charges (158,947) (102,817) (2,048) (308)
Transfers for contract benefits &
terminations (2,465,321) (1,637,290) (39,423) (12,150)
--------------- ----------------- ------------ --------------------
Net increase (decrease) in net
assets resulting from
contract transactions 5,411,903 4,876,807 (52,288) 111,293
--------------- ----------------- ------------ --------------------
Net increase (decrease) in
net assets 11,584,315 11,145,707 5,290 195,785
NET ASSETS:
Beginning of year 35,037,503 23,891,796 228,918 33,133
--------------- ----------------- ------------ --------------------
End of year $ 46,621,818 $ 35,037,503 $ 234,208 $ 228,918
=============== ================= ============ ====================
(a) For the period May 4, 2009 to December 31, 2009.
(b) For the period May 3, 2010 to December 31, 2010.
(c) For the period October 15, 2009 to December 15, 2009.
(d) For the period March 15, 2010 to December 31, 2010.
The accompanying notes are an integral part of these financial statements.
114
LMPVET CLEARBRIDGE LMPVET CLEARBRIDGE LMPVET CLEARBRIDGE
VARIABLE SMALL CAP GROWTH VARIABLE LARGE CAP VALUE VARIABLE FUNDAMENTAL ALL CAP VALUE
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
------------------- ------------- ------------------ ------------ ------------------- -----------------
2010 2009 2010 2009 2010 2009
--------------- ----------------- -------------- ---------------- --------------- ---------------------
$ (391,996) $ (243,396) $ 31,244 $ 3,918 $ 259,869 $ (48,573)
96,515 (475,523) (95,704) (144,402) (692,388) (1,367,279)
6,313,023 6,335,763 249,108 612,219 13,378,879 18,964,395
--------------- ----------------- -------------- ---------------- --------------- ---------------------
6,017,542 5,616,844 184,648 471,735 12,946,360 17,548,543
--------------- ----------------- -------------- ---------------- --------------- ---------------------
8,292,377 4,964,931 182,389 154,772 10,634,359 10,408,838
(778,616) 1,691,172 (27,094) 35,627 (810,612) 1,189,094
(153,607) (90,998) (9,719) (8,165) (285,426) (182,010)
(1,681,734) (792,786) (159,882) (106,578) (6,214,856) (5,032,473)
--------------- ----------------- -------------- ---------------- --------------- ---------------------
5,678,420 5,772,319 (14,306) 75,656 3,323,465 6,383,449
--------------- ----------------- -------------- ---------------- --------------- ---------------------
11,695,962 11,389,163 170,342 547,391 16,269,825 23,931,992
21,966,842 10,577,679 2,559,454 2,012,063 83,258,408 59,326,416
--------------- ----------------- -------------- ---------------- --------------- ---------------------
$ 33,662,804 $ 21,966,842 $ 2,729,796 $ 2,559,454 $ 99,528,233 $ 83,258,408
=============== ================= ============== ================ =============== =====================
The accompanying notes are an integral part of these financial statements.
115
METLIFE INVESTORS USA SEPARATE ACCOUNT A
OF METLIFE INVESTORS USA INSURANCE COMPANY
STATEMENTS OF CHANGES IN NET ASSETS -- (CONTINUED)
FOR THE YEARS ENDED DECEMBER 31, 2010 AND 2009
LMPVET CLEARBRIDGE
LMPVET CLEARBRIDGE VARIABLE APPRECIATION VARIABLE AGGRESSIVE GROWTH
SUB-ACCOUNT SUB-ACCOUNT
------------------------------------------- ----------------------------------
2010 2009 2010 2009
---------------- -------------------------- ---------------- -----------------
INCREASE (DECREASE) IN NET ASSETS:
FROM OPERATIONS:
Net investment income (loss) $ 518,708 $ 817,750 $ (1,834,353) $ (1,555,623)
Net realized gains (losses) (46,528) (1,345,960) (729,737) (2,337,581)
Change in unrealized appreciation
(depreciation) on investments 15,933,466 18,518,803 31,554,611 33,075,324
---------------- -------------------------- ---------------- -----------------
Net increase (decrease) in net
assets resulting from operations 16,405,646 17,990,593 28,990,521 29,182,120
---------------- -------------------------- ---------------- -----------------
CONTRACT TRANSACTIONS:
Payments received from contract
owners 46,471,592 29,603,307 18,895,526 15,963,204
Net transfers (including fixed
account) 2,718,317 4,797,909 (4,987,849) (174,010)
Contract charges (576,020) (258,629) (470,056) (310,219)
Transfers for contract benefits &
terminations (8,050,441) (5,597,996) (9,662,148) (7,659,711)
---------------- -------------------------- ---------------- -----------------
Net increase (decrease) in net
assets resulting from
contract transactions 40,563,448 28,544,591 3,775,473 7,819,264
---------------- -------------------------- ---------------- -----------------
Net increase (decrease) in
net assets 56,969,094 46,535,184 32,765,994 37,001,384
NET ASSETS:
Beginning of year 116,657,409 70,122,225 123,705,924 86,704,540
---------------- -------------------------- ---------------- -----------------
End of year $ 173,626,503 $ 116,657,409 $ 156,471,918 $ 123,705,924
================ ========================== ================ =================
(a) For the period May 4, 2009 to December 31, 2009.
(b) For the period May 3, 2010 to December 31, 2010.
(c) For the period October 15, 2009 to December 15, 2009.
(d) For the period March 15, 2010 to December 31, 2010.
The accompanying notes are an integral part of these financial statements.
116
LMPVET CLEARBRIDGE LMPVET INVESTMENT LMPVET CLEARBRIDGE
VARIABLE LARGE CAP GROWTH COUNSEL VARIABLE SOCIAL AWARENESS VARIABLE EQUITY INCOME BUILDER
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
------------------------------- ---------------- ------------------- ---------------------------------
2010 2009 2010 2009 2010 2009
-------------- ---------------- ------------ ----------------------- --------------- -----------------
$ (100,014) $ (89,306) $ (1,958) $ (904) $ 1,827,744 $ 949,840
(67,178) (329,106) (15,882) (74,169) (2,284,460) (3,323,647)
580,884 2,418,961 67,430 159,948 7,931,196 12,577,390
-------------- ---------------- ------------ ----------------------- --------------- -----------------
413,692 2,000,549 49,590 84,875 7,474,480 10,203,583
-------------- ---------------- ------------ ----------------------- --------------- -----------------
14,446 10,583 1,385 1,788 12,770,354 11,470,586
(431,047) (249,620) (15,771) (93,132) 1,171,468 3,993,332
(23,150) (28,461) (275) (297) (217,562) (99,252)
(727,111) (418,088) (39,961) (45,423) (5,138,178) (3,943,912)
-------------- ---------------- ------------ ----------------------- --------------- -----------------
(1,166,862) (685,586) (54,622) (137,064) 8,586,082 11,420,754
-------------- ---------------- ------------ ----------------------- --------------- -----------------
(753,170) 1,314,963 (5,032) (52,189) 16,060,562 21,624,337
6,818,703 5,503,740 515,712 567,901 64,946,351 43,322,014
-------------- ---------------- ------------ ----------------------- --------------- -----------------
$ 6,065,533 $ 6,818,703 $ 510,680 $ 515,712 $ 81,006,913 $ 64,946,351
============== ================ ============ ======================= =============== =================
The accompanying notes are an integral part of these financial statements.
117
METLIFE INVESTORS USA SEPARATE ACCOUNT A
OF METLIFE INVESTORS USA INSURANCE COMPANY
STATEMENTS OF CHANGES IN NET ASSETS -- (CONTINUED)
FOR THE YEARS ENDED DECEMBER 31, 2010 AND 2009
LMPVET CLEARBRIDGE
LMPVET CLEARBRIDGE VARIABLE CAPITAL VARIABLE DIVIDEND STRATEGY
SUB-ACCOUNT SUB-ACCOUNT
-------------------------------------- -------------------------------
2010 2009 2010 2009
-------------- ----------------------- -------------- ----------------
INCREASE (DECREASE) IN NET ASSETS:
FROM OPERATIONS:
Net investment income (loss) $ (50,460) $ (56,300) $ 63,908 $ 13,985
Net realized gains (losses) (459,328) (617,452) (127,436) (377,981)
Change in unrealized appreciation
(depreciation) on investments 1,016,611 2,196,191 598,520 1,317,453
-------------- ----------------------- -------------- ----------------
Net increase (decrease) in net
assets resulting from operations 506,823 1,522,439 534,992 953,457
-------------- ----------------------- -------------- ----------------
CONTRACT TRANSACTIONS:
Payments received from contract
owners 16,152 1,218 30,048 22,331
Net transfers (including fixed
account) (245,616) (95,329) (85,342) (110,622)
Contract charges (26,922) (29,740) (21,919) (22,407)
Transfers for contract benefits &
terminations (424,197) (248,902) (490,031) (480,991)
-------------- ----------------------- -------------- ----------------
Net increase (decrease) in net
assets resulting from
contract transactions (680,583) (372,753) (567,244) (591,689)
-------------- ----------------------- -------------- ----------------
Net increase (decrease) in
net assets (173,760) 1,149,686 (32,252) 361,768
NET ASSETS:
Beginning of year 5,469,899 4,320,213 5,884,519 5,522,751
-------------- ----------------------- -------------- ----------------
End of year $ 5,296,139 $ 5,469,899 $ 5,852,267 $ 5,884,519
============== ======================= ============== ================
(a) For the period May 4, 2009 to December 31, 2009.
(b) For the period May 3, 2010 to December 31, 2010.
(c) For the period October 15, 2009 to December 15, 2009.
(d) For the period March 15, 2010 to December 31, 2010.
The accompanying notes are an integral part of these financial statements.
118
LMPVET VARIABLE LIFESTYLE ALLOCATION 50% LMPVET VARIABLE LIFESTYLE ALLOCATION 70% LMPVET VARIABLE LIFESTYLE ALLOCATION 85%
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
------------------------------------------- ------------------------------------------- -------------------------------------------
2010 2009 2010 2009 2010 2009
--------------- --------------------------- -------------- ---------------------------- --------------- ---------------------------
$ 217,581 $ 220,518 $ 14,214 $ 58,734 $ 197,005 $ 453,017
(104,317) (673,030) (75,321) (243,543) (47,518) (228,257)
1,061,494 2,112,660 464,939 995,242 7,347,126 10,083,114
--------------- --------------------------- -------------- ---------------------------- --------------- ---------------------------
1,174,758 1,660,148 403,832 810,433 7,496,613 10,307,874
--------------- --------------------------- -------------- ---------------------------- --------------- ---------------------------
4,403,456 36,174 24,506 8,648 9,407,404 10,304,683
941,570 (68,724) (205,680) 99,888 (238,943) 2,518,047
(3,210) (2,222) (1,036) (1,137) (349,818) (229,799)
(661,319) (865,159) (273,685) (189,529) (1,856,668) (1,200,177)
--------------- --------------------------- -------------- ---------------------------- --------------- ---------------------------
4,680,497 (899,931) (455,895) (82,130) 6,961,975 11,392,754
--------------- --------------------------- -------------- ---------------------------- --------------- ---------------------------
5,855,255 760,217 (52,063) 728,303 14,458,588 21,700,628
7,231,568 6,471,351 3,447,350 2,719,047 47,576,561 25,875,933
--------------- --------------------------- -------------- ---------------------------- --------------- ---------------------------
$ 13,086,823 $ 7,231,568 $ 3,395,287 $ 3,447,350 $ 62,035,149 $ 47,576,561
=============== =========================== ============== ============================ =============== ===========================
The accompanying notes are an integral part of these financial statements.
119
METLIFE INVESTORS USA SEPARATE ACCOUNT A
OF METLIFE INVESTORS USA INSURANCE COMPANY
STATEMENTS OF CHANGES IN NET ASSETS -- (CONCLUDED)
FOR THE YEARS ENDED DECEMBER 31, 2010 AND 2009
LMPVIT WESTERN ASSET LMPVIT WESTERN ASSET
VARIABLE ADJUSTABLE RATE INCOME VARIABLE GLOBAL HIGH YIELD BOND
SUB-ACCOUNT SUB-ACCOUNT
---------------------------------- ----------------------------------
2010 2009 2010 2009
-------------- ------------------- --------------- ------------------
INCREASE (DECREASE) IN NET ASSETS:
FROM OPERATIONS:
Net investment income (loss) $ (11,190) $ 6,488 $ 4,279,019 $ 3,692,798
Net realized gains (losses) (34,178) (84,935) (257,958) (1,514,921)
Change in unrealized appreciation
(depreciation) on investments 200,066 363,254 2,633,790 13,639,135
-------------- --- --------------- --------------- --- --------------
Net increase (decrease) in net
assets resulting from operations 154,698 284,807 6,654,851 15,817,012
-------------- ------------------- --------------- ------------------
CONTRACT TRANSACTIONS:
Payments received from contract
owners 2,211 7,629 10,328,608 6,533,638
Net transfers (including fixed
account) 94,548 137,208 685,318 (164,142)
Contract charges (1,253) (935) (194,240) (104,974)
Transfers for contract benefits &
terminations (222,201) (95,008) (4,631,610) (3,204,977)
-------------- ------------------- --------------- ------------------
Net increase (decrease) in net
assets resulting from
contract transactions (126,695) 48,894 6,188,076 3,059,545
-------------- ------------------- --------------- ------------------
Net increase (decrease) in
net assets 28,003 333,701 12,842,927 18,876,557
NET ASSETS:
Beginning of year 2,121,940 1,788,239 48,249,580 29,373,023
-------------- ------------------- --------------- ------------------
End of year $ 2,149,943 $ 2,121,940 $ 61,092,507 $ 48,249,580
============== =================== =============== ==================
(a) For the period May 4, 2009 to December 31, 2009.
(b) For the period May 3, 2010 to December 31, 2010.
(c) For the period October 15, 2009 to December 15, 2009.
(d) For the period March 15, 2010 to December 31, 2010.
The accompanying notes are an integral part of these financial statements.
120
METLIFE INVESTORS USA SEPARATE ACCOUNT A
OF METLIFE INVESTORS USA INSURANCE COMPANY
NOTES TO THE FINANCIAL STATEMENTS
1. ORGANIZATION
MetLife Investors USA Separate Account A (the "Separate Account"), a separate
account of MetLife Investors USA Insurance Company (the "Company"), was
established by the Company's Board of Directors on May 29, 1980 to support
operations of the Company with respect to certain variable annuity contracts
(the "Contracts"). The Company is an indirect wholly-owned subsidiary of
MetLife, Inc., a Delaware corporation. The Separate Account is registered as a
unit investment trust under the Investment Company Act of 1940, as amended, and
exists in accordance with the regulations of the Delaware Department of
Insurance.
The Separate Account is divided into Sub-Accounts, each of which is treated as
an individual accounting entity for financial reporting purposes. Each
Sub-Account invests in shares of the corresponding portfolio, series, or fund
(with the same name) of registered investment management companies (the
"Trusts"), which are presented below:
Met Investors Series Trust ("MIST")*
AIM Variable Insurance Funds (Invesco Variable
Insurance Funds) ("Invesco V.I.")+
MFS Variable Insurance Trust ("MFS VIT")
Oppenheimer Variable Account Funds
("Oppenheimer VA")
Fidelity Variable Insurance Products ("Fidelity VIP")
DWS Variable Series I ("DWS")
Metropolitan Series Fund, Inc. ("MSF")*
Federated Insurance Series ("Federated")
Neuberger Berman Equity Funds ("Neuberger")
The Alger Portfolios ("Alger")
T. Rowe Price Funds ("T. Rowe Price")
Janus Aspen Series ("Janus Aspen")
American Funds Insurance Series ("American Funds")
Franklin Templeton Variable Insurance Products Trust
("FTVIPT")
The Universal Institutional Funds, Inc. ("UIF")
Pioneer Variable Contracts Trust ("Pioneer VCT")
Legg Mason Partners Variable Equity Trust
("LMPVET")
Legg Mason Partners Variable Income Trust
("LMPVIT")
* See Note 5 for discussion of additional information on related party
transactions.
+ Formerly named AIM Variable Insurance Funds ("AIM V.I.")
NAME CHANGES:
The following portfolios were affected by a trust name change during the year
ended December 31, 2010:
FORMER NAME NEW NAME
AIM V.I. Core Equity Fund Invesco V.I. Core Equity Fund
AIM V.I. Capital Appreciation Fund Invesco V.I. Capital Appreciation Fund
AIM V.I. International Growth Fund Invesco V.I. International Growth Fund
AIM V.I. Basic Balanced Fund Invesco V.I. Basic Balanced Fund
AIM V.I. Global Real Estate Fund Invesco V.I. Global Real Estate Fund
REORGANIZATIONS:
During the year ended December 31, 2010, all the portfolios of the Van Kampen
Life Investment Trust and certain portfolios of The Universal Institutional
Funds, Inc. were reorganized into portfolios of AIM Variable Insurance Funds
(Invesco Variable Insurance Funds). As a result of the reorganizations, the
following name changes occurred:
FORMER TRUST NEW TRUST
Van Kampen Life Investment Capital Growth Portfolio Invesco Van Kampen V.I. Capital Growth Fund
Van Kampen Life Investment Growth and Income Invesco Van Kampen V.I. Growth and Income Fund
Portfolio
UIF Equity and Income Portfolio Invesco Van Kampen V.I. Equity and Income Fund
UIF U.S. Mid Cap Value Portfolio Invesco Van Kampen V.I. U.S. Mid Cap Value Fund
121
METLIFE INVESTORS USA SEPARATE ACCOUNT A
OF METLIFE INVESTORS USA INSURANCE COMPANY
NOTES TO THE FINANCIAL STATEMENTS -- (CONTINUED)
1. ORGANIZATION -- (CONTINUED)
The assets of each of the Sub-Accounts of the Separate Account are registered
in the name of the Company. Under applicable insurance law, the assets and
liabilities of the Separate Account are clearly identified and distinguished
from the Company's other assets and liabilities. The portion of the Separate
Account's assets applicable to the Contracts is not chargeable with liabilities
arising out of any other business the Company may conduct.
2. LIST OF SUB-ACCOUNTS
Purchase payments, less any applicable charges, applied to the Separate Account
are invested in one or more Sub-Accounts in accordance with the selection made
by the contract owner. The following Sub-Accounts had net assets as of December
31, 2010:
MIST Lord Abbett Growth and Income Sub-Account*
MIST Lord Abbett Bond Debenture Sub-Account*
MIST Morgan Stanley Mid Cap Growth Sub-Account*
MIST Lord Abbett Mid Cap Value Sub-Account
MIST Lazard Mid Cap Sub-Account
MIST Invesco Small Cap Growth Sub-Account*
MIST Harris Oakmark International Sub-Account*
MIST Third Avenue Small Cap Value Sub-Account*
MIST Oppenheimer Capital Appreciation
Sub-Account*
MIST Legg Mason ClearBridge Aggressive Growth
Sub-Account
MIST PIMCO Total Return Sub-Account*
MIST RCM Technology Sub-Account*
MIST PIMCO Inflation Protected Bond Sub-Account
MIST T. Rowe Price Mid Cap Growth Sub-Account
MIST MFS Research International Sub-Account*
MIST Clarion Global Real Estate Sub-Account
MIST Turner Mid Cap Growth Sub-Account
MIST Goldman Sachs Mid Cap Value Sub-Account
MIST MetLife Defensive Strategy Sub-Account
MIST MetLife Moderate Strategy Sub-Account
MIST MetLife Balanced Strategy Sub-Account
MIST MetLife Growth Strategy Sub-Account
MIST MetLife Aggressive Strategy Sub-Account
MIST Van Kampen Comstock Sub-Account
MIST Legg Mason Value Equity Sub-Account
MIST MFS Emerging Markets Equity Sub-Account
MIST Loomis Sayles Global Markets Sub-Account
MIST Janus Forty Sub-Account*
MIST Dreman Small Cap Value Sub-Account*
MIST Pioneer Fund Sub-Account*
MIST Pioneer Strategic Income Sub-Account*
MIST BlackRock Large Cap Core Sub-Account
MIST BlackRock High Yield Sub-Account*
MIST Rainier Large Cap Equity Sub-Account
MIST American Funds Balanced Allocation
Sub-Account
MIST American Funds Bond Sub-Account
MIST American Funds Growth Sub-Account
MIST American Funds Growth Allocation
Sub-Account
MIST American Funds International Sub-Account
MIST American Funds Moderate Allocation
Sub-Account
MIST Met/Franklin Mutual Shares Sub-Account
MIST Met/Franklin Templeton Founding Strategy
Sub-Account
MIST SSgA Growth ETF Sub-Account
MIST SSgA Growth and Income ETF Sub-Account
MIST Met/Templeton International Bond Sub-Account
MIST Met/Templeton Growth Sub-Account**
MIST Met/Eaton Vance Floating Rate Sub-Account**
Invesco V.I. Core Equity Sub-Account
Invesco V.I. Capital Appreciation Sub-Account
Invesco V.I. International Growth Sub-Account*
Invesco V.I. Basic Balanced Sub-Account
Invesco V.I. Global Real Estate Sub-Account
Invesco V.I. Capital Growth Sub-Account
Invesco V.I. Growth and Income Sub-Account*
Invesco V.I. Equity and Income Sub-Account
Invesco V.I. U.S. Mid Cap Value Sub-Account
MFS VIT Research Sub-Account
MFS VIT Investors Trust Sub-Account
MFS VIT New Discovery Sub-Account
Oppenheimer VA Main Street Sub-Account
Oppenheimer VA Core Bond Sub-Account
Oppenheimer VA Global Strategic Income
Sub-Account
Oppenheimer VA Main Street Small Cap
Sub-Account*
Oppenheimer VA Money Sub-Account
Fidelity VIP Asset Manager Sub-Account
Fidelity VIP Growth Sub-Account
Fidelity VIP Contrafund Sub-Account*
Fidelity VIP Overseas Sub-Account
122
METLIFE INVESTORS USA SEPARATE ACCOUNT A
OF METLIFE INVESTORS USA INSURANCE COMPANY
NOTES TO THE FINANCIAL STATEMENTS -- (CONTINUED)
2. LIST OF SUB-ACCOUNTS -- (CONTINUED)
Fidelity VIP Equity-Income Sub-Account
Fidelity VIP Index 500 Sub-Account
Fidelity VIP Money Market Sub-Account*
Fidelity VIP Mid Cap Sub-Account
Fidelity VIP FundsManager 60% Sub-Account
DWS International Sub-Account
MSF FI Value Leaders Sub-Account
MSF Russell 2000 Index Sub-Account*
MSF Artio International Stock Sub-Account*
MSF MetLife Stock Index Sub-Account*
MSF BlackRock Legacy Large Cap Growth
Sub-Account*
MSF Neuberger Berman Genesis Sub-Account
MSF BlackRock Bond Income Sub-Account*
MSF BlackRock Large Cap Value Sub-Account
MSF Barclays Capital Aggregate Bond Index
Sub-Account*
MSF MFS Value Sub-Account*
MSF Morgan Stanley EAFE Index Sub-Account*
MSF MFS Total Return Sub-Account*
MSF MetLife Mid Cap Stock Index Sub-Account*
MSF Davis Venture Value Sub-Account*
MSF Met/Artisan Mid Cap Value Sub-Account*
MSF Jennison Growth Sub-Account*
MSF BlackRock Money Market Sub-Account*
MSF T. Rowe Price Small Cap Growth Sub-Account*
MSF Western Asset Management U.S. Government
Sub-Account*
MSF Oppenheimer Global Equity Sub-Account
MSF MetLife Aggressive Allocation Sub-Account
MSF MetLife Conservative Allocation Sub-Account
MSF MetLife Conservative to Moderate Allocation
Sub-Account
MSF MetLife Moderate Allocation Sub-Account
MSF MetLife Moderate to Aggressive Allocation
Sub-Account
MSF T. Rowe Price Large Cap Growth Sub-Account
MSF Loomis Sayles Small Cap Core Sub-Account
MSF Neuberger Berman Mid Cap Value Sub-Account
MSF Met/Dimensional International Small Company
Sub-Account
MSF Van Eck Global Natural Resources Sub-Account
Federated Capital Income Sub-Account**
Federated High Income Bond Sub-Account
Federated Kaufman Sub-Account**
Neuberger Genesis Sub-Account
Alger Small Cap Growth Sub-Account
T. Rowe Price Growth Stock Sub-Account
T. Rowe Price International Stock Sub-Account
T. Rowe Price Prime Reserve Sub-Account
Janus Aspen Worldwide Sub-Account
American Funds Global Small Capitalization
Sub-Account
American Funds Growth Sub-Account
American Funds Growth-Income Sub-Account
American Funds Global Growth Sub-Account
American Funds Bond Sub-Account
FTVIPT Mutual Shares Securities Sub-Account
FTVIPT Templeton Foreign Securities Sub-Account
FTVIPT Templeton Growth Securities Sub-Account
FTVIPT Franklin Income Securities Sub-Account
FTVIPT Templeton Global Bond Securities
Sub-Account
FTVIPT Franklin Small Cap Value Securities
Sub-Account
UIF U.S. Real Estate Sub-Account
Pioneer VCT Bond Sub-Account
Pioneer VCT Cullen Value Sub-Account
Pioneer VCT Emerging Markets Sub-Account
Pioneer VCT Equity Income Sub-Account
Pioneer VCT Fund Sub-Account
Pioneer VCT Ibbotson Growth Allocation
Sub-Account
Pioneer VCT Ibbotson Moderate Allocation
Sub-Account
Pioneer VCT Mid Cap Value Sub-Account
Pioneer VCT Real Estate Shares Sub-Account
LMPVET ClearBridge Variable Small Cap Growth
Sub-Account
LMPVET ClearBridge Variable Large Cap Value
Sub-Account
LMPVET ClearBridge Variable Fundamental All Cap
Value Sub-Account
LMPVET ClearBridge Variable Appreciation
Sub-Account
LMPVET ClearBridge Variable Aggressive Growth
Sub-Account*
LMPVET ClearBridge Variable Large Cap Growth
Sub-Account
LMPVET Investment Counsel Variable Social
Awareness Sub-Account
LMPVET ClearBridge Variable Equity Income Builder
Sub-Account*
LMPVET ClearBridge Variable Capital Sub-Account
LMPVET ClearBridge Variable Dividend Strategy
Sub-Account
123
METLIFE INVESTORS USA SEPARATE ACCOUNT A
OF METLIFE INVESTORS USA INSURANCE COMPANY
NOTES TO THE FINANCIAL STATEMENTS -- (CONTINUED)
2. LIST OF SUB-ACCOUNTS -- (CONCLUDED)
LMPVET Variable Lifestyle Allocation 50%
Sub-Account
LMPVET Variable Lifestyle Allocation 70%
Sub-Account
LMPVET Variable Lifestyle Allocation 85%
LMPVIT Western Asset Variable Adjustable Rate
Income Sub-Account
LMPVIT Western Asset Variable Global High Yield
Bond Sub-Account
* This Sub-Account invests in two or more share classes within the underlying
portfolio, series, or fund of the Trusts that may assess 12b-1 fees.
** This Sub-Account began operations during the year ended December 31, 2010.
3. PORTFOLIO CHANGES
The following Sub-Accounts ceased operations during the year ended December 31,
2010:
MSF FI Mid Cap Opportunities Sub-Account
Federated Equity Income Sub-Account
Federated Mid Cap Growth Sub-Account
Pioneer VCT High Yield Sub-Account
LMPVET Batterymarch Variable Global Equity Sub-Account
LMPVIT Western Asset Variable Money Market Sub-Account
The operations of the Sub-Accounts were affected by the following changes that
occurred during the year ended December 31, 2010:
NAME CHANGES:
FORMER NAME NEW NAME
(MIST) Van Kampen Mid Cap Growth Portfolio (MIST) Morgan Stanley Mid Cap Growth Portfolio
(MIST) Met/AIM Small Cap Growth Portfolio (MIST) Invesco Small Cap Growth Portfolio
(MIST) Legg Mason Partners Aggressive Growth (MIST) Legg Mason ClearBridge Aggressive Growth
Portfolio Portfolio
(Oppenheimer VA) Strategic Bond Fund (Oppenheimer VA) Global Strategic Income Fund
(MSF) BlackRock Strategic Value Portfolio (MSF) Neuberger Berman Genesis Portfolio
(LMPVET) ClearBridge Variable Investors Portfolio (LMPVET) ClearBridge Variable Large Cap Value
Portfolio
(LMPVET) ClearBridge Variable Fundamental Value (LMPVET) ClearBridge Variable Fundamental All Cap
Portfolio Value Portfolio
MERGERS:
FORMER PORTFOLIO NEW PORTFOLIO
(MSF) FI Mid Cap Opportunities Portfolio (MIST) Morgan Stanley Mid Cap Growth Portfolio
(Federated) Equity Income Fund (Federated) Capital Income Fund
(Federated) Mid Cap Growth Strategies Fund (Federated) Kaufman Fund
124
METLIFE INVESTORS USA SEPARATE ACCOUNT A
OF METLIFE INVESTORS USA INSURANCE COMPANY
NOTES TO THE FINANCIAL STATEMENTS -- (CONTINUED)
3. PORTFOLIO CHANGES -- (CONTINUED)
SUBSTITUTIONS:
FORMER PORTFOLIO NEW PORTFOLIO
(Pioneer VCT) High Yield Portfolio (MIST) BlackRock High Yield Portfolio
(LMPVET) Batterymarch Global Equity Portfolio (MIST) Met/Templeton Growth Portfolio
(LMPVIT) Western Asset Variable Money Market (MSF) BlackRock Money Market Portfolio
Portfolio
4. SIGNIFICANT ACCOUNTING POLICIES
BASIS OF ACCOUNTING
The financial statements have been prepared in accordance with accounting
principles generally accepted in the United States of America ("GAAP")
applicable for variable annuity separate accounts registered as unit investment
trusts.
SECURITY TRANSACTIONS
Security transactions are recorded on a trade date basis. Realized gains and
losses on the sales of investments are computed on the basis of the average
cost of the investment sold. Income from dividends and realized gain
distributions are recorded on the ex-distribution date.
SECURITY VALUATION
The Sub-Accounts' investment in shares of the portfolio, series, or fund of the
Trusts is valued at fair value based on the closing net asset value ("NAV") or
price per share as determined by the Trusts as of the end of the year. All
changes in fair value are recorded as changes in unrealized gains (losses) on
investments in the statements of operations of the applicable Sub-Accounts.
The Separate Account defines fair value as the price that would be received to
sell an asset or paid to transfer a liability (an exit price) in the principal
or most advantageous market for the asset or liability in an orderly
transaction between market participants on the measurement date. The Separate
Account prioritizes the inputs to fair valuation techniques and allows for the
use of unobservable inputs to the extent that observable inputs are not
available. The Separate Account has categorized its assets based on the
priority of the inputs to the respective valuation technique. The fair value
hierarchy gives the highest priority to quoted prices in active markets for
identical assets (Level 1) and the lowest priority to unobservable inputs
(Level 3). An asset's classification within the fair value hierarchy is based
on the lowest level of significant input to its valuation. The input levels are
as follows:
Level 1 Unadjusted quoted prices in active markets for identical assets.
Level 2 Quoted prices in markets that are not active or inputs that are observable either directly or indirectly.
Level 3 Unobservable inputs that are supported by little or no market activity and are significant to the fair value
of the assets.
Each Sub-Account invests in shares of open-end mutual funds which calculate a
daily NAV based on the value of the underlying securities in their portfolios.
As a result, and as required by law, shares of open-end mutual funds are
purchased and redeemed at their quoted daily NAV as reported by the Trusts at
the close of each business day. On that basis, the inputs used to value all
shares held by the Separate Account, which are measured at fair value on a
recurring basis, are classified as Level 2.
125
METLIFE INVESTORS USA SEPARATE ACCOUNT A
OF METLIFE INVESTORS USA INSURANCE COMPANY
NOTES TO THE FINANCIAL STATEMENTS -- (CONTINUED)
4. SIGNIFICANT ACCOUNTING POLICIES -- (CONTINUED)
FEDERAL INCOME TAXES
The operations of the Separate Account form a part of the total operations of
the Company and are not taxed separately. The Company is taxed as a life
insurance company under the provisions of the Internal Revenue Code ("IRC").
Under the current provisions of the IRC, the Company does not expect to incur
federal income taxes on the earnings of the Separate Account to the extent the
earnings are credited under the Contracts. Accordingly, no charge is being made
to the Separate Account for federal income taxes. The Company will periodically
review the status of this policy in the event of changes in the tax law. A
charge may be made in future years for any federal income taxes that would be
attributable to the Contracts.
ANNUITY PAYOUTS
Net assets allocated to Contracts in the payout period are computed according
to industry standard mortality tables. The assumed investment return is 3.0% .
The mortality risk is fully borne by the Company and may result in additional
amounts being transferred into the Separate Account by the Company to cover
greater longevity of annuitants than expected. Conversely, if amounts allocated
exceed amounts required, transfers may be made to the Company.
PURCHASE PAYMENTS
Purchase payments received from contract owners by the Company are credited as
accumulation units as of the end of the valuation period in which received, as
provided in the prospectus, and are reported as contract transactions on the
statements of changes in net assets of the applicable Sub-Accounts.
NET TRANSFERS
Funds transferred by the contract owner into or out of the Sub-Accounts within
the Separate Account or into or out of the fixed account (an investment option
in the Company's general account) are recorded on a net basis as net transfers
in the statements of changes in net assets of the applicable Sub-Accounts.
USE OF ESTIMATES
The preparation of financial statements in accordance with GAAP requires
management to make estimates and assumptions that affect amounts reported
herein. Actual results could differ from these estimates.
ADOPTION OF NEW ACCOUNTING PRONOUNCEMENTS
Effective January 1, 2010, the Separate Account adopted new guidance that
requires new disclosures about significant transfers in and/or out of Levels 1
and 2 of the fair value hierarchy and activity in Level 3. In addition, this
guidance provides clarification of existing disclosure requirements about the
level of disaggregation and inputs and valuation techniques. The adoption of
this guidance did not have an impact on the Separate Account's financial
statements.
Effective December 31, 2009, the Separate Account adopted new guidance on: (i)
measuring the fair value of investments in certain entities that calculate a
NAV per share; (ii) how investments within its scope would be classified in the
fair value hierarchy; and (iii) enhanced disclosure requirements about the
nature and risks of investments measured at fair value on a recurring or
non-recurring basis. As a result, the Separate Account classified all of its
investments, which utilize a NAV to measure fair value, as Level 2 in the fair
value hierarchy.
Effective April 1, 2009, the Separate Account adopted prospectively new
guidance, which establishes general standards for accounting and disclosures of
events that occur subsequent to the statements of assets and liabilities date
but before financial statements are issued, as revised in February 2010. The
Separate Account has provided the required disclosures, if any, in its
financial statements.
126
METLIFE INVESTORS USA SEPARATE ACCOUNT A
OF METLIFE INVESTORS USA INSURANCE COMPANY
NOTES TO THE FINANCIAL STATEMENTS -- (CONTINUED)
5. EXPENSES AND RELATED PARTY TRANSACTIONS
The following annual Separate Account charges paid to the Company, are
asset-based charges assessed through a daily reduction in unit values, which
are recorded as expenses in the accompanying statements of operations of the
applicable Sub-Accounts:
MORTALITY AND EXPENSE RISK -- The mortality risk assumed by the Company is the
risk that those insured may die sooner than anticipated and therefore, the
Company will pay an aggregate amount of death benefits greater than
anticipated. The expense risk assumed is the risk that expenses incurred in
issuing and administering the Contracts will exceed the amounts realized from
the administrative charges assessed against the Contracts. In addition, the
charge compensates the Company for the risk that the investor may live longer
than estimated and the Company would be obligated to pay more in income
payments than anticipated.
ADMINISTRATIVE -- The Company has responsibility for the administration of the
Contracts and the Separate Account. Generally, the administrative charge is
related to the maintenance, including distribution, of each contract and the
Separate Account.
OPTIONAL DEATH BENEFIT RIDER -- For an additional charge, the total death
benefit payable may be increased based on increases in account value of the
Contracts.
DISTRIBUTION EXPENSE -- The risk that surrender charges will be insufficient to
cover the actual costs of distribution which includes commissions, fees,
registration costs, direct and indirect selling expenses.
GUARANTEED MINIMUM ACCUMULATION BENEFIT -- For an additional charge, the
Company will guarantee that the contract value will not be less than a
guaranteed minimum amount at the end of a specified number of years.
EARNINGS PRESERVATION BENEFIT -- For an additional charge, the Company will
provide this additional death benefit.
GUARANTEED WITHDRAWAL BENEFIT FOR LIFE -- For a charge that includes the
Mortality and Expense Risk charge and a guaranteed withdrawal benefit, the
Company will guarantee the periodic return on the investment for life of a
single annuitant or joint annuitants.
The table below represents the range of effective annual rates for each
respective charge for the year ended December 31, 2010:
Mortality and Expense Risk 0.75% - 2.05%
Administrative 0.10% - 0.25%
Optional Death Benefit Rider 0.15% - 0.35%
Distribution Expense 0.10%
Guaranteed Minimum Accumulation Benefit 1.50%
Earnings Preservation Benefit 0.25%
Guaranteed Withdrawal Benefit for Life 0.90% - 1.05%
The above referenced charges may not necessarily correspond to the costs
associated with providing the services or benefits indicated by the designation
of the charge or associated with a particular contract. The range of effective
rates disclosed above excludes any waivers granted to certain Sub-Accounts.
The following optional rider charges paid to the Company are charged at each
contract anniversary date through the redemption of units and are recorded as
contract charges in the accompanying statements of changes in net assets of the
applicable Sub-Accounts:
GUARANTEED MINIMUM ACCUMULATION BENEFIT -- For an additional charge, the
Company will guarantee that the contract value will not be less than a
guaranteed minimum amount at the end of a specified number of years.
LIFETIME WITHDRAWAL GUARANTEE -- For an additional charge, the Company will
guarantee minimum withdrawals for life regardless of market conditions.
GUARANTEED WITHDRAWAL BENEFIT -- For an additional charge, the Company will
guarantee minimum withdrawals regardless of market conditions.
127
METLIFE INVESTORS USA SEPARATE ACCOUNT A
OF METLIFE INVESTORS USA INSURANCE COMPANY
NOTES TO THE FINANCIAL STATEMENTS -- (CONTINUED)
5. EXPENSES AND RELATED PARTY TRANSACTIONS -- (CONTINUED)
GUARANTEED MINIMUM INCOME BENEFIT -- For an additional charge, the Company will
guarantee a minimum payment regardless of market conditions.
ENHANCED DEATH BENEFIT -- For an additional charge, the Company will guarantee
a death benefit equal to the greater of the account value or the higher of two
death benefit bases.
The table below represents the range of effective annual rates for each
respective charge for the year ended December 31, 2010:
Guaranteed Minimum Accumulation Benefit 0.75%
Lifetime Withdrawal Guarantee 0.50% - 1.80%
Guaranteed Withdrawal Benefit 0.25% - 1.00%
Guaranteed Minimum Income Benefit 0.50% - 1.50%
Enhanced Death Benefit 0.60% - 1.50%
The above referenced charges may not necessarily correspond to the costs
associated with providing the services or benefits indicated by the designation
of the charge or associated with a particular contract.
A contract maintenance fee ranging from $30 to $40 is assessed on an annual
basis for Contracts with a value of less than $50,000. A transfer fee of $25
may be deducted after twelve transfers are made in a contract year or, for
certain contracts, 2% of the amount transferred from the contract value, if
less. For certain contracts, an administrative charge is also assessed of
$21.50 plus $2.50 for each Sub-Account in which the contract owner invests
(waived if purchase payments equal or exceed $2,000 in the year, or if the
account value is $10,000 or more at year end). In addition, the Contracts
impose a surrender charge which ranges from 0% to 9% if the contract is
partially or fully surrendered within the specified surrender charge period.
For certain contracts, a transaction charge of the lesser of $10 or 2% of the
surrender is imposed on surrenders and a $10 charge is assessed for
annuitizations. For those contract owners who choose optional living benefit
riders or certain optional death benefit riders, these charges range from 0.25%
to 1.80% of the benefit base and are charged at each contract anniversary
date.
These charges are paid to the Company, assessed through the redemption of
units, and recorded as contract charges in the accompanying statements of
changes in net assets of the applicable Sub-Accounts.
Certain portfolios of the MIST and MSF Trusts are managed by MetLife Advisers,
LLC, which acts in the capacity of investment advisor and is an indirect
affiliate of the Company. On May 1, 2009, Met Investors Advisory, LLC, an
indirect affiliate of the Company and previous manager of the MIST Trust,
merged into MetLife Advisers, LLC.
