0000950123-11-046720.txt : 20110506 0000950123-11-046720.hdr.sgml : 20110506 20110506170241 ACCESSION NUMBER: 0000950123-11-046720 CONFORMED SUBMISSION TYPE: 497 PUBLIC DOCUMENT COUNT: 1 FILED AS OF DATE: 20110506 DATE AS OF CHANGE: 20110506 EFFECTIVENESS DATE: 20110506 FILER: COMPANY DATA: COMPANY CONFORMED NAME: Metropolitan Life Separate Account UL CENTRAL INDEX KEY: 0000858997 IRS NUMBER: 135581829 STATE OF INCORPORATION: NY FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 497 SEC ACT: 1933 Act SEC FILE NUMBER: 333-147508 FILM NUMBER: 11820485 BUSINESS ADDRESS: STREET 1: METROPOLITAN LIFE INSURANCE COMPANY STREET 2: 200 PARK AVENUE CITY: NEW YORK STATE: NY ZIP: 10166 BUSINESS PHONE: 2125788717 MAIL ADDRESS: STREET 1: METROPOLITAN LIFE INSURANCE COMPANY STREET 2: 200 PARK AVENUE CITY: NEW YORK STATE: NY ZIP: 10166 FORMER COMPANY: FORMER CONFORMED NAME: METROPOLITAN LIFE SEPARATE ACCOUNT UL DATE OF NAME CHANGE: 19920703 0000858997 S000004219 Metropolitan Life Separate Account UL C000058203 Equity Advantage VUL (MetLife) 497 1 y88741a2e497.txt METROPOLITAN LIFE SEPARATE ACCOUNT UL METROPOLITAN LIFE INSURANCE COMPANY METROPOLITAN LIFE SEPARATE ACCOUNT UL EQUITY ADVANTAGE VUL SUPPLEMENT DATED MAY 1, 2011 TO THE PROSPECTUS DATED MAY 1, 2011 If you purchase the Policy pursuant to your right to request a face amount increase under a Zenith Flexible Life or Zenith Flexible Life 2001 flexible premium variable universal life insurance policy issued by New England Life Insurance Company, your Policy will differ from the Policy as described in the prospectus. The differences are as follows: 1. The minimum face amount required at issue of the Policy will be $25,000 (except that, subject to state law requirements, the minimum face amount of a Policy issued to the owner of a Zenith Flexible Life policy may be $10,000). You will have the right to reduce the face amount below $25,000. 2. You will not be subject to the monthly Policy Charge. 3. You will be subject to a reduced monthly Coverage Expense Charge equal to 75% of the charge that would otherwise be payable under the Policy. EQUITY ADVANTAGE VUL Flexible Premium Variable Life Insurance Policies Issued by Metropolitan Life Separate Account UL of Metropolitan Life Insurance Company 200 Park Avenue New York, New York 10166 This prospectus offers individual flexible premium variable life insurance policies (the "Policies") issued by Metropolitan Life Insurance Company ("MetLife"). You allocate net premiums among the Investment Divisions of Metropolitan Life Separate Account UL (the "Separate Account"). Each Investment Division of the Separate Account invests in shares of one of the following "Portfolios": METROPOLITAN SERIES FUND, INC.--CLASS A Artio International Stock Portfolio Barclays Capital Aggregate Bond Index Portfolio BlackRock Aggressive Growth Portfolio BlackRock Bond Income Portfolio BlackRock Diversified Portfolio BlackRock Large Cap Value Portfolio BlackRock Legacy Large Cap Growth Portfolio Davis Venture Value Portfolio FI Value Leaders Portfolio Jennison Growth Portfolio Loomis Sayles Small Cap Core Portfolio Loomis Sayles Small Cap Growth Portfolio Met/Artisan Mid Cap Value Portfolio MetLife Conservative Allocation Portfolio MetLife Conservative to Moderate Allocation Portfolio MetLife Mid Cap Stock Index Portfolio MetLife Moderate Allocation Portfolio MetLife Moderate to Aggressive Allocation Portfolio MetLife Stock Index Portfolio MFS(R) Total Return Portfolio MFS(R) Value Portfolio Morgan Stanley EAFE(R) Index Portfolio Neuberger Berman Genesis Portfolio Neuberger Berman Mid Cap Value Portfolio Oppenheimer Global Equity Portfolio Russell 2000(R) Index Portfolio T. Rowe Price Large Cap Growth Portfolio T. Rowe Price Small Cap Growth Portfolio Van Eck Global Natural Resources Portfolio Western Asset Management Strategic Bond Opportunities Portfolio Western Asset Management U.S. Government Portfolio MET INVESTORS SERIES TRUST--CLASS A (EXCEPT AS NOTED) American Funds(R) Balanced Allocation Portfolio-- Class B American Funds(R) Growth Allocation Portfolio--Class B American Funds(R) Moderate Allocation Portfolio-- Class B BlackRock Large Cap Core Portfolio Clarion Global Real Estate Portfolio Dreman Small Cap Value Portfolio Harris Oakmark International Portfolio Invesco Small Cap Growth Portfolio Janus Forty Portfolio Lazard Mid Cap Portfolio Legg Mason ClearBridge Aggressive Growth Portfolio Lord Abbett Bond Debenture Portfolio Met/Franklin Income Portfolio Met/Franklin Mutual Shares Portfolio Met/Franklin Templeton Founding Strategy Portfolio Met/Templeton Growth Portfolio MetLife Aggressive Strategy Portfolio MFS(R) Emerging Markets Equity Portfolio MFS(R) Research International Portfolio Morgan Stanley Mid Cap Growth Portfolio Oppenheimer Capital Appreciation Portfolio PIMCO Inflation Protected Bond Portfolio PIMCO Total Return Portfolio RCM Technology Portfolio SSgA Growth and Income ETF Portfolio SSgA Growth ETF Portfolio T. Rowe Price Mid Cap Growth Portfolio AMERICAN FUNDS INSURANCE SERIES(R)--CLASS 2 American Funds Bond Fund American Funds Global Small Capitalization Fund American Funds Growth Fund American Funds Growth-Income Fund You may also allocate net premiums to our Fixed Account. Special limits may apply to Fixed Account transfers and withdrawals. You receive Fixed Account performance until 20 days after we apply your initial premium payment to the Policy. Thereafter, we invest the Policy's cash value according to your instructions. NEITHER THE SECURITIES AND EXCHANGE COMMISSION NOR ANY STATE SECURITIES COMMISSION HAS APPROVED OR DISAPPROVED OF THESE POLICIES OR DETERMINED IF THIS PROSPECTUS IS ACCURATE OR COMPLETE. ANY REPRESENTATION TO THE CONTRARY IS A CRIMINAL OFFENSE. WE DO NOT GUARANTEE HOW ANY OF THE INVESTMENT DIVISIONS OR PORTFOLIOS WILL PERFORM. THE POLICIES AND THE PORTFOLIOS ARE NOT DEPOSITS OR OBLIGATIONS OF, OR GUARANTEED OR ENDORSED BY, ANY FINANCIAL INSTITUTION AND ARE NOT FEDERALLY INSURED BY THE FEDERAL DEPOSIT INSURANCE CORPORATION, THE FEDERAL RESERVE BOARD OR ANY OTHER GOVERNMENT AGENCY. MAY 1, 2011 TABLE OF CONTENTS
PAGE ---- SUMMARY OF BENEFITS AND RISKS.......................................... A-4 Benefits of the Policy............................................ A-4 Risks of the Policy............................................... A-5 Risks of the Portfolios........................................... A-6 FEE TABLES............................................................. A-7 Transaction Fees.................................................. A-7 Periodic Charges Other Than Portfolio Operating Expenses.......... A-9 Annual Portfolio Operating Expenses............................... A-12 HOW THE POLICY WORKS................................................... A-16 THE COMPANY, THE SEPARATE ACCOUNT AND THE PORTFOLIOS................... A-17 The Company....................................................... A-17 The Separate Account.............................................. A-17 The Portfolios.................................................... A-17 Share Classes of the Portfolios................................... A-21 Certain Payments We Receive with Regard to the Portfolios......... A-21 Selection of the Portfolios....................................... A-21 Voting Rights..................................................... A-22 Rights Reserved by MetLife........................................ A-22 THE POLICIES........................................................... A-23 Purchasing a Policy............................................... A-23 Replacing Existing Insurance...................................... A-23 Policy Owner and Beneficiary...................................... A-23 24 Month Conversion Right......................................... A-24 Exchange Right.................................................... A-24 PREMIUMS............................................................... A-24 Flexible Premiums................................................. A-24 Amount Provided for Investment under the Policy................... A-25 Right to Examine Policy........................................... A-25 Allocation of Net Premiums........................................ A-25 RECEIPT OF COMMUNICATIONS AND PAYMENTS AT METLIFE'S DESIGNATED OFFICE.. A-26 Payment of Proceeds............................................... A-27 CASH VALUE............................................................. A-27 DEATH BENEFITS......................................................... A-28 Death Proceeds Payable............................................ A-29 Change in Death Benefit Option.................................... A-29 Increase in Face Amount........................................... A-30 Reduction in Face Amount.......................................... A-30 SURRENDERS AND PARTIAL WITHDRAWALS..................................... A-31 Surrender......................................................... A-31 Partial Withdrawal................................................ A-31 TRANSFERS.............................................................. A-33 Transfer Option................................................... A-33 AUTOMATED INVESTMENT STRATEGIES........................................ A-35 LOANS.................................................................. A-36 LAPSE AND REINSTATEMENT................................................ A-37 Lapse............................................................. A-37 Reinstatement..................................................... A-38
A-2
PAGE ---- ADDITIONAL BENEFITS BY RIDER........................................... A-38 THE FIXED ACCOUNT...................................................... A-39 General Description............................................... A-39 Values and Benefits............................................... A-39 Policy Transactions............................................... A-39 CHARGES................................................................ A-40 Deductions from Premiums.......................................... A-40 Surrender Charge.................................................. A-41 Partial Withdrawal Charge......................................... A-42 Transfer Charge................................................... A-42 Illustration of Benefits Charge................................... A-42 Monthly Deduction from Cash Value................................. A-42 Loan Interest Spread.............................................. A-44 Charges Against the Portfolios and the Investment Divisions of the Separate Account................................................ A-45 TAX CONSIDERATIONS..................................................... A-45 Introduction...................................................... A-45 Tax Status of the Policy.......................................... A-45 Tax Treatment of Policy Benefits.................................. A-46 MetLife's Income Taxes............................................ A-49 DISTRIBUTION OF THE POLICIES........................................... A-50 LEGAL PROCEEDINGS...................................................... A-52 RESTRICTIONS ON FINANCIAL TRANSACTIONS................................. A-52 INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM.......................... A-52 FINANCIAL STATEMENTS................................................... A-52 GLOSSARY............................................................... A-53 APPENDIX A: GUIDELINE PREMIUM TEST AND CASH VALUE ACCUMULATION TEST.... A-54 APPENDIX B: ILLUSTRATIONS OF DEATH BENEFITS, CASH VALUES AND CASH SURRENDER VALUES..................................................... A-55
A-3 SUMMARY OF BENEFITS AND RISKS This summary describes the Policy's important benefits and risks. The sections in the prospectus following this summary discuss the Policy in more detail. THE GLOSSARY AT THE END OF THE PROSPECTUS DEFINES CERTAIN WORDS AND PHRASES USED IN THIS PROSPECTUS. BENEFITS OF THE POLICY DEATH PROCEEDS. The Policy is designed to provide insurance protection. Upon receipt of satisfactory proof of the death of the insured, we pay death proceeds to the beneficiary of the Policy. Death proceeds generally equal the death benefit on the date of the insured's death plus any additional insurance provided by rider, less any outstanding loan and accrued loan interest. CHOICE OF DEATH BENEFIT OPTION. You may choose among three death benefit options: -- a level death benefit that equals the Policy's face amount, -- a variable death benefit that equals the Policy's face amount plus the Policy's cash value, and -- a combination variable and level death benefit that equals the Policy's face amount plus the Policy's cash value until the insured attains age 65 and equals the Policy's face amount thereafter. The death benefit under any option could increase to satisfy Federal tax law requirements if the cash value reaches certain levels. After the first Policy year you may change your death benefit option, subject to our underwriting rules. A change in death benefit option may have tax consequences. PREMIUM FLEXIBILITY. You can make premium payments based on a schedule you determine, subject to some limits. You may change your payment schedule at any time or make a payment that does not correspond to your schedule. We can, however, limit or prohibit payments in some situations. RIGHT TO EXAMINE THE POLICY. During the first ten days following your receipt of the Policy, you have the right to return the Policy to us. If you exercise this right, we will refund the premiums you paid. INVESTMENT OPTIONS. You can allocate your net premiums and cash value among your choice of sixty-two Investment Divisions in the Separate Account, each of which corresponds to a mutual fund portfolio, or "Portfolio." The Portfolios available under the Policy include several common stock funds, including funds which invest primarily in foreign securities, as well as bond funds, balanced funds, asset allocation funds and funds that invest in exchange-traded funds. You may also allocate premiums and cash value to our Fixed Account which provides guarantees of interest and principal. You may change your allocation of future premiums at any time. PARTIAL WITHDRAWALS. You may withdraw cash surrender value from your Policy at any time after the first Policy anniversary. The minimum amount you may withdraw is $500. We reserve the right to limit partial withdrawals to no more than 90% of the Policy's cash surrender value. We may limit the number of partial withdrawals to 12 per Policy year or impose a processing charge of $25 for each partial withdrawal. Partial withdrawals may have tax consequences. TRANSFERS AND AUTOMATED INVESTMENT STRATEGIES. You may transfer your Policy's cash value among the Investment Divisions or between the Investment Divisions and the Fixed Account. The minimum amount you may transfer is $50, or if less, the total amount in the Investment Division or the Fixed Account. We may limit the number of transfers among the Investment Divisions and the Fixed Account to no more than four per Policy year. We may impose a processing charge of $25 for each transfer. We may also impose restrictions on "market timing" transfers. (See "Transfers" for additional information on such restrictions.) We offer five automated investment strategies that allow you to periodically transfer or reallocate your cash value among the Investment Divisions and the Fixed Account. (See "Automated Investment Strategies.") LOANS. You may borrow from the cash value of your Policy. The minimum amount you may borrow is $500. The maximum amount you may borrow is an amount equal to the Policy's cash value net of the Surrender Charge, reduced by monthly deductions and interest charges through the next Policy anniversary, increased by interest credits through the next Policy anniversary, less any existing Policy loans. We charge you a maximum annual interest rate of 4.0% for the first ten Policy years and 3.0% thereafter. We credit interest at an annual rate of at least 3.0% on amounts we hold as collateral to support your loan. Loans may have tax consequences. SURRENDERS. You may surrender the Policy for its cash surrender value at any time. Cash surrender value equals the cash value reduced by any Policy loan and accrued loan interest and by any applicable Surrender Charge. A surrender may have tax consequences. A-4 TAX BENEFITS. We anticipate that the Policy should be deemed to be a life insurance contract under Federal tax law. Accordingly, undistributed increases in cash value should not be taxable to you. As long as your Policy is not a modified endowment contract, partial withdrawals should be non-taxable until you have withdrawn an amount equal to your total investment in the Policy. Death benefits paid to your beneficiary should generally be free of Federal income tax. Death benefits may be subject to estate taxes. Under current Federal income tax law, the taxable portion of distributions from variable life policies is taxed at ordinary income tax rates and does not qualify for the reduced tax rate applicable to long-term capital gains and dividends. CONVERSION RIGHT. During the first two Policy years, you may convert the Policy to fixed benefit coverage by exchanging the Policy for a fixed benefit life insurance policy that we agree to, and that is issued by us or an affiliate that we name. We will make the exchange without evidence of insurability. SUPPLEMENTAL BENEFITS AND RIDERS. We offer a variety of riders that provide supplemental benefits under the Policy. We generally deduct any monthly charges for these riders as part of the Monthly Deduction. Your registered representative can help you determine whether any of these riders are suitable for you. PERSONALIZED ILLUSTRATIONS. You will receive personalized illustrations in connection with the purchase of this Policy that reflect your own particular circumstances. These hypothetical illustrations may help you to understand the long-term effects of different levels of investment performance, the possibility of lapse, and the charges and deductions under the Policy. They will also help you to compare this Policy to other life insurance policies. The personalized illustrations are based on hypothetical rates of return and are not a representation or guarantee of investment returns or cash value. RISKS OF THE POLICY INVESTMENT RISK. If you invest your Policy's cash value in one or more of the Investment Divisions, then you will be subject to the risk that investment performance will be unfavorable and that your cash value will decrease. In addition, we deduct Policy fees and charges from your Policy's cash value, which can significantly reduce your Policy's cash value. During times of poor investment performance, this deduction will have an even greater impact on your Policy's cash value. It is possible to lose your full investment and your Policy could lapse without value, unless you pay additional premium. If you allocate cash value to the Fixed Account, then we credit such cash value with a declared rate of interest. You assume the risk that the rate may decrease, although it will never be lower than the guaranteed minimum annual effective rate of 3%. SURRENDER AND WITHDRAWAL RISKS. The Policies are designed to provide lifetime insurance protection. They are not offered primarily as an investment, and should not be used as a short-term savings vehicle. If you surrender the Policy within the first ten Policy years (or within the first ten Policy years following a face amount increase), you will be subject to a Surrender Charge as well as income tax on any gain that is distributed or deemed to be distributed from the Policy. You will also be subject to a Surrender Charge if you make a partial withdrawal from the Policy within the first ten Policy years (or the first ten Policy years following the face amount increase) if the partial withdrawal reduces the face amount (or the face amount increase). If you surrender the Policy in the first Policy year (or in the first year following a face amount increase) we will also deduct an amount equal to the remaining first year Coverage Expense Charges. You should purchase the Policy only if you have the financial ability to keep it in force for a substantial period of time. You should not purchase the Policy if you intend to surrender all or part of the Policy's cash value in the near future. Even if you do not ask to surrender your Policy, surrender charges may play a role in determining whether your Policy will lapse (terminate without value), because surrender charges determine the cash surrender value, which is a measure we use to determine whether your Policy will enter the grace period (and possibly lapse). RISK OF LAPSE. Your Policy may lapse if you have paid an insufficient amount of premiums or if the investment experience of the Investment Divisions is poor. If your cash surrender value is not enough to pay the monthly deduction, your Policy may enter a 62-day grace period. We will notify you that the Policy will lapse unless you make a sufficient payment of additional premium during the grace period. Your Policy generally will not lapse if you pay certain required premium amounts and you are therefore protected by a Guaranteed Minimum Death Benefit. If your Policy does lapse, your insurance coverage will terminate, although you will be given an opportunity to reinstate it. Lapse of a Policy on which there is an outstanding loan may have adverse tax consequences. TAX RISKS. We anticipate that the Policy should be deemed to be a life insurance contract under Federal tax law. However, the rules are not entirely clear if your Policy is issued on a substandard basis. The death benefit under the Policy will never be less than the minimum amount required for the Policy to be treated as life insurance under section A-5 7702 of the Internal Revenue Code, as in effect on the date the Policy was issued. If your Policy is not treated as a life insurance contract under Federal tax law, increases in the Policy's cash value will be taxed currently. Even if your Policy is treated as a life insurance contract for Federal tax purposes, it may become a modified endowment contract due to the payment of excess premiums or unnecessary premiums, due to a material change or due to a reduction in your death benefit. If your Policy becomes a modified endowment contract, surrenders, partial withdrawals and loans will be treated as a distribution of the earnings in the Policy and will be taxable as ordinary income to the extent thereof. In addition, if the Policy Owner is under age 59 1/2 at the time of the surrender, partial withdrawal or loan, the amount that is included in income will generally be subject to a 10% penalty tax. If the Policy is not a modified endowment contract, distributions generally will be treated first as a return of basis or investment in the contract and then as taxable income. Moreover, loans will generally not be treated as distributions, although the tax consequences of loans outstanding after the tenth Policy year are uncertain. Finally, neither distributions nor loans from a Policy that is not a modified endowment contract are subject to the 10% penalty tax. See "Tax Considerations." You should consult a qualified tax adviser for assistance in all Policy-related tax matters. LOAN RISKS. A Policy loan, whether or not repaid, will affect the cash value of your Policy over time because we subtract the amount of the loan from the Investment Divisions and/or Fixed Account as collateral, and hold it in our Loan Account. This loan collateral does not participate in the investment experience of the Investment Divisions or receive any higher current interest rate credited to the Fixed Account. We also reduce the amount we pay on the insured's death by the amount of any outstanding loan and accrued loan interest. Your Policy may lapse if your outstanding loan and accrued loan interest reduce the cash surrender value to zero. If you surrender your Policy or your Policy lapses while there is an outstanding loan, there will generally be Federal income tax payable on the amount by which loans and partial withdrawals exceed the premiums paid. Since loans and partial withdrawals reduce your Policy's cash value, any remaining cash value may be insufficient to pay the income tax due. LIMITATIONS ON CASH VALUE IN THE FIXED ACCOUNT. Transfers to and from the Fixed Account must generally be in amounts of $50 or more. Partial withdrawals from the Fixed Account must be in amounts of $500 or more. The total amount of transfers and withdrawals from the Fixed Account in a Policy year may generally not exceed the greater of 25% of the Policy's cash surrender value in the Fixed Account at the beginning of the year, or the maximum transfer amount for the preceding Policy year. We may also limit the number of transfers and partial withdrawals and may impose a processing charge for transfers and partial withdrawals. We are not currently imposing the maximum limit on transfers and withdrawals from the Fixed Account, but we reserve the right to do so. TAX LAW CHANGES. Tax laws, regulations, and interpretations have often been changed in the past and such changes continue to be proposed. To the extent that you purchase a Policy based on expected tax benefits, relative to other financial or investment products or strategies, there is no certainty that such advantages will always continue to exist. RISKS OF THE PORTFOLIOS A comprehensive discussion of the risks associated with each of the Portfolios can be found in the Portfolio prospectuses, which you can obtain by calling 1- 800-638-5000. THERE IS NO ASSURANCE THAT ANY OF THE PORTFOLIOS WILL ACHIEVE ITS STATED INVESTMENT OBJECTIVE. A-6 FEE TABLES The following tables describe the fees and expenses that a Policy Owner will pay when buying, owning and surrendering the Policy. The first table describes the fees and expenses that a Policy Owner will pay at the time he or she buys the Policy, surrenders the Policy or transfers cash value among accounts. If the amount of a charge varies depending on the Policy Owner's or the insured's individual characteristics (such as age, sex, or risk class), the tables below show the minimum and maximum charges we assess under the Policy across the range of all possible individual characteristics, as well as the charges for a specified typical Policy Owner or insured. THESE CHARGES MAY NOT BE REPRESENTATIVE OF THE CHARGES YOU WILL ACTUALLY PAY UNDER THE POLICY. Your Policy's specifications page will indicate these charges as applicable to your Policy, and more detailed information concerning your charges is available on request from our Designated Office. Also, before you purchase the Policy, we will provide you personalized illustrations of your future benefits under the Policy based on the insured's age and risk class, the death benefit option, face amount, planned periodic premiums and riders requested. TRANSACTION FEES
--------------------------------------------------------------------------------------------------------- MAXIMUM AMOUNT CHARGE WHEN CHARGE IS DEDUCTED CURRENT AMOUNT DEDUCTED DEDUCTIBLE --------------------------------------------------------------------------------------------------------- Sales Charge Imposed On payment of premium 2.25% of premiums paid 2.25% of each premium on Premiums up to the Target Premium paid per Policy year(1) --------------------------------------------------------------------------------------------------------- Premium Tax Imposed on On payment of premium 2.0% in all Policy years 2.0% in all Policy years Premiums --------------------------------------------------------------------------------------------------------- Federal Tax Imposed on On payment of premium 1.25% in all Policy 1.25% in all Policy Premiums years years ---------------------------------------------------------------------------------------------------------
(1) The target premium varies based on individual characteristics, including the insured's issue age, risk class and except for unisex policies, sex. A-7
--------------------------------------------------------------------------------------------------------- MAXIMUM AMOUNT CHARGE WHEN CHARGE IS DEDUCTED CURRENT AMOUNT DEDUCTED DEDUCTIBLE --------------------------------------------------------------------------------------------------------- Surrender Charge(1) On surrender, lapse, or face amount reduction in the first ten Policy years (and, with respect to a face amount increase, in the first ten Policy years after the increase) Minimum and Maximum In Policy year 1, $3.75 In Policy year 1, $3.75 Charge to $38.25 per $1,000 of to $38.25 per $1,000 of base Policy face base Policy face amount(2) amount(2) Charge in the first $14.00 per $1,000 of $14.00 per $1,000 of Policy year for a base Policy face amount base Policy face amount male insured, age 35, in the preferred nonsmoker risk class with a base Policy face amount of $350,000 --------------------------------------------------------------------------------------------------------- Transfer Charge(3) On transfer of cash Not currently charged $25 for each transfer value among the Investment Divisions and to and from the Fixed Account --------------------------------------------------------------------------------------------------------- Partial Withdrawal On partial withdrawal of Not currently charged $25 for each partial Charge cash value withdrawal(4) --------------------------------------------------------------------------------------------------------- Illustration of On provision of each Not currently charged $25 per illustration Benefits Charge illustration in excess of one per year ---------------------------------------------------------------------------------------------------------
(1) The Surrender Charge varies based on individual characteristics, including the insured's issue age, risk class, sex (except for unisex policies), smoker status, and the Policy's face amount. The Surrender Charge may not be representative of the charge that a particular Policy Owner would pay. You can obtain more information about the Surrender Charge and other charges that would apply for a particular insured by contacting your registered representative. (2) No Surrender Charge will apply on up to 10% of cash surrender value withdrawn each year. The Surrender Charge will remain level for one to three Policy years, and will then begin to decline on a monthly basis until it reaches zero in the last month of the tenth Policy year. The Surrender Charge applies to requested face amount reductions as well as to face amount reductions resulting from a change in death benefit option. (3) The Portfolios in which the Investment Divisions invest may impose a redemption fee on shares held for a relatively short period. (4) If imposed, the partial withdrawal charge would be in addition to any Surrender Charge that is imposed. A-8 The next table describes the fees and expenses that a Policy Owner will pay periodically during the time that he or she owns the Policy, not including Portfolio fees and expenses. PERIODIC CHARGES OTHER THAN PORTFOLIO OPERATING EXPENSES
--------------------------------------------------------------------------------------------------------- MAXIMUM AMOUNT CHARGE WHEN CHARGE IS DEDUCTED CURRENT AMOUNT DEDUCTED DEDUCTIBLE --------------------------------------------------------------------------------------------------------- Cost of Insurance(1) Minimum and Maximum Monthly $.01 to $83.33 per $.02 to $83.33 per Charge $1,000 of net amount at $1,000 of net amount at risk(2) risk(2) Charge in the first Monthly $.02 per $1,000 of net $.09 per $1,000 of net Policy year for a amount at risk amount at risk male insured, age 35, in the preferred nonsmoker risk class with a base Policy face amount of $350,000 --------------------------------------------------------------------------------------------------------- Policy Charge(3) Policy face amount Monthly $12 in Policy year 1 $12 in Policy year 1 less than $50,000 $9 in Policy years 2+ $9 in Policy years 2+ Policy face amount of Monthly $15 in Policy year 1 $15 in Policy year 1 $50,000 or greater $8 in Policy years 2+ $8 in Policy years 2+ but less than $250,000 --------------------------------------------------------------------------------------------------------- Mortality and Expense Monthly .60% in Policy years .80% in Policy years Risk Charge (annual 1-10 1-10 rate imposed on cash .35% in Policy years .35% in Policy years value in the Separate 11-19 11-19 Account)(4) .20% in Policy years .20% in Policy years 20-29 20-29 .05% in Policy years 30+ .05% in Policy years 30+ --------------------------------------------------------------------------------------------------------- Coverage Expense Charge(5) Minimum and Monthly $.04 to $2.30 per $1,000 $.04 to $2.30 per $1,000 Maximum Charge of base Policy face of base Policy face amount in first eight amount Policy years(6) Charge for a male Monthly $.16 per $1,000 of base $.16 per $1,000 of base insured, age 35, in Policy face amount in Policy face amount the preferred first eight Policy nonsmoker risk class years(6) with a base Policy face amount of $350,000 --------------------------------------------------------------------------------------------------------- Loan Interest Annually (or on loan 1.00% of loan collateral 1.00% of loan collateral Spread(7) termination, if earlier) in Policy years 1-10 in Policy years 1-10 ---------------------------------------------------------------------------------------------------------
(1) The cost of insurance charge varies based on individual characteristics, including the Policy's face amount and the insured's age, risk class and, except for unisex policies, sex. The cost of insurance charge may not be representative of the charge that a particular Policy Owner would pay. You can obtain more information about the cost of insurance or other charges that would apply for a particular insured by contacting your registered representative. (2) The net amount at risk is the difference between the death benefit (generally discounted at the monthly equivalent of 3% per year) and the Policy's cash value. (3) No Policy Charge applies to Policies issued with face amounts equal to or greater than $250,000. (4) The Mortality and Expense Risk Charge depends on the Policy's net cash value. The percentages shown in the Current Amount Deducted column apply if the Policy's net cash value is less than an amount equal to five Target Premiums. The percentages decrease as the Policy's net cash value, measured as a multiple of Target Premiums increases. If the Policy's net cash value is equal to or greater than five but less than ten Target Premiums, the charge is 0.55% in Policy years 1-10, 0.30% in Policy years 11-19, 0.15% in Policy years 20-29 and 0.05% thereafter. If the Policy's cash value is equal to or greater than ten but less than 20 Target Premiums, the charge is 0.30% in Policy years 1-10, 0.15% in Policy years 11-19, 0.10% in Policy years 20- 29 A-9 and 0.05% thereafter. If the Policy's net cash value is equal to 20 or more Target Premiums, the charge is 0.15% in Policy years 1-10, 0.10% in Policy years 11-19, and 0.05% thereafter. (5) If you surrender the Policy in the first Policy year (or in the first year following a face amount increase) we will deduct from the surrender proceeds an amount equal to the Coverage Expense Charges due for the remainder of the first Policy year (or the first year following the face amount increase). If the Policy's face amount is reduced in the first year following a face amount increase, we will deduct from the cash value an amount equal to the Coverage Expense Charges due for the remainder of the first year following the face amount increase. (6) The Coverage Expense Charge is imposed in Policy years 1-8 and, with respect to a requested face amount increase, during the first eight years following the increase. (7) We charge interest on Policy loans at an effective rate of 4.0% per year in Policy years 1-10 and 3.0% thereafter. Cash value we hold as security for the loan ("loan collateral") earns interest at an effective rate of not less than 3.0% per year. The loan interest spread is the difference between these interest rates. CHARGES FOR OPTIONAL FEATURES (RIDERS):
--------------------------------------------------------------------------------------------------------- MAXIMUM AMOUNT CHARGE WHEN CHARGE IS DEDUCTED CURRENT AMOUNT DEDUCTED DEDUCTIBLE --------------------------------------------------------------------------------------------------------- Guaranteed Survivor Income Benefit Rider Minimum and Maximum Monthly $.01 to $1.08 per $1,000 $.01 to $83.33 per Charge of Eligible Death $1,000 of Eligible Death Benefit Benefit Charge for a male Monthly $.02 per $1,000 of $.02 per $1,000 of insured, age 35, in Eligible Death Benefit Eligible Death Benefit the preferred nonsmoker risk class with an Eligible Death Benefit of $350,000 --------------------------------------------------------------------------------------------------------- Children's Term Monthly $.40 per $1,000 of rider $.40 per $1,000 of rider Insurance Rider face amount face amount --------------------------------------------------------------------------------------------------------- Waiver of Monthly Deduction Rider Minimum and Maximum Monthly $.00 to $61.44 per $100 $.00 to $61.44 per $100 Charge of Monthly Deduction of Monthly Deduction Charge in the first Monthly $6.30 per $100 of $6.30 per $100 of Policy year for a Monthly Deduction Monthly Deduction male insured, age 35, in the standard nonsmoker risk class --------------------------------------------------------------------------------------------------------- Waiver of Specified Premium Rider Minimum and Maximum Monthly $.00 to $21.75 per $100 $.00 to $21.75 per $100 Charge of Specified Premium of Specified Premium Charge in the first Monthly $3.00 per $100 of $3.00 per $100 of Policy year for a Specified Premium Specified Premium male insured, age 35, in the standard nonsmoker risk class --------------------------------------------------------------------------------------------------------- Options to Purchase Additional Insurance Coverage Rider Minimum and Maximum Monthly $.02 to $.25 per $1,000 $.02 to $.25 per $1,000 Charge of Option amount of Option amount Charge for a male Monthly $.03 per $1,000 of $.03 per $1,000 of insured, age 35, in Option amount Option amount the preferred nonsmoker risk class ---------------------------------------------------------------------------------------------------------
A-10
--------------------------------------------------------------------------------------------------------- MAXIMUM AMOUNT CHARGE WHEN CHARGE IS DEDUCTED CURRENT AMOUNT DEDUCTED DEDUCTIBLE --------------------------------------------------------------------------------------------------------- Accidental Death Benefit Rider Minimum and Maximum Monthly $.00 to $.34 per $1,000 $.00 to $83.33 per Charge of rider face amount $1,000 of rider face amount Charge in the first Monthly $.05 per $1,000 of rider $.08 per $1,000 of rider Policy year for a face amount face amount male insured, age 35, in the preferred nonsmoker risk class --------------------------------------------------------------------------------------------------------- Guaranteed Minimum Death Benefit Rider Minimum and Maximum Monthly $.01 to $.04 per $1,000 $.01 to $83.33 per Charge of net amount at risk $1,000 of net amount at risk Charge for a male Monthly $.01 per $1,000 of net $.01 per $1,000 of net insured, age 35, in amount at risk amount at risk the preferred nonsmoker risk class --------------------------------------------------------------------------------------------------------- Acceleration of Death At time of benefit Not currently charged One-time fee of $150 Benefit Rider payment --------------------------------------------------------------------------------------------------------- Overloan Protection At time of exercise One-time fee of 3.5% of One-time fee of 3.5% of Rider Policy cash value Policy cash value ---------------------------------------------------------------------------------------------------------
A-11 ANNUAL PORTFOLIO OPERATING EXPENSES The next table describes the Portfolio fees and expenses that a Policy Owner may pay periodically during the time that he or she owns the Policy. The table shows the minimum and maximum total operating expenses charged by the Portfolios for the fiscal year ended December 31, 2010. Expenses of the Portfolios may be higher or lower in the future. More detail concerning each Portfolio's fees and expenses is contained in the table that follows and in the prospectus for each Portfolio.