128
METLIFE INVESTORS USA SEPARATE ACCOUNT A
OF METLIFE INVESTORS USA INSURANCE COMPANY
NOTES TO THE FINANCIAL STATEMENTS -- (CONTINUED)
6. STATEMENTS OF INVESTMENTS
FOR THE YEAR ENDED
AS OF DECEMBER 31, 2010 DECEMBER 31, 2010
------------------------- ----------------------------
COST OF PROCEEDS
SHARES COST ($) PURCHASES ($) FROM SALES ($)
----------- ------------- ------------- --------------
MIST Lord Abbett Growth and Income Sub-Account 25,486,032 625,620,160 22,396,573 43,221,240
MIST Lord Abbett Bond Debenture Sub-Account 20,812,062 246,947,473 31,425,617 24,455,665
MIST Morgan Stanley Mid Cap Growth Sub-Account 7,682,553 69,787,653 19,412,222 4,341,336
MIST Lord Abbett Mid Cap Value Sub-Account 6,838,601 89,431,632 30,520,886 2,505,600
MIST Lazard Mid Cap Sub-Account 11,933,404 141,997,421 17,436,829 6,343,405
MIST Invesco Small Cap Growth Sub-Account 13,421,827 161,641,430 20,338,001 11,459,141
MIST Harris Oakmark International Sub-Account 33,760,506 449,108,684 114,033,931 15,895,853
MIST Third Avenue Small Cap Value Sub-Account 21,847,557 298,783,033 29,850,737 15,302,365
MIST Oppenheimer Capital Appreciation Sub-Account 32,229,581 251,800,646 1,436,176 22,351,602
MIST Legg Mason ClearBridge Aggressive Growth
Sub-Account 13,870,880 95,871,085 19,069,291 8,317,181
MIST PIMCO Total Return Sub-Account 143,149,787 1,676,563,514 749,909,596 91,767,214
MIST RCM Technology Sub-Account 23,078,086 92,698,339 28,463,831 15,177,531
MIST PIMCO Inflation Protected Bond Sub-Account 62,492,353 679,330,353 233,811,710 14,214,466
MIST T. Rowe Price Mid Cap Growth Sub-Account 43,034,249 320,447,014 89,557,071 13,971,221
MIST MFS Research International Sub-Account 31,219,601 343,474,229 27,900,734 18,250,970
MIST Clarion Global Real Estate Sub-Account 13,659,885 158,301,030 36,727,088 5,007,743
MIST Turner Mid Cap Growth Sub-Account 6,185,425 70,333,459 19,343,049 7,898,727
MIST Goldman Sachs Mid Cap Value Sub-Account 8,751,228 110,451,495 23,680,540 8,413,534
MIST MetLife Defensive Strategy Sub-Account 185,198,757 1,859,079,669 546,164,191 145,336,934
MIST MetLife Moderate Strategy Sub-Account 290,271,079 2,915,515,069 684,975,587 27,292,767
MIST MetLife Balanced Strategy Sub-Account 620,163,148 6,387,980,848 1,057,114,745 59,097,306
MIST MetLife Growth Strategy Sub-Account 524,488,320 5,876,370,451 148,380,110 312,295,136
MIST MetLife Aggressive Strategy Sub-Account 54,249,779 556,399,890 74,697,017 30,445,211
MIST Van Kampen Comstock Sub-Account 24,218,635 193,368,756 45,327,981 1,479,302
MIST Legg Mason Value Equity Sub-Account 15,127,700 111,915,356 21,275,315 4,941,372
MIST MFS Emerging Markets Equity Sub-Account 31,616,388 290,928,279 126,734,236 9,308,683
MIST Loomis Sayles Global Markets Sub-Account 11,664,276 125,654,267 49,493,872 6,572,330
MIST Janus Forty Sub-Account 780,080 49,414,220 32,086,524 4,544,892
MIST Dreman Small Cap Value Sub-Account 1,645,057 20,361,774 3,961,221 2,893,657
MIST Pioneer Fund Sub-Account 7,986,357 94,205,574 47,776,188 1,945,832
MIST Pioneer Strategic Income Sub-Account 37,647,634 374,020,183 153,336,311 6,044,393
MIST BlackRock Large Cap Core Sub-Account 1,111,409 9,441,377 4,400,143 822,987
MIST BlackRock High Yield Sub-Account 21,089,940 163,199,115 138,800,268 68,396,150
MIST Rainier Large Cap Equity Sub-Account 5,672,945 42,786,243 13,051,817 7,072,431
MIST American Funds Balanced Allocation Sub-Account 253,403,817 2,120,191,129 958,172,648 14,099,990
MIST American Funds Bond Sub-Account 27,451,730 262,442,436 130,716,448 3,883,655
MIST American Funds Growth Sub-Account 52,486,729 385,080,573 186,001,794 10,047,256
MIST American Funds Growth Allocation Sub-Account 157,112,425 1,194,415,394 209,875,033 72,683,658
MIST American Funds International Sub-Account 35,066,455 261,846,087 121,733,703 7,529,837
MIST American Funds Moderate Allocation Sub-Account 145,362,866 1,278,196,695 520,401,698 6,829,631
MIST Met/Franklin Mutual Shares Sub-Account 13,669,965 105,111,231 53,198,107 4,099,075
MIST Met/Franklin Templeton Founding Strategy Sub-Account 57,932,880 477,866,691 115,840,244 31,893,291
MIST SSgA Growth ETF Sub-Account 29,399,583 269,379,609 147,349,108 16,455,855
MIST SSgA Growth and Income ETF Sub-Account 87,119,227 883,014,317 605,097,798 1,865,449
MIST Met/Templeton International Bond Sub-Account 2,927,619 34,022,563 26,877,505 1,095,344
MIST Met/Templeton Growth Sub-Account (a) 791,899 6,881,220 7,105,860 218,305
MIST Met/Eaton Vance Floating Rate Sub-Account (a) 1,582,792 15,950,162 16,746,238 799,640
Invesco V.I. Core Equity Sub-Account 14,574 366,685 3,655 49,401
Invesco V.I. Capital Appreciation Sub-Account 6,123 155,295 1,082 35,624
Invesco V.I. International Growth Sub-Account 3,946,576 98,467,225 36,432,068 510,665
Invesco V.I. Basic Balanced Sub-Account 27,892 301,355 4,894 24,784
Invesco V.I. Global Real Estate Sub-Account 678,299 9,042,274 3,790,505 309,139
Invesco V.I. Capital Growth Sub-Account 3,846 119,870 -- 8,050
Invesco V.I. Growth and Income Sub-Account 8,733,648 148,142,413 36,637,958 592,849
Invesco V.I. Equity and Income Sub-Account 24,564,045 326,446,141 70,288,189 3,953,488
129
METLIFE INVESTORS USA SEPARATE ACCOUNT A
OF METLIFE INVESTORS USA INSURANCE COMPANY
NOTES TO THE FINANCIAL STATEMENTS -- (CONTINUED)
6. STATEMENTS OF INVESTMENTS -- (CONTINUED)
FOR THE YEAR ENDED
AS OF DECEMBER 31, 2010 DECEMBER 31, 2010
------------------------- ----------------------------
COST OF PROCEEDS
SHARES COST ($) PURCHASES ($) FROM SALES ($)
----------- ------------- ------------- --------------
Invesco V.I. U.S. Mid Cap Value Sub-Account 2,212,190 25,207,800 9,263,612 836,199
MFS VIT Research Sub-Account 5,903 96,067 1,008 15,353
MFS VIT Investors Trust Sub-Account 2,166 39,290 623 13,268
MFS VIT New Discovery Sub-Account 2,560 38,541 -- 14,184
Oppenheimer VA Main Street Sub-Account 5,711 115,766 1,266 18,743
Oppenheimer VA Core Bond Sub-Account 1,280 13,812 1,102 50,722
Oppenheimer VA Global Strategic Income Sub-Account 735 3,560 1,289 11,599
Oppenheimer VA Main Street Small Cap Sub-Account 4,018,909 55,170,899 15,089,427 832,007
Oppenheimer VA Money Sub-Account 116,314 116,314 33 1,635
Fidelity VIP Asset Manager Sub-Account 7,000,337 107,080,925 2,324,176 13,743,209
Fidelity VIP Growth Sub-Account 3,973,726 148,871,784 1,342,267 13,066,856
Fidelity VIP Contrafund Sub-Account 15,919,366 363,404,771 40,310,943 25,217,077
Fidelity VIP Overseas Sub-Account 373,660 6,910,031 235,748 870,357
Fidelity VIP Equity-Income Sub-Account 333,899 7,692,063 145,835 1,087,513
Fidelity VIP Index 500 Sub-Account 517,420 65,508,800 2,563,106 10,790,512
Fidelity VIP Money Market Sub-Account 67,343,838 67,343,848 230,138,193 213,367,356
Fidelity VIP Mid Cap Sub-Account 5,827,779 151,861,692 48,179,611 1,099,672
Fidelity VIP FundsManager 60% Sub-Account 119,088,937 1,092,232,845 1,055,664,852 3,652
DWS International Sub-Account 2,550,214 26,873,889 1,003,192 2,649,564
MSF FI Value Leaders Sub-Account 37,230 5,900,185 1,331,032 720,873
MSF Russell 2000 Index Sub-Account 3,565,795 39,439,165 28,449,868 4,501,062
MSF Artio International Stock Sub-Account 404,146 5,182,094 637,629 795,707
MSF MetLife Stock Index Sub-Account 11,789,147 308,495,431 71,897,805 46,850,354
MSF BlackRock Legacy Large Cap Growth Sub-Account 348,576 6,695,981 1,517,524 1,933,239
MSF Neuberger Berman Genesis Sub-Account 848,305 12,627,898 750,993 1,200,400
MSF BlackRock Bond Income Sub-Account 439,865 46,178,651 10,146,441 7,247,103
MSF BlackRock Large Cap Value Sub-Account 280,801 3,280,712 372,273 485,885
MSF Barclays Capital Aggregate Bond Index Sub-Account 7,893,439 85,787,064 61,397,649 5,303,650
MSF MFS Value Sub-Account 3,690,684 45,117,955 10,421,876 3,076,258
MSF Morgan Stanley EAFE Index Sub-Account 4,997,884 56,970,410 31,070,441 2,845,266
MSF MFS Total Return Sub-Account 314,552 43,448,609 3,606,339 6,290,401
MSF MetLife Mid Cap Stock Index Sub-Account 4,321,336 51,340,707 29,181,850 3,223,873
MSF Davis Venture Value Sub-Account 19,511,304 513,474,253 75,725,359 15,292,961
MSF Met/Artisan Mid Cap Value Sub-Account 1,294,055 274,922,023 10,350,566 18,865,641
MSF Jennison Growth Sub-Account 20,301,139 211,242,124 42,405,948 12,597,131
MSF BlackRock Money Market Sub-Account 5,538,860 553,885,965 325,262,547 347,909,761
MSF T. Rowe Price Small Cap Growth Sub-Account 516,124 5,806,277 1,377,323 1,602,805
MSF Western Asset Management U.S. Government
Sub-Account 17,740,863 212,265,573 85,139,279 15,054,777
MSF Oppenheimer Global Equity Sub-Account 733,866 10,931,391 455,731 1,564,017
MSF MetLife Aggressive Allocation Sub-Account 183,585 1,967,684 330,494 253,071
MSF MetLife Conservative Allocation Sub-Account 873,970 9,058,075 3,254,881 4,689,851
MSF MetLife Conservative to Moderate Allocation
Sub-Account 820,733 8,382,420 1,550,845 1,964,878
MSF MetLife Moderate Allocation Sub-Account 4,388,818 47,989,205 3,624,569 4,330,191
MSF MetLife Moderate to Aggressive Allocation Sub-Account 5,294,867 59,450,350 3,479,894 4,607,922
MSF T. Rowe Price Large Cap Growth Sub-Account 91,165 1,172,289 482,086 457,518
MSF Loomis Sayles Small Cap Core Sub-Account 33,108 5,811,914 4,601,393 566,889
MSF Neuberger Berman Mid Cap Value Sub-Account 100,087 1,657,183 1,545,474 78,134
MSF Met/Dimensional International Small Company
Sub-Account 2,151,041 29,053,363 17,500,562 3,453,062
MSF Van Eck Global Natural Resources Sub-Account 4,129,471 60,114,952 44,607,714 690,724
Federated Capital Income Sub-Account (b) 1,516 12,745 21,722 8,938
Federated High Income Bond Sub-Account 4,214 29,999 2,201 528
Federated Kaufman Sub-Account (b) 5,339 69,784 79,567 9,762
Neuberger Genesis Sub-Account 182 6,192 -- 1,893
130
METLIFE INVESTORS USA SEPARATE ACCOUNT A
OF METLIFE INVESTORS USA INSURANCE COMPANY
NOTES TO THE FINANCIAL STATEMENTS -- (CONTINUED)
6. STATEMENTS OF INVESTMENTS -- (CONCLUDED)
FOR THE YEAR ENDED
AS OF DECEMBER 31, 2010 DECEMBER 31, 2010
----------------------- ----------------------------
COST OF PROCEEDS
SHARES COST ($) PURCHASES ($) FROM SALES ($)
---------- ------------ ------------- --------------
Alger Small Cap Growth Sub-Account 1,819,823 52,588,160 971,477 6,312,915
T. Rowe Price Growth Stock Sub-Account 223,044 6,175,653 252,923 1,121,377
T. Rowe Price International Stock Sub-Account 65,504 902,976 46,184 98,196
T. Rowe Price Prime Reserve Sub-Account 1,264,618 1,264,580 281,688 417,528
Janus Aspen Worldwide Sub-Account 216 5,077 36 657
American Funds Global Small Capitalization Sub-Account 3,774,377 71,975,602 16,228,804 7,242,021
American Funds Growth Sub-Account 10,467,684 535,538,238 72,383,428 7,004,780
American Funds Growth--Income Sub-Account 7,781,372 275,582,340 30,810,200 7,460,447
American Funds Global Growth Sub-Account 9,424,661 198,015,127 25,064,689 2,672,476
American Funds Bond Sub-Account 8,163,170 84,985,167 29,678,470 2,308,804
FTVIPT Mutual Shares Securities Sub-Account 6,928,348 120,513,176 14,672,950 1,848,145
FTVIPT Templeton Foreign Securities Sub-Account 5,576,194 85,015,887 9,475,579 5,274,881
FTVIPT Templeton Growth Securities Sub-Account 4,105,289 52,987,655 4,116,072 4,043,647
FTVIPT Franklin Income Securities Sub-Account 11,912,868 180,311,599 38,452,843 4,704,023
FTVIPT Templeton Global Bond Securities Sub-Account 4,530,230 79,832,257 37,511,017 1,008,741
FTVIPT Franklin Small Cap Value Securities Sub-Account 1,828,842 23,988,265 11,883,524 839,151
UIF U.S. Real Estate Sub-Account 5,341,879 87,652,308 5,764,840 8,108,987
Pioneer VCT Bond Sub-Account 204,205 2,252,108 579,194 459,419
Pioneer VCT Cullen Value Sub-Account 194,754 1,769,458 334,844 187,875
Pioneer VCT Emerging Markets Sub-Account 39,066 879,703 305,432 275,879
Pioneer VCT Equity Income Sub-Account 19,097 289,350 73,296 108,226
Pioneer VCT Fund Sub-Account 11,676 218,584 23,712 25,189
Pioneer VCT Ibbotson Growth Allocation Sub-Account 1,808,437 13,223,463 1,703,915 1,430,859
Pioneer VCT Ibbotson Moderate Allocation Sub-Account 2,581,341 20,906,141 1,749,959 1,272,525
Pioneer VCT Mid Cap Value Sub-Account 2,770,165 47,833,938 6,636,045 1,449,505
Pioneer VCT Real Estate Shares Sub-Account 14,328 148,596 33,389 83,817
LMPVET ClearBridge Variable Small Cap Growth
Sub-Account 2,177,416 27,378,872 7,701,777 2,415,434
LMPVET ClearBridge Variable Large Cap Value Sub-Account 206,808 3,107,764 400,956 384,036
LMPVET ClearBridge Variable Fundamental All Cap Value
Sub-Account 5,057,332 104,503,241 7,749,937 4,166,633
LMPVET ClearBridge Variable Appreciation Sub-Account 7,410,438 171,652,710 41,487,156 405,012
LMPVET ClearBridge Variable Aggressive Growth
Sub-Account 9,581,972 142,477,812 11,397,551 9,456,478
LMPVET ClearBridge Variable Large Cap Growth
Sub-Account 375,345 5,715,123 396,115 1,663,009
LMPVET Investment Counsel Variable Social Awareness
Sub-Account 20,930 511,899 98,784 155,382
LMPVET ClearBridge Variable Equity Income Builder
Sub-Account 8,076,591 90,915,158 15,986,624 5,572,787
LMPVET ClearBridge Variable Capital Sub-Account 467,865 6,974,572 218,625 949,690
LMPVET ClearBridge Variable Dividend Strategy
Sub-Account 623,914 6,119,776 486,041 989,409
LMPVET Variable Lifestyle Allocation 50% Sub-Account 1,128,176 13,070,583 6,043,670 1,145,587
LMPVET Variable Lifestyle Allocation 70% Sub-Account 316,136 3,434,388 195,319 637,009
LMPVET Variable Lifestyle Allocation 85% Sub-Account 5,122,640 57,396,282 9,723,809 2,564,838
LMPVIT Western Asset Variable Adjustable Rate Income
Sub-Account 245,154 2,292,723 212,089 349,980
LMPVIT Western Asset Variable Global High Yield Bond
Sub-Account 7,743,036 65,022,907 15,151,146 4,684,107
(a) For the period May 3, 2010 to December 31, 2010.
(b) For the period March 15, 2010 to December 31, 2010.
131
METLIFE INVESTORS USA SEPARATE ACCOUNT A
OF METLIFE INVESTORS USA INSURANCE COMPANY
NOTES TO THE FINANCIAL STATEMENTS -- (CONTINUED)
7. SCHEDULES OF UNITS
FOR THE YEARS ENDED DECEMBER 31, 2010 AND 2009:
MIST LORD ABBETT MIST LORD ABBETT MIST MORGAN STANLEY
GROWTH AND INCOME BOND DEBENTURE MID CAP GROWTH
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
--------------------------- --------------------------- ---------------------------
2010 2009 2010 2009 2010 2009
------------- ------------- ------------- ------------- ------------- -------------
Units beginning of year 14,942,501 15,718,013 11,953,991 11,669,031 5,166,934 4,031,107
Units issued and transferred
from other funding options 1,536,657 1,643,593 2,137,545 2,865,165 2,834,922 2,385,389
Units redeemed and transferred
to other funding options (2,267,040) (2,419,105) (2,383,232) (2,580,205) (1,395,570) (1,249,562)
------------- ------------- ------------- ------------- ------------- -------------
Units end of year 14,212,118 14,942,501 11,708,304 11,953,991 6,606,286 5,166,934
============= ============= ============= ============= ============= =============
MIST HARRIS OAKMARK MIST THIRD AVENUE MIST OPPENHEIMER
INTERNATIONAL SMALL CAP VALUE CAPITAL APPRECIATION
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
--------------------------- --------------------------- ---------------------------
2010 2009 2010 2009 2010 2009
------------- ------------- ------------- ------------- ------------- -------------
Units beginning of year 18,176,767 16,938,263 17,777,766 16,437,324 26,093,951 29,172,000
Units issued and transferred
from other funding options 9,297,531 4,876,032 4,136,137 4,335,703 1,245,884 1,766,498
Units redeemed and transferred
to other funding options (3,884,345) (3,637,528) (3,119,919) (2,995,261) (3,726,005) (4,844,547)
------------- ------------- ------------- ------------- ------------- -------------
Units end of year 23,589,953 18,176,767 18,793,984 17,777,766 23,613,830 26,093,951
============= ============= ============= ============= ============= =============
MIST PIMCO INFLATION MIST T. ROWE PRICE MIST MFS RESEARCH
PROTECTED BOND MID CAP GROWTH INTERNATIONAL
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
--------------------------- --------------------------- ---------------------------
2010 2009 2010 2009 2010 2009
------------- ------------- ------------- ------------- ------------- -------------
Units beginning of year 37,506,865 23,243,826 31,597,201 24,389,138 21,694,779 20,463,384
Units issued and transferred
from other funding options 23,935,539 20,070,324 15,342,005 12,284,767 4,866,440 5,385,340
Units redeemed and transferred
to other funding options (8,974,936) (5,807,285) (6,582,761) (5,076,704) (4,161,521) (4,153,945)
------------- ------------- ------------- ------------- ------------- -------------
Units end of year 52,467,468 37,506,865 40,356,445 31,597,201 22,399,698 21,694,779
============= ============= ============= ============= ============= =============
(a) For the period May 4, 2009 to December 31, 2009.
(b) For the period May 3, 2010 to December 31, 2010.
(c) For the period October 15, 2009 to December 31, 2009.
(d) For the period March 15, 2010 to December 31, 2010.
132
MIST LORD ABBETT MIST INVESCO
MID CAP VALUE MIST LAZARD MID CAP SMALL CAP GROWTH
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
------------------------- --------------------------- ---------------------------
2010 2009 2010 2009 2010 2009
------------ ------------ ------------- ------------- ------------- -------------
3,034,782 1,489,703 8,013,598 7,502,381 11,180,366 10,535,898
2,103,106 2,149,047 2,475,756 2,001,176 3,041,631 2,757,690
(785,945) (603,968) (1,615,820) (1,489,959) (2,278,739) (2,113,222)
------------ ------------ ------------- ------------- ------------- -------------
4,351,943 3,034,782 8,873,534 8,013,598 11,943,258 11,180,366
============ ============ ============= ============= ============= =============
MIST LEGG MASON
CLEARBRIDGE AGGRESSIVE GROWTH MIST PIMCO TOTAL RETURN MIST RCM TECHNOLOGY
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
-------------------------------- ----------------------------- ---------------------------
2010 2009 2010 2009 2010 2009
------------- ------------------ -------------- -------------- ------------- -------------
12,110,468 12,239,079 71,654,403 43,564,435 13,832,826 10,849,282
4,529,477 2,516,706 60,350,932 38,284,077 7,800,959 6,974,066
(2,776,446) (2,645,317) (20,855,945) (10,194,109) (5,459,499) (3,990,522)
------------- ------------------ -------------- -------------- ------------- -------------
13,863,499 12,110,468 111,149,390 71,654,403 16,174,286 13,832,826
============= ================== ============== ============== ============= =============
MIST CLARION GLOBAL MIST TURNER MIST GOLDMAN SACHS
REAL ESTATE MID CAP GROWTH MID CAP VALUE
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
--------------------------- --------------------------- ---------------------------
2010 2009 2010 2009 2010 2009
------------- ------------- ------------- ------------- ------------- -------------
7,999,282 6,912,531 4,875,425 4,470,347 6,218,018 7,184,822
3,600,130 3,040,495 2,523,823 2,079,154 2,318,620 165,468
(1,664,652) (1,953,744) (1,540,783) (1,674,076) (1,204,443) (1,132,272)
------------- ------------- ------------- ------------- ------------- -------------
9,934,760 7,999,282 5,858,465 4,875,425 7,332,195 6,218,018
============= ============= ============= ============= ============= =============
133
METLIFE INVESTORS USA SEPARATE ACCOUNT A
OF METLIFE INVESTORS USA INSURANCE COMPANY
NOTES TO THE FINANCIAL STATEMENTS -- (CONTINUED)
7. SCHEDULES OF UNITS -- (CONTINUED)
FOR THE YEARS ENDED DECEMBER 31, 2010 AND 2009:
MIST METLIFE MIST METLIFE MIST METLIFE
DEFENSIVE STRATEGY MODERATE STRATEGY BALANCED STRATEGY
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
----------------------------- ----------------------------- -----------------------------
2010 2009 2010 2009 2010 2009
-------------- -------------- -------------- -------------- -------------- --------------
Units beginning of year 134,240,318 98,361,064 201,975,022 157,147,909 458,932,798 406,068,266
Units issued and transferred
from other funding options 70,407,244 66,006,315 86,984,304 72,814,087 141,354,473 103,820,915
Units redeemed and transferred
to other funding options (36,735,488) (30,127,061) (31,178,901) (27,986,974) (53,905,364) (50,956,383)
-------------- -------------- -------------- -------------- -------------- --------------
Units end of year 167,912,074 134,240,318 257,780,425 201,975,022 546,381,907 458,932,798
============== ============== ============== ============== ============== ==============
MIST LEGG MASON MIST MFS EMERGING MIST LOOMIS SAYLES
VALUE EQUITY MARKETS EQUITY GLOBAL MARKETS
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
--------------------------- --------------------------- ---------------------------
2010 2009 2010 2009 2010 2009
------------- ------------- ------------- ------------- ------------- -------------
Units beginning of year 12,311,635 9,617,947 18,534,256 9,820,617 7,198,911 5,848,580
Units issued and transferred
from other funding options 5,203,304 5,890,764 15,900,566 12,353,343 5,309,769 3,056,769
Units redeemed and transferred
to other funding options (2,652,048) (3,197,076) (5,147,163) (3,639,704) (1,887,989) (1,706,438)
------------- ------------- ------------- ------------- ------------- -------------
Units end of year 14,862,891 12,311,635 29,287,659 18,534,256 10,620,691 7,198,911
============= ============= ============= ============= ============= =============
MIST PIONEER MIST BLACKROCK MIST BLACKROCK
STRATEGIC INCOME LARGE CAP CORE HIGH YIELD
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
--------------------------- ------------------------ ---------------------------
2010 2009 2010 2009 2010 2009
------------- ------------- ------------ ----------- ------------- -------------
Units beginning of year 10,957,582 7,373,489 613,169 508,491 5,656,394 1,114,960
Units issued and transferred
from other funding options 8,203,544 5,077,225 598,887 239,528 8,972,443 6,142,738
Units redeemed and transferred
to other funding options (2,045,977) (1,493,132) (167,817) (134,850) (5,594,027) (1,601,304)
------------- ------------- ------------ ----------- ------------- -------------
Units end of year 17,115,149 10,957,582 1,044,239 613,169 9,034,810 5,656,394
============= ============= ============ =========== ============= =============
(a) For the period May 4, 2009 to December 31, 2009.
(b) For the period May 3, 2010 to December 31, 2010.
(c) For the period October 15, 2009 to December 31, 2009.
(d) For the period March 15, 2010 to December 31, 2010.
134
MIST METLIFE MIST METLIFE MIST VAN KAMPEN
GROWTH STRATEGY AGGRESSIVE STRATEGY COMSTOCK
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
----------------------------- --------------------------- ---------------------------
2010 2009 2010 2009 2010 2009
-------------- -------------- ------------- ------------- ------------- -------------
490,302,032 494,438,103 41,343,573 39,565,727 16,791,760 5,638,201
37,570,947 64,373,807 12,038,416 8,976,104 7,045,507 13,684,341
(54,711,573) (68,509,878) (7,692,287) (7,198,258) (2,664,445) (2,530,782)
-------------- -------------- ------------- ------------- ------------- -------------
473,161,406 490,302,032 45,689,702 41,343,573 21,172,822 16,791,760
============== ============== ============= ============= ============= =============
MIST DREMAN
MIST JANUS FORTY SMALL CAP VALUE MIST PIONEER FUND
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
--------------------- ------------------------- -------------------------
2010 2009 2010 2009 2010 2009
---------- ---------- ------------ ------------ ------------ ------------
192,470 143,074 1,579,618 1,254,915 3,239,380 1,227,336
273,072 116,640 478,958 662,099 3,338,408 2,278,606
(67,637) (67,244) (380,615) (337,396) (600,471) (266,562)
---------- ---------- ------------ ------------ ------------ ------------
397,905 192,470 1,677,961 1,579,618 5,977,317 3,239,380
========== ========== ============ ============ ============ ============
MIST RAINIER MIST AMERICAN FUNDS MIST AMERICAN FUNDS
LARGE CAP EQUITY BALANCED ALLOCATION BOND
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
--------------------------- ----------------------------- ---------------------------
2010 2009 2010 2009 2010 2009
------------- ------------- -------------- -------------- ------------- -------------
4,962,869 4,139,663 147,529,141 47,541,825 14,305,838 3,151,521
2,614,493 3,515,585 124,042,699 109,740,383 16,482,411 12,969,406
(1,751,054) (2,692,379) (19,927,334) (9,753,067) (4,132,849) (1,815,089)
------------- ------------- -------------- -------------- ------------- -------------
5,826,308 4,962,869 251,644,506 147,529,141 26,655,400 14,305,838
============= ============= ============== ============== ============= =============
135
METLIFE INVESTORS USA SEPARATE ACCOUNT A
OF METLIFE INVESTORS USA INSURANCE COMPANY
NOTES TO THE FINANCIAL STATEMENTS -- (CONTINUED)
7. SCHEDULES OF UNITS -- (CONTINUED)
FOR THE YEARS ENDED DECEMBER 31, 2010 AND 2009:
MIST MIST AMERICAN FUNDS MIST AMERICAN FUNDS
AMERICAN FUNDS GROWTH GROWTH ALLOCATION INTERNATIONAL
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
--------------------------- ----------------------------- ---------------------------
2010 2009 2010 2009 2010 2009
------------- ------------- -------------- -------------- ------------- -------------
Units beginning of year 30,278,080 9,556,758 139,002,030 74,827,606 19,914,429 7,576,246
Units issued and transferred
from other funding options 29,340,669 25,878,772 40,270,626 84,328,111 18,617,289 15,340,459
Units redeemed and transferred
to other funding options (7,212,138) (5,157,450) (23,886,355) (20,153,687) (4,727,176) (3,002,276)
------------- ------------- -------------- -------------- ------------- -------------
Units end of year 52,406,611 30,278,080 155,386,301 139,002,030 33,804,542 19,914,429
============= ============= ============== ============== ============= =============
MIST SSGA MIST SSGA MIST MET/TEMPLETON
GROWTH ETF GROWTH AND INCOME ETF INTERNATIONAL BOND
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
--------------------------- --------------------------- -----------------------
2010 2009 2010 2009 2010 2009 (a)
------------- ------------- ------------- ------------- ------------ ----------
Units beginning of year 16,443,398 190,893 29,942,630 312,145 775,327 --
Units issued and transferred
from other funding options 17,578,371 19,507,804 60,995,275 32,168,027 2,588,044 844,394
Units redeemed and transferred
to other funding options (4,885,703) (3,255,299) (5,109,943) (2,537,542) (380,775) (69,067)
------------- ------------- ------------- ------------- ------------ ----------
Units end of year 29,136,066 16,443,398 85,827,962 29,942,630 2,982,596 775,327
============= ============= ============= ============= ============ ==========
INVESCO V.I. INVESCO V.I. INVESCO V.I. GLOBAL
INTERNATIONAL GROWTH BASIC BALANCED REAL ESTATE
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
------------------------- -------------------------- ------------------------
2010 2009 2010 2009 2010 2009
------------ ------------ --------------- ---------- ------------ -----------
Units beginning of year 2,818,925 1,618,515 60,967 88,650 704,385 449,308
Units issued and transferred
from other funding options 1,870,709 1,438,213 -- -- 606,861 403,915
Units redeemed and transferred
to other funding options (362,061) (237,803) (5,000) (27,683) (162,303) (148,838)
------------ ------------ --------------- ---------- ------------ -----------
Units end of year 4,327,573 2,818,925 55,967 60,967 1,148,943 704,385
============ ============ =============== ========== ============ ===========
(a) For the period May 4, 2009 to December 31, 2009.
(b) For the period May 3, 2010 to December 31, 2010.
(c) For the period October 15, 2009 to December 31, 2009.
(d) For the period March 15, 2010 to December 31, 2010.
136
MIST AMERICAN FUNDS MIST MET/FRANKLIN MIST MET/FRANKLIN TEMPLETON
MODERATE ALLOCATION MUTUAL SHARES FOUNDING STRATEGY
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
---------------------------- --------------------------- ------------------------------
2010 2009 2010 2009 2010 2009
-------------- ------------- ------------- ------------- ------------- ----------------
89,994,728 29,162,701 7,713,701 1,978,335 49,352,169 27,525,771
65,794,039 66,983,370 7,738,231 6,931,863 19,542,207 30,026,563
(11,912,100) (6,151,343) (1,769,941) (1,196,497) (9,578,580) (8,200,165)
-------------- ------------- ------------- ------------- ------------- ----------------
143,876,667 89,994,728 13,681,991 7,713,701 59,315,796 49,352,169
============== ============= ============= ============= ============= ================
MIST MET/ MIST MET/
TEMPLETON EATON VANCE INVESCO V.I. CAPITAL
GROWTH FLOATING RATE INVESCO V.I. CORE EQUITY APPRECIATION
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
-------------- ---------------- --------------------------- -----------------------
2010 (b) 2010 (b) 2010 2009 2010 2009
-------------- ---------------- ---------- ---------------- --------- -------------
-- -- 99,143 120,534 41,631 50,723
665,172 1,761,955 21 26 18 50
(50,615) (161,810) (10,524) (21,417) (8,520) (9,142)
-------------- ---------------- ---------- ---------------- --------- -------------
614,557 1,600,145 88,640 99,143 33,129 41,631
============== ================ ========== ================ ========= =============
INVESCO V.I. INVESCO V.I. INVESCO V.I.
CAPITAL GROWTH GROWTH AND INCOME EQUITY AND INCOME
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
------------------------- ------------------------- ---------------------------
2010 2009 2010 2009 2010 2009
--------------- --------- ------------ ------------ ------------- -------------
26,829 33,379 6,896,039 4,699,178 17,747,381 13,625,412
32,291 3,258 2,959,924 2,920,745 6,790,513 6,649,121
(33,757) (9,808) (794,200) (723,884) (2,338,446) (2,527,152)
--------------- --------- ------------ ------------ ------------- -------------
25,363 26,829 9,061,763 6,896,039 22,199,448 17,747,381
=============== ========= ============ ============ ============= =============
137
METLIFE INVESTORS USA SEPARATE ACCOUNT A
OF METLIFE INVESTORS USA INSURANCE COMPANY
NOTES TO THE FINANCIAL STATEMENTS -- (CONTINUED)
7. SCHEDULES OF UNITS -- (CONTINUED)
FOR THE YEARS ENDED DECEMBER 31, 2010 AND 2009:
INVESCO V.I.
U.S. MID CAP VALUE MFS VIT RESEARCH MFS VIT INVESTORS TRUST
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
------------------------- ------------------- --------------------------
2010 2009 2010 2009 2010 2009
------------ ------------ --------- --------- --------- ----------------
Units beginning of year 1,763,519 1,130,852 23,944 26,232 11,563 13,271
Units issued and transferred
from other funding options 1,259,195 948,950 -- -- -- --
Units redeemed and transferred
to other funding options (349,066) (316,283) (2,742) (2,288) (2,880) (1,708)
------------ ------------ --------- --------- --------- ----------------
Units end of year 2,673,648 1,763,519 21,202 23,944 8,683 11,563
============ ============ ========= ========= ========= ================
OPPENHEIMER VA OPPENHEIMER VA
GLOBAL STRATEGIC INCOME MAIN STREET SMALL CAP OPPENHEIMER VA MONEY
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
-------------------------- ------------------------- -----------------------
2010 2009 2010 2009 2010 2009
--------- ---------------- ------------ ------------ ------ ----------------
Units beginning of year 1,786 1,903 3,126,840 1,863,546 20,177 25,333
Units issued and transferred
from other funding options -- -- 1,486,005 1,625,772 -- --
Units redeemed and transferred
to other funding options (1,343) (117) (485,637) (362,478) -- (5,156)
--------- ---------------- ------------ ------------ ------ ----------------
Units end of year 443 1,786 4,127,208 3,126,840 20,177 20,177
========= ================ ============ ============ ====== ================
FIDELITY VIP
FIDELITY VIP OVERSEAS EQUITY-INCOME FIDELITY VIP INDEX 500
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
------------------------ ---------------------- -------------------------
2010 2009 2010 2009 2010 2009
----------- ------------ ---------- ----------- ------------ ------------
Units beginning of year 663,667 713,199 619,856 744,861 5,300,313 6,061,847
Units issued and transferred
from other funding options 39,152 50,415 3,984 9,192 20,873 26,253
Units redeemed and transferred
to other funding options (109,091) (99,947) (93,665) (134,197) (755,797) (787,787)
----------- ------------ ---------- ----------- ------------ ------------
Units end of year 593,728 663,667 530,175 619,856 4,565,389 5,300,313
=========== ============ ========== =========== ============ ============
(a) For the period May 4, 2009 to December 31, 2009.
(b) For the period May 3, 2010 to December 31, 2010.
(c) For the period October 15, 2009 to December 31, 2009.
(d) For the period March 15, 2010 to December 31, 2010.
138
MFS VIT NEW DISCOVERY OPPENHEIMER VA MAIN STREET OPPENHEIMER VA CORE BOND
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
------------------------ ----------------------------- ---------------------------
2010 2009 2010 2009 2010 2009
--------- -------------- --------- ------------------- ---------- ----------------
6,461 10,205 28,105 31,897 12,533 22,518
-- -- -- -- -- --
(1,510) (3,744) (3,878) (3,792) (10,581) (9,985)
--------- -------------- --------- ------------------- ---------- ----------------
4,951 6,461 24,227 28,105 1,952 12,533
========= ============== ========= =================== ========== ================
FIDELITY VIP ASSET MANAGER FIDELITY VIP GROWTH FIDELITY VIP CONTRAFUND
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
----------------------------- --------------------------- ---------------------------
2010 2009 2010 2009 2010 2009
------------- --------------- ------------- ------------- ------------- -------------
9,345,424 10,322,631 11,893,241 12,838,680 15,955,996 16,114,037
344,604 452,720 612,157 850,650 2,046,178 2,189,237
(1,426,044) (1,429,927) (1,554,058) (1,796,089) (2,294,600) (2,347,278)
------------- --------------- ------------- ------------- ------------- -------------
8,263,984 9,345,424 10,951,340 11,893,241 15,707,574 15,955,996
============= =============== ============= ============= ============= =============
FIDELITY VIP
FIDELITY VIP MONEY MARKET FIDELITY VIP MID CAP FUNDSMANAGER 60%
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
---------------------------- ------------------------- ---------------------------
2010 2009 2010 2009 2010 2009 (c)
-------------- ------------- ------------ ------------ -------------- ------------
6,126,543 5,530,761 3,075,278 1,905,032 4,074,373 --
96,878,440 5,540,548 1,773,206 1,472,702 116,408,584 4,203,193
(95,512,578) (4,944,766) (483,903) (302,456) (1,658,506) (128,820)
-------------- ------------- ------------ ------------ -------------- ------------
7,492,405 6,126,543 4,364,581 3,075,278 118,824,451 4,074,373
============== ============= ============ ============ ============== ============
139
METLIFE INVESTORS USA SEPARATE ACCOUNT A
OF METLIFE INVESTORS USA INSURANCE COMPANY
NOTES TO THE FINANCIAL STATEMENTS -- (CONTINUED)
7. SCHEDULES OF UNITS -- (CONTINUED)
FOR THE YEARS ENDED DECEMBER 31, 2010 AND 2009:
DWS INTERNATIONAL MSF FI VALUE LEADERS MSF RUSSELL 2000 INDEX
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
------------------------- ----------------------- -------------------------
2010 2009 2010 2009 2010 2009
------------ ------------ ---------- ------------ ------------ ------------
Units beginning of year 2,700,348 2,819,612 265,682 251,266 1,108,328 478,053
Units issued and transferred
from other funding options 230,638 318,119 99,348 58,351 2,273,866 942,236
Units redeemed and transferred
to other funding options (459,601) (437,383) (59,447) (43,935) (678,616) (311,961)
------------ ------------ ---------- ------------ ------------ ------------
Units end of year 2,471,385 2,700,348 305,583 265,682 2,703,578 1,108,328
============ ============ ========== ============ ============ ============
MSF NEUBERGER BERMAN MSF BLACKROCK MSF BLACKROCK
GENESIS BOND INCOME LARGE CAP VALUE
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
----------------------- ----------------------- ---------------------
2010 2009 2010 2009 2010 2009
----------- ----------- ----------- ----------- ---------- ----------
Units beginning of year 605,787 587,465 911,026 748,389 264,703 257,240
Units issued and transferred
from other funding options 96,136 117,875 285,215 405,171 48,171 66,523
Units redeemed and transferred
to other funding options (123,360) (99,553) (243,407) (242,534) (59,421) (59,060)
----------- ----------- ----------- ----------- ---------- ----------
Units end of year 578,563 605,787 952,834 911,026 253,453 264,703
=========== =========== =========== =========== ========== ==========
MSF METLIFE MSF DAVIS VENTURE
MSF MFS TOTAL RETURN MID CAP STOCK INDEX VALUE
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
------------------------- ------------------------- ---------------------------
2010 2009 2010 2009 2010 2009
------------ ------------ ------------ ------------ ------------- -------------
Units beginning of year 1,006,138 977,440 1,692,693 999,722 41,123,511 37,459,395
Units issued and transferred
from other funding options 126,620 268,850 2,366,351 929,016 11,167,451 9,976,448
Units redeemed and transferred
to other funding options (203,556) (240,152) (615,743) (236,045) (5,875,539) (6,312,332)
------------ ------------ ------------ ------------ ------------- -------------
Units end of year 929,202 1,006,138 3,443,301 1,692,693 46,415,423 41,123,511
============ ============ ============ ============ ============= =============
(a) For the period May 4, 2009 to December 31, 2009.
(b) For the period May 3, 2010 to December 31, 2010.
(c) For the period October 15, 2009 to December 31, 2009.
(d) For the period March 15, 2010 to December 31, 2010.
140
MSF ARTIO MSF BLACKROCK
INTERNATIONAL STOCK MSF METLIFE STOCK INDEX LEGACY LARGE CAP GROWTH
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
----------------------- --------------------------- --------------------------
2010 2009 2010 2009 2010 2009
------------ ---------- ------------- ------------- ----------- --------------
337,655 380,684 21,150,594 15,678,062 612,808 49,555
65,262 50,582 9,022,338 10,399,383 130,372 697,214
(84,505) (93,611) (6,370,972) (4,926,851) (141,995) (133,961)
------------ ---------- ------------- ------------- ----------- --------------
318,412 337,655 23,801,960 21,150,594 601,185 612,808
============ ========== ============= ============= =========== ==============
MSF BARCLAYS CAPITAL MSF MFS MSF MORGAN STANLEY
AGGREGATE BOND INDEX VALUE EAFE INDEX
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
-------------------------- ------------------------- -------------------------
2010 2009 2010 2009 2010 2009
------------- ------------ ------------ ------------ ------------ ------------
2,010,364 527,803 2,664,361 2,080,451 2,230,107 1,129,559
4,667,969 1,661,447 1,034,132 941,946 3,151,237 1,389,614
(1,032,196) (178,886) (463,844) (358,036) (744,853) (289,066)
------------- ------------ ------------ ------------ ------------ ------------
5,646,137 2,010,364 3,234,649 2,664,361 4,636,491 2,230,107
============= ============ ============ ============ ============ ============
MSF MET/ARTISAN MSF JENNISON MSF BLACKROCK
MID CAP VALUE GROWTH MONEY MARKET
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
--------------------------- --------------------------- -----------------------------
2010 2009 2010 2009 2010 2009
------------- ------------- ------------- ------------- -------------- --------------
15,659,935 16,302,851 17,375,446 14,090,231 54,211,009 55,686,362
2,242,180 2,167,855 6,571,017 6,315,272 56,918,244 54,275,644
(2,738,170) (2,810,771) (3,716,293) (3,030,057) (60,114,235) (55,750,997)
------------- ------------- ------------- ------------- -------------- --------------
15,163,945 15,659,935 20,230,170 17,375,446 51,015,018 54,211,009
============= ============= ============= ============= ============== ==============
141
METLIFE INVESTORS USA SEPARATE ACCOUNT A
OF METLIFE INVESTORS USA INSURANCE COMPANY
NOTES TO THE FINANCIAL STATEMENTS -- (CONTINUED)
7. SCHEDULES OF UNITS -- (CONTINUED)
FOR THE YEARS ENDED DECEMBER 31, 2010 AND 2009:
MSF WESTERN ASSET
MSF T. ROWE PRICE MANAGEMENT MSF OPPENHEIMER
SMALL CAP GROWTH U.S. GOVERNMENT GLOBAL EQUITY
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
----------------------- --------------------------- -----------------------
2010 2009 2010 2009 2010 2009
----------- ----------- ------------- ------------- ----------- -----------
Units beginning of year 481,022 332,266 8,573,371 5,356,593 672,213 671,786
Units issued and transferred
from other funding options 99,207 279,905 7,037,310 6,094,104 41,665 135,384
Units redeemed and transferred
to other funding options (114,897) (131,149) (3,052,095) (2,877,326) (104,909) (134,957)
----------- ----------- ------------- ------------- ----------- -----------
Units end of year 465,332 481,022 12,558,586 8,573,371 608,969 672,213
=========== =========== ============= ============= =========== ===========
MSF METLIFE MSF METLIFE MODERATE TO MSF T. ROWE PRICE
MODERATE ALLOCATION AGGRESSIVE ALLOCATION LARGE CAP GROWTH
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
------------------------- -------------------------- --------------------
2010 2009 2010 2009 2010 2009
------------ ------------ ------------ ------------- ---------- ---------
Units beginning of year 4,293,013 4,259,716 5,328,120 5,745,796 39,614 27,135
Units issued and transferred
from other funding options 262,765 358,294 257,429 505,834 18,052 20,301
Units redeemed and transferred
to other funding options (363,254) (324,997) (391,533) (923,510) (17,170) (7,822)
------------ ------------ ------------ ------------- ---------- ---------
Units end of year 4,192,524 4,293,013 5,194,016 5,328,120 40,496 39,614
============ ============ ============ ============= ========== =========
FEDERATED
MSF VAN ECK GLOBAL CAPITAL FEDERATED
NATURAL RESOURCES INCOME FEDERATED HIGH INCOME BOND KAUFMAN
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
------------------------- -------------- ----------------------------- --------------
2010 2009 (a) 2010 (d) 2010 2009 2010 (d)
------------ ------------ -------------- -------- -------------------- --------------
Units beginning of year 1,195,095 -- -- 3,582 10,612 --
Units issued and transferred
from other funding options 3,313,910 1,252,359 4,805 -- -- 15,991
Units redeemed and transferred
to other funding options (541,780) (57,264) (1,957) (16) (7,030) (1,807)
------------ ------------ -------------- -------- -------------------- --------------
Units end of year 3,967,225 1,195,095 2,848 3,566 3,582 14,184
============ ============ ============== ======== ==================== ==============
(a) For the period May 4, 2009 to December 31, 2009.
(b) For the period May 3, 2010 to December 31, 2010.
(c) For the period October 15, 2009 to December 31, 2009.
(d) For the period March 15, 2010 to December 31, 2010.
142
MSF METLIFE MSF METLIFE MSF METLIFE CONSERVATIVE TO
AGGRESSIVE ALLOCATION CONSERVATIVE ALLOCATION MODERATE ALLOCATION
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
------------------------ -------------------------- ------------------------------
2010 2009 2010 2009 2010 2009
---------- ------------- ----------- -------------- ----------- ------------------
169,980 159,053 967,744 602,771 836,071 664,967
33,862 36,343 250,831 562,989 117,347 287,835
(23,698) (25,416) (388,352) (198,016) (170,643) (116,731)
---------- ------------- ----------- -------------- ----------- ------------------
180,144 169,980 830,223 967,744 782,775 836,071
========== ============= =========== ============== =========== ==================
MSF MET/DIMENSIONAL
MSF LOOMIS SAYLES MSF NEUBERGER BERMAN INTERNATIONAL
SMALL CAP CORE MID CAP VALUE SMALL COMPANY
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
-------------------- ----------------------- -------------------------
2010 2009 2010 2009 2010 2009
---------- --------- --------- ------------- ------------ ------------
73,444 926 11,335 1,374 1,225,665 12,651
177,229 81,411 76,055 12,821 1,504,214 1,597,291
(36,366) (8,893) (4,939) (2,860) (647,605) (384,277)
---------- --------- --------- ------------- ------------ ------------
214,307 73,444 82,451 11,335 2,082,274 1,225,665
========== ========= ========= ============= ============ ============
NEUBERGER GENESIS ALGER SMALL CAP GROWTH T. ROWE PRICE GROWTH STOCK
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
-------------------- ------------------------- -----------------------------
2010 2009 2010 2009 2010 2009
------- ------------ ------------ ------------ ---------- ------------------
697 809 6,156,883 6,485,576 97,059 104,973
-- -- 440,832 526,993 4,878 6,341
(126) (112) (962,784) (855,686) (16,062) (14,255)
------- ------------ ------------ ------------ ---------- ------------------
571 697 5,634,931 6,156,883 85,875 97,059
======= ============ ============ ============ ========== ==================
143
METLIFE INVESTORS USA SEPARATE ACCOUNT A
OF METLIFE INVESTORS USA INSURANCE COMPANY
NOTES TO THE FINANCIAL STATEMENTS -- (CONTINUED)
7. SCHEDULES OF UNITS -- (CONTINUED)
FOR THE YEARS ENDED DECEMBER 31, 2010 AND 2009:
T. ROWE PRICE T. ROWE PRICE
INTERNATIONAL STOCK PRIME RESERVE JANUS ASPEN WORLDWIDE
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
---------------------- --------------------- ------------------------
2010 2009 2010 2009 2010 2009
--------- ------------ ---------- ---------- ------- ----------------
Units beginning of year 72,797 76,425 76,856 120,897 999 1,089
Units issued and transferred
from other funding options 3,959 5,193 15,515 43,074 -- --
Units redeemed and transferred
to other funding options (8,639) (8,821) (22,358) (87,115) (98) (90)
--------- ------------ ---------- ---------- ------- ----------------
Units end of year 68,117 72,797 70,013 76,856 901 999
========= ============ ========== ========== ======= ================
AMERICAN FUNDS FTVIPT
GLOBAL GROWTH AMERICAN FUNDS BOND MUTUAL SHARES SECURITIES
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
-------------------------- ------------------------- ---------------------------
2010 2009 2010 2009 2010 2009
------------ ------------- ------------ ------------ ------------ --------------
Units beginning of year 6,579,263 5,818,048 3,608,245 1,887,421 4,784,657 3,944,854
Units issued and transferred
from other funding options 1,820,255 1,803,874 2,268,949 2,179,228 1,283,480 1,429,387
Units redeemed and transferred
to other funding options (929,411) (1,042,659) (693,711) (458,404) (636,702) (589,584)
------------ ------------- ------------ ------------ ------------ --------------
Units end of year 7,470,107 6,579,263 5,183,483 3,608,245 5,431,435 4,784,657
============ ============= ============ ============ ============ ==============
FTVIPT TEMPLETON FTVIPT FRANKLIN
GLOBAL BOND SECURITIES SMALL CAP VALUE SECURITIES UIF U.S. REAL ESTATE
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
------------------------- ----------------------------- -------------------------
2010 2009 2010 2009 2010 2009
------------ ------------ ------------ ---------------- ------------ ------------
Units beginning of year 2,853,081 1,462,599 1,787,114 856,253 2,542,094 2,248,952
Units issued and transferred
from other funding options 2,640,993 1,894,407 1,819,181 1,334,846 385,013 734,874
Units redeemed and transferred
to other funding options (496,483) (503,925) (427,865) (403,985) (599,357) (441,732)
------------ ------------ ------------ ---------------- ------------ ------------
Units end of year 4,997,591 2,853,081 3,178,430 1,787,114 2,327,750 2,542,094
============ ============ ============ ================ ============ ============
(a) For the period May 4, 2009 to December 31, 2009.
(b) For the period May 3, 2010 to December 31, 2010.
(c) For the period October 15, 2009 to December 31, 2009.
(d) For the period March 15, 2010 to December 31, 2010.
144
AMERICAN FUNDS AMERICAN FUNDS AMERICAN FUNDS
GLOBAL SMALL CAPITALIZATION GROWTH GROWTH-INCOME
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
------------------------------ ------------------------- -------------------------
2010 2009 2010 2009 2010 2009
------------ ----------------- ------------ ------------ ------------ ------------
2,262,060 1,683,911 3,225,880 2,453,157 2,398,146 1,942,091
894,535 990,083 942,727 1,150,525 615,981 748,276
(578,587) (411,934) (450,931) (377,802) (375,057) (292,221)
------------ ----------------- ------------ ------------ ------------ ------------
2,578,008 2,262,060 3,717,676 3,225,880 2,639,070 2,398,146
============ ================= ============ ============ ============ ============
FTVIPT TEMPLETON FTVIPT TEMPLETON FTVIPT FRANKLIN
FOREIGN SECURITIES GROWTH SECURITIES INCOME SECURITIES
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
------------------------- ------------------------- -------------------------
2010 2009 2010 2009 2010 2009
------------ ------------ ------------ ------------ ------------ ------------
2,655,441 2,485,260 3,416,400 2,828,128 3,157,996 2,613,572
583,518 659,869 599,836 1,150,853 1,073,134 995,159
(456,954) (489,688) (565,909) (562,581) (508,398) (450,735)
------------ ------------ ------------ ------------ ------------ ------------
2,782,005 2,655,441 3,450,327 3,416,400 3,722,732 3,157,996
============ ============ ============ ============ ============ ============
PIONEER VCT
PIONEER VCT BOND PIONEER VCT CULLEN VALUE EMERGING MARKETS
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
--------------------- --------------------------- ---------------------
2010 2009 2010 2009 2010 2009
---------- ---------- ---------- ---------------- ---------- ----------
193,471 8,267 223,412 21,316 60,035 4,387
43,425 197,855 44,706 244,085 19,312 69,030
(40,047) (12,651) (24,374) (41,989) (16,583) (13,382)
---------- ---------- ---------- ---------------- ---------- ----------
196,849 193,471 243,744 223,412 62,764 60,035
========== ========== ========== ================ ========== ==========
145
METLIFE INVESTORS USA SEPARATE ACCOUNT A
OF METLIFE INVESTORS USA INSURANCE COMPANY
NOTES TO THE FINANCIAL STATEMENTS -- (CONTINUED)
7. SCHEDULES OF UNITS -- (CONTINUED)
FOR THE YEARS ENDED DECEMBER 31, 2010 AND 2009:
PIONEER VCT
PIONEER VCT EQUITY INCOME PIONEER VCT FUND IBBOTSON GROWTH ALLOCATION
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
---------------------------- ------------------- -----------------------------
2010 2009 2010 2009 2010 2009
--------- ------------------ --------- --------- ------------ ----------------
Units beginning of year 20,833 2,134 26,714 5,631 1,257,274 346,884
Units issued and transferred
from other funding options 3,801 23,500 2,746 23,854 115,549 1,021,218
Units redeemed and transferred
to other funding options (5,766) (4,801) (2,647) (2,771) (97,687) (110,828)
--------- ------------------ --------- --------- ------------ ----------------
Units end of year 18,868 20,833 26,813 26,714 1,275,136 1,257,274
========= ================== ========= ========= ============ ================
LMPVET CLEARBRIDGE LMPVET CLEARBRIDGE LMPVET CLEARBRIDGE VARIABLE
VARIABLE SMALL CAP GROWTH VARIABLE LARGE CAP VALUE FUNDAMENTAL ALL CAP VALUE
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
---------------------------- --------------------------- ------------------------------
2010 2009 2010 2009 2010 2009
------------ --------------- ---------- ---------------- ------------ -----------------
Units beginning of year 1,757,714 1,214,861 196,692 188,889 2,989,079 2,724,852
Units issued and transferred
from other funding options 888,650 952,710 29,654 34,053 524,162 679,485
Units redeemed and transferred
to other funding options (496,739) (409,857) (31,447) (26,250) (412,366) (415,258)
------------ --------------- ---------- ---------------- ------------ -----------------
Units end of year 2,149,625 1,757,714 194,899 196,692 3,100,875 2,989,079
============ =============== ========== ================ ============ =================
LMPVET INVESTMENT COUNSEL LMPVET CLEARBRIDGE LMPVET CLEARBRIDGE
VARIABLE SOCIAL AWARENESS VARIABLE EQUITY INCOME BUILDER VARIABLE CAPITAL
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
---------------------------- --------------------------------- ---------------------
2010 2009 2010 2009 2010 2009
--------- ------------------ ------------ -------------------- ---------- ----------
Units beginning of year 19,412 25,775 6,144,958 5,136,303 422,476 459,735
Units issued and transferred
from other funding options 3,746 1,814 1,589,873 1,895,270 21,542 31,219
Units redeemed and transferred
to other funding options (5,734) (8,177) (956,792) (886,615) (74,152) (68,478)
--------- ------------------ ------------ -------------------- ---------- ----------
Units end of year 17,424 19,412 6,778,039 6,144,958 369,866 422,476
========= ================== ============ ==================== ========== ==========
(a) For the period May 4, 2009 to December 31, 2009.
(b) For the period May 3, 2010 to December 31, 2010.
(c) For the period October 15, 2009 to December 31, 2009.
(d) For the period March 15, 2010 to December 31, 2010.
146
PIONEER VCT PIONEER VCT PIONEER VCT
IBBOTSON MODERATE ALLOCATION MID CAP VALUE REAL ESTATE SHARES
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
------------------------------- ------------------------- ---------------------
2010 2009 2010 2009 2010 2009
------------ ------------------ ------------ ------------ --------- -----------
1,818,031 109,195 1,309,529 1,105,223 16,034 3,001
101,045 1,811,953 378,519 385,549 1,992 21,091
(85,333) (103,117) (194,699) (181,243) (5,043) (8,058)
------------ ------------------ ------------ ------------ --------- -----------
1,833,743 1,818,031 1,493,349 1,309,529 12,983 16,034
============ ================== ============ ============ ========= ===========
LMPVET CLEARBRIDGE LMPVET CLEARBRIDGE LMPVET CLEARBRIDGE
VARIABLE APPRECIATION VARIABLE AGGRESSIVE GROWTH VARIABLE LARGE CAP GROWTH
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
------------------------- ----------------------------- ----------------------------
2010 2009 2010 2009 2010 2009
------------ ------------ ------------- --------------- ----------- ----------------
4,134,838 3,070,482 11,503,827 10,751,677 557,417 629,993
1,932,621 1,673,500 2,318,559 2,542,293 46,697 48,243
(552,206) (609,144) (2,079,414) (1,790,143) (144,764) (120,819)
------------ ------------ ------------- --------------- ----------- ----------------
5,515,253 4,134,838 11,742,972 11,503,827 459,350 557,417
============ ============ ============= =============== =========== ================
LMPVET CLEARBRIDGE LMPVET VARIABLE LMPVET VARIABLE
VARIABLE DIVIDEND STRATEGY LIFESTYLE ALLOCATION 50% LIFESTYLE ALLOCATION 70%
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
----------------------------- --------------------------- ---------------------------
2010 2009 2010 2009 2010 2009
----------- ----------------- ----------- --------------- ---------- ----------------
709,577 798,585 487,451 567,873 271,548 280,357
54,553 75,267 386,123 59,617 11,385 41,714
(122,614) (164,275) (104,052) (140,039) (46,812) (50,523)
----------- ----------------- ----------- --------------- ---------- ----------------
641,516 709,577 769,522 487,451 236,121 271,548
=========== ================= =========== =============== ========== ================
147
METLIFE INVESTORS USA SEPARATE ACCOUNT A
OF METLIFE INVESTORS USA INSURANCE COMPANY
NOTES TO THE FINANCIAL STATEMENTS -- (CONTINUED)
7. SCHEDULES OF UNITS -- (CONCLUDED)
FOR THE YEARS ENDED DECEMBER 31, 2010 AND 2009:
LMPVIT WESTERN ASSET LMPVIT WESTERN ASSET
LMPVET VARIABLE VARIABLE ADJUSTABLE VARIABLE GLOBAL
LIFESTYLE ALLOCATION 85% RATE INCOME HIGH YIELD BOND
SUB-ACCOUNT SUB-ACCOUNT SUB-ACCOUNT
--------------------------- ----------------------- -------------------------
2010 2009 2010 2009 2010 2009
------------ -------------- ---------- ------------ ------------ ------------
Units beginning of year 3,756,486 2,668,230 231,438 225,349 2,845,850 2,664,258
Units issued and transferred
from other funding options 981,734 1,411,759 24,013 43,862 1,008,282 848,751
Units redeemed and transferred
to other funding options (449,128) (323,503) (37,082) (37,773) (683,233) (667,159)
------------ -------------- ---------- ------------ ------------ ------------
Units end of year 4,289,092 3,756,486 218,369 231,438 3,170,899 2,845,850
============ ============== ========== ============ ============ ============
(a) For the period May 4, 2009 to December 31, 2009.
(b) For the period May 3, 2010 to December 31, 2010.
(c) For the period October 15, 2009 to December 31, 2009.
(d) For the period March 15, 2010 to December 31, 2010.
148
METLIFE INVESTORS USA SEPARATE ACCOUNT A
OF METLIFE INVESTORS USA INSURANCE COMPANY
NOTES TO THE FINANCIAL STATEMENTS -- (CONTINUED)
8. FINANCIAL HIGHLIGHTS
The Company sells a number of variable annuity products which have unique
combinations of features and fees that are charged against the contract owner's
account balance. Differences in the fee structures result in a variety of unit
values, expense ratios, and total returns.
The following table is a summary of unit values and units outstanding for the
Contracts, net investment income ratios, and expense ratios, excluding expenses
for the underlying portfolio, series, or fund, for the respective stated
periods in the five years ended December 31, 2010:
AS OF DECEMBER 31 FOR THE YEAR ENDED DECEMBER 31
---------------------------------------- --------------------------------------------------
UNIT VALUE INVESTMENT(1) EXPENSE RATIO(2) TOTAL RETURN(3)
LOWEST TO NET INCOME LOWEST TO LOWEST TO
UNITS HIGHEST ($) ASSETS ($) RATIO (%) HIGHEST (%) HIGHEST (%)
---------- ----------------- ----------- ------------- ---------------- -------------------
MIST Lord Abbett Growth and 2010 14,212,118 26.09 - 86.60 558,423,606 1.11 0.89 - 2.35 14.30 - 16.29
Income Sub-Account 2009 14,942,501 22.55 - 74.47 502,483,411 2.30 0.89 - 2.35 15.64 - 17.62
2008 15,718,013 19.27 - 63.32 447,266,597 1.65 0.89 - 2.35 (37.82) - (36.76)
2007 18,116,672 30.63 - 100.12 822,332,309 0.94 0.89 - 2.35 1.30 - 7.97
2006 20,191,907 29.87 - 97.12 898,436,542 1.63 0.89 - 2.35 15.06 - 16.98
MIST Lord Abbett Bond 2010 11,708,304 8.12 - 25.87 267,920,695 6.21 0.89 - 2.35 10.34 - 12.18
Debenture Sub-Account 2009 11,953,991 7.27 - 23.06 245,913,998 7.17 0.89 - 2.35 33.60 - 35.91
2008 11,669,031 5.38 - 16.97 178,177,257 4.35 0.89 - 2.35 (20.50) - (19.12)
2007 15,162,946 6.68 - 20.98 288,948,614 5.32 0.89 - 2.35 4.06 - 5.90
2006 16,856,041 6.34 - 19.81 306,513,652 6.67 0.89 - 2.35 6.62 - 8.39
MIST Morgan Stanley Mid Cap 2010 6,606,286 2.04 - 17.98 89,015,672 0.01 0.89 - 2.30 17.15 - 30.84
Growth Sub-Account 2009 5,166,934 9.84 - 11.09 54,290,087 -- 0.95 - 2.30 53.69 - 55.79
2008 4,031,107 6.40 - 7.12 27,227,267 1.21 0.95 - 2.30 (47.97) - (47.26)
2007 1,845,571 12.30 - 13.50 23,676,085 -- 0.95 - 2.30 20.66 - 22.31
2006 612,842 10.20 - 10.75 6,430,532 -- 1.40 - 2.30 5.91 - 6.87
MIST Lord Abbett Mid Cap 2010 4,351,943 22.57 - 25.97 108,323,379 0.55 1.30 - 2.35 22.62 - 23.91
Value Sub-Account 2009 3,034,782 18.41 - 20.96 60,902,685 1.74 1.30 - 2.35 23.59 - 24.90
2008 1,489,703 14.89 - 16.78 23,899,560 0.41 1.30 - 2.35 (40.20) - (39.57)
2007 609,565 25.04 - 27.45 16,075,069 0.60 1.55 - 2.30 (1.70) - (0.96)
2006 363,014 25.47 - 27.96 9,728,623 0.36 1.40 - 2.30 9.63 - 10.62
MIST Lazard Mid Cap 2010 8,873,534 14.35 - 15.88 135,205,406 0.86 1.20 - 2.35 20.00 - 21.40
Sub-Account 2009 8,013,598 11.95 - 13.08 100,906,992 1.16 1.20 - 2.35 33.58 - 35.13
2008 7,502,381 8.94 - 9.61 70,201,744 0.96 1.30 - 2.35 (39.74) - (39.10)
2007 7,858,992 14.83 - 15.78 121,255,292 0.34 1.30 - 2.35 (4.98) - (3.97)
2006 7,830,725 15.64 - 16.43 126,365,450 0.31 1.30 - 2.35 12.02 - 13.20
MIST Invesco Small Cap 2010 11,943,258 14.70 - 16.99 186,610,558 -- 0.89 - 2.35 23.26 - 25.35
Growth Sub-Account 2009 11,180,366 11.92 - 13.55 140,473,926 -- 0.89 - 2.35 30.70 - 33.03
2008 10,535,898 9.11 - 10.19 100,447,225 -- 0.89 - 2.35 (40.16) - (39.15)
2007 11,452,863 15.20 - 16.74 181,044,517 -- 0.89 - 2.35 8.48 - 10.41
2006 12,354,489 14.00 - 15.16 178,634,572 -- 0.89 - 2.35 11.54 - 12.90
MIST Harris Oakmark 2010 23,589,953 17.23 - 20.14 459,739,197 1.82 1.30 - 2.35 13.71 - 14.92
International Sub-Account 2009 18,176,767 15.11 - 17.52 309,481,262 7.66 1.30 - 2.35 43.46 - 53.06
2008 16,938,263 10.69 - 11.45 189,181,455 1.67 1.30 - 2.35 (42.26) - (41.65)
2007 20,013,713 18.49 - 19.62 384,273,575 0.80 1.30 - 2.35 (3.43) - (2.40)
2006 20,892,628 19.13 - 20.10 412,470,437 2.44 1.30 - 2.35 25.86 - 27.19
MIST Third Avenue Small Cap 2010 18,793,984 16.49 - 18.91 327,520,477 1.17 0.89 - 2.35 17.11 - 19.08
Value Sub-Account 2009 17,777,766 14.06 - 15.88 262,479,306 1.15 0.89 - 2.35 23.51 - 25.70
2008 16,437,324 11.38 - 12.63 194,917,296 0.76 0.89 - 2.35 (31.46) - (30.31)
2007 18,432,805 16.58 - 18.13 316,501,402 1.00 0.89 - 2.35 (5.29) - (3.66)
2006 20,363,980 17.49 - 18.82 360,767,904 0.45 0.89 - 2.35 10.51 - 12.38
149
METLIFE INVESTORS USA SEPARATE ACCOUNT A
OF METLIFE INVESTORS USA INSURANCE COMPANY
NOTES TO THE FINANCIAL STATEMENTS -- (CONTINUED)
8. FINANCIAL HIGHLIGHTS -- (CONTINUED)
AS OF DECEMBER 31 FOR THE YEAR ENDED DECEMBER 31
--------------------------------------- --------------------------------------------------
UNIT VALUE INVESTMENT(1) EXPENSE RATIO(2) TOTAL RETURN(3)
LOWEST TO NET INCOME LOWEST TO LOWEST TO
UNITS HIGHEST ($) ASSETS ($) RATIO (%) HIGHEST (%) HIGHEST (%)
----------- ------------- ------------- ------------- ---------------- -------------------
MIST Oppenheimer Capital 2010 23,613,830 7.76 - 10.67 196,389,755 0.46 0.95 - 2.35 6.86 - 8.42
Appreciation Sub-Account 2009 26,093,951 7.26 - 9.84 201,465,075 -- 0.95 - 2.35 40.37 - 42.38
2008 29,172,000 5.16 - 6.91 159,163,585 3.52 0.95 - 2.35 (47.20) - (46.42)
2007 34,634,000 9.77 - 12.90 354,882,609 0.01 0.95 - 2.35 11.62 - 13.20
2006 39,279,261 8.75 - 11.41 357,893,449 0.10 1.15 - 2.35 5.12 - 6.58
MIST Legg Mason ClearBridge 2010 13,863,499 6.97 - 7.63 102,505,758 -- 1.30 - 2.35 20.92 - 22.20
Aggressive Growth 2009 12,110,468 5.76 - 6.24 73,409,292 -- 1.30 - 2.35 29.87 - 31.23
Sub-Account 2008 12,239,079 4.43 - 4.76 56,694,512 -- 1.30 - 2.35 (40.47) - (39.84)
2007 13,488,538 7.44 - 7.91 104,186,821 -- 1.30 - 2.35 (0.12) - 0.94
2006 15,227,592 7.44 - 7.84 116,887,678 -- 1.30 - 2.35 (4.01) - (3.00)
MIST PIMCO Total Return 2010 111,149,390 11.27 - 17.67 1,761,602,464 3.20 0.89 - 2.35 5.65 - 7.45
Sub-Account 2009 71,654,403 10.54 - 16.44 1,055,450,302 6.39 0.89 - 2.35 15.29 - 17.35
2008 43,564,435 9.03 - 14.01 542,563,802 3.71 0.89 - 2.35 (1.93) - (0.26)
2007 37,539,072 9.10 - 14.05 469,985,360 3.32 0.89 - 2.35 5.05 - 6.89
2006 37,317,040 8.56 - 13.14 440,826,722 2.58 0.89 - 2.35 2.10 - 3.88
MIST RCM Technology 2010 16,174,288 6.39 - 7.45 109,729,016 -- 0.89 - 2.35 24.73 - 27.12
Sub-Account 2009 13,832,826 5.12 - 5.86 74,614,703 -- 0.89 - 2.35 55.30 - 57.75
2008 10,849,282 3.29 - 3.72 37,389,860 13.67 0.89 - 2.35 (45.75) - (44.75)
2007 12,386,524 6.06 - 6.72 78,045,995 -- 0.89 - 2.35 28.45 - 30.50
2006 10,314,725 4.71 - 5.15 50,206,487 -- 0.89 - 2.35 2.91 - 4.55
MIST PIMCO Inflation Protected 2010 52,467,468 12.81 - 13.99 711,162,874 2.23 1.20 - 2.35 5.26 - 6.48
Bond Sub-Account 2009 37,506,865 12.17 - 13.14 478,661,744 3.18 1.20 - 2.35 15.31 - 16.64
2008 23,243,826 10.55 - 11.26 254,891,679 3.71 1.20 - 2.35 (9.22) - (8.17)
2007 21,340,808 11.60 - 12.19 255,623,164 2.14 1.30 - 2.35 8.21 - 9.36
2006 22,804,934 10.72 - 11.14 250,682,193 3.75 1.30 - 2.35 (1.94) - (0.91)
MIST T. Rowe Price Mid Cap 2010 40,356,445 9.67 - 10.58 414,850,131 -- 1.30 - 2.35 24.72 - 26.05
Growth Sub-Account 2009 31,597,201 7.75 - 8.40 258,174,943 -- 1.30 - 2.35 42.11 - 43.59
2008 24,389,138 5.45 - 5.85 139,067,651 -- 1.30 - 2.35 (41.15) - (40.53)
2007 25,165,985 9.25 - 9.83 242,043,730 -- 1.30 - 2.35 14.89 - 16.11
2006 26,478,451 8.04 - 8.47 220,015,833 -- 1.30 - 2.35 3.70 - 4.80
MIST MFS Research International 2010 22,399,698 13.27 - 15.17 318,521,626 1.70 0.95 - 2.35 8.83 - 10.35
Sub-Account 2009 21,694,779 12.19 - 13.75 281,155,296 3.12 0.95 - 2.35 28.50 - 30.32
2008 20,463,384 9.48 - 10.55 204,675,511 1.89 0.95 - 2.35 (43.71) - (42.91)
2007 19,606,367 16.84 - 18.48 345,568,972 1.22 0.95 - 2.35 10.65 - 12.21
2006 18,205,030 15.21 - 17.35 287,904,765 1.63 0.89 - 2.35 23.63 - 25.79
MIST Clarion Global Real Estate 2010 9,934,760 13.39 - 14.36 139,330,754 7.76 1.30 - 2.35 13.41 - 14.61
Sub-Account 2009 7,999,282 11.80 - 12.53 98,120,895 3.11 1.30 - 2.35 31.61 - 33.00
2008 6,912,531 8.97 - 9.42 63,965,106 1.66 1.30 - 2.35 (43.03) - (42.43)
2007 6,238,930 15.74 - 16.36 100,668,094 0.98 1.30 - 2.35 (16.99) - (16.11)
2006 7,072,940 18.97 - 19.50 136,595,815 0.95 1.30 - 2.35 34.40 - 35.81
MIST Turner Mid Cap Growth 2010 5,858,465 13.61 - 14.60 83,688,741 -- 1.30 - 2.35 24.21 - 25.51
Sub-Account 2009 4,875,425 10.96 - 11.63 55,630,594 -- 1.30 - 2.35 43.76 - 45.27
2008 4,470,347 7.62 - 8.01 35,217,413 -- 1.30 - 2.35 (49.50) - (48.97)
2007 4,472,333 15.09 - 15.69 69,239,590 -- 1.30 - 2.35 21.25 - 22.54
2006 3,921,915 12.45 - 12.80 49,712,120 -- 1.30 - 2.35 3.61 - 4.71
150
METLIFE INVESTORS USA SEPARATE ACCOUNT A
OF METLIFE INVESTORS USA INSURANCE COMPANY
NOTES TO THE FINANCIAL STATEMENTS -- (CONTINUED)
8. FINANCIAL HIGHLIGHTS -- (CONTINUED)
AS OF DECEMBER 31 FOR THE YEAR ENDED DECEMBER 31
--------------------------------------- --------------------------------------------------
UNIT VALUE INVESTMENT(1) EXPENSE RATIO(2) TOTAL RETURN(3)
LOWEST TO NET INCOME LOWEST TO LOWEST TO
UNITS HIGHEST ($) ASSETS ($) RATIO (%) HIGHEST (%) HIGHEST (%)
----------- ------------- ------------- ------------- ---------------- -------------------
MIST Goldman Sachs Mid Cap 2010 7,332,195 14.57 - 15.63 112,015,664 0.92 1.30 - 2.35 21.35 - 22.63
Value Sub-Account 2009 6,218,018 12.01 - 12.74 77,628,353 1.25 1.30 - 2.35 29.24 - 30.59
2008 7,184,822 9.29 - 9.76 68,935,462 0.79 1.30 - 2.35 (37.57) - (36.90)
2007 9,178,387 14.88 - 15.47 140,073,719 0.49 1.30 - 2.35 0.69 - 1.76
2006 9,011,063 14.78 - 15.20 135,606,841 -- 1.30 - 2.35 13.01 - 14.20
MIST MetLife Defensive Strategy 2010 167,912,074 11.40 - 12.39 2,003,850,499 3.05 1.00 - 2.35 8.32 - 9.80
Sub-Account 2009 134,240,318 10.52 - 11.28 1,466,386,791 2.86 1.00 - 2.35 14.50 - 21.50
2008 98,361,064 8.77 - 9.21 887,719,339 1.41 1.15 - 2.35 (22.50) - (21.56)
2007 51,959,475 11.31 - 11.75 600,410,325 1.89 1.15 - 2.35 3.45 - 4.70
2006 35,961,422 10.93 - 11.18 399,117,450 0.01 1.30 - 2.35 6.11 - 7.23
MIST MetLife Moderate Strategy 2010 257,780,425 11.46 - 12.34 3,094,289,659 2.46 1.15 - 2.35 9.79 - 11.12
Sub-Account 2009 201,975,022 10.44 - 11.11 2,188,428,006 3.18 1.15 - 2.35 23.16 - 24.65
2008 157,147,909 8.48 - 8.91 1,371,420,955 1.75 1.15 - 2.35 (28.14) - (27.26)
2007 132,930,004 11.79 - 12.25 1,602,068,224 1.93 1.15 - 2.35 3.73 - 4.99
2006 106,444,385 11.37 - 11.63 1,227,960,101 0.01 1.30 - 2.35 7.68 - 8.81
MIST MetLife Balanced Strategy 2010 546,381,907 11.25 - 12.12 6,437,293,439 2.05 1.15 - 2.35 10.96 - 12.28
Sub-Account 2009 458,932,798 10.14 - 10.79 4,832,135,577 -- 1.15 - 2.35 25.35 - 26.87
2008 406,068,266 8.09 - 8.50 3,383,789,930 4.75 1.15 - 2.35 (33.52) - (32.72)
2007 407,763,369 12.17 - 12.64 5,073,218,651 1.64 1.15 - 2.35 2.43 - 3.68
2006 324,915,762 11.88 - 12.15 3,917,704,428 0.01 1.30 - 2.35 9.38 - 10.54
MIST MetLife Growth Strategy 2010 473,161,406 11.14 - 12.00 5,512,372,206 1.71 1.15 - 2.35 12.81 - 14.17
Sub-Account 2009 490,302,032 9.88 - 10.51 5,026,063,304 -- 1.15 - 2.35 27.08 - 28.61
2008 494,438,103 7.77 - 8.17 3,958,612,323 3.49 1.15 - 2.35 (39.32) - (38.58)
2007 481,475,567 12.81 - 13.30 6,304,660,461 1.10 1.15 - 2.35 2.26 - 3.50
2006 325,383,030 12.53 - 12.81 4,136,759,495 0.01 1.30 - 2.35 10.96 - 12.13
MIST MetLife Aggressive 2010 45,689,702 10.94 - 11.78 522,967,837 1.18 1.15 - 2.35 13.80 - 15.17
Strategy Sub-Account 2009 41,343,573 9.62 - 10.23 412,402,731 -- 1.15 - 2.35 29.56 - 31.13
2008 39,565,727 7.42 - 7.80 302,274,534 3.60 1.15 - 2.35 (42.19) - (41.49)
2007 46,258,233 12.84 - 13.34 607,023,915 1.29 1.15 - 2.35 0.48 - 1.70
2006 49,085,211 12.78 - 13.07 636,476,170 0.01 1.30 - 2.35 11.02 - 12.18
MIST Van Kampen Comstock 2010 21,172,822 9.76 - 14.59 230,561,318 1.45 0.95 - 2.35 12.19 - 13.80
Sub-Account 2009 16,791,760 8.70 - 12.82 161,042,507 1.11 0.95 - 2.35 23.63 - 30.57
2008 5,638,201 7.03 - 7.31 40,651,730 1.74 1.30 - 2.35 (37.41) - (36.74)
2007 5,330,717 11.24 - 11.56 60,993,695 1.34 1.30 - 2.35 (4.77) - (3.76)
2006 4,218,383 11.80 - 12.01 50,349,650 -- 1.30 - 2.35 13.36 - 14.56
MIST Legg Mason Value Equity 2010 14,862,891 6.36 - 6.83 98,632,539 1.93 0.95 - 2.35 4.85 - 6.32
Sub-Account 2009 12,311,635 6.06 - 6.43 77,277,821 1.49 0.95 - 2.35 34.76 - 36.65
2008 9,617,947 4.51 - 4.70 44,429,063 0.02 0.95 - 2.35 (55.68) - (55.05)
2007 5,608,172 10.15 - 10.46 57,822,803 -- 0.95 - 2.35 (8.10) - (6.80)
2006 3,602,950 11.05 - 11.18 40,088,253 -- 1.30 - 2.35 4.11 - 5.21
MIST MFS Emerging Markets 2010 29,287,659 12.03 - 14.53 365,169,255 0.97 0.95 - 2.35 20.79 - 22.49
Equity Sub-Account 2009 18,534,256 9.96 - 12.02 189,762,080 1.45 0.95 - 2.35 65.01 - 67.34
(Commenced 5/1/2006) 2008 9,820,617 6.03 - 7.28 60,422,758 1.29 0.95 - 2.35 (56.57) - (52.63)
2007 4,415,597 13.89 - 14.22 62,075,247 0.04 0.95 - 2.35 33.43 - 35.32
2006 901,069 10.41 - 10.49 9,424,659 1.65 1.30 - 2.35 4.12 - 4.86
151
METLIFE INVESTORS USA SEPARATE ACCOUNT A
OF METLIFE INVESTORS USA INSURANCE COMPANY
NOTES TO THE FINANCIAL STATEMENTS -- (CONTINUED)
8. FINANCIAL HIGHLIGHTS -- (CONTINUED)
AS OF DECEMBER 31 FOR THE YEAR ENDED DECEMBER 31
----------------------------------------- --------------------------------------------------
UNIT VALUE INVESTMENT(1) EXPENSE RATIO(2) TOTAL RETURN(3)
LOWEST TO NET INCOME LOWEST TO LOWEST TO
UNITS HIGHEST ($) ASSETS ($) RATIO (%) HIGHEST (%) HIGHEST (%)
----------- --------------- ------------- ------------- ---------------- -------------------
MIST Loomis Sayles Global 2010 10,620,691 12.48 - 13.10 137,171,845 2.99 1.30 - 2.35 19.18 - 20.43
Markets Sub-Account 2009 7,198,911 10.47 - 10.88 77,383,467 1.95 1.30 - 2.35 37.54 - 39.00
(Commenced 5/1/2006) 2008 5,848,580 7.61 - 7.83 45,350,255 4.63 1.30 - 2.35 (40.68) - (40.05)
2007 4,274,323 12.83 - 13.06 55,474,222 -- 1.30 - 2.35 24.87 - 26.19
2006 754,781 10.27 - 10.35 7,786,909 1.55 1.30 - 2.35 2.74 - 3.46
MIST Janus Forty Sub-Account 2010 397,905 106.29 - 160.04 53,356,686 1.30 1.30 - 2.35 3.20 - 8.00
(Commenced 5/1/2006) 2009 192,470 99.16 - 121.06 21,865,637 -- 1.55 - 2.30 39.96 - 41.01
2008 143,074 70.85 - 85.85 11,490,581 4.86 1.55 - 2.30 (43.18) - (42.75)
2007 62,044 124.70 - 149.97 8,715,091 0.08 1.55 - 2.30 27.48 - 28.45
2006 12,842 97.82 - 120.96 1,410,409 -- 1.40 - 2.30 0.74 - 1.65
MIST Dreman Small Cap Value 2010 1,677,961 14.14 - 14.87 24,426,974 0.82 1.20 - 2.30 16.82 - 17.83
Sub-Account 2009 1,579,618 12.10 - 12.62 19,575,088 0.88 1.20 - 2.30 26.15 - 27.24
(Commenced 5/1/2006) 2008 1,254,915 9.59 - 9.92 12,261,677 0.72 1.20 - 2.30 (26.93) - (21.55)
2007 865,483 13.13 - 13.40 11,511,054 -- 1.55 - 2.30 (3.24) - (2.50)
2006 386,322 13.57 - 13.78 5,287,629 0.53 1.40 - 2.30 21.42 - 22.51
MIST Pioneer Fund Sub-Account 2010 5,977,317 16.24 - 20.40 112,914,666 0.78 0.95 - 2.30 13.47 - 15.12
(Commenced 5/1/2006) 2009 3,239,380 14.30 - 17.72 53,308,711 1.52 0.95 - 2.30 21.07 - 27.31
2008 1,227,336 11.81 - 14.44 16,447,869 0.83 0.95 - 2.30 (34.37) - (33.47)
2007 441,310 17.99 - 21.26 8,679,759 0.78 1.10 - 2.30 2.60 - 3.85
2006 202,477 17.53 - 19.69 3,839,197 -- 1.40 - 2.30 13.30 - 14.32
MIST Pioneer Strategic Income 2010 17,115,149 12.17 - 27.26 419,601,867 4.58 0.95 - 2.20 5.21 - 11.12
Sub-Account 2009 10,957,582 11.11 - 24.54 251,000,578 4.72 0.95 - 2.15 23.08 - 31.83
(Commenced 5/1/2006) 2008 7,373,489 16.54 - 18.61 129,051,542 6.27 0.95 - 1.90 (12.43) - (11.59)
2007 4,979,963 18.89 - 21.05 98,174,413 0.56 0.95 - 1.90 4.63 - 5.63
2006 2,004,763 17.28 - 19.22 37,439,194 8.40 1.40 - 2.25 3.95 - 4.83
MIST BlackRock Large Cap Core 2010 1,044,239 8.60 - 9.47 9,613,588 1.06 1.55 - 2.30 10.01 - 10.85
Sub-Account 2009 613,169 7.82 - 8.54 5,078,728 1.34 1.55 - 2.30 16.49 - 17.35
(Commenced 5/1/2006) 2008 508,491 6.71 - 7.28 3,599,088 0.57 1.55 - 2.30 (38.73) - (38.27)
2007 390,444 10.96 - 11.80 4,467,216 0.64 1.55 - 2.30 0.28 - 4.87
2006 176,805 10.53 - 11.40 1,947,743 -- 1.40 - 2.30 11.66 - 12.66
MIST BlackRock High Yield 2010 9,034,810 11.92 - 21.07 182,367,303 5.88 1.20 - 2.35 5.99 - 14.28
Sub-Account 2009 5,656,394 16.02 - 18.43 100,278,538 3.54 1.30 - 2.35 43.24 - 44.75
(Commenced 5/1/2006) 2008 1,114,960 11.47 - 12.73 13,709,683 5.00 1.30 - 2.30 (25.93) - (25.14)
2007 450,432 15.68 - 16.78 7,452,180 8.47 1.70 - 2.30 0.35 - 0.96
2006 198,218 15.62 - 16.62 3,246,398 -- 1.70 - 2.30 7.32 - 7.97
MIST Rainer Large Cap Equity 2010 5,826,308 7.72 - 7.95 45,894,091 0.42 1.30 - 2.20 12.87 - 13.90
Sub-Account 2009 4,962,869 6.82 - 6.98 34,404,016 0.82 1.30 - 2.35 20.41 - 21.65
(Commenced 11/12/2007) 2008 4,139,663 5.67 - 5.74 23,654,112 -- 1.30 - 2.35 (43.16) - (42.56)
2007 640,297 9.97 - 9.99 6,390,092 0.09 1.30 - 2.20 1.90 - 2.03
MIST American Funds Balanced 2010 251,644,506 9.64 - 10.00 2,478,289,324 1.01 1.00 - 2.35 9.55 - 11.05
Allocation Sub-Account 2009 147,529,141 8.80 - 9.00 1,315,175,709 -- 1.00 - 2.35 20.40 - 27.85
(Commenced 4/28/2008) 2008 47,541,825 6.97 - 7.02 332,865,017 6.67 1.15 - 2.35 (30.39) - (29.82)
MIST American Funds Bond 2010 26,655,400 10.10 - 10.38 274,791,792 1.64 1.30 - 2.35 3.63 - 4.73
Sub-Account 2009 14,305,838 9.74 - 9.92 141,146,685 -- 1.30 - 2.35 9.52 - 10.67
(Commenced 4/28/2008) 2008 3,151,521 8.89 - 8.96 28,171,025 9.47 1.30 - 2.35 (11.39) - (10.76)
152
METLIFE INVESTORS USA SEPARATE ACCOUNT A
OF METLIFE INVESTORS USA INSURANCE COMPANY
NOTES TO THE FINANCIAL STATEMENTS -- (CONTINUED)
8. FINANCIAL HIGHLIGHTS -- (CONTINUED)
AS OF DECEMBER 31 FOR THE YEAR ENDED DECEMBER 31
--------------------------------------- --------------------------------------------------
UNIT VALUE INVESTMENT(1) EXPENSE RATIO(2) TOTAL RETURN(3)
LOWEST TO NET INCOME LOWEST TO LOWEST TO
UNITS HIGHEST ($) ASSETS ($) RATIO (%) HIGHEST (%) HIGHEST (%)
----------- ------------- ------------- ------------- ---------------- -------------------
MIST American Funds Growth 2010 52,406,611 8.97 - 9.23 480,253,525 0.20 1.30 - 2.35 15.57 - 16.79
Sub-Account 2009 30,278,080 7.76 - 7.90 238,097,827 -- 1.30 - 2.35 35.67 - 37.09
(Commenced 4/28/2008) 2008 9,556,758 5.72 - 5.76 54,966,248 7.34 1.30 - 2.35 (42.71) - (42.30)
MIST American Funds Growth 2010 155,386,301 9.17 - 9.47 1,454,861,016 0.89 1.15 - 2.35 10.86 - 12.18
Allocation Sub-Account 2009 139,002,030 8.27 - 8.44 1,164,848,803 -- 1.15 - 2.35 30.93 - 32.51
(Commenced 4/28/2008) 2008 74,827,606 6.32 - 6.37 475,226,821 6.95 1.15 - 2.35 (36.80) - (36.28)
MIST American Funds 2010 33,804,542 8.75 - 9.00 301,922,149 0.76 1.30 - 2.35 4.42 - 5.51
International Sub-Account 2009 19,914,429 8.38 - 8.53 168,980,812 -- 1.30 - 2.35 39.25 - 40.72
(Commenced 4/28/2008) 2008 7,576,246 6.02 - 6.06 45,810,468 11.18 1.30 - 2.20 (40.31) - (39.94)
MIST American Funds Moderate 2010 143,876,667 9.88 - 10.25 1,452,175,003 1.41 1.00 - 2.35 7.36 - 8.82
Allocation Sub-Account 2009 89,994,728 9.20 - 9.42 839,089,528 -- 1.00 - 2.35 15.69 - 21.98
(Commenced 4/28/2008) 2008 29,162,701 7.64 - 7.70 223,820,453 6.96 1.15 - 2.35 (23.78) - (23.16)
MIST Met/Franklin Mutual Shares 2010 13,681,991 8.67 - 8.92 121,115,835 -- 1.30 - 2.35 8.44 - 9.58
Sub-Account 2009 7,713,701 8.01 - 8.14 62,452,238 -- 1.30 - 2.30 22.05 - 23.27
(Commenced 4/28/2008) 2008 1,978,335 6.56 - 6.60 13,038,845 5.28 1.30 - 2.20 (34.35) - (33.94)
MIST Met/Franklin Templeton 2010 59,315,796 9.43 - 9.74 571,218,147 -- 1.15 - 2.35 7.50 - 8.79
Founding Strategy Sub-Account 2009 49,352,169 8.80 - 8.95 438,687,403 -- 1.15 - 2.20 25.75 - 27.08
(Commenced 4/28/2008) 2008 27,525,771 6.99 - 7.05 193,348,119 3.15 1.15 - 2.20 (30.03) - (29.53)
MIST SSgA Growth ETF 2010 29,136,066 10.71 - 11.41 325,453,346 1.35 1.15 - 2.35 11.50 - 12.85
Sub-Account 2009 16,443,398 9.670 - 10.11 163,291,494 0.93 1.15 - 2.20 26.29 - 28.66
(Commenced 11/10/2008) 2008 190,893 7.69 - 7.88 1,489,531 -- 1.30 - 2.05 0.88 - 0.99
MIST SSgA Growth and Income 2010 85,827,962 11.20 - 11.84 995,772,752 1.05 1.15 - 2.20 9.80 - 10.96
ETF Sub-Account 2009 29,942,630 10.20 - 10.67 314,125,011 0.78 1.15 - 2.20 22.17 - 23.97
(Commenced 11/10/2008) 2008 312,145 8.39 - 8.60 2,651,130 -- 1.30 - 2.05 1.88 - 1.99
MIST Met/Templeton International 2010 2,982,596 12.04 - 12.22 36,302,425 0.51 1.30 - 2.20 11.07 - 12.08
Bond Sub-Account 2009 775,327 10.84 - 10.90 8,438,524 -- 1.30 - 2.20 8.40 - 9.00
(Commenced 5/4/2009)
MIST Met/Templeton Growth 2010 614,557 8.96 - 14.25 7,380,405 -- 1.10 - 2.05 4.65 - 5.96
Sub-Account
(Commenced 5/3/2010)
MIST Met/Eaton Vance Floating 2010 1,600,145 10.16 - 10.23 16,334,315 -- 1.30 - 2.30 1.64 - 2.31
Rate Sub-Account
(Commenced 5/3/2010)
Invesco V.I. Core Equity 2010 88,640 4.44 393,933 0.95 1.40 8.02
Sub-Account 2009 99,143 4.11 407,845 1.76 1.40 26.51
(Commenced 5/1/2006) 2008 120,534 3.25 391,928 1.79 1.40 (31.12)
2007 181,999 4.72 859,118 0.99 1.40 6.61
2006 265,665 4.43 1,176,358 0.53 1.40 13.65
Invesco V.I. Capital Appreciation 2010 33,129 4.31 142,665 0.73 1.40 13.89
Sub-Account 2009 41,631 3.78 157,420 0.62 1.40 19.39
2008 50,723 3.17 160,644 -- 1.40 (43.30)
2007 77,611 5.59 433,487 -- 1.40 10.45
2006 125,055 5.06 632,398 0.05 1.40 4.83
153
METLIFE INVESTORS USA SEPARATE ACCOUNT A
OF METLIFE INVESTORS USA INSURANCE COMPANY
NOTES TO THE FINANCIAL STATEMENTS -- (CONTINUED)
8. FINANCIAL HIGHLIGHTS -- (CONTINUED)
AS OF DECEMBER 31 FOR THE YEAR ENDED DECEMBER 31
--------------------------------------- --------------------------------------------------
UNIT VALUE INVESTMENT(1) EXPENSE RATIO(2) TOTAL RETURN(3)
LOWEST TO NET INCOME LOWEST TO LOWEST TO
UNITS HIGHEST ($) ASSETS ($) RATIO (%) HIGHEST (%) HIGHEST (%)
---------- ----------------- ----------- ------------- ---------------- -------------------
Invesco V.I. International Growth 2010 4,327,573 7.46 - 27.87 111,888,065 2.01 0.95 - 1.75 10.66 - 11.55
Sub-Account 2009 2,818,925 6.70 - 24.98 65,315,391 1.74 0.95 - 1.75 32.57 - 33.63
2008 1,618,515 5.02 - 18.70 27,961,110 0.80 0.95 - 1.75 (41.56) - (41.09)
2007 445,944 8.54 - 31.74 11,954,057 1.05 0.95 - 1.75 0.37 - 13.15
2006 119,102 7.56 899,842 0.95 1.40 26.46
Invesco V.I. Basic Balanced 2010 55,967 4.59 256,608 1.93 1.40 6.55
Sub-Account 2009 60,967 4.30 262,318 4.77 1.40 31.99
2008 88,650 3.26 288,999 3.82 1.40 (39.18)
2007 125,704 5.36 673,813 2.71 1.40 0.77
2006 183,755 5.32 977,412 1.83 1.40 9.02
Invesco V.I. Global Real Estate 2010 1,148,943 7.73 - 7.98 9,028,134 5.55 0.95 - 1.75 15.19 - 16.13
Sub-Account 2009 704,385 6.71 - 6.88 4,786,308 -- 0.95 - 1.75 28.83 - 29.86
(Commenced 6/1/2007) 2008 449,308 5.21 - 5.29 2,360,062 9.45 0.95 - 1.75 (45.68) - (45.25)
2007 156,912 9.58 - 9.67 1,510,684 9.59 0.95 - 1.75 (13.59) - (6.80)
Invesco V.I. Capital Growth 2010 25,363 5.16 130,764 -- 1.40 18.18
Sub-Account 2009 26,829 4.36 117,046 0.11 1.40 63.78
2008 33,379 2.66 88,923 0.55 1.40 (49.70)
2007 1,659,770 5.28 - 5.59 9,156,031 -- 1.50 - 2.30 13.98 - 15.33
2006 1,033,865 4.59 - 4.87 4,964,651 -- 1.40 - 2.30 0.30 - 1.43
Invesco V.I. Growth and Income 2010 9,061,763 6.63 - 25.06 160,437,278 0.09 0.95 - 1.90 10.09 - 11.13
Sub-Account 2009 6,896,039 5.97 - 22.55 107,604,807 3.60 0.95 - 1.90 21.78 - 22.94
2008 4,699,178 4.87 - 18.34 57,517,543 1.50 0.95 - 1.90 (33.49) - (32.85)
2007 3,069,791 7.27 - 27.31 49,067,204 1.01 0.95 - 1.90 0.58 - 1.55
2006 1,465,291 7.17 - 14.19 20,351,040 2.60 1.40 - 1.90 13.80 - 14.62
Invesco V.I. Equity and Income 2010 22,199,448 14.98 - 16.11 345,124,808 1.92 0.95 - 1.90 9.92 - 10.97
Sub-Account 2009 17,747,381 13.63 - 14.52 249,400,082 2.82 0.95 - 1.90 20.19 - 21.33
2008 13,625,412 11.34 - 11.97 158,238,412 2.44 0.95 - 1.90 (24.14) - (23.41)
2007 10,934,412 14.95 - 15.63 166,104,798 2.06 0.95 - 1.90 1.41 - 2.38
2006 4,592,861 14.74 - 14.96 68,376,576 0.79 1.50 - 1.90 10.46 - 10.91
Invesco V.I. U.S. Mid Cap Value 2010 2,673,648 10.35 - 10.70 28,139,044 0.80 0.95 - 1.75 20.06 - 21.03
Sub-Account 2009 1,763,519 8.62 - 8.84 15,401,650 1.18 0.95 - 1.75 36.75 - 37.84
(Commenced 6/1/2007) 2008 1,130,852 6.31 - 6.41 7,194,408 0.78 0.95 - 1.75 (42.44) - (41.98)
2007 257,428 10.95 - 11.05 2,833,669 0.17 0.95 - 1.75 (6.13) - (6.63)
MFS VIT Research Sub-Account 2010 21,202 5.30 112,388 0.92 1.40 14.29
2009 23,944 4.64 111,057 1.44 1.40 28.73
2008 26,232 3.60 94,515 0.58 1.40 (36.98)
2007 34,862 5.72 199,317 0.70 1.40 11.62
2006 54,023 5.12 276,705 0.51 1.40 8.95
MFS VIT Investors Trust 2010 8,683 5.00 43,404 1.30 1.40 9.56
Sub-Account 2009 11,563 4.56 52,758 1.77 1.40 25.15
2008 13,271 3.65 48,391 0.96 1.40 (34.01)
2007 23,909 5.53 132,122 0.85 1.40 8.76
2006 33,624 5.08 170,831 0.49 1.40 11.43
154
METLIFE INVESTORS USA SEPARATE ACCOUNT A
OF METLIFE INVESTORS USA INSURANCE COMPANY
NOTES TO THE FINANCIAL STATEMENTS -- (CONTINUED)
8. FINANCIAL HIGHLIGHTS -- (CONTINUED)
AS OF DECEMBER 31 FOR THE YEAR ENDED DECEMBER 31
--------------------------------------- ---------------------------------------------------
UNIT VALUE INVESTMENT(1) EXPENSE RATIO(2) TOTAL RETURN(3)
LOWEST TO NET INCOME LOWEST TO LOWEST TO
UNITS HIGHEST ($) ASSETS ($) RATIO (%) HIGHEST (%) HIGHEST (%)
---------- ----------------- ----------- ------------- ---------------- -------------------
MFS VIT New Discovery 2010 4,951 9.47 46,865 -- 1.40 34.44
Sub-Account 2009 6,461 7.04 45,491 -- 1.40 60.90
2008 10,205 4.38 44,654 -- 1.40 (40.18)
2007 13,583 7.31 99,354 -- 1.40 1.08
2006 28,494 7.24 206,180 -- 1.40 11.65
Oppenheimer VA Main Street 2010 24,227 4.92 119,249 1.11 1.40 14.49
Sub-Account 2009 28,105 4.30 120,826 1.94 1.40 26.52
2008 31,897 3.40 108,399 1.52 1.40 (39.33)
2007 45,428 5.60 254,460 1.11 1.40 2.96
2006 59,121 5.44 321,623 1.13 1.40 13.43
Oppenheimer VA Core Bond 2010 1,952 5.06 9,885 4.81 1.40 9.87
Sub-Account 2009 12,533 4.61 57,756 -- 1.40 8.09
2008 22,518 4.26 96,005 4.53 1.40 (39.90)
2007 37,290 7.09 264,529 5.54 1.40 2.93
2006 47,067 6.89 324,377 5.59 1.40 3.82
Oppenheimer VA Global Strategic 2010 443 9.25 4,097 16.19 1.40 13.38
Income Sub-Account 2009 1,786 8.16 14,575 0.53 1.40 17.17
2008 1,903 6.97 13,254 5.21 1.40 (15.40)
2007 5,661 8.23 46,614 3.59 1.40 8.16
2006 6,741 7.61 51,318 4.20 1.40 6.00
Oppenheimer VA Main Street 2010 4,127,208 10.35 - 17.72 70,331,777 0.37 0.95 - 1.75 20.92 - 21.90
Small Cap Sub-Account 2009 3,126,840 8.51 - 14.54 43,881,910 0.52 0.95 - 1.75 34.52 - 35.58
2008 1,863,546 6.29 - 10.72 19,372,328 0.18 0.95 - 1.75 (39.08) - (38.59)
2007 492,857 10.26 - 17.46 8,314,186 0.03 0.95 - 1.75 (13.41) - (2.47)
2006 17,793 10.53 187,405 0.15 1.40 13.40
Oppenheimer VA Money 2010 20,177 5.76 116,310 0.03 1.40 (1.37)
Sub-Account 2009 20,177 5.84 117,917 0.35 1.40 (1.07)
2008 25,333 5.91 149,653 2.83 1.40 1.34
2007 28,881 5.83 168,352 4.98 1.40 3.52
2006 33,346 5.63 187,777 4.54 1.40 3.26
Fidelity VIP Asset Manager 2010 8,263,984 12.22 - 12.71 101,784,889 1.66 0.89 - 1.40 12.67 - 13.26
Sub-Account 2009 9,345,424 10.84 - 11.23 102,112,475 2.38 0.89 - 1.40 27.32 - 27.96