MINIMUM MAXIMUM ------- ------- Total Annual Portfolio Operating Expenses (expenses that are deducted from Portfolio assets, including management fees, distribution (12b-1) fees and other expenses)................. 0.27% 1.12%
The following table describes the annual operating expenses for each Portfolio for the year ended December 31, 2010, before and after any applicable contractual fee waivers and expense reimbursements: ANNUAL OPERATING EXPENSES (AS A PERCENTAGE OF AVERAGE NET ASSETS)
CONTRACTUAL DISTRIBUTION ACQUIRED TOTAL FEE WAIVER NET TOTAL AND/OR FUND FEES ANNUAL AND/OR ANNUAL MANAGEMENT SERVICE(12B-1) OTHER AND OPERATING EXPENSE OPERATING FEE FEES EXPENSES EXPENSES EXPENSES REIMBURSEMENT EXPENSES ---------- -------------- -------- --------- --------- ------------- --------- METROPOLITAN SERIES FUND, INC. -- CLASS A Artio International Stock Portfolio...................... 0.82% -- 0.12% 0.02% 0.96% 0.05% 0.91%(1) Barclays Capital Aggregate Bond Index Portfolio................ 0.25% -- 0.03% -- 0.28% 0.01% 0.27%(2) BlackRock Aggressive Growth Portfolio...................... 0.73% -- 0.04% -- 0.77% -- 0.77% BlackRock Bond Income Portfolio.. 0.37% -- 0.03% -- 0.40% 0.03% 0.37%(3) BlackRock Diversified Portfolio.. 0.46% -- 0.04% -- 0.50% -- 0.50% BlackRock Large Cap Value Portfolio...................... 0.63% -- 0.02% -- 0.65% 0.03% 0.62%(4) BlackRock Legacy Large Cap Growth Portfolio...................... 0.73% -- 0.04% -- 0.77% 0.02% 0.75%(5) Davis Venture Value Portfolio.... 0.70% -- 0.03% -- 0.73% 0.05% 0.68%(6) FI Value Leaders Portfolio....... 0.67% -- 0.06% -- 0.73% -- 0.73% Jennison Growth Portfolio........ 0.62% -- 0.02% -- 0.64% 0.07% 0.57%(7) Loomis Sayles Small Cap Core Portfolio...................... 0.90% -- 0.06% -- 0.96% 0.05% 0.91%(8) Loomis Sayles Small Cap Growth Portfolio...................... 0.90% -- 0.17% -- 1.07% 0.05% 1.02%(9) Met/Artisan Mid Cap Value Portfolio...................... 0.81% -- 0.03% -- 0.84% -- 0.84% MetLife Conservative Allocation Portfolio...................... 0.10% -- 0.01% 0.55% 0.66% 0.01% 0.65%(10) MetLife Conservative to Moderate Allocation Portfolio........... 0.08% -- 0.02% 0.61% 0.71% -- 0.71% MetLife Mid Cap Stock Index Portfolio...................... 0.25% -- 0.06% 0.01% 0.32% -- 0.32% MetLife Moderate Allocation Portfolio...................... 0.06% -- -- 0.66% 0.72% -- 0.72% MetLife Moderate to Aggressive Allocation Portfolio........... 0.06% -- 0.01% 0.71% 0.78% -- 0.78% MetLife Stock Index Portfolio.... 0.25% -- 0.02% -- 0.27% 0.01% 0.26%(2) MFS(R) Total Return Portfolio.... 0.54% -- 0.04% -- 0.58% -- 0.58% MFS(R) Value Portfolio........... 0.71% -- 0.02% -- 0.73% 0.11% 0.62%(11) Morgan Stanley EAFE(R) Index Portfolio...................... 0.30% -- 0.11% 0.01% 0.42% -- 0.42% Neuberger Berman Genesis Portfolio...................... 0.83% -- 0.06% -- 0.89% 0.02% 0.87%(12) Neuberger Berman Mid Cap Value Portfolio...................... 0.65% -- 0.05% -- 0.70% -- 0.70% Oppenheimer Global Equity Portfolio...................... 0.53% -- 0.08% -- 0.61% -- 0.61% Russell 2000(R) Index Portfolio.. 0.25% -- 0.07% 0.01% 0.33% -- 0.33% T. Rowe Price Large Cap Growth Portfolio...................... 0.60% -- 0.04% -- 0.64% -- 0.64% T. Rowe Price Small Cap Growth Portfolio...................... 0.50% -- 0.07% -- 0.57% -- 0.57% Van Eck Global Natural Resources Portfolio...................... 0.79% -- 0.05% 0.01% 0.85% -- 0.85% Western Asset Management Strategic Bond Opportunities Portfolio...................... 0.62% -- 0.05% -- 0.67% 0.04% 0.63%(13) Western Asset Management U.S. Government Portfolio........... 0.47% -- 0.03% -- 0.50% 0.01% 0.49%(14)
A-12
CONTRACTUAL DISTRIBUTION ACQUIRED TOTAL FEE WAIVER NET TOTAL AND/OR FUND FEES ANNUAL AND/OR ANNUAL MANAGEMENT SERVICE(12B-1) OTHER AND OPERATING EXPENSE OPERATING FEE FEES EXPENSES EXPENSES EXPENSES REIMBURSEMENT EXPENSES ---------- -------------- -------- --------- --------- ------------- --------- MET INVESTORS SERIES TRUST American Funds(R) Balanced Allocation Portfolio -- Class B.............................. 0.06% 0.25% 0.02% 0.38% 0.71% -- 0.71% American Funds(R) Growth Allocation Portfolio -- Class B.............................. 0.07% 0.25% 0.02% 0.38% 0.72% -- 0.72% American Funds(R) Moderate Allocation Portfolio -- Class B.............................. 0.07% 0.25% 0.02% 0.37% 0.71% -- 0.71% BlackRock Large Cap Core Portfolio -- Class A........... 0.59% -- 0.05% -- 0.64% -- 0.64% Clarion Global Real Estate Portfolio -- Class A........... 0.62% -- 0.07% -- 0.69% -- 0.69% Dreman Small Cap Value Portfolio -- Class A........... 0.79% -- 0.08% -- 0.87% -- 0.87% Harris Oakmark International Portfolio -- Class A........... 0.78% -- 0.07% -- 0.85% 0.01% 0.84%(15) Invesco Small Cap Growth Portfolio -- Class A........... 0.85% -- 0.04% -- 0.89% 0.02% 0.87%(16) Janus Forty Portfolio -- Class A.............................. 0.63% -- 0.04% -- 0.67% -- 0.67% Lazard Mid Cap Portfolio -- Class A.............................. 0.69% -- 0.04% -- 0.73% -- 0.73% Legg Mason ClearBridge Aggressive Growth Portfolio -- Class A.... 0.64% -- 0.04% -- 0.68% -- 0.68% Lord Abbett Bond Debenture Portfolio -- Class A........... 0.50% -- 0.03% -- 0.53% -- 0.53% Met/Franklin Income Portfolio -- Class A........... 0.76% -- 0.09% -- 0.85% 0.09% 0.76%(17) Met/Franklin Mutual Shares Portfolio -- Class A........... 0.80% -- 0.08% -- 0.88% -- 0.88% Met/Franklin Templeton Founding Strategy Portfolio -- Class A.. 0.05% -- 0.02% 0.81% 0.88% 0.02% 0.86%(18) Met/Templeton Growth Portfolio -- Class A........... 0.69% -- 0.13% -- 0.82% 0.02% 0.80%(19) MetLife Aggressive Strategy Portfolio -- Class A........... 0.09% -- 0.02% 0.74% 0.85% 0.01% 0.84%(20) MFS(R) Emerging Markets Equity Portfolio -- Class A........... 0.94% -- 0.18% -- 1.12% -- 1.12% MFS(R) Research International Portfolio -- Class A........... 0.69% -- 0.09% -- 0.78% 0.03% 0.75%(21) Morgan Stanley Mid Cap Growth Portfolio -- Class A........... 0.66% -- 0.14% -- 0.80% 0.02% 0.78%(22) Oppenheimer Capital Appreciation Portfolio -- Class A........... 0.60% -- 0.06% -- 0.66% -- 0.66% PIMCO Inflation Protected Bond Portfolio -- Class A........... 0.47% -- 0.04% -- 0.51% -- 0.51% PIMCO Total Return Portfolio -- Class A..................... 0.48% -- 0.03% -- 0.51% -- 0.51% RCM Technology Portfolio -- Class A.............................. 0.88% -- 0.09% -- 0.97% -- 0.97% SSgA Growth and Income ETF Portfolio -- Class A........... 0.31% -- 0.02% 0.28% 0.61% -- 0.61% SSgA Growth ETF Portfolio -- Class A........... 0.33% -- 0.03% 0.27% 0.63% -- 0.63% T. Rowe Price Mid Cap Growth Portfolio -- Class A........... 0.75% -- 0.04% -- 0.79% -- 0.79% AMERICAN FUNDS INSURANCE SERIES(R) -- CLASS 2 American Funds Bond Fund......... 0.37% 0.25% 0.01% -- 0.63% -- 0.63% American Funds Global Small Capitalization Fund............ 0.71% 0.25% 0.04% -- 1.00% -- 1.00% American Funds Growth Fund....... 0.32% 0.25% 0.02% -- 0.59% -- 0.59% American Funds Growth-Income Fund........................... 0.27% 0.25% 0.02% -- 0.54% -- 0.54%
-------- (1) MetLife Advisers, LLC has contractually agreed, for the period May 1, 2011 through April 30, 2012, to reduce the Management Fee for each Class of the Portfolio to the annual rate of 0.78% for the first $900 million of the Portfolio's average daily net assets, 0.75% for the next $100 million, 0.725% for the next $500 million and 0.70% on amounts over $1.5 billion. This arrangement may be modified or discontinued prior to April 30, 2012 only with the approval of the Board of Directors of the Portfolio. A-13 (2) MetLife Advisers, LLC has contractually agreed, for the period May 1, 2011 through April 30, 2012, to reduce the Management Fee for each Class of the Portfolio to the annual rate of 0.245% for the amounts over $500 million but less than $1 billion, 0.24% for the next $1 billion and 0.235% on amounts over $2 billion. This arrangement may be modified or discontinued prior to April 30, 2012 only with the approval of the Board of Directors of the Portfolio. (3) MetLife Advisers, LLC has contractually agreed, for the period May 1, 2011 through April 30, 2012, to reduce the Management Fee for each Class of the Portfolio to the annual rate of 0.37% for the first $1 billion of the Portfolio's average daily net assets, 0.325% for the next $2.4 billion and 0.25% on amounts over $3.4 billion. This arrangement may be modified or discontinued prior to April 30, 2012 only with the approval of the Board of Directors of the Portfolio. (4) MetLife Advisers, LLC has contractually agreed, for the period May 1, 2011 through April 30, 2012, to reduce the Management Fee for each Class of the Portfolio to the annual rate of 0.68% for the first $250 million of the Portfolio's average daily net assets, 0.625% for the next $500 million, 0.60% for the next $250 million and 0.55% on amounts over $1 billion. This arrangement may be modified or discontinued prior to April 30, 2012 only with the approval of the Board of Directors of the Portfolio. (5) MetLife Advisers, LLC has contractually agreed, for the period May 1, 2011 through April 30, 2012, to reduce the Management Fee for each Class of the Portfolio to the annual rate of 0.705% for the amounts over $300 million but less than $1 billion. This arrangement may be modified or discontinued prior to April 30, 2012 only with the approval of the Board of Directors of the Portfolio. (6) MetLife Advisers, LLC has contractually agreed, for the period May 1, 2011 through April 30, 2012, to reduce the Management Fee for each Class of the Portfolio to the annual rate of 0.75% for the first $50 million of the Portfolio's average daily net assets, 0.70% for the next $450 million, 0.65% for the next $4 billion and 0.625% on amounts over $4.5 billion. This arrangement may be modified or discontinued prior to April 30, 2012 only with the approval of the Board of Directors of the Portfolio. (7) MetLife Advisers, LLC has contractually agreed, for the period May 1, 2011 through April 30, 2012, to reduce the Management Fee for each Class of the Portfolio to the annual rate of 0.65% for the first $300 million of the Portfolio's average daily net assets, 0.60% for the next $200 million, 0.55% for the next $500 million, 0.50% for the next $1 billion and 0.47% on amounts over $2 billion. This arrangement may be modified or discontinued prior to April 30, 2012 only with the approval of the Board of Directors of the Portfolio. (8) MetLife Advisers, LLC has contractually agreed, for the period May 1, 2011 through April 30, 2012, to reduce the Management Fee for each Class of the Portfolio to the annual rate of 0.85% for the first $500 million of the Portfolio's average daily net assets and 0.80% on amounts over $500 million. This arrangement may be modified or discontinued prior to April 30, 2012 only with the approval of the Board of Directors of the Portfolio. (9) MetLife Advisers, LLC has contractually agreed, for the period May 1, 2011 through April 30, 2012, to reduce the Management Fee for each Class of the Portfolio to the annual rate of 0.85% for the first $100 million of the Portfolio's average daily net assets and 0.80% on amounts over $100 million. This arrangement may be modified or discontinued prior to April 30, 2012 only with the approval of the Board of Directors of the Portfolio. (10) MetLife Advisers, LLC has contractually agreed, for the period May 1, 2011 through April 30, 2012, to waive fees or pay all expenses (other than acquired fund fees and expenses, brokerage costs, taxes, interest and any extraordinary expenses) so as to limit net operating expenses of the Class A shares of the Portfolio to 0.10% of average daily net assets. This arrangement may be modified or discontinued prior to April 30, 2012 only with the approval of the Board of Directors of the Portfolio. (11) MetLife Advisers, LLC has contractually agreed, for the period May 1, 2011 through April 30, 2012, to reduce the Management Fee for each Class of the Portfolio to the annual rate of 0.65% for the first $1.25 billion of the Portfolio's average daily net assets, 0.60% for the next $250 million and 0.50% on amounts over $1.5 billion. This arrangement may be modified or discontinued prior to April 30, 2012 only with the approval of the Board of Directors of the Portfolio. (12) MetLife Advisers, LLC has contractually agreed, for the period May 1, 2011 through April 30, 2012, to reduce the Management Fee for each Class of the Portfolio to the annual rate of 0.825% for the first $500 million of the Portfolio's average daily net assets. This arrangement may be modified or discontinued prior to April 30, 2012 only with the approval of the Board of Directors of the Portfolio. (13) MetLife Advisers, LLC has contractually agreed, for the period May 1, 2011 through April 30, 2012, to reduce the Management Fee for each Class of the Portfolio to the annual rate of 0.595% for the first $500 million of the Portfolio's average daily net assets. This arrangement may be modified or discontinued prior to April 30, 2012 only with the approval of the Board of Directors of the Portfolio. (14) MetLife Advisers, LLC has contractually agreed, for the period May 1, 2011 through April 30, 2012, to reduce the Management Fee for each Class of the Portfolio to the annual rate of 0.50% for the amounts over $200 million but less than $500 million. This arrangement may be modified or discontinued prior to April 30, 2012 only with the approval of the Board of Directors of the Portfolio. (15) MetLife Advisers, LLC has contractually agreed, for the period May 1, 2011 through April 30, 2012, to reduce the Management Fee for each Class of the Portfolio to the annual rate of 0.725% of the Portfolio's average daily net assets exceeding $1 billion. A-14 This arrangement may be modified or discontinued prior to April 30, 2012 only with the approval of the Board of Trustees of the Portfolio. (16) MetLife Advisers, LLC has contractually agreed, for the period May 1, 2011 through April 30, 2012, to reduce the Management Fee for each Class of the Portfolio to the annual rate of 0.83% of the Portfolio's average daily net assets from $250 million to $500 million. This arrangement may be modified or discontinued prior to April 30, 2012 only with the approval of the Board of Trustees of the Portfolio. (17) MetLife Advisers, LLC has contractually agreed, for the period May 1, 2011 through April 30, 2012, to waive a portion of its management fee reflecting the difference, if any, between the subadvisory fee payable by MetLife Advisers, LLC to the Portfolio's subadviser that is calculated based solely on the assets of the Portfolio and the fee that is calculated when the Portfolio's assets are aggregated with those of certain other portfolios. This arrangement may be modified or discontinued prior to April 30, 2012 only with the approval of the Board of Trustees of the Portfolio. (18) MetLife Advisers, LLC has contractually agreed, for the period May 1, 2011 to April 30, 2012, to limit its fee and to reimburse expenses to the extent necessary to limit net operating expenses to 0.05%, excluding 12b-1 fees and acquired fund fees and expenses. This arrangement may be modified or discontinued prior to April 30, 2012 only with the approval of the Board of Trustees of the Portfolio. (19) MetLife Advisers, LLC has contractually agreed, for the period May 1, 2011 to April 30, 2012, to limit its fee and to reimburse expenses to the extent necessary to limit net operating expenses to 0.80%, excluding 12b-1 fees. This arrangement may be modified or discontinued prior to April 30, 2012 only with the approval of the Board of Trustees of the Portfolio. MetLife Advisers, LLC has contractually agreed, for the period May 1, 2011 through April 30, 2012, to waive a portion of the Management Fee reflecting the difference, if any, between the subadvisory fee payable by the Adviser to the Subadviser that is calculated based solely on the assets of the Portfolio and the fee that is calculated when the Portfolio's assets are aggregated with those of certain other portfolios. This arrangement may be modified or discontinued prior to April 30, 2012 only with the approval of the Board of Trustees of the Portfolio. (20) MetLife Advisers, LLC has contractually agreed, for the period May 1, 2011 to April 30, 2012, to limit its fee and to reimburse expenses to the extent necessary to limit net operating expenses to 0.10%, excluding 12b-1 fees and acquired fund fees and expenses. This arrangement may be modified or discontinued prior to April 30, 2012 only with the approval of the Board of Trustees of the Portfolio. (21) MetLife Advisers, LLC has contractually agreed, for the period May 1, 2011 through April 30, 2012, to reduce the Management Fee for each Class of the Portfolio to the annual rate of 0.55% of the Portfolio's average daily net assets exceeding $1.5 billion. This arrangement may be modified or discontinued prior to April 30, 2012 only with the approval of the Board of Trustees of the Portfolio. (22) MetLife Advisers, LLC has contractually agreed, for the period May 1, 2011 through April 30, 2012, to reduce the Management Fee for each Class of the Portfolio to the annual rate of 0.65% of the first $500 million of the Portfolio's average daily net assets plus 0.625% of such assets over $500 million. This arrangement may be modified or discontinued prior to April 30, 2012 only with the approval of the Board of Trustees of the Portfolio. Certain Portfolios that have "Acquired Fund Fees and Expenses" are "fund of funds." Each "fund of funds" Portfolio invests substantially all of its assets in other portfolios. Because the Portfolio invests in other underlying portfolios, the Portfolio will bear its pro rata portion of the operating expenses of the underlying portfolios in which it invests, including the management fee. See the Portfolio's prospectus for more information. The fee and expense information regarding the Portfolios was provided by those Portfolios. The American Funds Insurance Series is not affiliated with Metropolitan Life Insurance Company. For information concerning compensation paid for the sale of the Policies, see "Distribution of the Policies." A-15 HOW THE POLICY WORKS [FLOW CHART] PREMIUM PAYMENTS - Flexible - Planned premium options - Guaranteed Minimum Death Benefit premium (5-year, 20-year, or to age 65) CHARGES FROM PREMIUM PAYMENTS - Sales Load: 2.25% up to Target Premium per Policy year; (maximum 2.25% on all premiums) - Premium Tax Charge: 2.0% - Charge for Federal Taxes: 1.25% CASH VALUES - Net premium payments invested in your choice of Portfolio investments (after an initial period in the Fixed Account) or the Fixed Account - The cash value reflects investment experience, interest, premium payments, policy charges and any distributions from the Policy - We do not guarantee the cash value invested in the Portfolios - Any earnings you accumulate are generally free of any current income taxes - You may change the allocation of future net premiums at any time. You may transfer funds among Investment Divisions (and to the Fixed Account). Currently we do not limit the number of Investment Division transfers you can make in a Policy year (subject to restrictions we impose on "market timing" transfers). - We reserve the right to impose a $25 charge on each partial withdrawal and on each Investment Division transfer (including a transfer between an Investment Division and the Fixed Account). - We may limit the amount of transfers from (and in some cases to) the Fixed Account LOANS - You may borrow your cash value - Loan interest charge is 4.0% in Policy years 1-10 and 3.0% thereafter. - We transfer loaned funds out of the Fixed Account and the Investment Divisions into the Loan Account where we credit them with not less than 3.0% interest. RETIREMENT BENEFITS - Fixed settlement options are available for policy proceeds DEATH BENEFIT - Level, Variable and combined Level/Variable Death Benefit Options - Guaranteed not to be less than face amount (less any loan and loan interest) if the Guaranteed Minimum Death Benefit is in effect. - On or after age 121, under Options A and C, equal to the greater of (1) the face amount of the Policy as of the insured's age 121; and (2) the Policy's cash value. Under Option B, the face amount of the Policy as of the insured's age 121), plus the Policy's cash value. - Generally income tax free to named beneficiary; may be subject to estate tax. DAILY DEDUCTIONS FROM ASSETS OF THE SEPARATE ACCOUNT - Investment advisory fees and other expenses are deducted from the Portfolio values BEGINNING OF MONTH CHARGES - We deduct the cost of insurance protection (reflecting any substandard risk rating) from the cash value each month - Any Rider Charges - Policy Charge: $15.00 per month first year and $8.00 per month thereafter for Policies issued with face amounts of $50,000 or greater, but less than $250,000; $12.00 per month first year and $9.00 per month thereafter for Policies issued with face amounts of less than $50,000. - Coverage Expense Charge: Monthly charge imposed on base Policy face amount that applies during the first eight Policy years or during the first eight years following a face amount increase (in all years on a guaranteed basis). - Mortality and Expense Risk Charge applied against the cash value in the Separate Account at a maximum annual rate of .80% in Policy years 1-10; .35% in Policy years 11-19; .20% in Policy years 20-29; and .05% thereafter SURRENDER CHARGE - Applies on lapse, surrender, face amount reduction, or partial withdrawal or change in death benefit option that results in face reduction in first ten Policy years (or in the first ten Policy years following a face amount increase). Maximum charge applies in up to the first three Policy years. Thereafter, the charge decreases on a monthly basis over the remaining years of the surrender charge period. LIVING BENEFITS - If policyholder has elected and qualified for benefits for disability and becomes totally disabled, we will waive the monthly deduction or a specified amount of monthly premium during the period of disability up to certain limits. - You may surrender the Policy at any time for its cash surrender value - Deferred income taxes, including taxes on certain amounts borrowed, become payable upon surrender or lapse - Grace period for lapsing with no value is 62 days from the first date in which Monthly Deduction was not paid due to insufficient cash value - Subject to our rules, you may reinstate a lapsed Policy within three years of date of lapse if it has not been surrendered A-16 THE COMPANY, THE SEPARATE ACCOUNT AND THE PORTFOLIOS THE COMPANY Metropolitan Life Insurance Company is a wholly-owned subsidiary of MetLife, Inc., a publicly traded company. Our principal office is located at 200 Park Avenue, New York, New York 10166. MetLife is licensed to sell life insurance in all states and the District of Columbia, but we only offer the Policies in New York. We are obligated to pay all benefits under the Policies. THE SEPARATE ACCOUNT Metropolitan Life Separate Account UL is the funding vehicle for the Policies and other variable life insurance policies that we issue. Income and realized and unrealized capital gains and losses of the Separate Account are credited to the Separate Account without regard to any of our other income or capital gains or losses. Although we own the assets of the Separate Account, applicable law provides that the portion of the Separate Account assets equal to the reserves and other liabilities of the Separate Account may not be charged with liabilities that arise out of any other business we conduct. This means that the assets of the Separate Account are not available to meet the claims of our general creditors, and may only be used to support the cash values of the variable life insurance policies issued by the Separate Account. We are obligated to pay the death benefit under the Policy even if that amount exceeds the Policy's cash value in the Separate Account. The amount of the death benefit that exceeds the Policy's cash value in the Separate Account is paid from our general account. Death benefits paid from the general account are subject to the financial strength and claims-paying ability of the Company. For other life insurance policies and annuity contracts that we issue, we pay all amounts owed under the policies and contracts from the general account. MetLife is regulated as an insurance company under state law, which generally imposes restrictions on the amount and type of investments in the general account. However, there is no guarantee that we will be able to meet our claims-paying obligations. There are risks to purchasing any insurance product. THE PORTFOLIOS Each Investment Division of the Separate Account invests in a corresponding Portfolio. Each Portfolio is part of an open-end management investment company, more commonly known as a mutual fund, that serves as an investment vehicle for variable life insurance and variable annuity separate accounts of various insurance companies. The mutual funds that offer the Portfolios are the Metropolitan Series Fund, Inc., the Met Investors Series Trust and the American Funds Insurance Series. Each of these mutual funds has an investment adviser responsible for overall management of the fund. Some investment advisers have contracted with sub-advisers to make the day-to-day investment decisions for the Portfolios. The adviser, sub-adviser and investment objective of each Portfolio are as follows: METROPOLITAN SERIES FUND, INC. ADVISER: METLIFE ADVISERS, LLC
PORTFOLIO SUB-ADVISER INVESTMENT OBJECTIVE --------- ----------- -------------------- Artio International Stock Artio Global Management LLC Long-term growth of capital. Portfolio Barclays Capital Aggregate MetLife Investment Advisors To equal the performance of Bond Index Portfolio Company, LLC the Barclays Capital U.S. Aggregate Bond Index. BlackRock Aggressive Growth BlackRock Advisors, LLC Maximum capital appreciation. Portfolio BlackRock Bond Income BlackRock Advisors, LLC A competitive total return Portfolio primarily from investing in fixed-income securities. BlackRock Diversified BlackRock Advisors, LLC High total return while Portfolio attempting to limit investment risk and preserve capital.
A-17
PORTFOLIO SUB-ADVISER INVESTMENT OBJECTIVE --------- ----------- -------------------- BlackRock Large Cap Value BlackRock Advisors, LLC Long-term growth of capital. Portfolio BlackRock Legacy Large Cap BlackRock Advisors, LLC Long-term growth of capital. Growth Portfolio Davis Venture Value Portfolio Davis Selected Advisers, Growth of capital. L.P.(1) FI Value Leaders Portfolio Pyramis Global Advisors, LLC Long-term growth of capital. Jennison Growth Portfolio Jennison Associates LLC Long-term growth of capital. Loomis Sayles Small Cap Core Loomis, Sayles & Company, L.P. Long-term capital growth from Portfolio investments in common stocks or other equity securities. Loomis Sayles Small Cap Growth Loomis Sayles & Company, L.P. Long-term capital growth. Portfolio Met/Artisan Mid Cap Value Artisan Partners Limited Long-term capital growth. Portfolio Partnership MetLife Conservative N/A A high level of current Allocation Portfolio income, with growth of capital as a secondary objective. MetLife Conservative to N/A A high total return in the Moderate Allocation form of income and growth of Portfolio capital, with a greater emphasis on income. MetLife Mid Cap Stock Index MetLife Investment Advisors To equal the performance of Portfolio Company, LLC the Standard & Poor's MidCap 400(R) Composite Stock Price Index. MetLife Moderate Allocation N/A A balance between a high level Portfolio of current income and growth of capital, with a greater emphasis on growth of capital. MetLife Moderate to Aggressive N/A Growth of capital. Allocation Portfolio MetLife Stock Index Portfolio MetLife Investment Advisors To equal the performance of Company, LLC the Standard & Poor's 500(R) Composite Stock Price Index. MFS(R) Total Return Portfolio Massachusetts Financial Favorable total return through Services Company investment in a diversified portfolio. MFS(R) Value Portfolio Massachusetts Financial Capital appreciation. Services Company Morgan Stanley EAFE(R) Index MetLife Investment Advisors To equal the performance of Portfolio Company, LLC the MSCI EAFE Index. Neuberger Berman Genesis Neuberger Berman Management High total return, consisting Portfolio LLC principally of capital appreciation. Neuberger Berman Mid Cap Value Neuberger Berman Management Capital growth. Portfolio LLC Oppenheimer Global Equity OppenheimerFunds, Inc. Capital appreciation. Portfolio Russell 2000(R) Index MetLife Investment Advisors To equal the performance of Portfolio Company, LLC the Russell 2000(R) Index.
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PORTFOLIO SUB-ADVISER INVESTMENT OBJECTIVE --------- ----------- -------------------- T. Rowe Price Large Cap Growth T. Rowe Price Associates, Inc. Long-term growth of capital Portfolio and, secondarily, dividend income. T. Rowe Price Small Cap Growth T. Rowe Price Associates, Inc. Long-term capital growth. Portfolio Van Eck Global Natural Van Eck Associates Corporation Long-term capital appreciation Resources Portfolio with income as a secondary consideration. Western Asset Management Western Asset Management To maximize total return Strategic Bond Opportunities Company consistent with preservation Portfolio of capital. Western Asset Management U.S. Western Asset Management To maximize total return Government Portfolio Company consistent with preservation of capital and maintenance of liquidity.
MET INVESTORS SERIES TRUST ADVISER: METLIFE ADVISERS, LLC
PORTFOLIO SUB-ADVISER INVESTMENT OBJECTIVE --------- ----------- -------------------- American Funds(R) Balanced N/A A balance between a high level Allocation Portfolio of current income and growth of capital, with a greater emphasis on growth of capital. American Funds(R) Growth N/A Growth of capital. Allocation Portfolio American Funds(R) Moderate N/A A high total return in the Allocation Portfolio form of income and growth of capital, with a greater emphasis on income. BlackRock Large Cap Core BlackRock Advisors, LLC Long-term capital growth. Portfolio Clarion Global Real Estate ING Clarion Real Estate Total return through Portfolio Securities LLC investment in real estate securities, emphasizing both capital appreciation and current income. Dreman Small Cap Value Dreman Value Management, LLC Capital appreciation. Portfolio Harris Oakmark International Harris Associates L.P. Long-term capital Portfolio appreciation. Invesco Small Cap Growth Invesco Advisers, Inc. Long-term growth of capital. Portfolio Janus Forty Portfolio Janus Capital Management LLC Capital appreciation. Lazard Mid Cap Portfolio Lazard Asset Management LLC Long-term growth of capital. Legg Mason ClearBridge ClearBridge Advisors, LLC Capital appreciation. Aggressive Growth Portfolio Lord Abbett Bond Debenture Lord, Abbett & Co. LLC High current income and the Portfolio opportunity for capital appreciation to produce a high total return. Met/Franklin Income Portfolio Franklin Advisers, Inc. To maximize income while maintaining prospects for capital appreciation. Met/Franklin Mutual Shares Franklin Mutual Advisers, LLC Capital appreciation, which Portfolio may occasionally be short- term. The Portfolio's secondary investment objective is income.
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PORTFOLIO SUB-ADVISER INVESTMENT OBJECTIVE --------- ----------- -------------------- Met/Franklin Templeton N/A Primarily seeks capital Founding Strategy Portfolio appreciation and secondarily seeks income. Met/Templeton Growth Portfolio Templeton Global Advisors Long-term capital growth. Limited MetLife Aggressive Strategy N/A Growth of capital. Portfolio MFS(R) Emerging Markets Equity Massachusetts Financial Capital appreciation. Portfolio Services Company MFS(R) Research International Massachusetts Financial Capital appreciation. Portfolio Services Company Morgan Stanley Mid Cap Growth Morgan Stanley Investment Capital appreciation. Portfolio Management Inc. Oppenheimer Capital OppenheimerFunds, Inc. Capital appreciation. Appreciation Portfolio PIMCO Inflation Protected Bond Pacific Investment Management Maximum real return, Portfolio Company LLC consistent with preservation of capital and prudent investment management. PIMCO Total Return Portfolio Pacific Investment Management Maximum total return, Company LLC consistent with the preservation of capital and prudent investment management. RCM Technology Portfolio RCM Capital Management LLC Capital appreciation; no consideration is given to income. SSgA Growth and Income ETF SSgA Funds Management, Inc. Growth of capital and income. Portfolio SSgA Growth ETF Portfolio SSgA Funds Management, Inc. Growth of capital. T. Rowe Price Mid Cap Growth T. Rowe Price Associates, Inc. Long-term growth of capital. Portfolio
AMERICAN FUNDS INSURANCE SERIES(R) ADVISER: CAPITAL RESEARCH AND MANAGEMENT COMPANY
PORTFOLIO SUB-ADVISER INVESTMENT OBJECTIVE --------- ----------- -------------------- American Funds Bond Fund N/A As high a level of current income as is consistent with the preservation of capital. American Funds Global Small N/A Long-term growth of capital. Capitalization Fund American Funds Growth Fund N/A Growth of capital. American Funds Growth-Income N/A Long-term growth of capital Fund and income.
-------- (1) Davis Selected Advisers, L.P. may also delegate any of its responsibilities to Davis Selected Advisers--NY, Inc., a wholly-owned subsidiary. FOR MORE INFORMATION REGARDING THE PORTFOLIOS AND THEIR INVESTMENT ADVISERS AND SUB-ADVISERS, SEE THE PORTFOLIO PROSPECTUSES AND THEIR STATEMENTS OF ADDITIONAL INFORMATION, WHICH YOU CAN OBTAIN BY CALLING 1-800-638-5000. The Portfolios' investment objectives may not be met. The investment objectives and policies of certain Portfolios are similar to the investment objectives and policies of other funds that may be managed by the same investment adviser or sub-adviser. The investment results of the Portfolios may be higher or lower than the results of these funds. There is no assurance, and no representation is made, that the investment results of any of the Portfolios will be comparable to the investment results of any other fund. A-20 SHARE CLASSES OF THE PORTFOLIOS The Portfolios offer various classes of shares, each of which has a different level of expenses. The prospectuses for the Portfolios may provide information for share classes that are not available through the Policy. When you consult the prospectus for any Portfolio, you should be careful to refer to only the information regarding the class of shares that is available through the Policy. For the Metropolitan Series Fund, Inc. we offer Class A shares only; for the Met Investors Series Trust, we offer Class A and Class B shares; and for the American Funds Insurance Series, we offer Class 2 shares only. CERTAIN PAYMENTS WE RECEIVE WITH REGARD TO THE PORTFOLIOS An investment adviser (other than our affiliate MetLife Advisers, LLC) or subadviser of a Portfolio, or its affiliates, may make payments to us and/or certain of our affiliates. These payments may be used for a variety of purposes, including payment for expenses for certain administrative, marketing and support services with respect to the Policies and, in our role as intermediary, with respect to the Portfolios. We and our affiliates may profit from these payments. These payments may be derived, in whole or in part, from the advisory fee deducted from Portfolio assets. Policy Owners, through their indirect investment in the Portfolios, bear the costs of these advisory fees (see the Portfolio prospectuses for more information). The amount of the payments we receive is based on a percentage of assets of the Portfolio attributable to the Policies and certain other variable insurance products that we and our affiliates issue. These percentages differ and some advisers or subadvisers (or other affiliates) may pay us more than others. These percentages currently range up to 0.50%, although we do not currently receive any such payments with respect to the Portfolios offered under the Policies. Additionally, an investment adviser or subadviser of a Portfolio or its affiliates may provide us with wholesaling services that assist in the distribution of the Policies and may pay us and/or certain of our affiliates amounts to participate in sales meetings. These amounts may be significant and may provide the adviser or subadviser (or their affiliates) with increased access to persons involved in the distribution of the Policies. We and/or certain of our affiliated insurance companies have joint ownership interests in our affiliated investment adviser MetLife Advisers, LLC, which is formed as a "limited liability company." Our ownership interests in MetLife Advisers, LLC entitle us to profit distributions if the adviser makes a profit with respect to the advisory fees it receives from the Portfolios. We will benefit accordingly from assets allocated to the Portfolios to the extent they result in profits to the adviser. (See "Fee Tables--Annual Portfolio Operating Expenses" for information on the management fees paid by the Portfolios and the Statement of Additional Information for the Portfolios for information on the management fees paid by the adviser to the subadvisers.) Certain Portfolios have adopted a Distribution Plan under Rule 12b-1 of the Investment Company Act of 1940. A Portfolio's 12b-1 Plan, if any, is described in more detail in the Portfolio's prospectus. (See "Fee Tables--Annual Portfolio Expenses" and "Distribution of the Policies.") Any payments we receive pursuant to those 12b-1 Plans are paid to us or our Distributor. Payments under a Portfolio's 12b-1 Plan decrease the Portfolio's investment return. For specific information on the amounts we may receive on account of your investment in the Portfolios, you may call 1-800-638-5000. SELECTION OF THE PORTFOLIOS We select the Portfolios offered through the Policy based on a number of criteria, including asset class coverage, the strength of the adviser's or subadviser's reputation and tenure, brand recognition, performance, and the capability and qualification of each investment firm. Another factor we consider during the selection process is whether the Portfolio's adviser or subadviser is one of our affiliates or whether the Portfolio, its adviser, its subadviser(s), or an affiliate will make payments to us or our affiliates. For additional information on these arrangements, see "Certain Payments We Receive with Regard to the Portfolios" above. In this regard, the profit distributions we receive from our affiliated investment advisers are a component of the total revenue that we consider in configuring the features and investment choices available in the variable insurance products that we and our affiliated insurance companies issue. Since we and our affiliated insurance companies may benefit more from the allocation of assets to Portfolios advised by our affiliates than those that are not, we may be more inclined to offer Portfolios advised by our affiliates in the variable insurance products we issue. We review the Portfolios periodically and may remove a Portfolio or limit its availability to new premium payments and/or transfers of cash value if we determine that the Portfolio no longer meets A-21 one or more of the selection criteria, and/or if the Portfolio has not attracted significant allocations from Policy owners. We may include Portfolios based on recommendations from selling firms. In some cases, the selling firms may receive payments from the Portfolios they recommend and may benefit accordingly from the allocation of cash value to such Portfolios. WE DO NOT PROVIDE ANY INVESTMENT ADVICE AND DO NOT RECOMMEND OR ENDORSE ANY PARTICULAR PORTFOLIO. YOU BEAR THE RISK OF ANY DECLINE IN THE CASH VALUE OF YOUR POLICY RESULTING FROM THE PERFORMANCE OF THE PORTFOLIOS YOU HAVE CHOSEN. We make certain payments to American Funds Distributors, Inc., principal underwriter for the American Funds Insurance Series. (See "Distribution of the Policies.") VOTING RIGHTS We own the Portfolio shares held in the Separate Account and have the right to vote those shares at meetings of the Portfolio shareholders. However, to the extent required by Federal securities law, we will give you, as Policy Owner, the right to instruct us how to vote the shares that are attributable to your Policy. We will determine, as of the record date, if you are entitled to give voting instructions and the number of shares to which you have a right of instruction. If we do not receive timely instructions from you, we will vote your shares for, against, or withhold from voting on, any proposition in the same proportion as the shares held in that Investment Division for all policies for which we have received voting instructions. The effect of this proportional voting is that a small number of Policy Owners may control the outcome of a vote. We will vote Portfolio shares held by our general account (or any unregistered separate account for which voting privileges were not extended) in the same proportion as the total of (i) shares for which voting instructions were received and (ii) shares that are voted in proportion to such voting instructions. We may disregard voting instructions for changes in the investment policy, investment adviser or principal underwriter of a Portfolio if required by state insurance law, or if we (i) reasonably disapprove of the changes and (ii) in the case of a change in investment policy or investment adviser, make a good faith determination that the proposed change is prohibited by state authorities or inconsistent with an Investment Division's investment objectives. If we do disregard voting instructions, the next semi-annual report to Policy Owners will include a summary of that action and the reasons for it. RIGHTS RESERVED BY METLIFE We and our affiliates may change the voting procedures and vote Portfolio shares without Policy Owner instructions, if the securities laws change. We also reserve the right: (1) to add Investment Divisions; (2) to combine Investment Divisions; (3) to substitute shares of another registered open-end management investment company, which may have different fees and expenses, for shares of a Portfolio; (4) to substitute or close an Investment Division to allocations of premium payments or cash value or both, and to existing investments or the investment of future premiums, or both, for any class of Policy or Policy Owner, at any time in our sole discretion; (5) to operate the Separate Account as a management investment company under the Investment Company Act of 1940 or in any other form; (6) to deregister the Separate Account under the Investment Company Act of 1940; (7) to combine it with other Separate Accounts; and (8) to transfer assets supporting the Policies from one Investment Division to another or from the Separate Account to other Separate Accounts, or to transfer assets to our general account as permitted by applicable law. We will exercise these rights in accordance with applicable law, including approval of Policy Owners if required. We will notify you if exercise of any of these rights would result in a material change in the Separate Account or its investments. We will not make any changes without receiving any necessary approval of the SEC and the New York Insurance Department. We will notify you of any changes. A-22 THE POLICIES PURCHASING A POLICY To purchase a Policy, you must submit a completed application and an initial premium to us at our Designated Office. (See "Receipt of Communications and Payments at MetLife's Designated Office.") The minimum face amount for the base Policy is $50,000 unless we consent to a lower amount. For Policies acquired through a pension or profit sharing plan qualified under Section 401 of the Internal Revenue Code of 1986, the minimum face amount is $25,000. The Policies are available for insureds age 85 or younger. We can provide you with details as to our underwriting standards when you apply for a Policy. We reserve the right to modify our minimum face amount and underwriting requirements at any time. We must receive evidence of insurability that satisfies our underwriting standards before we will issue a Policy. We reserve the right to reject an application for any reason permitted by law. We offer other variable life insurance policies that have different death benefits, policy features, and optional programs. However, these other policies also have different charges that would affect your Investment Division performance and cash values. To obtain more information about these other policies, contact our Designated Office or your registered representative. REPLACING EXISTING INSURANCE It may not be in your best interest to surrender, lapse, change, or borrow from existing life insurance policies or annuity contracts in connection with the purchase of the Policy. You should compare your existing insurance and the Policy carefully. You should replace your existing insurance only when you determine that the Policy is better for you. You may have to pay a surrender charge on your existing insurance, and the Policy will impose a new surrender charge period. You should talk to your financial professional or tax adviser to make sure the exchange will be tax-free. If you surrender your existing policy for cash and then buy the Policy, you may have to pay a tax, including possibly a penalty tax, on the surrender. Because we may not issue the Policy until we have received an initial premium from your existing insurance company, the issuance of the Policy may be delayed. POLICY OWNER AND BENEFICIARY The Policy Owner is named in the application but may be changed from time to time. While the insured is living and the Policy is in force, the Policy Owner may exercise all the rights and options described in the Policy, subject to the terms of any beneficiary designation or assignment of the Policy. These rights include selecting and changing the beneficiary, changing the owner, changing the face amount of the Policy and assigning the Policy. At the death of the Policy Owner who is not the insured, his or her estate will become the Policy Owner unless a successor Policy Owner has been named. The Policy Owner's rights (except for rights to payment of benefits) terminate at the death of the insured. The beneficiary is also named in the application. You may change the beneficiary at any time before the death of the insured, unless the beneficiary designation is irrevocable. The beneficiary has no rights under the Policy until the death of the insured and must survive the insured in order to receive the death proceeds. If no named beneficiary survives the insured, we pay proceeds to the Policy Owner. A change of Policy Owner or beneficiary is subject to all payments made and actions taken by us under the Policy before we receive a signed change form. You can contact your registered representative or our Designated Office for the procedure to follow. You may assign (transfer) your rights in the Policy to someone else. An absolute assignment of the Policy is a change of Policy Owner and beneficiary to the assignee. A collateral assignment of the Policy does not change the Policy Owner or beneficiary, but their rights will be subject to the terms of the assignment. Assignments are subject to all payments made and actions taken by us under the Policy before we receive a signed copy of the assignment form. We are not responsible for determining whether or not an assignment is valid. Changing the Policy Owner or assigning the Policy may have tax consequences. (See "Tax Considerations" below.) A-23 24 MONTH CONVERSION RIGHT GENERAL RIGHT. Generally, during the first two Policy years, or in the event of a material change in the investment policy of the Separate Account, you may convert the Policy to fixed benefit coverage by exchanging the Policy for a fixed benefit life insurance policy agreed to by us and issued by us or an affiliate that we name provided that you repay any Policy loans and loan interest, and the Policy has not lapsed. We make the exchange without evidence of insurability. The new policy will have the same base Policy face amount as that being exchanged. The new policy will have the same issue age, risk class and Policy Date as the variable life Policy had. Contact our Designated Office or your registered representative for more specific information about the 24 Month Conversion Right. The exchange may result in a cost or credit to you. On the exchange, you may need to make an immediate premium payment on the new policy in order to keep it in force. EXCHANGE RIGHT At least once each year you have the option to transfer all of your cash value to the Fixed Account and apply the cash surrender value to a new policy issued by us or an affiliate which provides paid-up insurance. Paid-up insurance is permanent insurance with no further premiums due. The face amount of the new policy of paid-up insurance may be less than the face amount of the Policy. PREMIUMS FLEXIBLE PREMIUMS Subject to the limits described below, you choose the amount and frequency of premium payments. You select a Planned Premium schedule, which consists of a first-year premium amount and an amount for subsequent premium payments. This schedule appears in your Policy. YOUR PLANNED PREMIUMS WILL NOT NECESSARILY KEEP YOUR POLICY IN FORCE. You may skip Planned Premium payments or make additional payments. Additional payments could be subject to underwriting. No payment can be less than $50, except with our consent. You can pay Planned Premiums on an annual, semi-annual or quarterly schedule, or on a monthly schedule if payments are drawn directly from your checking account under our pre-authorized checking arrangement. We will send premium notices for annual, semi-annual or quarterly Planned Premiums. You may make payments by check or through our pre-authorized checking arrangement. You can change your Planned Premium schedule by sending your request to us at our Designated Office. You may not make premium payments on or after the Policy anniversary when the insured reaches age 121, except for premiums required during the grace period. If any payments under the Policy exceed the "7-pay limit" under Federal tax law, your Policy will become a modified endowment contract and you may have more adverse tax consequences with respect to certain distributions than would otherwise be the case if premium payments did not exceed the "7-pay limit." The amount of your "7-pay limit" is shown in your Policy illustration and in your annual Policy statement. If you make a payment that exceeds the "7-pay limit" we will notify you and give you an opportunity to receive a refund of the excess premium to prevent your Policy from becoming a modified endowment contract. (See "Tax Considerations.") In addition, if you have selected the guideline premium test, Federal tax law limits the amount of premiums that you can pay under the Policy. You need our consent if, because of tax law requirements, a payment would increase the Policy's death benefit by more than it would increase cash value. We may require evidence of insurability before accepting the payment. We allocate net payments to your Policy's Investment Divisions as of the date we receive the payments at our Designated Office (or at our Administrative Office in Tampa, Florida), if they are received before the close of regular trading on the New York Stock Exchange. Payments received after that time, or on a day that the New York Stock Exchange is not open, will be allocated to your Policy's Investment Divisions on the next day that the New York Stock Exchange is open. (See "Receipt of Communications and Payments at MetLife's Designated Office.") Under our current processing, we treat any payment received by us as a premium payment unless it is clearly marked as a loan repayment. A-24 AMOUNT PROVIDED FOR INVESTMENT UNDER THE POLICY INVESTMENT START DATE. Your initial net premium is credited with Fixed Account interest as of the investment start date. The investment start date is the later of the Policy Date and the date we first receive a premium payment for the Policy at our Designated Office. (See "Receipt of Communications and Payments at MetLife's Designated Office.") PREMIUM WITH APPLICATION. If you make a premium payment with the application, unless you request otherwise, the Policy Date is the date the policy application is approved. Monthly Deductions begin on the Policy Date. You may only make one premium payment with the application. The minimum amount you must pay is set forth in the application. If we decline an application, we refund the premium payment made. If you make a premium payment with the application, we will cover the insured under a temporary insurance agreement beginning on the later of the date the application is signed or on the date of any required medical examination. (See "Death Benefits.") PREMIUM ON DELIVERY. If you pay the initial premium upon delivery of the Policy, unless you request otherwise, the Policy Date and the investment start date are the date your premium payment is received at our Designated Office. Monthly Deductions begin on the Policy Date. BACKDATING. We may sometimes backdate a Policy, if you request, by assigning a Policy Date earlier than the date the Policy application is approved. You may wish to backdate so that you can obtain lower cost of insurance rates, based on a younger insurance age. For a backdated Policy, you must also pay the minimum premiums due for the period between the Policy Date and the investment start date. As of the investment start date, we allocate the net premiums to the Policy, adjusted for monthly Policy charges. RIGHT TO EXAMINE POLICY You may cancel the Policy within ten days after you receive it. You may return the Policy to our Designated Office (see "Receipt of Communications and Payments at MetLife's Designated Office") or your registered representative. Insurance coverage ends as soon as you return the Policy (determined by postmark, if the Policy is mailed). If you cancel the Policy, we refund any premiums paid. ALLOCATION OF NET PREMIUMS We allocate your initial net premium to the Fixed Account as of the investment start date. We will hold your initial net premium in the Fixed Account for twenty days, and then we make the allocation among the Investment Divisions as you choose. You may allocate any whole percentage to an Investment Division. You make the initial premium allocation when you apply for a Policy. You can change the allocation of future premiums at any time thereafter. The change will be effective for premiums applied on or after the date when we receive your request. You may request the change by telephone, by written request (which may be telecopied to us) or over the Internet. (See "Receipt of Communications and Payments at MetLife's Designated Office.") When we allocate net premiums to your Policy's Investment Divisions, we convert them into accumulation units of the Investment Divisions. We determine the number of accumulation units by dividing the dollar amount of the net premium by the accumulation unit value. For your initial premium, we use the accumulation unit value on the investment start date. For subsequent premiums, we use the accumulation unit value next determined after receipt of the payment. (See "Cash Value.") A-25 RECEIPT OF COMMUNICATIONS AND PAYMENTS AT METLIFE'S DESIGNATED OFFICE We will treat your request for a Policy transaction, or your submission of a payment, as received by us if we receive a request conforming to our administrative procedures or a payment at our Designated Office before the close of regular trading on the New York Stock Exchange on that day (usually 4:00 p.m. Eastern Time). If we receive it after that time, or if the New York Stock Exchange is not open that day, then we will treat it as received on the next day when the New York Stock Exchange is open. These rules apply regardless of the reason we did not receive your request by the close of regular trading on the New York Stock Exchange--even if due to our delay (such as a delay in answering your telephone call). The Designated Office for premium payments is printed on the billing statement we mail to you. If you do not have your billing statement you may call us at 1-800-638-5000 to obtain the address. The address to use depends on whether you purchase the Policy through a registered representative of one of our affiliates MetLife Securities, Inc. and New England Securities Corporation, or through another registered representative. If you purchase the Policy through a registered representative of one of these two affiliates, premium payments should be mailed to MetLife, P.O. Box 371351, Pittsburgh, PA 15250-7351. If your representative is not registered with one of these two affiliates, premium payments should be mailed to MetLife, P.O. Box 371862, Pittsburgh, PA 15250- 7862. The Designated Office for other transactions is as follows: Payment Inquiries and MetLife Correspondence P.O. Box 354 Warwick, RI 02887-0354 Beneficiary and Ownership MetLife Changes P.O. Box 313 Warwick, RI 02887-0313 Surrenders, Loans, MetLife Withdrawals and P.O. Box 543 Investment Division Transfers Warwick, RI 02887-0543 Cancellations (Right to Examine MetLife Policy Period) Free Look Unit 500 Schoolhouse Road Johnstown, PA 15904 Death Claims MetLife P.O. Box 353 Warwick, RI 02887-0353 Investment Division Transfers and (800) 638-5000 Other Telephone Transactions and Inquiries