2008 10,322,631 8.51 - 8.77 88,545,973 2.51 0.89 - 1.40 (29.71) - (29.35)
2007 11,728,296 12.10 - 12.42 143,069,941 6.10 0.89 - 1.40 12.69 - 14.48
2006 13,137,764 10.62 - 10.85 140,644,002 2.76 0.89 - 1.40 5.83 - 6.37
Fidelity VIP Growth Sub-Account 2010 10,951,340 13.38 - 13.81 147,385,504 0.28 0.89 - 1.40 22.44 - 23.08
2009 11,893,241 10.93 - 11.22 130,641,959 0.45 0.89 - 1.40 26.51 - 27.14
2008 12,838,680 8.64 - 8.83 111,413,507 0.78 0.89 - 1.40 (47.91) - (47.64)
2007 14,370,091 16.58 - 16.86 239,237,615 0.83 0.89 - 1.40 24.72 - 25.83
2006 16,167,140 13.24 - 13.40 214,865,663 0.40 0.89 - 1.40 5.37 - 5.91
Fidelity VIP Contrafund 2010 15,707,574 11.14 - 44.59 379,741,596 1.25 0.89 - 2.25 14.51 - 16.18
Sub-Account 2009 15,955,996 9.59 - 38.44 313,576,644 1.44 0.89 - 2.25 32.65 - 34.50
2008 16,114,037 7.13 - 28.60 222,674,108 1.01 0.89 - 2.25 (43.90) - (43.03)
2007 16,613,759 12.51 - 50.32 377,396,997 0.95 0.89 - 2.25 14.88 - 16.54
2006 17,625,464 10.73 - 40.96 338,418,167 1.29 0.89 - 2.25 9.11 - 10.73
155
METLIFE INVESTORS USA SEPARATE ACCOUNT A
OF METLIFE INVESTORS USA INSURANCE COMPANY
NOTES TO THE FINANCIAL STATEMENTS -- (CONTINUED)
8. FINANCIAL HIGHLIGHTS -- (CONTINUED)
AS OF DECEMBER 31 FOR THE YEAR ENDED DECEMBER 31
--------------------------------------- --------------------------------------------------
UNIT VALUE INVESTMENT(1) EXPENSE RATIO(2) TOTAL RETURN(3)
LOWEST TO NET INCOME LOWEST TO LOWEST TO
UNITS HIGHEST ($) ASSETS ($) RATIO (%) HIGHEST (%) HIGHEST (%)
----------- ------------- ------------- ------------- ---------------- -------------------
Fidelity VIP Overseas 2010 593,728 9.85 - 11.30 6,266,276 1.39 1.15 - 1.40 11.54 - 11.82
Sub-Account 2009 663,667 8.81 - 10.11 6,282,775 2.17 1.15 - 1.40 24.78 - 25.09
2008 713,199 7.04 - 8.09 5,413,449 2.46 1.15 - 1.40 (44.59) - (44.45)
2007 826,076 12.67 - 14.58 11,327,734 3.29 1.15 - 1.40 15.67 - 15.96
2006 951,985 10.93 - 12.59 11,259,345 0.91 1.15 - 1.40 16.44 - 16.73
Fidelity VIP Equity-Income 2010 530,175 11.98 6,350,751 1.75 1.40 13.56
Sub-Account 2009 619,856 10.55 6,538,981 2.24 1.40 28.40
2008 744,861 8.22 6,119,783 2.23 1.40 (43.46)
2007 942,455 14.53 13,694,030 1.64 1.40 0.11
2006 1,227,074 14.51 17,809,782 3.26 1.40 18.53
Fidelity VIP Index 500 2010 4,565,389 14.90 - 15.58 68,501,202 1.87 0.89 - 1.40 13.42 - 14.00
Sub-Account 2009 5,300,313 13.22 - 13.67 70,079,047 2.52 0.89 - 1.35 24.91 - 25.48
2008 6,061,847 10.58 - 10.89 64,164,439 2.01 0.89 - 1.35 (37.85) - (37.56)
2007 7,211,573 17.03 - 17.44 122,812,705 3.57 0.89 - 1.35 4.02 - 4.50
2006 8,294,641 16.29 - 16.69 135,796,690 1.77 0.89 - 1.40 14.12 - 14.71
Fidelity VIP Money Market 2010 7,492,405 7.33 - 11.34 67,343,833 0.17 0.89 - 2.05 (1.82) - (0.65)
Sub-Account 2009 6,126,543 7.41 - 11.53 50,572,988 0.71 0.89 - 2.05 (0.68) - (0.17)
2008 5,530,761 7.46 - 8.02 41,701,796 2.97 0.89 - 1.40 1.58 - 2.11
2007 5,148,515 7.35 - 7.86 38,182,657 5.08 0.89 - 1.40 3.69 - 4.22
2006 4,981,073 7.08 - 7.54 35,607,299 4.77 0.89 - 1.40 3.43 - 3.96
Fidelity VIP Mid Cap 2010 4,364,581 40.36 - 45.24 187,246,537 0.14 0.95 - 1.90 26.16 - 27.36
Sub-Account 2009 3,075,278 31.99 - 35.52 103,784,411 0.54 0.95 - 1.90 37.12 - 38.43
2008 1,905,032 23.33 - 25.66 46,484,098 0.26 0.95 - 1.90 (40.75) - (40.18)
2007 997,653 39.38 - 42.90 40,496,316 0.51 0.95 - 1.90 13.16 - 14.24
2006 398,050 34.80 - 35.93 14,145,793 -- 1.50 - 1.90 10.29 - 10.73
Fidelity VIP FundsManager 2010 118,824,451 9.88 - 9.93 1,176,598,687 2.72 1.90 - 2.05 11.32 - 11.49
60% Sub-Account 2009 4,074,373 8.87 - 8.90 36,215,324 3.35 1.90 - 2.05 0.07 - 0.09
(Commenced 10/15/2009)
DWS International Sub-Account 2010 2,471,385 8.43 - 8.48 20,962,763 2.18 1.35 - 1.40 0.21 - 0.26
2009 2,700,348 8.41 - 8.46 22,845,161 4.39 1.35 - 1.40 31.67 - 31.73
2008 2,819,612 6.39 - 6.42 18,108,679 1.39 1.35 - 1.40 (48.94) - (48.91)
2007 3,119,351 12.50 - 12.57 39,213,025 2.39 1.35 - 1.40 12.99 - 13.04
2006 3,170,743 11.07 - 11.12 35,260,353 1.83 1.35 - 1.40 24.17 - 24.23
MSF FI Value Leaders 2010 305,583 15.99 - 17.94 5,267,530 1.44 1.50 - 2.30 11.85 - 12.75
Sub-Account 2009 265,682 14.30 - 15.91 4,072,835 2.66 1.50 - 2.30 18.94 - 19.90
(Commenced 5/1/2006) 2008 251,266 12.02 - 13.27 3,223,563 1.80 1.50 - 2.30 (40.40) - (39.92)
2007 211,868 20.17 - 22.08 4,542,761 0.69 1.50 - 2.30 1.71 - 2.53
2006 126,575 19.83 - 21.76 2,662,087 -- 1.40 - 2.30 7.04 - 8.00
MSF Russell 2000 Index 2010 2,703,578 7.11 - 19.92 46,792,763 0.77 0.89 - 2.35 23.61 - 25.79
Sub-Account 2009 1,108,328 5.68 - 15.83 15,337,009 1.65 0.89 - 2.20 24.25 - 26.62
2008 478,053 4.57 - 12.68 5,298,056 1.35 0.89 - 1.40 (34.43) - (34.05)
2007 481,904 6.97 - 19.23 8,015,832 0.93 0.89 - 1.40 (2.89) - (2.39)
2006 490,302 7.17 - 19.71 8,227,895 0.92 0.89 - 1.40 16.33 - 16.92
156
METLIFE INVESTORS USA SEPARATE ACCOUNT A
OF METLIFE INVESTORS USA INSURANCE COMPANY
NOTES TO THE FINANCIAL STATEMENTS -- (CONTINUED)
8. FINANCIAL HIGHLIGHTS -- (CONTINUED)
AS OF DECEMBER 31 FOR THE YEAR ENDED DECEMBER 31
---------------------------------------- --------------------------------------------------
UNIT VALUE INVESTMENT(1) EXPENSE RATIO(2) TOTAL RETURN(3)
LOWEST TO NET INCOME LOWEST TO LOWEST TO
UNITS HIGHEST ($) ASSETS ($) RATIO (%) HIGHEST (%) HIGHEST (%)
---------- ----------------- ----------- ------------- ---------------- -------------------
MSF Artio International Stock 2010 318,412 4.26 - 14.47 3,979,701 1.41 1.40 - 1.90 4.85 - 5.74
Sub-Account 2009 337,655 4.02 - 13.77 3,955,132 0.42 1.40 - 1.90 19.59 - 20.44
2008 380,684 3.34 - 11.48 3,539,311 2.93 1.40 - 1.90 (45.29) - (44.91)
2007 398,333 6.06 - 20.94 6,422,071 0.76 1.40 - 1.90 7.99 - 8.79
2006 262,656 5.57 - 19.34 3,232,921 0.70 1.40 - 1.90 14.05 - 14.87
MSF MetLife Stock Index 2010 23,801,960 11.03 - 45.76 343,187,076 1.63 0.89 - 2.90 11.41 - 13.81
Sub-Account 2009 21,150,594 9.85 - 40.20 281,243,641 2.10 0.89 - 2.90 23.01 - 26.75
2008 15,678,062 8.00 - 32.13 164,166,647 1.80 0.89 - 2.35 (38.72) - (37.66)
2007 17,885,006 13.05 - 51.54 299,989,839 0.90 0.89 - 2.35 2.52 - 4.30
2006 19,358,596 12.71 - 49.42 313,093,531 1.81 0.89 - 2.35 12.52 - 14.44
MSF BlackRock Legacy 2010 601,185 12.06 - 35.71 9,563,155 0.22 0.89 - 2.30 17.10 - 18.76
Large Cap Growth 2009 612,808 10.28 - 30.07 8,419,085 0.15 0.89 - 2.30 28.77 - 35.57
Sub-Account 2008 49,555 20.78 - 22.18 1,031,800 0.43 0.89 - 1.35 (37.36) - (37.07)
2007 31,453 33.18 - 35.25 1,046,603 0.17 0.89 - 1.35 17.12 - 17.66
2006 19,004 28.33 - 29.96 538,656 0.12 0.89 - 1.35 2.74 - 3.21
MSF Neuberger Berman Genesis 2010 578,563 16.81 - 17.64 9,730,049 0.51 0.89 - 1.35 19.95 - 20.50
Sub-Account 2009 605,787 14.02 - 14.64 8,493,213 1.10 0.89 - 1.35 11.63 - 12.15
2008 587,465 12.56 - 13.06 7,377,709 0.53 0.89 - 1.35 (39.23) - (38.95)
2007 625,394 20.66 - 21.39 12,924,658 0.30 0.89 - 1.35 (4.75) - (4.31)
2006 613,247 21.69 - 22.35 13,305,490 0.31 0.89 - 1.35 15.17 - 15.70
MSF BlackRock Bond Income 2010 952,834 42.45 - 65.04 47,336,145 3.77 0.89 - 2.30 5.72 - 7.38
Sub-Account 2009 911,026 40.15 - 60.57 42,636,576 6.49 0.89 - 2.30 6.81 - 8.50
2008 748,389 37.59 - 55.83 32,695,795 5.04 0.89 - 2.30 (5.77) - (4.29)
2007 654,278 39.89 - 58.33 30,160,113 2.44 0.89 - 2.30 3.70 - 5.35
2006 261,942 38.47 - 55.36 11,911,372 2.91 0.89 - 2.30 1.90 - 3.49
MSF BlackRock Large-Cap 2010 253,453 11.33 - 11.79 2,872,585 1.09 0.89 - 1.35 7.75 - 8.26
Value Sub-Account 2009 264,703 10.51 - 10.89 2,783,413 1.58 0.89 - 1.35 9.73 - 10.22
2008 257,240 9.58 - 9.88 2,464,834 0.86 0.89 - 1.35 (35.78) - (35.48)
2007 251,656 14.92 - 15.31 3,754,451 0.91 0.89 - 1.35 2.00 - 2.47
2006 154,904 14.62 - 14.94 2,265,770 1.04 0.89 - 1.35 17.73 - 18.27
MSF Barclays Capital Aggregate 2010 5,646,137 14.02 - 17.15 86,674,964 2.64 0.89 - 2.25 3.30 - 5.11
Bond Index Sub-Account 2009 2,010,364 13.73 - 16.32 29,893,966 3.64 0.89 - 2.15 2.27 - 4.24
2008 527,803 14.94 - 15.65 7,896,020 4.75 0.89 - 1.35 4.56 - 5.05
2007 436,992 14.29 - 14.90 6,246,008 4.31 0.89 - 1.35 5.43 - 5.92
2006 340,120 13.55 - 14.07 4,610,137 4.38 0.89 - 1.35 2.73 - 3.20
MSF MFS Value Sub-Account 2010 3,234,649 12.33 - 14.90 45,430,281 1.32 0.89 - 2.30 8.89 - 10.44
2009 2,664,361 11.22 - 13.56 33,984,060 -- 0.89 - 2.30 18.08 - 19.75
2008 2,080,451 9.41 - 11.38 22,207,620 1.81 0.89 - 2.30 (30.55) - (21.82)
2007 1,601,257 14.33 - 17.03 25,634,063 0.27 0.89 - 2.30 (5.09) - 6.03
2006 807,102 15.02 - 16.20 12,448,890 2.01 0.89 - 2.30 16.43 - 19.64
MSF Morgan Stanley EAFE Index 2010 4,636,491 11.54 - 14.17 58,834,689 2.24 0.89 - 2.15 5.47 - 7.24
Sub-Account 2009 2,230,107 10.94 - 13.21 27,098,496 3.30 0.89 - 2.15 26.95 - 35.25
2008 1,129,559 9.89 - 10.36 11,178,515 2.94 0.89 - 1.35 (42.86) - (42.60)
2007 1,079,041 17.30 - 18.05 18,684,621 1.93 0.89 - 1.35 9.32 - 9.83
2006 910,003 15.83 - 16.43 14,411,542 1.63 0.89 - 1.35 24.04 - 24.61
157
METLIFE INVESTORS USA SEPARATE ACCOUNT A
OF METLIFE INVESTORS USA INSURANCE COMPANY
NOTES TO THE FINANCIAL STATEMENTS -- (CONTINUED)
8. FINANCIAL HIGHLIGHTS -- (CONTINUED)
AS OF DECEMBER 31 FOR THE YEAR ENDED DECEMBER 31
---------------------------------------- --------------------------------------------------
UNIT VALUE INVESTMENT(1) EXPENSE RATIO(2) TOTAL RETURN(3)
LOWEST TO NET INCOME LOWEST TO LOWEST TO
UNITS HIGHEST ($) ASSETS ($) RATIO (%) HIGHEST (%) HIGHEST (%)
---------- ----------------- ----------- ------------- ---------------- -------------------
MSF MFS Total Return 2010 929,202 37.99 - 53.68 40,676,709 2.91 0.89 - 2.15 7.53 - 9.10
Sub-Account 2009 1,006,138 35.33 - 49.20 40,772,224 4.14 0.89 - 2.15 15.84 - 17.55
2008 977,440 30.49 - 41.85 34,110,264 3.52 0.89 - 2.30 (24.08) - (15.13)
2007 1,100,140 38.88 - 54.24 50,198,332 1.84 0.89 - 2.30 1.79 - 3.45
2006 647,027 38.20 - 52.44 29,037,432 1.84 0.89 - 2.30 9.43 - 11.22
MSF MetLife Mid Cap Stock 2010 3,443,301 15.77 - 18.85 59,472,935 0.76 0.89 - 2.20 23.19 - 25.17
Index Sub-Account 2009 1,692,693 12.86 - 15.06 23,983,061 1.55 0.89 - 2.15 28.41 - 35.78
2008 999,722 10.67 - 11.09 10,679,425 1.39 0.89 - 1.35 (37.03) - (36.74)
2007 886,564 16.94 - 17.54 15,036,423 0.79 0.89 - 1.35 6.33 - 6.82
2006 751,885 15.93 - 16.42 11,992,134 1.17 0.89 - 1.35 8.62 - 9.12
MSF Davis Venture Value 2010 46,415,423 11.87 - 37.27 606,785,200 0.87 0.89 - 2.35 9.22 - 11.01
Sub-Account 2009 41,123,511 10.86 - 33.58 487,864,492 1.37 0.89 - 2.35 28.77 - 30.82
2008 37,459,395 8.43 - 25.67 339,962,645 1.19 0.89 - 2.35 (40.87) - (38.31)
2007 39,936,774 14.23 - 42.70 599,873,294 0.67 0.89 - 2.35 1.99 - 3.65
2006 43,433,483 13.94 - 41.19 632,598,729 0.71 0.89 - 2.35 11.76 - 13.57
MSF Met/Artisan Mid Cap Value 2010 15,163,945 12.80 - 34.58 213,857,206 0.59 0.89 - 2.35 12.09 - 14.02
Sub-Account 2009 15,659,935 11.41 - 30.33 195,923,686 0.84 0.89 - 2.35 37.92 - 40.31
2008 16,302,851 8.27 - 21.61 146,716,944 0.06 0.89 - 2.35 (47.39) - (46.49)
2007 18,551,932 15.69 - 40.39 316,048,072 0.35 0.89 - 2.35 (9.25) - (7.67)
2006 21,686,262 17.28 - 43.74 402,048,625 0.11 0.89 - 2.35 9.58 - 11.46
MSF Jennison Growth 2010 20,230,170 2.57 - 12.42 243,817,657 0.38 1.30 - 2.35 8.74 - 10.07
Sub-Account 2009 17,375,446 2.33 - 11.31 190,651,501 -- 1.30 - 2.35 36.32 - 38.02
2008 14,090,231 1.69 - 8.21 112,407,198 2.13 1.30 - 2.35 (38.03) - (37.13)
2007 14,275,390 2.70 - 13.10 182,244,421 0.19 1.30 - 2.35 8.79 - 10.11
2006 15,655,366 2.45 - 11.92 182,151,002 -- 1.30 - 2.35 0.15 - 1.20
MSF BlackRock Money Market 2010 51,015,018 9.77 - 26.15 553,885,805 -- 0.95 - 2.35 (2.32) - (0.64)
Sub-Account 2009 54,211,009 9.99 - 26.46 576,532,284 0.25 1.00 - 2.35 (2.07) - (0.48)
2008 55,686,362 10.19 - 26.67 595,304,545 2.42 1.15 - 2.35 0.21 - 1.42
2007 22,951,175 10.16 - 25.09 241,601,183 4.74 1.15 - 2.35 2.37 - 3.61
2006 18,324,659 9.91 - 24.22 187,577,920 4.50 1.30 - 2.35 2.13 - 3.20
MSF T. Rowe Price Small Cap 2010 465,332 16.01 - 21.48 8,285,648 -- 0.89 - 2.30 31.60 - 33.71
Growth Sub-Account 2009 481,022 12.16 - 16.06 6,406,764 0.12 0.89 - 2.30 35.49 - 37.73
2008 332,266 8.98 - 11.66 3,243,702 -- 0.89 - 2.30 (37.08) - (34.32)
2007 77,656 16.25 - 18.44 1,279,290 -- 0.89 - 1.40 8.32 - 8.88
2006 73,595 15.00 - 16.94 1,115,539 -- 0.89 - 1.40 2.46 - 2.98
MSF Western Asset Management 2010 12,558,586 14.90 - 18.69 214,907,918 2.24 0.95 - 2.35 3.04 - 4.50
U. S. Government Sub-Account 2009 8,573,371 14.46 - 17.89 140,925,866 4.06 0.95 - 2.35 1.67 - 3.10
2008 5,356,593 14.23 - 17.35 85,351,962 3.54 0.95 - 2.35 (2.85) - (1.48)
2007 2,760,203 14.93 - 17.61 44,641,935 2.32 0.95 - 2.30 1.76 - 3.04
2006 1,527,142 14.41 - 16.38 24,039,423 1.66 1.30 - 2.35 1.51 - 2.58
MSF Oppenheimer Global Equity 2010 608,969 17.31 - 19.88 11,272,119 1.34 0.95 - 1.95 13.69 - 14.83
Sub-Account 2009 672,213 15.23 - 17.32 10,903,654 2.29 0.95 - 1.95 37.10 - 38.48
2008 671,786 11.17 - 12.50 7,900,093 1.77 0.95 - 1.90 (41.68) - (41.12)
2007 501,067 19.16 - 21.24 9,987,034 0.71 0.95 - 1.90 4.25 - 5.25
2006 195,337 18.38 - 19.12 3,691,502 0.20 1.50 - 1.90 14.17 - 14.62
158
METLIFE INVESTORS USA SEPARATE ACCOUNT A
OF METLIFE INVESTORS USA INSURANCE COMPANY
NOTES TO THE FINANCIAL STATEMENTS -- (CONTINUED)
8. FINANCIAL HIGHLIGHTS -- (CONTINUED)
AS OF DECEMBER 31 FOR THE YEAR ENDED DECEMBER 31
-------------------------------------- --------------------------------------------------
UNIT VALUE INVESTMENT(1) EXPENSE RATIO(2) TOTAL RETURN(3)
LOWEST TO NET INCOME LOWEST TO LOWEST TO
UNITS HIGHEST ($) ASSETS ($) RATIO (%) HIGHEST (%) HIGHEST (%)
--------- ----------------- ---------- ------------- ---------------- -------------------
MSF MetLife Aggressive 2010 180,144 10.59 - 11.02 1,960,648 1.05 1.55 - 2.25 13.12 - 13.92
Allocation Sub-Account 2009 169,980 9.36 - 9.67 1,636,073 2.18 1.55 - 2.25 28.57 - 29.46
(Commenced 5/1/2006) 2008 159,053 7.35 - 7.47 1,183,183 0.50 1.55 - 2.25 (41.78) - (41.37)
2007 189,794 12.50 - 12.74 2,403,475 0.05 1.55 - 2.25 0.96 - 1.67
2006 101,305 12.39 - 12.57 1,267,689 -- 1.40 - 2.25 11.82 - 12.78
MSF MetLife Conservative 2010 830,223 11.74 - 12.15 9,998,191 4.06 1.55 - 2.15 7.71 - 8.36
Allocation Sub-Account 2009 967,744 10.85 - 11.21 10,771,428 3.20 1.55 - 2.25 17.85 - 18.68
(Commenced 5/1/2006) 2008 602,771 9.24 - 9.44 5,653,460 0.85 1.55 - 2.15 (16.21) - (15.71)
2007 242,633 11.07 - 11.20 2,702,849 -- 1.55 - 2.00 3.47 - 3.94
2006 194,471 10.65 - 10.81 2,088,145 -- 1.40 - 2.25 3.88 - 4.76
MSF MetLife Conservative to 2010 782,775 11.60 - 11.97 9,257,856 3.38 1.55 - 2.10 9.21 - 9.81
Moderate Allocation 2009 836,071 10.62 - 10.90 9,016,185 3.07 1.55 - 2.10 21.11 - 21.78
Sub-Account 2008 664,967 8.77 - 8.95 5,902,351 1.05 1.55 - 2.10 (23.23) - (22.81)
(Commenced 5/1/2006) 2007 392,909 11.42 - 11.59 4,529,792 -- 1.55 - 2.10 2.62 - 3.19
2006 273,176 11.10 - 11.26 3,060,196 -- 1.40 - 2.25 6.08 - 6.98
MSF MetLife Moderate 2010 4,192,524 11.28 - 11.74 48,715,861 2.53 1.55 - 2.25 10.65 - 11.44
Allocation Sub-Account 2009 4,293,013 10.20 - 10.54 44,856,785 2.96 1.55 - 2.25 23.72 - 24.58
(Commenced 5/1/2006) 2008 4,259,716 8.24 - 8.46 35,786,827 0.77 1.55 - 2.25 (30.23) - (29.73)
2007 3,351,654 11.81 - 12.04 40,157,114 0.01 1.55 - 2.25 2.01 - 2.73
2006 1,554,946 11.58 - 11.75 18,172,533 -- 1.40 - 2.25 8.31 - 9.23
MSF MetLife Moderate to 2010 5,194,016 10.86 - 11.24 57,766,976 2.14 1.55 - 2.15 12.25 - 12.94
Aggressive Allocation 2009 5,328,120 9.67 - 9.95 52,562,753 2.53 1.55 - 2.15 26.35 - 27.11
Sub-Account 2008 5,745,796 7.65 - 7.83 44,674,622 0.61 1.55 - 2.25 (36.57) - (36.12)
(Commenced 5/1/2006) 2007 5,047,763 12.02 - 12.25 61,541,186 0.02 1.55 - 2.25 1.53 - 2.24
2006 1,876,875 11.84 - 12.01 22,426,140 -- 1.40 - 2.25 9.59 - 10.53
MSF T. Rowe Price Large Cap 2010 40,496 31.93 - 34.38 1,365,647 0.07 1.50 - 1.90 14.55 - 15.01
Growth Sub-Account 2009 39,614 27.87 - 29.90 1,161,818 0.32 1.50 - 1.90 40.35 - 40.91
(Commenced 4/28/2008) 2008 27,135 19.86 - 21.22 565,146 -- 1.50 - 1.90 (44.05) - (43.82)
MSF Loomis Sayles Small Cap 2010 214,307 30.76 - 36.95 7,224,075 -- 1.20 - 2.30 24.32 - 25.69
Core Sub-Account 2009 73,444 25.33 - 29.40 1,990,671 -- 1.20 - 2.15 27.16 - 28.38
(Commenced 7/14/2008) 2008 926 21.12 - 22.90 20,162 -- 1.20 - 1.75 (25.82) - (25.62)
MSF Neuberger Berman Mid Cap 2010 82,451 22.42 - 25.62 1,984,636 0.22 1.20 - 2.30 23.19 - 24.55
Value Sub-Account 2009 11,335 18.92 - 20.57 225,554 0.60 1.20 - 1.95 44.89 - 45.97
(Commenced 7/14/2008) 2008 1,374 13.33 - 14.09 18,573 -- 1.20 - 1.75 (40.64) - (40.49)
MSF Met/Dimensional 2010 2,082,274 16.89 - 17.28 35,750,236 1.30 1.30 - 2.35 19.74 - 21.01
International Small Company 2009 1,225,665 14.11 - 14.28 17,436,960 -- 1.30 - 2.35 39.40 - 40.87
Sub-Account 2008 12,651 10.12 - 10.14 128,139 -- 1.30 - 2.05 0.61 - 0.71
(Commenced 11/10/2008)
MSF Van Eck Global Natural 2010 3,967,225 18.49 - 18.86 74,371,723 0.25 1.30 - 2.20 26.22 - 27.36
Resources Sub-Account 2009 1,195,095 14.65 - 14.80 17,635,926 -- 1.30 - 2.20 35.00 - 35.82
(Commenced 5/4/2009)
Federated Capital Income 2010 2,848 4.87 13,858 0.22 1.40 7.87
Sub-Account
(Commenced 3/15/2010)
159
METLIFE INVESTORS USA SEPARATE ACCOUNT A
OF METLIFE INVESTORS USA INSURANCE COMPANY
NOTES TO THE FINANCIAL STATEMENTS -- (CONTINUED)
8. FINANCIAL HIGHLIGHTS -- (CONTINUED)
AS OF DECEMBER 31 FOR THE YEAR ENDED DECEMBER 31
--------------------------------------- --------------------------------------------------
UNIT VALUE INVESTMENT(1) EXPENSE RATIO(2) TOTAL RETURN(3)
LOWEST TO NET INCOME LOWEST TO LOWEST TO
UNITS HIGHEST ($) ASSETS ($) RATIO (%) HIGHEST (%) HIGHEST (%)
--------- ----------------- ----------- ------------- ---------------- -------------------
Federated High Income Bond 2010 3,566 8.31 29,620 7.89 1.40 13.13
Sub-Account 2009 3,582 7.34 26,300 8.35 1.40 50.72
2008 10,612 4.87 51,695 10.07 1.40 (27.03)
2007 18,999 6.68 126,835 7.93 1.40 1.98
2006 20,273 6.55 132,703 8.52 1.40 9.27
Federated Kaufman Sub-Account 2010 14,184 5.63 79,874 -- 1.40 13.09
(Commenced 3/15/2010)
Neuberger Berman Genesis 2010 571 15.16 8,663 -- 0.89 20.30
Sub-Account 2009 697 12.60 8,785 -- 0.89 25.13
2008 809 10.07 8,146 3.68 0.89 (33.45)
2007 927 15.13 14,022 0.14 0.89 20.72
2006 1,051 12.53 13,167 1.05 0.89 6.31
Alger Small Cap Growth 2010 5,634,931 10.28 - 10.44 58,325,342 -- 1.25 - 1.40 23.54 - 23.73
Sub-Account 2009 6,156,883 8.32 - 8.44 51,552,207 -- 1.25 - 1.40 43.49 - 43.70
2008 6,485,576 5.80 - 5.87 37,826,339 -- 1.25 - 1.40 (47.35) - (47.27)
2007 7,147,895 11.01 - 11.13 79,134,670 -- 1.25 - 1.40 15.60 - 15.78
2006 7,749,990 9.53 - 9.61 74,178,889 -- 1.25 - 1.40 18.35 - 18.53
T. Rowe Price Growth Stock 2010 85,875 83.50 7,170,858 0.06 0.89 15.89
Sub-Account 2009 97,059 72.05 6,993,261 0.21 0.89 41.98
2008 104,973 50.75 5,327,165 0.40 0.89 (42.77)
2007 118,255 88.67 10,486,221 0.60 0.89 9.38
2006 128,359 81.07 10,405,667 0.62 0.89 5.62
T. Rowe Price International Stock 2010 68,117 13.68 932,126 1.13 0.89 13.46
Sub-Account 2009 72,797 12.06 877,970 2.49 0.89 50.86
2008 76,425 7.99 610,995 1.51 0.89 (48.48)
2007 87,971 15.52 1,365,106 1.62 0.89 12.42
2006 96,658 13.80 1,334,230 1.20 0.89 18.21
T. Rowe Price Prime Reserve 2010 70,013 18.06 1,264,618 0.01 0.89 (0.87)
Sub-Account 2009 76,856 18.22 1,400,475 0.22 0.89 (0.70)
2008 120,897 18.35 2,218,473 2.47 0.89 1.64
2007 96,955 18.05 1,750,411 4.77 0.89 3.94
2006 87,463 17.37 1,519,155 4.55 0.89 3.64
Janus Aspen Worldwide 2010 901 7.22 6,506 0.61 0.89 14.80
Sub-Account 2009 999 6.29 6,285 1.43 0.89 36.49
2008 1,089 4.61 5,018 1.21 0.89 (45.15)
2007 1,182 8.40 9,932 0.76 0.89 8.65
2006 1,276 7.73 9,873 1.77 0.89 17.16
American Funds Global Small 2010 2,578,008 29.19 - 33.17 80,582,925 1.75 0.89 - 1.90 20.11 - 21.33
Capitalization Sub-Account 2009 2,262,060 24.30 - 27.34 58,608,602 0.31 0.89 - 1.90 58.26 - 59.86
2008 1,683,911 15.35 - 17.10 27,428,704 -- 0.89 - 1.90 (54.33) - (49.46)
2007 985,561 34.16 - 37.13 35,036,450 2.98 0.89 - 1.75 19.31 - 20.35
2006 666,735 29.64 - 30.85 19,777,453 0.46 0.89 - 1.35 22.39 - 22.96
American Funds Growth 2010 3,717,676 123.22 - 180.08 568,813,924 0.77 0.89 - 2.30 15.98 - 17.63
Sub-Account 2009 3,225,880 106.24 - 153.09 419,749,811 0.71 0.89 - 2.30 36.24 - 38.18
2008 2,453,157 77.98 - 110.79 231,101,074 1.04 0.89 - 2.30 (45.25) - (44.47)
2007 1,458,315 142.42 - 199.51 245,762,919 0.98 0.89 - 2.30 9.78 - 11.35
2006 729,519 129.74 - 179.18 111,503,370 1.17 0.89 - 2.30 7.72 - 9.24
160
METLIFE INVESTORS USA SEPARATE ACCOUNT A
OF METLIFE INVESTORS USA INSURANCE COMPANY
NOTES TO THE FINANCIAL STATEMENTS -- (CONTINUED)
8. FINANCIAL HIGHLIGHTS -- (CONTINUED)
AS OF DECEMBER 31 FOR THE YEAR ENDED DECEMBER 31
--------------------------------------- --------------------------------------------------
UNIT VALUE INVESTMENT(1) EXPENSE RATIO(2) TOTAL RETURN(3)
LOWEST TO NET INCOME LOWEST TO LOWEST TO
UNITS HIGHEST ($) ASSETS ($) RATIO (%) HIGHEST (%) HIGHEST (%)
--------- ----------------- ----------- ------------- ---------------- -------------------
American Funds Growth--Income 2010 2,639,070 82.11 - 119.99 266,511,951 1.55 0.89 - 2.30 8.90 - 10.44
Sub-Account 2009 2,398,146 75.40 - 108.65 219,689,912 1.74 0.89 - 2.30 28.26 - 30.08
2008 1,942,091 58.79 - 83.53 136,811,504 2.00 0.89 - 2.30 (39.27) - (38.40)
2007 1,369,874 96.80 - 135.60 156,224,069 1.92 0.89 - 2.30 2.64 - 4.11
2006 687,630 94.31 - 130.25 76,344,065 2.27 0.89 - 2.30 12.59 - 14.18
American Funds Global Growth 2010 7,470,107 24.36 - 29.30 202,441,649 1.56 0.95 - 2.30 9.21 - 10.69
Sub-Account 2009 6,579,263 22.30 - 26.47 161,438,857 1.51 0.95 - 2.30 39.07 - 40.96
2008 5,818,048 16.04 - 18.78 101,450,809 2.17 0.95 - 2.30 (39.80) - (38.97)
2007 3,676,314 26.64 - 30.77 104,847,881 3.27 0.95 - 2.30 12.22 - 13.76
2006 1,374,016 23.74 - 25.90 34,540,668 0.78 1.40 - 2.30 17.70 - 18.76
American Funds Bond 2010 5,183,483 15.43 - 17.57 86,203,052 3.44 0.95 - 1.90 4.44 - 5.44
Sub-Account 2009 3,608,245 14.77 - 16.66 57,212,613 3.86 0.95 - 1.90 10.49 - 11.54
(Commenced 6/1/2007) 2008 1,887,421 13.37 - 14.94 27,017,111 9.06 0.95 - 1.90 (11.06) - (10.21)
2007 413,860 15.27 - 16.64 6,639,941 8.01 0.95 - 1.75 0.28 - 2.19
FTVIPT Mutual Shares Securities 2010 5,431,435 19.07 - 21.81 110,507,146 1.62 0.95 - 1.90 9.10 - 10.14
Sub-Account 2009 4,784,657 17.47 - 19.80 88,554,450 2.02 0.95 - 1.90 23.67 - 24.86
2008 3,944,854 14.13 - 15.86 58,571,142 3.27 0.95 - 1.90 (38.30) - (37.71)
2007 3,006,411 22.90 - 25.46 71,392,728 1.37 0.95 - 1.90 1.52 - 2.50
2006 1,273,727 22.56 - 23.49 29,530,718 0.99 1.50 - 1.90 16.16 - 16.62
FTVIPT Templeton Foreign 2010 2,782,005 13.20 - 30.95 79,683,759 1.88 1.55 - 2.30 5.94 - 6.74
Securities Sub-Account 2009 2,655,441 12.40 - 29.04 70,515,555 3.05 1.55 - 2.30 33.93 - 34.94
2008 2,485,260 9.21 - 21.55 48,551,609 2.33 1.55 - 2.30 (41.74) - (41.30)
2007 1,778,828 15.73 - 36.77 56,498,732 1.81 1.55 - 2.30 12.82 - 13.67
2006 946,611 13.88 - 32.88 24,137,809 1.33 1.40 - 2.30 18.69 - 19.76
FTVIPT Templeton Growth 2010 3,450,327 10.62 - 15.34 45,199,211 1.38 0.95 - 1.90 5.38 - 6.37
Securities Sub-Account 2009 3,416,400 10.05 - 14.52 42,694,521 3.11 0.95 - 1.90 28.64 - 29.86
2008 2,828,128 7.79 - 11.26 27,929,783 1.79 0.95 - 1.90 (43.41) - (42.87)
2007 2,063,301 13.72 - 19.85 38,096,365 1.31 0.95 - 1.90 0.41 - 1.37
2006 784,417 18.41 - 19.72 15,182,959 0.76 1.50 - 1.90 19.52 - 20.00
FTVIPT Franklin Income 2010 3,722,732 39.56 - 52.61 176,548,647 6.60 0.95 - 2.25 10.17 - 11.61
Securities Sub-Account 2009 3,157,996 35.91 - 47.14 134,091,525 8.01 0.95 - 2.25 32.58 - 34.31
2008 2,613,572 27.09 - 35.10 82,449,457 5.48 0.95 - 2.25 (31.23) - (30.32)
2007 1,974,360 39.38 - 50.37 88,519,218 3.16 0.95 - 2.25 1.44 - 2.77
2006 664,025 38.83 - 45.21 28,820,820 2.35 1.40 - 2.25 15.62 - 16.60
FTVIPT Templeton Global Bond 2010 4,997,591 16.79 - 18.48 88,294,177 1.36 0.95 - 1.75 12.46 - 13.36
Securities Sub-Account 2009 2,853,081 14.93 - 16.31 44,636,060 14.21 0.95 - 1.75 16.62 - 17.56
(Commenced 6/1/2007) 2008 1,462,599 12.80 - 13.87 19,575,877 3.50 0.95 - 1.75 4.36 - 5.20
2007 318,925 12.27 - 13.18 4,080,871 0.01 0.95 - 1.75 3.66 - 9.78
FTVIPT Franklin Small Cap 2010 3,178,430 9.21 - 9.48 29,718,643 0.73 0.95 - 1.75 26.00 - 27.01
Value Securities Sub-Account 2009 1,787,114 7.31 - 7.46 13,205,263 1.66 0.95 - 1.75 26.91 - 27.94
(Commenced 6/1/2007) 2008 856,253 5.76 - 5.83 4,965,586 1.04 0.95 - 1.75 (34.18) - (33.65)
2007 251,664 8.75 - 8.79 2,208,487 -- 0.95 - 1.75 (14.60) - (3.45)
UIF U.S Real Estate Sub-Account 2010 2,327,750 23.50 - 49.52 68,963,648 2.15 0.95 - 1.90 27.52 - 28.73
2009 2,542,094 18.43 - 38.47 56,466,102 3.31 0.95 - 1.90 25.93 - 27.14
2008 2,248,952 14.64 - 30.26 38,153,749 3.39 0.95 - 1.90 (39.07) - (38.49)
2007 2,043,530 24.02 - 49.19 52,908,525 2.27 0.95 - 1.90 (18.64) - (17.86)
2006 928,174 29.52 - 30.20 27,806,209 0.66 1.50 - 1.90 35.46 - 36.00
161
METLIFE INVESTORS USA SEPARATE ACCOUNT A
OF METLIFE INVESTORS USA INSURANCE COMPANY
NOTES TO THE FINANCIAL STATEMENTS -- (CONTINUED)
8. FINANCIAL HIGHLIGHTS -- (CONTINUED)
AS OF DECEMBER 31 FOR THE YEAR ENDED DECEMBER 31
-------------------------------------- --------------------------------------------------
UNIT VALUE INVESTMENT(1) EXPENSE RATIO(2) TOTAL RETURN(3)
LOWEST TO NET INCOME LOWEST TO LOWEST TO
UNITS HIGHEST ($) ASSETS ($) RATIO (%) HIGHEST (%) HIGHEST (%)
--------- ----------------- ---------- ------------- ---------------- -------------------
Pioneer VCT Bond Sub-Account 2010 196,849 12.11 - 12.40 2,417,734 4.70 1.20 - 1.95 6.84 - 7.64
(Commenced 7/14/2008) 2009 193,471 11.33 - 11.52 2,213,875 5.14 1.20 - 1.95 15.02 - 15.89
2008 8,267 9.87 - 9.94 82,002 1.64 1.20 - 1.75 (3.38) - (3.13)
Pioneer VCT Cullen Value 2010 243,744 8.83 - 9.11 2,192,843 0.58 1.20 - 1.95 7.15 - 7.96
Sub-Account 2009 223,412 8.19 - 8.44 1,867,892 0.70 1.20 - 2.15 13.26 - 14.34
(Commenced 7/14/2008) 2008 21,316 7.29 - 7.38 156,566 -- 1.20 - 1.75 (21.91) - (21.71)
Pioneer VCT Emerging Markets 2010 62,764 18.70 - 20.26 1,212,537 0.32 1.20 - 1.95 13.38 - 14.23
Sub-Account 2009 60,035 16.18 - 17.74 1,020,914 0.63 1.20 - 2.15 70.32 - 71.96
(Commenced 7/14/2008) 2008 4,387 9.83 - 10.32 43,804 -- 1.20 - 1.75 (50.82) - (50.69)
Pioneer VCT Equity Income 2010 18,868 19.24 - 20.95 375,754 2.07 1.20 - 1.95 16.93 - 17.81
Sub-Account 2009 20,833 16.12 - 17.79 354,460 3.38 1.20 - 2.15 11.47 - 12.53
(Commenced 7/14/2008) 2008 2,134 15.01 - 15.22 32,445 0.69 1.60 - 1.75 (22.10) - (22.05)
Pioneer VCT Fund Sub-Account 2010 26,813 9.18 - 9.95 261,705 1.12 1.20 - 1.95 13.50 - 14.34
(Commenced 7/14/2008) 2009 26,714 8.09 - 8.70 228,777 1.60 1.20 - 1.95 22.50 - 23.42
2008 5,631 6.72 - 7.05 39,673 0.69 1.20 - 1.75 (24.80) - (24.61)
Pioneer VCT Ibbotson Growth 2010 1,275,136 14.95 - 15.62 19,386,421 1.88 1.20 - 1.95 12.55 - 13.39
Allocation Sub-Account 2009 1,257,274 13.28 - 13.78 16,934,322 2.87 1.20 - 1.95 30.11 - 31.09
(Commenced 7/14/2008) 2008 346,884 10.21 - 10.51 3,587,235 -- 1.20 - 1.95 (27.48) - (27.22)
Pioneer VCT Ibbotson Moderate 2010 1,833,743 14.43 - 15.31 27,517,066 2.53 1.20 - 2.20 11.44 - 12.56
Allocation Sub-Account 2009 1,818,031 12.95 - 13.60 24,317,338 3.10 1.20 - 2.20 28.59 - 29.89
(Commenced 7/14/2008) 2008 109,195 10.23 - 10.47 1,127,161 -- 1.20 - 1.80 (24.71) - (24.50)
Pioneer VCT Mid Cap Value 2010 1,493,349 28.81 - 33.76 46,621,818 0.87 0.95 - 1.95 15.62 - 16.78
Sub-Account 2009 1,309,529 24.92 - 28.91 35,037,503 1.29 0.95 - 1.95 22.85 - 24.08
2008 1,105,223 20.42 - 23.30 23,891,796 0.87 0.95 - 1.90 (35.01) - (34.39)
2007 813,072 31.43 - 35.50 26,728,784 0.54 0.95 - 1.90 3.35 - 4.34
2006 262,287 30.41 - 31.88 8,219,057 -- 1.50 - 1.90 10.16 - 10.60
Pioneer VCT Real Estate Shares 2010 12,983 17.38 - 18.80 234,208 2.42 1.20 - 1.95 26.06 - 27.01
Sub-Account 2009 16,034 13.78 - 14.80 228,918 4.81 1.20 - 1.95 29.02 - 29.98
(Commenced 7/14/2008) 2008 3,001 10.87 - 11.38 33,133 1.71 1.20 - 1.75 (32.64) - (32.47)
LMPVET ClearBridge Variable 2010 2,149,625 13.62 - 18.28 33,662,804 -- 0.95 - 2.30 22.34 - 24.00
Small Cap Growth Sub-Account 2009 1,757,714 11.13 - 14.74 21,966,842 -- 0.95 - 2.30 39.53 - 41.42
2008 1,214,861 7.98 - 10.42 10,577,679 -- 0.95 - 2.30 (42.06) - (41.27)
2007 754,675 13.77 - 17.53 10,904,358 -- 1.10 - 2.30 7.50 - 8.80
2006 325,638 12.81 - 13.36 4,282,564 0.46 1.40 - 2.30 10.21 - 11.20
LMPVET ClearBridge Variable 2010 194,899 13.09 - 14.51 2,729,796 3.02 1.50 - 2.30 6.98 - 7.83
Large Cap Value Sub-Account 2009 196,692 12.23 - 13.45 2,559,454 1.95 1.50 - 2.30 21.66 - 22.65
2008 188,889 10.05 - 10.97 2,012,063 1.09 1.50 - 2.30 (37.09) - (36.59)
2007 279,645 15.98 - 17.30 4,699,165 1.52 1.50 - 2.30 1.53 - 2.35
2006 130,370 15.74 - 17.05 2,127,448 2.98 1.40 - 2.30 15.58 - 16.62
LMPVET ClearBridge Variable 2010 3,100,875 27.97 - 35.07 99,528,233 1.79 0.95 - 2.30 13.96 - 15.50
Fundamental All Cap Value 2009 2,989,079 24.54 - 30.36 83,258,408 1.44 0.95 - 2.30 26.41 - 28.14
Sub-Account 2008 2,724,852 19.41 - 23.70 59,326,416 1.83 0.95 - 2.30 (38.03) - (37.18)
2007 2,440,021 31.33 - 37.72 84,463,307 1.55 0.95 - 2.30 (1.05) - (0.31)
2006 1,257,495 31.66 - 35.61 43,419,332 3.96 1.40 - 2.30 14.15 - 15.18
162
METLIFE INVESTORS USA SEPARATE ACCOUNT A
OF METLIFE INVESTORS USA INSURANCE COMPANY
NOTES TO THE FINANCIAL STATEMENTS -- (CONTINUED)
8. FINANCIAL HIGHLIGHTS -- (CONTINUED)
AS OF DECEMBER 31 FOR THE YEAR ENDED DECEMBER 31
---------------------------------------- --------------------------------------------------
UNIT VALUE INVESTMENT(1) EXPENSE RATIO(2) TOTAL RETURN(3)
LOWEST TO NET INCOME LOWEST TO LOWEST TO
UNITS HIGHEST ($) ASSETS ($) RATIO (%) HIGHEST (%) HIGHEST (%)
---------- ----------------- ----------- ------------- ---------------- -------------------
LMPVET ClearBridge Variable 2010 5,515,253 26.87 - 34.42 173,626,503 1.83 0.95 - 2.30 10.07 - 11.56
Appreciation Sub-Account 2009 4,134,838 24.41 - 30.85 116,657,409 2.45 0.95 - 2.30 19.34 - 20.96
2008 3,070,482 11.00 - 25.50 70,122,225 1.44 0.95 - 2.30 (31.05) - (29.98)
2007 2,591,844 15.95 - 36.42 83,497,462 1.37 0.95 - 2.30 1.22 - 7.39
2006 1,236,956 27.95 - 32.05 38,211,834 2.66 1.40 - 2.30 12.19 - 13.21
LMPVET ClearBridge Variable 2010 11,742,971 8.92 - 14.87 156,471,918 0.15 0.95 - 2.30 22.17 - 23.83
Aggressive Growth 2009 11,503,827 7.29 - 12.01 123,705,924 -- 0.95 - 2.30 31.51 - 33.30
Sub-Account 2008 10,751,677 7.58 - 9.01 86,704,540 -- 0.95 - 2.30 (41.77) - (40.97)
2007 9,406,900 13.02 - 15.26 127,959,661 -- 0.95 - 2.30 (0.82) - 0.54
2006 5,468,811 13.12 - 13.68 73,942,504 -- 1.40 - 2.30 6.32 - 7.28
LMPVET ClearBridge Variable 2010 459,350 12.35 - 13.67 6,065,533 0.11 1.50 - 2.30 7.34 - 8.19
Large Cap Growth 2009 557,417 11.50 - 12.63 6,818,703 0.27 1.50 - 2.30 39.14 - 40.27
Sub-Account 2008 629,993 8.27 - 9.01 5,503,740 0.26 1.50 - 2.30 (38.72) - (38.23)
2007 699,543 13.49 - 14.58 9,921,012 0.05 1.50 - 2.30 2.90 - 3.73
2006 433,171 13.11 - 14.18 5,945,005 0.30 1.40 - 2.30 2.22 - 3.15
LMPVET Investment Counsel 2010 17,424 27.81 - 29.97 510,680 1.24 1.50 - 1.90 10.04 - 10.48
Variable Social Awareness 2009 19,412 25.28 - 27.12 515,712 1.43 1.50 - 1.90 20.53 - 21.01
Sub-Account 2008 25,775 20.97 - 22.41 567,901 2.05 1.50 - 1.90 (26.61) - (26.32)
2007 19,022 28.57 - 30.42 565,965 1.84 1.50 - 1.90 8.80 - 9.24
2006 10,361 26.26 - 27.85 281,509 1.25 1.50 - 1.90 5.67 - 6.09
LMPVET ClearBridge Variable 2010 6,778,039 10.29 - 13.39 81,006,913 4.09 0.95 - 1.90 10.01 - 11.06
Equity Income Builder 2009 6,144,958 9.34 - 12.06 64,946,351 3.37 0.95 - 1.90 20.32 - 21.47
Sub-Account 2008 5,136,303 7.74 - 9.92 43,322,014 1.13 0.95 - 1.90 (36.25) - (35.58)
2007 4,737,273 12.15 - 15.28 59,957,587 1.99 1.10 - 1.90 0.27 - 5.14
2006 154,474 14.18 - 14.70 2,252,417 2.55 1.40 - 2.25 9.67 - 10.61
LMPVET ClearBridge Variable 2010 369,866 13.75 - 14.69 5,296,139 0.80 1.50 - 2.30 10.10 - 10.99
Capital Sub-Account 2009 422,476 12.49 - 13.23 5,469,899 0.64 1.50 - 2.30 37.07 - 38.16
2008 459,735 9.11 - 9.58 4,320,213 0.05 1.50 - 2.30 (43.46) - (43.00)
2007 542,230 16.11 - 16.80 8,963,789 0.52 1.50 - 2.30 (0.48) - 0.32
2006 284,789 16.19 - 16.82 4,710,142 0.93 1.40 - 2.30 11.04 - 12.04
LMPVET ClearBridge Variable 2010 641,516 8.57 - 9.38 5,852,267 2.89 1.50 - 2.30 9.36 - 10.23
Dividend Strategy Sub-Account 2009 709,577 7.83 - 8.51 5,884,519 2.01 1.50 - 2.30 19.30 - 20.26
2008 798,585 6.57 - 7.07 5,522,751 2.77 1.50 - 2.30 (30.21) - (29.65)
2007 834,706 9.41 - 10.05 8,243,529 2.90 1.50 - 2.30 4.02 - 4.86
2006 321,925 9.04 - 9.59 3,032,256 5.84 1.50 - 2.30 15.26 - 16.18
LMPVET Variable Lifestyle 2010 769,522 16.05 - 17.94 13,086,823 4.10 1.10 - 1.90 6.21 - 12.65
Allocation 50% Sub-Account 2009 487,451 14.30 - 15.06 7,231,568 5.06 1.50 - 1.90 29.83 - 30.35
2008 567,873 11.02 - 11.55 6,471,351 3.50 1.50 - 1.90 (28.71) - (28.42)
2007 590,437 15.45 - 16.14 9,409,255 5.14 1.50 - 1.90 1.26 - 1.67
2006 177,614 13.97 - 15.88 2,794,996 5.99 1.50 - 1.90 6.19 - 6.61
LMPVET Variable Lifestyle 2010 236,121 13.81 - 14.60 3,395,287 2.04 1.50 - 1.90 12.84 - 13.30
Allocation 70% Sub-Account 2009 271,548 12.24 - 12.89 3,447,350 3.60 1.50 - 1.90 30.41 - 30.93
2008 280,357 9.39 - 9.84 2,719,047 2.51 1.50 - 1.90 (34.04) - (33.77)
2007 250,067 14.23 - 14.86 3,668,950 4.65 1.50 - 1.90 1.87 - 2.28
2006 23,381 13.97 - 14.53 336,900 3.81 1.50 - 1.90 6.81 - 7.24
163
METLIFE INVESTORS USA SEPARATE ACCOUNT A
OF METLIFE INVESTORS USA INSURANCE COMPANY
NOTES TO THE FINANCIAL STATEMENTS -- (CONCLUDED)
8. FINANCIAL HIGHLIGHTS -- (CONCLUDED)
AS OF DECEMBER 31 FOR THE YEAR ENDED DECEMBER 31
------------------------------------- --------------------------------------------------
UNIT VALUE INVESTMENT(1) EXPENSE RATIO(2) TOTAL RETURN(3)
LOWEST TO NET INCOME LOWEST TO LOWEST TO
UNITS HIGHEST ($) ASSETS ($) RATIO (%) HIGHEST (%) HIGHEST (%)
--------- ----------------- ---------- ------------- ---------------- -------------------
LMPVET VariableLifestyle 2010 4,289,092 13.41 - 15.30 62,035,149 1.73 0.95 - 1.90 13.52 - 14.60
Allocation 85% Sub-Account 2009 3,756,486 11.81 - 13.35 47,576,561 2.64 0.95 - 1.90 29.99 - 31.22
2008 2,668,230 9.09 - 10.18 25,875,933 2.50 0.95 - 1.90 (38.60) - (38.01)
2007 1,057,927 14.80 - 16.41 16,581,727 5.12 0.95 - 1.90 1.41 - 2.38
2006 21,392 14.59 - 15.18 320,998 1.97 1.50 - 1.90 7.41 - 7.84
LMPVIT Western Asset Variable 2010 218,369 9.50 - 9.93 2,149,943 1.09 1.50 - 2.10 6.93 - 7.56
Adjustable Rate Income 2009 231,438 8.89 - 9.23 2,121,940 1.94 1.50 - 2.10 14.97 - 15.66
Sub-Account 2008 225,349 7.73 - 7.98 1,788,239 4.30 1.50 - 2.10 (22.82) - (22.35)
2007 310,564 10.02 - 10.28 3,178,900 5.20 1.50 - 2.10 (0.76) - (0.16)
2006 216,326 10.04 - 10.33 2,220,514 11.96 1.40 - 2.25 1.79 - 2.66
LMPVIT Western Asset Variable 2010 3,170,899 17.44 - 20.70 61,092,507 9.47 0.95 - 2.30 12.31 - 13.83
Global High Yield Bond 2009 2,845,850 15.53 - 18.18 48,249,580 11.34 0.95 - 2.30 52.02 - 54.08
Sub-Account 2008 2,664,258 10.21 - 11.80 29,373,023 11.01 0.95 - 2.30 (32.40) - (31.48)
2007 2,527,054 15.11 - 16.97 40,738,484 9.95 1.10 - 2.30 (2.35) - (1.17)
2006 1,039,676 15.48 - 16.73 16,994,644 15.93 1.40 - 2.30 8.13 - 9.11
(1) These amounts represent the dividends, excluding distributions of capital
gains, received by the Sub-Account from the underlying portfolio, series, or
fund, net of management fees assessed by the fund manager, divided by the
average net assets. These ratios exclude those expenses, such as mortality and
expense risk charges, that are assessed against the contract owner accounts
either through reductions in the unit values or the redemption of units. The
recognition of investment income by the Sub-Account is affected by the timing
of the declaration of dividends by the underlying portfolio, series, or fund in
which the Sub-Account invests.