You may request a cash value transfer or reallocation of future premiums by written request (which may be telecopied) to us, by telephoning us or over the Internet (subject to our restrictions on "market timing" transfers). To request a transfer or reallocation by telephone, you should contact your registered representative or contact us at 1-800-638-5000. To request a transfer over the Internet, you may log on to our website at www.metlife.com. We use reasonable procedures to confirm that instructions communicated by telephone, facsimile or Internet are genuine. Any telephone, facsimile or Internet instructions that we reasonably believe to be genuine are your responsibility, including losses arising from any errors in the communication of instructions. However, because telephone and Internet transactions may be available to anyone who provides certain information about you and your Policy, you should protect that information. We may not be able to verify that you are the person providing telephone or Internet instructions, or that you have authorized any such person to act for you. Telephone, facsimile, and computer systems (including the Internet) may not always be available. Any telephone, facsimile or computer system, whether it is yours, your service provider's, your registered representative's, or ours, can experience outages or slowdowns for a variety of reasons. These outages or slowdowns may delay or prevent our processing of your request. Although we have taken precautions to help our systems handle heavy use, we cannot A-26 promise complete reliability under all circumstances. If you are experiencing problems, you should make your request by writing to our Designated Office. If you send your premium payments or transaction requests to an address other than the one we have designated for receipt of such payments or requests, we may return the premium payment to you, or there may be a delay in applying the premium payment or transaction to your Policy. PAYMENT OF PROCEEDS We ordinarily pay any cash surrender value, loan value or death benefit proceeds from the Investment Divisions within seven days after we receive a request, or satisfactory proof of death of the insured (and any other information we need to pay the death proceeds). (See "Receipt of Communications and Payments at MetLife's Designated Office.") However, we may delay payment (except when a loan is made to pay a premium to us) or transfers from the Investment Divisions: (i) if the New York Stock Exchange is closed for other than weekends or holidays, or if trading on the New York Stock Exchange is restricted as determined by the SEC, (ii) if the SEC by order permits postponement or determines that an emergency exists that makes payments or Investment Division transfers impractical, or (iii) at any other time when the Portfolios or the Separate Account have the legal right to suspend payment. We may withhold payment of surrender, withdrawal or loan proceeds if any portion of those proceeds would be derived from a Policy Owner's check that has not yet cleared (i.e., that could still be dishonored by your banking institution). We may use telephone, facsimile, Internet or other means of communications to verify that payment from the Policy Owner's check has been or will be collected. We will not delay payment longer than necessary for us to verify that payment has been or will be collected. Policy Owners may avoid the possibility of delay in the disbursement of proceeds coming from a check that has not yet cleared by providing us with a certified check. We will pay the proceeds in one sum, including either by check, by placing the amount in an account that earns interest, or by any other method of payment that provides the beneficiary with immediate and full access to the proceeds, or under other settlement options that we may make available. None of these options vary with the investment performance of the Separate Account. More detailed information concerning settlement options is available in the Statement of Information and on request from our Designated Office. We will pay interest on the proceeds as required by applicable state law. Unless otherwise requested and subject to state law, the Policy's death proceeds will generally be paid to the beneficiary through a settlement option called the Total Control Account. The Total Control Account is an interest- bearing account through which the beneficiary has immediate and full access to the proceeds, with unlimited draft writing privileges. We credit interest to the account at a rate that will not be less than a guaranteed minimum annual effective rate. You may also elect to have any Policy surrender proceeds paid into a Total Control Account established for you. Assets backing the Total Control Accounts are maintained in our general account and are subject to the claims of our creditors. We will bear the investment experience of such assets; however, regardless of the investment experience of such assets, the interest credited to the Total Control Account will never fall below the applicable guaranteed minimum annual effective rate. Because we bear the investment experience of the assets backing the Total Control Accounts, we may receive a profit from these assets. The Total Control Account is not insured by the FDIC or any other governmental agency. CASH VALUE Your Policy's total cash value includes its cash value in the Separate Account and in the Fixed Account. If you have a Policy loan, the cash value also includes the amount we hold in the Loan Account as a result of the loan. The cash value reflects: -- net premium payments -- the net investment experience of the Policy's Investment Divisions -- interest credited to cash value in the Fixed Account -- interest credited to amounts held in the Loan Account for a Policy loan -- the death benefit option you choose A-27 -- Policy charges -- partial withdrawals -- transfers among the Investment Divisions and the Fixed Account. The Policy's total cash value in the Separate Account equals the number of accumulation units credited in each Investment Division multiplied by that Investment Division's accumulation unit value. We convert any premium, interest earned on loan cash value, or cash value allocated to an Investment Division into accumulation units of the Investment Division. Surrenders, partial withdrawals, Policy loans, transfers and charges deducted from the cash value reduce the number of accumulation units credited in an Investment Division. We determine the number of accumulation units by dividing the dollar amount of the transaction by the Investment Division's accumulation unit value next determined following the transaction. (In the case of an initial premium, we use the accumulation unit value on the investment start date). The accumulation unit value of an Investment Division depends on the net investment experience of its corresponding Portfolio and reflects fees and expenses of the Portfolio. We determine the accumulation unit value as of the close of regular trading on the New York Stock Exchange on each day that the Exchange is open for trading by multiplying the most recent accumulation unit value by the net investment factor ("NIF") for that day (see below). The NIF for an Investment Division reflects: -- the change in net asset value per share of the corresponding Portfolio (as of the close of regular trading on the Exchange) from its last value, -- the amount of dividends or other distributions from the Portfolio since the last determination of net asset value per share, and -- any deductions for taxes that we make from the Separate Account. The NIF can be greater or less than one. DEATH BENEFITS If the insured dies while the Policy is in force, we pay a death benefit to the beneficiary. Coverage under the Policy generally begins when you pay the initial premium. If you make a premium payment with the application, we will cover the insured under a temporary insurance agreement for a limited time that begins on the later of the date we receive the premium payment or the date of any required medical examination. Temporary coverage is not available for proposed insureds who have received medical treatment for, or been diagnosed as having, certain conditions or diseases specified in the temporary insurance agreement. The maximum temporary coverage is the lesser of the amount of insurance applied for and $1,000,000. DEATH BENEFIT OPTIONS. When you apply for a Policy, you must choose among three death benefit options. If you fail to select a death benefit option in the application, we will seek the required information from you. The Option A death benefit is equal to the face amount of the Policy. The Option A death benefit is fixed, subject to increases required by the Internal Revenue Code of 1986 (the "Code"). The Option B death benefit is equal to the face amount of the Policy, plus the Policy's cash value, if any. The Option B death benefit is also subject to increases required by the Code. The Option C death benefit (available if the insured is age 60 or younger) is equal to the face amount of the Policy plus the Policy's cash value until the insured attains age 65, at which time we will increase the Policy's face amount by the amount of the Policy's cash value and thereafter the death benefit will remain level, at the increased face amount, subject to increases required by the Code. CHOICE OF TAX TEST. The Internal Revenue Code requires the Policy's death benefit to be not less than an amount defined in the Code. As a result, if the cash value grows to certain levels, the death benefit increases to satisfy tax law requirements. A-28 When you apply for your Policy, you select which tax test will apply to the death benefit. You will choose between: (1) the guideline premium test, and (2) the cash value accumulation test. The test you choose at issue cannot be changed. Under the GUIDELINE PREMIUM TEST, the death benefit will not be less than the cash value times the guideline premium factor. See Appendix A. Under the CASH VALUE ACCUMULATION TEST, the death benefit will not be less than the cash value times the net single premium factor set by the Code. Net single premium factors are based on the age, smoking status, risk class and sex of the insured at the time of the calculation. Sample net single premium factors appear in Appendix A. If cash value growth in the later Policy years is your main objective, the guideline premium test may be the appropriate choice because it does not require as high a death benefit as the cash value accumulation test, and therefore cost of insurance charges may be lower once the Policy's death benefit is subject to increases required by the Code. If you select the cash value accumulation test, you can generally make a higher amount of premium payments for any given face amount, and a higher death benefit may result in the long term. If cash value growth in the early Policy years is your main objective, the cash value accumulation test may be the appropriate choice because it allows you to invest more premiums in the Policy for each dollar of death benefit. AGE 121. The death benefit payable under Option A or Option C on or after the insured's attained age 121 will be the greater of: -- 101% of the cash value on the date of death, or -- the face amount of the base Policy on the Policy anniversary at the insured's attained age 121. The death benefit payable under Option B on or after the insured's attained age 121 will be the face amount of the base Policy on the Policy anniversary at the insured's attained age 121, plus the cash value on the date of death. The tax consequences of keeping the Policy in force beyond the insured's attained age 121 are unclear. DEATH PROCEEDS PAYABLE The death proceeds we pay are equal to the death benefit on the date of the insured's death, reduced by any outstanding loan and accrued loan interest on that date. If death occurs during the grace period, we reduce the proceeds by the amount of unpaid Monthly Deductions. (See "Lapse and Reinstatement.") We increase the death proceeds (1) by any rider benefits payable and (2) by any cost of insurance charge made for a period beyond the date of death. Riders that can have an effect on the amount of death proceeds payable are the Accelerated Death Benefit Rider, the Accidental Death Benefit Rider and the Options to Purchase Additional Insurance Coverage Rider. (See "Additional Benefits by Rider.") We may adjust the death proceeds if the insured's age or sex was misstated in the application, if death results from the insured's suicide within two years from the Policy's date of issue, or if a rider limits the death benefit. SUICIDE. If the insured commits suicide within two years from the date of issue, the death benefit will be limited to premiums paid less any partial withdrawals, less any loan and loan interest outstanding on the date of death. If the insured commits suicide within two years after the effective date of an increase in face amount, the death benefit for such increase will be limited to the Monthly Deductions for the increase. CHANGE IN DEATH BENEFIT OPTION After the first Policy year you may change your death benefit option, subject to our underwriting rules, by written request to our Designated Office. The change will be effective on the monthly anniversary on or following the date we approve your request. We may require proof of insurability. A change in death benefit option may have tax consequences. If you change from Option A (or from Option C after the insured's attained age 65) to Option B (or to Option C on or before the insured's attained age 60), we reduce the Policy's face amount if necessary so that the death benefit is the same immediately before and after the change. A face amount reduction below $50,000 requires our consent. If we A-29 reduce the face amount, we will first reduce any prior increases in face amount that you applied for, in the reverse order in which the increases occurred, then any remaining initial face amount, and then any increase in face amount from a prior change in death benefit option, but not below the Policy minimum. A partial withdrawal of cash value may be necessary to meet Federal tax law limits on the amount of premiums that you can pay into the Policy. A Surrender Charge may apply to a Policy face amount reduction or partial withdrawal that reduces the face amount on a change from Option A (or from Option C after the insured's attained age 65) to Option B (or to Option C on or before the insured's attained age 60). (See "Surrender Charge.") In addition, if the face amount reduction occurs within 12 months after a face amount increase, we will deduct a proportionate part of the Coverage Expense Charges due with respect to the face amount increase for the remainder of the 12-month period. If you change from Option B (or from Option C on or before the insured's attained age 65) to Option A, we increase the Policy's face amount, if necessary, so that the death benefit is the same immediately before and after the change. The increase in face amount is not subject to the Coverage Expense Charge and will not be subject to any Surrender Charge. INCREASE IN FACE AMOUNT You may increase the Policy's face amount. We require satisfactory evidence of insurability, and the insured's attained age must be 85 or less. The minimum amount of increase permitted is $5,000. The increase is effective on the monthly anniversary on or next following our approval of your request. Requests for face amount increases should be submitted to our Designated Office. An increase in face amount may have tax consequences. The face amount increase will have its own Target Premium, as well as its own Surrender Charge, current cost of insurance rates, Coverage Expense Charge, and Right to Examine Policy and suicide and contestability periods as if it were a new Policy. (See "Surrender Charge", "Monthly Deduction from Cash Value", "Partial Withdrawal" and "Reduction in Face Amount.") When calculating the monthly cost of insurance charge, we attribute the Policy's cash value first to any remaining initial face amount (including any increase in face amount from a prior change in death benefit option), then to any face amount increases in the order in which they were issued, for purposes of determining the net amount at risk. We reserve the right to (i) restrict certain Policy changes, such as death benefit increases, or (ii) require the issuance of a new Policy in connection with such Policy changes if we deem it administratively necessary or prudent to do so in order to comply with applicable law, including applicable Federal income tax law. REDUCTION IN FACE AMOUNT After the first Policy year, you may reduce the face amount of your Policy without receiving a distribution of any Policy cash value. If you reduce the face amount of your Policy, we deduct any Surrender Charge that applies from the Policy's cash value in proportion to the amount of the face amount reduction. If the face amount of your Policy is reduced in the first year following a face amount increase, we will also deduct a proportionate part of the Coverage Expense Charges due for the remainder of the first year following the face amount increase. A face amount reduction will decrease the Policy's death benefit unless we are increasing the death benefit to satisfy Federal income tax laws, in which case a face amount reduction will not decrease the death benefit unless we deduct a Surrender Charge from the cash value. A reduction in face amount in this situation may not be advisable. The amount of any face reduction must be at least $5,000, and the face amount remaining after a reduction must meet our minimum face amount requirements for issue, except with our consent. If you choose to reduce your Policy's face amount, unless you request otherwise, we will first decrease any prior increases in base Policy face amount that you applied for, in the reverse order in which the increases occurred, then any remaining initial base Policy face amount, and then any increase in face amount from a prior change in death benefit option. A reduction in face amount reduces the Federal tax law limits on the amount of premiums that you can pay under the Policy under the guideline premium test. In these cases, a portion of the Policy's cash value may have to be paid to you to comply with Federal tax law. A-30 A face amount reduction takes effect on the monthly anniversary on or next following the date we receive your request. You can contact your registered representative or the Designated Office for information on face amount reduction procedures. A reduction in the face amount of a Policy may create a modified endowment contract or have other adverse tax consequences. If you are contemplating a reduction in face amount, you should consult your tax adviser regarding the tax consequences of the transaction. (See "Tax Considerations.") SURRENDERS AND PARTIAL WITHDRAWALS SURRENDER You may surrender the Policy for its cash surrender value at any time while the insured is living. We determine the cash surrender value as of the date when we receive the surrender request. (See "Receipt of Communications and Payments at MetLife's Designated Office.") The cash surrender value equals the cash value reduced by any Policy loan and accrued interest and by any applicable Surrender Charge. (See "Surrender Charge.") If you surrender the Policy in the first Policy year (or in the first year following a face amount increase), we will also deduct an amount equal to the remaining first year Coverage Expense Charges. We reserve the right to also deduct an amount equal to the remaining first year Policy Charges. If you surrender the Policy, coverage will terminate on the monthly anniversary on or next following the date of surrender. If the insured dies on or after the surrender date, but before the termination date, we will reverse the surrender and will pay the Policy's death benefit to the beneficiary, but we will deduct from the death proceeds an amount equal to the cash surrender value paid to you. You may apply all or part of the surrender proceeds to a payment option. Once a Policy is surrendered, all coverage and benefits cease and cannot be reinstated. A surrender may result in adverse tax consequences. (See "Tax Considerations" below.) The Policies are designed to be long-term investments. As a result, you should be aware that if you surrender your Policy in the first Policy year, the Surrender Charge is likely to exceed the cash value of your Policy and you will receive no proceeds upon surrender. PARTIAL WITHDRAWAL After the first Policy anniversary you may withdraw a portion of the Policy's cash surrender value. A partial withdrawal reduces the Policy's death benefit and may reduce the Policy's face amount if necessary so that the amount at risk under the Policy will not increase. A partial withdrawal may also reduce rider benefits. The minimum amount of a partial withdrawal request must be $500. We have the right to limit partial withdrawals to no more than 90% of the cash surrender value. In addition, a partial withdrawal will be limited by any restriction that we currently impose on withdrawals from the Fixed Account. (See "The Fixed Account.") Currently, we permit partial withdrawals equal to the lesser of 100% of the Policy's cash surrender value in the Separate Account as of the beginning of the year, or the maximum amount that can be withdrawn without causing the Policy's face amount to fall below the minimum permitted. (However, we may allow the face amount to fall below the minimum if the Policy has been in force for at least 15 years and the insured's attained age is greater than 55.) You may not make a partial withdrawal that would reduce your cash surrender value to less than the amount of two monthly deductions. We have the right to limit partial withdrawals to 12 per Policy year. Currently we do not limit the number of partial withdrawals. We reserve the right to impose a charge of $25 on each partial withdrawal. If a partial withdrawal reduces your Policy's face amount, the amount of the Surrender Charge that will be deducted from your cash value is an amount that is proportional to the amount of the face reduction. The amount deducted will reduce the remaining Surrender Charge payable under the Policy. No Surrender Charge will apply on up to 10% of the cash surrender value withdrawn each year, measured as a percentage of each withdrawal. A-31 EXAMPLE. The following example assumes that a Policy Owner withdraws, in the first month of the second Policy year, 20% of the cash surrender value of a Policy. The insured under the Policy is assumed to be the representative insured shown in the fee table on page A-8 of the prospectus. As shown in the fee table, the Surrender Charge for that insured is $14.00 per $1,000 of Policy face amount. The Policy is assumed to have the other characteristics shown below:
Face Amount:............. $ 350,000 Death Benefit Option:.... Option A -- Level Cash Value:.............. $ 12,000 Surrender Charge:........ $ - 4,900 ($14.00 x $350,000/1,000) ------------------ Cash Surrender Value:.... $ 7,100 x 20% ------------------ Withdrawal Amount:....... $ 1,420
The first 10% of cash surrender value, or $710, can be withdrawn free of Surrender Charge. The remaining $710 withdrawn is subject to a portion of the Policy's Surrender Charge -- based on the ratio that such excess withdrawal amount bears to the Policy's face amount less the Surrender Charge, as shown in the formula below:
Withdrawal Amount in Excess of Free Withdrawal Surrender Charge x --------------------------------- = Surrender Charge Face Amount less Surrender Charge On Withdrawal $710 $4,900 x --------------------------------- = $10 $350,000 - $4,900
Because the Policy has a level death benefit, the withdrawal will cause a dollar for dollar reduction in the Policy's face amount, so that the cash value and the face amount will both be reduced by the $1,420 withdrawal and by the $10 Surrender Charge. The effect of the withdrawal on the Policy would be as follows:
Face Amount before Withdrawal............................. $350,000 Withdrawal.............................................. - 1,420 Surrender Charge on Withdrawal.......................... - 10 -------- Face Amount after Withdrawal.............................. $348,570 Surrender Charge before Withdrawal........................ $ 4,900 Surrender Charge on Withdrawal.......................... - 10 -------- Surrender Charge after Withdrawal......................... $ 4,890 Cash Value before Withdrawal.............................. $ 12,000 Withdrawal.............................................. - 1,420 Surrender Charge on Withdrawal.......................... - 10 -------- Cash Value after Withdrawal............................... $ 10,570 Surrender Charge after Withdrawal......................... - 4,890 -------- Cash Surrender Value after Withdrawal..................... $ 5,680
Any face amount reduction resulting from a partial withdrawal will reduce the face amount in the following order: any prior increases in base Policy face amount that you applied for, in the reverse order in which the increases occurred; any remaining initial face amount; and then any face amount increases resulting from a change in death benefit option, down to the required minimum. A partial withdrawal reduces the cash value in the Investment Divisions of the Separate Account and the Fixed Account in the same proportion that the cash value in each bears to the Policy's total unloaned cash value. We determine the amount of cash surrender value paid upon a partial withdrawal as of the date when we receive a request. A-32 You can contact your registered representative or our Designated Office for information on partial withdrawal procedures. (See "Receipt of Communications and Payments at MetLife's Designated Office.") A reduction in the death benefit as a result of a partial withdrawal may create a modified endowment contract or have other adverse tax consequences. If you are contemplating a partial withdrawal, you should consult your tax adviser regarding the tax consequences. (See "Tax Considerations.") TRANSFERS TRANSFER OPTION You may transfer your Policy's cash value between and among the Investment Divisions and the Fixed Account. Your right to transfer begins 20 days after we apply your initial premium to the Policy. We reserve the right to limit transfers to four per Policy year and to impose a charge of $25 per transfer. Currently we do not limit the number of transfers per Policy year or impose a charge on transfers. We treat all transfer requests made at the same time as a single request. The transfer is effective as of the date when we receive the transfer request, if the request is received before the close of regular trading on the New York Stock Exchange. Transfer requests received after that time, or on a day that the New York Stock Exchange is not open, will be effective on the next day that the New York Stock Exchange is open. (See "Receipt of Communications and Payments at MetLife's Designated Office.") For special rules regarding transfers involving the Fixed Account, see "The Fixed Account". Frequent requests from Policy Owners to transfer cash value may dilute the value of a Portfolio's shares if the frequent trading involves an attempt to take advantage of pricing inefficiencies created by a lag between a change in the value of the securities held by the Portfolio and the reflection of that change in the Portfolio's share price ("arbitrage trading"). Regardless of the existence of pricing inefficiencies, frequent transfers may also increase brokerage and administrative costs of the underlying Portfolios and may disrupt portfolio management strategy, requiring a Portfolio to maintain a high cash position and possibly resulting in lost investment opportunities and forced liquidations ("disruptive trading"). Accordingly, arbitrage trading and disruptive trading activities (referred to collectively as "market timing") may adversely affect the long-term performance of the Portfolios, which may in turn adversely affect Policy Owners and other persons who may have an interest in the Policies (e.g., beneficiaries). We have policies and procedures that attempt to detect and deter frequent transfers in situations where we determine there is a potential for arbitrage trading. Currently, we believe that such situations may be presented in the international, small-cap, and high-yield Portfolios (i.e., the Artio International Stock Portfolio, Loomis Sayles Small Cap Core Portfolio, Loomis Sayles Small Cap Growth Portfolio, Morgan Stanley EAFE Index Portfolio, Neuberger Berman Genesis Portfolio, Oppenheimer Global Equity Portfolio, Russell 2000 Index Portfolio, Western Asset Management Strategic Bond Opportunities Portfolio, T. Rowe Price Small Cap Growth Portfolio, Van Eck Global Natural Resources Portfolio, Clarion Global Real Estate Portfolio, Dreman Small Cap Value Portfolio, Harris Oakmark International Portfolio, Lord Abbett Bond Debenture Portfolio, Invesco Small Cap Growth Portfolio, Met/Templeton Growth Portfolio, MFS Emerging Markets Equity Portfolio, MFS Research International Portfolio, and American Funds Global Small Capitalization Fund--the "Monitored Portfolios") and we monitor transfer activity in those Monitored Portfolios. In addition, as described below, we treat all American Funds Insurance Series portfolios ("American Funds portfolios") as Monitored Portfolios. We employ various means to monitor transfer activity, such as examining the frequency and size of transfers into and out of the Monitored Portfolios within given periods of time. For example, we currently monitor transfer activity to determine if, for each category of international, small-cap, and high-yield Portfolios, in a 12-month period there were, (1) six or more transfers involving the given category; (2) cumulative gross transfers involving the given category that exceed the current cash value; and (3) two or more "round-trips" involving any Portfolio in the given category. A round-trip generally is defined as a transfer in followed by a transfer out within the next seven calendar days or a transfer out followed by a transfer in within the next seven calendar days, in either case subject to certain other criteria. We do not believe that other Portfolios present a significant opportunity to engage in arbitrage trading and therefore do not monitor transfer activity in those Portfolios. We may change the Monitored Portfolios at any time without notice in our sole discretion. In addition to monitoring transfer activity in certain Portfolios, we rely on the underlying Portfolios to bring any potential disruptive trading activity they identify to our attention for investigation on a case-by-case basis. We will also investigate other harmful transfer activity that we identify from time to time. We may revise these policies and procedures in our sole discretion at any time without prior notice. A-33 AMERICAN FUNDS MONITORING POLICY. As a condition to making their portfolios available in our products, American Funds requires us to treat all American Funds portfolios as Monitored Portfolios under our current market timing and excessive trading policies and procedures. Further, American Funds requires us to impose additional specified monitoring criteria for all American Funds portfolios available under the Policy, regardless of the potential for arbitrage trading. We are required to monitor transfer activity in American Funds portfolios to determine if there were two or more transfers in followed by transfers out, in each case of a certain dollar amount or greater, in any 30-day period. A first violation of the American Funds monitoring policy will result in a written notice of violation; each additional violation will result in the imposition of a six-month restriction, during which period we will require all transfer requests to or from an American Funds portfolio to be submitted with an original signature. Further, as Monitored Portfolios, all American Funds portfolios also will be subject to our current market timing and excessive trading policies, procedures and restrictions (described below), and transfer restrictions may be imposed upon a violation of either monitoring policy. Our policies and procedures may result in transfer restrictions being applied to deter market timing. Currently, when we detect transfer activity in the Monitored Portfolios that exceeds our current transfer limits, or other transfer activity that we believe may be harmful to other Policy Owners or other persons who have an interest in the Policies, we require all future transfer requests to or from any Monitored Portfolios or other identified Portfolios under that Policy to be submitted either (i) in writing with an original signature or (ii) by telephone prior to 10:00 a.m. Transfers made under an Automated Investment Strategy are not treated as transfers when we evaluate trading patterns for market timing. The detection and deterrence of harmful transfer activity involves judgments that are inherently subjective, such as the decision to monitor only those Portfolios that we believe are susceptible to arbitrage trading or the determination of the transfer limits. Our ability to detect and/or restrict such transfer activity may be limited by operational and technological systems, as well as our ability to predict strategies employed by Policy Owners to avoid such detection. Our ability to restrict such transfer activity also may be limited by provisions of the Policy. Accordingly, there is no assurance that we will prevent all transfer activity that may adversely affect Policy Owners and other persons with interests in the Policies. We do not accommodate market timing in any Portfolio and there are no arrangements in place to permit any Policy Owner to engage in market timing; we apply our policies and procedures without exception, waiver, or special arrangement. The Portfolios may have adopted their own policies and procedures with respect to frequent purchases and redemptions of their respective shares, and we reserve the right to enforce these policies and procedures. For example, Portfolios may assess a redemption fee (which we reserve the right to collect) on shares held for a relatively short period. The prospectuses for the Portfolios describe any such policies and procedures, which may be more or less restrictive than the policies and procedures we have adopted. Although we may not have the contractual authority or the operational capacity to apply the frequent trading policies and procedures of the Portfolios, we have entered into a written agreement, as required by SEC regulation, with each Portfolio or its principal underwriter that obligates us to provide to the Portfolio promptly upon request certain information about the trading activity of individual Policy Owners, and to execute instructions from the Portfolio to restrict or prohibit further purchases or transfers by specific Policy Owners who violate the frequent trading policies established by the Portfolio. In addition, Policy Owners and other persons with interests in the Policies should be aware that the purchase and redemption orders received by the Portfolios generally are "omnibus" orders from intermediaries such as retirement plans or separate accounts funding variable insurance products. The omnibus orders reflect the aggregation and netting of multiple orders from individual owners of variable insurance products and/or individual retirement plan participants. The omnibus nature of these orders may limit the Portfolios in their ability to apply their frequent trading policies and procedures. In addition, the other insurance companies and/or retirement plans may have different policies and procedures or may not have any such policies and procedures because of contractual limitations. For these reasons, we cannot guarantee that the Portfolios (and thus Policy Owners) will not be harmed by transfer activity relating to other insurance companies and/or retirement plans that may invest in the Portfolios. If a Portfolio believes that an omnibus order reflects one or more transfer requests from Policy Owners engaged in disruptive trading activity, the Portfolio may reject the entire omnibus order. A-34 In accordance with applicable law, we reserve the right to modify or terminate the transfer privilege at any time. We also reserve the right to defer or restrict the transfer privilege at any time that we are unable to purchase or redeem shares of any of the Portfolios, including any refusal or restriction on purchases or redemptions of their shares as a result of their own policies and procedures on market timing activities (even if an entire omnibus order is rejected due to the market timing activity of a single Policy Owner). You should read the Portfolio prospectuses for more details. AUTOMATED INVESTMENT STRATEGIES You can choose one of five automated investment strategies. You can change or cancel your choice at any time. EQUITY GENERATOR(R). The Equity Generator allows you to transfer the interest earned in the Fixed Account to any one of the Investment Divisions on each monthly anniversary. The interest earned in the month must be at least $20 in order for the transfer to take place. If less than $20 is earned, no transfer will occur, and the interest not transferred cannot be counted towards the next month's minimum. ALLOCATOR(SM). The Allocator allows you to systematically transfer cash value from the Fixed Account or any one Investment Division (the "source fund") to any number of Investment Divisions. The transfers will take place on each monthly anniversary. You can choose to transfer a specified dollar amount (1) for a specified number of months, or (2) until the source fund is depleted. In either case, you must select a dollar amount that would allow transfers to continue for at least months. ENHANCED DOLLAR COST AVERAGER. With the Enhanced Dollar Cost Averager, cash value is transferred from the EDCA fixed account to the Investment Divisions monthly. You elect the EDCA at issue and select the total amount of cash value to be transferred. The cash value earmarked for the strategy is held in the EDCA fixed account where it may be credited with a rate of interest that is higher than the Fixed Account's current crediting rate. The amount transferred each month to the Investment Divisions equals the total amount earmarked for the strategy divided by 12. REBALANCER(R). The Rebalancer allows your Policy's cash value to be automatically redistributed on a quarterly basis among the Investment Divisions and the Fixed Account in accordance with the allocation percentages you have selected. INDEX SELECTOR(R). The Index Selector allows you to choose one of five asset allocation models which are designed to correlate to various risk tolerance levels. Based on your selection, we allocate 100% of your cash value among the five Investment Divisions that invest in the five index Portfolios available under the Policy (the Barclays Capital Aggregate Bond Index, Morgan Stanley EAFE Index, MetLife Stock Index, MetLife Mid Cap Stock Index and Russell 2000 Index Portfolios) and the Fixed Account. On a quarterly basis, we will redistribute your cash value among these Investment Divisions and the Fixed Account in order to return your cash value to the original allocation percentages. If you change your allocation of net premiums the Index Selector strategy, including the rebalancing feature, will be terminated. We will continue to implement the Index Selector strategy using the percentage allocations of the model that was in effect when you elected the Index Selector strategy. You should consider whether it is appropriate for you to continue using this strategy over time if your risk tolerance, time horizon or financial situation changes. The asset allocation models used in Index Selector may change from time to time. If you are interested in an updated model, please contact your registered representative. You may not elect Index Selector unless you purchase the Policy through a registered representative of one of our affiliated broker-dealers MetLife Securities, Inc. and New England Securities Corporation. However, ask your registered representative how you might design a similar investment strategy using Rebalancer. These automated investment strategies allow you to take advantage of investment fluctuations, but none assures a profit nor protects against a loss. Because certain strategies involve continuous investment in securities regardless of fluctuating price levels of such securities, you should consider your financial ability to continue purchases through periods of fluctuating price levels. We reserve the right to modify or terminate any of the automated investment strategies for any reason, including, without limitation, a change in regulatory requirements applicable to such programs. For more information about the automated investment strategies, please contact your registered representative. A-35 LOANS You may borrow from your Policy at any time. The maximum amount you may borrow, calculated as of the date of the loan, is the greater of 75% of the Policy's cash surrender value or: -- the Policy's cash value, less -- any Policy loan balance, less -- loan interest due to the next Policy anniversary, less -- the most recent Monthly Deduction times the number of months to the next Policy anniversary, less -- any Surrender Charge, plus -- interest credited on the cash value at the guaranteed interest rate to the next Policy anniversary. The minimum loan amount is $500. We make the loan as of the date when we receive a loan request. (See "Receipt of Communications and Payments at MetLife's Designated Office.") You may increase your risk of lapse if you take a loan. You should contact our Designated Office or your registered representative for information on loan procedures. A Policy loan reduces the Policy's cash value in the Investment Divisions by the amount of the loan. A loan repayment increases the cash value in the Investment Divisions by the amount of the repayment. We attribute Policy loans to the Investment Divisions and the Fixed Account in proportion to the cash value in each. We transfer cash value equal to the amount of the loan from the Investment Divisions and the Fixed Account to the Loan Account (which is part of our general account). You may repay all or part of your loan at any time while the insured is still alive. When you make a loan repayment, we transfer an amount of cash value equal to the repayment from the Loan Account to the Divisions of the Separate Account and to the Fixed Account in proportion to the cash value in each. (See "Receipt of Communications and Payments at MetLife's Designated Office.") We guarantee that the interest rate charged on Policy loans will not be more than 4.0% per year in Policy years 1-10 and 3.0% per year thereafter. Policy loan interest is due and payable annually on each Policy anniversary. If not paid when due, we add the interest accrued to the loan amount, and we transfer an amount of cash value equal to the unpaid interest from the Investment Divisions and the Fixed Account to the Loan Account in the same manner as a new loan. Cash value in the Loan Account earns interest at not less than 3.0% per year and is transferred on each Policy anniversary to the Investment Divisions and to the Fixed Account in proportion to the cash value in each. The interest credited will also be transferred: (1) when you take a new loan; (2) when you make a full or partial loan repayment; and (3) when the Policy enters the grace period. The amount taken from the Policy's Investment Divisions as a result of a loan does not participate in the investment experience of the Investment Divisions. Therefore, loans can permanently affect the death benefit and cash value of the Policy, even if repaid. In addition, we reduce any proceeds payable under a Policy by the amount of any outstanding loan plus accrued interest. If a Policy loan is outstanding, it may be better to repay the loan than to pay a premium, because the payment is subject to sales and premium tax charges, and the loan repayment is not subject to charges. (See "Deductions from Premiums.") If you want us to treat a payment as a loan repayment, it should be clearly marked as such. A loan that is taken from, or secured by, a Policy may have tax consequences. Although the issue is not free from doubt, we believe that a loan from or secured by a Policy that is not classified as a modified endowment contract should generally not be treated as a taxable distribution. Nevertheless, the tax consequences associated with loans outstanding after the tenth Policy year are uncertain. A tax adviser should be consulted when considering a loan. A-36 LAPSE AND REINSTATEMENT LAPSE In general, in any month that your Policy's cash surrender value is not large enough to cover a Monthly Deduction, your Policy will be in default, and may lapse. However, you can prevent your Policy from lapsing, regardless of the amount of your cash surrender value, if the premiums you pay are sufficient to keep the Guaranteed Minimum Death Benefit ("GMDB") in effect. The base Policy offers, at no additional charge, a five-year GMDB, a 20- year GMDB and a GMDB that lasts until the insured's age 65. For an additional charge, you can add a Policy rider at issue that provides a GMDB to age 85 or a GMDB to age 121. All Policies are issued with a GMDB, which guarantees that the Policy will remain in force for at least five years if the required Guaranteed Minimum Death Benefit Monthly Premiums ("GMDB Monthly Premiums") are paid when due. The five-year GMDB Monthly Premium is set forth in your Policy. It is the minimum initial periodic premium you can pay into the Policy. Policies will be issued with the 20-year GMDB or the GMDB to age 65 to eligible Policy Owners who elect either of these GMDBs at issue. The GMDB Monthly Premium varies depending on the guarantee period, the insured's age, sex (except for unisex policies), smoking status and risk class, the Policy's face amount and the death benefit option chosen. The GMDB Monthly Premium may change in the event that any of the following events occur: an increase or decrease in the base Policy face amount; adding, deleting or changing a rider; a change in death benefit option or the insured's risk class; or a misstatement of the insured's age or sex in the Policy application. On each monthly anniversary we test the Policy to determine if the cumulative premiums you have paid, less any partial withdrawals or outstanding loans you have taken, equal or exceed the sum of the GMDB Monthly Premiums due to date for the GMDB you selected. If you meet this test, the GMDB you selected will be in effect. However, even if you have not elected the 20-year GMDB or the GMDB to age 65, if the amount of premiums you pay into the Policy for each Policy month since the Policy Date is sufficient to meet the requirements of the 20-year GMDB or the GMDB to age 65, in your third annual statement we will notify you that the applicable GMDB is in effect. Conversely, if you have elected the 20-year GMDB or the GMDB to age 65 and your premium payments are insufficient to satisfy the GMDB Monthly Premium requirements, we will notify you that your GMDB will be reduced to the five-year GMDB, the GMDB to age 65, or the 20-year GMDB, as applicable, unless you pay sufficient premiums within 62 days to meet the requirements of the GMDB you originally selected. If, during the first five Policy years, you fail to pay sufficient premiums to keep the five-year GMDB in effect, we will notify you that the GMDB will terminate within 62 days if you fail to pay the required Monthly Premiums. If the guarantee provided by the GMDB terminates, the Policy will continue in force for as long as there is cash surrender value sufficient to pay the Monthly Deduction. If the GMDB terminates, you may reinstate it within nine months provided the Policy remains in force. In order to reinstate the GMDB, you must pay sufficient premiums to satisfy the cumulative premium requirement for the applicable GMDB (five-year, 20-year or to age 65) at the time of reinstatement. If the GMDB is in effect and the Policy's cash surrender value is insufficient to cover the Monthly Deduction, the Policy will not lapse. We will take the Monthly Deduction from the Policy's cash value until the cash value has been reduced to zero. At that point, future Monthly Deductions will be waived for as long as the GMDB is in effect. If the GMDB is not in effect and the cash surrender value is insufficient to pay the Monthly Deduction, the Policy will enter a 62-day grace period during which you will have an opportunity to pay a premium sufficient to keep the Policy in force. The minimum amount you must pay is the lesser of three Monthly Deductions or, if applicable, the amount necessary to reinstate the GMDB. We will tell you the amount due. If you fail to pay this amount before the end of the grace period, the Policy will terminate. Your Policy may also lapse if Policy loans plus accrued interest exceed the Policy's cash value less the Surrender Charge. Your Policy may be protected against lapse in these circumstances if it has been in force for 15 years, the insured has attained age 75, and the other requirements of the Overloan Protection Rider have been met. If your Policy is not so protected, we will notify you that the Policy is going to terminate. The Policy terminates without value unless you make a sufficient payment within the later of 62 days from the monthly anniversary immediately before the date A-37 when the excess loan occurs or 31 days after we mail the notice. If the Policy lapses with a loan outstanding, adverse tax consequences may result. (See "Tax Considerations" below.) REINSTATEMENT If your Policy has lapsed, you may reinstate it within three years after the date of lapse if the insured has not attained age 121. If more than three years have passed, you need our consent to reinstate. Reinstatement in all cases requires payment of certain charges described in the Policy and usually requires evidence of insurability that is satisfactory to us. If the Policy lapses and is reinstated during the first five Policy years, only the five-year GMDB will be reinstated. If the Policy lapses after the first five Policy years, the GMDB will terminate and cannot be reinstated. Under no circumstances can the GMDB provided by Policy rider be reinstated following a Policy lapse. If we deducted a Surrender Charge on lapse, we credit it back to the Policy's cash value on reinstatement. The Surrender Charge on the date of reinstatement is the same as it was on the date of lapse. When we determine the Surrender Charge and other charges except cost of insurance and the Policy loan interest rate, we do not count the amount of time that a Policy was lapsed. ADDITIONAL BENEFITS BY RIDER You can add additional benefits to the Policy by rider, subject to our underwriting and issuance standards. These additional benefits usually require an additional charge as part of the Monthly Deduction from cash value. The rider benefits available with the Policy provide fixed benefits that do not vary with the investment experience of the Separate Account. There is no limit on the number of riders you can elect to add to your Policy at issue. However, you may not elect both the Waiver of Monthly Deduction Rider and the Waiver of Specified Premium Rider. The following riders, some of which have been described previously, are available: CHILDREN'S TERM INSURANCE RIDER, which provides term insurance on the lives of children of the insured. WAIVER OF MONTHLY DEDUCTION RIDER, which provides for waiver of Monthly Deductions in the event of the disability of the insured. WAIVER OF SPECIFIED PREMIUM RIDER, which provides for waiver of a specified amount of monthly premium in the event of the disability of the insured. OPTIONS TO PURCHASE ADDITIONAL INSURANCE COVERAGE RIDER, which allows the Owner to purchase additional coverage on the insured without providing evidence of insurability. ACCELERATION OF DEATH BENEFIT RIDER, which allows a Policy Owner to accelerate payment of all or part of the Policy's death benefit if the insured is terminally ill. In calculating the Accelerated Death Benefit, we assume that death occurs one year from the date of claim and we discount the future death benefit using an interest rate not to exceed the greater of (1) the current yield on 90-day Treasury bills, and (2) the maximum policy loan interest rate under the Policy. The Policy Owner must accelerate at least $50,000 (or 25% of the death benefit, if less), but not more than the greater of $250,000 or 10% of the death benefit. As an example, if a Policy Owner accelerated the death benefit of a Policy with a face amount of $1,000,000, the maximum amount that could be accelerated would be $250,000. Assuming an interest rate of 6%, the present value of the benefit would be $235,849. If we exercised our reserved right to impose a $150 processing fee, the benefit payable would be $235,849 less $150, or $235,699. GUARANTEED SURVIVOR INCOME BENEFIT RIDER, which provides the beneficiary with the option of exchanging the Policy's death benefit for enhanced monthly income payments for life. ACCIDENTAL DEATH BENEFIT RIDER, which provides for the payment of an additional death benefit in the event of the insured's death by accident. GUARANTEED MINIMUM DEATH BENEFIT RIDER, which provides for a guaranteed death benefit until the insured's age 85 or the insured's age 121. OVERLOAN PROTECTION RIDER, which provides protection from Policy lapse due to an excess Policy loan. A-38 Riders in addition to those listed above may be made available. You should consult your registered representative regarding the availability of riders. THE FIXED ACCOUNT You may allocate net premiums and transfer cash value to the Fixed Account, which is part of MetLife's general account. Because of exemptive and exclusionary provisions in the Federal securities laws, interests in the Fixed Account are not registered under the Securities Act of 1933. Neither the Fixed Account nor the general account is registered as an investment company under the Investment Company Act of 1940. Therefore, neither the Fixed Account, the general account nor any interests therein are generally subject to the provisions of these Acts, and the SEC does not review Fixed Account disclosure. This disclosure may, however, be subject to certain provisions of the Federal securities laws on the accuracy and completeness of prospectuses. GENERAL DESCRIPTION Our general account includes all of our assets except assets in the Separate Account or in our other separate accounts. We decide how to invest our general account assets. Fixed Account allocations do not share in the actual investment experience of the general account. Instead, we guarantee that the Fixed Account will credit interest at an annual effective rate of at least 3%. We may or may not credit interest at a higher rate. We declare the current interest rate for the Fixed Account periodically. The Fixed Account earns interest daily. VALUES AND BENEFITS Cash value in the Fixed Account increases from net premiums allocated and transfers to the Fixed Account and Fixed Account interest, and decreases from loans, partial withdrawals made from the Fixed Account, charges and transfers from the Fixed Account. We deduct charges from the Fixed Account and the Policy's Investment Divisions in proportion to the amount of cash value in each. (See "Monthly Deduction from Cash Value.") A Policy's total cash value includes cash value in the Separate Account, the Fixed Account, and any cash value held in the Loan Account due to a Policy loan. Cash value in the Fixed Account is included in the calculation of the Policy's death benefit in the same manner as the cash value in the Separate Account. (See "Death Benefits.") POLICY TRANSACTIONS Except as described below, the Fixed Account has the same rights and limitations regarding premium allocations, transfers, loans, surrenders and partial withdrawals as the Separate Account. The following special rules apply to the Fixed Account. Twenty days after we apply the initial premium to the Policy you may transfer cash value from the Fixed Account to the Separate Account. The amount of any transfer must be at least $50, unless the balance remaining would be less than $50, in which case you may withdraw or transfer the entire Fixed Account cash value. After the first Policy year you may withdraw cash value from the Fixed Account. The amount of any partial withdrawal, net of applicable Surrender Charges, must be at least $500. No amount may be withdrawn from the Fixed Account that would result in there being insufficient cash value to meet any Surrender Charges that would be payable immediately following the withdrawal upon the surrender of the remaining cash value in the Policy. We reserve the right to only allow transfers and withdrawals from the Fixed Account during the 30-day period that follows the Policy anniversary. The total amount of transfers and withdrawals in a Policy year may not exceed the greater of (a) 25% of the Policy's cash surrender value in the Fixed Account at the beginning of the Policy year, (b) the previous Policy year's maximum allowable withdrawal amount and (c) 100% of the cash surrender value in the Fixed Account if withdrawing the greater of (a) and (b) would result in a Fixed Account balance of $50 or less. We are not currently imposing the maximum limit on transfers and withdrawals from the Fixed Account, but we reserve the right to do so. There is currently no transaction charge for partial withdrawals or transfers. We reserve the right to limit partial withdrawals to 12 and transfers to four in a Policy year and to impose a charge of $25 for each partial withdrawal or A-39 transfer. We may revoke or modify the privilege of transferring amounts to or from the Fixed Account at any time. Partial withdrawals will result in the imposition of any applicable Surrender Charges. Unless you request otherwise, a Policy loan reduces the Policy's cash value in the Investment Divisions and the Fixed Account proportionately. We allocate all loan repayments in the same proportion that the cash value in each Investment Division and the Fixed Account bears to the Policy's total unloaned cash value. The amount transferred from the Policy's Investment Divisions and the Fixed Account as a result of a loan earns interest at an effective rate of at least 3% per year, which we credit to the Policy's cash value in the Investment Divisions and the Fixed Account in proportion to the Policy's cash value in each on the day it is credited. We take partial withdrawals from the Policy's Investment Divisions and the Fixed Account in the same proportion that the cash value in each account bears to the Policy's total unloaned cash value. We can delay transfers, surrenders, withdrawals and Policy loans from the Fixed Account for up to six months. We will not delay loans to pay premiums on policies issued by us. CHARGES We make certain charges and deductions under the Policy. These charges and deductions compensate us for: (1) services and benefits we provide; (2) costs and expenses we incur; and (3) risks we assume. Services and benefits we provide: - the death benefit, cash, and loan benefits under the Policy - investment options, including premium allocations - administration of elective options - the distribution of reports to Policy Owners Costs and expenses we incur: - costs associated with processing and underwriting applications, and with issuing and administering the Policy (including any riders) - overhead and other expenses for providing services and benefits - sales and marketing expenses - other costs of doing business, such as collecting premiums, maintaining records, processing claims, effecting transactions, and paying federal, state, and local premium and other taxes and fees Risks we assume: - that the cost of insurance charges we may deduct are insufficient to meet our actual claims because the insureds die sooner than we estimate - that the cost of providing the services and benefits under the Policies exceed the charges we deduct The amount of a charge may not necessarily correspond to the costs of the services or benefits that are implied by the name of the charge or that are associated with the particular Policy. For example, the sales charge and Surrender Charge may not fully cover all of our sales and distribution expenses, and we may use proceeds from other charges, including the Mortality and Expense Risk Charge and the cost of insurance charge, to help cover those expenses. We may profit from certain Policy charges. DEDUCTIONS FROM PREMIUMS Prior to the allocation of a premium, we deduct a percentage of your premium payment. We credit the remaining amount (the net premium) to your cash value according to your allocation instructions. The deductions we make from each premium payment are the sales charge, the premium tax charge, and the federal tax charge. A-40 SALES CHARGE. We deduct a 2.25% sales charge from each premium payment. Currently, the sales charge is only deducted from premium payments that are less than or equal to the Target Premium. PREMIUM TAX CHARGE. We deduct 2.0% from each premium for premium taxes and administrative expenses. Premium taxes vary from state to state, but we deduct a flat 2.0%, which is based on an average of such taxes. Administrative expenses covered by this charge include those related to premium tax and certain other state filings. FEDERAL TAX CHARGE. We deduct 1.25% from each premium for our Federal income tax liability related to premiums. EXAMPLE: The following chart shows the net amount that we would allocate to the Policy assuming a premium payment of $4,000 (and a Target Premium of $2,000).
NET PREMIUM PREMIUM ------- ------- $4,000 $4,000 (5.5% x $2,000) + (3.25% x $2,000) = total sales, premium tax -175 and Federal tax charges ------ $3,825 Net Premium
SURRENDER CHARGE If, during the first ten Policy years, or during the first ten Policy years following a face amount increase, you surrender or lapse your Policy, reduce the face amount, or make a partial withdrawal or change in death benefit option that reduces the face amount, then we will deduct a Surrender Charge from the cash value. The maximum Surrender Charge is shown in your Policy. No Surrender Charge will apply on up to 10% of the cash surrender value withdrawn each year. The Surrender Charge depends on the face amount of your Policy and the issue age, sex (except for unisex policies), risk class and smoker status of the insured. The Surrender Charge will remain level for up to three Policy years, or for up to three years after a face amount increase, and will then decline on a monthly basis until it reaches zero at the end of the tenth Policy year (or the tenth year following the face amount increase). The table below shows the maximum Surrender Charge that applies if the lapse, surrender or face amount reduction occurs at any time in the first Policy year, and in the last month of each Policy year thereafter.
FOR POLICIES WHICH THE MAXIMUM ARE SURRENDERED, SURRENDER CHARGE LAPSED OR PER $1,000 OF BASE REDUCED DURING POLICY FACE AMOUNT ------------------ ------------------ Entire Policy Year 1 $38.25 Last Month of Policy Year 2 35.81 3 32.56 4 31.74 5 29.84 6 27.13 7 23.90 8 18.99 9 9.50 10 0.00
In the case of a face amount reduction or a partial withdrawal or change in death benefit option that results in a face amount reduction, we deduct any Surrender Charge that applies from the Policy's remaining cash value in an amount that is proportional to the amount of the Policy's face amount surrendered. (See "Reduction in Face Amount," "Partial Withdrawal" and "Change in Death Benefit Option.") A-41 If you surrender the Policy (or a face amount increase) in the first Policy year (or in the first year following the face amount increase) we will deduct from the surrender proceeds an amount equal to the remaining first year Coverage Expense Charges. We reserve the right to also deduct an amount equal to the remaining first year Policy Charges. If you reduce the face amount of your Policy in the first year following a face amount increase, we will deduct from your cash value a proportionate amount of the remaining first year Coverage Expense Charges, based on the ratio of the face amount reduction to the Policy's original face amount. The Surrender Charge reduces the Policy's cash value in the Investment Divisions and the Fixed Account in proportion to the amount of the Policy's cash value in each. However, if you designate the accounts from which a partial withdrawal is to be taken, the charge will be deducted proportionately from the cash value of the designated accounts. PARTIAL WITHDRAWAL CHARGE We reserve the right to impose a processing charge on each partial withdrawal. If imposed, this charge would compensate us for administrative costs in generating the withdrawn payment and in making all calculations that may be required because of the partial withdrawal. TRANSFER CHARGE We reserve the right to impose a processing charge on each transfer between Investment Divisions or between an Investment Division and the Fixed Account to compensate us for the costs of processing these transfers. Transfers under one of our Automated Investment Strategies do not count as transfers for the purpose of assessing this charge. ILLUSTRATION OF BENEFITS CHARGE We reserve the right to impose a charge for each illustration of Policy benefits that you request in excess of one per year. If imposed, this charge would compensate us for the cost of preparing and delivering the illustration to you. MONTHLY DEDUCTION FROM CASH VALUE On the first day of each Policy month, starting with the Policy Date, we deduct the "Monthly Deduction" from your cash value. -- If your Policy is protected against lapse by a Guaranteed Minimum Death Benefit, we make the Monthly Deduction each month regardless of the amount of your cash surrender value. If your cash surrender value is insufficient to pay the Monthly Deduction in any month, your Policy will not lapse, but the shortfall will, in effect, cause your cash surrender value to have a negative balance. (See "Lapse and Reinstatement.") -- If a Guaranteed Minimum Death Benefit is not in effect, and the cash surrender value is not large enough to cover the entire Monthly Deduction, we will make the deduction to the extent cash value is available, but the Policy will be in default, and it may lapse. (See "Lapse and Reinstatement.") There is no Monthly Deduction on or after the Policy anniversary when the insured attains age 121. The Monthly Deduction reduces the cash value in each Investment Division and in the Fixed Account in proportion to the cash value in each. However, you may request that we charge the Monthly Deduction to a specific Investment Division or to the Fixed Account. If, in any month, the designated account has insufficient cash value to cover the Monthly Deduction, we will first reduce the designated account cash value to zero and then charge the remaining Monthly Deduction to all Investment Divisions and, if applicable, the Fixed Account, in proportion to the cash value in each. The Monthly Deduction includes the following charges: POLICY CHARGE. The Policy Charge is equal to $15.00 per month in the first Policy year and $8.00 per month thereafter. The Policy Charge is $12 per month in the first Policy year and $9 per month thereafter for Policies issued with face amounts of less than $50,000. No Policy Charge applies to Policies issued with face amounts equal to or A-42 greater than $250,000. The Policy Charge compensates us for administrative costs such as record keeping, processing death benefit claims and policy changes, preparing and mailing reports, and overhead costs. COVERAGE EXPENSE CHARGE. We impose a monthly charge for the costs of underwriting, issuing (including sales commissions), and administering the Policy or the face amount increase. The monthly charge is imposed on the base Policy face amount and varies by the base Policy's face amount and duration, and by the insured's issue age, smoking status, risk class (at the time the Policy or a face amount increase is issued), and, except for unisex Policies, the insured's sex. Currently, we only impose the Coverage Expense Charge during the first eight Policy years, and during the first eight Policy years following a requested face amount increase. MONTHLY CHARGES FOR THE COST OF INSURANCE. This charge covers the cost of providing insurance protection under your Policy. The cost of insurance charge for a Policy month is equal to the "amount at risk" under the Policy, multiplied by the cost of insurance rate for that Policy month. We determine the amount at risk on the first day of the Policy month. The amount at risk is the amount by which the death benefit (generally discounted at the monthly equivalent of 3% per year) exceeds the Policy's cash value. The amount at risk is affected by investment performance, loans, premium payments, fees and charges, partial withdrawals and face amount reductions. The guaranteed cost of insurance rates for a Policy depend on the insured's -- smoking status -- risk class -- attained age -- sex (if the Policy is sex-based). The current cost of insurance rates will depend on the above factors, plus -- the insured's age at issue (and at the time of any face amount increase) -- the Policy year (and the year of any face amount increase) -- the Policy's face amount. We guarantee that the rates for underwritten Policies will not be higher than rates based on -- the 2001 Commissioners Standard Ordinary Mortality Tables (the "2001 CSO Tables") with smoker/nonsmoker modifications, for Policies issued on non-juvenile insureds (age 18 and above at issue), adjusted for substandard ratings or flat extras, if applicable -- the 2001 CSO Aggregate Tables (Nonsmoker Tables for attained age 16 and older), for Policies issued on juvenile insureds (below age 18 at issue). The actual rates we use may be lower than the maximum rates, depending on our expectations about our future mortality and expense experience, lapse rates, taxes and investment earnings. We review the adequacy of our cost of insurance rates and other non-guaranteed charges periodically and may adjust them. Any change will apply prospectively. The risk classes we use are -- for Policies issued on non-juvenile insureds: preferred smoker, standard smoker, rated smoker, elite nonsmoker, preferred nonsmoker, standard nonsmoker, and rated nonsmoker. -- for Policies issued on juvenile insureds: standard and rated (with our consent). Rated Policies have higher cost of insurance deductions. We base the guaranteed maximum mortality charges for substandard ratings on multiples of the 2001 CSO Tables. The following standard or better smoker and non-smoker classes are available for underwritten Policies: -- elite nonsmoker for Policies with face amounts of $250,000 or more where the issue age is 18 through 80; A-43 -- preferred smoker and preferred nonsmoker for Policies with face amounts of $100,000 or more where the issue age is 18 through 80; -- standard smoker and standard nonsmoker for Policies with face amounts of $50,000 or more ($25,000 for pension plans) where the issue age is 18 through 85. The elite nonsmoker class generally offers the best current cost of insurance rates, and the preferred classes generally offer better current cost of insurance rates than the standard classes. Cost of insurance rates are generally lower for nonsmokers than for smokers and generally lower for females than for males. Within a given risk class, cost of insurance rates are generally lower for insureds with lower issue ages. For Policies sold in connection with some employee benefit plans, cost of insurance rates (and Policy values and benefits) do not vary based on the sex of the insured. We may offer Policies on a guaranteed issue basis to certain group or sponsored arrangements. We issue these Policies up to predetermined face amount limits. Because we issue these Policies based on minimal underwriting information, they may present a greater mortality cost to us than Policies issued in a standard class. Therefore, these Policies will be issued with a risk class of standard smoker or standard nonsmoker, but will be subject to an additional flat extra charge. However, the overall cost of insurance deduction for a Policy issued on a guaranteed issue basis will not exceed the maximum cost of insurance deduction imposed under fully underwritten Policies. CHARGES FOR ADDITIONAL BENEFITS. We charge for the cost of any additional rider benefits as described in the rider form. MORTALITY AND EXPENSE RISK CHARGE. We impose a monthly charge for our mortality and expense risks. The mortality risk we assume is that insureds may live for shorter periods of time than we estimated. The expense risk is that our costs of issuing and administering the Policies may be more than we estimated. The charge is imposed on the cash value in the Separate Account, but the rate we charge is determined by the cash value in the Separate Account and the Fixed Account. The rate is determined on each monthly anniversary and varies based on the Policy year and the Policy's net cash value in relation to the Policy's Target Premium. As shown in the table below, the rate declines as the Policy's net cash value and the Policy years increase. The charge is guaranteed not to exceed 0.80% in Policy years 1-10, 0.35% in Policy years 11-19, 0.20% in Policy years 20-29 and 0.05% thereafter.
------------------------------------------------------------------------------------------- CHARGE APPLIED TO CASH VALUE IN POLICY YEAR NET CASH VALUE SEPARATE ACCOUNT ------------------------------------------------------------------------------------------- less than 5 target premiums 0.60% 5 but less than 10 target premiums 0.55% 1 - 10 10 but less than 20 target premiums 0.30% 20 target premiums or more 0.15% ------------------------------------------------------------------------------------------- less than 5 target premiums 0.35% 5 but less than 10 target premiums 0.30% 11 - 19 10 but less than 20 target premiums 0.15% 20 target premiums or more 0.10% ------------------------------------------------------------------------------------------- less than 5 target premiums 0.20% 5 but less than 10 target premiums 0.15% 20 - 29 10 but less than 20 target premiums 0.10% 20 target premiums or more 0.05% ------------------------------------------------------------------------------------------- 30+ 0.05% -------------------------------------------------------------------------------------------
LOAN INTEREST SPREAD We charge you interest on a loan at a maximum effective rate of 4.0% per year in Policy years 1-10 and 3.0% per year thereafter, compounded daily. We also credit interest on the amount we take from the Policy's accounts as a result of the loan at a minimum annual effective rate of 3% per year, compounded daily. As a result, the loan interest spread will never be more than 1.00%. A-44 CHARGES AGAINST THE PORTFOLIOS AND THE INVESTMENT DIVISIONS OF THE SEPARATE ACCOUNT CHARGES FOR INCOME TAXES. We currently do not charge the Separate Account for income taxes, but in the future we may make such a charge, if appropriate. We have the right to make a charge for any taxes imposed on the Policies in the future. (See "MetLife's Income Taxes.") PORTFOLIO EXPENSES. There are daily charges against the Portfolio assets for investment advisory services and fund operating expenses. These are described in the Fee Table as well as in the attached Portfolio prospectuses. TAX CONSIDERATIONS INTRODUCTION The following summary provides a general description of the Federal income tax considerations associated with the Policy and does not purport to be complete or to cover all tax situations. This discussion is not intended as tax advice. Counsel or other competent tax advisers should be consulted for more complete information. This discussion is based upon our understanding of the present Federal income tax laws. No representation is made as to the likelihood of continuation of the present Federal income tax laws or as to how they may be interpreted by the Internal Revenue Service. IRS CIRCULAR 230 NOTICE: The tax information contained herein is not intended to (and cannot) be used by anyone to avoid IRS penalties. It is intended to support the sale of the Policy. The Policy Owner should seek tax advice based on the Policy Owner's particular circumstances from an independent tax adviser. TAX STATUS OF THE POLICY In order to qualify as a life insurance contract for Federal income tax purposes and to receive the tax treatment normally accorded life insurance contracts under Federal tax law, a Policy must satisfy certain requirements which are set forth in the Internal Revenue Code. Guidance as to how these requirements are to be applied is limited. Nevertheless, we anticipate that the Policy should be deemed to be a life insurance contract under Federal tax law. However, if your Policy is issued on a substandard basis, there is additional uncertainty. Moreover, if you elect the Acceleration of Death Benefit Rider, the tax qualification consequences associated with continuing the Policy after a distribution is made under the rider are unclear. We may take appropriate steps to bring the Policy into compliance with applicable requirements, and we reserve the right to restrict Policy transactions in order to do so. The insurance proceeds payable on the death of the insured will never be less than the minimum amount required for the Policy to be treated as life insurance under section 7702 of the Internal Revenue Code, as in effect on the date the Policy was issued. In some circumstances, owners of variable contracts who retain excessive control over the investment of the underlying separate account assets may be treated as the owners of those assets. Although published guidance in this area does not address certain aspects of the Policies, we believe that the Owner of a Policy should not be treated as the owner of the Separate Account assets. We reserve the right to modify the Policies to bring them into conformity with applicable standards should such modification be necessary to prevent Owners of the Policies from being treated as the owners of the underlying Separate Account assets. In addition, the Code requires that the investments of the Separate Account be "adequately diversified" in order for the Policies to be treated as life insurance contracts for Federal income tax purposes. It is intended that the Separate Account, through the Portfolios, will satisfy these diversification requirements. If Portfolio shares are sold directly to either non-qualified plans or to tax-qualified retirement plans that later lose their tax qualified status, there could be adverse consequences under the diversification rules. The following discussion assumes that the Policy will qualify as a life insurance contract for Federal income tax purposes. A-45 TAX TREATMENT OF POLICY BENEFITS IN GENERAL. We believe that the death benefit under a Policy should generally be excludible from the gross income of the beneficiary. Federal, state and local transfer, and other tax consequences of ownership or receipt of Policy proceeds depend on the circumstances of each Policy Owner or beneficiary. A tax adviser should be consulted on these consequences. In the case of employer-owned life insurance as defined in Section 101(j), the amount of the death benefit excludable from gross income is limited to premiums paid unless the Policy falls within certain specified exceptions and a notice and consent requirement is satisfied before the Policy is issued. Certain specified exceptions are based on the status of an employee as highly compensated or recently employed. There are also exceptions for Policy proceeds paid to an employee's heirs. These exceptions only apply if proper notice is given to the insured employee and consent is received from the insured employee before the issuance of the Policy. These rules apply to Policies issued August 18, 2006 and later and also apply to policies issued before August 18, 2006 after a material increase in the death benefit or other material change. An IRS reporting requirement applies to employer-owned life insurance subject to these rules. Because these rules are complex and will affect the tax treatment of death benefits, it is advisable to consult tax counsel. The death benefit will also be taxable in the case of a transfer-for-value unless certain exceptions apply. Generally, the Policy Owner will not be deemed to be in constructive receipt of the Policy cash value until there is a distribution or a deemed distribution. When distributions from a Policy occur, or when loans are taken from or secured by a Policy, the tax consequences depend on whether the Policy is classified as a modified endowment contract ("MEC"). MODIFIED ENDOWMENT CONTRACTS. Under the Internal Revenue Code, certain life insurance contracts are classified as modified endowment contracts, with less favorable income tax treatment than other life insurance contracts. Due to the Policy's flexibility with respect to premium payments and benefits, each Policy's circumstances will determine whether the Policy is a MEC. In general a Policy will be classified as a modified endowment contract if the amount of premiums paid into the Policy causes the Policy to fail the "7-pay test." A Policy will fail the 7-pay test if at any time in the first seven Policy years, the amount paid into the Policy exceeds the sum of the level premiums that would have been paid at that point under a Policy that provided for paid-up future benefits after the payment of seven level annual payments. If there is a reduction in the benefits under the Policy during the first seven Policy years, for example, as a result of a partial withdrawal, the 7-pay test will have to be reapplied as if the Policy had originally been issued at the reduced face amount. If there is a "material change" in the Policy's benefits or other terms, even after the first seven Policy years, the Policy may have to be retested as if it were a newly issued Policy. A material change can occur, for example, when there is an increase in the death benefit which is due to the payment of an unnecessary premium. Unnecessary premiums are premiums paid into the Policy which are not needed in order to provide a death benefit equal to the lowest death benefit that was payable in the first seven Policy years. To prevent your Policy from becoming a modified endowment contract, it may be necessary to limit premium payments or to limit reductions in benefits. A current or prospective Policy Owner should consult a tax adviser to determine whether a Policy transaction will cause the Policy to be classified as a modified endowment contract. DISTRIBUTIONS OTHER THAN DEATH BENEFITS FROM MODIFIED ENDOWMENT CONTRACTS. Policies classified as modified endowment contracts are subject to the following tax rules: (1) All distributions other than death benefits, including distributions upon surrender and withdrawals, from a modified endowment contract will be treated first as distributions of gain taxable as ordinary income and as tax-free recovery of the Policy Owner's investment in the Policy only after all gain has been distributed. (2) Loans taken from or secured by a Policy classified as a modified endowment contract are treated as distributions and taxed accordingly. (3) A 10 percent additional income tax is imposed on the amount subject to tax except where the distribution or loan is made when the Policy Owner has attained age 59 1/2 or is disabled, or where the distribution is part of a series of substantially equal periodic payments for the life (or life expectancy) of the Policy Owner or A-46 the joint lives (or joint life expectancies) of the Policy Owner and the Policy Owner's beneficiary or designated beneficiary. If a Policy becomes a modified endowment contract, distributions will be taxed as distributions from a modified endowment contract. In addition, distributions from a Policy within two years before it becomes a modified endowment contract will be taxed in this manner. This means that a distribution made from a Policy that is not a modified endowment contract could later become taxable as a distribution from a modified endowment contract. DISTRIBUTIONS OTHER THAN DEATH BENEFITS FROM POLICIES THAT ARE NOT MODIFIED ENDOWMENT CONTRACTS. Distributions other than death benefits from a Policy that is not classified as a modified endowment contract are generally treated first as a recovery of the Policy Owner's investment in the Policy and only after the recovery of all investment in the Policy as taxable income. However, certain distributions which must be made in order to enable the Policy to continue to qualify as a life insurance contract for Federal income tax purposes if Policy benefits are reduced during the first 15 Policy years may be treated in whole or in part as ordinary income subject to tax. Loans from or secured by a Policy that is not a modified endowment contract are generally not treated as distributions. However, the tax consequences associated with Policy loans that are outstanding after the first ten Policy years are less clear and a tax adviser should be consulted about such loans. Finally, neither distributions from nor loans from or secured by a Policy that is not a modified endowment contract are subject to the 10 percent additional income tax. INVESTMENT IN THE POLICY. Your investment in the Policy is generally your aggregate premiums. When a distribution is taken from the Policy, your investment in the Policy is reduced by the amount of the distribution that is tax-free. POLICY LOANS. In general, interest on a Policy loan will not be deductible. If a Policy loan is outstanding when a Policy is canceled or lapses, the amount of the outstanding indebtedness will be added to the amount distributed and will be taxed accordingly. A loan may also be taxed when a Policy is exchanged. Before taking out a Policy loan, you should consult a tax adviser as to the tax consequences. MULTIPLE POLICIES. All modified endowment contracts that are issued by MetLife (or its affiliates) to the same Policy Owner during any calendar year are treated as one modified endowment contract for purposes of determining the amount includible in the Policy Owner's income when a taxable distribution occurs. WITHHOLDING. To the extent that Policy distributions are taxable, they are generally subject to withholding for the recipient's Federal income tax liability. Recipients can generally elect, however, not to have tax withheld from distributions. LIFE INSURANCE PURCHASES BY NONRESIDENT ALIENS AND FOREIGN CORPORATIONS. Policy Owners that are not U.S. citizens or residents will generally be subject to U.S. Federal withholding tax on taxable distributions from life insurance policies at a 30% rate, unless a lower treaty rate applies. In addition, Policy Owners may be subject to state and/or municipal taxes and taxes that may be imposed by the Policy Owner's country of citizenship or residence. Prospective purchasers are advised to consult with a qualified tax adviser regarding taxation with respect to a purchase of the Policy. ACCELERATION OF DEATH BENEFIT RIDER. We believe that payments received under the Acceleration of Death Benefit Rider should be fully excludable from the gross income of the beneficiary except in certain business contexts. However, you should consult a qualified tax adviser about the consequences of adding this rider to a Policy or requesting payment under this rider. OVERLOAN PROTECTION RIDER. If you are contemplating the purchase of the Policy with the Overloan Protection Rider, you should be aware that the tax consequences of the Overloan Protection Rider have not been ruled on by the IRS or the courts. It is possible that the IRS could assert that the outstanding loan balance should be treated as a taxable distribution when the Overloan Protection Rider causes the Policy to be converted into a fixed Policy. You should consult a tax adviser as to the tax risks associated with the Overloan Protection Rider. ESTATE, GIFT AND GENERATION-SKIPPING TRANSFER TAXES. The transfer of the Policy or the designation of a beneficiary may have Federal, state, and/or local transfer and inheritance tax consequences, including the imposition A-47 of gift, estate, and generation-skipping transfer taxes. When the insured dies, the death proceeds will generally be includable in the Policy Owner's estate for purposes of the Federal estate tax if the Policy Owner was the insured. If the Policy Owner was not the insured, the fair market value of the Policy would be included in the Policy Owner's estate upon the Policy Owner's death. The Policy would not be includable in the insured's estate if the insured neither retained incidents of ownership at death nor had given up ownership within three years before death. Moreover, under certain circumstances, the Internal Revenue Code may impose a "generation-skipping transfer tax" when all or part of a life insurance policy is transferred to, or a death benefit is paid to, an individual two or more generations younger than the Policy Owner. Regulations issued under the Internal Revenue Code may require us to deduct the tax from your Policy, or from any applicable payment, and pay it directly to the IRS. Qualified tax advisers should be consulted concerning the estate and gift tax consequences of Policy ownership and distributions under Federal, state and local law. The individual situation of each Policy Owner or beneficiary will determine the extent, if any, to which Federal, state, and local transfer and inheritance taxes may be imposed and how ownership or receipt of Policy proceeds will be treated for purposes of Federal, state and local estate, inheritance, generation-skipping and other taxes. Under previous law, the estate tax applicable exclusion gradually rose to $3.5 million per person in 2009 and was repealed in 2010 with a modified carryover basis for heirs. The Tax Relief, Unemployment Insurance Reauthorization, and Job Creation Act of 2010 (the "2010 Act") has reinstated the estate and generation-skipping transfer taxes through the end of 2012 with lower top rates and larger exemptions. The 2010 Act raises the applicable exclusion amount to $5,000,000. The top tax rate is set at 35%. A special irrevocable election was provided for estates of decedents who died in 2010. These estates may generally choose between the reinstated estate tax and the carryover basis rules which were in effect in 2010. It is not known if Congress will make the temporary changes of the 2010 Act permanent, enact permanent repeal of the estate and the generation-skipping transfer taxes or otherwise modify the estate tax or generation-skipping transfer tax rules for years after 2012. The complexity of the tax law, along with uncertainty as to how it might be modified in 2010 and in coming years, underscores the importance of seeking guidance from a qualified adviser to help ensure that your estate plan adequately addresses your needs and those of your beneficiaries under all possible scenarios. OTHER POLICY OWNER TAX MATTERS. The application of certain tax rules after age 100 is not entirely clear. The tax consequences of continuing the Policy beyond the insured's attained age 121 are also unclear. You should consult a tax adviser if you intend to keep the Policy in force beyond the insured's attained age 121. If a trustee under a pension or profit-sharing plan, or similar deferred compensation arrangement, owns a Policy, the Federal, state and estate tax consequences could differ. The amounts of life insurance that may be purchased on behalf of a participant in a pension or profit-sharing plan are limited. Providing excessive life insurance coverage in a retirement plan will have adverse tax consequences. The inclusion of riders, such as waiver of premium riders, may also have adverse tax consequences. Therefore, it is important to discuss with your tax adviser the suitability of the Policy, including the suitability of coverage amounts and Policy riders, before any purchase by a retirement plan. Any proposed distribution or sale of a Policy by a retirement plan will also need to be discussed with a tax adviser. The current cost of insurance for the net amount at risk is treated as a "current fringe benefit" and must be included annually in the plan participant's gross income. If the plan participant dies while covered by the plan and the Policy proceeds are paid to the participant's beneficiary, then the excess of the death benefit over the cash value is not income taxable. However, the cash value will generally be taxable to the extent it exceeds the participant's cost basis in the Policy. Policies owned under these types of plans may be subject to restrictions under the Employee Retirement Income Security Act of 1974 ("ERISA"). You should consult a qualified adviser regarding ERISA. Department of Labor ("DOL") regulations impose requirements for participant loans under retirement plans covered by ERISA. Plan loans must also satisfy tax requirements to be treated as nontaxable. Plan loan requirements and provisions may differ from the Policy loan provisions. Failure of plan loans to comply with the requirements and provisions of the DOL regulations and of tax law may result in adverse tax consequences and/or adverse A-48 consequences under ERISA. Plan fiduciaries and participants should consult a qualified adviser before requesting a loan under a Policy held in connection with a retirement plan. Businesses can use the Policies in various arrangements, including nonqualified deferred compensation or salary continuance plans, split dollar insurance plans, executive bonus plans, tax exempt and nonexempt welfare benefit plans, retiree medical benefit plans and others. The tax consequences of such plans may vary depending on the particular facts and circumstances. If you are purchasing the Policy for any arrangement the value of which depends in part on its tax consequences, you should consult a qualified tax adviser. In recent years, moreover, Congress has adopted new rules relating to life insurance owned by businesses. Any business contemplating the purchase of a new Policy or a change in an existing Policy should consult a tax adviser. Ownership of the Policy by a corporation, trust or other non-natural person could jeopardize some (or all) of such entity's interest deduction under Internal Revenue Code Section 264, even where such entity's indebtedness is in no way connected to the Policy. In addition, under Section 264(f)(5), if a business (other than a sole proprietorship) is directly or indirectly a beneficiary of the Policy, the Policy could be treated as held by the business for purposes of the Section 264(f) entity-holder rules. Therefore, it would be advisable to consult with a qualified tax adviser before any non-natural person is made an owner or holder of the Policy, or before a business (other than a sole proprietorship) is made a beneficiary of the Policy. GUIDANCE ON SPLIT DOLLAR PLANS. The IRS has issued guidance on split dollar insurance plans. A tax adviser should be consulted with respect to this guidance if you have purchased or are considering the purchase of a Policy for a split dollar insurance plan. If your Policy is part of an equity split dollar arrangement taxed under the economic benefit regime, there is a risk that some portion of the Policy cash value may be taxed prior to any Policy distribution. If your split dollar plan provides deferred compensation, recently enacted rules governing deferred compensation arrangements may apply. Failure to adhere to these rules will result in adverse tax consequences. Consult a tax adviser. In addition, the Sarbanes-Oxley Act of 2002 (the "Act"), which was signed into law on July 30, 2002, prohibits, with limited exceptions, publicly-traded companies, including non-U.S. companies that have securities listed on U.S. exchanges, from extending, directly or indirectly or through a subsidiary, many types of personal loans to their directors or executive officers. It is possible that this prohibition may be interpreted to apply to split-dollar life insurance arrangements for directors and executive officers of such companies, since such arrangements can arguably be viewed as involving a loan from the employer for at least some purposes. Any affected business contemplating the payment of a premium on an existing Policy or the purchase of a new Policy in connection with a split-dollar life insurance arrangement should consult legal counsel. ALTERNATIVE MINIMUM TAX. There may also be an indirect tax upon the income in the Policy or the proceeds of a Policy under the Federal corporate alternative minimum tax, if the Policy Owner is subject to that tax. POSSIBLE TAX LAW CHANGES. Although the likelihood of legislative changes is uncertain, there is always the possibility that the tax treatment of the Policy could change by legislation or otherwise. Consult a tax adviser with respect to legislative developments and their effect on the Policy. FOREIGN TAX CREDITS. To the extent permitted under Federal tax law, we may claim the benefit of certain foreign tax credits attributable to taxes paid by certain Portfolios to foreign jurisdictions. METLIFE'S INCOME TAXES Under current Federal income tax law, MetLife is not taxed on the Separate Account's operations. Thus, currently we do not deduct a charge from the Separate Account for Federal income taxes. We reserve the right to charge the Separate Account for any future Federal income taxes we may incur. Under current laws in several states, we may incur state and local taxes (in addition to premium taxes). These taxes are not now significant and we are not currently charging for them. If they increase, we may deduct charges for such taxes. A-49 DISTRIBUTION OF THE POLICIES We have entered into a distribution agreement with our affiliate, MetLife Investors Distribution Company ("Distributor"), for the distribution of the Policies. We and Distributor have entered into selling agreements with other affiliated and unaffiliated broker-dealers ("selling firms") for the sale of the Policies through their registered representatives. Our affiliated broker-dealers are MetLife Securities, Inc. ("MSI"), New England Securities Corporation ("NES"), Tower Square Securities, Inc. and Walnut Street Securities, Inc. Distributor, MSI, NES and our other affiliated selling firms are registered with the SEC as broker-dealers under the Securities Exchange Act of 1934 and are members of the Financial Industry Regulatory Authority ("FINRA"). FINRA provides background information about broker-dealers and their registered representatives through FINRA BrokerCheck. You may contact the FINRA BrokerCheck Hotline at 1- 800-289-9999, or log on to www.finra.org. An investor brochure that includes information describing FINRA BrokerCheck is available through the Hotline or on- line. COMMISSIONS AND OTHER CASH COMPENSATION All selling firms receive commissions. The portion of the commission payments that selling firms pass on to their sales representatives is determined in accordance with their internal compensation programs. Those programs may also include other types of cash and non-cash compensation and other benefits. A selling firm or a sales representative of a selling firm may receive different compensation for selling one product over another and/or may be inclined to favor one product provider over another due to differing compensation rates. MSI and NES sales representatives receive cash payments for the products they sell and service based on a "gross dealer concession" model. The cash payment is equal to a percentage of the gross dealer concession amount described below. The percentage is determined based on a formula that takes into consideration the amount of proprietary products the sales representative sells and services. Proprietary products are products issued by us or an affiliate. Because sales of proprietary products are a factor in determining the percentage of the gross dealer concession amount to which MSI and NES sales representative are entitled, these sales representatives have an incentive to favor sale of the Policy over similar products issued by non-affiliates. In the first Policy year, the gross dealer concession amount for the Policies is 117% of premiums paid up to the Commissionable Target Premium, and 5% of premiums paid in excess of the Commissionable Target Premium. In Policy years 2 through 10, the gross dealer concession amount is 8.0% of all premiums paid, and in Policy years 11 and thereafter the gross dealer concession amount is 2.0% of all premiums. Commissionable Target Premium is generally the Target Premium as defined in the Glossary, excluding the portions associated with flat extras and certain riders, and is generally equal to or less than the Target Premium. Sales representatives of affiliated selling firms and their managers may be eligible for various cash benefits that we may provide jointly with affiliated selling firms. Ask your sales representative for further information about what your sales representative and the selling firm for which he or she works may receive in connection with your purchase of the Policy. Sales representatives of our affiliates and their Managers may also be eligible for cash compensation such as bonuses, equity awards (for example, stock options), training allowances, supplemental salary, payments based on a percentage of the Policy's cash value, financing arrangements, marketing support, medical and retirement benefits and other insurance and non-insurance benefits. The amount of this cash compensation is based primarily on the amount of proprietary products sold. Proprietary products are products issued by us and our affiliates. Sales representatives of certain affiliates must meet a minimum level of sales of proprietary products in order to maintain their agent status with the company and in order to be eligible for most of the cash compensation listed above. Managers may be eligible for additional cash compensation based on the performance (with emphasis on the sale of proprietary products) of the sales representatives that the Manager supervises. Managers may pay a portion of their cash compensation to their sales representatives. Receipt of the cash compensation described above may provide our sales representatives and their Managers, and the sales representatives and Managers of our affiliates, with an incentive to favor the sale of the Policies over similar products issued by non-affiliates. The maximum commissions paid for sale of the Policies through unaffiliated selling firms, and through our affiliated selling firms Walnut Street Securities, Inc. and Tower Square Securities, Inc. are as follows: 90% of A-50 premiums paid up to the Commissionable Target Premium, and 3.0% of premiums paid in excess of Commissionable Target Premium in Policy year 1; 1.25% of all premiums paid in Policy years 2 through 10; and 0.25% of all premiums paid thereafter. In addition, commissions are payable based on the cash value of the Policies in the following amounts: 0.10% in Policy years 2 through 10; 0.08% in Policy years 11 through 20; and 0.06% thereafter. Commissionable Target Premium is generally the Target Premium as defined in the Glossary, excluding the portions associated with flat extras and certain riders, and is generally equal to or less than the Target Premium. We and/or distributor may also make bonus payments to selling firms. The maximum amount of these bonus payments are as follows: 9.0% of premiums paid up to the Commissionable Target Premium and 2.0% of premiums paid in excess of the Commissionable Target Premium in Policy year 1; 19.75% of premiums paid up to the Commissionable Target Premium and 0.25% of premiums paid in excess of the Commissionable Target Premium in Policy year 2; and 0.25% of all premiums paid thereafter. Ask your sales representative for further information about what your sales representative and the selling firm for which he or she works may receive in connection with your purchase of the Policy. NON-CASH COMPENSATION Sales representatives and their Managers (and the sales representatives and managers of our affiliates) are also eligible for various non-cash compensation programs that we offer such as conferences, trips, prizes, and awards. Other payments may be made for other services that do not directly involve the sale of the Policies. These services may include the recruitment and training of personnel, production of promotional literature, and similar services. OTHER PAYMENTS We and Distributor may enter into preferred distribution arrangements with selected selling firms under which we pay additional compensation, including marketing allowances, introduction fees, persistency payments, preferred status fees and industry conference fees. Marketing allowances are periodic payments to certain selling firms based on cumulative periodic (usually quarterly) sales of these variable insurance products. Introduction fees are payments to selling firms in connection with the addition of these variable products to the selling firm's line of investment products, including expenses relating to establishing the data communications systems necessary for the selling firm to offer, sell and administer these products. Persistency payments are periodic payments based on account and/or cash values of these variable insurance products. Preferred status fees are paid to obtain preferred treatment of these products in selling firms' marketing programs, which may include marketing services, participation in marketing meetings, listings in data resources and increased access to their sales representatives. Industry conference fees are amounts paid to cover in part the costs associated with sales conferences and educational seminars for selling firms' sales representatives. These preferred distribution arrangements are not offered to all selling firms. The terms of any particular agreement governing compensation may vary among selling firms and the amounts may be significant. Distributor has entered into preferred distribution arrangements with our affiliated broker-dealers, Walnut Street Securities Inc. and Tower Square Securities, Inc. and with the unaffiliated selling firms listed in the Statement of Additional Information. We and Distributor may enter into similar arrangements with our other affiliates, MetLife Securities, Inc. and New England Securities Corporation. The prospect of receiving, or the receipt of, additional compensation as described above may provide selling firms or their representatives with an incentive to favor sales of the Policies over other variable insurance policies (or other investments) with respect to which the selling firm does not receive additional compensation, or lower levels of additional compensation. You may wish to take such payment arrangements into account when considering and evaluating any recommendation relating to the Policies. For more information about any such arrangements, ask your sales representative for further information about what your sales representative and the selling firm for which he or she works may receive in connection with your purchase of a Policy. We also pay amounts to Distributor that may be used for its operating and other expenses, including the following sales expenses: compensation and bonuses for Distributor's management team, advertising expenses, and other expenses of distributing the Policies. Distributor's management team may also be eligible for non-cash compensation items that we may provide jointly with Distributor. Non-cash items include conferences, seminars and trips (including travel, lodging and meals in connection therewith), entertainment, merchandise and similar items. A-51 We pay American Funds Distributors, Inc., principal underwriter for the American Funds Insurance Series, a percentage of all premiums allocated to the American Funds Bond Fund, the American Funds Global Small Capitalization Fund, the American Funds Growth Fund, and the American Funds Growth-Income Fund, for the services it provides in marketing the Funds' shares in connection with the Policies. Each of these Funds makes payments to Distributor under their distribution plans in consideration of services provided and expenses incurred by Distributor in distributing their shares. These payments currently equal 0.25% of Separate Account assets invested in the particular Portfolio. (See "Fee Tables--Annual Portfolio Operating Expenses" and the Portfolio prospectuses.) Commissions and other incentives or payments described above are not charged directly to Policy Owners or the Separate Account. We intend to recoup commissions and other sales expenses through fees and charges deducted under the Policy. The Statement of Additional Information contains additional information about the compensation paid for the sale of the Policies. LEGAL PROCEEDINGS In the ordinary course of business, MetLife, similar to other life insurance companies, is involved in lawsuits (including class action lawsuits), arbitrations and other legal proceedings. Also, from time to time, state and federal regulators or other officials conduct formal and informal examinations or undertake other actions dealing with various aspects of the financial services and insurance industries. In some legal proceedings involving insurers, substantial damages have been sought and/or material settlement payments have been made. It is not possible to predict with certainty the ultimate outcome of any pending legal proceeding or regulatory action. However, MetLife does not believe any such action or proceeding will have a material adverse effect upon the Separate Account or upon the ability of MetLife Investors Distribution Company to perform its contract with the Separate Account or of MetLife to meet its obligations under the Policies. RESTRICTIONS ON FINANCIAL TRANSACTIONS Applicable laws designed to counter terrorism and prevent money laundering might, in certain circumstances, require us to reject a premium payment and/or block or "freeze" your Policy. If these laws apply in a particular situation, we would not be allowed to process any request for withdrawals, surrenders, loans or death benefits, make transfers, or continue making payments under your death benefit option until instructions are received from the appropriate regulator. We also may be required to provide additional information about you or your Policy to government regulators. INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM The financial statements and financial highlights comprising each of the Investment Divisions of Metropolitan Life Separate Account UL included in this Prospectus, 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 principal business address of Deloitte & Touche LLP is Two World Financial Center, New York, New York 10281-1414. FINANCIAL STATEMENTS You may find the financial statements of MetLife in the Statement of Additional Information. MetLife's financial statements should be considered only as bearing on our ability to meet our obligations under the Policies. They should not be considered as bearing on the investment performance of the assets held in the Separate Account. A-52 GLOSSARY AGE. The age of an insured refers to the insured's age at his or her nearest birthday. ATTAINED AGE. The insured's issue age plus the number of completed Policy years. BASE POLICY. The Policy without riders. CASH SURRENDER VALUE. The amount you receive if you surrender the Policy. It is equal to the Policy's cash value reduced by any Surrender Charge that would apply on surrender and by any outstanding Policy loan and accrued interest. CASH VALUE. A Policy's cash value includes the amount of its cash value held in the Separate Account, the amount held in the Fixed Account and, if there is an outstanding Policy loan, the amount of its cash value held in the Loan Account. FIXED ACCOUNT. The Fixed Account is a part of our general account to which you may allocate net premiums. It provides guarantees of principal and interest. INVESTMENT DIVISION. A sub-account of the Separate Account that invests in shares of an open-ended management investment company or other pools of investment assets. INVESTMENT START DATE. This is the later of the Policy Date and the date we first receive a premium payment for the Policy. ISSUE AGE. The age of the insured as of his or her birthday nearest to the Policy Date. LOAN ACCOUNT. The account to which cash value from the Separate and/or Fixed Accounts is transferred when a Policy loan is taken. NET CASH VALUE. The Policy's cash value less any outstanding loans and accrued loan interest. PLANNED PREMIUM. The Planned Premium is the premium payment schedule you choose to help meet your future goals under the Policy. The Planned Premium consists of a first-year premium amount and an amount for premium payments in subsequent Policy years. It is subject to certain limits under the Policy. POLICY DATE. The date on which coverage under the Policy and Monthly Deductions begin. If you make a premium payment with the application, unless you request otherwise, the Policy Date is generally the date the Policy application is approved. If you choose to pay the initial premium upon delivery of the Policy, unless you request otherwise, the Policy Date is generally the date on which we receive your initial payment. PREMIUMS. Premiums include all payments under the Policy, whether a Planned Premium or an unscheduled payment. SEPARATE ACCOUNT. Metropolitan Life Separate Account UL, a separate account established by MetLife to receive and invest premiums paid under the Policies and certain other variable life insurance policies, and to provide variable benefits. TARGET PREMIUM. We use the Target Premium to determine the amount of Mortality and Expense Risk Charge imposed on the Separate Account and the amount of Sales Charge imposed on premium payments. The Target Premium varies by issue age, sex, smoking status and any flat extras and substandard rating of the insured, and the Policy's base face amount, with additional amounts for most riders. YOU. "You" refers to the Policy Owner. A-53 APPENDIX A GUIDELINE PREMIUM TEST AND CASH VALUE ACCUMULATION TEST In order to meet the Internal Revenue Code's definition of life insurance, the Policies provide that the death benefit will not be less than what is required by the "guideline premium test" under Section 7702(a)(2) of the Internal Revenue Code, or the "cash value accumulation test" under Section 7702(a)(1) of the Internal Revenue Code, as selected by you when the Policy is issued. The test you choose at issue will be used for the life of the Policy. (See "Death Benefits.") For the guideline premium test, the table below shows the percentage of the Policy's cash value that is used to determine the death benefit.