(2) These amounts represent annualized contract expenses of each of the
applicable Sub-Accounts, consisting primarily of mortality and expense risk
charges, for each period indicated. The ratios include only those expenses that
result in a direct reduction to unit values. Charges made directly to contract
owner accounts through the redemption of units and expenses of the underlying
portfolio, series, or fund have been excluded.
(3) These amounts represent the total return for the period indicated,
including changes in the value of the underlying portfolio, series, or fund,
and expenses assessed through the reduction of unit values. These ratios do
not include any expenses assessed through the redemption of units. The total
return is calculated for each period indicated or from the effective date
through the end of the reporting period. The total return is presented as a
range of minimum to maximum returns, based on minimum and maximum returns
within each product grouping of the applicable Sub-Account.
164
METLIFE INVESTORS USA INSURANCE COMPANY
Consolidated Financial Statements
As of December 31, 2010 and 2009 and for the Years Ended December 31, 2010,
2009 and 2008 and Report of Independent Registered Public Accounting Firm
REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM
To the Board of Directors and Stockholder of
MetLife Investors USA Insurance Company:
We have audited the accompanying consolidated balance sheets of MetLife
Investors USA Insurance Company and its subsidiary (the "Company") as of
December 31, 2010 and 2009, and the related consolidated statements of
operations, stockholder's equity, and cash flows for each of the three years in
the period ended December 31, 2010. These consolidated financial statements are
the responsibility of the Company's management. Our responsibility is to
express an opinion on these consolidated financial statements based on our
audits.
We conducted our audits in accordance with the standards of the Public Company
Accounting Oversight Board (United States). Those standards require that we
plan and perform the audit to obtain reasonable assurance about whether the
financial statements are free of material misstatement. The Company is not
required to have, nor were we engaged to perform, an audit of its internal
control over financial reporting. Our audits included consideration of internal
control over financial reporting as a basis for designing audit procedures that
are appropriate in the circumstances, but not for the purpose of expressing an
opinion on the effectiveness of the Company's internal control over financial
reporting. Accordingly, we express no such opinion. An audit also includes
examining, on a test basis, evidence supporting the amounts and disclosures in
the financial statements, assessing the accounting principles used and
significant estimates made by management, as well as evaluating the overall
financial statement presentation. We believe that our audits provide a
reasonable basis for our opinion.
In our opinion, such consolidated financial statements present fairly, in all
material respects, the financial position of MetLife Investors USA Insurance
Company and its subsidiary as of December 31, 2010 and 2009, and the results of
their operations and their cash flows for each of the three years in the period
ended December 31, 2010, in conformity with accounting principles generally
accepted in the United States of America.
As discussed in Note 1, the Company changed its method of accounting for the
recognition and presentation of other-than-temporary impairment losses for
certain investments as required by accounting guidance adopted on April 1, 2009
and changed its method of accounting for certain assets and liabilities to a
fair value measurement approach as required by accounting guidance adopted on
January 1, 2008.
/s/ DELOITTE & TOUCHE LLP
Certified Public Accountants
Tampa, Florida
April 19, 2011
1
METLIFE INVESTORS USA INSURANCE COMPANY
(A Wholly-Owned Subsidiary of MetLife Insurance Company of Connecticut)
CONSOLIDATED BALANCE SHEETS
DECEMBER 31, 2010 AND 2009
(IN MILLIONS, EXCEPT SHARE AND PER SHARE DATA)
2010 2009
------- -------
ASSETS
Investments:
Fixed maturity securities available-for-sale, at estimated fair value (amortized cost: $8,350 and
$7,842, respectively)............................................................................. $ 8,676 $ 7,805
Equity securities available-for-sale, at estimated fair value (cost: $3 and $4, respectively)...... 3 3
Mortgage loans (net of valuation allowances of $12 and $3, respectively)........................... 1,175 605
Policy loans....................................................................................... 64 50
Real estate joint ventures......................................................................... 30 29
Other limited partnership interests................................................................ 456 282
Short-term investments, principally at estimated fair value........................................ 113 835
Other invested assets, principally at estimated fair value......................................... 215 37
------- -------
Total investments................................................................................ 10,732 9,646
Cash and cash equivalents............................................................................ 240 412
Accrued investment income............................................................................ 105 84
Premiums, reinsurance and other receivables.......................................................... 9,778 6,972
Deferred policy acquisition costs.................................................................... 2,965 2,554
Current income tax recoverable....................................................................... 25 --
Other assets......................................................................................... 728 680
Separate account assets.............................................................................. 42,435 29,958
------- -------
Total assets..................................................................................... $67,008 $50,306
======= =======
LIABILITIES AND STOCKHOLDER'S EQUITY
LIABILITIES
Future policy benefits............................................................................... $ 2,092 $ 1,444
Policyholder account balances........................................................................ 11,197 10,377
Other policy-related balances........................................................................ 2,120 1,817
Payables for collateral under securities loaned and other transactions............................... 1,246 1,607
Long-term debt....................................................................................... 45 --
Current income tax payable........................................................................... -- 17
Deferred income tax liability........................................................................ 580 400
Other liabilities.................................................................................... 3,601 1,428
Separate account liabilities......................................................................... 42,435 29,958
------- -------
Total liabilities................................................................................ 63,316 47,048
------- -------
CONTINGENCIES, COMMITMENTS AND GUARANTEES (NOTE 10)
STOCKHOLDER'S EQUITY
Preferred stock, par value $1.00 per share; 200,000 shares authorized, issued and outstanding........ -- --
Common stock, par value $200.00 per share; 15,000 shares authorized; 11,000 shares issued and
outstanding......................................................................................... 2 2
Additional paid-in capital........................................................................... 2,520 2,520
Retained earnings.................................................................................... 1,063 771
Accumulated other comprehensive income (loss)........................................................ 107 (35)
------- -------
Total stockholder's equity....................................................................... 3,692 3,258
------- -------
Total liabilities and stockholder's equity....................................................... $67,008 $50,306
======= =======
SEE ACCOMPANYING NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS.
2
METLIFE INVESTORS USA INSURANCE COMPANY
(A Wholly-Owned Subsidiary of MetLife Insurance Company of Connecticut)
CONSOLIDATED STATEMENTS OF OPERATIONS
FOR THE YEARS ENDED DECEMBER 31, 2010, 2009 AND 2008
(IN MILLIONS)
2010 2009 2008
------ ------ ------
REVENUES
Premiums............................................................................ $ 357 $ 393 $ 144
Universal life and investment-type product policy fees.............................. 991 745 634
Net investment income............................................................... 520 349 253
Other revenues...................................................................... 302 237 127
Net investment gains (losses):
Other-than-temporary impairments on fixed maturity securities...................... (9) (18) (16)
Other-than-temporary impairments on fixed maturity securities transferred to other
comprehensive income (loss)...................................................... 5 5 --
Other net investment gains (losses)................................................ 19 (11) (20)
------ ------ ------
Total net investment gains (losses).............................................. 15 (24) (36)
Net derivative gains (losses)....................................................... 115 (603) 819
------ ------ ------
Total revenues................................................................... 2,300 1,097 1,941
------ ------ ------
EXPENSES
Policyholder benefits and claims.................................................... 486 457 384
Interest credited to policyholder account balances.................................. 413 409 249
Other expenses...................................................................... 1,024 613 812
------ ------ ------
Total expenses................................................................... 1,923 1,479 1,445
------ ------ ------
Income (loss) before provision for income tax....................................... 377 (382) 496
Provision for income tax expense (benefit).......................................... 85 (185) 149
------ ------ ------
Net income (loss)................................................................... $ 292 $ (197) $ 347
====== ====== ======
SEE ACCOMPANYING NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS.
3
METLIFE INVESTORS USA INSURANCE COMPANY
(A Wholly-Owned Subsidiary of MetLife Insurance Company of Connecticut)
CONSOLIDATED STATEMENTS OF STOCKHOLDER'S EQUITY
FOR THE YEARS ENDED DECEMBER 31, 2010, 2009 AND 2008
(IN MILLIONS)
ACCUMULATED OTHER
COMPREHENSIVE INCOME (LOSS)
--------------------------
NET
UNREALIZED
ADDITIONAL INVESTMENT OTHER-THAN- TOTAL
PREFERRED COMMON PAID-IN RETAINED GAINS TEMPORARY STOCKHOLDER'S
STOCK STOCK CAPITAL EARNINGS (LOSSES) IMPAIRMENTS EQUITY
--------- ------ ---------- -------- ---------- ----------- -------------
Balance at January 1, 2008..................... $ -- $2 $ 960 $ 621 $ (8) $ -- $1,575
Capital contribution from MetLife Insurance
Company of Connecticut........................ 985 985
Comprehensive income (loss):
Net income................................... 347 347
Other comprehensive income (loss):
Unrealized gains (losses) on derivative
instruments, net of income tax............. 1 1
Unrealized investment gains (losses), net
of related offsets and income tax.......... (267) (267)
------
Other comprehensive income (loss)........... (266)
------
Comprehensive income (loss).................. 81
---- -- ------ ------ ----- ---- ------
Balance at December 31, 2008................... -- 2 1,945 968 (274) -- 2,641
Capital contribution from MetLife Insurance
Company of Connecticut........................ 575 575
Comprehensive income (loss):
Net loss..................................... (197) (197)
Other comprehensive income (loss):
Unrealized gains (losses) on derivative
instruments, net of income tax............. 1 1
Unrealized investment gains (losses), net
of related offsets and income tax.......... 240 (2) 238
------
Other comprehensive income (loss)........... 239
------
Comprehensive income (loss).................. 42
---- -- ------ ------ ----- ---- ------
Balance at December 31, 2009................... -- 2 2,520 771 (33) (2) 3,258
Comprehensive income (loss):
Net income................................... 292 292
Other comprehensive income (loss):
Unrealized gains (losses) on derivative
instruments, net of income tax............. (47) (47)
Unrealized investment gains (losses), net
of related offsets and income tax.......... 190 (1) 189
------
Other comprehensive income (loss)........... 142
------
Comprehensive income (loss).................. 434
---- -- ------ ------ ----- ---- ------
Balance at December 31, 2010................... $ -- $2 $2,520 $1,063 $ 110 $ (3) $3,692
==== == ====== ====== ===== ==== ======
SEE ACCOMPANYING NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS.
4
METLIFE INVESTORS USA INSURANCE COMPANY
(A Wholly-Owned Subsidiary of MetLife Insurance Company of Connecticut)
CONSOLIDATED STATEMENTS OF CASH FLOWS
FOR THE YEARS ENDED DECEMBER 31, 2010, 2009 AND 2008
(IN MILLIONS)
2010 2009 2008
------- ------- -------
CASH FLOWS FROM OPERATING ACTIVITIES
Net income (loss).................................................................................... $ 292 $ (197) $ 347
Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities:
Depreciation and amortization expenses.............................................................. 23 15 13
Amortization of premiums and accretion of discounts associated with investments, net................ (28) (25) (10)
(Gains) losses on investments and derivatives, net.................................................. (233) 627 (783)
Undistributed equity earnings of real estate joint ventures and other limited partnership interests. (49) 3 23
Interest credited to policyholder account balances.................................................. 413 409 249
Universal life and investment-type product policy fees.............................................. (991) (745) (634)
Change in accrued investment income................................................................. (21) (30) --
Change in premiums, reinsurance and other receivables............................................... (2,560) (1,694) (2,050)
Change in deferred policy acquisition costs, net.................................................... (457) (531) (208)
Change in income tax recoverable (payable).......................................................... 61 (42) 161
Change in other assets.............................................................................. 711 275 250
Change in insurance-related liabilities and policy-related balances................................. 971 753 805
Change in other liabilities......................................................................... 2,079 (109) 1,140
Other, net.......................................................................................... (7) -- 1
------- ------- -------
Net cash provided by (used in) operating activities.................................................. 204 (1,291) (696)
------- ------- -------
CASH FLOWS FROM INVESTING ACTIVITIES
Sales, maturities and repayments of:
Fixed maturity securities........................................................................... 4,488 2,948 1,899
Equity securities................................................................................... 1 7 3
Mortgage loans...................................................................................... 21 31 72
Real estate joint ventures.......................................................................... -- -- 1
Other limited partnership interests................................................................. 46 46 20
Purchases of:
Fixed maturity securities........................................................................... (4,983) (6,059) (2,313)
Equity securities................................................................................... -- (2) --
Mortgage loans...................................................................................... (600) (259) (49)
Real estate joint ventures.......................................................................... (4) (5) (16)
Other limited partnership interests................................................................. (161) (75) (118)
Cash received in connection with freestanding derivatives............................................ 2 5 1
Cash paid in connection with freestanding derivatives................................................ (48) (9) (23)
Net change in policy loans........................................................................... (14) (9) (2)
Net change in short-term investments................................................................. 732 837 (1,198)
Net change in other invested assets.................................................................. (80) (80) (50)
------- ------- -------
Net cash used in investing activities................................................................ (600) (2,624) (1,773)
------- ------- -------
CASH FLOWS FROM FINANCING ACTIVITIES
Policyholder account balances:
Deposits............................................................................................ 3,219 4,851 3,683
Withdrawals......................................................................................... (2,634) (2,343) (1,290)
Net change in payables for collateral under securities loaned and other transactions................. (361) 719 (40)
Long-term debt repaid -- affiliated.................................................................. -- -- (435)
Capital contribution from MetLife Insurance Company of Connecticut................................... -- 575 985
------- ------- -------
Net cash provided by financing activities............................................................ 224 3,802 2,903
------- ------- -------
Change in cash and cash equivalents.................................................................. (172) (113) 434
Cash and cash equivalents, beginning of year......................................................... 412 525 91
------- ------- -------
CASH AND CASH EQUIVALENTS, END OF YEAR............................................................... $ 240 $ 412 $ 525
======= ======= =======
SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION:
Net cash paid (received) during the year for:
Interest............................................................................................ $ -- $ -- $ 20
======= ======= =======
Income tax.......................................................................................... $ 20 $ (142) $ (12)
======= ======= =======
Non-cash transactions during the year:
Long-term debt issued in exchange for certain other invested assets................................. $ 45 $ -- $ --
======= ======= =======
SEE ACCOMPANYING NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS.
5
METLIFE INVESTORS USA INSURANCE COMPANY
(A Wholly-Owned Subsidiary of MetLife Insurance Company of Connecticut)
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
1. BUSINESS, BASIS OF PRESENTATION AND SUMMARY OF SIGNIFICANT ACCOUNTING
POLICIES
BUSINESS
MetLife Investors USA Insurance Company ("MLI-USA") and its subsidiary and
affiliate, (the "Company"), a Delaware domiciled life insurance company is a
wholly-owned subsidiary of MetLife Insurance Company of Connecticut ("MICC").
MICC is a subsidiary of MetLife, Inc. ("MetLife"). The Company markets,
administers and insures a broad range of term life and universal and variable
life insurance policies and variable and fixed annuity contracts.
BASIS OF PRESENTATION
The accompanying consolidated financial statements include the accounts of
MetLife Investors USA Insurance Company and its subsidiary, as well as a
partnership in which the Company has control. Intercompany accounts and
transactions have been eliminated.
Certain amounts in the prior years' consolidated financial statements have
been reclassified to conform with the 2010 presentation. Such reclassifications
include:
. Reclassification from other net investment gains (losses) of
($603) million and $819 million to net derivative gains (losses) in the
consolidated statements of operations for the years ended December 31,
2009 and 2008, respectively; and
. Reclassification from net change in other invested assets of $5 million
and $1 million to cash received in connection with freestanding
derivatives and ($9) million and ($23) million to cash paid in connection
with freestanding derivatives, all within cash flows from investing
activities, in the consolidated statements of cash flows for the years
ended December 31, 2009 and 2008, respectively.
Since the Company is a member of a controlled group of affiliated companies,
its results may not be indicative of those of a stand-alone entity.
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES AND CRITICAL ACCOUNTING ESTIMATES
The preparation of financial statements in conformity with accounting
principles generally accepted in the United States of America ("GAAP") requires
management to adopt accounting policies and make estimates and assumptions that
affect amounts reported in the consolidated financial statements.
A description of critical estimates is incorporated within the discussion of
the related accounting policies which follows. In applying these policies,
management makes subjective and complex judgments that frequently require
estimates about matters that are inherently uncertain. Many of these policies,
estimates and related judgments are common in the insurance and financial
services industries; others are specific to the Company's businesses and
operations. Actual results could differ from these estimates.
Fair Value
As described below, certain assets and liabilities are measured at estimated
fair value on the Company's consolidated balance sheets. In addition, the notes
to these consolidated financial statements include further disclosures of
estimated fair values. The Company defines fair value as the price that would
be received to sell an asset or paid to transfer a liability (an exit price) in
the principal or most advantageous market for the asset or liability in an
orderly transaction between market participants on the measurement date. In
many cases, the exit
6
METLIFE INVESTORS USA INSURANCE COMPANY
(A Wholly-Owned Subsidiary of MetLife Insurance Company of Connecticut)
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS -- (CONTINUED)
price and the transaction (or entry) price will be the same at initial
recognition. However, in certain cases, the transaction price may not represent
fair value. The fair value of a liability is based on the amount that would be
paid to transfer a liability to a third-party with the same credit standing. It
requires that fair value be a market-based measurement in which the fair value
is determined based on a hypothetical transaction at the measurement date,
considered from the perspective of a market participant. When quoted prices are
not used to determine fair value of an asset, the Company considers three broad
valuation techniques: (i) the market approach, (ii) the income approach, and
(iii) the cost approach. The Company determines the most appropriate valuation
technique to use, given what is being measured and the availability of
sufficient inputs. The Company prioritizes the inputs to fair valuation
techniques and allows for the use of unobservable inputs to the extent that
observable inputs are not available. The Company categorizes its assets and
liabilities measured at estimated fair value into a three-level hierarchy,
based on the priority of the inputs to the respective valuation technique. The
fair value hierarchy gives the highest priority to quoted prices in active
markets for identical assets or liabilities (Level 1) and the lowest priority
to unobservable inputs (Level 3). An asset or liability's classification within
the fair value hierarchy is based on the lowest level of input to its
valuation. The input levels are as follows:
Level 1Unadjusted quoted prices in active markets for identical assets or
liabilities. The Company defines active markets based on average
trading volume for equity securities. The size of the bid/ask spread
is used as an indicator of market activity for fixed maturity
securities.
Level 2Quoted prices in markets that are not active or inputs that are
observable either directly or indirectly. Level 2 inputs include
quoted prices for similar assets or liabilities other than quoted
prices in Level 1; quoted prices in markets that are not active; or
other significant inputs that are observable or can be derived
principally from or corroborated by observable market data for
substantially the full term of the assets or liabilities.
Level 3Unobservable inputs that are supported by little or no market activity
and are significant to the estimated fair value of the assets or
liabilities. Unobservable inputs reflect the reporting entity's own
assumptions about the assumptions that market participants would use
in pricing the asset or liability. Level 3 assets and liabilities
include financial instruments whose values are determined using
pricing models, discounted cash flow methodologies, or similar
techniques, as well as instruments for which the determination of
estimated fair value requires significant management judgment or
estimation.
Prior to January 1, 2009, the measurement and disclosures of fair value
based on exit price excluded certain items such as nonfinancial assets and
nonfinancial liabilities initially measured at estimated fair value on a
nonrecurring basis.
Investments
The accounting policies for the Company's principal investments are as
follows:
Fixed Maturity and Equity Securities. The Company's fixed maturity and
equity securities are classified as available-for-sale and are reported at
their estimated fair value.
Unrealized investment gains and losses on these securities are recorded
as a separate component of other comprehensive income (loss), net of
policyholder-related amounts and deferred income taxes. All security
transactions are recorded on a trade date basis. Investment gains and losses
on sales of securities are determined on a specific identification basis.
7
METLIFE INVESTORS USA INSURANCE COMPANY
(A Wholly-Owned Subsidiary of MetLife Insurance Company of Connecticut)
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS -- (CONTINUED)
Interest income on fixed maturity securities is recorded when earned
using an effective yield method giving effect to amortization of premiums
and accretion of discounts. Dividends on equity securities are recorded when
declared. These dividends and interest income are recorded in net investment
income.
Included within fixed maturity securities are loan-backed securities
including mortgage-backed and asset-backed securities ("ABS"). Amortization
of the premium or discount from the purchase of these securities considers
the estimated timing and amount of prepayments of the underlying loans.
Actual prepayment experience is periodically reviewed and effective yields
are recalculated when differences arise between the prepayments originally
anticipated and the actual prepayments received and currently anticipated.
Prepayment assumptions for single class and multi-class mortgage-backed and
ABS are estimated by management using inputs obtained from third-party
specialists, including broker-dealers, and based on management's knowledge
of the current market. For credit-sensitive mortgage-backed and ABS and
certain prepayment-sensitive securities, the effective yield is recalculated
on a prospective basis. For all other mortgage-backed and ABS, the effective
yield is recalculated on a retrospective basis.
The Company periodically evaluates fixed maturity and equity securities
for impairment. The assessment of whether impairments have occurred is based
on management's case-by-case evaluation of the underlying reasons for the
decline in estimated fair value. The Company's review of its fixed maturity
and equity securities for impairments includes an analysis of the total
gross unrealized losses by three categories of severity and/or age of the
gross unrealized loss, as summarized in Note 2 "-- Aging of Gross Unrealized
Loss and OTTI Loss for Fixed Maturity and Equity Securities
Available-for-Sale." An extended and severe unrealized loss position on a
fixed maturity security may not have any impact on the ability of the issuer
to service all scheduled interest and principal payments and the Company's
evaluation of recoverability of all contractual cash flows or the ability to
recover an amount at least equal to its amortized cost based on the present
value of the expected future cash flows to be collected. In contrast, for
certain equity securities, greater weight and consideration are given by the
Company to a decline in market value and the likelihood such market value
decline will recover.
Additionally, management considers a wide range of factors about the
security issuer and uses its best judgment in evaluating the cause of the
decline in the estimated fair value of the security and in assessing the
prospects for near-term recovery. Inherent in management's evaluation of the
security are assumptions and estimates about the operations of the issuer
and its future earnings potential. Considerations used by the Company in the
impairment evaluation process include, but are not limited to: (i) the
length of time and the extent to which the estimated fair value has been
below cost or amortized cost; (ii) the potential for impairments of
securities when the issuer is experiencing significant financial
difficulties; (iii) the potential for impairments in an entire industry
sector or sub-sector; (iv) the potential for impairments in certain
economically depressed geographic locations; (v) the potential for
impairments of securities where the issuer, series of issuers or industry
has suffered a catastrophic type of loss or has exhausted natural resources;
(vi) with respect to fixed maturity securities, whether the Company has the
intent to sell or will more likely than not be required to sell a particular
security before the decline in estimated fair value below cost or amortized
cost recovers; (vii) with respect to equity securities, whether the
Company's ability and intent to hold the security for a period of time
sufficient to allow for the recovery of its estimated fair value to an
amount equal to or greater than cost; (viii) unfavorable changes in
forecasted cash flows on mortgage-backed and ABS; and (ix) other subjective
factors, including concentrations and information obtained from regulators
and rating agencies.
Effective April 1, 2009, the Company prospectively adopted guidance on
the recognition and presentation of other-than-temporary impairment ("OTTI")
losses as described in "-- Adoption of New Accounting Pronouncements --
Financial Instruments." The guidance requires that an OTTI be recognized in
earnings for a fixed maturity security in an unrealized loss position when
it is anticipated that the
8
METLIFE INVESTORS USA INSURANCE COMPANY
(A Wholly-Owned Subsidiary of MetLife Insurance Company of Connecticut)
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS -- (CONTINUED)
amortized cost will not be recovered. In such situations, the OTTI
recognized in earnings is the entire difference between the fixed maturity
security's amortized cost and its estimated fair value only when either:
(i) the Company has the intent to sell the fixed maturity security; or
(ii) it is more likely than not that the Company will be required to sell
the fixed maturity security before recovery of the decline in estimated fair
value below amortized cost. If neither of these two conditions exist, the
difference between the amortized cost of the fixed maturity security and the
present value of projected future cash flows expected to be collected is
recognized as an OTTI in earnings ("credit loss"). If the estimated fair
value is less than the present value of projected future cash flows expected
to be collected, this portion of OTTI related to other-than credit factors
("noncredit loss") is recorded in other comprehensive income (loss). There
was no change for equity securities which, when an OTTI has occurred,
continue to be impaired for the entire difference between the equity
security's cost and its estimated fair value with a corresponding charge to
earnings. The Company does not make any adjustments for subsequent
recoveries in value.
Prior to the adoption of the OTTI guidance, the Company recognized in
earnings an OTTI for a fixed maturity security in an unrealized loss
position unless it could assert that it had both the intent and ability to
hold the fixed maturity security for a period of time sufficient to allow
for a recovery of estimated fair value to the security's amortized cost.
Also, prior to the adoption of this guidance, the entire difference between
the fixed maturity security's amortized cost basis and its estimated fair
value was recognized in earnings if it was determined to have an OTTI.
With respect to equity securities, the Company considers in its OTTI
analysis its intent and ability to hold a particular equity security for a
period of time sufficient to allow for the recovery of its estimated fair
value to an amount equal to or greater than cost. If a sale decision is made
for an equity security and it is not expected to recover to an amount at
least equal to cost prior to the expected time of the sale, the security
will be deemed other-than-temporarily impaired in the period that the sale
decision was made and an OTTI loss will be recorded in earnings. When an
OTTI loss has occurred, the OTTI loss is the entire difference between the
equity security's cost and its estimated fair value with a corresponding
charge to earnings.
With respect to perpetual hybrid securities that have attributes of both
debt and equity, some of which are classified as fixed maturity securities
and some of which are classified as non-redeemable preferred stock within
equity securities, the Company considers in its OTTI analysis whether there
has been any deterioration in credit of the issuer and the likelihood of
recovery in value of the securities that are in a severe and extended
unrealized loss position. The Company also considers whether any perpetual
hybrid securities, with an unrealized loss, regardless of credit rating,
have deferred any dividend payments. When an OTTI loss has occurred, the
OTTI loss is the entire difference between the perpetual hybrid security's
cost and its estimated fair value with a corresponding charge to earnings.
The Company's methodology and significant inputs used to determine the
amount of the credit loss on fixed maturity securities under the OTTI
guidance are as follows:
(i)The Company calculates the recovery value by performing a discounted
cash flow analysis based on the present value of future cash flows
expected to be received. The discount rate is generally the effective
interest rate of the fixed maturity security prior to impairment.
(ii)When determining the collectability and the period over which value is
expected to recover, the Company applies the same considerations
utilized in its overall impairment evaluation process which incorporates
information regarding the specific security, fundamentals of the
industry and geographic area in which the security issuer operates, and
overall macroeconomic conditions. Projected future cash flows are
estimated using assumptions derived from management's best estimates of
likely scenario-based outcomes after giving consideration to a variety
of variables that include, but are not limited to:
9
METLIFE INVESTORS USA INSURANCE COMPANY
(A Wholly-Owned Subsidiary of MetLife Insurance Company of Connecticut)
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS -- (CONTINUED)
general payment terms of the security; the likelihood that the issuer
can service the scheduled interest and principal payments; the quality
and amount of any credit enhancements; the security's position within
the capital structure of the issuer; possible corporate restructurings
or asset sales by the issuer; and changes to the rating of the security
or the issuer by rating agencies.
(iii)Additional considerations are made when assessing the unique features
that apply to certain structured securities such as residential
mortgage-backed securities ("RMBS"), commercial mortgage-backed
securities ("CMBS") and ABS. These additional factors for structured
securities include, but are not limited to: the quality of underlying
collateral; expected prepayment speeds; current and forecasted loss
severity; consideration of the payment terms of the underlying assets
backing a particular security; and the payment priority within the
tranche structure of the security.
(iv)When determining the amount of the credit loss for United States
("U.S.") and foreign corporate securities, foreign government securities
and state and political subdivision securities, management considers the
estimated fair value as the recovery value when available information
does not indicate that another value is more appropriate. When
information is identified that indicates a recovery value other than
estimated fair value, management considers in the determination of
recovery value the same considerations utilized in its overall
impairment evaluation process which incorporates available information
and management's best estimate of scenarios-based outcomes regarding the
specific security and issuer; possible corporate restructurings or asset
sales by the issuer; the quality and amount of any credit enhancements;
the security's position within the capital structure of the issuer;
fundamentals of the industry and geographic area in which the security
issuer operates, and the overall macroeconomic conditions.
The cost or amortized cost of fixed maturity and equity securities is
adjusted for OTTI in the period in which the determination is made. These
impairments are included within net investment gains (losses). The Company does
not change the revised cost basis for subsequent recoveries in value.
In periods subsequent to the recognition of OTTI on a fixed maturity
security, the Company accounts for the impaired security as if it had been
purchased on the measurement date of the impairment. Accordingly, the discount
(or reduced premium) based on the new cost basis is accreted into net
investment income over the remaining term of the fixed maturity security in a
prospective manner based on the amount and timing of estimated future cash
flows.
The Company has invested in certain structured transactions that are
variable interest entities ("VIEs"). These structured transactions include
asset-backed securitizations, hybrid securities and other limited partnership
interests and limited liability companies. The Company consolidates those VIEs
for which it is deemed to be the primary beneficiary. The Company reconsiders
whether it is the primary beneficiary for investments designated as VIEs on an
annual basis.
Securities Lending. Securities loaned transactions, whereby blocks of
securities, which are included in fixed maturity securities and short-term
investments, are loaned to third parties, are treated as financing arrangements
and the associated liability is recorded at the amount of cash received. At the
inception of a loan, the Company obtains collateral, generally cash, in an
amount at least equal to 102% of the estimated fair value of the securities
loaned and maintains it at a level greater than or equal to 100% for the
duration of the loan. The Company monitors the estimated fair value of the
securities loaned on a daily basis with additional collateral obtained as
necessary. Substantially all of the Company's securities loaned transactions
are with brokerage firms and commercial banks. Income and expenses associated
with securities loaned transactions are reported as investment income and
investment expense, respectively, within net investment income.
Mortgage Loans. For the purposes of determining valuation allowances the
Company disaggregates its mortgage loan investments into two portfolio
segments: (1) commercial and (2) agricultural.
10
METLIFE INVESTORS USA INSURANCE COMPANY
(A Wholly-Owned Subsidiary of MetLife Insurance Company of Connecticut)
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS -- (CONTINUED)
Mortgage loans are stated at unpaid principal balance, adjusted for any
unamortized premium or discount, deferred fees or expenses, and net of
valuation allowances. Interest income is accrued on the principal amount of
the loan based on the loan's contractual interest rate. Amortization of
premiums and discounts is recorded using the effective yield method.
Interest income, amortization of premiums and discounts and prepayment fees
are reported in net investment income. Interest ceases to accrue when
collection of interest is not considered probable and/or when interest or
principal payments are past due as follows: commercial -- 60 days; and
agricultural -- 90 days. When a loan is placed on non-accrual status,
uncollected past due interest is charged-off against net investment income.
Generally, the accrual of interest income resumes after all delinquent
amounts are paid and management believes all future principal and interest
payments will be collected. Cash receipts on non-accruing loans are recorded
in accordance with the loan agreement as a reduction of principal and/or
interest income. Charge-offs occur upon the realization of a credit loss,
typically through foreclosure or after a decision is made to sell a loan.
Gain or loss upon charge-off is recorded, net of previously established
valuation allowances, in net investment gains (losses). Cash recoveries on
principal amounts previously charged-off are generally recorded as an
increase to the valuation allowance, unless the valuation allowance
adequately provides for expected credit losses; then the recovery is
recorded in net investment gains (losses). Gains and losses from sales of
loans and increases or decreases to valuation allowances are recorded in net
investment gains (losses).
Mortgage loans are considered to be impaired when it is probable that,
based upon current information and events, the Company will be unable to
collect all amounts due under the contractual terms of the loan agreement.
Specific valuation allowances are established using the same methodology for
both portfolio segments as the excess carrying value of a loan over either
(i) the present value of expected future cash flows discounted at the loan's
original effective interest rate, (ii) the estimated fair value of the
loan's underlying collateral if the loan is in the process of foreclosure or
otherwise collateral dependent, or (iii) the loan's observable market price.
A common evaluation framework is used for establishing non-specific
valuation allowances for all loan portfolio segments; however, a separate
non-specific valuation allowance is calculated and maintained for each loan
portfolio segment that is based on inputs unique to each loan portfolio
segment. Non-specific valuation allowances are established for pools of
loans with similar risk characteristics where a property-specific or
market-specific risk has not been identified, but for which the Company
expects to incur a credit loss. These evaluations are based upon several
loan portfolio segment-specific factors, including the Company's experience
for loan losses, defaults and loss severity, and loss expectations for loans
with similar risk characteristics. The Company typically uses ten years, or
more, of historical experience, in these evaluations. These evaluations are
revised as conditions change and new information becomes available.
All commercial and agricultural loans are monitored on an ongoing basis
for potential credit losses. For commercial loans, these ongoing reviews may
include an analysis of the property financial statements and rent roll,
lease rollover analysis, property inspections, market analysis, estimated
valuations of the underlying collateral, loan-to-value ratios, debt service
coverage ratios, and tenant creditworthiness. The monitoring process focuses
on higher risk loans, which include those that are classified as
restructured, potentially delinquent, delinquent or in foreclosure, as well
as loans with higher loan-to-value ratios and lower debt service coverage
ratios. The monitoring process for agricultural loans is generally similar,
with a focus on higher risk loans, including reviews on a geographic and
property-type basis. Higher risk commercial and agricultural loans are
reviewed individually on an ongoing basis for potential credit loss and
specific valuation allowances are established using the methodology
described above for all loan portfolio segments. Quarterly, the remaining
loans are reviewed on a pool basis by aggregating groups of loans that have
similar risk characteristics for potential credit loss, and non-specific
valuation allowances are established as described above using inputs that
are unique to each segment of the loan portfolio.
11
METLIFE INVESTORS USA INSURANCE COMPANY
(A Wholly-Owned Subsidiary of MetLife Insurance Company of Connecticut)
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS -- (CONTINUED)
For commercial loans, the Company's primary credit quality indicator is
the debt service coverage ratio, which compares a property's net operating
income to amounts needed to service the principal and interest due under the
loan. Generally, the lower the debt service coverage ratio, the higher the
risk of experiencing a credit loss. The values utilized in calculating these
ratios are developed in connection with the ongoing review of the commercial
loan portfolio and are routinely updated.
For agricultural loans, the Company's primary credit quality indicator is
the loan-to-value ratio. Loan-to-value ratios compare the amount of the loan
to the estimated fair value of the underlying collateral. A loan-to-value
ratio greater than 100% indicates that the loan amount is greater than the
collateral value. A loan-to-value ratio of less than 100% indicates an
excess of collateral value over the loan amount. Generally, the higher the
loan-to-value ratio, the higher the risk of experiencing a credit loss. The
values utilized in calculating these ratios are developed in connection with
the ongoing review of the agricultural loan portfolio and are routinely
updated.
Policy Loans. Policy loans are stated at unpaid principal balances. Interest
income on such loans is recorded as earned in net investment income using the
contractually agreed upon interest rate. Generally, interest is capitalized on
the policy's anniversary date. Valuation allowances are not established for
policy loans, as these loans are fully collateralized by the cash surrender
value of the underlying insurance policies. Any unpaid principal or interest on
the loan is deducted from the cash surrender value or the death benefit prior
to settlement of the policy.