AGE OF AGE OF INSURED AT START OF PERCENTAGE OF INSURED AT START OF PERCENTAGE OF THE POLICY YEAR CASH VALUE THE POLICY YEAR CASH VALUE ------------------- ------------- ------------------- ------------- 0 through 40 250 61 128 41 243 62 126 42 236 63 124 43 229 64 122 44 222 65 120 45 215 66 119 46 209 67 118 47 203 68 117 48 197 69 116 49 191 70 115 50 185 71 113 51 178 72 111 52 171 73 109 53 164 74 107 54 157 75 through 90 105 55 150 91 104 56 146 92 103 57 142 93 102 58 138 94 through 121 101 59 134 60 130
For the cash value accumulation test, sample net single premium factors for selected ages of male and female insureds, in a standard or better nonsmoker risk class, are listed below.
NET SINGLE PREMIUM FACTOR ------------------ AGE MALE FEMALE --- ------- ------- 30............................................................ 5.82979 6.59918 40............................................................ 4.11359 4.63373 50............................................................ 2.93292 3.28706 60............................................................ 2.14246 2.40697 70............................................................ 1.64028 1.82665 80............................................................ 1.32530 1.44515 90............................................................ 1.15724 1.22113 100........................................................... 1.08417 1.10646 120........................................................... 1.02597 1.02597
A-54 APPENDIX B ILLUSTRATIONS OF DEATH BENEFITS, CASH VALUES AND CASH SURRENDER VALUES The tables in Appendix B illustrate the way the Policies work, based on assumptions about investment returns and the insured's characteristics. They show how the death benefit, cash surrender value and cash value could vary over an extended period of time assuming hypothetical gross rates of return (i.e., investment income and capital gains and losses, realized or unrealized) for the Separate Account equal to constant after tax annual rates of 0%, 6% and 10%. The tables are based on a face amount of $350,000 for a male aged 35. The insured is assumed to be in the preferred nonsmoker risk class. The tables assume no rider benefits and assume that no allocations are made to the Fixed Account. Values are first given based on current Policy charges and then based on guaranteed Policy charges. (See "Charges.") Illustrations show the Option A death benefit. Policy values would be different (either higher or lower) from the illustrated amounts in certain circumstances. For example, illustrated amounts would be different where actual gross rates of return averaged 0%, 6% or 10%, but: (i) the rates of return varied above and below these averages during the period, (ii) premiums were paid in other amounts or at other than annual intervals, or (iii) cash values were allocated differently among individual Investment Divisions with varying rates of return. They would also differ if a Policy loan or partial withdrawal were made during the period of time illustrated, if the insured were female or in another risk classification, or if the Policies were issued at unisex rates. For example, as a result of variations in actual returns, additional premium payments beyond those illustrated may be necessary to maintain the Policy in force for the periods shown or to realize the Policy values shown, even if the average rate of return is achieved. The death benefits, cash surrender values and cash values shown in the tables reflect: (i) deductions from premiums for the sales charge, premium tax and federal tax charge; and (ii) a Monthly Deduction (consisting of a Coverage Expense Charge, a Mortality and Expense Risk Charge, and a charge for the cost of insurance) from the cash value on the first day of each Policy month. The cash surrender values reflect a Surrender Charge deducted from the cash value upon surrender, face reduction or lapse during the first ten Policy years. (See "Charges.") The illustrations reflect an arithmetic average of the gross investment advisory fees and operating expenses of the Portfolios, at an annual rate of .70% of the average daily net assets of the Portfolios. This average does not reflect expense subsidies by the investment advisers of certain Portfolios. The gross rates of return used in the illustrations do not reflect the deductions of the fees and expenses of the Portfolios. Taking account of the average investment advisory fee and operating expenses of the Portfolios, the gross annual rates of return of 0%, 6% and 10% correspond to net investment experience at constant annual rates of -.70%, 5.26% and 9.23%, respectively. If you request, we will furnish a personalized illustration reflecting the proposed insured's age, sex, risk class, and the face amount or premium payment schedule requested. Because these and other assumptions will differ, the values shown in the personalized illustrations can differ very substantially from those shown in the tables. Therefore, you should carefully review the information that accompanies any personalized illustration. That information will disclose all the assumptions on which the personalized illustration is based. Where applicable, we will also furnish on request a personalized illustration for a Policy which is not affected by the sex of the insured. You should contact your registered representative to request a personalized illustration. A-55 MALE ISSUE AGE 35 $1,890 ANNUAL PREMIUM FOR PREFERRED NONSMOKER RISK CLASS $350,000 FACE AMOUNT OPTION A DEATH BENEFIT THE ILLUSTRATION IS BASED ON CURRENT POLICY CHARGES.
DEATH BENEFIT CASH SURRENDER VALUE CASH VALUE ASSUMING HYPOTHETICAL ASSUMING HYPOTHETICAL ASSUMING HYPOTHETICAL END OF GROSS ANNUAL RATE OF RETURN OF GROSS ANNUAL RATE OF RETURN OF GROSS ANNUAL RATE OF RETURN OF POLICY ----------------------------------- ---------------------------------- ---------------------------------- YEAR 0% 6% 10% 0% 6% 10% 0% 6% 10% ------ -- -- --- -- -- --- -- -- --- 1 $350,000 $350,000 $ 350,000 $ 0 $ 0 $ 0 $ 1,005 $ 1,086 $ 1,141 2 350,000 350,000 350,000 0 0 0 1,966 2,191 2,347 3 350,000 350,000 350,000 0 0 0 2,883 3,315 3,624 4 350,000 350,000 350,000 0 211 730 3,757 4,458 4,977 5 350,000 350,000 350,000 988 2,022 2,814 4,582 5,616 6,408 6 350,000 350,000 350,000 2,089 3,519 4,652 5,356 6,786 7,919 7 350,000 350,000 350,000 3,137 5,027 6,576 6,078 7,967 9,516 8 350,000 350,000 350,000 4,462 6,874 8,921 6,749 9,161 11,208 9 350,000 350,000 350,000 6,915 9,936 12,585 8,058 11,079 13,729 10 350,000 350,000 350,000 9,312 13,047 16,428 9,312 13,047 16,428 15 350,000 350,000 350,000 15,202 24,343 33,993 15,202 24,343 33,993 20 350,000 350,000 350,000 20,062 38,046 60,578 20,062 38,046 60,578 25 350,000 350,000 350,000 23,173 54,252 100,670 23,173 54,252 100,670 30 350,000 350,000 350,000 23,168 72,404 161,231 23,168 72,404 161,231 35 350,000 350,000 350,000 18,002 91,519 254,463 18,002 91,519 254,463 40 350,000 350,000 430,997 5,529 111,077 402,801 5,529 111,077 402,801 45 350,000 664,643 125,118 632,993 125,118 632,993 50 350,000 1,031,182 112,845 982,078 112,845 982,078 55 350,000 1,574,989 12,232 1,499,990 12,232 1,499,990 60 2,313,016 2,290,115 2,290,115 65 3,563,071 3,527,793 3,527,793 70 5,473,532 5,419,339 5,419,339 75 8,375,972 8,293,042 8,293,042 80 12,733,914 12,607,835 12,607,835 85 19,170,817 18,981,007 18,981,007 86 20,793,283 20,587,409 20,587,409
IT IS EMPHASIZED THAT THE HYPOTHETICAL GROSS ANNUAL RATES OF RETURN SHOWN ABOVE ARE ILLUSTRATIVE ONLY AND SHOULD NOT BE DEEMED A REPRESENTATION OF PAST OR FUTURE GROSS ANNUAL RATES OF RETURN. ACTUAL GROSS RATES OF RETURN MAY BE MORE OR LESS THAN THOSE SHOWN AND WILL DEPEND ON A NUMBER OF FACTORS, INCLUDING THE INVESTMENT ALLOCATIONS MADE BY A POLICY OWNER, THE FREQUENCY OF PREMIUM PAYMENTS CHOSEN BY A POLICY OWNER, AND THE INVESTMENT EXPERIENCE OF THE POLICY'S INVESTMENT DIVISIONS. THE DEATH BENEFIT, CASH VALUE AND CASH SURRENDER VALUE FOR A POLICY WOULD BE DIFFERENT FROM THOSE SHOWN IF THE ACTUAL GROSS ANNUAL RATES OF RETURN AVERAGED 0%, 6%, AND 10% OVER A PERIOD OF YEARS, BUT VARIED ABOVE OR BELOW THAT AVERAGE DURING THE PERIOD. THEY WOULD ALSO BE DIFFERENT IF ANY POLICY LOAN WERE MADE DURING THE PERIOD. NO REPRESENTATIONS CAN BE MADE BY METLIFE OR THE PORTFOLIOS THAT THOSE HYPOTHETICAL RATES OF RETURN CAN BE ACHIEVED FOR ANY ONE YEAR OR SUSTAINED OVER ANY PERIOD OF TIME. A-56 MALE ISSUE AGE 35 $1,890 ANNUAL PREMIUM FOR PREFERRED NONSMOKER RISK CLASS $350,000 FACE AMOUNT OPTION A DEATH BENEFIT THIS ILLUSTRATION IS BASED ON GUARANTEED POLICY CHARGES.
DEATH BENEFIT CASH SURRENDER VALUE CASH VALUE ASSUMING HYPOTHETICAL ASSUMING HYPOTHETICAL ASSUMING HYPOTHETICAL GROSS ANNUAL GROSS ANNUAL GROSS ANNUAL END OF RATE OF RETURN OF RATE OF RETURN OF RATE OF RETURN OF POLICY -------------------------------- ---------------------------- ---------------------------- YEAR 0% 6% 10% 0% 6% 10% 0% 6% 10% ------ -- -- --- -- -- --- -- -- --- 1 $350,000 $350,000 $350,000 $ 0 $ 0 $ 0 $ 697 $ 768 $ 816 2 350,000 350,000 350,000 0 0 0 1,364 1,551 1,680 3 350,000 350,000 350,000 0 0 0 2,004 2,350 2,599 4 350,000 350,000 350,000 0 0 0 2,604 3,154 3,564 5 350,000 350,000 350,000 0 373 988 3,169 3,967 4,581 6 350,000 350,000 350,000 428 1,518 2,386 3,695 4,785 5,653 7 350,000 350,000 350,000 1,233 2,657 3,833 4,174 5,598 6,774 8 350,000 350,000 350,000 2,307 4,108 5,649 4,594 6,395 7,936 9 350,000 350,000 350,000 3,807 6,027 7,994 4,951 7,170 9,137 10 350,000 350,000 350,000 5,235 7,911 10,370 5,235 7,911 10,370 15 350,000 350,000 350,000 5,674 11,244 17,461 5,674 11,244 17,461 20 350,000 350,000 350,000 3,933 13,131 25,911 3,933 13,131 25,911 25 350,000 350,000 10,352 33,810 10,352 33,810 30 350,000 37,648 37,648 35 350,000 29,168 29,168 40 45 50 55 60 65 70 75 80 85 86
IT IS EMPHASIZED THAT THE HYPOTHETICAL GROSS ANNUAL RATES OF RETURN SHOWN ABOVE ARE ILLUSTRATIVE ONLY AND SHOULD NOT BE DEEMED A REPRESENTATION OF PAST OR FUTURE GROSS ANNUAL RATES OF RETURN. ACTUAL GROSS RATES OF RETURN MAY BE MORE OR LESS THAN THOSE SHOWN AND WILL DEPEND ON A NUMBER OF FACTORS, INCLUDING THE INVESTMENT ALLOCATIONS MADE BY A POLICY OWNER, THE FREQUENCY OF PREMIUM PAYMENTS CHOSEN BY A POLICY OWNER, AND THE INVESTMENT EXPERIENCE OF THE POLICY'S INVESTMENT DIVISIONS. THE DEATH BENEFIT, CASH VALUE AND CASH SURRENDER VALUE FOR A POLICY WOULD BE DIFFERENT FROM THOSE SHOWN IF THE ACTUAL GROSS ANNUAL RATES OF RETURN AVERAGED 0%, 6%, AND 10% OVER A PERIOD OF YEARS, BUT VARIED ABOVE OR BELOW THAT AVERAGE DURING THE PERIOD. THEY WOULD ALSO BE DIFFERENT IF ANY POLICY LOAN WERE MADE DURING THE PERIOD. NO REPRESENTATIONS CAN BE MADE BY METLIFE OR THE PORTFOLIOS THAT THOSE HYPOTHETICAL RATES OF RETURN CAN BE ACHIEVED FOR ANY ONE YEAR OR SUSTAINED OVER ANY PERIOD OF TIME. A-57 Additional information about the Policy and the Separate Account can be found in the Statement of Additional Information, which is available online at our website www.metlife.com. You may also obtain a copy of the Statement of Additional Information, without charge, by calling our TeleService Center at 1- 800-638-5000. You may also obtain, without charge, a personalized illustration of death benefits, cash surrender values and cash values by calling your registered representative. For Investment Division transfers and premium reallocations, for current information about your Policy values, to change or update Policy information such as your billing address, billing mode, beneficiary or ownership, for information about other Policy transactions, and to ask questions about your Policy, you may call us at 1-800-638-5000. This prospectus incorporates by reference all of the information contained in the Statement of Additional Information, which is legally part of this prospectus. Information about the Policy and the Separate Account, including the Statement of Additional Information, is available for viewing and copying at the SEC's Public Reference Room in Washington, D.C. Information about the operation of the Public Reference Room may be obtained by calling the SEC at 202-551-8090. The Statement of Additional Information, reports and other information about the Separate Account are available on the SEC Internet site at www.sec.gov. Copies of this information may be obtained upon payment of a duplicating fee, by writing to the SEC's Public Reference Section at 100 F Street, NE, Washington, DC 20549-0102. File No. 811-06025 REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM To the Policy Owners of Metropolitan Life Separate Account UL and Board of Directors of Metropolitan Life Insurance Company We have audited the accompanying statements of assets and liabilities of Metropolitan Life Separate Account UL (the "Separate Account") of Metropolitan Life Insurance Company (the "Company") comprising each of the individual Investment Divisions listed in Note 2.A. as of December 31, 2010, the related statements of operations and changes in net assets for the respective stated periods in the three 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 Investment Divisions constituting the Separate Account of the Company as of December 31, 2010, the results of their operations and changes in their net assets for the respective stated periods in the three 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. METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE INSURANCE COMPANY STATEMENTS OF ASSETS AND LIABILITIES DECEMBER 31, 2010 MSF BLACKROCK MSF BLACKROCK MSF METLIFE MSF ARTIO DIVERSIFIED AGGRESSIVE GROWTH STOCK INDEX INTERNATIONAL STOCK INVESTMENT DIVISION INVESTMENT DIVISION INVESTMENT DIVISION INVESTMENT DIVISION ------------------- ------------------- ------------------- ------------------- ASSETS: Investments at fair value $ 263,102,792 $ 200,141,320 $ 671,764,338 $ 45,766,808 Accrued dividends -- -- -- -- Due from Metropolitan Life Insurance Company -- 205 -- 68 ------------------- ------------------- ------------------- ------------------- Total Assets 263,102,792 200,141,525 671,764,338 45,766,876 ------------------- ------------------- ------------------- ------------------- LIABILITIES: Due to Metropolitan Life Insurance Company 476 -- 12,373 -- ------------------- ------------------- ------------------- ------------------- Total Liabilities 476 -- 12,373 -- ------------------- ------------------- ------------------- ------------------- NET ASSETS $ 263,102,316 $ 200,141,525 $ 671,751,965 $ 45,766,876 =================== =================== =================== ===================
The accompanying notes are an integral part of these financial statements. 1 METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE INSURANCE COMPANY STATEMENTS OF ASSETS AND LIABILITIES -- (CONTINUED) DECEMBER 31, 2010 MSF MSF T. ROWE PRICE MSF OPPENHEIMER NEUBERGER BERMAN SMALL CAP GROWTH GLOBAL EQUITY MSF MFS VALUE MID CAP VALUE INVESTMENT DIVISION INVESTMENT DIVISION INVESTMENT DIVISION INVESTMENT DIVISION ------------------- ------------------- ------------------- ------------------- ASSETS: Investments at fair value $ 87,990,296 $ 43,706,628 $ 54,046,050 $ 77,987,777 Accrued dividends -- -- -- -- Due from Metropolitan Life Insurance Company 14,570 -- 6,800 32 ------------------- ------------------- ------------------- ------------------- Total Assets 88,004,866 43,706,628 54,052,850 77,987,809 ------------------- ------------------- ------------------- ------------------- LIABILITIES: Due to Metropolitan Life Insurance Company -- 58 -- -- ------------------- ------------------- ------------------- ------------------- Total Liabilities -- 58 -- -- ------------------- ------------------- ------------------- ------------------- NET ASSETS $ 88,004,866 $ 43,706,570 $ 54,052,850 $ 77,987,809 =================== =================== =================== ===================
The accompanying notes are an integral part of these financial statements. 2 MSF MSF T. ROWE PRICE MSF BARCLAYS CAPITAL MSF MORGAN STANLEY MSF RUSSELL MSF JENNISON NEUBERGER BERMAN LARGE CAP GROWTH AGGREGATE BOND INDEX EAFE INDEX 2000 INDEX GROWTH GENESIS INVESTMENT DIVISION INVESTMENT DIVISION INVESTMENT DIVISION INVESTMENT DIVISION INVESTMENT DIVISION INVESTMENT DIVISION ------------------- -------------------- ------------------- ------------------- ------------------- ------------------- $ 45,774,309 $ 114,484,199 $ 65,360,236 $ 56,596,283 $ 15,400,256 $ 78,718,305 -- -- -- -- -- -- 778 556 7,593 -- 8,145 -- ------------------- -------------------- ------------------- ------------------- ------------------- ------------------- 45,775,087 114,484,755 65,367,829 56,596,283 15,408,401 78,718,305 ------------------- -------------------- ------------------- ------------------- ------------------- ------------------- -- -- -- 56 -- 209 ------------------- -------------------- ------------------- ------------------- ------------------- ------------------- -- -- -- 56 -- 209 ------------------- -------------------- ------------------- ------------------- ------------------- ------------------- $ 45,775,087 $ 114,484,755 $ 65,367,829 $ 56,596,227 $ 15,408,401 $ 78,718,096 =================== ==================== =================== =================== =================== ===================
The accompanying notes are an integral part of these financial statements. 3 METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE INSURANCE COMPANY STATEMENTS OF ASSETS AND LIABILITIES -- (CONTINUED) DECEMBER 31, 2010 MSF METLIFE MSF LOOMIS SAYLES MSF BLACKROCK MSF DAVIS MID CAP STOCK INDEX SMALL CAP GROWTH LARGE CAP VALUE VENTURE VALUE INVESTMENT DIVISION INVESTMENT DIVISION INVESTMENT DIVISION INVESTMENT DIVISION ------------------- ------------------- ------------------- ------------------- ASSETS: Investments at fair value $ 65,795,207 $ 7,430,424 $ 12,899,195 $ 57,904,626 Accrued dividends -- -- -- -- Due from Metropolitan Life Insurance Company 855 17 -- 5,992 ------------------- ------------------- ------------------- ------------------- Total Assets 65,796,062 7,430,441 12,899,195 57,910,618 ------------------- ------------------- ------------------- ------------------- LIABILITIES: Due to Metropolitan Life Insurance Company -- -- 58 -- ------------------- ------------------- ------------------- ------------------- Total Liabilities -- -- 58 -- ------------------- ------------------- ------------------- ------------------- NET ASSETS $ 65,796,062 $ 7,430,441 $ 12,899,137 $ 57,910,618 =================== =================== =================== ===================
The accompanying notes are an integral part of these financial statements. 4 MSF WESTERN MSF BLACKROCK ASSET MANAGEMENT MSF LOOMIS SAYLES LEGACY LARGE CAP MSF BLACKROCK MSF FI MSF MET/ARTISAN STRATEGIC BOND SMALL CAP CORE GROWTH BOND INCOME VALUE LEADERS MID CAP VALUE OPPORTUNITIES INVESTMENT DIVISION INVESTMENT DIVISION INVESTMENT DIVISION INVESTMENT DIVISION INVESTMENT DIVISION INVESTMENT DIVISION ------------------- ------------------- ------------------- ------------------- ------------------- ------------------- $ 18,282,804 $ 7,322,522 $ 84,862,621 $ 6,488,970 $ 46,594,384 $ 23,786,569 -- -- -- -- -- -- 26 1 215 -- 6,757 -- ------------------- ------------------- ------------------- ------------------- ------------------- ------------------- 18,282,830 7,322,523 84,862,836 6,488,970 46,601,141 23,786,569 ------------------- ------------------- ------------------- ------------------- ------------------- ------------------- 46 -- -- 38 -- 67 ------------------- ------------------- ------------------- ------------------- ------------------- ------------------- 46 -- -- 38 -- 67 ------------------- ------------------- ------------------- ------------------- ------------------- ------------------- $ 18,282,784 $ 7,322,523 $ 84,862,836 $ 6,488,932 $ 46,601,141 $ 23,786,502 =================== =================== =================== =================== =================== ===================
The accompanying notes are an integral part of these financial statements. 5 METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE INSURANCE COMPANY STATEMENTS OF ASSETS AND LIABILITIES -- (CONTINUED) DECEMBER 31, 2010 MSF WESTERN MSF METLIFE ASSET MANAGEMENT MSF BLACKROCK MSF MFS CONSERVATIVE U.S. GOVERNMENT MONEY MARKET TOTAL RETURN ALLOCATION INVESTMENT DIVISION INVESTMENT DIVISION INVESTMENT DIVISION INVESTMENT DIVISION ------------------- ------------------- ------------------- ------------------- ASSETS: Investments at fair value $ 16,633,677 $ 29,829,068 $ 7,708,232 $ 4,036,490 Accrued dividends -- 58 -- -- Due from Metropolitan Life Insurance Company -- -- 40 6 ------------------- ------------------- ------------------- ------------------- Total Assets 16,633,677 29,829,126 7,708,272 4,036,496 ------------------- ------------------- ------------------- ------------------- LIABILITIES: Due to Metropolitan Life Insurance Company 26 10,790 -- -- ------------------- ------------------- ------------------- ------------------- Total Liabilities 26 10,790 -- -- ------------------- ------------------- ------------------- ------------------- NET ASSETS $ 16,633,651 $ 29,818,336 $ 7,708,272 $ 4,036,496 =================== =================== =================== ===================
The accompanying notes are an integral part of these financial statements. 6 MSF METLIFE MSF METLIFE CONSERVATIVE TO MSF METLIFE MODERATE TO MSF METLIFE MODERATE ALLOCATION MODERATE ALLOCATION AGGRESSIVE ALLOCATION AGGRESSIVE ALLOCATION JANUS ASPEN JANUS JANUS ASPEN BALANCED INVESTMENT DIVISION INVESTMENT DIVISION INVESTMENT DIVISION INVESTMENT DIVISION INVESTMENT DIVISION INVESTMENT DIVISION ------------------- ------------------- --------------------- --------------------- ------------------- -------------------- $ 6,925,753 $ 37,214,364 $ 65,064,142 $ 13,599,650 $ 7,832,027 $ 2,526,893 -- -- -- -- -- -- -- -- -- -- -- -- ------------------- ------------------- --------------------- --------------------- ------------------- -------------------- 6,925,753 37,214,364 65,064,142 13,599,650 7,832,027 2,526,893 ------------------- ------------------- --------------------- --------------------- ------------------- -------------------- 52 33 73 1 25 34 ------------------- ------------------- --------------------- --------------------- ------------------- -------------------- 52 33 73 1 25 34 ------------------- ------------------- --------------------- --------------------- ------------------- -------------------- $ 6,925,701 $ 37,214,331 $ 65,064,069 $ 13,599,649 $ 7,832,002 $ 2,526,859 =================== =================== ===================== ===================== =================== ====================
The accompanying notes are an integral part of these financial statements. 7 METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE INSURANCE COMPANY STATEMENTS OF ASSETS AND LIABILITIES -- (CONTINUED) DECEMBER 31, 2010 INVESCO V.I. INVESCO V.I. JANUS ASPEN FORTY JANUS ASPEN OVERSEAS GLOBAL REAL ESTATE INTERNATIONAL GROWTH INVESTMENT DIVISION INVESTMENT DIVISION INVESTMENT DIVISION INVESTMENT DIVISION ------------------- -------------------- ------------------- -------------------- ASSETS: Investments at fair value $ 1,212,504 $ 375,924 $ 1,597,811 $ 272,422 Accrued dividends -- -- -- -- Due from Metropolitan Life Insurance Company 264 -- -- -- ------------------- -------------------- ------------------- -------------------- Total Assets 1,212,768 375,924 1,597,811 272,422 ------------------- -------------------- ------------------- -------------------- LIABILITIES: Due to Metropolitan Life Insurance Company -- 73 700 11 ------------------- -------------------- ------------------- -------------------- Total Liabilities -- 73 700 11 ------------------- -------------------- ------------------- -------------------- NET ASSETS $ 1,212,768 $ 375,851 $ 1,597,111 $ 272,411 =================== ==================== =================== ====================
The accompanying notes are an integral part of these financial statements. 8 FTVIPT FTVIPT ALLIANCEBERNSTEIN INVESCO V.I. INVESCO V.I. FTVIPT TEMPLETON MUTUAL GLOBAL TEMPLETON GLOBAL GLOBAL GOVERNMENT VAN KAMPEN COMSTOCK FOREIGN SECURITIES DISCOVERY SECURITIES BOND SECURITIES THEMATIC GROWTH INVESTMENT DIVISION INVESTMENT DIVISION INVESTMENT DIVISION INVESTMENT DIVISION INVESTMENT DIVISION INVESTMENT DIVISION ------------------- ------------------- ------------------- -------------------- ------------------- ------------------- $ 105,717 $ 32,084 $ 9,245,237 $ 967,460 $ 3,730 $ 119,520 -- -- -- -- -- -- -- -- -- -- -- -- ------------------- ------------------- ------------------- -------------------- ------------------- ------------------- 105,717 32,084 9,245,237 967,460 3,730 119,520 ------------------- ------------------- ------------------- -------------------- ------------------- ------------------- 4 -- 543 128 2 32 ------------------- ------------------- ------------------- -------------------- ------------------- ------------------- 4 -- 543 128 2 32 ------------------- ------------------- ------------------- -------------------- ------------------- ------------------- $ 105,713 $ 32,084 $ 9,244,694 $ 967,332 $ 3,728 $ 119,488 =================== =================== =================== ==================== =================== ===================
The accompanying notes are an integral part of these financial statements. 9 METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE INSURANCE COMPANY STATEMENTS OF ASSETS AND LIABILITIES -- (CONTINUED) DECEMBER 31, 2010 ALLIANCEBERNSTEIN ALLIANCEBERNSTEIN FIDELITY VIP FIDELITY VIP ASSET INTERMEDIATE BOND INTERNATIONAL VALUE CONTRAFUND MANAGER: GROWTH INVESTMENT DIVISION INVESTMENT DIVISION INVESTMENT DIVISION INVESTMENT DIVISION ------------------- ------------------- ------------------- ------------------- ASSETS: Investments at fair value $ 43,368 $ 1,357 $ 2,677,586 $ 1,905,663 Accrued dividends -- -- -- -- Due from Metropolitan Life Insurance Company -- -- -- -- ------------------- ------------------- ------------------- ------------------- Total Assets 43,368 1,357 2,677,586 1,905,663 ------------------- ------------------- ------------------- ------------------- LIABILITIES: Due to Metropolitan Life Insurance Company 103 -- 213 55 ------------------- ------------------- ------------------- ------------------- Total Liabilities 103 -- 213 55 ------------------- ------------------- ------------------- ------------------- NET ASSETS $ 43,265 $ 1,357 $ 2,677,373 $ 1,905,608 =================== =================== =================== ===================
The accompanying notes are an integral part of these financial statements. 10 FIDELITY VIP INVESTMENT FIDELITY VIP FIDELITY VIP FIDELITY VIP FIDELITY VIP GRADE BOND EQUITY-INCOME HIGH INCOME FIDELITY VIP MID CAP FREEDOM 2010 FREEDOM 2020 INVESTMENT DIVISION INVESTMENT DIVISION INVESTMENT DIVISION INVESTMENT DIVISION INVESTMENT DIVISION INVESTMENT DIVISION ------------------- ------------------- ------------------- -------------------- ------------------- ------------------- $ 535,348 $ 202,704 $ 4,568 $ 462,038 $ 31,863 $ 738,709 -- -- -- -- -- -- -- -- -- -- -- -- ------------------- ------------------- ------------------- -------------------- ------------------- ------------------- 535,348 202,704 4,568 462,038 31,863 738,709 ------------------- ------------------- ------------------- -------------------- ------------------- ------------------- 4 14 3 7 3 7 ------------------- ------------------- ------------------- -------------------- ------------------- ------------------- 4 14 3 7 3 7 ------------------- ------------------- ------------------- -------------------- ------------------- ------------------- $ 535,344 $ 202,690 $ 4,565 $ 462,031 $ 31,860 $ 738,702 =================== =================== =================== ==================== =================== ===================
The accompanying notes are an integral part of these financial statements. 11 METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE INSURANCE COMPANY STATEMENTS OF ASSETS AND LIABILITIES -- (CONTINUED) DECEMBER 31, 2010 AMERICAN FUNDS FIDELITY VIP AMERICAN FUNDS AMERICAN FUNDS GLOBAL SMALL FREEDOM 2030 GROWTH GROWTH-INCOME CAPITALIZATION INVESTMENT DIVISION INVESTMENT DIVISION INVESTMENT DIVISION INVESTMENT DIVISION ------------------- ------------------- ------------------- ------------------- ASSETS: Investments at fair value $ 108,198 $ 127,437,891 $ 73,861,244 $ 67,405,396 Accrued dividends -- -- -- -- Due from Metropolitan Life Insurance Company -- -- -- -- ------------------- ------------------- ------------------- ------------------- Total Assets 108,198 127,437,891 73,861,244 67,405,396 ------------------- ------------------- ------------------- ------------------- LIABILITIES: Due to Metropolitan Life Insurance Company 7 36 50 43 ------------------- ------------------- ------------------- ------------------- Total Liabilities 7 36 50 43 ------------------- ------------------- ------------------- ------------------- NET ASSETS $ 108,191 $ 127,437,855 $ 73,861,194 $ 67,405,353 =================== =================== =================== ===================
The accompanying notes are an integral part of these financial statements. 12 AMERICAN FUNDS AMERICAN FUNDS AMERICAN FUNDS U.S. GOVERNMENT/AAA MIST T. ROWE PRICE MIST MFS RESEARCH MIST PIMCO BOND INTERNATIONAL RATED SECURITIES MID CAP GROWTH INTERNATIONAL TOTAL RETURN INVESTMENT DIVISION INVESTMENT DIVISION INVESTMENT DIVISION INVESTMENT DIVISION INVESTMENT DIVISION INVESTMENT DIVISION ------------------- ------------------- ------------------- ------------------- ------------------- ------------------- $ 4,365,046 $ 809,630 $ 37,834 $ 21,234,919 $ 13,920,146 $ 46,602,305 -- -- -- -- -- -- -- -- -- -- 672 -- ------------------- ------------------- ------------------- ------------------- ------------------- ------------------- 4,365,046 809,630 37,834 21,234,919 13,920,818 46,602,305 ------------------- ------------------- ------------------- ------------------- ------------------- ------------------- 15 5 4 11 -- 43 ------------------- ------------------- ------------------- ------------------- ------------------- ------------------- 15 5 4 11 -- 43 ------------------- ------------------- ------------------- ------------------- ------------------- ------------------- $ 4,365,031 $ 809,625 $ 37,830 $ 21,234,908 $ 13,920,818 $ 46,602,262 =================== =================== =================== =================== =================== ===================
The accompanying notes are an integral part of these financial statements. 13 METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE INSURANCE COMPANY STATEMENTS OF ASSETS AND LIABILITIES -- (CONTINUED) DECEMBER 31, 2010 MIST RCM MIST LORD ABBETT MIST LAZARD MIST INVESCO TECHNOLOGY BOND DEBENTURE MID CAP SMALL CAP GROWTH INVESTMENT DIVISION INVESTMENT DIVISION INVESTMENT DIVISION INVESTMENT DIVISION ------------------- ------------------- ------------------- ------------------- ASSETS: Investments at fair value $ 16,113,864 $ 27,673,394 $ 5,585,177 $ 4,469,864 Accrued dividends -- -- -- -- Due from Metropolitan Life Insurance Company 22 336 -- 34 ------------------- ------------------- ------------------- ------------------- Total Assets 16,113,886 27,673,730 5,585,177 4,469,898 ------------------- ------------------- ------------------- ------------------- LIABILITIES: Due to Metropolitan Life Insurance Company -- -- 53 -- ------------------- ------------------- ------------------- ------------------- Total Liabilities -- -- 53 -- ------------------- ------------------- ------------------- ------------------- NET ASSETS $ 16,113,886 $ 27,673,730 $ 5,585,124 $ 4,469,898 =================== =================== =================== ===================
The accompanying notes are an integral part of these financial statements. 14 MIST MIST LEGG HARRIS OAKMARK MASON CLEARBRIDGE MIST LORD ABBETT MIST CLARION MIST MORGAN STANLEY MIST LORD ABBETT INTERNATIONAL AGGRESSIVE GROWTH GROWTH AND INCOME GLOBAL REAL ESTATE MID CAP GROWTH MID CAP VALUE INVESTMENT DIVISION INVESTMENT DIVISION INVESTMENT DIVISION INVESTMENT DIVISION INVESTMENT DIVISION INVESTMENT DIVISION ------------------- ------------------- ------------------- ------------------- ------------------- ------------------- $ 31,544,692 $ 7,832,599 $ 6,220,899 $ 21,155,496 $ 203,751,581 $ 111,198 -- -- -- -- -- -- 6 -- 3,162 5,068 3,350 -- ------------------- ------------------- ------------------- ------------------- ------------------- ------------------- 31,544,698 7,832,599 6,224,061 21,160,564 203,754,931 111,198 ------------------- ------------------- ------------------- ------------------- ------------------- ------------------- -- 23 -- -- -- 8 ------------------- ------------------- ------------------- ------------------- ------------------- ------------------- -- 23 -- -- -- 8 ------------------- ------------------- ------------------- ------------------- ------------------- ------------------- $ 31,544,698 $ 7,832,576 $ 6,224,061 $ 21,160,564 $ 203,754,931 $ 111,190 =================== =================== =================== =================== =================== ===================
The accompanying notes are an integral part of these financial statements. 15 METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE INSURANCE COMPANY STATEMENTS OF ASSETS AND LIABILITIES -- (CONTINUED) DECEMBER 31, 2010 MIST THIRD AVENUE MIST OPPENHEIMER MIST LEGG MASON MIST SSGA SMALL CAP VALUE CAPITAL APPRECIATION VALUE EQUITY GROWTH ETF INVESTMENT DIVISION INVESTMENT DIVISION INVESTMENT DIVISION INVESTMENT DIVISION ------------------- -------------------- ------------------- ------------------- ASSETS: Investments at fair value $ 1,575,617 $ 1,779,584 $ 4,606,141 $ 2,679,337 Accrued dividends -- -- -- -- Due from Metropolitan Life Insurance Company -- 27 -- 44 ------------------- -------------------- ------------------- ------------------- Total Assets 1,575,617 1,779,611 4,606,141 2,679,381 ------------------- -------------------- ------------------- ------------------- LIABILITIES: Due to Metropolitan Life Insurance Company 28 -- 39 -- ------------------- -------------------- ------------------- ------------------- Total Liabilities 28 -- 39 -- ------------------- -------------------- ------------------- ------------------- NET ASSETS $ 1,575,589 $ 1,779,611 $ 4,606,102 $ 2,679,381 =================== ==================== =================== ===================
The accompanying notes are an integral part of these financial statements. 16 MIST MIST MIST SSGA GROWTH PIMCO INFLATION MIST BLACKROCK MIST DREMAN AMERICAN FUNDS AND INCOME ETF PROTECTED BOND LARGE CAP CORE MIST JANUS FORTY SMALL CAP VALUE BALANCED ALLOCATION INVESTMENT DIVISION INVESTMENT DIVISION INVESTMENT DIVISION INVESTMENT DIVISION INVESTMENT DIVISION INVESTMENT DIVISION ------------------- ------------------- ------------------- ------------------- ------------------- ------------------- $ 3,818,872 $ 8,812,603 $ 309,489,156 $ 14,254,609 $ 27,493 $ 427,408 -- -- -- -- -- -- 35 -- 380 46 -- -- ------------------- ------------------- ------------------- ------------------- ------------------- ------------------- 3,818,907 8,812,603 309,489,536 14,254,655 27,493 427,408 ------------------- ------------------- ------------------- ------------------- ------------------- ------------------- -- 65 -- -- 4 2 ------------------- ------------------- ------------------- ------------------- ------------------- ------------------- -- 65 -- -- 4 2 ------------------- ------------------- ------------------- ------------------- ------------------- ------------------- $ 3,818,907 $ 8,812,538 $ 309,489,536 $ 14,254,655 $ 27,489 $ 427,406 =================== =================== =================== =================== =================== ===================
The accompanying notes are an integral part of these financial statements. 17 METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE INSURANCE COMPANY STATEMENTS OF ASSETS AND LIABILITIES -- (CONTINUED) DECEMBER 31, 2010 MIST MIST AMERICAN FUNDS AMERICAN FUNDS MIST MET/FRANKLIN MIST MET/FRANKLIN GROWTH ALLOCATION MODERATE ALLOCATION INCOME MUTUAL SHARES INVESTMENT DIVISION INVESTMENT DIVISION INVESTMENT DIVISION INVESTMENT DIVISION ------------------- ------------------- ------------------- ------------------- ASSETS: Investments at fair value $ 706,302 $ 250,096 $ 151,294 $ 57,045 Accrued dividends -- -- -- -- Due from Metropolitan Life Insurance Company -- -- -- -- ------------------- ------------------- ------------------- ------------------- Total Assets 706,302 250,096 151,294 57,045 ------------------- ------------------- ------------------- ------------------- LIABILITIES: Due to Metropolitan Life Insurance Company 2 2 2 3 ------------------- ------------------- ------------------- ------------------- Total Liabilities 2 2 2 3 ------------------- ------------------- ------------------- ------------------- NET ASSETS $ 706,300 $ 250,094 $ 151,292 $ 57,042 =================== =================== =================== ===================
The accompanying notes are an integral part of these financial statements. 18 MIST MET/FRANKLIN TEMPLETON FOUNDING MIST MET/TEMPLETON AMERICAN DELAWARE VIP DREYFUS VIF STRATEGY GROWTH MIST PIONEER FUND CENTURY VP VISTA SMALL CAP VALUE INTERNATIONAL VALUE INVESTMENT DIVISION INVESTMENT DIVISION INVESTMENT DIVISION INVESTMENT DIVISION INVESTMENT DIVISION INVESTMENT DIVISION ------------------- ------------------- ------------------- ------------------- ------------------- ------------------- $ 260,281 $ 48,494 $ 245,287 $ 69,257 $ 385,135 $ 231,499 -- -- -- -- -- -- -- -- 573 4,898 1 -- ------------------- ------------------- ------------------- ------------------- ------------------- ------------------- 260,281 48,494 245,860 74,155 385,136 231,499 ------------------- ------------------- ------------------- ------------------- ------------------- ------------------- 1 2 -- -- -- 35 ------------------- ------------------- ------------------- ------------------- ------------------- ------------------- 1 2 -- -- -- 35 ------------------- ------------------- ------------------- ------------------- ------------------- ------------------- $ 260,280 $ 48,492 $ 245,860 $ 74,155 $ 385,136 $ 231,464 =================== =================== =================== =================== =================== ===================
The accompanying notes are an integral part of these financial statements. 19 METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE INSURANCE COMPANY STATEMENTS OF ASSETS AND LIABILITIES -- (CONTINUED) DECEMBER 31, 2010 GOLDMAN SACHS GOLDMAN SACHS STRUCTURED MFS VIT MFS VIT MID CAP VALUE SMALL CAP EQUITY HIGH INCOME GLOBAL EQUITY INVESTMENT DIVISION INVESTMENT DIVISION INVESTMENT DIVISION INVESTMENT DIVISION ------------------- ------------------- ------------------- ------------------- ASSETS: Investments at fair value $ 367,130 $ 51,282 $ 132,571 $ 226,835 Accrued dividends -- -- -- -- Due from Metropolitan Life Insurance Company -- -- -- -- ------------------- ------------------- ------------------- ------------------- Total Assets 367,130 51,282 132,571 226,835 ------------------- ------------------- ------------------- ------------------- LIABILITIES: Due to Metropolitan Life Insurance Company 41 30 462 41 ------------------- ------------------- ------------------- ------------------- Total Liabilities 41 30 462 41 ------------------- ------------------- ------------------- ------------------- NET ASSETS $ 367,089 $ 51,252 $ 132,109 $ 226,794 =================== =================== =================== ===================