Real Estate Joint Ventures and Other Limited Partnership Interests. The
Company uses the equity method of accounting for investments in real estate
joint ventures and other limited partnership interests consisting of leveraged
buy-out funds, hedge funds and other private equity funds in which it has more
than a minor equity interest or more than a minor influence over the joint
ventures or partnership's operations, but does not have a controlling interest
and is not the primary beneficiary. The equity method is also used for such
investments in which the Company has more than a minor influence or more than a
20% interest. Generally, the Company records its share of earnings using a
three-month lag methodology for instances where the timely financial
information is available and the contractual right exists to receive such
financial information on a timely basis. The Company uses the cost method of
accounting for investments in real estate joint ventures and other limited
partnership interests in which it has a minor equity investment and virtually
no influence over the joint ventures or the partnership's operations. The
Company reports the distributions from real estate joint ventures and other
limited partnership interests accounted for under the cost method and equity in
earnings from real estate joint ventures and other limited partnership
interests accounted for under the equity method in net investment income. In
addition to the investees performing regular evaluations for the impairment of
underlying investments, the Company routinely evaluates its investments in real
estate joint ventures and other limited partnerships for impairments. The
Company considers its cost method investments for OTTI when the carrying value
of real estate joint ventures and other limited partnership interests exceeds
the net asset value ("NAV"). The Company takes into consideration the severity
and duration of this excess when deciding if the cost method investment is
other-than-temporarily impaired. For equity method investees, the Company
considers financial and other information provided by the investee, other known
information and inherent risks in the underlying investments, as well as future
capital commitments, in determining whether an impairment has occurred. When an
OTTI is deemed to have occurred, the Company records a realized capital loss
within net investment gains (losses) to record the investment at its estimated
fair value.
Short-term Investments. Short-term investments include investments with
remaining maturities of one year or less, but greater than three months, at the
time of purchase and are stated at amortized cost, which approximates estimated
fair value, or stated at estimated fair value, if available. Short-term
investments also include investments in affiliated money market pools.
12
METLIFE INVESTORS USA INSURANCE COMPANY
(A Wholly-Owned Subsidiary of MetLife Insurance Company of Connecticut)
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS -- (CONTINUED)
Other Invested Assets. Other invested assets consist of tax credit
partnerships, freestanding derivatives with positive estimated fair values, and
leveraged leases.
Tax credit partnerships are established for the purpose of investing in
low-income housing and other social causes, where the primary return on
investment is in the form of income tax credits and are also accounted for
under the equity method or under the effective yield method. The Company
reports the equity in earnings of tax credit partnerships in net investment
income.
Freestanding derivatives with positive estimated fair values are
described in the derivatives accounting policy which follows.
Leveraged leases are recorded net of non-recourse debt. The Company
participates in lease transactions which are diversified by industry, asset
type and geographic area. The Company recognizes income on the leveraged leases
by applying the leveraged lease's estimated rate of return to the net
investment in the lease. The Company regularly reviews residual values and
impairs them to expected values.
Investments Risks and Uncertainties. The Company's investments are exposed
to four primary sources of risk: credit, interest rate, liquidity risk, and
market valuation. The financial statement risks, stemming from such investment
risks, are those associated with the determination of estimated fair values,
the diminished ability to sell certain investments in times of strained market
conditions, the recognition of impairments, the recognition of income on
certain investments and the potential consolidation of VIEs. The use of
different methodologies, assumptions and inputs relating to these financial
statement risks may have a material effect on the amounts presented within the
consolidated financial statements.
When available, the estimated fair value of the Company's fixed maturity and
equity securities are based on quoted prices in active markets that are readily
and regularly obtainable. Generally, these are the most liquid of the Company's
securities holdings and valuation of these securities does not involve
management judgment.
When quoted prices in active markets are not available, the determination of
estimated fair value is based on market standard valuation methodologies. The
market standard valuation methodologies utilized include: discounted cash flow
methodologies, matrix pricing or other similar techniques. The inputs to these
market standard valuation methodologies include, but are not limited to:
interest rates, credit standing of the issuer or counterparty, industry sector
of the issuer, coupon rate, call provisions, sinking fund requirements,
maturity, estimated duration and management's assumptions regarding liquidity
and estimated future cash flows. Accordingly, the estimated fair values are
based on available market information and management's judgments about
financial instruments.
The significant inputs to the market standard valuation methodologies for
certain types of securities with reasonable levels of price transparency are
inputs that are observable in the market or can be derived principally from or
corroborated by observable market data. Such observable inputs include
benchmarking prices for similar assets in active, liquid markets, quoted prices
in markets that are not active and observable yields and spreads in the market.
When observable inputs are not available, the market standard valuation
methodologies for determining the estimated fair value of certain types of
securities that trade infrequently, and therefore have little or no price
transparency, rely on inputs that are significant to the estimated fair value
that are not observable in the market or cannot be derived principally from or
corroborated by observable market data. These unobservable inputs can be based
in large part on management judgment or estimation, and cannot be supported by
reference to market activity. Even though unobservable, these inputs are based
on assumptions deemed appropriate given the circumstances and consistent with
what other market participants would use when pricing such securities.
13
METLIFE INVESTORS USA INSURANCE COMPANY
(A Wholly-Owned Subsidiary of MetLife Insurance Company of Connecticut)
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS -- (CONTINUED)
Financial markets are susceptible to severe events evidenced by rapid
depreciation in asset values accompanied by a reduction in asset liquidity. The
Company's ability to sell securities, or the price ultimately realized for
these securities, depends upon the demand and liquidity in the market and
increases the use of judgment in determining the estimated fair value of
certain securities.
The determination of the amount of allowances and impairments, as
applicable, is described previously by investment type. The determination of
such allowances and impairments is highly subjective and is based upon the
Company's periodic evaluation and assessment of known and inherent risks
associated with the respective asset class. Such evaluations and assessments
are revised as conditions change and new information becomes available.
The recognition of income on certain investments (e.g. loan-backed
securities, including mortgage-backed, ABS and certain structured investment
transactions) is dependent upon market conditions, which could result in
prepayments and changes in amounts to be earned.
The accounting guidance for the determination of when an entity is a VIE and
when to consolidate a VIE is complex and requires significant management
judgment. The determination of the VIE's primary beneficiary requires an
evaluation of the contractual and implied rights and obligations associated
with each party's relationship with or involvement in the entity, an estimate
of the entity's expected losses and expected residual returns and the
allocation of such estimates to each party involved in the entity. The Company
generally uses a qualitative approach to determine whether it is the primary
beneficiary.
For most VIEs, the entity that has both the ability to direct the most
significant activities of the VIE and the obligation to absorb losses or
receive benefits that could be significant to the VIE is considered the primary
beneficiary. However, for VIEs that are investment companies or apply
measurement principles consistent with those utilized by investment companies,
the primary beneficiary is based on a risks and rewards model and is defined as
the entity that will absorb a majority of a VIE's expected losses, receive a
majority of a VIE's expected residual returns if no single entity absorbs a
majority of expected losses, or both. The Company reassesses its involvement
with VIEs on an annual basis. The use of different methodologies, assumptions
and inputs in the determination of the primary beneficiary could have a
material effect on the amounts presented within the consolidated financial
statements.
Derivative Financial Instruments
Derivatives are financial instruments whose values are derived from interest
rates, foreign currency exchange rates, and/or other financial indices.
Derivatives may be exchange-traded or contracted in the over-the-counter
market. The Company uses a variety of derivatives, including swaps, forwards,
futures and option contracts, to manage various risks relating to its ongoing
business. To a lesser extent, the Company uses credit derivatives, such as
credit default swaps, to synthetically replicate investment risks and returns
which are not readily available in the cash market. The Company also purchases
certain securities, issues certain insurance policies and investment contracts
and engages in certain reinsurance contracts that have embedded derivatives.
Freestanding derivatives are carried on the Company's consolidated balance
sheets either as assets within other invested assets or as liabilities within
other liabilities at estimated fair value as determined through the use of
quoted market prices for exchange-traded derivatives or through the use of
pricing models for over-the-counter derivatives. The determination of estimated
fair value, when quoted market values are not available, is based on market
standard valuation methodologies and inputs that are assumed to be consistent
with what other market participants would use when pricing the instruments.
Derivative valuations can be affected by changes in interest rates, foreign
currency exchange rates, financial indices, credit spreads, default risk
(including the counterparties to the contract), volatility, liquidity and
changes in estimates and assumptions used in the pricing models.
14
METLIFE INVESTORS USA INSURANCE COMPANY
(A Wholly-Owned Subsidiary of MetLife Insurance Company of Connecticut)
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS -- (CONTINUED)
The Company does not offset the fair value amounts recognized for
derivatives executed with the same counterparty under the same master netting
agreement.
If a derivative is not designated as an accounting hedge or its use in
managing risk does not qualify for hedge accounting, changes in the estimated
fair value of the derivative are generally reported in net derivative gains
(losses). The fluctuations in estimated fair value of derivatives which have
not been designated for hedge accounting can result in significant volatility
in net income.
To qualify for hedge accounting, at the inception of the hedging
relationship, the Company formally documents its risk management objective and
strategy for undertaking the hedging transaction, as well as its designation of
the hedge as either (i) a hedge of the estimated fair value of a recognized
asset or liability ("fair value hedge"); or (ii) a hedge of a forecasted
transaction or of the variability of cash flows to be received or paid related
to a recognized asset or liability ("cash flow hedge"). In this documentation,
the Company sets forth how the hedging instrument is expected to hedge the
designated risks related to the hedged item and sets forth the method that will
be used to retrospectively and prospectively assess the hedging instrument's
effectiveness and the method which will be used to measure ineffectiveness. A
derivative designated as a hedging instrument must be assessed as being highly
effective in offsetting the designated risk of the hedged item. Hedge
effectiveness is formally assessed at inception and periodically throughout the
life of the designated hedging relationship. Assessments of hedge effectiveness
and measurements of ineffectiveness are also subject to interpretation and
estimation and different interpretations or estimates may have a material
effect on the amount reported in net income.
The accounting for derivatives is complex and interpretations of the primary
accounting guidance continue to evolve in practice. Judgment is applied in
determining the availability and application of hedge accounting designations
and the appropriate accounting treatment under such accounting guidance. If it
was determined that hedge accounting designations were not appropriately
applied, reported net income could be materially affected.
Under a fair value hedge, changes in the estimated fair value of the hedging
derivative, including amounts measured as ineffectiveness, and changes in the
estimated fair value of the hedged item related to the designated risk being
hedged, are reported within net derivative gains (losses). The estimated fair
values of the hedging derivatives are exclusive of any accruals that are
separately reported in the consolidated statements of operations within
interest income or interest expense to match the location of the hedged item.
However, accruals that are not scheduled to settle until maturity are included
in the estimated fair value of derivatives in the consolidated balance sheets.
Under a cash flow hedge, changes in the estimated fair value of the hedging
derivative measured as effective are reported within other comprehensive income
(loss), a separate component of stockholder's equity and the deferred gains or
losses on the derivative are reclassified into the consolidated statements of
operations when the Company's earnings are affected by the variability in cash
flows of the hedged item. Changes in the estimated fair value of the hedging
instrument measured as ineffectiveness are reported within net derivative gains
(losses). The estimated fair values of the hedging derivatives are exclusive of
any accruals that are separately reported in the consolidated statements of
operations within interest income or interest expense to match the location of
the hedged item. However, accruals that are not scheduled to settle until
maturity are included in the estimated fair value of derivatives in the
consolidated balance sheets.
The Company discontinues hedge accounting prospectively when: (i) it is
determined that the derivative is no longer highly effective in offsetting
changes in the estimated fair value or cash flows of a hedged item; (ii) the
derivative expires, is sold, terminated, or exercised; (iii) it is no longer
probable that the hedged forecasted transaction will occur; or (iv) the
derivative is de-designated as a hedging instrument.
15
METLIFE INVESTORS USA INSURANCE COMPANY
(A Wholly-Owned Subsidiary of MetLife Insurance Company of Connecticut)
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS -- (CONTINUED)
When hedge accounting is discontinued because it is determined that the
derivative is not highly effective in offsetting changes in the estimated fair
value or cash flows of a hedged item, the derivative continues to be carried in
the consolidated balance sheets at its estimated fair value, with changes in
estimated fair value recognized currently in net derivative gains (losses). The
carrying value of the hedged recognized asset or liability under a fair value
hedge is no longer adjusted for changes in its estimated fair value due to the
hedged risk, and the cumulative adjustment to its carrying value is amortized
into income over the remaining life of the hedged item. Provided the hedged
forecasted transaction is still probable of occurrence, the changes in
estimated fair value of derivatives recorded in other comprehensive income
(loss) related to discontinued cash flow hedges are released into the
consolidated statements of operations when the Company's earnings are affected
by the variability in cash flows of the hedged item.
When hedge accounting is discontinued because it is no longer probable that
the forecasted transactions will occur on the anticipated date or within two
months of that date, the derivative continues to be carried in the consolidated
balance sheets at its estimated fair value, with changes in estimated fair
value recognized currently in net derivative gains (losses). Deferred gains and
losses of a derivative recorded in other comprehensive income (loss) pursuant
to the discontinued cash flow hedge of a forecasted transaction that is no
longer probable are recognized immediately in net derivative gains (losses).
In all other situations in which hedge accounting is discontinued, the
derivative is carried at its estimated fair value in the consolidated balance
sheets, with changes in its estimated fair value recognized in the current
period as net derivative gains (losses).
The Company is also a party to financial instruments that contain terms
which are deemed to be embedded derivatives. The Company assesses each
identified embedded derivative to determine whether it is required to be
bifurcated. If the instrument would not be accounted for in its entirety at
estimated fair value and it is determined that the terms of the embedded
derivative are not clearly and closely related to the economic characteristics
of the host contract, and that a separate instrument with the same terms would
qualify as a derivative instrument, the embedded derivative is bifurcated from
the host contract and accounted for as a freestanding derivative. Such embedded
derivatives are carried in the consolidated balance sheets at estimated fair
value with the host contract and changes in their estimated fair value are
generally reported in net derivative gains (losses). If the Company is unable
to properly identify and measure an embedded derivative for separation from its
host contract, the entire contract is carried on the balance sheet at estimated
fair value, with changes in estimated fair value recognized in the current
period in net investment gains (losses) or net investment income. Additionally,
the Company may elect to carry an entire contract on the balance sheet at
estimated fair value, with changes in estimated fair value recognized in the
current period in net investment gains (losses) or net investment income if
that contract contains an embedded derivative that requires bifurcation.
Cash and Cash Equivalents
The Company considers all highly liquid investments purchased with an
original or remaining maturity of three months or less at the date of purchase
to be cash equivalents. Cash equivalents are stated at amortized cost, which
approximates estimated fair value.
Computer Software
Computer software, which is included in other assets, is stated at cost,
less accumulated amortization. Purchased software costs, as well as certain
internal and external costs incurred to develop internal-use computer software
during the application development stage, are capitalized. Such costs are
amortized generally over a four-year period using the straight-line method. The
cost basis of computer software was $90 million and $66 million at December 31,
2010 and 2009, respectively. Accumulated amortization of capitalized software
was $41 million and $25 million at December 31, 2010 and 2009, respectively.
Related amortization expense was $16 million, $10 million and $9 million for
the years ended December 31, 2010, 2009 and 2008, respectively.
16
METLIFE INVESTORS USA INSURANCE COMPANY
(A Wholly-Owned Subsidiary of MetLife Insurance Company of Connecticut)
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS -- (CONTINUED)
Deferred Policy Acquisition Costs ("DAC")
The Company incurs significant costs in connection with acquiring new and
renewal insurance business. Costs that vary with and relate to the production
of new business are deferred as DAC. Such costs consist principally of
commissions and agency and policy issuance expenses. The recovery of DAC is
dependent upon the future profitability of the related business.
DAC on life insurance or investment-type contracts is amortized in
proportion to gross premiums, or gross profits, depending on the type of
contract as described below.
The Company amortizes DAC related to non-participating and non-dividend
paying traditional contracts (primarily term insurance) over the entire premium
paying period in proportion to the present value of actual historic and
expected future gross premiums. The present value of expected premiums is based
upon the premium requirement of each policy and assumptions for mortality,
persistency and investment returns at policy issuance, that include provisions
for adverse deviation and are consistent with the assumptions used to calculate
future policyholder benefit liabilities. These assumptions are not revised
after policy issuance unless the DAC balance is deemed to be unrecoverable from
future expected profits. Absent a premium deficiency, variability in
amortization after policy issuance is caused only by variability in premium
volumes.
The Company amortizes DAC related to fixed and variable universal life
contracts and fixed and variable deferred annuity contracts over the estimated
lives of the contracts in proportion to actual and expected future gross
profits. The amortization includes interest based on rates in effect at
inception of the contracts. The amount of future gross profits is dependent
principally upon returns in excess of the amounts credited to policyholders,
mortality, persistency, interest crediting rates, expenses to administer the
business, creditworthiness of reinsurance counterparties, the effect of any
hedges used and certain economic variables, such as inflation. Of these
factors, the Company anticipates that investment returns, expenses and
persistency are reasonably likely to impact significantly the rate of DAC
amortization. Each reporting period, the Company updates the estimated gross
profits with the actual gross profits for that period. When the actual gross
profits change from previously estimated gross profits, the cumulative DAC
amortization is re-estimated and adjusted by a cumulative charge or credit to
current operations. When actual gross profits exceed those previously
estimated, the DAC amortization will increase, resulting in a current period
charge to earnings. The opposite result occurs when the actual gross profits
are below the previously estimated gross profits. Each reporting period, the
Company also updates the actual amount of business remaining in-force, which
impacts expected future gross profits. When expected future gross profits are
below those previously estimated, the DAC amortization will increase, resulting
in a current period charge to earnings. The opposite result occurs when the
expected future gross profits are above the previously estimated expected
future gross profits. Each period, the Company also reviews the estimated gross
profits for each block of business to determine the recoverability of DAC
balances.
Separate account rates of return on variable universal life contracts and
variable deferred annuity contracts affect in-force account balances on such
contracts each reporting period which can result in significant fluctuations in
amortization of DAC. Returns that are higher than the Company's long-term
expectation produce higher account balances, which increases the Company's
future fee expectations and decreases future benefit payment expectations on
minimum death and living benefit guarantees, resulting in higher expected
future gross profits. The opposite result occurs when returns are lower than
the Company's long-term expectation. The Company's practice to determine the
impact of gross profits resulting from returns on separate accounts assumes
that long-term appreciation in equity markets is not changed by short-term
market fluctuations, but is only changed when sustained interim deviations are
expected. The Company monitors these events and only changes the assumption
when its long-term expectation changes.
17
METLIFE INVESTORS USA INSURANCE COMPANY
(A Wholly-Owned Subsidiary of MetLife Insurance Company of Connecticut)
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS -- (CONTINUED)
The Company also periodically reviews other long-term assumptions underlying
the projections of estimated gross profits. These include investment returns,
interest crediting rates, mortality, persistency and expenses to administer
business. Management annually updates assumptions used in the calculation of
estimated gross profits which may have significantly changed. If the update of
assumptions causes expected future gross profits to increase, DAC amortization
will decrease, resulting in a current period increase to earnings. The opposite
result occurs when the assumption update causes expected future gross profits
to decrease.
Periodically, the Company modifies product benefits, features, rights or
coverages that occur by the exchange of a contract for a new contract, or by
amendment, endorsement, or rider to a contract, or by election or coverage
within a contract. If such modification, referred to as an internal
replacement, substantially changes the contract, the associated DAC is written
off immediately through income and any new deferrable costs associated with the
replacement contract are deferred. If the modification does not substantially
change the contract, the DAC amortization on the original contract will
continue and any acquisition costs associated with the related modification are
expensed.
Sales Inducements
The Company generally has two different types of sales inducements which are
included in other assets: (i) the policyholder receives a bonus whereby the
policyholder's initial account balance is increased by an amount equal to a
specified percentage of the customer's deposit; and (ii) the policyholder
receives a higher interest rate using a dollar cost averaging method than would
have been received based on the normal general account interest rate credited.
The Company defers sales inducements and amortizes them over the life of the
policy using the same methodology and assumptions used to amortize DAC. The
amortization of sales inducements is included in policyholder benefits and
claims. Each year, or more frequently if circumstances indicate a potentially
significant recoverability issue exists, the Company reviews the deferred sales
inducements to determine the recoverability of these balances.
Value of Distribution Agreements
Value of distribution agreements ("VODA") is reported in other assets and
represents the present value of expected future profits associated with the
expected future business derived from the distribution agreements. The VODA
associated with past acquisitions contributed to the Company by MetLife is
amortized over useful lives ranging from 10 to 30 years and such amortization
is included in other expenses. Each year, or more frequently if circumstances
indicate a potentially significant recoverability issue exists, the Company
reviews VODA to determine the recoverability of these balances.
Liability for Future Policy Benefits and Policyholder Account Balances
The Company establishes liabilities for amounts payable under insurance
policies, including traditional life insurance and traditional annuities.
Generally, amounts are payable over an extended period of time and related
liabilities are calculated as the present value of future expected benefits to
be paid reduced by the present value of future expected premiums. Such
liabilities are established based on methods and underlying assumptions in
accordance with GAAP and applicable actuarial standards. Principal assumptions
used in the establishment of liabilities for future policy benefits are
mortality, policy lapse, renewal, investment returns, inflation, expenses and
other contingent events as appropriate to the respective product type. These
assumptions are established at the time the policy is issued and are intended
to estimate the experience for the period the policy benefits are payable.
Utilizing these assumptions, liabilities are established on a block of business
basis.
18
METLIFE INVESTORS USA INSURANCE COMPANY
(A Wholly-Owned Subsidiary of MetLife Insurance Company of Connecticut)
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS -- (CONTINUED)
Future policy benefit liabilities for non-participating traditional life
insurance policies are equal to the aggregate of the present value of expected
future benefit payments and related expenses less the present value of expected
future net premiums. Assumptions as to mortality and persistency are based upon
the Company's experience when the basis of the liability is established.
Interest rate assumptions used in establishing such liabilities range from 4%
to 7%.
Future policy benefit liabilities for traditional fixed annuities after
annuitization are equal to the present value of expected future payments.
Interest rate assumptions used in establishing such liabilities range from 4%
to 9%.
The Company establishes future policy benefit liabilities for minimum death
and income benefit guarantees relating to certain annuity contracts and
secondary guarantees relating to certain life policies as follows:
. Guaranteed minimum death benefit ("GMDB") liabilities are determined by
estimating the expected value of death benefits in excess of the projected
account balance and recognizing the excess ratably over the accumulation
period based on total expected assessments. The Company regularly
evaluates estimates used and adjusts the additional liability balance,
with a related charge or credit to benefit expense, if actual experience
or other evidence suggests that earlier assumptions should be revised. The
assumptions used in estimating the GMDB liabilities are consistent with
those used for amortizing DAC, and are thus subject to the same
variability and risk. The assumptions of investment performance and
volatility are consistent with the historical experience of the
appropriate underlying equity index, such as the Standard & Poor's ("S&P")
500 Index. The benefit assumptions used in calculating the liabilities are
based on the average benefits payable over a range of scenarios.
. Guaranteed minimum income benefit ("GMIB") liabilities are determined by
estimating the expected value of the income benefits in excess of the
projected account balance at any future date of annuitization and
recognizing the excess ratably over the accumulation period based on total
expected assessments. The Company regularly evaluates estimates used and
adjusts the additional liability balance, with a related charge or credit
to benefit expense, if actual experience or other evidence suggests that
earlier assumptions should be revised. The assumptions used for estimating
the GMIB liabilities are consistent with those used for estimating the
GMDB liabilities. In addition, the calculation of guaranteed annuitization
benefit liabilities incorporates an assumption for the percentage of the
potential annuitizations that may be elected by the contractholder.
Certain GMIBs have settlement features that result in a portion of that
guarantee being accounted for as an embedded derivative and are recorded
in policyholder account balances as described below.
Liabilities for universal and variable life secondary guarantees are
determined by estimating the expected value of death benefits payable when the
account balance is projected to be zero and recognizing those benefits ratably
over the accumulation period based on total expected assessments. The Company
regularly evaluates estimates used and adjusts the additional liability
balances, with a related charge or credit to benefit expense, if actual
experience or other evidence suggests that earlier assumptions should be
revised. The assumptions used in estimating the secondary guarantee liabilities
are consistent with those used for amortizing DAC, and are thus subject to the
same variability and risk. The assumptions of investment performance and
volatility for variable products are consistent with historical S&P experience.
The benefits used in calculating the liabilities are based on the average
benefits payable over a range of scenarios.
19
METLIFE INVESTORS USA INSURANCE COMPANY
(A Wholly-Owned Subsidiary of MetLife Insurance Company of Connecticut)
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS -- (CONTINUED)
The Company establishes policyholder account balances for guaranteed minimum
benefits relating to certain variable annuity products as follows:
. Guaranteed minimum withdrawal benefits ("GMWB") guarantee the
contractholder a return of their purchase payment via partial withdrawals,
even if the account value is reduced to zero, provided that the
contractholder's cumulative withdrawals in a contract year do not exceed a
certain limit. The initial guaranteed withdrawal amount is equal to the
initial benefit base as defined in the contract (typically, the initial
purchase payments plus applicable bonus amounts). The GMWB is an embedded
derivative, which is measured at estimated fair value separately from the
host variable annuity product.
. Guaranteed minimum accumulation benefits ("GMAB") and settlement features
in certain GMIB described above provide the contractholder, after a
specified period of time determined at the time of issuance of the
variable annuity contract, with a minimum accumulation of their purchase
payments even if the account value is reduced to zero. The initial
guaranteed accumulation amount is equal to the initial benefit base as
defined in the contract (typically, the initial purchase payments plus
applicable bonus amounts). The GMAB is an embedded derivative, which is
measured at estimated fair value separately from the host variable annuity
product.
For GMWB, GMAB and certain GMIB, the initial benefit base is increased by
additional purchase payments made within a certain time period and decreases by
benefits paid and/or withdrawal amounts. After a specified period of time, the
benefit base may also increase as a result of an optional reset as defined in
the contract.
GMWB, GMAB and certain GMIB are accounted for as embedded derivatives with
changes in estimated fair value reported in net derivative gains (losses).
At inception of the GMWB, GMAB and certain GMIB contracts, the Company
attributes to the embedded derivative a portion of the projected future
guarantee fees to be collected from the policyholder equal to the present value
of projected future guaranteed benefits. Any additional fees represent "excess"
fees and are reported in universal life and investment-type product policy fees.
The estimated fair values of these embedded derivatives are then determined
based on the present value of projected future benefits minus the present value
of projected future fees. The projections of future benefits and future fees
require capital market and actuarial assumptions including expectations
concerning policyholder behavior. A risk neutral valuation methodology is used
under which the cash flows from the guarantees are projected under multiple
capital market scenarios using observable risk free rates. The valuation of
these embedded derivatives also includes an adjustment for the Company's
nonperformance risk and risk margins for non-capital market inputs. The
nonperformance adjustment is determined by taking into consideration publicly
available information relating to spreads in the secondary market for MetLife's
debt, including related credit default swaps. These observable spreads are then
adjusted, as necessary, to reflect the priority of these liabilities and the
claims paying ability of the issuing insurance subsidiaries compared to
MetLife. Risk margins are established to capture the non-capital market risks
of the instrument which represent the additional compensation a market
participant would require to assume the risks related to the uncertainties of
such actuarial assumptions as annuitization, premium persistency, partial
withdrawal and surrenders. The establishment of risk margins requires the use
of significant management judgment.
These guaranteed minimum benefits may be more costly than expected in
volatile or declining equity markets. Market conditions including, but not
limited to, changes in interest rates, equity indices, market volatility and
foreign currency exchange rates, changes in nonperformance risk and variations
in actuarial assumptions regarding policyholder behavior, mortality and risk
margins related to non-capital market inputs may result in significant
fluctuations in the estimated fair value of the guarantees that could
materially affect net income.
20
METLIFE INVESTORS USA INSURANCE COMPANY
(A Wholly-Owned Subsidiary of MetLife Insurance Company of Connecticut)
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS -- (CONTINUED)
The Company cedes the risks associated with certain of the GMIB, GMAB and
GMWB guarantees described in the preceding paragraphs to an affiliated
reinsurance company. These reinsurance contracts contain embedded derivatives
which are included in premiums, reinsurance and other receivables with changes
in estimated fair value reported in net derivative gains (losses). The value of
these embedded derivatives on the ceded risks is determined using a methodology
consistent with that described previously for the guarantees directly written
by the Company.
In addition to ceding risks associated with guarantees that are accounted
for as embedded derivatives, the Company also cedes to the same affiliated
reinsurance company certain directly written GMIB guarantees that are accounted
for as insurance (i.e. not as embedded derivatives) and the reinsurance
contract contains an embedded derivative. These embedded derivatives are
included in premiums, reinsurance and other receivables with changes in
estimated fair value reported in net derivative gains (losses). The value of
these embedded derivatives is determined using a methodology consistent with
that described previously for the guarantees directly written by the Company.
The Company periodically reviews its estimates of actuarial liabilities for
future policy benefits and compares them with its actual experience.
Differences between actual experience and the assumptions used in pricing these
policies and guarantees, and in the establishment of the related liabilities
result in variances in profit and could result in losses. The effects of
changes in such estimated liabilities are included in the results of operations
in the period in which the changes occur.
Policyholder account balances relate to investment-type contracts, universal
life-type policies and certain guaranteed minimum benefits. Investment-type
contracts principally include traditional individual fixed annuities in the
accumulation phase and non-variable group annuity contracts. Policyholder
account balances for these contracts are equal to policy account values, which
consist of an accumulation of gross premium payments and credited interest,
ranging from 1% to 12%, less expenses, mortality charges and withdrawals.
Other Policy-Related Balances
Other policy-related balances include policy and contract claims and
unearned revenue liabilities.
The liability for policy and contract claims generally relates to incurred
but not reported death claims, as well as claims which have been reported but
not yet settled. The liability for these claims is based on the Company's
estimated ultimate cost of settling all claims. The Company derives estimates
for the development of incurred but not reported claims principally from
actuarial analyses of historical patterns of claims and claims development for
each line of business. The methods used to determine these estimates are
continually reviewed. Adjustments resulting from this continuous review process
and differences between estimates and payments for claims are recognized in
policyholder benefits and claims expense in the period in which the estimates
are changed or payments are made.
The unearned revenue liability relates to universal life-type and
investment-type products and represents policy charges for services to be
provided in future periods. The charges are deferred as unearned revenue and
amortized using the product's estimated gross profits, similar to DAC. Such
amortization is recorded in universal life and investment-type product policy
fees.
Recognition of Insurance Revenue and Related Benefits
Premiums related to traditional life and annuity policies with life
contingencies are recognized as revenues when due from policyholders.
Policyholder benefits and expenses are provided against such revenues to
recognize profits over the estimated lives of the policies. When premiums are
due over a significantly shorter
21
METLIFE INVESTORS USA INSURANCE COMPANY
(A Wholly-Owned Subsidiary of MetLife Insurance Company of Connecticut)
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS -- (CONTINUED)
period than the period over which benefits are provided, any excess profit is
deferred and recognized into operations in a constant relationship to insurance
in-force or, for annuities, the amount of expected future policy benefit
payments.
Deposits related to universal life-type and investment-type products are
credited to policyholder account balances. Revenues from such contracts consist
of amounts assessed against policyholder account balances for mortality, policy
administration and surrender charges and are recorded in universal life and
investment-type product policy fees in the period in which services are
provided. Amounts that are charged to operations include interest credited and
benefit claims incurred in excess of related policyholder account balances.
Premiums, policy fees, policyholder benefits and expenses are presented net
of reinsurance.
The portion of fees allocated to embedded derivatives described previously
is recognized within net derivative gains (losses) as part of the estimated
fair value of embedded derivatives.
Other Revenues
Other revenues include fees on reinsurance financing agreements and advisory
fees. Such fees are recognized in the period in which services are performed.
Income Taxes
The Company joins with MICC in filing a consolidated U.S. federal income tax
return in accordance with the provisions of the Internal Revenue Code of 1986,
as amended. The Company participates in a tax sharing agreement with MICC.
Under the agreement, current income tax expense (benefit) is computed on a
separate return basis and provides that members shall make payments (receive
reimbursement) to (from) MICC to the extent that their incomes (losses and
other credits) contribute to (reduce) the consolidated income tax expense. The
consolidating companies are reimbursed for net operating losses or other tax
attributes they have generated when utilized in the consolidated return.
The Company's accounting for income taxes represents management's best
estimate of various events and transactions.
Deferred tax assets and liabilities resulting from temporary differences
between the financial reporting and tax bases of assets and liabilities are
measured at the balance sheet date using enacted tax rates expected to apply to
taxable income in the years the temporary differences are expected to reverse.
The realization of deferred tax assets depends upon the existence of
sufficient taxable income within the carryback or carryforward periods under
the tax law in the applicable tax jurisdiction. Valuation allowances are
established when management determines, based on available information, that it
is more likely than not that deferred income tax assets will not be realized.
Significant judgment is required in determining whether valuation allowances
should be established, as well as the amount of such allowances. When making
such determination, consideration is given to, among other things, the
following:
(i)future taxable income exclusive of reversing temporary differences and
carryforwards;
(ii)future reversals of existing taxable temporary differences;
(iii)taxable income in prior carryback years; and
(iv)tax planning strategies.
22
METLIFE INVESTORS USA INSURANCE COMPANY
(A Wholly-Owned Subsidiary of MetLife Insurance Company of Connecticut)
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS -- (CONTINUED)
The Company may be required to change its provision for income taxes in
certain circumstances. Examples of such circumstances include when the ultimate
deductibility of certain items is challenged by taxing authorities (see
Note 9) or when estimates used in determining valuation allowances on deferred
tax assets significantly change or when receipt of new information indicates
the need for adjustment in valuation allowances. Additionally, future events,
such as changes in tax laws, tax regulations, or interpretations of such laws
or regulations, could have an impact on the provision for income tax and the
effective tax rate. Any such changes could significantly affect the amounts
reported in the consolidated financial statements in the year these changes
occur.
The Company determines whether it is more likely than not that a tax
position will be sustained upon examination by the appropriate taxing
authorities before any part of the benefit can be recorded in the financial
statements. A tax position is measured at the largest amount of benefit that is
greater than 50 percent likely of being realized upon settlement. Unrecognized
tax benefits due to tax uncertainties that do not meet the threshold are
included within other liabilities and are charged to earnings in the period
that such determination is made.
The Company classifies interest recognized as interest expense and penalties
recognized as a component of income tax.
Reinsurance
The Company enters into reinsurance agreements primarily as a purchaser of
reinsurance for its life insurance products and also as a provider of
reinsurance for some insurance products issued by third parties.
For each of its reinsurance agreements, the Company determines whether the
agreement provides indemnification against loss or liability relating to
insurance risk in accordance with applicable accounting standards. The Company
reviews all contractual features, particularly those that may limit the amount
of insurance risk to which the reinsurer is subject or features that delay the
timely reimbursement of claims.
For reinsurance of existing in-force blocks of long-duration contracts that
transfer significant insurance risk, the difference, if any, between the
amounts paid (received), and the liabilities ceded (assumed) related to the
underlying contracts is considered the net cost of reinsurance at the inception
of the reinsurance agreement. The net cost of reinsurance is recorded as an
adjustment to DAC and recognized as a component of other expenses on a basis
consistent with the way the acquisition costs on the underlying reinsured
contracts would be recognized.
Subsequent amounts paid (received) on the reinsurance of in-force blocks, as
well as amounts paid (received) related to new business, are recorded as ceded
(assumed) premiums and ceded (assumed) future policy benefit liabilities are
established.
The assumptions used to account for long-duration reinsurance agreements are
consistent with those used for the underlying contracts. Ceded policyholder and
contract related liabilities, other than those currently due, are reported
gross on the balance sheet.
Amounts currently recoverable under reinsurance agreements are included in
premiums, reinsurance and other receivables and amounts currently payable are
included in other liabilities. Such assets and liabilities relating to
reinsurance agreements with the same reinsurer may be recorded net on the
balance sheet, if a right of offset exists within the reinsurance agreement. In
the event that reinsurers do not meet their obligations to the Company under
the terms of the reinsurance agreements, reinsurance balances recoverable could
become uncollectible. In such instances, reinsurance recoverable balances are
stated net of allowances for uncollectible reinsurance.
23
METLIFE INVESTORS USA INSURANCE COMPANY
(A Wholly-Owned Subsidiary of MetLife Insurance Company of Connecticut)
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS -- (CONTINUED)
Premiums, fees and policyholder benefits and claims include amounts assumed
under reinsurance agreements and are net of reinsurance ceded. Amounts received
from reinsurers for policy administration are reported in other revenues.
If the Company determines that a reinsurance agreement does not expose the
reinsurer to a reasonable possibility of a significant loss from insurance
risk, the Company records the agreement using the deposit method of accounting.
Deposits received are included in other liabilities and deposits made are
included within premiums, reinsurance and other receivables. As amounts are
paid or received, consistent with the underlying contracts, the deposit assets
or liabilities are adjusted. Interest on such deposits is recorded as other
revenues or other expenses, as appropriate. Periodically, the Company evaluates
the adequacy of the expected payments or recoveries and adjusts the deposit
asset or liability through other revenues or other expenses, as appropriate.
Accounting for reinsurance requires extensive use of assumptions and
estimates, particularly related to the future performance of the underlying
business and the potential impact of counterparty credit risks. The Company
periodically reviews actual and anticipated experience compared to the
aforementioned assumptions used to establish assets and liabilities relating to
ceded and assumed reinsurance and evaluates the financial strength of
counterparties to its reinsurance agreements using criteria similar to that
evaluated in the security impairment process discussed previously.
Cessions under reinsurance arrangements do not discharge the Company's
obligations as the primary insurer.
Foreign Currency
The results of foreign operations, if any, are recorded based on the
functional currency of each entity. The determination of the functional
currency is made based on appropriate economic and management indicators. The
local currencies of foreign operations are the functional currencies. Assets
and liabilities are translated from the functional currency to U.S. dollars at
the exchange rates in effect at each year-end and income and expense accounts
are translated at the average rates of exchange prevailing during the year. The
resulting translation adjustments are charged or credited directly to other
comprehensive income or loss, net of applicable taxes. Gains and losses from
foreign currency transactions, including the effect of re-measurement of
monetary assets and liabilities to the appropriate functional currency, are
reported as part of net investment gains (losses) in the period in which they
occur.
Litigation Contingencies
The Company is a party to legal actions and is involved in regulatory
investigations. On a quarterly and annual basis, the Company reviews relevant
information with respect to liabilities for litigation, regulatory
investigations and litigation-related contingencies to be reflected in the
Company's consolidated financial statements. Given the inherent
unpredictability of these matters, it is difficult to estimate the impact on
the Company's financial position. Liabilities are established when it is
probable that a loss has been incurred and the amount of the loss can be
reasonably estimated. Although it is possible that an adverse outcome in
certain matters could have a material adverse effect upon the Company's
financial position, based on information currently known by the Company's
management, in its opinion, the outcome of such pending investigations and
legal proceedings are not likely to have such an effect. However, it is
possible that an adverse outcome in certain of the Company's litigation and
regulatory investigations, or the use of different assumptions in the
determination of amounts recorded could, from time to time, have a material
adverse effect upon the Company's consolidated net income or cash flows in
particular annual periods.
24
METLIFE INVESTORS USA INSURANCE COMPANY
(A Wholly-Owned Subsidiary of MetLife Insurance Company of Connecticut)
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS -- (CONTINUED)
Separate Accounts
Separate accounts are established in conformity with insurance laws and are
generally not chargeable with liabilities that arise from any other business of
the Company. Separate account assets are subject to general account claims only
to the extent the value of such assets exceeds the separate account
liabilities. Assets within the Company's separate accounts are comprised of
actively traded mutual funds. The Company reports separately, as assets and
liabilities, investments held in separate accounts and liabilities of the
separate accounts if (i) such separate accounts are legally recognized;
(ii) assets supporting the contract liabilities are legally insulated from the
Company's general account liabilities; (iii) investments are directed by the
contractholder; and (iv) all investment performance, net of contract fees and
assessments, is passed through to the contractholder. The Company reports
separate account assets meeting such criteria at their fair value which is
based on the estimated fair values of the underlying assets comprising the
portfolios of an individual separate account. Investment performance (including
investment income, net investment gains (losses) and changes in unrealized
gains (losses)) and the corresponding amounts credited to contractholders of
such separate accounts are offset within the same line in the consolidated
statements of operations.
The Company's revenues reflect fees charged to the separate accounts,
including mortality charges, risk charges, policy administration fees,
investment management fees and surrender charges.
ADOPTION OF NEW ACCOUNTING PRONOUNCEMENTS
Financial Instruments
Effective December 31, 2010, the Company adopted new guidance regarding
disclosures about the credit quality of financing receivables and valuation
allowances for credit losses, including credit quality indicators. Such
disclosures must be disaggregated by portfolio segment or class based on how a
company develops its valuation allowances for credit losses and how it manages
its credit exposure. The Company has provided all material required disclosures
in its consolidated financial statements. Certain additional disclosures will
be required for reporting periods ending March 31, 2011 and certain disclosures
relating to troubled debt restructurings have been deferred indefinitely.
Effective July 1, 2010, the Company adopted new guidance regarding
accounting for embedded credit derivatives within structured securities. This
guidance clarifies the type of embedded credit derivative that is exempt from
embedded derivative bifurcation requirements. Specifically, embedded credit
derivatives resulting only from subordination of one financial instrument to
another continue to qualify for the scope exception. Embedded credit derivative
features other than subordination must be analyzed to determine whether they
require bifurcation and separate accounting. The adoption of this guidance did
not have an impact on the Company's consolidated financial statements.
Effective January 1, 2010, the Company adopted new guidance related to
financial instrument transfers and consolidation of VIEs. The financial
instrument transfer guidance eliminates the concept of a qualified special
purpose entity ("QSPE"), eliminates the guaranteed mortgage securitization
exception, changes the criteria for achieving sale accounting when transferring
a financial asset and changes the initial recognition of retained beneficial
interests. The new consolidation guidance changes the definition of the primary
beneficiary, as well as the method of determining whether an entity is a
primary beneficiary of a VIE from a quantitative model to a qualitative model.
Under the new qualitative model, the entity that has both the ability to direct
the most significant activities of the VIE and the obligation to absorb losses
or receive benefits that could be significant to the VIE is considered to be
the primary beneficiary of the VIE. The guidance requires a quarterly
reassessment, as well as enhanced disclosures, including the effects of a
company's involvement with VIEs on its financial statements.
25
METLIFE INVESTORS USA INSURANCE COMPANY
(A Wholly-Owned Subsidiary of MetLife Insurance Company of Connecticut)
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS -- (CONTINUED)
Also effective January 1, 2010, the Company adopted new guidance that
indefinitely defers the above changes relating to the Company's interests in
entities that have all the attributes of an investment company or for which it
is industry practice to apply measurement principles for financial reporting
that are consistent with those applied by an investment company. As a result of
the deferral, the above guidance did not apply to certain real estate joint
ventures and other limited partnership interests held by the Company.
As more fully described in "Summary of Significant Accounting Policies and
Critical Accounting Estimates," effective April 1, 2009, the Company adopted
OTTI guidance. This guidance amends the previously used methodology for
determining whether an OTTI exists for fixed maturity securities, changes the
presentation of OTTI for fixed maturity securities and requires additional
disclosures for OTTI on fixed maturity and equity securities.
The Company had no net cumulative effect adjustment related to the adoption
of the OTTI guidance.
As a result of the adoption of the OTTI guidance, the Company's pre-tax
earnings for the year ended December 31, 2009 increased by $5 million, offset
by an increase in other comprehensive loss representing OTTI relating to
noncredit losses recognized during the year ended December 31, 2009.
Effective January 1, 2009, the Company adopted guidance on disclosures about
derivative instruments and hedging. This guidance requires enhanced qualitative
disclosures about objectives and strategies for using derivatives, quantitative
disclosures about fair value amounts of and gains and losses on derivative
instruments and disclosures about credit risk-related contingent features in
derivative agreements. The Company has provided all of the material disclosures
in its consolidated financial statements.
The following pronouncements relating to financial instruments had no
material impact on the Company's consolidated financial statements:
. Effective January 1, 2009, the Company adopted prospectively an update
on accounting for transfers of financial assets and repurchase financing
transactions. This update provides guidance for evaluating whether to
account for a transfer of a financial asset and repurchase financing as
a single transaction or as two separate transactions.
. Effective December 31, 2008, the Company adopted guidance on the
recognition of interest income and impairment on purchased beneficial
interests and beneficial interests that continue to be held by a
transferor in securitized financial assets. This new guidance more
closely aligns the determination of whether an OTTI has occurred for a
beneficial interest in a securitized financial asset with the original
guidance for fixed maturity securities classified as available-for-sale
or held-to-maturity.
. Effective January 1, 2008, the Company adopted guidance relating to
application of the shortcut method of accounting for derivative
instruments and hedging activities. This guidance permits interest rate
swaps to have a non-zero fair value at inception when applying the
shortcut method of assessing hedge effectiveness as long as the
difference between the transaction price (zero) and the fair value (exit
price), as defined by current accounting guidance on fair value
measurements, is solely attributable to a bid-ask spread. In addition,
entities are not precluded from applying the shortcut method of
assessing hedge effectiveness in a hedging relationship of interest rate
risk involving an interest bearing asset or liability in situations
where the hedged item is not recognized for accounting purposes until
settlement date as long as the period between trade date and settlement
date of the hedged item is consistent with generally established
conventions in the marketplace.
26
METLIFE INVESTORS USA INSURANCE COMPANY
(A Wholly-Owned Subsidiary of MetLife Insurance Company of Connecticut)
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS -- (CONTINUED)
. Effective January 1, 2008, the Company adopted guidance that permits a
reporting entity to offset fair value amounts recognized for the right
to reclaim cash collateral (a receivable) or the obligation to return
cash collateral (a payable) against fair value amounts recognized for
derivative instruments executed with the same counterparty under the
same master netting arrangement that have been offset. This guidance
also includes certain terminology modifications. Upon adoption of this
guidance, the Company did not change its accounting policy of not
offsetting fair value amounts recognized for derivative instruments
under master netting arrangements.
Business Combinations and Noncontrolling Interests
Effective January 1, 2009, the Company adopted revised guidance on business
combinations and accounting for noncontrolling interests in the consolidated
financial statements. Under this guidance:
. All business combinations (whether full, partial or "step" acquisitions)
result in all assets and liabilities of an acquired business being
recorded at fair value, with limited exceptions.
. Acquisition costs are generally expensed as incurred; restructuring
costs associated with a business combination are generally expensed as
incurred subsequent to the acquisition date.
. The fair value of the purchase price, including the issuance of equity
securities, is determined on the acquisition date.
. Assets acquired and liabilities assumed in a business combination that
arise from contingencies are recognized at fair value if the acquisition
date fair value can be reasonably determined. If the fair value is not
estimable, an asset or liability is recorded if existence or incurrence
at the acquisition date is probable and its amount is reasonably
estimable.
. Changes in deferred income tax asset valuation allowances and income tax
uncertainties after the acquisition date generally affect income tax
expense.
. Noncontrolling interests (formerly known as "minority interests") are
valued at fair value at the acquisition date and are presented as equity
rather than liabilities.
. Net income (loss) includes amounts attributable to noncontrolling
interests.
. When control is attained on previously noncontrolling interests, the
previously held equity interests are remeasured at fair value and a gain
or loss is recognized.
. Purchases or sales of equity interests that do not result in a change in
control are accounted for as equity transactions.
. When control is lost in a partial disposition, realized gains or losses
are recorded on equity ownership sold and the remaining ownership
interest is remeasured and holding gains or losses are recognized.
The adoption of this guidance on a prospective basis did not have an impact
on the Company's consolidated financial statements. As the Company did not have
a minority interest, the adoption of this guidance, which required
retrospective application of presentation requirements of noncontrolling
interest, did not have an impact on the Company's consolidated financial
statements.
27
METLIFE INVESTORS USA INSURANCE COMPANY
(A Wholly-Owned Subsidiary of MetLife Insurance Company of Connecticut)
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS -- (CONTINUED)
Effective January 1, 2009, the Company adopted prospectively guidance on
determination of the useful life of intangible assets. This guidance amends the
factors that should be considered in developing renewal or extension
assumptions used to determine the useful life of a recognized intangible asset.
This change is intended to improve the consistency between the useful life of a
recognized intangible asset and the period of expected future cash flows used
to measure the fair value of the asset. The Company determines useful lives and
provides all of the material disclosures prospectively on intangible assets
acquired on or after January 1, 2009 in accordance with this guidance.
Fair Value
Effective January 1, 2010, the Company adopted new guidance that requires
new disclosures about significant transfers into and/or out of Levels 1 and 2
of the fair value hierarchy and activity in Level 3. In addition, this guidance
provides clarification of existing disclosure requirements about level of
disaggregation and inputs and valuation techniques. The adoption of this
guidance did not have an impact on the Company's consolidated financial
statements.
Effective January 1, 2008, the Company adopted fair value measurements
guidance which defines fair value, establishes a consistent framework for
measuring fair value, establishes a fair value hierarchy based on the
observability of inputs used to measure fair value, and requires enhanced
disclosures about fair value measurements and applied this guidance
prospectively to assets and liabilities measured at fair value. The adoption of
this guidance changed the valuation of certain freestanding derivatives by
moving from a mid to bid pricing convention as it relates to certain volatility
inputs, as well as the addition of liquidity adjustments and adjustments for
risks inherent in a particular input or valuation technique. The adoption of
this guidance also changed the valuation of the Company's embedded derivatives,
most significantly the valuation of embedded derivatives associated with
certain guarantees on variable annuity contracts. The change in valuation of
embedded derivatives associated with guarantees on annuity contracts resulted
from the incorporation of risk margins associated with non-capital market
inputs and the inclusion of the Company's nonperformance risk in their
valuation. At January 1, 2008, the impact of adopting the guidance on assets
and liabilities measured at estimated fair value was $63 million ($41 million,
net of income tax) and was recognized as a change in estimate in the
accompanying consolidated statement of operations where it was presented in the
respective statement of operations caption to which the item measured at
estimated fair value is presented. There were no significant changes in
estimated fair value of items measured at fair value and reflected in
accumulated other comprehensive income (loss). The addition of risk margins and
the Company's nonperformance risk adjustment in the valuation of embedded
derivatives associated with annuity contracts may result in significant
volatility in the Company's consolidated net income in future periods. The
Company provided all of the material disclosures in Note 4.
The following pronouncements relating to fair value had no material impact
on the Company's consolidated financial statements:
. Effective September 30, 2008, the Company adopted guidance relating to
the fair value measurements of financial assets when the market for
those assets is not active. It provides guidance on how a company's
internal cash flow and discount rate assumptions should be considered in
the measurement of fair value when relevant market data does not exist,
how observable market information in an inactive market affects fair
value measurement and how the use of market quotes should be considered
when assessing the relevance of observable and unobservable data
available to measure fair value.
. Effective January 1, 2009, the Company implemented fair value
measurements guidance for certain nonfinancial assets and liabilities
that are recorded at fair value on a non-recurring basis. This guidance
applies to such items as: (i) nonfinancial assets and nonfinancial
liabilities initially measured at
28
METLIFE INVESTORS USA INSURANCE COMPANY
(A Wholly-Owned Subsidiary of MetLife Insurance Company of Connecticut)
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS -- (CONTINUED)
estimated fair value in a business combination; (ii) reporting units
measured at estimated fair value in the first step of a goodwill
impairment test; and (iii) indefinite-lived intangible assets measured
at estimated fair value for impairment assessment.
. Effective January 1, 2009, the Company adopted prospectively guidance on
issuer's accounting for liabilities measured at fair value with a
third-party credit enhancement. This guidance states that an issuer of a
liability with a third-party credit enhancement should not include the
effect of the credit enhancement in the fair value measurement of the
liability. In addition, it requires disclosures about the existence of
any third-party credit enhancement related to liabilities that are
measured at fair value.
. Effective April 1, 2009, the Company adopted guidance on: (i) estimating
the fair value of an asset or liability if there was a significant
decrease in the volume and level of trading activity for these assets or
liabilities; and (ii) identifying transactions that are not orderly. The
Company has provided all of the material disclosures in its consolidated
financial statements.
. Effective December 31, 2009, the Company adopted guidance on:
(i) measuring the fair value of investments in certain entities that
calculate NAV per share; (ii) how investments within its scope would be
classified in the fair value hierarchy; and (iii) enhanced disclosure
requirements for annual periods, about the nature and risks of
investments measured at fair value on a recurring or non-recurring basis.
. Effective December 31, 2009, the Company adopted guidance on measuring
liabilities at fair value. This guidance provides clarification for
measuring fair value in circumstances in which a quoted price in an
active market for the identical liability is not available. In such
circumstances a company is required to measure fair value using either a
valuation technique that uses: (i) the quoted price of the identical
liability when traded as an asset; or (ii) quoted prices for similar
liabilities or similar liabilities when traded as assets; or
(iii) another valuation technique that is consistent with the principles
of fair value measurement such as an income approach (e.g., present
value technique) or a market approach (e.g., "entry" value technique).
Other Pronouncements
Effective April 1, 2009, the Company adopted prospectively guidance which
establishes general standards for accounting and disclosures of events that
occur subsequent to the balance sheet date but before financial statements are
issued or available to be issued. The Company has provided all of the material
disclosures in its consolidated financial statements.
Effective January 1, 2008, the Company prospectively adopted guidance on the
sale of real estate when the agreement includes a buy-sell clause. This
guidance addresses whether the existence of a buy-sell arrangement would
preclude partial sales treatment when real estate is sold to a jointly owned
entity and concludes that the existence of a buy-sell clause does not
necessarily preclude partial sale treatment under current guidance. The
adoption of this guidance did not have a material impact on the Company's
consolidated financial statements.
FUTURE ADOPTION OF NEW ACCOUNTING PRONOUNCEMENTS
In April 2011, the Financial Accounting Standards Board ("FASB") issued new
guidance regarding accounting for troubled debt restructuring (Accounting
Standards Update ("ASU") 2011-02, Receivables (Topic 310): A Creditor's
Determination of Whether a Restructuring Is a Troubled Debt Restructuring),
effective for the first annual period beginning on or after June 15, 2011 and
should be applied retrospectively to the beginning of the annual period of
adoption. This guidance clarifies whether a creditor has granted a concession
and whether a debtor is experiencing financial difficulties for the purpose of
determining when a restructuring constitutes a troubled debt restructuring. The
Company is currently evaluating the impact of this guidance on its consolidated
financial statements.
29
METLIFE INVESTORS USA INSURANCE COMPANY
(A Wholly-Owned Subsidiary of MetLife Insurance Company of Connecticut)
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS -- (CONTINUED)
In December 2010, the FASB issued new guidance addressing when a business
combination should be assumed to have occurred for the purpose of providing pro
forma disclosure (ASU 2010-29, Business Combinations (Topic 805): Disclosure of
Supplementary Pro Forma Information for Business Combinations). Under the new
guidance, if an entity presents comparative financial statements, the entity
should disclose revenue and earnings of the combined entity as though the
business combination that occurred during the current year had occurred as of
the beginning of the comparable prior annual reporting period. The guidance
also expands the supplemental pro forma disclosures to include additional
narratives. The guidance is effective for fiscal years beginning on or after
December 15, 2010. The Company will apply the guidance prospectively on its
accounting for future acquisitions and does not expect the adoption of this
guidance to have a material impact on the Company's consolidated financial
statements.
In October 2010, the FASB issued new guidance regarding accounting for
deferred acquisition costs (ASU 2010-26, Accounting for Costs Associated with
Acquiring or Renewing Insurance Contracts) effective for the first quarter of
2012. This guidance clarifies the costs that should be deferred by insurance
entities when issuing and renewing insurance contracts. The guidance also
specifies that only costs related directly to successful acquisition of new or
renewal contracts can be capitalized. All other acquisition-related costs
should be expensed as incurred. The Company is currently evaluating the impact
of this guidance on its consolidated financial statements.
In April 2010, the FASB issued new guidance regarding accounting for
investment funds determined to be VIEs (ASU 2010-15, How Investments Held
through Separate Accounts Affect an Insurer's Consolidation Analysis of Those
Investments). Under this guidance, an insurance entity would not be required to
consolidate a voting-interest investment fund when it holds the majority of the
voting interests of the fund through its separate accounts. In addition, an
insurance entity would not consider the interests held through separate
accounts for the benefit of policyholders in the insurer's evaluation of its
economics in a VIE, unless the separate account contractholder is a related
party. The guidance is effective for the first quarter of 2011. The Company
does not expect the adoption of this new guidance to have a material impact on
its consolidated financial statements.
30
METLIFE INVESTORS USA INSURANCE COMPANY
(A Wholly-Owned Subsidiary of MetLife Insurance Company of Connecticut)
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS -- (CONTINUED)
2. INVESTMENTS
FIXED MATURITY AND EQUITY SECURITIES AVAILABLE-FOR-SALE
The following tables present the cost or amortized cost, gross unrealized
gain and loss, estimated fair value of the Company's fixed maturity and equity
securities and the percentage that each sector represents by the respective
total holdings for the periods shown. The unrealized loss amounts presented
below include the noncredit loss component of OTTI loss:
DECEMBER 31, 2010
---------------------------------------------
GROSS UNREALIZED
COST OR ------------------- ESTIMATED
AMORTIZED TEMPORARY OTTI FAIR % OF
COST GAIN LOSS LOSS VALUE TOTAL
--------- ---- --------- ---- --------- -----
(IN MILLIONS)
FIXED MATURITY SECURITIES:
U.S. corporate securities.................. $3,186 $220 $ 34 $ -- $3,372 38.9%
Foreign corporate securities............... 1,394 103 7 -- 1,490 17.1
U.S. Treasury and agency securities........ 1,153 18 28 -- 1,143 13.2
RMBS....................................... 956 52 18 6 984 11.3
State and political subdivision securities. 643 10 23 -- 630 7.3
CMBS....................................... 490 26 3 -- 513 5.9
ABS........................................ 409 13 13 -- 409 4.7
Foreign government securities.............. 119 16 -- -- 135 1.6
------ ---- ---- ---- ------ -----
Total fixed maturity securities (1) (2)... $8,350 $458 $126 $ 6 $8,676 100.0%
====== ==== ==== ==== ====== =====
EQUITY SECURITIES:
Common stock............................... $ 1 $ 1 $ -- $ -- $ 2 66.7%
Non-redeemable preferred stock (1)......... 2 -- 1 -- 1 33.3
------ ---- ---- ---- ------ -----
Total equity securities (3)............... $ 3 $ 1 $ 1 $ -- $ 3 100.0%
====== ==== ==== ==== ====== =====
DECEMBER 31, 2009
---------------------------------------------
GROSS UNREALIZED
COST OR ------------------- ESTIMATED
AMORTIZED TEMPORARY OTTI FAIR % OF
COST GAIN LOSS LOSS VALUE TOTAL
--------- ---- --------- ---- --------- -----
(IN MILLIONS)
FIXED MATURITY SECURITIES:
U.S. corporate securities.................. $2,893 $112 $ 60 $ -- $2,945 37.8%
Foreign corporate securities............... 943 42 18 -- 967 12.4
U.S. Treasury and agency securities........ 919 5 65 -- 859 11.0
RMBS....................................... 1,379 34 44 3 1,366 17.5
State and political subdivision securities. 358 5 12 -- 351 4.5
CMBS....................................... 738 5 31 -- 712 9.1
ABS........................................ 525 11 26 1 509 6.5
Foreign government securities.............. 87 9 -- -- 96 1.2
------ ---- ---- ---- ------ -----
Total fixed maturity securities (1) (2)... $7,842 $223 $256 $ 4 $7,805 100.0%
====== ==== ==== ==== ====== =====
EQUITY SECURITIES:
Common stock............................... $ 2 $ -- $ -- $ -- $ 2 66.7%
Non-redeemable preferred stock (1)......... 2 -- 1 -- 1 33.3
------ ---- ---- ---- ------ -----
Total equity securities (3)............... $ 4 $ -- $ 1 $ -- $ 3 100.0%
====== ==== ==== ==== ====== =====
31
METLIFE INVESTORS USA INSURANCE COMPANY
(A Wholly-Owned Subsidiary of MetLife Insurance Company of Connecticut)
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS -- (CONTINUED)
--------
(1)Upon acquisition, the Company classifies perpetual securities that have
attributes of both debt and equity as fixed maturity securities if the
security has an interest rate step-up feature which, when combined with
other qualitative factors, indicates that the security has more debt-like
characteristics. The Company classifies perpetual securities with an
interest rate step-up feature which, when combined with other qualitative
factors, indicates that the security has more equity-like characteristics,
as equity securities within non-redeemable preferred stock. Many of such
securities have been issued by non-U.S. financial institutions that are
accorded Tier 1 and Upper Tier 2 capital treatment by their respective
regulatory bodies and are commonly referred to as "perpetual hybrid
securities." The following table presents the perpetual hybrid securities
held by the Company at:
DECEMBER 31,
-------------------
2010 2009
--------- ---------
ESTIMATED ESTIMATED
CLASSIFICATION FAIR FAIR
----------------------------------------------------------------------------------------------
CONSOLIDATED BALANCE SHEETS SECTOR TABLE PRIMARY ISSUERS VALUE VALUE
--------------------------- ------------------------------- -------------------------------- --------- ---------
(IN MILLIONS)
Equity securities........... Non-redeemable preferred stock Non-U.S. financial institutions $ 1 $ 1
Fixed maturity securities... Foreign corporate securities Non-U.S. financial institutions $31 $32
--------
(2)The Company's holdings in redeemable preferred stock with stated maturity
dates, commonly referred to as "capital securities", were primarily issued
by U.S. financial institutions and have cumulative interest deferral
features. The Company held $60 million and $43 million at estimated fair
value of such securities at December 31, 2010 and 2009, respectively, which
are included in the U.S. and foreign corporate securities sectors within
fixed maturity securities.
(3)Equity securities primarily consist of investments in common and preferred
stocks, including certain perpetual hybrid securities and mutual fund
interests. Privately-held equity securities represented less than $1 million
at estimated fair value at both December 31, 2010 and 2009.
The Company held foreign currency derivatives with notional amounts of
$117 million and $55 million to hedge the exchange rate risk associated with
foreign denominated fixed maturity securities at December 31, 2010 and 2009,
respectively.
The below investment grade and non-income producing amounts presented below
are based on rating agency designations and equivalent designations of the
National Association of Insurance Commissioners ("NAIC"), with the exception of
certain structured securities described below. Non-agency RMBS, including RMBS
backed by sub-prime mortgage loans reported within ABS, CMBS and all other ABS
are presented based on final ratings from the revised NAIC rating methodologies
which became effective December 31, 2009 for non-agency RMBS, including RMBS
backed by sub-prime mortgage loans reported within ABS, and December 31, 2010
for CMBS and the remaining ABS (which may not correspond to rating agency
designations). All NAIC designation (e.g., NAIC 1 -- 6) amounts and percentages
presented herein are based on the revised NAIC methodologies. All rating agency
designation (e.g., Aaa/AAA) amounts and percentages presented herein are based
on rating agency designations without adjustment for the revised NAIC
methodologies described above. Rating agency designations are based on
availability of applicable ratings from rating agencies on the NAIC acceptable
rating organization list, including Moody's Investors Service ("Moody's"), S&P
and Fitch Ratings ("Fitch").
32
METLIFE INVESTORS USA INSURANCE COMPANY
(A Wholly-Owned Subsidiary of MetLife Insurance Company of Connecticut)
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS -- (CONTINUED)
The following table presents selected information about certain fixed
maturity securities held by the Company at:
DECEMBER 31,
-----------
2010 2009
---- ----
(IN MILLIONS)
Below investment grade or non-rated fixed maturity securities:
Estimated fair value.......................................... $686 $413
Net unrealized gain (loss).................................... $ 10 $(32)
Non-income producing fixed maturity securities:
Estimated fair value.......................................... $ -- $ 4
Net unrealized gain (loss).................................... $ -- $ (1)
Concentrations of Credit Risk (Fixed Maturity Securities) -- Summary. The
following section contains a summary of the concentrations of credit risk
related to fixed maturity securities holdings.
The Company was not exposed to any concentrations of credit risk of any
single issuer greater than 10% of the Company's stockholder's equity, other
than securities of the U.S. government and certain U.S. government agencies.
The Company's holdings in U.S. Treasury and agency fixed maturity securities at
estimated fair value were $1,143 million and $859 million at December 31, 2010
and 2009, respectively.
Concentrations of Credit Risk (Fixed Maturity Securities) -- U.S. and
Foreign Corporate Securities. The Company maintains a diversified portfolio of
corporate fixed maturity securities across industries and issuers. This
portfolio does not have an exposure to any single issuer in excess of 1% of
total investments. The tables below present for all corporate fixed maturity
securities holdings, corporate securities by sector, U.S. corporate securities
by major industry types, the largest exposure to a single issuer and the
combined holdings in the ten issuers to which it had the largest exposure at:
DECEMBER 31,
--------------------------------
2010 2009
--------------- ---------------
ESTIMATED ESTIMATED
FAIR % OF FAIR % OF
VALUE TOTAL VALUE TOTAL
--------- ----- --------- -----
(IN MILLIONS)
Corporate fixed maturity securities -- by sector:
Foreign corporate fixed maturity securities (1)......... $1,490 30.6% $ 967 24.7%
U.S. corporate fixed maturity securities -- by industry:
Consumer................................................ 914 18.8 787 20.1
Industrial.............................................. 888 18.3 761 19.5
Utility................................................. 829 17.0 696 17.8
Finance................................................. 319 6.6 345 8.8
Communications.......................................... 311 6.4 290 7.4
Other................................................... 111 2.3 66 1.7
------ ----- ------ -----
Total................................................. $4,862 100.0% $3,912 100.0%
====== ===== ====== =====
--------
(1)Includes U.S. dollar-denominated debt obligations of foreign obligors and
other foreign fixed maturity securities.
33
METLIFE INVESTORS USA INSURANCE COMPANY
(A Wholly-Owned Subsidiary of MetLife Insurance Company of Connecticut)
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS -- (CONTINUED)
DECEMBER 31,
------------------------------------------
2010 2009
-------------------- --------------------
ESTIMATED ESTIMATED
FAIR % OF TOTAL FAIR % OF TOTAL
VALUE INVESTMENTS VALUE INVESTMENTS
--------- ----------- --------- -----------
(IN MILLIONS)
Concentrations within corporate fixed maturity securities:
Largest exposure to a single issuer....................... $ 60 0.6% $ 55 0.6%
Holdings in ten issuers with the largest exposures........ $444 4.1% $415 4.3%
Concentrations of Credit Risk (Fixed Maturity Securities) -- RMBS. The table
below presents the Company's RMBS holdings and portion rated Aaa/AAA and
portion rated NAIC 1 at:
DECEMBER 31,
--------------------------------
2010 2009
--------------- ---------------
ESTIMATED ESTIMATED
FAIR % OF FAIR % OF
VALUE TOTAL VALUE TOTAL
--------- ----- --------- -----
(IN MILLIONS)
By security type:
Collateralized mortgage obligations.... $643 65.3% $ 657 48.1%
Pass-through securities................ 341 34.7 709 51.9
---- ----- ------ -----
Total RMBS........................... $984 100.0% $1,366 100.0%
==== ===== ====== =====
By risk profile:
Agency................................. $788 80.1% $1,172 85.8%
Prime.................................. 115 11.7 113 8.3
Alternative residential mortgage loans. 81 8.2 81 5.9
---- ----- ------ -----
Total RMBS........................... $984 100.0% $1,366 100.0%
==== ===== ====== =====
Portion rated Aaa/AAA................... $811 82.4% $1,191 87.2%
==== ===== ====== =====
Portion rated NAIC 1.................... $841 85.5% $1,277 93.5%
==== ===== ====== =====
Collateralized mortgage obligations are a type of mortgage-backed security
structured by dividing the cash flows of mortgages into separate pools or
tranches of risk that create multiple classes of bonds with varying maturities
and priority of payments. Pass-through mortgage-backed securities are a type of
asset-backed security that is secured by a mortgage or collection of mortgages.
The monthly mortgage payments from homeowners pass from the originating bank
through an intermediary, such as a government agency or investment bank, which
collects the payments, and for a fee, remits or passes these payments through
to the holders of the pass-through securities.
Prime residential mortgage lending includes the origination of residential
mortgage loans to the most creditworthy borrowers with high quality credit
profiles. Alternative residential mortgage loans ("Alt-A") are a classification
of mortgage loans where the risk profile of the borrower falls between prime
and sub-prime. Sub-prime mortgage lending is the origination of residential
mortgage loans to borrowers with weak credit profiles.
34
METLIFE INVESTORS USA INSURANCE COMPANY
(A Wholly-Owned Subsidiary of MetLife Insurance Company of Connecticut)
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS -- (CONTINUED)
The following tables present the Company's investment in Alt-A RMBS by
vintage year (vintage year refers to the year of origination and not to the
year of purchase) and certain other selected data:
DECEMBER 31,
--------------------------------
2010 2009
--------------- ---------------
ESTIMATED ESTIMATED
FAIR % OF FAIR % OF
VALUE TOTAL VALUE TOTAL
--------- ----- --------- -----
(IN MILLIONS)
VINTAGE YEAR:
2005 & Prior.. $35 43.2% $40 49.4%
2006.......... 21 25.9 15 18.5
2007.......... 25 30.9 26 32.1
2008 to 2010.. -- -- -- --
--- ----- --- -----
Total........ $81 100.0% $81 100.0%
=== ===== === =====
DECEMBER 31,
--------------------------
2010 2009
- ------------ ------------
% OF % OF
AMOUNT TOTAL AMOUNT TOTAL
- ------ ----- ------ -----
(IN MILLIONS)
Net unrealized gain (loss)................................................. $(9) $(18)
Rated Aa/AA or better...................................................... --% 4.5%
Rated NAIC 1............................................................... 3.9% 9.3%
Distribution of holdings -- at estimated fair value -- by collateral type:
Fixed rate mortgage loans collateral...................................... 100.0% 100.0%
Hybrid adjustable rate mortgage loans collateral.......................... -- --
----- -----
Total Alt-A RMBS........................................................ 100.0% 100.0%
===== =====
Concentrations of Credit Risk (Fixed Maturity Securities) -- CMBS. The
Company's holdings in CMBS were $513 million and $712 million at estimated fair
value at December 31, 2010 and 2009, respectively. The Company had no exposure
to CMBS index securities at December 31, 2010 or 2009. The Company held
commercial real estate collateralized debt obligations securities of $5 million
and less than $1 million at estimated fair value at December 31, 2010 and 2009,
respectively.
The following tables present the Company's holdings of CMBS by vintage year
and certain other selected data at:
DECEMBER 31,
--------------------------------
2010 2009
--------------- ---------------
ESTIMATED ESTIMATED
FAIR % OF FAIR % OF
VALUE TOTAL VALUE TOTAL
--------- ----- --------- -----
(IN MILLIONS)
VINTAGE YEAR:
2003 & Prior.. $234 45.6% $370 52.0%
2004.......... 65 12.7 95 13.4
2005.......... 170 33.1 200 28.0
2006.......... 44 8.6 47 6.6
2007 to 2010.. -- -- -- --
---- ----- ---- -----
Total........ $513 100.0% $712 100.0%
==== ===== ==== =====
35
METLIFE INVESTORS USA INSURANCE COMPANY
(A Wholly-Owned Subsidiary of MetLife Insurance Company of Connecticut)
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS -- (CONTINUED)
DECEMBER 31,
------------------------
2010 2009
----------- -----------
% OF % OF
AMOUNT TOTAL AMOUNT TOTAL
------ ----- ------ -----
(IN MILLIONS)
Net unrealized gain (loss). $23 $(26)
Rated Aaa/AAA.............. 92% 91%
Rated NAIC 1............... 97% 98%
The portion rated Aaa/AAA at December 31, 2010 reflects rating agency
designations assigned by nationally recognized rating agencies including
Moody's, S&P, Fitch and Realpoint, LLC. The portion rated Aaa/AAA at
December 31, 2009 reflects rating agency designations assigned by nationally
recognized rating agencies including Moody's, S&P and Fitch.
Concentrations of Credit Risk (Fixed Maturity Securities) -- ABS. The
Company's holdings in ABS were $409 million and $509 million at estimated fair
value at December 31, 2010 and 2009, respectively. The Company's ABS are
diversified both by collateral type and by issuer.
The following table presents the collateral type and certain other
information about ABS held by the Company at:
DECEMBER 31,
--------------------------------
2010 2009
--------------- ---------------
ESTIMATED ESTIMATED
FAIR % OF FAIR % OF
VALUE TOTAL VALUE TOTAL
--------- ----- --------- -----
(IN MILLIONS)
By collateral type:
Credit card loans....................... $181 44.2% $251 49.3%
Student loans........................... 38 9.3 52 10.2
Automobile loans........................ 29 7.1 60 11.8
RMBS backed by sub-prime mortgage loans. 26 6.4 21 4.1
Other loans............................. 135 33.0 125 24.6
---- ----- ---- -----
Total................................. $409 100.0% $509 100.0%
==== ===== ==== =====
Portion rated Aaa/AAA.................... $345 84.4% $458 90.0%
==== ===== ==== =====
Portion rated NAIC 1..................... $391 95.6% $499 98.0%
==== ===== ==== =====
Concentrations of Credit Risk (Equity Securities). The Company was not
exposed to any concentrations of credit risk in its equity securities holdings
of any single issuer greater than 10% of the Company's stockholder's equity or
1% of total investments at December 31, 2010 and 2009.
36
METLIFE INVESTORS USA INSURANCE COMPANY
(A Wholly-Owned Subsidiary of MetLife Insurance Company of Connecticut)
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS -- (CONTINUED)
Maturities of Fixed Maturity Securities. The amortized cost and estimated
fair value of fixed maturity securities, by contractual maturity date
(excluding scheduled sinking funds), were as follows at:
DECEMBER 31,
---------------------------------------
2010 2009
------------------- -------------------
ESTIMATED ESTIMATED
AMORTIZED FAIR AMORTIZED FAIR
COST VALUE COST VALUE
--------- --------- --------- ---------
(IN MILLIONS)
Due in one year or less................ $ 128 $ 132 $ 149 $ 151
Due after one year through five years.. 1,095 1,145 740 775
Due after five years through ten years. 2,264 2,432 1,965 2,006
Due after ten years.................... 3,008 3,061 2,346 2,286
------ ------ ------ ------
Subtotal.............................. 6,495 6,770 5,200 5,218
RMBS, CMBS and ABS..................... 1,855 1,906 2,642 2,587
------ ------ ------ ------
Total fixed maturity securities....... $8,350 $8,676 $7,842 $7,805
====== ====== ====== ======
Actual maturities may differ from contractual maturities due to the exercise
of call or prepayment options. Fixed maturity securities not due at a single
maturity date have been included in the above table in the year of final
contractual maturity. RMBS, CMBS and ABS are shown separately in the table, as
they are not due at a single maturity.
EVALUATING AVAILABLE-FOR-SALE SECURITIES FOR OTHER-THAN-TEMPORARY IMPAIRMENT
As described more fully in Note 1, the Company performs a regular
evaluation, on a security-by-security basis, of its available-for-sale
securities holdings, including fixed maturity securities, equity securities and
perpetual hybrid securities, in accordance with its impairment policy in order
to evaluate whether such investments are other-than-temporarily impaired. As
described more fully in Note 1, effective April 1, 2009, the Company adopted
OTTI guidance that amends the methodology for determining for fixed maturity
securities whether an OTTI exists, and for certain fixed maturity securities,
changes how the amount of the OTTI loss that is charged to earnings is
determined. There was no change in the OTTI methodology for equity securities.
37
METLIFE INVESTORS USA INSURANCE COMPANY
(A Wholly-Owned Subsidiary of MetLife Insurance Company of Connecticut)
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS -- (CONTINUED)
NET UNREALIZED INVESTMENT GAINS (LOSSES)
The components of net unrealized investment gains (losses), included in
accumulated other comprehensive income (loss), were as follows:
YEARS ENDED DECEMBER 31,
-----------------------
2010 2009 2008
---- ---- -----
(IN MILLIONS)
Fixed maturity securities............................................................ $331 $(33) $(372)
Fixed maturity securities with noncredit OTTI losses in accumulated other
comprehensive income (loss)........................................................ (6) (4) --
---- ---- -----
Total fixed maturity securities..................................................... 325 (37) (372)
Equity securities.................................................................... -- (1) (4)
Derivatives.......................................................................... (73) -- 1
Short-term investments............................................................... -- (9) (100)
---- ---- -----
Subtotal.......................................................................... 252 (47) (475)
---- ---- -----
Amounts allocated from:
Insurance liability loss recognition................................................ (34) -- --
DAC related to noncredit OTTI losses recognized in accumulated other
comprehensive income (loss)....................................................... 1 -- --
DAC................................................................................. (53) (6) 53
---- ---- -----
Subtotal.......................................................................... (86) (6) 53
Deferred income tax benefit (expense) related to noncredit OTTI losses recognized in
accumulated other comprehensive income (loss)...................................... 2 2 --
Deferred income tax benefit (expense)................................................ (61) 16 148
---- ---- -----
Net unrealized investment gains (losses).......................................... $107 $(35) $(274)
==== ==== =====
Fixed maturity securities with noncredit OTTI losses in accumulated other
comprehensive income (loss), as presented above of ($6) million at December 31,
2010, includes ($4) million recognized prior to January 1, 2010, ($5) million
(($4) million, net of DAC) of noncredit OTTI losses recognized in the year
ended December 31, 2010 and $3 million of subsequent increases in estimated
fair value during the year ended December 31, 2010 on such securities for which
a noncredit OTTI loss was previously recognized in accumulated other
comprehensive income (loss).
Fixed maturity securities with noncredit OTTI losses in accumulated other
comprehensive income (loss), as presented above of ($4) million at December 31,
2009, includes ($5) million of noncredit OTTI losses recognized in the year
ended December 31, 2009 and $1 million of subsequent increases in estimated
fair value during the year ended December 31, 2009 on such securities for which
a noncredit OTTI loss was previously recognized in accumulated other
comprehensive income (loss).
38
METLIFE INVESTORS USA INSURANCE COMPANY
(A Wholly-Owned Subsidiary of MetLife Insurance Company of Connecticut)
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS -- (CONTINUED)
The changes in net unrealized investment gains (losses) were as follows:
YEARS ENDED DECEMBER 31,
-----------------------
2010 2009 2008
---- ----- -----
(IN MILLIONS)
Balance, beginning of period.............................................................. $(35) $(274) $ (8)
Fixed maturity securities on which noncredit OTTI losses have been recognized............. (2) (4) --
Unrealized investment gains (losses) during the year...................................... 301 432 (477)
Unrealized investment gains (losses) relating to:
Insurance liability gain (loss) recognition............................................... (34) -- --
DAC related to noncredit OTTI losses recognized in accumulated other comprehensive income
(loss)................................................................................... 1 -- --
DAC..................................................................................... (47) (59) 68
Deferred income tax benefit (expense) related to noncredit OTTI losses recognized in
accumulated other comprehensive income (loss).......................................... -- 2 --
Deferred income tax benefit (expense)................................................... (77) (132) 143
---- ----- -----
Balance, end of period.................................................................... $107 $ (35) $(274)
==== ===== =====
Change in net unrealized investment gains (losses)........................................ $142 $ 239 $(266)
==== ===== =====
CONTINUOUS GROSS UNREALIZED LOSS AND OTTI LOSS FOR FIXED MATURITY AND EQUITY
SECURITIES AVAILABLE-FOR-SALE BY SECTOR
The following tables present the estimated fair value and gross unrealized
loss of the Company's fixed maturity and equity securities in an unrealized
loss position, aggregated by sector and by length of time that the securities
have been in a continuous unrealized loss position. The unrealized loss amounts
presented below include the noncredit component of OTTI loss. Fixed maturity
securities on which a noncredit OTTI loss has been recognized in accumulated
other comprehensive income (loss) are categorized by length of time as being
"less than 12 months" or "equal to or greater than 12 months" in a continuous
unrealized loss position based on the point in time that the estimated fair
value initially declined to below the amortized cost basis and not the period
of time since the unrealized loss was deemed a noncredit OTTI loss.
DECEMBER 31, 2010
--------------------------------------------------------------
EQUAL TO OR GREATER
LESS THAN 12 MONTHS THAN 12 MONTHS TOTAL
-------------------- -------------------- --------------------
ESTIMATED GROSS ESTIMATED GROSS ESTIMATED GROSS
FAIR UNREALIZED FAIR UNREALIZED FAIR UNREALIZED
VALUE LOSS VALUE LOSS VALUE LOSS
--------- ---------- --------- ---------- --------- ----------
(IN MILLIONS, EXCEPT NUMBER OF SECURITIES)
FIXED MATURITY SECURITIES:
U.S. corporate securities........................ $ 275 $ 9 $164 $25 $ 439 $ 34
Foreign corporate securities..................... 111 2 45 5 156 7
U.S. Treasury and agency securities.............. 462 18 52 10 514 28
RMBS............................................. 87 2 142 22 229 24
State and political subdivision securities....... 350 15 17 8 367 23
CMBS............................................. 24 -- 27 3 51 3
ABS.............................................. 6 -- 65 13 71 13
Foreign government securities.................... 9 -- -- -- 9 --
------ --- ---- --- ------ ----
Total fixed maturity securities................ $1,324 $46 $512 $86 $1,836 $132
====== === ==== === ====== ====
EQUITY SECURITIES:
Non-redeemable preferred stock................... $ -- $-- $ 1 $ 1 $ 1 $ 1
------ --- ---- --- ------ ----
Total equity securities........................ $ -- $-- $ 1 $ 1 $ 1 $ 1
====== === ==== === ====== ====
Total number of securities in an unrealized loss
position........................................ 167 127
====== ====
39
METLIFE INVESTORS USA INSURANCE COMPANY
(A Wholly-Owned Subsidiary of MetLife Insurance Company of Connecticut)
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS -- (CONTINUED)
DECEMBER 31, 2009
--------------------------------------------------------------
EQUAL TO OR GREATER
LESS THAN 12 MONTHS THAN 12 MONTHS TOTAL
-------------------- -------------------- --------------------
ESTIMATED GROSS ESTIMATED GROSS ESTIMATED GROSS
FAIR UNREALIZED FAIR UNREALIZED FAIR UNREALIZED
VALUE LOSS VALUE LOSS VALUE LOSS
--------- ---------- --------- ---------- --------- ----------
(IN MILLIONS, EXCEPT NUMBER OF SECURITIES)
FIXED MATURITY SECURITIES:
U.S. corporate securities................... $ 563 $11 $375 $ 49 $ 938 $ 60
Foreign corporate securities................ 185 7 68 11 253 18
U.S. Treasury and agency securities......... 717 65 -- -- 717 65
RMBS........................................ 389 7 189 40 578 47
State and political subdivision securities.. 181 6 18 6 199 12
CMBS........................................ 156 1 231 30 387 31
ABS......................................... 31 1 117 26 148 27
Foreign government securities............... 4 -- -- -- 4 --
------ --- ---- ---- ------ ----
Total fixed maturity securities............ $2,226 $98 $998 $162 $3,224 $260
====== === ==== ==== ====== ====
EQUITY SECURITIES:
Non-redeemable preferred stock.............. $ 1 $ 1 $ -- $ -- $ 1 $ 1
------ --- ---- ---- ------ ----
Total equity securities.................... $ 1 $ 1 $ -- $ -- $ 1 $ 1
====== === ==== ==== ====== ====
Total number of securities in an unrealized
loss position............................. 212 246
====== ====
40
METLIFE INVESTORS USA INSURANCE COMPANY
(A Wholly-Owned Subsidiary of MetLife Insurance Company of Connecticut)
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS -- (CONTINUED)
AGING OF GROSS UNREALIZED LOSS AND OTTI LOSS FOR FIXED MATURITY AND EQUITY
SECURITIES AVAILABLE-FOR-SALE
The following tables present the cost or amortized cost, gross unrealized
loss, including the portion of OTTI loss on fixed maturity securities
recognized in accumulated other comprehensive income (loss), gross unrealized
loss as a percentage of cost or amortized cost and number of securities for
fixed maturity and equity securities where the estimated fair value had
declined and remained below cost or amortized cost by less than 20%, or 20% or
more at:
DECEMBER 31, 2010
-----------------------------------------------------------------
COST OR AMORTIZED COST GROSS UNREALIZED LOSS NUMBER OF SECURITIES
---------------------- -------------------- --------------------
LESS THAN 20% OR LESS THAN 20% OR LESS THAN 20% OR
20% MORE 20% MORE 20% MORE
--------- ------ --------- ------ --------- ------
(IN MILLIONS, EXCEPT NUMBER OF SECURITIES)
FIXED MATURITY SECURITIES:
Less than six months........................ $1,364 $ 42 $45 $10 164 7
Six months or greater but less than nine
months.................................... -- 14 -- 3 -- 3
Nine months or greater but less than twelve
months.................................... 4 3 -- 1 2 1
Twelve months or greater.................... 461 80 50 23 92 24
------ ---- --- ---
Total...................................... $1,829 $139 $95 $37
====== ==== === ===
Percentage of amortized cost................ 5% 27%
=== ===
EQUITY SECURITIES:
Less than six months........................ $ -- $ -- $-- $-- -- --
Six months or greater but less than nine
months.................................... -- -- -- -- -- --
Nine months or greater but less than twelve
months.................................... -- -- -- -- -- --
Twelve months or greater.................... -- 2 -- 1 -- 1
------ ---- --- ---
Total...................................... $ -- $ 2 $-- $ 1
====== ==== === ===
Percentage of cost.......................... --% 50%
=== ===
41
METLIFE INVESTORS USA INSURANCE COMPANY
(A Wholly-Owned Subsidiary of MetLife Insurance Company of Connecticut)
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS -- (CONTINUED)
DECEMBER 31, 2009
-----------------------------------------------------------------
COST OR AMORTIZED COST GROSS UNREALIZED LOSS NUMBER OF SECURITIES
---------------------- -------------------- --------------------
LESS THAN 20% OR LESS THAN 20% OR LESS THAN 20% OR
20% MORE 20% MORE 20% MORE
--------- ------ --------- ------ --------- ------
(IN MILLIONS, EXCEPT NUMBER OF SECURITIES)
FIXED MATURITY SECURITIES:
Less than six months........................ $1,830 $ 94 $ 51 $ 20 196 10
Six months or greater but less than nine
months.................................... 327 18 25 4 9 2
Nine months or greater but less than twelve
months.................................... 101 30 8 9 6 9
Twelve months or greater.................... 822 262 57 86 177 51
------ ---- ---- ----
Total...................................... $3,080 $404 $141 $119
====== ==== ==== ====
Percentage of amortized cost................ 5% 29%
==== ====
EQUITY SECURITIES:
Less than six months........................ $ -- $ -- $ -- $ -- -- --
Six months or greater but less than nine
months.................................... -- -- -- -- -- --
Nine months or greater but less than twelve
months.................................... -- 2 -- 1 -- 1
Twelve months or greater.................... -- -- -- -- -- --
------ ---- ---- ----
Total...................................... $ -- $ 2 $ -- $ 1
====== ==== ==== ====
Percentage of cost.......................... --% 50%
==== ====
Equity securities with a gross unrealized loss of 20% or more for twelve
months or greater increased from $0 at December 31, 2009 to $1 million at
December 31, 2010. As shown in the section "-- Evaluating Temporarily Impaired
Available-for-Sale Securities" below, all $1 million of equity securities with
a gross unrealized loss of 20% or more for twelve months or greater at
December 31, 2010 were financial services industry investment grade
non-redeemable preferred stock rated A or better.
42
METLIFE INVESTORS USA INSURANCE COMPANY
(A Wholly-Owned Subsidiary of MetLife Insurance Company of Connecticut)
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS -- (CONTINUED)
CONCENTRATION OF GROSS UNREALIZED LOSS AND OTTI LOSS FOR FIXED MATURITY AND
EQUITY SECURITIES AVAILABLE-FOR-SALE
The Company's gross unrealized losses related to its fixed maturity and
equity securities, including the portion of OTTI loss on fixed maturity
securities recognized in accumulated other comprehensive income (loss) of
$133 million and $261 million at December 31, 2010 and 2009, respectively, were
concentrated, calculated as a percentage of gross unrealized loss and OTTI
loss, by sector and industry as follows:
DECEMBER 31,
-----------
2010 2009
---- ----
SECTOR:
U.S. corporate securities.................. 26% 23%
U.S. Treasury and agency securities........ 21 25
RMBS....................................... 18 18
State and political subdivision securities. 17 4
ABS........................................ 10 10
Foreign corporate securities............... 6 7
CMBS....................................... 2 12
Other...................................... -- 1
--- ---
Total.................................... 100% 100%
=== ===
INDUSTRY:
U.S. Treasury and agency securities........ 21% 25%
Mortgage-backed............................ 20 30
State and political subdivision securities. 17 4
Finance.................................... 17 16
Asset-backed............................... 10 10
Consumer................................... 3 3
Utility.................................... 2 2
Industrial................................. 1 1
Communications............................. 1 1
Other...................................... 8 8
--- ---
Total.................................... 100% 100%
=== ===
EVALUATING TEMPORARILY IMPAIRED AVAILABLE-FOR-SALE SECURITIES
The following table presents the Company's fixed maturity and equity
securities, each with a gross unrealized loss of greater than $10 million, the
number of securities, total gross unrealized loss and percentage of total gross
unrealized loss at:
DECEMBER 31,
--------------------------------------------------
2010 2009
------------------------ ------------------------
FIXED MATURITY EQUITY FIXED MATURITY EQUITY
SECURITIES SECURITIES SECURITIES SECURITIES
-------------- ---------- -------------- ----------
(IN MILLIONS, EXCEPT NUMBER OF SECURITIES)
Number of securities...................... -- -- 2 --
Total gross unrealized loss............... $ -- $ -- $27 $ --
Percentage of total gross unrealized loss. --% --% 10% --%
43
METLIFE INVESTORS USA INSURANCE COMPANY
(A Wholly-Owned Subsidiary of MetLife Insurance Company of Connecticut)
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS -- (CONTINUED)
Fixed maturity and equity securities, each with a gross unrealized loss
greater than $10 million, decreased $27 million during the year ended
December 31, 2010. The cause of the decline in, or improvement in, gross
unrealized losses for the year ended December 31, 2010, was primarily
attributable to a decrease in interest rates and narrowing of credit spreads.
These securities were included in the Company's OTTI review process. Based upon
the Company's current evaluation of these securities and other
available-for-sale securities in an unrealized loss position in accordance with
its impairment policy, and the Company's current intentions and assessments (as
applicable to the type of security) about holding, selling and any requirements
to sell these securities, the Company has concluded that these securities are
not other-than-temporarily impaired.
In the Company's impairment review process, the duration and severity of an
unrealized loss position for equity securities is given greater weight and
consideration than for fixed maturity securities. An extended and severe
unrealized loss position on a fixed maturity security may not have any impact
on the ability of the issuer to service all scheduled interest and principal
payments and the Company's evaluation of recoverability of all contractual cash
flows or the ability to recover an amount at least equal to its amortized cost
based on the present value of the expected future cash flows to be collected.
In contrast, for an equity security, greater weight and consideration is given
by the Company to a decline in market value and the likelihood such market
value decline will recover.
The following table presents certain information about the Company's equity
securities available-for-sale with a gross unrealized loss of 20% or more at
December 31, 2010:
NON-REDEEMABLE PREFERRED STOCK
------------------------------------------------------------------------------
ALL TYPES OF
INVESTMENT GRADE
ALL EQUITY NON-REDEEMABLE --------------------------------------------------------
SECURITIES PREFERRED STOCK ALL INDUSTRIES FINANCIAL SERVICES INDUSTRY
---------- -------------------- ------------------------- -----------------------------
GROSS GROSS % OF ALL GROSS % OF ALL GROSS % A
UNREALIZED UNREALIZED EQUITY UNREALIZED NON-REDEEMABLE UNREALIZED % OF ALL RATED OR
LOSS LOSS SECURITIES LOSS PREFERRED STOCK LOSS INDUSTRIES BETTER
---------- ---------- ---------- ---------- --------------- ---------- ---------- --------
(IN MILLIONS)
Less than six months.. $ -- $ -- --% $ -- --% $ -- --% --%
Six months or greater
but less than twelve
months............... -- -- --% -- --% -- --% --%
Twelve months or
greater.............. 1 1 100% 1 100% 1 100% 100%
---- ---- ---- ----
All equity securities
with a gross
unrealized loss of
20% or more.......... $ 1 $ 1 100% $ 1 100% $ 1 100% 100%
==== ==== ==== ====
In connection with the equity securities impairment review process, the
Company evaluated its holdings in non-redeemable preferred stock, particularly
those companies in the financial services industry. The Company considered
several factors including whether there has been any deterioration in credit of
the issuer and the likelihood of recovery in value of non-redeemable preferred
stock with a severe or an extended unrealized loss. The Company also considered
whether any issuers of non-redeemable preferred stock with an unrealized loss
held by the Company, regardless of credit rating, have deferred any dividend
payments. No such dividend payments had been deferred.
With respect to common stock holdings, the Company considered the duration
and severity of the unrealized losses for securities in an unrealized loss
position of 20% or more; and the duration of unrealized losses for securities
in an unrealized loss position of less than 20% in an extended unrealized loss
position (i.e., 12 months or greater).
44
METLIFE INVESTORS USA INSURANCE COMPANY
(A Wholly-Owned Subsidiary of MetLife Insurance Company of Connecticut)
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS -- (CONTINUED)
Future OTTIs will depend primarily on economic fundamentals, issuer
performance (including changes in the present value of future cash flows
expected to be collected), changes in credit rating, changes in collateral
valuation, changes in interest rates and changes in credit spreads. If economic
fundamentals and any of the above factors deteriorate, additional OTTIs may be
incurred in upcoming periods.
NET INVESTMENT GAINS (LOSSES)
See "-- Evaluating Available-for-Sale Securities for Other-Than-Temporary
Impairment" for a discussion of changes in guidance adopted April 1, 2009 that
impacted how fixed maturity security OTTI losses that are charged to earnings
are measured.