The accompanying notes are an integral part of these financial statements. 20 MFS VIT MFS VIT WELLS FARGO VT PIONEER VCT PIONEER VCT NEW DISCOVERY VALUE TOTAL RETURN BOND EMERGING MARKETS MID CAP VALUE ROYCE MICRO-CAP INVESTMENT DIVISION INVESTMENT DIVISION INVESTMENT DIVISION INVESTMENT DIVISION INVESTMENT DIVISION INVESTMENT DIVISION ------------------- ------------------- ------------------- ------------------- ------------------- ------------------- $ 134,934 $ 79,100 $ 1,081,377 $ 983,753 $ 99,492 $ 348,710 -- -- -- -- -- -- -- -- 38 413 -- -- ------------------- ----- ------------- ------------------- ------------------- ------------------- ------------------- 134,934 79,100 1,081,415 984,166 99,492 348,710 ------------------- ----- ------------- ------------------- ------------------- ------------------- ------------------- 11 5 -- -- 14 1 ------------------- ----- ------------- ------------------- ------------------- ------------------- ------------------- 11 5 -- -- 14 1 ------------------- ----- ------------- ------------------- ------------------- ------------------- ------------------- $ 134,923 $ 79,095 $ 1,081,415 $ 984,166 $ 99,478 $ 348,709 =================== =================== =================== =================== =================== ===================
The accompanying notes are an integral part of these financial statements. 21 METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE INSURANCE COMPANY STATEMENTS OF ASSETS AND LIABILITIES -- (CONCLUDED) DECEMBER 31, 2010 UIF EMERGING UIF EMERGING PIMCO VIT ROYCE SMALL-CAP MARKETS DEBT MARKETS EQUITY LOW DURATION INVESTMENT DIVISION INVESTMENT DIVISION INVESTMENT DIVISION INVESTMENT DIVISION ------------------- ------------------- ------------------- ------------------- ASSETS: Investments at fair value $ 393,156 $ 7,345 $ 197,670 $ 762,323 Accrued dividends -- -- -- -- Due from Metropolitan Life Insurance Company -- -- -- 208 ------------------- ------------------- ------------------- ------------------- Total Assets 393,156 7,345 197,670 762,531 ------------------- ------------------- ------------------- ------------------- LIABILITIES: Due to Metropolitan Life Insurance Company 14 2 1 -- ------------------- ------------------- ------------------- ------------------- Total Liabilities 14 2 1 -- ------------------- ------------------- ------------------- ------------------- NET ASSETS $ 393,142 $ 7,343 $ 197,669 $ 762,531 =================== =================== =================== ===================
The accompanying notes are an integral part of these financial statements. 22 This page is intentionally left blank. METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE INSURANCE COMPANY STATEMENTS OF OPERATIONS FOR THE YEARS ENDED DECEMBER 31, 2010, 2009, AND 2008 MSF BLACKROCK DIVERSIFIED INVESTMENT DIVISION ------------------------------------------------------------- 2010 2009 2008 --------------- ---------------------------- ---------------- INVESTMENT INCOME: Dividends $ 4,856,230 $ 12,214,068 $ 8,110,111 --------------- ---------------------------- ---------------- EXPENSES: Mortality and expense risk charges 2,202,890 2,044,120 2,489,583 --------------- ---------------------------- ---------------- Total expenses 2,202,890 2,044,120 2,489,583 --------------- ---------------------------- ---------------- Net investment income (loss) 2,653,340 10,169,948 5,620,528 --------------- ---------------------------- ---------------- NET REALIZED AND CHANGE IN UNREALIZED GAINS (LOSSES) ON INVESTMENTS: Realized gain distributions -- -- 3,156,956 Realized gains (losses) on sale of investments (1,951,136) (4,609,576) (1,882,360) --------------- ---------------------------- ---------------- Net realized gains (losses) (1,951,136) (4,609,576) 1,274,596 --------------- ---------------------------- ---------------- Change in unrealized gains (losses) on investments 20,635,275 31,028,944 (90,018,067) --------------- ---------------------------- ---------------- Net realized and change in unrealized gains (losses) on investments 18,684,139 26,419,368 (88,743,471) --------------- ---------------------------- ---------------- Net increase (decrease) in net assets resulting from operations $ 21,337,479 $ 36,589,316 $ (83,122,943) =============== ============================ ================
(a) For the period April 28, 2008 to December 31, 2008. (b) Commenced on April 28, 2008 and began transactions in 2009. (c) For the period May 3, 2010 to December 31, 2010. (d) For the period May 4, 2009 to December 31, 2009. (e) Commenced on May 1, 2005 and began transactions in 2009. (f) Commenced on November 10, 2008 and began transactions in 2010. (g) Commenced on November 10, 2008 and began transactions in 2009. The accompanying notes are an integral part of these financial statements. 24 MSF BLACKROCK AGGRESSIVE GROWTH MSF METLIFE STOCK INDEX INVESTMENT DIVISION INVESTMENT DIVISION ---------------------------------------------------------- ------------------------------------------------------------ 2010 2009 2008 2010 2009 2008 --------------- ---------------------- ------------------- --------------- -------------------------- ----------------- $ 125,813 $ 309,682 $ -- $ 10,671,016 $ 13,698,992 $ 12,272,736 --------------- ---------------------- ------------------- --------------- -------------------------- ----------------- 1,617,041 1,367,142 1,837,501 4,862,670 4,016,527 5,062,149 --------------- ---------------------- ------------------- --------------- -------------------------- ----------------- 1,617,041 1,367,142 1,837,501 4,862,670 4,016,527 5,062,149 --------------- ---------------------- ------------------- --------------- -------------------------- ----------------- (1,491,228) (1,057,460) (1,837,501) 5,808,346 9,682,465 7,210,587 --------------- ---------------------- ------------------- --------------- -------------------------- ----------------- -- -- -- -- 10,241,628 26,321,788 451,106 (3,328,441) 740,184 (5,405,568) (11,218,400) (1,738,927) --------------- ---------------------- ------------------- --------------- -------------------------- ----------------- 451,106 (3,328,441) 740,184 (5,405,568) (976,772) 24,582,861 --------------- ---------------------- ------------------- --------------- -------------------------- ----------------- 26,312,677 66,805,065 (115,833,611) 82,259,608 112,925,652 (312,125,621) --------------- ---------------------- ------------------- --------------- -------------------------- ----------------- 26,763,783 63,476,624 (115,093,427) 76,854,040 111,948,880 (287,542,760) --------------- ---------------------- ------------------- --------------- -------------------------- ----------------- $ 25,272,555 $ 62,419,164 $ (116,930,928) $ 82,662,386 $ 121,631,345 $ (280,332,173) =============== ====================== =================== =============== ========================== =================
The accompanying notes are an integral part of these financial statements. 25 METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE INSURANCE COMPANY STATEMENTS OF OPERATIONS -- (CONTINUED) FOR THE YEARS ENDED DECEMBER 31, 2010, 2009, AND 2008 MSF ARTIO INTERNATIONAL STOCK INVESTMENT DIVISION -------------------------------------------------------- 2010 2009 2008 -------------- ---------------------- ------------------ INVESTMENT INCOME: Dividends $ 672,423 $ 284,863 $ 1,797,231 -------------- ---------------------- ------------------ EXPENSES: Mortality and expense risk charges 360,189 333,983 477,710 -------------- ---------------------- ------------------ Total expenses 360,189 333,983 477,710 -------------- ---------------------- ------------------ Net investment income (loss) 312,234 (49,120) 1,319,521 -------------- ---------------------- ------------------ NET REALIZED AND CHANGE IN UNREALIZED GAINS (LOSSES) ON INVESTMENTS: Realized gain distributions -- -- 6,924,494 Realized gains (losses) on sale of investments (1,030,425) (2,053,375) (470,754) -------------- ---------------------- ------------------ Net realized gains (losses) (1,030,425) (2,053,375) 6,453,740 -------------- ---------------------- --- -------------- Change in unrealized gains (losses) on investments 3,370,719 10,298,349 (39,671,178) -------------- ---------------------- ------------------ Net realized and change in unrealized gains (losses) on investments 2,340,294 8,244,974 (33,217,438) -------------- ---------------------- ------------------ Net increase (decrease) in net assets resulting from operations $ 2,652,528 $ 8,195,854 $ (31,897,917) ============== ====================== ==================
(a) For the period April 28, 2008 to December 31, 2008. (b) Commenced on April 28, 2008 and began transactions in 2009. (c) For the period May 3, 2010 to December 31, 2010. (d) For the period May 4, 2009 to December 31, 2009. (e) Commenced on May 1, 2005 and began transactions in 2009. (f) Commenced on November 10, 2008 and began transactions in 2010. (g) Commenced on November 10, 2008 and began transactions in 2009. The accompanying notes are an integral part of these financial statements. 26 MSF T. ROWE PRICE SMALL CAP GROWTH MSF OPPENHEIMER GLOBAL EQUITY INVESTMENT DIVISION INVESTMENT DIVISION --------------------------------------------------------- ----------------------------------------------------- 2010 2009 2008 2010 2009 2008 --------------- ---------------------- ------------------ ----------- ---------------------- ------------------ $ -- $ 200,547 $ -- $ 612,821 $ 852,361 $ 913,382 --------------- ---------------------- ------------------ ----------- ---------------------- ------------------ 769,902 477,748 578,209 297,201 258,416 333,397 --------------- ---------------------- ------------------ ----------- ---------------------- ------------------ 769,902 477,748 578,209 297,201 258,416 333,397 --------------- ---------------------- ------------------ ----------- ---------------------- ------------------ (769,902) (277,201) (578,209) 315,620 593,945 579,985 --------------- ---------------------- ------------------ ----------- ---------------------- ------------------ -- 1,576,442 14,302,639 -- -- 1,578,466 562,971 (1,108,337) (118,445) 362,727 (362,452) 228,413 --------------- ---------------------- ------------------ ----------- ---------------------- ------------------ 562,971 468,105 14,184,194 362,727 (362,452) 1,806,879 --------------- ---------------------- ------------------ ----------- ---------------------- ------------------ 22,601,563 19,138,611 (44,529,670) 5,192,068 11,124,292 (23,254,667) --------------- ---------------------- ------------------ ----------- ---------------------- ------------------ 23,164,534 19,606,716 (30,345,476) 5,554,795 10,761,840 (21,447,788) --------------- ---------------------- ------------------ ----------- ---------------------- ------------------ $ 22,394,632 $ 19,329,515 $ (30,923,685) $ 5,870,415 $ 11,355,785 $ (20,867,803) =============== ====================== ================== =========== ====================== ==================
The accompanying notes are an integral part of these financial statements. 27 METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE INSURANCE COMPANY STATEMENTS OF OPERATIONS -- (CONTINUED) FOR THE YEARS ENDED DECEMBER 31, 2010, 2009, AND 2008 MSF MFS VALUE INVESTMENT DIVISION ------------------------------------------------------ 2010 2009 2008 -------------- ---------------------- ---------------- INVESTMENT INCOME: Dividends $ 713,180 $ -- $ 994,357 -------------- ---------------------- ---------------- EXPENSES: Mortality and expense risk charges 457,584 360,654 433,021 -------------- ---------------------- ---------------- Total expenses 457,584 360,654 433,021 -------------- ---------------------- ---------------- Net investment income (loss) 255,596 (360,654) 561,336 -------------- ---------------------- ---------------- NET REALIZED AND CHANGE IN UNREALIZED GAINS (LOSSES) ON INVESTMENTS: Realized gain distributions -- -- 11,141,028 Realized gains (losses) on sale of investments (425,864) (877,734) (6,522,665) -------------- ---------------------- ---------------- Net realized gains (losses) (425,864) (877,734) 4,618,363 -------------- ---------------------- ---------------- Change in unrealized gains (losses) on investments 5,358,513 9,493,542 (26,124,726) -------------- ---------------------- ---------------- Net realized and change in unrealized gains (losses) on investments 4,932,649 8,615,808 (21,506,363) -------------- ---------------------- ---------------- Net increase (decrease) in net assets resulting from operations $ 5,188,245 $ 8,255,154 $ (20,945,027) ============== ====================== ================
(a) For the period April 28, 2008 to December 31, 2008. (b) Commenced on April 28, 2008 and began transactions in 2009. (c) For the period May 3, 2010 to December 31, 2010. (d) For the period May 4, 2009 to December 31, 2009. (e) Commenced on May 1, 2005 and began transactions in 2009. (f) Commenced on November 10, 2008 and began transactions in 2010. (g) Commenced on November 10, 2008 and began transactions in 2009. The accompanying notes are an integral part of these financial statements. 28 MSF NEUBERGER BERMAN MID CAP VALUE MSF T. ROWE PRICE LARGE CAP GROWTH INVESTMENT DIVISION INVESTMENT DIVISION --------------------------------------------------------- -------------------------------------------------------- 2010 2009 2008 2010 2009 2008 --------------- ---------------------- ------------------ -------------- ---------------------- ------------------ $ 569,862 $ 813,259 $ 575,882 $ 113,187 $ 224,945 $ 256,837 --------------- ---------------------- ------------------ -------------- ---------------------- ------------------ 570,197 440,022 576,904 373,672 295,919 353,556 --------------- ---------------------- ------------------ -------------- ---------------------- ------------------ 570,197 440,022 576,904 373,672 295,919 353,556 --------------- ---------------------- ------------------ -------------- ---------------------- ------------------ (335) 373,237 (1,022) (260,485) (70,974) (96,719) --------------- ---------------------- ------------------ -------------- ---------------------- ------------------ -- 16,184 827,106 -- -- 2,456,006 12,235 (1,401,599) (361,462) 253,453 (485,740) 109,779 --------------- ---------------------- ------------------ -------------- ---------------------- ------------------ 12,235 (1,385,415) 465,644 253,453 (485,740) 2,565,785 --------------- ---------------------- ------------------ -------------- ---------------------- ------------------ 15,949,723 21,838,137 (39,787,375) 6,370,252 13,392,122 (24,832,884) --------------- ---------------------- ------------------ -------------- ---------------------- ------------------ 15,961,958 20,452,722 (39,321,731) 6,623,705 12,906,382 (22,267,099) --------------- ---------------------- ------------------ -------------- ---------------------- ------------------ $ 15,961,623 $ 20,825,959 $ (39,322,753) $ 6,363,220 $ 12,835,408 $ (22,363,818) =============== ====================== ================== ============== ====================== ==================
The accompanying notes are an integral part of these financial statements. 29 METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE INSURANCE COMPANY STATEMENTS OF OPERATIONS -- (CONTINUED) FOR THE YEARS ENDED DECEMBER 31, 2010, 2009, AND 2008 MSF BARCLAYS CAPITAL AGGREGATE BOND INDEX INVESTMENT DIVISION --------------------------------------------------- 2010 2009 2008 ----------- ---------------------- ---------------- INVESTMENT INCOME: Dividends $ 4,039,520 $ 5,910,030 $ 4,492,337 ----------- ---------------------- ---------------- EXPENSES: Mortality and expense risk charges 904,600 732,517 746,783 ----------- ---------------------- ---------------- Total expenses 904,600 732,517 746,783 ----------- ---------------------- ---------------- Net investment income (loss) 3,134,920 5,177,513 3,745,554 ----------- ---------------------- ---------------- NET REALIZED AND CHANGE IN UNREALIZED GAINS (LOSSES) ON INVESTMENTS: Realized gain distributions -- -- -- Realized gains (losses) on sale of investments 613,564 195,723 578,961 ----------- ---------------------- ---------------- Net realized gains (losses) 613,564 195,723 578,961 ----------- ---------------------- ---------------- Change in unrealized gains (losses) on investments 1,607,603 (1,139,158) 873,489 ----------- ---------------------- ---------------- Net realized and change in unrealized gains (losses) on investments 2,221,167 (943,435) 1,452,450 ----------- ---------------------- ---------------- Net increase (decrease) in net assets resulting from operations $ 5,356,087 $ 4,234,078 $ 5,198,004 =========== ====================== ================
(a) For the period April 28, 2008 to December 31, 2008. (b) Commenced on April 28, 2008 and began transactions in 2009. (c) For the period May 3, 2010 to December 31, 2010. (d) For the period May 4, 2009 to December 31, 2009. (e) Commenced on May 1, 2005 and began transactions in 2009. (f) Commenced on November 10, 2008 and began transactions in 2010. (g) Commenced on November 10, 2008 and began transactions in 2009. The accompanying notes are an integral part of these financial statements. 30 MSF MORGAN STANLEY EAFE INDEX MSF RUSSELL 2000 INDEX INVESTMENT DIVISION INVESTMENT DIVISION -------------------------------------------------------- ---------------------------------------------------------- 2010 2009 2008 2010 2009 2008 -------------- ---------------------- ------------------ --------------- ------------------------- ---------------- $ 1,568,147 $ 2,127,820 $ 1,719,052 $ 547,888 $ 812,284 $ 619,536 -------------- ---------------------- ------------------ --------------- ------------------------- ---------------- 524,541 418,461 488,801 378,183 318,144 395,877 -------------- ---------------------- ------------------ --------------- ------------------------- ---------------- 524,541 418,461 488,801 378,183 318,144 395,877 -------------- ---------------------- ------------------ --------------- ------------------------- ---------------- 1,043,606 1,709,359 1,230,251 169,705 494,140 223,659 -------------- ---------------------- ------------------ --------------- ------------------------- ---------------- -- 345,458 2,375,115 -- 1,106,089 2,430,488 (236,046) (800,654) 523,799 (66,857) (1,035,970) (448,303) -------------- ---------------------- ------------------ --------------- ------------------------- ---------------- (236,046) (455,196) 2,898,914 (66,857) 70,119 1,982,185 -------------- ---------------------- ------------------ --------------- ------------------------- ---------------- 3,674,685 11,844,795 (35,342,222) 11,828,973 9,093,620 (21,357,274) -------------- ---------------------- ------------------ --------------- ------------------------- ---------------- 3,438,639 11,389,599 (32,443,308) 11,762,116 9,163,739 (19,375,089) -------------- ---------------------- ------------------ --------------- ------------------------- ---------------- $ 4,482,245 $ 13,098,958 $ (31,213,057) $ 11,931,821 $ 9,657,879 $ (19,151,430) ============== ====================== ================== =============== ========================= ================
The accompanying notes are an integral part of these financial statements. 31 METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE INSURANCE COMPANY STATEMENTS OF OPERATIONS -- (CONTINUED) FOR THE YEARS ENDED DECEMBER 31, 2010, 2009, AND 2008 MSF JENNISON GROWTH INVESTMENT DIVISION -------------- ---------------------- --------------- 2010 2009 2008 -------------- ---------------------- --------------- INVESTMENT INCOME: Dividends $ 82,750 $ 21,249 $ 321,658 -------------- ---------------------- --------------- EXPENSES: Mortality and expense risk charges 116,354 96,459 112,222 -------------- ---------------------- --------------- Total expenses 116,354 96,459 112,222 -------------- ---------------------- --------------- Net investment income (loss) (33,604) (75,210) 209,436 -------------- ---------------------- --------------- NET REALIZED AND CHANGE IN UNREALIZED GAINS (LOSSES) ON INVESTMENTS: Realized gain distributions -- -- 1,109,205 Realized gains (losses) on sale of investments 17,747 (140,559) (8,418) -------------- ---------------------- --------------- Net realized gains (losses) 17,747 (140,559) 1,100,787 -------------- ---------------------- --------------- Change in unrealized gains (losses) on investments 1,535,759 4,015,386 (7,064,823) -------------- ---------------------- --------------- Net realized and change in unrealized gains (losses) on investments 1,553,506 3,874,827 (5,964,036) -------------- ---------------------- --------------- Net increase (decrease) in net assets resulting from operations $ 1,519,902 $ 3,799,617 $ (5,754,600) ============== ====================== ===============
(a) For the period April 28, 2008 to December 31, 2008. (b) Commenced on April 28, 2008 and began transactions in 2009. (c) For the period May 3, 2010 to December 31, 2010. (d) For the period May 4, 2009 to December 31, 2009. (e) Commenced on May 1, 2005 and began transactions in 2009. (f) Commenced on November 10, 2008 and began transactions in 2010. (g) Commenced on November 10, 2008 and began transactions in 2009. The accompanying notes are an integral part of these financial statements. 32 MSF NEUBERGER BERMAN GENESIS MSF METLIFE MID CAP STOCK INDEX INVESTMENT DIVISION INVESTMENT DIVISION --------------------------------------------------------- ------------------------------------------------------ 2010 2009 2008 2010 2009 2008 --------------- ---------------------- ------------------ ------------ ---------------------- ------------------ $ 353,007 $ 663,127 $ 450,385 $ 562,548 $ 810,735 $ 771,366 --------------- ---------------------- ------------------ ------------ ---------------------- ------------------ 628,387 512,489 713,800 473,626 374,527 446,840 --------------- ---------------------- ------------------ ------------ ---------------------- ------------------ 628,387 512,489 713,800 473,626 374,527 446,840 --------------- ---------------------- ------------------ ------------ ---------------------- ------------------ (275,380) 150,638 (263,415) 88,922 436,208 324,526 --------------- ---------------------- ------------------ ------------ ---------------------- ------------------ -- -- 8,172,204 70,909 1,783,617 5,083,631 (2,085,738) (2,703,187) (2,015,489) 177,461 (1,475,288) (306,285) --------------- ---------------------- ------------------ ------------ ---------------------- ------------------ (2,085,738) (2,703,187) 6,156,715 248,370 308,329 4,777,346 --------------- ---------------------- --- -------------- ------------ ---------------------- --- -------------- 15,927,942 10,045,644 (44,228,185) 12,893,844 13,600,526 (28,232,883) --------------- ---------------------- --- -------------- ------------ ---------------------- --- -------------- 13,842,204 7,342,457 (38,071,470) 13,142,214 13,908,855 (23,455,537) --------------- ---------------------- --- -------------- ------------ ---------------------- --- -------------- $ 13,566,824 $ 7,493,095 $ (38,334,885) $ 13,231,136 $ 14,345,063 $ (23,131,011) =============== ====================== ================== ============ ====================== ==================
The accompanying notes are an integral part of these financial statements. 33 METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE INSURANCE COMPANY STATEMENTS OF OPERATIONS -- (CONTINUED) FOR THE YEARS ENDED DECEMBER 31, 2010, 2009, AND 2008 MSF LOOMIS SAYLES SMALL CAP GROWTH INVESTMENT DIVISION ------------------------------------------------------- 2010 2009 2008 -------------- ---------------------- ----------------- INVESTMENT INCOME: Dividends $ -- $ -- $ -- -------------- ---------------------- ----------------- EXPENSES: Mortality and expense risk charges 51,755 39,304 48,690 -------------- ---------------------- ----------------- Total expenses 51,755 39,304 48,690 -------------- ---------------------- ----------------- Net investment income (loss) (51,755) (39,304) (48,690) -------------- ---------------------- ----------------- NET REALIZED AND CHANGE IN UNREALIZED GAINS (LOSSES) ON INVESTMENTS: Realized gain distributions -- -- 589,617 Realized gains (losses) on sale of investments (47,680) (219,528) (127,526) -------------- ---------------------- ----------------- Net realized gains (losses) (47,680) (219,528) 462,091 -------------- ---------------------- ----------------- Change in unrealized gains (losses) on investments 1,843,398 1,519,136 (3,371,627) -------------- ---------------------- ----------------- Net realized and change in unrealized gains (losses) on investments 1,795,718 1,299,608 (2,909,536) -------------- ---------------------- ----------------- Net increase (decrease) in net assets resulting from operations $ 1,743,963 $ 1,260,304 $ (2,958,226) ============== ====================== =================
(a) For the period April 28, 2008 to December 31, 2008. (b) Commenced on April 28, 2008 and began transactions in 2009. (c) For the period May 3, 2010 to December 31, 2010. (d) For the period May 4, 2009 to December 31, 2009. (e) Commenced on May 1, 2005 and began transactions in 2009. (f) Commenced on November 10, 2008 and began transactions in 2010. (g) Commenced on November 10, 2008 and began transactions in 2009. The accompanying notes are an integral part of these financial statements. 34 MSF BLACKROCK LARGE CAP VALUE MSF DAVIS VENTURE VALUE INVESTMENT DIVISION INVESTMENT DIVISION ------------------------------------------------------- ------------------------------------------------------- 2010 2009 2008 2010 2009 2008 -------------- ---------------------- ----------------- ----------- -------------------------- ---------------- $ 122,314 $ 155,310 $ 93,435 $ 534,093 $ 679,120 $ 686,382 -------------- ---------------------- ----------------- ----------- -------------------------- ---------------- 95,279 81,859 96,194 444,758 366,383 433,758 -------------- ---------------------- ----------------- ----------- -------------------------- ---------------- 95,279 81,859 96,194 444,758 366,383 433,758 -------------- ---------------------- ----------------- ----------- -------------------------- ---------------- 27,035 73,451 (2,759) 89,335 312,737 252,624 -------------- ---------------------- ----------------- ----------- -------------------------- ---------------- -- -- 181,207 -- -- 285,719 (263,466) (513,587) (190,470) 191,969 (723,952) (1,167) -------------- ---------------------- ----------------- ----------- -------------------------- ---------------- (263,466) (513,587) (9,263) 191,969 (723,952) 284,552 -------------- ---------------------- ----------------- ----------- -------------------------- ---------------- 1,265,453 1,615,283 (4,899,187) 5,562,556 12,907,686 (24,908,606) -------------- ---------------------- ----------------- ----------- -------------------------- ---------------- 1,001,987 1,101,696 (4,908,450) 5,754,525 12,183,734 (24,624,054) -------------- ---------------------- ----------------- ----------- -------------------------- ---------------- $ 1,029,022 $ 1,175,147 $ (4,911,209) $ 5,843,860 $ 12,496,471 $ (24,371,430) ============== ====================== ================= =========== ========================== ================
The accompanying notes are an integral part of these financial statements. 35 METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE INSURANCE COMPANY STATEMENTS OF OPERATIONS -- (CONTINUED) FOR THE YEARS ENDED DECEMBER 31, 2010, 2009, AND 2008 MSF LOOMIS SAYLES SMALL CAP CORE INVESTMENT DIVISION ------------------------------------------------------- 2010 2009 2008 -------------- ---------------------- ----------------- INVESTMENT INCOME: Dividends $ 14,765 $ 34,048 $ -- -------------- ---------------------- ----------------- EXPENSES: Mortality and expense risk charges 127,370 100,553 116,679 -------------- ---------------------- ----------------- Total expenses 127,370 100,553 116,679 -------------- ---------------------- ----------------- Net investment income (loss) (112,605) (66,505) (116,679) -------------- ---------------------- ----------------- NET REALIZED AND CHANGE IN UNREALIZED GAINS (LOSSES) ON INVESTMENTS: Realized gain distributions -- -- 2,223,393 Realized gains (losses) on sale of investments (55,224) (439,969) (217,249) -------------- ---------------------- ----------------- Net realized gains (losses) (55,224) (439,969) 2,006,144 -------------- ---------------------- ----------------- Change in unrealized gains (losses) on investments 4,065,140 3,809,050 (7,889,493) -------------- ---------------------- ----------------- Net realized and change in unrealized gains (losses) on investments 4,009,916 3,369,081 (5,883,349) -------------- ---------------------- ----------------- Net increase (decrease) in net assets resulting from operations $ 3,897,311 $ 3,302,576 $ (6,000,028) ============== ====================== =================
(a) For the period April 28, 2008 to December 31, 2008. (b) Commenced on April 28, 2008 and began transactions in 2009. (c) For the period May 3, 2010 to December 31, 2010. (d) For the period May 4, 2009 to December 31, 2009. (e) Commenced on May 1, 2005 and began transactions in 2009. (f) Commenced on November 10, 2008 and began transactions in 2010. (g) Commenced on November 10, 2008 and began transactions in 2009. The accompanying notes are an integral part of these financial statements. 36 MSF BLACKROCK LEGACY LARGE CAP GROWTH MSF BLACKROCK BOND INCOME INVESTMENT DIVISION INVESTMENT DIVISION ------------------------------------------------------- ---------------------------------------------------- 2010 2009 2008 2010 2009 2008 -------------- ---------------------- ----------------- ----------- ---------------------- ----------------- $ 14,175 $ 29,634 $ 18,838 $ 3,345,493 $ 5,731,533 $ 4,557,033 -------------- ---------------------- ----------------- ----------- ---------------------- ----------------- 52,945 35,213 37,105 675,543 651,039 710,910 -------------- ---------------------- ----------------- ----------- ---------------------- ----------------- 52,945 35,213 37,105 675,543 651,039 710,910 -------------- ---------------------- ----------------- ----------- ---------------------- ----------------- (38,770) (5,579) (18,267) 2,669,950 5,080,494 3,846,123 -------------- ---------------------- ----------------- ----------- ---------------------- ----------------- -- -- -- -- -- -- 75,641 (146,284) (120,478) 24,746 (553,787) (261,951) -------------- ---------------------- ----------------- ----------- ---------------------- ----------------- 75,641 (146,284) (120,478) 24,746 (553,787) (261,951) -------------- ---------------------- ----------------- ----------- ---------------------- ----------------- 1,107,022 1,684,656 (1,924,420) 3,372,816 2,142,811 (7,357,146) -------------- ---------------------- ----------------- ----------- ---------------------- ----------------- 1,182,663 1,538,372 (2,044,898) 3,397,562 1,589,024 (7,619,097) -------------- ---------------------- ----------------- ----------- ---------------------- ----------------- $ 1,143,893 $ 1,532,793 $ (2,063,165) $ 6,067,512 $ 6,669,518 $ (3,772,974) ============== ====================== ================= =========== ====================== =================
The accompanying notes are an integral part of these financial statements. 37 METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE INSURANCE COMPANY STATEMENTS OF OPERATIONS -- (CONTINUED) FOR THE YEARS ENDED DECEMBER 31, 2010, 2009, AND 2008 MSF FI VALUE LEADERS INVESTMENT DIVISION ---------------------------------------------------- 2010 2009 2008 ------------ ----------------------- --------------- INVESTMENT INCOME: Dividends $ 90,469 $ 128,519 $ 109,493 ------------ ----------------------- --------------- EXPENSES: Mortality and expense risk charges 48,155 38,405 47,319 ------------ ----------------------- --------------- Total expenses 48,155 38,405 47,319 ------------ ----------------------- --------------- Net investment income (loss) 42,314 90,114 62,174 ------------ ----------------------- --------------- NET REALIZED AND CHANGE IN UNREALIZED GAINS (LOSSES) ON INVESTMENTS: Realized gain distributions -- -- 594,849 Realized gains (losses) on sale of investments (145,291) (259,906) (183,807) ------------ ----------------------- --------------- Net realized gains (losses) (145,291) (259,906) 411,042 ------------ ----------------------- --------------- Change in unrealized gains (losses) on investments 885,079 1,128,894 (3,184,937) ------------ ----------------------- --------------- Net realized and change in unrealized gains (losses) on investments 739,788 868,988 (2,773,895) ------------ ----------------------- --------------- Net increase (decrease) in net assets resulting from operations $ 782,102 $ 959,102 $ (2,711,721) ============ ======================= ===============
(a) For the period April 28, 2008 to December 31, 2008. (b) Commenced on April 28, 2008 and began transactions in 2009. (c) For the period May 3, 2010 to December 31, 2010. (d) For the period May 4, 2009 to December 31, 2009. (e) Commenced on May 1, 2005 and began transactions in 2009. (f) Commenced on November 10, 2008 and began transactions in 2010. (g) Commenced on November 10, 2008 and began transactions in 2009. The accompanying notes are an integral part of these financial statements. 38 MSF MET/ARTISAN MID CAP VALUE MSF WESTERN ASSET MANAGEMENT STRATEGIC BOND OPPORTUNITIES INVESTMENT DIVISION INVESTMENT DIVISION -------------------------------------------------------- ------------------------------------------------------------ 2010 2009 2008 2010 2009 2008 -------------- ---------------------- ------------------ ----------- ---------------------- ------------------------- $ 314,548 $ 390,395 $ 164,568 $ 1,333,421 $ 1,175,403 $ 717,999 -------------- ---------------------- ------------------ ----------- ---------------------- ------------------------- 362,293 295,816 374,696 182,131 148,016 147,435 -------------- ---------------------- ------------------ ----------- ---------------------- ------------------------- 362,293 295,816 374,696 182,131 148,016 147,435 -------------- ---------------------- ------------------ ----------- ---------------------- ------------------------- (47,745) 94,579 (210,128) 1,151,290 1,027,387 570,564 -------------- ---------------------- ------------------ ----------- ---------------------- ------------------------- -- -- 5,071,026 -- 518,778 105,934 (887,093) (2,074,439) (724,686) 71,403 (136,510) (211,377) -------------- ---------------------- ------------------ ----------- ---------------------- ------------------------- (887,093) (2,074,439) 4,346,340 71,403 382,268 (105,443) -------------- ---------------------- ------------------ ----------- ---------------------- ------------------------- 6,661,231 14,134,862 (29,274,257) 1,196,007 3,433,572 (3,452,504) -------------- ---------------------- ------------------ ----------- ---------------------- ------------------------- 5,774,138 12,060,423 (24,927,917) 1,267,410 3,815,840 (3,557,947) -------------- ---------------------- ------------------ ----------- ---------------------- ------------------------- $ 5,726,393 $ 12,155,002 $ (25,138,045) $ 2,418,700 $ 4,843,227 $ (2,987,383) ============== ====================== ================== =========== ====================== =========================
The accompanying notes are an integral part of these financial statements. 39 METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE INSURANCE COMPANY STATEMENTS OF OPERATIONS -- (CONTINUED) FOR THE YEARS ENDED DECEMBER 31, 2010, 2009, AND 2008 MSF WESTERN ASSET MANAGEMENT U.S. GOVERNMENT INVESTMENT DIVISION ----------------------------------------------- 2010 2009 2008 --------- ---------------------- -------------- INVESTMENT INCOME: Dividends $ 448,826 $ 714,343 $ 678,587 --------- ---------------------- -------------- EXPENSES: Mortality and expense risk charges 134,214 131,035 132,608 --------- ---------------------- -------------- Total expenses 134,214 131,035 132,608 --------- ---------------------- -------------- Net investment income (loss) 314,612 583,308 545,979 --------- ---------------------- -------------- NET REALIZED AND CHANGE IN UNREALIZED GAINS (LOSSES) ON INVESTMENTS: Realized gain distributions 47,316 -- -- Realized gains (losses) on sale of investments 1,727 (89,029) (26,281) --------- ---------------------- -------------- Net realized gains (losses) 49,043 (89,029) (26,281) --------- ---------------------- -------------- Change in unrealized gains (losses) on investments 435,726 44,105 (712,221) --------- ---------------------- -------------- Net realized and change in unrealized gains (losses) on investments 484,769 (44,924) (738,502) --------- ---------------------- -------------- Net increase (decrease) in net assets resulting from operations $ 799,381 $ 538,384 $ (192,523) ========= ====================== ==============
(a) For the period April 28, 2008 to December 31, 2008. (b) Commenced on April 28, 2008 and began transactions in 2009. (c) For the period May 3, 2010 to December 31, 2010. (d) For the period May 4, 2009 to December 31, 2009. (e) Commenced on May 1, 2005 and began transactions in 2009. (f) Commenced on November 10, 2008 and began transactions in 2010. (g) Commenced on November 10, 2008 and began transactions in 2009. The accompanying notes are an integral part of these financial statements. 40 MSF BLACKROCK MONEY MARKET MSF MFS TOTAL RETURN INVESTMENT DIVISION INVESTMENT DIVISION -------------------------------------------------- ---------------------------------------------------- 2010 2009 2008 2010 2009 2008 ------------- ---------------------- ------------- ------------ ----------------------- --------------- $ 3,600 $ 269,650 $ 1,783,326 $ 217,114 $ 230,711 $ 192,751 ------------- ---------------------- ------------- ------------ ----------------------- --------------- 304,506 280,999 287,148 86,631 51,498 44,824 ------------- ---------------------- ------------- ------------ ----------------------- --------------- 304,506 280,999 287,148 86,631 51,498 44,824 ------------- ---------------------- ------------- ------------ ----------------------- --------------- (300,906) (11,349) 1,496,178 130,483 179,213 147,927 ------------- ---------------------- ------------- ------------ ----------------------- --------------- -- -- -- -- -- 418,385 -- -- -- (99,947) (173,243) (118,819) ------------- ---------------------- ------------- ------------ ----------------------- --------------- -- -- -- (99,947) (173,243) 299,566 ------------- ---------------------- --- --------- ------------ ----------------------- --------------- -- -- -- 568,242 937,515 (1,824,737) ------------- ---------------------- --- --------- ------------ ----------------------- --------------- -- -- -- 468,295 764,272 (1,525,171) ------------- ---------------------- --- --------- ------------ ----------------------- --------------- $ (300,906) $ (11,349) $ 1,496,178 $ 598,778 $ 943,485 $ (1,377,244) ============= ====================== ============= ============ ======================= ===============
The accompanying notes are an integral part of these financial statements. 41 METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE INSURANCE COMPANY STATEMENTS OF OPERATIONS -- (CONTINUED) FOR THE YEARS ENDED DECEMBER 31, 2010, 2009, AND 2008 MSF METLIFE CONSERVATIVE ALLOCATION INVESTMENT DIVISION ------------------------------------------------ 2010 2009 2008 --------- ---------------------- --------------- INVESTMENT INCOME: Dividends $ 102,209 $ 56,682 $ 27,593 --------- ---------------------- --------------- EXPENSES: Mortality and expense risk charges 21,942 14,419 17,503 --------- ---------------------- --------------- Total expenses 21,942 14,419 17,503 --------- ---------------------- --------------- Net investment income (loss) 80,267 42,263 10,090 --------- ---------------------- --------------- NET REALIZED AND CHANGE IN UNREALIZED GAINS (LOSSES) ON INVESTMENTS: Realized gain distributions -- 10,668 19,805 Realized gains (losses) on sale of investments 46,459 (4,941) (164,759) --------- ---------------------- --------------- Net realized gains (losses) 46,459 5,727 (144,954) --------- ---------------------- --------------- Change in unrealized gains (losses) on investments 119,161 276,504 (182,260) --------- ---------------------- --------------- Net realized and change in unrealized gains (losses) on investments 165,620 282,231 (327,214) --------- ---------------------- --------------- Net increase (decrease) in net assets resulting from operations $ 245,887 $ 324,494 $ (317,124) ========= ====================== ===============
(a) For the period April 28, 2008 to December 31, 2008. (b) Commenced on April 28, 2008 and began transactions in 2009. (c) For the period May 3, 2010 to December 31, 2010. (d) For the period May 4, 2009 to December 31, 2009. (e) Commenced on May 1, 2005 and began transactions in 2009. (f) Commenced on November 10, 2008 and began transactions in 2010. (g) Commenced on November 10, 2008 and began transactions in 2009. The accompanying notes are an integral part of these financial statements. 42 MSF METLIFE CONSERVATIVE TO MODERATE ALLOCATION MSF METLIFE MODERATE ALLOCATION INVESTMENT DIVISION INVESTMENT DIVISION -------------------------------------------------- ---------------------------------------------------- 2010 2009 2008 2010 2009 2008 --------- ---------------------- ----------------- ----------- ---------------------- ----------------- $ 193,442 $ 133,159 $ 46,035 $ 877,469 $ 699,782 $ 202,771 --------- ---------------------- ----------------- ----------- ---------------------- ----------------- 46,556 35,274 30,609 264,549 193,170 165,213 --------- ---------------------- ----------------- ----------- ---------------------- ----------------- 46,556 35,274 30,609 264,549 193,170 165,213 --------- ---------------------- ----------------- ----------- ---------------------- ----------------- 146,886 97,885 15,426 612,920 506,612 37,558 --------- ---------------------- ----------------- ----------- ---------------------- ----------------- -- 27,807 39,596 -- 337,203 246,852 32,319 (95,953) (49,375) 17,779 (340,090) (436,886) --------- ---------------------- ----------------- ----------- ---------------------- ----------------- 32,319 (68,146) (9,779) 17,779 (2,887) (190,034) --------- ---------------------- ----------------- ----------- ---------------------- ----------------- 421,073 828,280 (847,823) 3,378,733 5,007,760 (6,087,839) --------- ---------------------- ----------------- ----------- ---------------------- ----------------- 453,392 760,134 (857,602) 3,396,512 5,004,873 (6,277,873) --------- ---------------------- ----------------- ----------- ---------------------- ----------------- $ 600,278 $ 858,019 $ (842,176) $ 4,009,432 $ 5,511,485 $ (6,240,315) ========= ====================== ================= =========== ====================== =================
The accompanying notes are an integral part of these financial statements. 43 METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE INSURANCE COMPANY STATEMENTS OF OPERATIONS -- (CONTINUED) FOR THE YEARS ENDED DECEMBER 31, 2010, 2009, AND 2008 MSF METLIFE MODERATE TO AGGRESSIVE ALLOCATION INVESTMENT DIVISION -------------- ---------------------- ---------------- 2010 2009 2008 -------------- ---------------------- ---------------- INVESTMENT INCOME: Dividends $ 1,283,219 $ 1,144,971 $ 302,200 -------------- ---------------------- ---------------- EXPENSES: Mortality and expense risk charges 486,295 365,479 318,359 -------------- ---------------------- ---------------- Total expenses 486,295 365,479 318,359 -------------- ---------------------- ---------------- Net investment income (loss) 796,924 779,492 (16,159) -------------- ---------------------- ---------------- NET REALIZED AND CHANGE IN UNREALIZED GAINS (LOSSES) ON INVESTMENTS: Realized gain distributions -- 560,846 559,864 Realized gains (losses) on sale of investments (102,509) (694,062) (384,363) -------------- ---------------------- ---------------- Net realized gains (losses) (102,509) (133,216) 175,501 -------------- ---------------------- ---------------- Change in unrealized gains (losses) on investments 7,116,457 10,602,923 (15,640,562) -------------- ---------------------- ---------------- Net realized and change in unrealized gains (losses) on investments 7,013,948 10,469,707 (15,465,061) -------------- ---------------------- ---------------- Net increase (decrease) in net assets resulting from operations $ 7,810,872 $ 11,249,199 $ (15,481,220) ============== ====================== ================
(a) For the period April 28, 2008 to December 31, 2008. (b) Commenced on April 28, 2008 and began transactions in 2009. (c) For the period May 3, 2010 to December 31, 2010. (d) For the period May 4, 2009 to December 31, 2009. (e) Commenced on May 1, 2005 and began transactions in 2009. (f) Commenced on November 10, 2008 and began transactions in 2010. (g) Commenced on November 10, 2008 and began transactions in 2009. The accompanying notes are an integral part of these financial statements. 44 MSF METLIFE AGGRESSIVE ALLOCATION JANUS ASPEN JANUS INVESTMENT DIVISION INVESTMENT DIVISION -------------- ---------------------- --- ------------- ------------ ---------------------- --------------- 2010 2009 2008 2010 2009 2008 -------------- ---------------------- ----------------- ------------ ---------------------- --------------- $ 132,688 $ 195,883 $ 61,269 $ 73,809 $ 28,575 $ 45,216 -------------- ---------------------- ----------------- ------------ ---------------------- --------------- 96,768 72,698 71,617 226,951 22,889 28,896 -------------- ---------------------- ----------------- ------------ ---------------------- --------------- 96,768 72,698 71,617 226,951 22,889 28,896 -------------- ---------------------- ----------------- ------------ ---------------------- --------------- 35,920 123,185 (10,348) (153,142) 5,686 16,320 -------------- ---------------------- ----------------- ------------ ---------------------- --------------- -- 14,230 224,171 -- -- -- (132,924) (331,533) (133,321) 52,158 (31,201) 49,473 -------------- ---------------------- ----------------- ------------ ---------------------- --------------- (132,924) (317,303) 90,850 52,158 (31,201) 49,473 -------------- ---------------------- ----------------- ------------ ---------------------- --------------- 1,845,829 2,668,257 (4,222,544) 848,330 1,662,317 (3,051,413) -------------- ---------------------- ----------------- ------------ ---------------------- --------------- 1,712,905 2,350,954 (4,131,694) 900,488 1,631,116 (3,001,940) -------------- ---------------------- ----------------- ------------ ---------------------- --------------- $ 1,748,825 $ 2,474,139 $ (4,142,042) $ 747,346 $ 1,636,802 $ (2,985,620) ============== ====================== ================= ============ ====================== ===============
The accompanying notes are an integral part of these financial statements. 45 METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE INSURANCE COMPANY STATEMENTS OF OPERATIONS -- (CONTINUED) FOR THE YEARS ENDED DECEMBER 31, 2010, 2009, AND 2008 JANUS ASPEN BALANCED INVESTMENT DIVISION ------------------------------------------- 2010 2009 2008 --------- -------------------- ------------ INVESTMENT INCOME: Dividends $ 54,166 $ 14,836 $ 3,357 --------- -------------------- ------------ EXPENSES: Mortality and expense risk charges 23,474 1,929 361 --------- -------------------- ------------ Total expenses 23,474 1,929 361 --------- -------------------- ------------ Net investment income (loss) 30,692 12,907 2,996 --------- -------------------- ------------ NET REALIZED AND CHANGE IN UNREALIZED GAINS (LOSSES) ON INVESTMENTS: Realized gain distributions -- 18,519 2,380 Realized gains (losses) on sale of investments 26,581 655 1,314 --------- -------------------- ------------ Net realized gains (losses) 26,581 19,174 3,694 --------- -------------------- ------------ Change in unrealized gains (losses) on investments 90,252 93,262 (21,788) --------- -------------------- ------------ Net realized and change in unrealized gains (losses) on investments 116,833 112,436 (18,094) --------- -------------------- ------------ Net increase (decrease) in net assets resulting from operations $ 147,525 $ 125,343 $ (15,098) ========= ==================== ============
(a) For the period April 28, 2008 to December 31, 2008. (b) Commenced on April 28, 2008 and began transactions in 2009. (c) For the period May 3, 2010 to December 31, 2010. (d) For the period May 4, 2009 to December 31, 2009. (e) Commenced on May 1, 2005 and began transactions in 2009. (f) Commenced on November 10, 2008 and began transactions in 2010. (g) Commenced on November 10, 2008 and began transactions in 2009. The accompanying notes are an integral part of these financial statements. 46 JANUS ASPEN FORTY JANUS ASPEN OVERSEAS INVESTMENT DIVISION INVESTMENT DIVISION --------------------------------------------------- --------------------------------------------- 2010 2009 2008 2010 2009 2008 (a) -------------- ---------------------- ------------- ----------- -------------------- ------------ $ 2,433 $ 81 $ 53 $ 1,609 $ 413 $ -- -------------- ---------------------- ------------- ----------- -------------------- ------------ 16,448 2,129 2,353 817 355 44 -------------- ---------------------- ------------- ----------- -------------------- ------------ 16,448 2,129 2,353 817 355 44 -------------- ---------------------- ------------- ----------- -------------------- ------------ (14,015) (2,048) (2,300) 792 58 (44) -------------- ---------------------- ------------- ----------- -------------------- ------------ -- -- -- -- 3,372 -- 14,051 (78,622) (93,936) 4,218 23,192 (177) -------------- ---------------------- ------------- ----------- -------------------- ------------ 14,051 (78,622) (93,936) 4,218 26,564 (177) -------------- ---------------------- ------------- ----------- -------------------- ------------ 47,707 310,554 (295,412) 62,994 37,885 (18,504) -------------- ---------------------- ------------- ----------- -------------------- ------------ 61,758 231,932 (389,348) 67,212 64,449 (18,681) -------------- ---------------------- ------------- ----------- -------------------- ------------ $ 47,743 $ 229,884 $ (391,648) $ 68,004 $ 64,507 $ (18,725) ============== ====================== ============= =========== ==================== ============
The accompanying notes are an integral part of these financial statements. 47 METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE INSURANCE COMPANY STATEMENTS OF OPERATIONS -- (CONTINUED) FOR THE YEARS ENDED DECEMBER 31, 2010, 2009, AND 2008 INVESCO V.I. GLOBAL REAL ESTATE INVESTMENT DIVISION ------------ ---------------------------------------- 2010 2009 2008 ------------ ---------------------- ----------------- INVESTMENT INCOME: Dividends $ 71,976 $ -- $ 127,467 ------------ ---------------------- ----------------- EXPENSES: Mortality and expense risk charges 39,431 5,813 10,120 ------------ ---------------------- ----------------- Total expenses 39,431 5,813 10,120 ------------ ---------------------- ----------------- Net investment income (loss) 32,545 (5,813) 117,347 ------------ ---------------------- ----------------- NET REALIZED AND CHANGE IN UNREALIZED GAINS (LOSSES) ON INVESTMENTS: Realized gain distributions -- -- 197,001 Realized gains (losses) on sale of investments (130,047) (698,156) (258,510) ------------ ---------------------- ----------------- Net realized gains (losses) (130,047) (698,156) (61,509) ------------ ---------------------- ----------------- Change in unrealized gains (losses) on investments 289,353 1,038,943 (1,334,686) ------------ ---------------------- ----------------- Net realized and change in unrealized gains (losses) on investments 159,306 340,787 (1,396,195) ------------ ---------------------- ----------------- Net increase (decrease) in net assets resulting from operations $ 191,851 $ 334,974 $ (1,278,848) ============ ====================== =================
(a) For the period April 28, 2008 to December 31, 2008. (b) Commenced on April 28, 2008 and began transactions in 2009. (c) For the period May 3, 2010 to December 31, 2010. (d) For the period May 4, 2009 to December 31, 2009. (e) Commenced on May 1, 2005 and began transactions in 2009. (f) Commenced on November 10, 2008 and began transactions in 2010. (g) Commenced on November 10, 2008 and began transactions in 2009. The accompanying notes are an integral part of these financial statements. 48 INVESCO V.I. INTERNATIONAL GROWTH INVESCO V.I. GOVERNMENT INVESTMENT DIVISION INVESTMENT DIVISION ------------------------------------------ --------------------------------------------------- 2010 2009 (b) 2010 2009 2008 ----------- ------------------------------ ---------- -------------------------- ---------- $ 4,364 $ 242 $ 164 $ 3,817 $ 2,019 ----------- ------------------------------ ---------- -------------------------- ---------- 783 29 265 208 143 ----------- ------------------------------ ---------- -------------------------- ---------- 783 29 265 208 143 ----------- ------------------------------ ---------- -------------------------- ---------- 3,581 213 (101) 3,609 1,876 ----------- ------------------------------ ---------- -------------------------- ---------- -- -- -- -- -- 1,465 34 (188) (289) (1,270) ----------- ------------------------------ ---------- -------------------------- ---------- 1,465 34 (188) (289) (1,270) ----------- ------------------------------ ---------- -------------------------- ---------- 26,537 2,258 4,107 (2,868) (983) ----------- ------------------------------ ---------- -------------------------- ---------- 28,002 2,292 3,919 (3,157) (2,253) ----------- ------------------------------ ---------- -------------------------- ---------- $ 31,583 $ 2,505 $ 3,818 $ 452 $ (377) =========== ============================== ========== ========================== ===========
The accompanying notes are an integral part of these financial statements. 49 METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE INSURANCE COMPANY STATEMENTS OF OPERATIONS -- (CONTINUED) FOR THE YEARS ENDED DECEMBER 31, 2010, 2009, AND 2008 INVESCO V.I. VAN KAMPEN COMSTOCK FTVIPT TEMPLETON FOREIGN SECURITIES INVESTMENT DIVISION INVESTMENT DIVISION ---------------------- ------------ ---------------------- --------------- 2010 (c) 2010 2009 2008 ---------------------- ------------ ---------------------- --------------- INVESTMENT INCOME: Dividends $ -- $ 164,170 $ 239,754 $ 202,235 ---------------------- ------------ ---------------------- --------------- EXPENSES: Mortality and expense risk charges -- 239,041 28,000 35,755 ---------------------- ------------ ---------------------- --------------- Total expenses -- 239,041 28,000 35,755 ---------------------- ------------ ---------------------- --------------- Net investment income (loss) -- (74,871) 211,754 166,480 ---------------------- ------------ ---------------------- --------------- NET REALIZED AND CHANGE IN UNREALIZED GAINS (LOSSES) ON INVESTMENTS: Realized gain distributions -- -- 268,234 731,763 Realized gains (losses) on sale of investments 53 (50,450) (421,623) 3,883 ---------------------- ------------ ---------------------- --------------- Net realized gains (losses) 53 (50,450) (153,389) 735,646 ---------------------- ------------ ---------------------- --------------- Change in unrealized gains (losses) on investments 45 614,425 2,059,948 (4,855,241) ---------------------- ------------ ---------------------- --------------- Net realized and change in unrealized gains (losses) on investments 98 563,975 1,906,559 (4,119,595) ---------------------- ------------ ---------------------- --------------- Net increase (decrease) in net assets resulting from operations $ 98 $ 489,104 $ 2,118,313 $ (3,953,115) ====================== ============ ====================== ===============
(a) For the period April 28, 2008 to December 31, 2008. (b) Commenced on April 28, 2008 and began transactions in 2009. (c) For the period May 3, 2010 to December 31, 2010. (d) For the period May 4, 2009 to December 31, 2009. (e) Commenced on May 1, 2005 and began transactions in 2009. (f) Commenced on November 10, 2008 and began transactions in 2010. (g) Commenced on November 10, 2008 and began transactions in 2009. The accompanying notes are an integral part of these financial statements. 50 FTVIPT TEMPLETON FTVIPT MUTUAL GLOBAL DISCOVERY SECURITIES GLOBAL BOND SECURITIES INVESTMENT DIVISION INVESTMENT DIVISION ------------------------------------------------ --------------------------------- 2010 2009 2008 2010 2009 (d) ----------- ---------------------- ------------- ---------- ---------------------- $ 10,103 $ 7,899 $ 47,911 $ 60 $ -- ----------- ---------------------- ------------- ---------- ---------------------- 2,866 4,787 8,447 89 4 ----------- ---------------------- ------------- ---------- ---------------------- 2,866 4,787 8,447 89 4 ----------- ---------------------- ------------- ---------- ---------------------- 7,237 3,112 39,464 (29) (4) ----------- ---------------------- ------------- ---------- ---------------------- -- 18,638 89,758 10 -- (4,189) (456,806) (11,513) 4,591 5 ----------- ---------------------- ------------- ---------- ---------------------- (4,189) (438,168) 78,245 4,601 5 ----------- ---------------------- ------------- ---------- ---------------------- 81,592 609,659 (759,844) (171) 239 ----------- ---------------------- ------------- ---------- ---------------------- 77,403 171,491 (681,599) 4,430 244 ----------- ---------------------- ------------- ---------- ---------------------- $ 84,640 $ 174,603 $ (642,135) $ 4,401 $ 240 =========== ====================== ============= ========== ======================
The accompanying notes are an integral part of these financial statements. 51 METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE INSURANCE COMPANY STATEMENTS OF OPERATIONS -- (CONTINUED) FOR THE YEARS ENDED DECEMBER 31, 2010, 2009, AND 2008 ALLIANCEBERNSTEIN GLOBAL THEMATIC GROWTH INVESTMENT DIVISION -------------------------------------------------------- 2010 2009 2008 ---------- ---------------------- ---------------------- INVESTMENT INCOME: Dividends $ 1,486 $ -- $ -- ---------- ---------------------- ---------------------- EXPENSES: Mortality and expense risk charges 310 370 223 ---------- ---------------------- ---------------------- Total expenses 310 370 223 ---------- ---------------------- ---------------------- Net investment income (loss) 1,176 (370) (223) ---------- ---------------------- ---------------------- NET REALIZED AND CHANGE IN UNREALIZED GAINS (LOSSES) ON INVESTMENTS: Realized gain distributions -- -- -- Realized gains (losses) on sale of investments 8,379 (2,773) (414) ---------- ---------------------- ---------------------- Net realized gains (losses) 8,379 (2,773) (414) ---------- ---------------------- ---------------------- Change in unrealized gains (losses) on investments 1,480 45,397 (37,457) ---------- ---------------------- ---------------------- Net realized and change in unrealized gains (losses) on investments 9,859 42,624 (37,871) ---------- ---------------------- ---------------------- Net increase (decrease) in net assets resulting from operations $ 11,035 $ 42,254 $ (38,094) ========== ====================== ======================
(a) For the period April 28, 2008 to December 31, 2008. (b) Commenced on April 28, 2008 and began transactions in 2009. (c) For the period May 3, 2010 to December 31, 2010. (d) For the period May 4, 2009 to December 31, 2009. (e) Commenced on May 1, 2005 and began transactions in 2009. (f) Commenced on November 10, 2008 and began transactions in 2010. (g) Commenced on November 10, 2008 and began transactions in 2009. The accompanying notes are an integral part of these financial statements. 52 ALLIANCEBERNSTEIN ALLIANCEBERNSTEIN INTERMEDIATE BOND INTERNATIONAL VALUE FIDELITY VIP CONTRAFUND INVESTMENT DIVISION INVESTMENT DIVISION INVESTMENT DIVISION ---------------------------------------------------------- ------------------------------------------------------- 2010 2009 (e) 2010 (f) 2010 2009 2008 -------------- ----------------------- ------------------- ------------ -------------------------- --------------- $ 2,177 $ 763 $ 31 $ 27,427 $ 43,475 $ 24,698 -------------- ----------------------- ------------------- ------------ -------------------------- --------------- 139 71 2 17,497 12,639 11,393 -------------- ----------------------- ------------------- ------------ -------------------------- --------------- 139 71 2 17,497 12,639 11,393 -------------- ----------------------- ------------------- ------------ -------------------------- --------------- 2,038 692 29 9,930 30,836 13,305 -------------- ----------------------- ------------------- ------------ -------------------------- --------------- -- -- -- 1,114 957 76,672 2,172 716 1 (218,742) (199,492) (319,330) -------------- ----------------------- ------------------- ------------ -------------------------- --------------- 2,172 716 1 (217,628) (198,535) (242,658) -------------- ----------------------- ------------------- ------------ -------------------------- --------------- (1,393) 2,187 88 648,547 1,136,586 (1,292,698) -------------- ----------------------- ------------------- ------------ -------------------------- --------------- 779 2,903 89 430,919 938,051 (1,535,356) -------------- ----------------------- ------------------- ------------ -------------------------- --------------- $ 2,817 $ 3,595 $ 118 $ 440,849 $ 968,887 $ (1,522,051) ============== ======================= =================== ============ ========================== ===============
The accompanying notes are an integral part of these financial statements. 53 METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE INSURANCE COMPANY STATEMENTS OF OPERATIONS -- (CONTINUED) FOR THE YEARS ENDED DECEMBER 31, 2010, 2009, AND 2008 FIDELITY VIP ASSET MANAGER: GROWTH INVESTMENT DIVISION ------------------------------------------------ 2010 2009 2008 --------- ---------------------- ----------- INVESTMENT INCOME: Dividends $ 19,264 $ 22,283 $ 22,937 --------- ---------------------- --------------- EXPENSES: Mortality and expense risk charges 11,265 6,417 5,926 --------- ---------------------- --------------- Total expenses 11,265 6,417 5,926 --------- ---------------------- --------------- Net investment income (loss) 7,999 15,866 17,011 --------- ---------------------- --------------- NET REALIZED AND CHANGE IN UNREALIZED GAINS (LOSSES) ON INVESTMENTS: Realized gain distributions 5,857 3,095 910 Realized gains (losses) on sale of investments 31,417 (19,280) 8,025 --------- ---------------------- --------------- Net realized gains (losses) 37,274 (16,185) 8,935 --------- ---------------------- --------------- Change in unrealized gains (losses) on investments 201,872 427,179 (532,156) --------- ---------------------- --------------- Net realized and change in unrealized gains (losses) on investments 239,146 410,994 (523,221) --------- ---------------------- --------------- Net increase (decrease) in net assets resulting from operations $ 247,145 $ 426,860 $ (506,210) ========= ====================== ===============
(a) For the period April 28, 2008 to December 31, 2008. (b) Commenced on April 28, 2008 and began transactions in 2009. (c) For the period May 3, 2010 to December 31, 2010. (d) For the period May 4, 2009 to December 31, 2009. (e) Commenced on May 1, 2005 and began transactions in 2009. (f) Commenced on November 10, 2008 and began transactions in 2010. (g) Commenced on November 10, 2008 and began transactions in 2009. The accompanying notes are an integral part of these financial statements. 54 FIDELITY VIP INVESTMENT GRADE BOND FIDELITY VIP EQUITY-INCOME INVESTMENT DIVISION INVESTMENT DIVISION -------------------------------------------------------- ------------------------------------------------------- 2010 2009 2008 2010 2009 2008 -------------- ---------------------- ------------------ ----------- ----------------------------- ------------- $ 18,206 $ 10,680 $ 2,038 $ 3,327 $ 4,739 $ 20,119 -------------- ---------------------- ------------------ ----------- ----------------------------- ------------- 4,314 369 535 838 1,051 3,772 -------------- ---------------------- ------------------ ----------- ----------------------------- ------------- 4,314 369 535 838 1,051 3,772 -------------- ---------------------- ------------------ ----------- ----------------------------- ------------- 13,892 10,311 1,503 2,489 3,688 16,347 -------------- ---------------------- ------------------ ----------- ----------------------------- ------------- 5,814 654 40 -- -- 931 17,651 3,233 13,627 (5,418) (392,905) (282,918) -------------- ---------------------- ------------------ ----------- ----------------------------- ------------- 23,465 3,887 13,667 (5,418) (392,905) (281,987) -------------- ---------------------- ------------------ ----------- ----------------------------- ------------- (13,312) (1,678) (8,842) 31,745 405,695 (292,885) -------------- ---------------------- ------------------ ----------- ----------------------------- ------------- 10,153 2,209 4,825 26,327 12,790 (574,872) -------------- ---------------------- ------------------ ----------- ----------------------------- ------------- $ 24,045 $ 12,520 $ 6,328 $ 28,816 $ 16,478 $ (558,525) ============== ====================== ================== =========== ============================= =============
The accompanying notes are an integral part of these financial statements. 55 METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE INSURANCE COMPANY STATEMENTS OF OPERATIONS -- (CONTINUED) FOR THE YEARS ENDED DECEMBER 31, 2010, 2009, AND 2008 FIDELITY VIP HIGH INCOME INVESTMENT DIVISION ------------------------------------ 2010 2009 (b) ------------ ----------------------- INVESTMENT INCOME: Dividends $ 340 $ 2,882 ------------ ----------------------- EXPENSES: Mortality and expense risk charges 30 33 ------------ ----------------------- Total expenses 30 33 ------------ ----------------------- Net investment income (loss) 310 2,849 ------------ ----------------------- NET REALIZED AND CHANGE IN UNREALIZED GAINS (LOSSES) ON INVESTMENTS: Realized gain distributions -- -- Realized gains (losses) on sale of investments (227) 11 ------------ ----------------------- Net realized gains (losses) (227) 11 ------------ ----------------------- Change in unrealized gains (losses) on investments 801 (647) ------------ ----------------------- Net realized and change in unrealized gains (losses) on investments 574 (636) ------------ ----------------------- Net increase (decrease) in net assets resulting from operations $ 884 $ 2,213 ============ =======================
(a) For the period April 28, 2008 to December 31, 2008. (b) Commenced on April 28, 2008 and began transactions in 2009. (c) For the period May 3, 2010 to December 31, 2010. (d) For the period May 4, 2009 to December 31, 2009. (e) Commenced on May 1, 2005 and began transactions in 2009. (f) Commenced on November 10, 2008 and began transactions in 2010. (g) Commenced on November 10, 2008 and began transactions in 2009. The accompanying notes are an integral part of these financial statements. 56 FIDELITY VIP MID CAP FIDELITY VIP FREEDOM 2010 INVESTMENT DIVISION INVESTMENT DIVISION -------------------------------------------------- ---------------------------------------------------- 2010 2009 2008 (a) 2010 2009 2008 (a) -------------- ---------------------- ----------- ----------- --------------------------- ------------ $ 502 $ 119 $ 49 $ 654 $ 529 $ 828 -------------- ---------------------- ----------- ----------- --------------------------- ------------ 5,209 142 35 109 72 26 -------------- ---------------------- ----------- ----------- --------------------------- ------------ 5,209 142 35 109 72 26 -------------- ---------------------- ----------- ----------- --------------------------- ------------ (4,707) (23) 14 545 457 802 -------------- ---------------------- ----------- ----------- --------------------------- ------------ 1,027 129 -- 470 190 721 2,077 613 (70) 67 (1,846) (176) -------------- ---------------------- ----------- ----------- --------------------------- ------------ 3,104 742 (70) 537 (1,656) 545 -------------- ---------------------- ----------- ----------- --------------------------- ------------ 83,723 13,131 (10,714) 2,036 3,793 (2,956) -------------- ---------------------- ----------- ----------- --------------------------- ------------ 86,827 13,873 (10,784) 2,573 2,137 (2,411) -------------- ---------------------- ----------- ----------- --------------------------- ------------ $ 82,120 $ 13,850 $ (10,770) $ 3,118 $ 2,594 $ (1,609) ============== ====================== =========== =========== =========================== ============
The accompanying notes are an integral part of these financial statements. 57 METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE INSURANCE COMPANY STATEMENTS OF OPERATIONS -- (CONTINUED) FOR THE YEARS ENDED DECEMBER 31, 2010, 2009, AND 2008 FIDELITY VIP FREEDOM 2020 INVESTMENT DIVISION ---------------------------------------------------- 2010 2009 2008 (a) ----------- ---------------------------- ----------- INVESTMENT INCOME: Dividends $ 15,231 $ 19,275 $ 1,266 ----------- ---------------------------- ----------- EXPENSES: Mortality and expense risk charges 2,551 2,094 49 ----------- ---------------------------- ----------- Total expenses 2,551 2,094 49 ----------- ---------------------------- ----------- Net investment income (loss) 12,680 17,181 1,217 ----------- ---------------------------- ----------- NET REALIZED AND CHANGE IN UNREALIZED GAINS (LOSSES) ON INVESTMENTS: Realized gain distributions 5,440 10,109 1,384 Realized gains (losses) on sale of investments 2,838 (11,027) (106) ----------- ---------------------------- ----------- Net realized gains (losses) 8,278 (918) 1,278 ----------- ---------------------------- ----------- Change in unrealized gains (losses) on investments 70,032 149,817 (11,135) ----------- ---------------------------- ----------- Net realized and change in unrealized gains (losses) on investments 78,310 148,899 (9,857) ----------- ---------------------------- ----------- Net increase (decrease) in net assets resulting from operations $ 90,990 $ 166,080 $ (8,640) =========== ============================ ===========
(a) For the period April 28, 2008 to December 31, 2008. (b) Commenced on April 28, 2008 and began transactions in 2009. (c) For the period May 3, 2010 to December 31, 2010. (d) For the period May 4, 2009 to December 31, 2009. (e) Commenced on May 1, 2005 and began transactions in 2009. (f) Commenced on November 10, 2008 and began transactions in 2010. (g) Commenced on November 10, 2008 and began transactions in 2009. The accompanying notes are an integral part of these financial statements. 58 FIDELITY VIP FREEDOM 2030 AMERICAN FUNDS GROWTH INVESTMENT DIVISION INVESTMENT DIVISION ------------------------------------------------- --------------------------------------------------------- 2010 2009 2008 (a) 2010 2009 2008 ----------- ------------------------- ----------- --------------- ------------------------ ---------------- $ 2,018 $ 624 $ 669 $ 832,401 $ 607,594 $ 916,946 ----------- ------------------------- ----------- --------------- ------------------------ ---------------- 364 112 17 953,940 768,579 908,181 ----------- ------------------------- ----------- --------------- ------------------------ ---------------- 364 112 17 953,940 768,579 908,181 ----------- ------------------------- ----------- --------------- ------------------------ ---------------- 1,654 512 652 (121,539) (160,985) 8,765 ----------- ------------------------- ----------- --------------- ------------------------ ---------------- 680 329 1,202 -- -- 12,124,971 710 38 (88) (328,082) (1,821,468) (207,564) ----------- ------------------------- ----------- --------------- ------------------------ ---------------- 1,390 367 1,114 (328,082) (1,821,468) 11,917,407 ----------- ------------------------- ----------- --------------- ------------------------ ---------------- 11,839 6,395 (3,051) 19,817,938 31,985,158 (70,192,654) ----------- ------------------------- ----------- --------------- ------------------------ ---------------- 13,229 6,762 (1,937) 19,489,856 30,163,690 (58,275,247) ----------- ------------------------- ----------- --------------- ------------------------ ---------------- $ 14,883 $ 7,274 $ (1,285) $ 19,368,317 $ 30,002,705 $ (58,266,482) =========== ========================= =========== =============== ======================== ================
The accompanying notes are an integral part of these financial statements. 59 METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE INSURANCE COMPANY STATEMENTS OF OPERATIONS -- (CONTINUED) FOR THE YEARS ENDED DECEMBER 31, 2010, 2009, AND 2008 AMERICAN FUNDS GROWTH-INCOME INVESTMENT DIVISION -------------------------------------------------------- 2010 2009 2008 -------------- ---------------------- ------------------ INVESTMENT INCOME: Dividends $ 1,018,183 $ 922,229 $ 1,175,716 -------------- ---------------------- ------------------ EXPENSES: Mortality and expense risk charges 564,494 475,319 559,000 -------------- ---------------------- ------------------ Total expenses 564,494 475,319 559,000 -------------- ---------------------- ------------------ Net investment income (loss) 453,689 446,910 616,716 -------------- ---------------------- ------------------ NET REALIZED AND CHANGE IN UNREALIZED GAINS (LOSSES) ON INVESTMENTS: Realized gain distributions -- -- 4,335,077 Realized gains (losses) on sale of investments (336,443) (956,152) (236,359) -------------- ---------------------- ------------------ Net realized gains (losses) (336,443) (956,152) 4,098,718 -------------- ---------------------- ------------------ Change in unrealized gains (losses) on investments 6,948,053 15,943,649 (34,739,655) -------------- ---------------------- ------------------ Net realized and change in unrealized gains (losses) on investments 6,611,610 14,987,497 (30,640,937) -------------- ---------------------- ------------------ Net increase (decrease) in net assets resulting from operations $ 7,065,299 $ 15,434,407 $ (30,024,221) ============== ====================== ==================
(a) For the period April 28, 2008 to December 31, 2008. (b) Commenced on April 28, 2008 and began transactions in 2009. (c) For the period May 3, 2010 to December 31, 2010. (d) For the period May 4, 2009 to December 31, 2009. (e) Commenced on May 1, 2005 and began transactions in 2009. (f) Commenced on November 10, 2008 and began transactions in 2010. (g) Commenced on November 10, 2008 and began transactions in 2009. The accompanying notes are an integral part of these financial statements. 60 AMERICAN FUNDS GLOBAL SMALL CAPITALIZATION AMERICAN FUNDS BOND INVESTMENT DIVISION INVESTMENT DIVISION ------------------------------------------------------- ------------------------------------------------- 2010 2009 2008 2010 2009 2008 --------------- ---------------------- ---------------- ------------ ---------------------- ------------- $ 1,031,490 $ 125,985 $ -- $ 126,810 $ 116,930 $ 196,489 --------------- ---------------------- ---------------- ------------ ---------------------- ------------- 493,443 372,082 466,291 32,377 28,070 28,355 --------------- ---------------------- ---------------- ------------ ---------------------- ------------- 493,443 372,082 466,291 32,377 28,070 28,355 --------------- ---------------------- ---------------- ------------ ---------------------- ------------- 538,047 (246,097) (466,291) 94,433 88,860 168,134 --------------- ---------------------- ---------------- ------------ ---------------------- ------------- -- -- 7,571,704 -- -- 8,541 (386,466) (2,366,209) (694,299) (8,911) (91,981) (86,900) --------------- ---------------------- ---------------- ------------ ---------------------- ------------- (386,466) (2,366,209) 6,877,405 (8,911) (91,981) (78,359) --------------- ---------------------- ---------------- ------------ ---------------------- ------------- 11,810,164 23,159,810 (44,244,505) 122,161 381,938 (446,834) --------------- ---------------------- ---------------- ------------ ---------------------- ------------- 11,423,698 20,793,601 (37,367,100) 113,250 289,957 (525,193) --------------- ---------------------- ---------------- ------------ ---------------------- ------------- $ 11,961,745 $ 20,547,504 $ (37,833,391) $ 207,683 $ 378,817 $ (357,059) =============== ====================== ================ ============ ====================== =============
The accompanying notes are an integral part of these financial statements. 61 METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE INSURANCE COMPANY STATEMENTS OF OPERATIONS -- (CONTINUED) FOR THE YEARS ENDED DECEMBER 31, 2010, 2009, AND 2008 AMERICAN FUNDS INTERNATIONAL INVESTMENT DIVISION ------------------------------------------------- 2010 2009 2008 (a) -------------- ------------------- -------------- INVESTMENT INCOME: Dividends $ 13,328 $ 1,021 $ 1,123 -------------- ------------------- -------------- EXPENSES: Mortality and expense risk charges 9,546 222 48 -------------- ------------------- -------------- Total expenses 9,546 222 48 -------------- ------------------- -------------- Net investment income (loss) 3,782 799 1,075 -------------- ------------------- -------------- NET REALIZED AND CHANGE IN UNREALIZED GAINS (LOSSES) ON INVESTMENTS: Realized gain distributions -- 255 -- Realized gains (losses) on sale of investments (608) 1,282 (88) -------------- ------------------- -------------- Net realized gains (losses) (608) 1,537 (88) -------------- ------------------- -------------- Change in unrealized gains (losses) on investments 46,566 19,842 (13,968) -------------- ------------------- -------------- Net realized and change in unrealized gains (losses) on investments 45,958 21,379 (14,056) -------------- ------------------- -------------- Net increase (decrease) in net assets resulting from operations $ 49,740 $ 22,178 $ (12,981) ============== =================== ==============
(a) For the period April 28, 2008 to December 31, 2008. (b) Commenced on April 28, 2008 and began transactions in 2009. (c) For the period May 3, 2010 to December 31, 2010. (d) For the period May 4, 2009 to December 31, 2009. (e) Commenced on May 1, 2005 and began transactions in 2009. (f) Commenced on November 10, 2008 and began transactions in 2010. (g) Commenced on November 10, 2008 and began transactions in 2009. The accompanying notes are an integral part of these financial statements. 62 AMERICAN FUNDS U.S. GOVERNMENT/AAA RATED SECURITIES MIST T. ROWE PRICE MID CAP GROWTH INVESTMENT DIVISION INVESTMENT DIVISION ------------------------------------------------------ ----------------------------------------------------------- 2010 2009 2008 (a) 2010 2009 2008 ---------- ---------------------- ------------------------ -------------- ---------------------- ----------------- $ 683 $ 2,005 $ 745 $ -- $ -- $ 10,159 ---------- ---------------------- ------------------------ -------------- ---------------------- ----------------- 596 265 36 150,122 115,483 131,625 ---------- ---------------------- ------------------------ -------------- ---------------------- ----------------- 596 265 36 150,122 115,483 131,625 ---------- ---------------------- ------------------------ -------------- ---------------------- ----------------- 87 1,740 709 (150,122) (115,483) (121,466) ---------- ---------------------- ------------------------ -------------- ---------------------- ----------------- 193 505 -- -- -- 1,828,446 450 619 1 131,367 (381,122) (329,119) ---------- ---------------------- ------------------------ -------------- ---------------------- ----------------- 643 1,124 1 131,367 (381,122) 1,499,327 ---------- ---------------------- ------------------------ -------------- ---------------------- ----------------- 1,804 (1,799) 862 4,580,355 5,596,487 (8,808,387) ---------- ---------------------- ------------------------ -------------- ---------------------- ----------------- 2,447 (675) 863 4,711,722 5,215,365 (7,309,060) ---------- ---------------------- ------------------------ -------------- ---------------------- ----------------- $ 2,534 $ 1,065 $ 1,572 $ 4,561,600 $ 5,099,882 $ (7,430,526) ========== ====================== ======================== ============== ====================== =================