The components of net investment gains (losses) were as follows:
YEARS ENDED DECEMBER 31,
-----------------------
2010 2009 2008
---- ---- ----
(IN MILLIONS)
Total gains (losses) on fixed maturity securities:
Total OTTI losses recognized.................................................. $(9) $(18) $(16)
Less: Noncredit portion of OTTI losses transferred to and recognized in other
comprehensive income (loss)................................................. 5 5 --
--- ---- ----
Net OTTI losses on fixed maturity securities recognized in earnings.......... (4) (13) (16)
Fixed maturity securities -- net gains (losses) on sales and disposals....... 30 9 (14)
--- ---- ----
Total gains (losses) on fixed maturity securities........................ 26 (4) (30)
--- ---- ----
Other net investment gains (losses):
Equity securities............................................................ -- (2) --
Mortgage loans............................................................... (9) 1 (5)
Real estate joint ventures................................................... (1) (2) --
Other limited partnership interests.......................................... (1) (17) --
Other gains (losses)......................................................... -- -- (1)
--- ---- ----
Total net investment gains (losses)...................................... $15 $(24) $(36)
=== ==== ====
See "-- Related Party Investment Transactions" for discussion of affiliated
net investment gains (losses) related to transfers of invested assets to
affiliates.
Gains (losses) from foreign currency transactions included within net
investment gains (losses) were less than $1 million for the years ended
December 31, 2010, 2009 and 2008, respectively.
45
METLIFE INVESTORS USA INSURANCE COMPANY
(A Wholly-Owned Subsidiary of MetLife Insurance Company of Connecticut)
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS -- (CONTINUED)
Proceeds from sales or disposals of fixed maturity and equity securities and
the components of fixed maturity and equity securities net investment gains
(losses) were as shown below. Investment gains and losses on sales of
securities are determined on a specific identification basis.
YEARS ENDED DECEMBER 31, YEARS ENDED DECEMBER 31, YEARS ENDED DECEMBER 31,
---------------------- ------------------------ ----------------------
2010 2009 2008 2010 2009 2008 2010 2009 2008
------ ------ ------ ---- ---- ---- ------ ------ ------
FIXED MATURITY SECURITIES EQUITY SECURITIES TOTAL
---------------------- ------------------------ ----------------------
(IN MILLIONS)
Proceeds..................................... $3,329 $2,476 $1,202 $ 3 $ 7 $-- $3,332 $2,483 $1,202
====== ====== ====== === === === ====== ====== ======
Gross investment gains....................... $ 52 $ 25 $ 15 $-- $-- $-- $ 52 $ 25 $ 15
------ ------ ------ --- --- --- ------ ------ ------
Gross investment losses...................... (22) (16) (29) -- (2) -- (22) (18) (29)
------ ------ ------ --- --- --- ------ ------ ------
Total OTTI losses recognized in earnings:
Credit-related............................. (4) (12) (15) -- -- -- (4) (12) (15)
Other (1).................................. -- (1) (1) -- -- -- -- (1) (1)
------ ------ ------ --- --- --- ------ ------ ------
Total OTTI losses recognized in earnings.. (4) (13) (16) -- -- -- (4) (13) (16)
------ ------ ------ --- --- --- ------ ------ ------
Net investment gains (losses)................ $ 26 $ (4) $ (30) $-- $(2) $-- $ 26 $ (6) $ (30)
====== ====== ====== === === === ====== ====== ======
--------
(1)Other OTTI losses recognized in earnings include impairments on equity
securities, impairments on perpetual hybrid securities classified within
fixed maturity securities where the primary reason for the impairment was
the severity and/or the duration of an unrealized loss position and fixed
maturity securities where there is an intent to sell or it is more likely
than not that the Company will be required to sell the security before
recovery of the decline in estimated fair value.
Fixed maturity security OTTI losses recognized in earnings related to the
following sectors and industries within the U.S. and foreign corporate
securities sector:
YEARS ENDED DECEMBER 31,
------------------------
2010 2009 2008
---- ---- ----
(IN MILLIONS)
Sector:
U.S. and foreign corporate securities -- by industry:
Utility.............................................. $ 1 $-- $--
Finance.............................................. -- 10 13
Consumer............................................. -- 1 --
Communications....................................... -- 1 1
Other industries..................................... -- -- 2
--- --- ---
Total U.S. and foreign corporate securities........ 1 12 16
RMBS.................................................. 2 1 --
CMBS.................................................. 1 -- --
--- --- ---
Total.............................................. $ 4 $13 $16
=== === ===
46
METLIFE INVESTORS USA INSURANCE COMPANY
(A Wholly-Owned Subsidiary of MetLife Insurance Company of Connecticut)
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS -- (CONTINUED)
CREDIT LOSS ROLLFORWARD -- ROLLFORWARD OF THE CUMULATIVE CREDIT LOSS
COMPONENT OF OTTI LOSS RECOGNIZED IN EARNINGS ON FIXED MATURITY SECURITIES
STILL HELD FOR WHICH A PORTION OF THE OTTI LOSS WAS RECOGNIZED IN OTHER
COMPREHENSIVE INCOME (LOSS)
The table below presents a rollforward of the cumulative credit loss
component of OTTI loss recognized in earnings on fixed maturity securities
still held by the Company at December 31, 2010 and 2009, respectively, for
which a portion of the OTTI loss was recognized in other comprehensive income
(loss):
YEARS ENDED DECEMBER 31,
------------------------
2010 2009
---- ----
(IN MILLIONS)
Balance, at January 1,............................................................... $ 1 $--
Credit loss component of OTTI loss not reclassified to other comprehensive income
(loss) in the cumulative effect transition adjustment.............................. -- --
Additions:
Initial impairments -- credit loss OTTI recognized on securities not previously
impaired.......................................................................... 1 1
Additional impairments -- credit loss OTTI recognized on securities previously
impaired.......................................................................... -- --
Reductions:
Due to sales (maturities, pay downs or prepayments) during the period of securities
previously credit loss OTTI impaired.............................................. -- --
Due to securities impaired to net present value of expected future cash flows........ (1) --
Due to increases in cash flows -- accretion of previous credit loss OTTI............. -- --
--- ---
Balance, at December 31,............................................................. $ 1 $ 1
=== ===
NET INVESTMENT INCOME
The components of net investment income were as follows:
YEARS ENDED DECEMBER 31,
-----------------------
2010 2009 2008
---- ---- ----
(IN MILLIONS)
Investment income:
Fixed maturity securities......................... $430 $332 $268
Equity securities................................. -- -- 1
Mortgage loans.................................... 53 25 23
Policy loans...................................... 4 3 2
Real estate joint ventures........................ (2) (3) --
Other limited partnership interests............... 52 -- (23)
Cash, cash equivalents and short-term investments. (2) 3 9
---- ---- ----
Subtotal......................................... 535 360 280
Less: Investment expenses......................... 15 11 27
---- ---- ----
Net investment income............................ $520 $349 $253
==== ==== ====
Affiliated investment expenses, included in the table above, were
$8 million, $4 million and $2 million for the years ended December 31, 2010,
2009 and 2008, respectively. See "-- Related Party Investment Transactions" for
discussion of affiliated net investment income included in the table above.
47
METLIFE INVESTORS USA INSURANCE COMPANY
(A Wholly-Owned Subsidiary of MetLife Insurance Company of Connecticut)
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS -- (CONTINUED)
SECURITIES LENDING
The Company participates in securities lending programs whereby blocks of
securities, which are included in fixed maturity securities and short-term
investments, are loaned to third parties, primarily brokerage firms and
commercial banks. The Company generally obtains collateral, generally cash, in
an amount equal to 102% of the estimated fair value of the securities loaned,
which is obtained at the inception of a loan and maintained at a level greater
than or equal to 100% for the duration of the loan. Securities loaned under
such transactions may be sold or repledged by the transferee. The Company is
liable to return to its counterparties the cash collateral under its control.
These transactions are treated as financing arrangements and the associated
liability is recorded at the amount of the cash received.
Elements of the securities lending programs are presented below at:
DECEMBER 31,
-------------
2010 2009
------ ------
(IN MILLIONS)
Securities on loan:
Amortized cost.................................. $1,157 $1,580
Estimated fair value............................ $1,175 $1,533
Aging of cash collateral liability:
Open(1)......................................... $ 185 $ 29
Less than thirty days........................... 504 1,044
Thirty days or greater but less than sixty days. 78 293
Sixty days or greater but less than ninety days. 205 --
Ninety days or greater.......................... 220 214
------ ------
Total cash collateral liability............... $1,192 $1,580
====== ======
Reinvestment portfolio -- estimated fair value... $1,180 $1,538
====== ======
--------
(1)Open -- meaning that the related loaned security could be returned to the
Company on the next business day requiring the Company to immediately return
the cash collateral.
The estimated fair value of the securities on loan related to the cash
collateral on open at December 31, 2010 was $181 million, of which $120 million
were U.S. Treasury and agency securities which, if put to the Company, can be
immediately sold to satisfy the cash requirements. The remainder of the
securities on loan were primarily U.S. Treasury and agency securities, and very
liquid RMBS. The reinvestment portfolio acquired with the cash collateral
consisted principally of fixed maturity securities (including U.S. corporate,
U.S. Treasury and agency, ABS, RMBS and CMBS).
48
METLIFE INVESTORS USA INSURANCE COMPANY
(A Wholly-Owned Subsidiary of MetLife Insurance Company of Connecticut)
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS -- (CONTINUED)
INVESTED ASSETS ON DEPOSIT AND PLEDGED AS COLLATERAL
The invested assets on deposit and invested assets pledged as collateral are
presented in the table below. The amounts presented in the table below are at
estimated fair value for fixed maturity securities.
DECEMBER 31,
------------
2010 2009
---- ----
(IN MILLIONS)
Invested assets on deposit:
Regulatory agencies(1)....................................... $ 6 $ 6
Invested assets pledged as collateral:
Derivative transactions(2)................................... 43 5
--- ---
Total invested assets on deposit and pledged as collateral. $49 $11
=== ===
--------
(1)The Company has investment assets on deposit with regulatory agencies
consisting primarily of fixed maturity securities.
(2)Certain of the Company's invested assets are pledged as collateral for
various derivative transactions as described in Note 3.
See also "-- Securities Lending" for the amount of the Company's cash
received from and due back to counterparties pursuant to the Company's
securities lending program.
MORTGAGE LOANS
Mortgage loans are summarized as follows at:
DECEMBER 31,
------------------------------
2010 2009
-------------- --------------
CARRYING % OF CARRYING % OF
VALUE TOTAL VALUE TOTAL
-------- ----- -------- -----
(IN MILLIONS)
Mortgage loans:
Commercial mortgage loans... $1,002 85.3% $465 76.9%
Agricultural mortgage loans. 185 15.7 143 23.6
------ ----- ---- -----
Subtotal.................. 1,187 101.0 608 100.5
Valuation allowances........ (12) (1.0) (3) (0.5)
------ ----- ---- -----
Total mortgage loans, net. $1,175 100.0% $605 100.0%
====== ===== ==== =====
See "-- Related Party Investment Transactions" for discussion of affiliated
loans included in the table above. The carrying value of such loans was
$119 million and $120 million at December 31, 2010 and 2009, respectively.
Concentration of Credit Risk -- The Company diversifies its mortgage loan
portfolio by both geographic region and property type to reduce the risk of
concentration. The Company's commercial and agricultural mortgage loans are
collateralized by properties primarily located in the U.S. The carrying value
of the Company's commercial and agricultural mortgage loans located in
California, New York and Illinois were 22%, 20% and 7%, respectively, of total
mortgage loans at December 31, 2010. Additionally, the Company manages risk
when originating commercial and agricultural mortgage loans by generally
lending only up to 75% of the estimated fair value of the underlying real
estate.
49
METLIFE INVESTORS USA INSURANCE COMPANY
(A Wholly-Owned Subsidiary of MetLife Insurance Company of Connecticut)
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS -- (CONTINUED)
The following tables present the recorded investment in mortgage loans, by
portfolio segment, by method of evaluation of credit loss, and the related
valuation allowances, by type of credit loss, at:
DECEMBER 31,
------------------------------------
2010 2009 2010 2009 2010 2009
------ ---- ---- ---- ------ ----
COMMERCIAL AGRICULTURAL TOTAL
----------- ------------ -----------
(IN MILLIONS)
Mortgage loans:
Evaluated individually for credit losses..... $ -- $ -- $ -- $ -- $ -- $ --
Evaluated collectively for credit losses..... 1,002 465 185 143 1,187 608
------ ---- ---- ---- ------ ----
Total mortgage loans....................... 1,002 465 185 143 1,187 608
------ ---- ---- ---- ------ ----
Valuation allowances:
Specific credit losses....................... -- -- -- -- -- --
Non-specifically identified credit losses.... 12 3 -- -- 12 3
------ ---- ---- ---- ------ ----
Total valuation allowances................. 12 3 -- -- 12 3
------ ---- ---- ---- ------ ----
Mortgage loans, net of valuation allowance. $ 990 $462 $185 $143 $1,175 $605
====== ==== ==== ==== ====== ====
The following tables present the changes in the valuation allowance, by
portfolio segment:
MORTGAGE LOAN VALUATION ALLOWANCES
---------------------------------
COMMERCIAL AGRICULTURAL TOTAL
---------- ------------ -----
(IN MILLIONS)
Balance at January 1, 2008...... $ 2 $-- $ 2
Provision (release)............ 5 -- 5
Charge-offs, net of recoveries. (3) -- (3)
--- --- ---
Balance at December 31, 2008.... 4 -- 4
Provision (release)............ 2 -- 2
Charge-offs, net of recoveries. (3) -- (3)
--- --- ---
Balance at December 31, 2009.... 3 -- 3
Provision (release)............ 9 -- 9
Charge-offs, net of recoveries. -- -- --
--- --- ---
Balance at December 31, 2010.... $12 $-- $12
=== === ===
50
METLIFE INVESTORS USA INSURANCE COMPANY
(A Wholly-Owned Subsidiary of MetLife Insurance Company of Connecticut)
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS -- (CONTINUED)
Commercial Mortgage Loans -- by Credit Quality Indicators with Estimated
Fair Value: Presented below for the commercial mortgage loans is the recorded
investment, prior to valuation allowances, by the indicated loan-to-value ratio
categories and debt service coverage ratio categories and estimated fair value
of such mortgage loans by the indicated loan-to-value ratio categories at:
DECEMBER 31, 2010
-----------------------------------------------------------
RECORDED INVESTMENT
------------------------------------------
DEBT SERVICE COVERAGE RATIOS
----------------------------- ESTIMATED
% OF FAIR % OF
> 1.20X 1.00X - 1.20X < 1.00X TOTAL TOTAL VALUE TOTAL
------- ------------- ------- ------ ----- --------- -----
(IN MILLIONS) (IN MILLIONS)
Loan-to-value ratios:
Less than 65%......... $722 $ -- $30 $ 752 75.0% $ 797 75.5%
65% to 75%............ 142 10 25 177 17.7 186 17.6
76% to 80%............ 14 -- -- 14 1.4 15 1.4
Greater than 80%...... 32 27 -- 59 5.9 58 5.5
---- ---- --- ------ ----- ------ -----
Total................ $910 $ 37 $55 $1,002 100.0% $1,056 100.0%
==== ==== === ====== ===== ====== =====
Agricultural Mortgage Loans -- by Credit Quality Indicator: The recorded
investment in agricultural mortgage loans, prior to valuation allowances, by
credit quality indicator, was at:
DECEMBER 31, 2010
--------------------------
AGRICULTURAL MORTGAGE LOANS
--------------------------
RECORDED
INVESTMENT % OF TOTAL
---------- ----------
(IN MILLIONS)
Loan-to-value ratios:
Less than 65%......... $185 100.0%
---- -----
Total................ $185 100.0%
==== =====
Past Due, Accrual Status and Impaired Mortgage Loans. The Company has a high
quality, well performing mortgage loan portfolio with 100% of all mortgage
loans classified as performing at December 31, 2010. The Company had no
impaired mortgage loans, no loans 90 days or more past due, no loans in
non-accrual status and no loans in foreclosure at both December 31, 2010 and
2009. The Company's average investment in impaired mortgage loans was
$9 million for the year ended December 31, 2008. The Company did not recognize
interest income on impaired mortgage loans during the years ended December 31,
2010, 2009 and 2008.
REAL ESTATE JOINT VENTURES
Real estate joint ventures were categorized as follows:
DECEMBER 31,
------------------------------
2010 2009
-------------- --------------
CARRYING % OF CARRYING % OF
VALUE TOTAL VALUE TOTAL
-------- ----- -------- -----
(IN MILLIONS)
Office............................ $22 73.4% $22 75.9%
Real estate private equity funds.. 7 23.3 5 17.2
Retail............................ 1 3.3 2 6.9
--- ----- --- -----
Total real estate joint ventures. $30 100.0% $29 100.0%
=== ===== === =====
51
METLIFE INVESTORS USA INSURANCE COMPANY
(A Wholly-Owned Subsidiary of MetLife Insurance Company of Connecticut)
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS -- (CONTINUED)
The Company's real estate joint ventures are located in the U.S., and at
December 31, 2010, 74% and 3% of the Company's real estate joint ventures were
located in California and Florida, respectively.
Impairments of cost method real estate joint ventures were $2 million for
both years ended December 31, 2010 and 2009. There were no impairments of real
estate joint ventures for the year ended December 31, 2008.
OTHER LIMITED PARTNERSHIP INTERESTS
The carrying value of other limited partnership interests (which primarily
represent ownership interests in pooled investment funds that principally make
private equity investments in companies in the U.S. and overseas) was
$456 million and $282 million at December 31, 2010 and 2009, respectively.
Included within other limited partnership interests were $105 million and
$54 million at December 31, 2010 and 2009, respectively, of investments in
hedge funds. Impairments of other limited partnership interests, principally
cost method other limited partnership interests, were $1 million and
$17 million for the years ended December 31, 2010 and 2009, respectively. There
were no impairments of cost method other limited partnership interests for the
year ended December 31, 2008.
COLLECTIVELY SIGNIFICANT EQUITY METHOD INVESTMENTS
The Company holds investments in real estate joint ventures, real estate
funds and other limited partnership interests consisting of leveraged buy-out
funds, hedge funds, private equity funds, joint ventures and other funds. The
portion of these investments accounted for under the equity method had a
carrying value of $472 million as of December 31, 2010. The Company's maximum
exposure to loss related to these equity method investments is limited to the
carrying value of these investments plus unfunded commitments of $399 million
as of December 31, 2010. Except for certain real estate joint ventures, the
Company's investments in real estate funds and other limited partnership
interests are generally of a passive nature in that the Company does not
participate in the management of the entities.
As further described in Note 1, the Company generally records its share of
earnings in its equity method investments using a three-month lag methodology
and within net investment income. As of December 31, 2010, aggregate net
investment income from these equity method real estate joint ventures, real
estate funds and other limited partnership interests exceeded 10% of the
Company's consolidated pre-tax income (loss) from continuing operations.
Accordingly, the Company is providing the following aggregated summarized
financial data for such equity method investments. This aggregated summarized
financial data does not represent the Company's proportionate share of the
assets, liabilities, or earnings of such entities.
As of, and for the year ended December 31, 2010, the aggregated summarized
financial data presented below reflects the latest available financial
information. Aggregate total assets of these entities totaled $103.1 billion
and $75.1 billion as of December 31, 2010 and 2009, respectively. Aggregate
total liabilities of these entities totaled $7.4 billion and $5.2 billion as of
December 31, 2010 and 2009, respectively. Aggregate net income (loss) of these
entities totaled $11.0 billion, $12.1 billion and ($13.1) billion for the years
ended December 31, 2010, 2009 and 2008, respectively. Aggregate net income
(loss) from real estate joint ventures, real estate funds and other limited
partnership interests is primarily comprised of investment income, including
recurring investment income and realized and unrealized investment gains
(losses).
52
METLIFE INVESTORS USA INSURANCE COMPANY
(A Wholly-Owned Subsidiary of MetLife Insurance Company of Connecticut)
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS -- (CONTINUED)
OTHER INVESTED ASSETS
The following table presents the carrying value of the Company's other
invested assets by type at:
DECEMBER 31,
------------------------------
2010 2009
-------------- --------------
CARRYING % OF CARRYING % OF
VALUE TOTAL VALUE TOTAL
-------- ----- -------- -----
(IN MILLIONS)
Tax credit partnerships.................... $ 91 42.3% $ 2 5.4%
Freestanding derivatives with positive.....
fair values................................ 68 31.6 35 94.6
Leveraged leases, net of non-recourse debt. 56 26.1 -- --
---- ----- --- -----
Total..................................... $215 100.0% $37 100.0%
==== ===== === =====
Tax credit partnerships are established for the purpose of investing in
low-income housing and other social causes, where the primary return on
investment is in the form of income tax credits, and are accounted for under
the equity method or under the effective yield method. See Note 3 for
information regarding the freestanding derivatives with positive estimated fair
values. See the following section "Leveraged Leases" for the composition of
leveraged leases.
Leveraged Leases
Investment in leveraged leases, included in other invested assets, consisted
of the following:
DECEMBER 31, 2010
-----------------
(IN MILLIONS)
Rental receivables, net......... $ 92
Estimated residual values....... 14
----
Subtotal....................... 106
Unearned income................. (50)
----
Investment in leveraged leases. $ 56
====
The Company did not have any investments in leveraged leases at December 31,
2009.
The rental receivables set forth above are generally due in periodic
installments. The payment periods were 22 years. For rental receivables, the
Company's primary credit quality indicator is whether the rental receivable is
performing or non-performing. The Company generally defines non-performing
rental receivables as those that are 90 days or more past due. The
determination of performing or non-performing status is assessed monthly. As of
December 31, 2010, all of the rental receivables were performing.
The Company's deferred income tax liability related to leveraged leases was
$4 million at December 31, 2010.
There was no net investment income recognized on leverage leases for the
year ended December 31, 2010.
SHORT-TERM INVESTMENTS
The carrying value of short-term investments, which includes investments
with remaining maturities of one year or less, but greater than three months,
at the time of purchase was $113 million and $835 million at December 31, 2010
and 2009, respectively. The Company is exposed to concentrations of credit risk
related to securities of the U.S. government and certain U.S. government
agencies included within short-term investments, which were $60 million and
$563 million at December 31, 2010 and 2009, respectively.
53
METLIFE INVESTORS USA INSURANCE COMPANY
(A Wholly-Owned Subsidiary of MetLife Insurance Company of Connecticut)
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS -- (CONTINUED)
CASH EQUIVALENTS
The carrying value of cash equivalents, which includes investments with an
original or remaining maturity of three months or less, at the time of purchase
was $221 million and $377 million at December 31, 2010 and 2009, respectively.
The Company is exposed to concentrations of credit risk related to securities
of the U.S. government and certain U.S. government agencies included within
cash equivalents, which were $221 million and $341 million at December 31, 2010
and 2009, respectively.
VARIABLE INTEREST ENTITIES
The Company holds investments in certain entities that are VIEs. The
following table presents the carrying amount and maximum exposure to loss
relating to VIEs for which the Company holds significant variable interests but
is not the primary beneficiary and which have not been consolidated at:
DECEMBER 31,
---------------------------------------
2010 2009
------------------- -------------------
MAXIMUM MAXIMUM
CARRYING EXPOSURE CARRYING EXPOSURE
AMOUNT TO LOSS(1) AMOUNT TO LOSS(1)
-------- ---------- -------- ----------
(IN MILLIONS)
Fixed maturity securities available-for-sale:
RMBS(2)...................................... $ 984 $ 984 $ -- $ --
CMBS(2)...................................... 513 513 -- --
ABS(2)....................................... 409 409 -- --
Foreign corporate securities................. 56 56 40 40
U.S. corporate securities.................... 24 24 24 24
Other limited partnership interests........... 409 763 182 278
------ ------ ---- ----
Total...................................... $2,395 $2,749 $246 $342
====== ====== ==== ====
----------
(1)The maximum exposure to loss relating to the fixed maturity securities
available-for-sale is equal to the carrying amounts or carrying amounts of
retained interests. The maximum exposure to loss relating to the other
limited partnership interests is equal to the carrying amounts plus any
unfunded commitments. Such a maximum loss would be expected to occur only
upon bankruptcy of the issuer or investee.
(2)As discussed in Note 1, the Company adopted new guidance effective
January 1, 2010 which eliminated the concept of a QSPE. As a result, the
Company concluded it held variable interests in RMBS, CMBS and ABS. For
these interests, the Company's involvement is limited to that of a passive
investor.
As described in Note 10, the Company makes commitments to fund partnership
investments in the normal course of business. Excluding these commitments, the
Company did not provide financial or other support to investees designated as
VIEs during the years ended December 31, 2010, 2009 and 2008.
RELATED PARTY INVESTMENT TRANSACTIONS
At December 31, 2010 and 2009, the Company held $41 million and
$272 million, respectively, in the Metropolitan Money Market Pool and the
MetLife Intermediate Income Pool which are affiliated partnerships. These
amounts are included in short-term investments. Net investment income (loss)
from these investments was ($2) million, $2 million and $8 million for the
years ended December 31, 2010, 2009 and 2008, respectively.
54
METLIFE INVESTORS USA INSURANCE COMPANY
(A Wholly-Owned Subsidiary of MetLife Insurance Company of Connecticut)
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS -- (CONTINUED)
In the normal course of business, the Company transfers invested assets,
primarily consisting of fixed maturity securities, to and from affiliates.
Invested assets transferred to and from affiliates, inclusive of amounts
related to reinsurance agreements, were as follows:
YEARS ENDED DECEMBER 31,
------------------------
2010 2009 2008
---- ---- ----
(IN MILLIONS)
Estimated fair value of invested assets transferred to affiliates..................... $105 $ 9 $ --
Amortized cost of invested assets transferred to affiliates........................... $ 97 $ 13 $ --
Net investment gains (losses) recognized on invested assets transferred to affiliates. $ 8 $ (4) $ --
Estimated fair value of assets transferred from affiliates............................ $ 46 $155 $ --
During the year ended December 31, 2009, the Company loaned $120 million to
wholly-owned real estate subsidiaries of an affiliate, Metropolitan Life
Insurance Company ("MLIC"), which is included in mortgage loans. The carrying
value of these loans was $119 million and $120 million at December 31, 2010 and
2009, respectively. A loan of $80 million bears interest at 7.26% and is due in
quarterly principal and interest payments of $2 million through January 2020,
and a loan of $40 million bears interest at 7.01% with quarterly interest only
payments of $1 million through January 2020, when the principal balance is due.
The loans to affiliates are secured by interests in the real estate
subsidiaries, which own operating real estate with a fair value in excess of
the loans. Net investment income from this investment was $9 million and less
than $1 million for the years ended December 31, 2010 and 2009, respectively.
3. DERIVATIVE FINANCIAL INSTRUMENTS
ACCOUNTING FOR DERIVATIVE FINANCIAL INSTRUMENTS
See Note 1 for a description of the Company's accounting policies for
derivative financial instruments.
See Note 4 for information about the fair value hierarchy for derivatives.
PRIMARY RISKS MANAGED BY DERIVATIVE FINANCIAL INSTRUMENTS
The Company is exposed to various risks relating to its ongoing business
operations, including interest rate risk, foreign currency risk, credit risk
and equity market risk. The Company uses a variety of strategies to manage
these risks, including the use of derivative instruments. The following table
presents the gross notional amount, estimated fair value and primary underlying
risk exposure of the Company's derivative financial instruments, excluding
embedded derivatives held at:
DECEMBER 31,
-------------------------------------------------------
2010 2009
--------------------------- ---------------------------
ESTIMATED FAIR ESTIMATED FAIR
VALUE(1) VALUE(1)
PRIMARY UNDERLYING NOTIONAL ------------------ NOTIONAL ------------------
RISK EXPOSURE INSTRUMENT TYPE AMOUNT ASSETS LIABILITIES AMOUNT ASSETS LIABILITIES
------------------ -------------------------- -------- ------ ----------- -------- ------ -----------
(IN MILLIONS)
Interest rate Interest rate swaps....... $ 900 $15 $25 $ 40 $ 1 $ --
Interest rate floors...... 2,000 45 -- 2,000 27 --
Interest rate caps........ 1,500 1 -- 1,000 2 --
Interest rate futures..... 780 2 3 309 1 --
Interest rate forwards.... 485 -- 48 -- -- --
Foreign currency Foreign currency swaps.... 117 2 6 55 1 3
Foreign currency forwards. 34 -- -- -- -- --
Credit Credit default swaps...... 239 3 2 163 3 3
Equity market Equity options............ 15 -- -- 6 -- --
------ --- --- ------ --- ----
Total..................... $6,070 $68 $84 $3,573 $35 $ 6
====== === === ====== === ====
55
METLIFE INVESTORS USA INSURANCE COMPANY
(A Wholly-Owned Subsidiary of MetLife Insurance Company of Connecticut)
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS -- (CONTINUED)
----------
(1)The estimated fair value of all derivatives in an asset position is reported
within other invested assets in the consolidated balance sheets and the
estimated fair value of all derivatives in a liability position is reported
within other liabilities in the consolidated balance sheets.
The following table presents the gross notional amount of derivative
financial instruments by maturity at December 31, 2010:
REMAINING LIFE
------------------------------------------------------------
AFTER ONE YEAR AFTER FIVE YEARS
ONE YEAR OR THROUGH FIVE THROUGH TEN AFTER TEN
LESS YEARS YEARS YEARS TOTAL
----------- -------------- ---------------- --------- ------
(IN MILLIONS)
Interest rate swaps....... $ -- $ 245 $ -- $655 $ 900
Interest rate floors...... -- 2,000 -- -- 2,000
Interest rate caps........ 500 1,000 -- -- 1,500
Interest rate futures..... 780 -- -- -- 780
Interest rate forwards.... 75 375 35 -- 485
Foreign currency swaps.... 5 18 49 45 117
Foreign currency forwards. 34 -- -- -- 34
Credit default swaps...... -- 239 -- -- 239
Equity options............ 15 -- -- -- 15
------ ------ ---- ---- ------
Total.................... $1,409 $3,877 $ 84 $700 $6,070
====== ====== ==== ==== ======
Interest rate swaps are used by the Company primarily to reduce market risks
from changes in interest rates and to alter interest rate exposure arising from
mismatches between assets and liabilities (duration mismatches). In an interest
rate swap, the Company agrees with another party to exchange, at specified
intervals, the difference between fixed rate and floating rate interest amounts
as calculated by reference to an agreed notional principal amount. These
transactions are entered into pursuant to master agreements that provide for a
single net payment to be made by the counterparty at each due date. The Company
utilizes interest rate swaps in fair value, cash flow and non-qualifying
hedging relationships.
The Company purchases interest rate caps and floors primarily to protect its
floating rate liabilities against rises in interest rates above a specified
level, and against interest rate exposure arising from mismatches between
assets and liabilities (duration mismatches), as well as to protect its minimum
rate guarantee liabilities against declines in interest rates below a specified
level, respectively. In certain instances, the Company locks in the economic
impact of existing purchased caps and floors by entering into offsetting
written caps and floors. The Company utilizes interest rate caps and floors in
non-qualifying hedging relationships.
In exchange-traded interest rate (Treasury and swap) futures transactions,
the Company agrees to purchase or sell a specified number of contracts, the
value of which is determined by the different classes of interest rate
securities, and to post variation margin on a daily basis in an amount equal to
the difference in the daily market values of those contracts. The Company
enters into exchange-traded futures with regulated futures commission merchants
that are members of the exchange. Exchange-traded interest rate (Treasury and
swap) futures are used primarily to hedge mismatches between the duration of
assets in a portfolio and the duration of liabilities supported by those
assets, to hedge against changes in value of securities the Company owns or
anticipates acquiring and to hedge against changes in interest rates on
anticipated liability issuances by replicating Treasury or swap curve
performance. The Company utilizes exchange-traded interest rate futures in
non-qualifying hedging relationships.
The Company enters into interest rate forwards to buy and sell securities.
The price is agreed upon at the time of the contract and payment for such a
contract is made at a specified future date. The Company utilizes interest rate
forwards in cash flow and non-qualifying hedging relationships.
56
METLIFE INVESTORS USA INSURANCE COMPANY
(A Wholly-Owned Subsidiary of MetLife Insurance Company of Connecticut)
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS -- (CONTINUED)
Foreign currency derivatives, including foreign currency swaps and foreign
currency forwards, are used by the Company to reduce the risk from fluctuations
in foreign currency exchange rates associated with its assets and liabilities
denominated in foreign currencies.
In a foreign currency swap transaction, the Company agrees with another
party to exchange, at specified intervals, the difference between one currency
and another at a fixed exchange rate, generally set at inception, calculated by
reference to an agreed upon principal amount. The principal amount of each
currency is exchanged at the inception and termination of the currency swap by
each party. The Company utilizes foreign currency swaps in cash flow and
non-qualifying hedging relationships.
In a foreign currency forward transaction, the Company agrees with another
party to deliver a specified amount of an identified currency at a specified
future date. The price is agreed upon at the time of the contract and payment
for such a contract is made in a different currency at the specified future
date. The Company utilizes foreign currency forwards in non-qualifying hedging
relationships.
Certain credit default swaps are used by the Company to hedge against
credit-related changes in the value of its investments and to diversify its
credit risk exposure in certain portfolios. In a credit default swap
transaction, the Company agrees with another party, at specified intervals, to
pay a premium to hedge credit risk. If a credit event, as defined by the
contract, occurs, generally the contract will require the swap to be settled
gross by the delivery of par quantities of the referenced investment equal to
the specified swap notional in exchange for the payment of cash amounts by the
counterparty equal to the par value of the investment surrendered. The Company
utilizes credit default swaps in non-qualifying hedging relationships.
Credit default swaps are also used to synthetically create investments that
are either more expensive to acquire or otherwise unavailable in the cash
markets. These transactions are a combination of a derivative and a cash
instrument such as a U.S. Treasury or agency security. These credit default
swaps are not designated as hedging instruments.
Equity index options are used by the Company to hedge certain invested
assets against adverse changes in equity indices. In an equity index option
transaction, the Company enters into contracts to sell the equity index within
a limited time at a contracted price. The contracts will be net settled in cash
based on differentials in the indices at the time of exercise and the strike
price. In certain instances, the Company may enter into a combination of
transactions to hedge adverse changes in equity indices within a pre-determined
range through the purchase and sale of options. Equity index options are
included in equity options in the preceding table. The Company utilizes equity
index options in non-qualifying hedging relationships.
57
METLIFE INVESTORS USA INSURANCE COMPANY
(A Wholly-Owned Subsidiary of MetLife Insurance Company of Connecticut)
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS -- (CONTINUED)
HEDGING
The following table presents the gross notional amount and estimated fair
value of derivatives designated as hedging instruments by type of hedge
designation at:
DECEMBER 31,
-------------------------------------------------------
2010 2009
--------------------------- ---------------------------
ESTIMATED FAIR ESTIMATED FAIR
VALUE VALUE
NOTIONAL ------------------ NOTIONAL ------------------
DERIVATIVES DESIGNATED AS HEDGING INSTRUMENTS AMOUNT ASSETS LIABILITIES AMOUNT ASSETS LIABILITIES
--------------------------------------------- -------- ------ ----------- -------- ------ -----------
(IN MILLIONS)
Fair Value Hedges:
Interest rate swaps.................. $ 10 $ -- $ -- $ -- $ -- $ --
---- ---- ---- ---- ---- ----
Subtotal........................... 10 -- -- -- -- --
---- ---- ---- ---- ---- ----
Cash Flow Hedges:
Foreign currency swaps............... 76 1 3 14 -- 1
Interest rate swaps.................. 295 1 22 -- -- --
Interest rate forwards............... 485 -- 48 -- -- --
---- ---- ---- ---- ---- ----
Subtotal........................... 856 2 73 14 -- 1
---- ---- ---- ---- ---- ----
Total Qualifying Hedges............ $866 $ 2 $ 73 $ 14 $ -- $ 1
==== ==== ==== ==== ==== ====
The following table presents the gross notional amount and estimated fair
value of derivatives that were not designated or do not qualify as hedging
instruments by derivative type at:
DECEMBER 31,
-------------------------------------------------------
2010 2009
--------------------------- ---------------------------
ESTIMATED FAIR ESTIMATED FAIR
VALUE VALUE
DERIVATIVES NOT DESIGNATED OR NOT NOTIONAL ------------------ NOTIONAL ------------------
QUALIFYING AS HEDGING INSTRUMENTS AMOUNT ASSETS LIABILITIES AMOUNT ASSETS LIABILITIES
---------------------------------------------------- -------- ------ ----------- -------- ------ -----------
(IN MILLIONS)
Interest rate swaps................................. $ 595 $14 $ 3 $ 40 $ 1 $ --
Interest rate floors................................ 2,000 45 -- 2,000 27 --
Interest rate caps.................................. 1,500 1 -- 1,000 2 --
Interest rate futures............................... 780 2 3 309 1 --
Foreign currency swaps.............................. 41 1 3 41 1 2
Foreign currency forwards........................... 34 -- -- -- -- --
Credit default swaps................................ 239 3 2 163 3 3
Equity options...................................... 15 -- -- 6 -- --
------ --- --- ------ --- ----
Total non-designated or non-qualifying derivatives. $5,204 $66 $11 $3,559 $35 $ 5
====== === === ====== === ====
58
METLIFE INVESTORS USA INSURANCE COMPANY
(A Wholly-Owned Subsidiary of MetLife Insurance Company of Connecticut)
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS -- (CONTINUED)
NET DERIVATIVE GAINS (LOSSES)
The components of net derivative gains (losses) were as follows:
YEARS ENDED DECEMBER 31,
------------------------
2010 2009 2008
---- ----- ----
(IN MILLIONS)
Derivatives and hedging gains (losses) (1). $ 3 $ (75) $ 79
Embedded derivatives....................... 112 (528) 740
---- ----- ----
Total net derivative gains (losses)....... $115 $(603) $819
==== ===== ====
----------
(1)Includes foreign currency transaction gains (losses) on hedged items in cash
flow and non-qualifying hedge relationships, which are not presented
elsewhere in this note.
The Company recognized insignificant net investment income from settlement
payments related to qualifying hedges for the years ended December 31, 2010,
2009 and 2008.
The Company recognized $20 million and $15 million of net derivative gains
(losses) from settlement payments related to non-qualifying hedges for the
years ended December 31, 2010 and 2009, respectively. The Company recognized
insignificant net derivative gains (losses) from settlement payments related to
non-qualifying hedges for the year ended December 31, 2008.
FAIR VALUE HEDGES
The Company designates and accounts for interest rate swaps to convert fixed
rate investments to floating rate investments as fair value hedges when they
have met the requirements of fair value hedging.
The Company recognized insignificant amounts in net derivative gains
(losses) representing the ineffective portion of all fair value hedges for the
years ended December 31, 2010 and 2008. Changes in the fair value of the
derivatives and the hedged items were insignificant for the years ended
December 31, 2010 and 2008. The Company did not have any fair value hedges
during the year ended December 31, 2009.
All components of each derivative's gain or loss were included in the
assessment of hedge effectiveness.
CASH FLOW HEDGES
The Company designates and accounts for the following as cash flow hedges
when they have met the requirements of cash flow hedging: (i) foreign currency
swaps to hedge the foreign currency cash flow exposure of foreign currency
denominated investments and liabilities; (ii) interest rate forwards to lock in
the price to be paid for forward purchases of investments; and (iii) interest
rate swaps and interest rate forwards to hedge the forecasted purchases of
fixed-rate investments.
For the year ended December 31, 2010, the Company recognized insignificant
amounts of net derivative gains (losses) which represented the ineffective
portion of all cash flow hedges. For the years ended December 31, 2009 and
2008, the Company did not recognize any net derivative gains (losses) which
represented the ineffective portion of all cash flow hedges. All components of
each derivative's gain or loss were included in the assessment of hedge
effectiveness. In certain instances, the Company discontinued cash flow hedge
accounting because the forecasted transactions did not occur on the anticipated
date or within two months of that date. For the years ended December 31, 2010,
2009 and 2008, there were no amounts reclassified into net derivative gains
(losses) related to such discontinued cash flow hedges. At December 31, 2010
the maximum length of time over which the Company was hedging its exposure to
variability in future cash flows for forecasted transactions did not exceed six
years. There were no hedged forecasted transactions, other than the receipt or
payment of variable interest payments, for the years ended December 31, 2009
and 2008.
59
METLIFE INVESTORS USA INSURANCE COMPANY
(A Wholly-Owned Subsidiary of MetLife Insurance Company of Connecticut)
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS -- (CONTINUED)
The following table presents the components of accumulated other
comprehensive income (loss), before income tax, related to cash flow hedges:
YEARS ENDED DECEMBER 31,
-----------------------
2010 2009 2008
---- ---- ----
(IN MILLIONS)
Accumulated other comprehensive income (loss), balance at January 1,..................... $ (1) $(2) $(3)
Gains (losses) deferred in other comprehensive income (loss) on the effective portion of
cash flow hedges....................................................................... (70) 7 1
Amounts reclassified to net derivative gains (losses).................................... (2) (6) --
---- --- ---
Accumulated other comprehensive income (loss), balance at December 31,................... $(73) $(1) $(2)
==== === ===
At December 31, 2010, $1 million of deferred net gains on derivatives in
accumulated other comprehensive income (loss) was expected to be reclassified
to earnings within the next 12 months.
The following table presents the effects of derivatives in cash flow hedging
relationships on the consolidated statements of operations and the consolidated
statements of stockholder's equity for the years ended December 31, 2010, 2009
and 2008:
AMOUNT AND LOCATION OF
GAINS (LOSSES)
RECLASSIFIED FROM
AMOUNT OF GAINS ACCUMULATED OTHER
(LOSSES) DEFERRED COMPREHENSIVE INCOME
IN ACCUMULATED (LOSS) INTO INCOME (LOSS)
OTHER COMPREHENSIVE -------------------------
DERIVATIVES IN CASH FLOW INCOME (LOSS) ON NET DERIVATIVE
HEDGING RELATIONSHIPS DERIVATIVES GAINS (LOSSES)
-------------------------------------- ------------------- -------------------------
(IN MILLIONS)
FOR THE YEAR ENDED DECEMBER 31, 2010:
Interest rate swaps.................. $(21) $ --
Foreign currency swaps............... (1) --
Interest rate forwards............... (48) 2
---- ----
Total.............................. $(70) $ 2
==== ====
FOR THE YEAR ENDED DECEMBER 31, 2009:
Foreign currency swaps............... $ (1) $ --
Interest rate forwards............... 8 6
---- ----
Total.............................. $ 7 $ 6
==== ====
FOR THE YEAR ENDED DECEMBER 31, 2008:
Foreign currency swaps............... $ 1 $ --
==== ====
NON-QUALIFYING DERIVATIVES AND DERIVATIVES FOR PURPOSES OTHER THAN HEDGING
The Company enters into the following derivatives that do not qualify for
hedge accounting or for purposes other than hedging: (i) interest rate swaps,
caps and floors, and interest rate futures to economically hedge its exposure
to interest rates; (ii) foreign currency forwards to economically hedge its
exposure to adverse movements in exchange rates; (iii) interest rate forwards
to buy and sell securities to economically hedge its exposure to interest
rates; (iv) foreign currency swaps to economically hedge its exposure to
adverse movements in exchange rates; (v) credit default swaps to economically
hedge exposure to adverse movements in credit;
60
METLIFE INVESTORS USA INSURANCE COMPANY
(A Wholly-Owned Subsidiary of MetLife Insurance Company of Connecticut)
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS -- (CONTINUED)
(vi) credit default swaps to synthetically create investments; and (vii) equity
options to economically hedge certain invested assets against adverse changes
in equity indices.
The following tables present the amount and location of gains (losses)
recognized in income for derivatives that were not designated or qualifying as
hedging instruments:
NET NET
DERIVATIVE INVESTMENT
GAINS (LOSSES) INCOME(1)
-------------- ----------
(IN MILLIONS)
FOR THE YEAR ENDED DECEMBER 31, 2010:
Interest rate swaps................... $ (4) $ --
Interest rate floors.................. 17 --
Interest rate caps.................... (2) --
Interest rate futures................. (28) --
Foreign currency swaps................ (1) --
Foreign currency forwards............. (2) --
Equity options........................ -- (1)
Interest rate forwards................ 1 --
Credit default swaps.................. 1 --
---- ----
Total................................ $(18) $ (1)
==== ====
FOR THE YEAR ENDED DECEMBER 31, 2009:
Interest rate swaps................... $ 1 $ --
Interest rate floors.................. (86) --
Interest rate caps.................... 1 --
Interest rate futures................. (1) --
Foreign currency swaps................ (9) --
Credit default swaps.................. (2) --
---- ----
Total................................ $(96) $ --
==== ====
FOR THE YEAR ENDED DECEMBER 31, 2008.. $ 79 $ --
==== ====
----------
(1)Changes in estimated fair value related to economic hedges of equity method
investments in joint ventures.
CREDIT DERIVATIVES
In connection with synthetically created investment transactions, the
Company writes credit default swaps for which it receives a premium to insure
credit risk. Such credit derivatives are included within the non-qualifying
derivatives and derivatives for purposes other than hedging table. If a credit
event occurs, as defined by the contract, generally the contract will require
the Company to pay the counterparty the specified swap notional amount in
exchange for the delivery of par quantities of the referenced credit
obligation. The Company's maximum amount at risk, assuming the value of all
referenced credit obligations is zero, was $185 million and $115 million at
December 31, 2010 and 2009, respectively. The Company can terminate these
contracts at any time through cash settlement with the counterparty at an
amount equal to the then current fair value of the credit default swaps. At
both December 31, 2010 and 2009, the Company would have received $2 million to
terminate all of these contracts.
61
METLIFE INVESTORS USA INSURANCE COMPANY
(A Wholly-Owned Subsidiary of MetLife Insurance Company of Connecticut)
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS -- (CONTINUED)
The following table presents the estimated fair value, maximum amount of
future payments and weighted average years to maturity of written credit
default swaps at December 31, 2010 and 2009:
DECEMBER 31,
--------------------------------------------------------------------------------
2010 2009
----------------------------------------- --------------------------------------
MAXIMUM MAXIMUM
ESTIMATED AMOUNT ESTIMATED AMOUNT OF
FAIR VALUE OF FUTURE FAIR VALUE FUTURE WEIGHTED
OF CREDIT PAYMENTS UNDER WEIGHTED OF CREDIT PAYMENTS UNDER AVERAGE
RATING AGENCY DESIGNATION OF REFERENCED DEFAULT CREDIT DEFAULT AVERAGE YEARS DEFAULT CREDIT DEFAULT YEARS TO
CREDIT OBLIGATIONS (1) SWAPS SWAPS (2) TO MATURITY (3) SWAPS SWAPS (2) MATURITY (3)
--------------------------------------------- ---------- -------------- --------------- ---------- -------------- ------------
(IN MILLIONS)