The accompanying notes are an integral part of these financial statements. 63 METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE INSURANCE COMPANY STATEMENTS OF OPERATIONS -- (CONTINUED) FOR THE YEARS ENDED DECEMBER 31, 2010, 2009, AND 2008 MIST MFS RESEARCH INTERNATIONAL INVESTMENT DIVISION ------------------------------------------------------- 2010 2009 2008 -------------- ---------------------- ----------------- INVESTMENT INCOME: Dividends $ 240,942 $ 369,327 $ 256,943 -------------- ---------------------- ----------------- EXPENSES: Mortality and expense risk charges 106,709 89,063 103,390 -------------- ---------------------- ----------------- Total expenses 106,709 89,063 103,390 -------------- ---------------------- ----------------- Net investment income (loss) 134,233 280,264 153,553 -------------- ---------------------- ----------------- NET REALIZED AND CHANGE IN UNREALIZED GAINS (LOSSES) ON INVESTMENTS: Realized gain distributions -- -- 1,302,185 Realized gains (losses) on sale of investments (545,005) (1,024,253) (411,130) -------------- ---------------------- ----------------- Net realized gains (losses) (545,005) (1,024,253) 891,055 -------------- ---------------------- ----------------- Change in unrealized gains (losses) on investments 1,743,808 3,897,065 (7,755,181) -------------- ---------------------- ----------------- Net realized and change in unrealized gains (losses) on investments 1,198,803 2,872,812 (6,864,126) -------------- ---------------------- ----------------- Net increase (decrease) in net assets resulting from operations $ 1,333,036 $ 3,153,076 $ (6,710,573) ============== ====================== =================
(a) For the period April 28, 2008 to December 31, 2008. (b) Commenced on April 28, 2008 and began transactions in 2009. (c) For the period May 3, 2010 to December 31, 2010. (d) For the period May 4, 2009 to December 31, 2009. (e) Commenced on May 1, 2005 and began transactions in 2009. (f) Commenced on November 10, 2008 and began transactions in 2010. (g) Commenced on November 10, 2008 and began transactions in 2009. The accompanying notes are an integral part of these financial statements. 64 MIST PIMCO TOTAL RETURN MIST RCM TECHNOLOGY INVESTMENT DIVISION INVESTMENT DIVISION -------------------------------------------------- ----------------------------------------------------- 2010 2009 2008 2010 2009 2008 ----------- ----------------------- -------------- -------------- ---------------------- --------------- $ 1,634,551 $ 2,762,595 $ 1,327,240 $ -- $ -- $ 1,349,744 ----------- ----------------------- -------------- -------------- ---------------------- --------------- 360,915 310,295 283,126 111,175 82,504 88,892 ----------- ----------------------- -------------- -------------- ---------------------- --------------- 360,915 310,295 283,126 111,175 82,504 88,892 ----------- ----------------------- -------------- -------------- ---------------------- --------------- 1,273,636 2,452,300 1,044,114 (111,175) (82,504) 1,260,852 ----------- ----------------------- -------------- -------------- ---------------------- --------------- 236,060 1,566,277 807,479 -- -- 2,816,232 238,435 10,564 (11,712) (54,192) (600,648) (702,139) ----------- ----------------------- -------------- -------------- ---------------------- --------------- 474,495 1,576,841 795,767 (54,192) (600,648) 2,114,093 ----------- ----------------------- -------------- -------------- ---------------------- --------------- 1,426,113 1,911,046 (1,944,451) 3,551,862 5,182,655 (9,308,569) ----------- ----------------------- -------------- -------------- ---------------------- --------------- 1,900,608 3,487,887 (1,148,684) 3,497,670 4,582,007 (7,194,476) ----------- ----------------------- -------------- -------------- ---------------------- --------------- $ 3,174,244 $ 5,940,187 $ (104,570) $ 3,386,495 $ 4,499,503 $ (5,933,624) =========== ======================= ============== ============== ====================== ===============
The accompanying notes are an integral part of these financial statements. 65 METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE INSURANCE COMPANY STATEMENTS OF OPERATIONS -- (CONTINUED) FOR THE YEARS ENDED DECEMBER 31, 2010, 2009, AND 2008 MIST LORD ABBETT BOND DEBENTURE INVESTMENT DIVISION ---------------------------------------------------- 2010 2009 2008 ----------- ---------------------- ----------------- INVESTMENT INCOME: Dividends $ 1,718,530 $ 1,572,315 $ 901,666 ----------- ---------------------- ----------------- EXPENSES: Mortality and expense risk charges 316,284 180,909 160,256 ----------- ---------------------- ----------------- Total expenses 316,284 180,909 160,256 ----------- ---------------------- ----------------- Net investment income (loss) 1,402,246 1,391,406 741,410 ----------- ---------------------- ----------------- NET REALIZED AND CHANGE IN UNREALIZED GAINS (LOSSES) ON INVESTMENTS: Realized gain distributions -- -- 312,735 Realized gains (losses) on sale of investments 240,525 (126,749) (153,114) ----------- ---------------------- ----------------- Net realized gains (losses) 240,525 (126,749) 159,621 ----------- ---------------------- ----------------- Change in unrealized gains (losses) on investments 1,315,427 5,411,601 (5,045,528) ----------- ---------------------- ----------------- Net realized and change in unrealized gains (losses) on investments 1,555,952 5,284,852 (4,885,907) ----------- ---------------------- ----------------- Net increase (decrease) in net assets resulting from operations $ 2,958,198 $ 6,676,258 $ (4,144,497) =========== ====================== =================
(a) For the period April 28, 2008 to December 31, 2008. (b) Commenced on April 28, 2008 and began transactions in 2009. (c) For the period May 3, 2010 to December 31, 2010. (d) For the period May 4, 2009 to December 31, 2009. (e) Commenced on May 1, 2005 and began transactions in 2009. (f) Commenced on November 10, 2008 and began transactions in 2010. (g) Commenced on November 10, 2008 and began transactions in 2009. The accompanying notes are an integral part of these financial statements. 66 MIST LAZARD MID CAP MIST INVESCO SMALL CAP GROWTH INVESTMENT DIVISION INVESTMENT DIVISION ----------------------------------------------------- ----------------------------------------------------- 2010 2009 2008 2010 2009 2008 -------------- ---------------------- --------------- ------------ ---------------------- ----------------- $ 51,856 $ 51,729 $ 55,298 $ -- $ -- $ -- -------------- ---------------------- --------------- ------------ ---------------------- ----------------- 40,421 32,462 39,050 30,507 22,254 24,205 -------------- ---------------------- --------------- ------------ ---------------------- ----------------- 40,421 32,462 39,050 30,507 22,254 24,205 -------------- ---------------------- --------------- ------------ ---------------------- ----------------- 11,435 19,267 16,248 (30,507) (22,254) (24,205) -------------- ---------------------- --------------- ------------ ---------------------- ----------------- -- -- 338,409 -- -- 254,249 (93,933) (283,748) (302,807) (15,371) (84,509) (56,467) -------------- ---------------------- --------------- ------------ ---------------------- ----------------- (93,933) (283,748) 35,602 (15,371) (84,509) 197,782 -------------- ---------------------- --------------- ------------ ---------------------- ----------------- 1,108,654 1,519,608 (2,239,073) 887,599 919,328 (1,510,157) -------------- ---------------------- --------------- ------------ ---------------------- ----------------- 1,014,721 1,235,860 (2,203,471) 872,228 834,819 (1,312,375) -------------- ---------------------- --------------- ------------ ---------------------- ----------------- $ 1,026,156 $ 1,255,127 $ (2,187,223) $ 841,721 $ 812,565 $ (1,336,580) ============== ====================== =============== ============ ====================== =================
The accompanying notes are an integral part of these financial statements. 67 METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE INSURANCE COMPANY STATEMENTS OF OPERATIONS -- (CONTINUED) FOR THE YEARS ENDED DECEMBER 31, 2010, 2009, AND 2008 MIST HARRIS OAKMARK INTERNATIONAL INVESTMENT DIVISION -------------- ---------------------- --- -------------- 2010 2009 2008 -------------- ---------------------- ------------------ INVESTMENT INCOME: Dividends $ 576,287 $ 1,589,352 $ 427,414 -------------- ---------------------- ------------------ EXPENSES: Mortality and expense risk charges 232,976 170,663 185,029 -------------- ---------------------- ------------------ Total expenses 232,976 170,663 185,029 -------------- ---------------------- ------------------ Net investment income (loss) 343,311 1,418,689 242,385 -------------- ---------------------- ------------------ NET REALIZED AND CHANGE IN UNREALIZED GAINS (LOSSES) ON INVESTMENTS: Realized gain distributions -- -- 3,659,339 Realized gains (losses) on sale of investments (312,283) (1,294,657) (984,052) -------------- ---------------------- ------------------ Net realized gains (losses) (312,283) (1,294,657) 2,675,287 -------------- ---------------------- ------------------ Change in unrealized gains (losses) on investments 4,235,035 8,897,628 (13,913,907) -------------- ---------------------- ------------------ Net realized and change in unrealized gains (losses) on investments 3,922,752 7,602,971 (11,238,620) -------------- ---------------------- ------------------ Net increase (decrease) in net assets resulting from operations $ 4,266,063 $ 9,021,660 $ (10,996,235) ============== ====================== ==================
(a) For the period April 28, 2008 to December 31, 2008. (b) Commenced on April 28, 2008 and began transactions in 2009. (c) For the period May 3, 2010 to December 31, 2010. (d) For the period May 4, 2009 to December 31, 2009. (e) Commenced on May 1, 2005 and began transactions in 2009. (f) Commenced on November 10, 2008 and began transactions in 2010. (g) Commenced on November 10, 2008 and began transactions in 2009. The accompanying notes are an integral part of these financial statements. 68 MIST LEGG MASON CLEARBRIDGE AGGRESSIVE GROWTH MIST LORD ABBETT GROWTH AND INCOME INVESTMENT DIVISION INVESTMENT DIVISION ----------------------------------------------------- ----------------------------------------------------- 2010 2009 2008 2010 2009 2008 -------------- ---------------------- --------------- ------------ ---------------------- ----------------- $ 4,315 $ 6,856 $ 943 $ 65,246 $ 104,472 $ 96,064 -------------- ---------------------- --------------- ------------ ---------------------- ----------------- 57,953 47,276 57,519 134,790 18,231 25,528 -------------- ---------------------- --------------- ------------ ---------------------- ----------------- 57,953 47,276 57,519 134,790 18,231 25,528 -------------- ---------------------- --------------- ------------ ---------------------- ----------------- (53,638) (40,420) (56,576) (69,544) 86,241 70,536 -------------- ---------------------- --------------- ------------ ---------------------- ----------------- -- -- 54,432 -- -- 543,774 (57,251) (166,346) (72,581) (79,021) (261,167) (71,592) -------------- ---------------------- --------------- ------------ ---------------------- ----------------- (57,251) (166,346) (18,149) (79,021) (261,167) 472,182 -------------- ---------------------- --------------- ------------ ---------------------- ----------------- 1,583,027 1,815,976 (3,076,964) 921,874 894,542 (2,888,440) -------------- ---------------------- --------------- ------------ ---------------------- ----------------- 1,525,776 1,649,630 (3,095,113) 842,853 633,375 (2,416,258) -------------- ---------------------- --------------- ------------ ---------------------- ----------------- $ 1,472,138 $ 1,609,210 $ (3,151,689) $ 773,309 $ 719,616 $ (2,345,722) ============== ====================== =============== ============ ====================== =================
The accompanying notes are an integral part of these financial statements. 69 METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE INSURANCE COMPANY STATEMENTS OF OPERATIONS -- (CONTINUED) FOR THE YEARS ENDED DECEMBER 31, 2010, 2009, AND 2008 MIST CLARION GLOBAL REAL ESTATE INVESTMENT DIVISION ------------------------------------------------------- 2010 2009 2008 -------------- ---------------------- ----------------- INVESTMENT INCOME: Dividends $ 1,558,222 $ 496,210 $ 332,725 -------------- ---------------------- ----------------- EXPENSES: Mortality and expense risk charges 166,255 119,529 140,313 -------------- ---------------------- ----------------- Total expenses 166,255 119,529 140,313 -------------- ---------------------- ----------------- Net investment income (loss) 1,391,967 376,681 192,412 -------------- ---------------------- ----------------- NET REALIZED AND CHANGE IN UNREALIZED GAINS (LOSSES) ON INVESTMENTS: Realized gain distributions -- -- 1,614,459 Realized gains (losses) on sale of investments (571,095) (1,092,248) (667,437) -------------- ---------------------- ----------------- Net realized gains (losses) (571,095) (1,092,248) 947,022 -------------- ---------------------- ----------------- Change in unrealized gains (losses) on investments 1,969,823 5,493,585 (9,433,208) -------------- ---------------------- ----------------- Net realized and change in unrealized gains (losses) on investments 1,398,728 4,401,337 (8,486,186) -------------- ---------------------- ----------------- Net increase (decrease) in net assets resulting from operations $ 2,790,695 $ 4,778,018 $ (8,293,774) ============== ====================== =================
(a) For the period April 28, 2008 to December 31, 2008. (b) Commenced on April 28, 2008 and began transactions in 2009. (c) For the period May 3, 2010 to December 31, 2010. (d) For the period May 4, 2009 to December 31, 2009. (e) Commenced on May 1, 2005 and began transactions in 2009. (f) Commenced on November 10, 2008 and began transactions in 2010. (g) Commenced on November 10, 2008 and began transactions in 2009. The accompanying notes are an integral part of these financial statements. 70 MIST MORGAN STANLEY MID CAP GROWTH MIST LORD ABBETT MID CAP VALUE INVESTMENT DIVISION INVESTMENT DIVISION ----------------------------------------------------- ------------------------------------------------- 2010 2009 2008 2010 2009 2008 --------------- ---------------------- -------------- ----------- ---------------------- -------------- $ 28 $ -- $ 345 $ 568 $ 1,893 $ 197 --------------- ---------------------- -------------- ----------- ---------------------- -------------- 957,621 870 78 369 335 312 --------------- ---------------------- -------------- ----------- ---------------------- -------------- 957,621 870 78 369 335 312 --------------- ---------------------- -------------- ----------- ---------------------- -------------- (957,593) (870) 267 199 1,558 (115) --------------- ---------------------- -------------- ----------- ---------------------- -------------- -- -- 2,390 -- -- 5,229 336,382 1,780 (81) 3,236 (38,897) (14,654) --------------- ---------------------- -------------- ----------- ---------------------- -------------- 336,382 1,780 2,309 3,236 (38,897) (9,425) --------------- ---------------------- -------------- ----------- ---------------------- -------------- 31,775,159 75,648 (17,251) 19,769 57,059 (38,556) --------------- ---------------------- -------------- ----------- ---------------------- -------------- 32,111,541 77,428 (14,942) 23,005 18,162 (47,981) --------------- ---------------------- -------------- ----------- ---------------------- -------------- $ 31,153,948 $ 76,558 $ (14,675) $ 23,204 $ 19,720 $ (48,096) =============== ====================== ============== =========== ====================== ==============
The accompanying notes are an integral part of these financial statements. 71 METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE INSURANCE COMPANY STATEMENTS OF OPERATIONS -- (CONTINUED) FOR THE YEARS ENDED DECEMBER 31, 2010, 2009, AND 2008 MIST THIRD AVENUE SMALL CAP VALUE INVESTMENT DIVISION ------------------------------------------------ 2010 2009 2008 --------- ---------------------- --------------- INVESTMENT INCOME: Dividends $ 12,822 $ 3,058 $ 2,384 --------- ---------------------- --------------- EXPENSES: Mortality and expense risk charges 11,741 2,219 1,496 --------- ---------------------- --------------- Total expenses 11,741 2,219 1,496 --------- ---------------------- --------------- Net investment income (loss) 1,081 839 888 --------- ---------------------- --------------- NET REALIZED AND CHANGE IN UNREALIZED GAINS (LOSSES) ON INVESTMENTS: Realized gain distributions -- 2,838 21,799 Realized gains (losses) on sale of investments 42,370 (17,013) (21,646) --------- ---------------------- --------------- Net realized gains (losses) 42,370 (14,175) 153 --------- ---------------------- --------------- Change in unrealized gains (losses) on investments 198,929 152,916 (119,764) --------- ---------------------- --------------- Net realized and change in unrealized gains (losses) on investments 241,299 138,741 (119,611) --------- ---------------------- --------------- Net increase (decrease) in net assets resulting from operations $ 242,380 $ 139,580 $ (118,723) ========= ====================== ===============
(a) For the period April 28, 2008 to December 31, 2008. (b) Commenced on April 28, 2008 and began transactions in 2009. (c) For the period May 3, 2010 to December 31, 2010. (d) For the period May 4, 2009 to December 31, 2009. (e) Commenced on May 1, 2005 and began transactions in 2009. (f) Commenced on November 10, 2008 and began transactions in 2010. (g) Commenced on November 10, 2008 and began transactions in 2009. The accompanying notes are an integral part of these financial statements. 72 MIST OPPENHEIMER CAPITAL APPRECIATION MIST LEGG MASON VALUE EQUITY INVESTMENT DIVISION INVESTMENT DIVISION --------------------------------------------------- ----------------------------------------------------- 2010 2009 2008 2010 2009 2008 ------------ ---------------------- --------------- ------------ ---------------------- ----------------- $ 10,876 $ -- $ 40,326 $ 93,044 $ 60,620 $ 12,937 ------------ ---------------------- --------------- ------------ ---------------------- ----------------- 13,539 10,277 9,700 35,652 28,252 33,929 ------------ ---------------------- --------------- ------------ ---------------------- ----------------- 13,539 10,277 9,700 35,652 28,252 33,929 ------------ ---------------------- --------------- ------------ ---------------------- ----------------- (2,663) (10,277) 30,626 57,392 32,368 (20,992) ------------ ---------------------- --------------- ------------ ---------------------- ----------------- -- -- 295,189 -- -- 176,346 (39,996) (109,001) (106,123) (148,382) (273,743) (135,383) ------------ ---------------------- --------------- ------------ ---------------------- ----------------- (39,996) (109,001) 189,066 (148,382) (273,743) 40,963 ------------ ---------------------- --------------- ------------ ---------------------- ----------------- 190,578 558,202 (860,586) 390,845 1,354,429 (3,108,496) ------------ ---------------------- --------------- ------------ ---------------------- ----------------- 150,582 449,201 (671,520) 242,463 1,080,686 (3,067,533) ------------ ---------------------- --------------- ------------ ---------------------- ----------------- $ 147,919 $ 438,924 $ (640,894) $ 299,855 $ 1,113,054 $ (3,088,525) ============ ====================== =============== ============ ====================== =================
The accompanying notes are an integral part of these financial statements. 73 METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE INSURANCE COMPANY STATEMENTS OF OPERATIONS -- (CONTINUED) FOR THE YEARS ENDED DECEMBER 31, 2010, 2009, AND 2008 MIST SSGA GROWTH ETF INVESTMENT DIVISION ----------------------------------------------- 2010 2009 2008 --------- ----------------------- ------------- INVESTMENT INCOME: Dividends $ 34,185 $ 15,419 $ 9,041 --------- ----------------------- ------------- EXPENSES: Mortality and expense risk charges 17,903 8,413 4,512 --------- ----------------------- ------------- Total expenses 17,903 8,413 4,512 --------- ----------------------- ------------- Net investment income (loss) 16,282 7,006 4,529 --------- ----------------------- ------------- NET REALIZED AND CHANGE IN UNREALIZED GAINS (LOSSES) ON INVESTMENTS: Realized gain distributions -- -- 11,307 Realized gains (losses) on sale of investments 12,378 (20,730) (32,358) --------- ----------------------- ------------- Net realized gains (losses) 12,378 (20,730) (21,051) --------- ----------------------- ------------- Change in unrealized gains (losses) on investments 271,601 309,775 (210,490) --------- ----------------------- ------------- Net realized and change in unrealized gains (losses) on investments 283,979 289,045 (231,541) --------- ----------------------- ------------- Net increase (decrease) in net assets resulting from operations $ 300,261 $ 296,051 $ (227,012) ========= ======================= =============
(a) For the period April 28, 2008 to December 31, 2008. (b) Commenced on April 28, 2008 and began transactions in 2009. (c) For the period May 3, 2010 to December 31, 2010. (d) For the period May 4, 2009 to December 31, 2009. (e) Commenced on May 1, 2005 and began transactions in 2009. (f) Commenced on November 10, 2008 and began transactions in 2010. (g) Commenced on November 10, 2008 and began transactions in 2009. The accompanying notes are an integral part of these financial statements. 74 MIST SSGA GROWTH AND INCOME ETF MIST PIMCO INFLATION PROTECTED BOND INVESTMENT DIVISION INVESTMENT DIVISION --------------------------------------------- ------------------------------------------------ 2010 2009 2008 2010 2009 2008 --------- ------------------- --------------- --------- ---------------------- --------------- $ 35,130 $ 13,156 $ 7,559 $ 210,729 $ 247,574 $ 129,679 --------- ------------------- --------------- --------- ---------------------- --------------- 22,837 6,883 3,301 64,055 52,710 34,082 --------- ------------------- --------------- --------- ---------------------- --------------- 22,837 6,883 3,301 64,055 52,710 34,082 --------- ------------------- --------------- --------- ---------------------- --------------- 12,293 6,273 4,258 146,674 194,864 95,597 --------- ------------------- --------------- --------- ---------------------- --------------- 115 -- 8,201 220,376 -- 6,847 16,043 3,801 (45,016) 60,903 (46,474) (100,879) --------- ------------------- --------------- --------- ---------------------- --------------- 16,158 3,801 (36,815) 281,279 (46,474) (94,032) --------- ------------------- --------------- --------- ---------------------- --------------- 322,318 204,020 (94,558) 130,473 877,182 (678,454) --------- ------------------- --------------- --------- ---------------------- --------------- 338,476 207,821 (131,373) 411,752 830,708 (772,486) --------- ------------------- --------------- --------- ---------------------- --------------- $ 350,769 $ 214,094 $ (127,115) $ 558,426 $ 1,025,572 $ (676,889) ========= =================== =============== ========= ====================== ===============
The accompanying notes are an integral part of these financial statements. 75 METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE INSURANCE COMPANY STATEMENTS OF OPERATIONS -- (CONTINUED) FOR THE YEARS ENDED DECEMBER 31, 2010, 2009, AND 2008 MIST BLACKROCK LARGE CAP CORE INVESTMENT DIVISION ---------------------------------------------------------- 2010 2009 2008 --------------- ---------------------- ------------------- INVESTMENT INCOME: Dividends $ 3,848,840 $ 4,180,146 $ 2,475,191 --------------- ---------------------- ------------------- EXPENSES: Mortality and expense risk charges 2,233,231 2,047,270 2,792,458 --------------- ---------------------- ------------------- Total expenses 2,233,231 2,047,270 2,792,458 --------------- ---------------------- ------------------- Net investment income (loss) 1,615,609 2,132,876 (317,267) --------------- ---------------------- ------------------- NET REALIZED AND CHANGE IN UNREALIZED GAINS (LOSSES) ON INVESTMENTS: Realized gain distributions -- -- 16,168,718 Realized gains (losses) on sale of investments (7,248,214) (10,716,690) (6,439,384) --------------- ---------------------- ------------------- Net realized gains (losses) (7,248,214) (10,716,690) 9,729,334 --------------- ---------------------- ------------------- Change in unrealized gains (losses) on investments 38,497,976 54,384,062 (169,653,539) --------------- ---------------------- ------------------- Net realized and change in unrealized gains (losses) on investments 31,249,762 43,667,372 (159,924,205) --------------- ---------------------- ------------------- Net increase (decrease) in net assets resulting from operations $ 32,865,371 $ 45,800,248 $ (160,241,472) =============== ====================== ===================
(a) For the period April 28, 2008 to December 31, 2008. (b) Commenced on April 28, 2008 and began transactions in 2009. (c) For the period May 3, 2010 to December 31, 2010. (d) For the period May 4, 2009 to December 31, 2009. (e) Commenced on May 1, 2005 and began transactions in 2009. (f) Commenced on November 10, 2008 and began transactions in 2010. (g) Commenced on November 10, 2008 and began transactions in 2009. The accompanying notes are an integral part of these financial statements. 76 MIST JANUS FORTY MIST DREMAN SMALL CAP VALUE INVESTMENT DIVISION INVESTMENT DIVISION ----------------------------------------------------- ----------------------------------------------------------- 2010 2009 2008 2010 2009 2008 (a) -------------- ---------------------- --------------- ------------- ---------------------- ---------------------- $ 219,796 $ -- $ 306,277 $ 172 $ 1 $ -- -------------- ---------------------- --------------- ------------- ---------------------- ---------------------- 99,823 75,162 57,079 220 428 -- -------------- ---------------------- --------------- ------------- ---------------------- ---------------------- 99,823 75,162 57,079 220 428 -- -------------- ---------------------- --------------- ------------- ---------------------- ---------------------- 119,973 (75,162) 249,198 (48) (427) -- -------------- ---------------------- --------------- ------------- ---------------------- ---------------------- -- -- 132,557 -- -- -- (41,591) (540,105) (167,618) 403 58,177 (10) -------------- ---------------------- --------------- ------------- ---------------------- ---------------------- (41,591) (540,105) (35,061) 403 58,177 (10) -------------- ---------------------- --------------- ------------- ---------------------- ---------------------- 1,120,682 3,887,171 (4,523,728) 3,392 2,844 6 -------------- ---------------------- --------------- ------------- ---------------------- ---------------------- 1,079,091 3,347,066 (4,558,789) 3,795 61,021 (4) -------------- ---------------------- --------------- ------------- ---------------------- ---------------------- $ 1,199,064 $ 3,271,904 $ (4,309,591) $ 3,747 $ 60,594 $ (4) ============== ====================== =============== ============= ====================== ======================
The accompanying notes are an integral part of these financial statements. 77 METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE INSURANCE COMPANY STATEMENTS OF OPERATIONS -- (CONTINUED) FOR THE YEARS ENDED DECEMBER 31, 2010, 2009, AND 2008 MIST AMERICAN FUNDS BALANCED ALLOCATION INVESTMENT DIVISION ----------------------------------------------- 2010 2009 2008 (a) ----------- ---------------------- ------------ INVESTMENT INCOME: Dividends $ 3,146 $ -- $ 368 ----------- ---------------------- ------------ EXPENSES: Mortality and expense risk charges -- -- -- ----------- ---------------------- ------------ Total expenses -- -- -- ----------- ---------------------- ------------ Net investment income (loss) 3,146 -- 368 ----------- ---------------------- ------------ NET REALIZED AND CHANGE IN UNREALIZED GAINS (LOSSES) ON INVESTMENTS: Realized gain distributions 117 -- 1 Realized gains (losses) on sale of investments 1,705 (28) (91) ----------- ---------------------- ------------ Net realized gains (losses) 1,822 (28) (90) ----------- ---------------------- ------------ Change in unrealized gains (losses) on investments 26,193 14,667 (1,781) ----------- ---------------------- ------------ Net realized and change in unrealized gains (losses) on investments 28,015 14,639 (1,871) ----------- ---------------------- ------------ Net increase (decrease) in net assets resulting from operations $ 31,161 $ 14,639 $ (1,503) =========== ====================== ============
(a) For the period April 28, 2008 to December 31, 2008. (b) Commenced on April 28, 2008 and began transactions in 2009. (c) For the period May 3, 2010 to December 31, 2010. (d) For the period May 4, 2009 to December 31, 2009. (e) Commenced on May 1, 2005 and began transactions in 2009. (f) Commenced on November 10, 2008 and began transactions in 2010. (g) Commenced on November 10, 2008 and began transactions in 2009. The accompanying notes are an integral part of these financial statements. 78 MIST AMERICAN FUNDS GROWTH ALLOCATION MIST AMERICAN FUNDS MODERATE ALLOCATION INVESTMENT DIVISION INVESTMENT DIVISION ------------------------------------------------------------- ------------------------------------------------------- 2010 2009 2008 (a) 2010 2009 2008 (a) ----------- ------------------- ----------------------------- ----------- ------------------- ----------------------- $ 2,434 $ -- $ 644 $ 2,501 $ -- $ 165 ----------- ------------------- ----------------------------- ----------- ------------------- ----------------------- -- -- -- -- -- -- ----------- ------------------- ----------------------------- ----------- ------------------- ----------------------- -- -- -- -- -- -- ----------- ------------------- ----------------------------- ----------- ------------------- ----------------------- 2,434 -- 644 2,501 -- 165 ----------- ------------------- ----------------------------- ----------- ------------------- ----------------------- -- -- -- -- -- -- 5,990 1,298 12 646 370 (29) ----------- ------------------- ----------------------------- ----------- ------------------- ----------------------- 5,990 1,298 12 646 370 (29) ----------- ------------------- ----------------------------- ----------- ------------------- ----------------------- 79,550 20,909 (48) 16,902 11,101 (130) ----------- ------------------- ----------------------------- ----------- ------------------- ----------------------- 85,540 22,207 (36) 17,548 11,471 (159) ----------- ------------------- ----------------------------- ----------- ------------------- ----------------------- $ 87,974 $ 22,207 $ 608 $ 20,049 $ 11,471 $ 6 =========== =================== ============================= =========== =================== =======================
The accompanying notes are an integral part of these financial statements. 79 METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE INSURANCE COMPANY STATEMENTS OF OPERATIONS -- (CONTINUED) FOR THE YEARS ENDED DECEMBER 31, 2010, 2009, AND 2008 MIST MET/FRANKLIN INCOME INVESTMENT DIVISION ------------------------------------------------ 2010 2009 2008 (a) ----------- ------------------------ ----------- INVESTMENT INCOME: Dividends $ 3,216 $ -- $ 469 ----------- ------------------------ ----------- EXPENSES: Mortality and expense risk charges -- -- -- ----------- ------------------------ ----------- Total expenses -- -- -- ----------- ------------------------ ----------- Net investment income (loss) 3,216 -- 469 ----------- ------------------------ ----------- NET REALIZED AND CHANGE IN UNREALIZED GAINS (LOSSES) ON INVESTMENTS: Realized gain distributions 433 -- -- Realized gains (losses) on sale of investments 390 54 (63) ----------- ------------------------ ----------- Net realized gains (losses) 823 54 (63) ----------- ------------------------ ----------- Change in unrealized gains (losses) on investments 10,272 9,507 (2,459) ----------- ------------------------ ----------- Net realized and change in unrealized gains (losses) on investments 11,095 9,561 (2,522) ----------- ------------------------ ----------- Net increase (decrease) in net assets resulting from operations $ 14,311 $ 9,561 $ (2,053) =========== ======================== ===========
(a) For the period April 28, 2008 to December 31, 2008. (b) Commenced on April 28, 2008 and began transactions in 2009. (c) For the period May 3, 2010 to December 31, 2010. (d) For the period May 4, 2009 to December 31, 2009. (e) Commenced on May 1, 2005 and began transactions in 2009. (f) Commenced on November 10, 2008 and began transactions in 2010. (g) Commenced on November 10, 2008 and began transactions in 2009. The accompanying notes are an integral part of these financial statements. 80 MIST MET/FRANKLIN MUTUAL SHARES MIST MET/FRANKLIN TEMPLETON FOUNDING STRATEGY INVESTMENT DIVISION INVESTMENT DIVISION ------------------------------------------------ -------------------------------------------------------- 2010 2009 2008 (a) 2010 2009 2008 (a) ---------- ---------------------- -------------- -------- ------------------- --------------------------- $ -- $ -- $ 234 $ -- $ -- $ 207 ---------- ---------------------- -------------- -------- ------------------- --------------------------- -- -- -- -- -- -- ---------- ---------------------- -------------- -------- ------------------- --------------------------- -- -- -- -- -- -- ---------- ---------------------- -------------- -------- ------------------- --------------------------- -- -- 234 -- -- 207 ---------- ---------------------- -------------- -------- ------------------- --------------------------- 577 -- -- 1 -- -- 106 (91) (83) 1,545 565 (21) ---------- ---------------------- -------------- -------- ------------------- --------------------------- 683 (91) (83) 1,546 565 (21) ---------- ---------------------- -------------- -------- ------------------- --------------------------- 4,077 4,710 (2,584) 23,230 14,572 (146) ---------- ---------------------- -------------- -------- ------------------- --------------------------- 4,760 4,619 (2,667) 24,776 15,137 (167) ---------- ---------------------- -------------- -------- ------------------- --------------------------- $ 4,760 $ 4,619 $ (2,433) $ 24,776 $ 15,137 $ 40 ========== ====================== ============== ======== =================== ===========================
The accompanying notes are an integral part of these financial statements. 81 METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE INSURANCE COMPANY STATEMENTS OF OPERATIONS -- (CONTINUED) FOR THE YEARS ENDED DECEMBER 31, 2010, 2009, AND 2008 MIST MET/TEMPLETON GROWTH INVESTMENT DIVISION -------------------------------------------------------- 2010 2009 2008 (a) ---------- ---------------------- ---------------------- INVESTMENT INCOME: Dividends $ 305 $ 2 $ 18 ---------- ---------------------- ---------------------- EXPENSES: Mortality and expense risk charges -- -- -- ---------- ---------------------- ---------------------- Total expenses -- -- -- ---------- ---------------------- ---------------------- Net investment income (loss) 305 2 18 ---------- ---------------------- ---------------------- NET REALIZED AND CHANGE IN UNREALIZED GAINS (LOSSES) ON INVESTMENTS: Realized gain distributions -- -- -- Realized gains (losses) on sale of investments 125 (60) (39) ---------- ---------------------- ---------------------- Net realized gains (losses) 125 (60) (39) ---------- ---------------------- ---------------------- Change in unrealized gains (losses) on investments 3,904 3,117 (322) ---------- ---------------------- ---------------------- Net realized and change in unrealized gains (losses) on investments 4,029 3,057 (361) ---------- ---------------------- ---------------------- Net increase (decrease) in net assets resulting from operations $ 4,334 $ 3,059 $ (343) ========== ====================== ======================
(a) For the period April 28, 2008 to December 31, 2008. (b) Commenced on April 28, 2008 and began transactions in 2009. (c) For the period May 3, 2010 to December 31, 2010. (d) For the period May 4, 2009 to December 31, 2009. (e) Commenced on May 1, 2005 and began transactions in 2009. (f) Commenced on November 10, 2008 and began transactions in 2010. (g) Commenced on November 10, 2008 and began transactions in 2009. The accompanying notes are an integral part of these financial statements. 82 MIST PIONEER FUND AMERICAN CENTURY VP VISTA INVESTMENT DIVISION INVESTMENT DIVISION ------------------------------------------ ----------------------------------------- 2010 2009 (d) 2010 2009 2008 ----------- --------------- -------------- ---------------------------- ------------ $ 1,987 $ -- $ -- $ -- $ -- ----------- --------------- -------------- ---------------------------- ------------ 982 580 519 472 285 ----------- --------------- -------------- ---------------------------- ------------ 982 580 519 472 285 ----------- --------------- -------------- ---------------------------- ------------ 1,005 (580) (519) (472) (285) ----------- --------------- -------------- ---------------------------- ------------ -- -- -- -- 1,116 6,067 1,986 12,351 (47,927) (912) ----------- --------------- -------------- ---------------------------- ------------ 6,067 1,986 12,351 (47,927) 204 ----------- --------------- -------------- ---------------------------- ------------ 25,716 48,304 (1,947) 67,433 (65,328) ----------- --------------- -------------- ---------------------------- ------------ 31,783 50,290 10,404 19,506 (65,124) ----------- --------------- -------------- ---------------------------- ------------ $ 32,788 $ 49,710 $ 9,885 $ 19,034 $ (65,409) =========== =============== ============== ============================ ============
The accompanying notes are an integral part of these financial statements. 83 METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE INSURANCE COMPANY STATEMENTS OF OPERATIONS -- (CONTINUED) FOR THE YEARS ENDED DECEMBER 31, 2010, 2009, AND 2008 DELAWARE VIP SMALL CAP VALUE INVESTMENT DIVISION ----------------------------------------------------- 2010 2009 2008 -------------- ---------------------- --------------- INVESTMENT INCOME: Dividends $ 980 $ 4,242 $ 4,853 -------------- ---------------------- --------------- EXPENSES: Mortality and expense risk charges 1,541 1,544 4,658 -------------- ---------------------- --------------- Total expenses 1,541 1,544 4,658 -------------- ---------------------- --------------- Net investment income (loss) (561) 2,698 195 -------------- ---------------------- --------------- NET REALIZED AND CHANGE IN UNREALIZED GAINS (LOSSES) ON INVESTMENTS: Realized gain distributions -- -- 70,050 Realized gains (losses) on sale of investments 10,618 (324,068) (158,860) -------------- ---------------------- --------------- Net realized gains (losses) 10,618 (324,068) (88,810) -------------- ---------------------- --------------- Change in unrealized gains (losses) on investments 49,508 372,833 (269,207) -------------- ---------------------- --------------- Net realized and change in unrealized gains (losses) on investments 60,126 48,765 (358,017) -------------- ---------------------- --------------- Net increase (decrease) in net assets resulting from operations $ 59,565 $ 51,463 $ (357,822) ============== ====================== ===============
(a) For the period April 28, 2008 to December 31, 2008. (b) Commenced on April 28, 2008 and began transactions in 2009. (c) For the period May 3, 2010 to December 31, 2010. (d) For the period May 4, 2009 to December 31, 2009. (e) Commenced on May 1, 2005 and began transactions in 2009. (f) Commenced on November 10, 2008 and began transactions in 2010. (g) Commenced on November 10, 2008 and began transactions in 2009. The accompanying notes are an integral part of these financial statements. 84 DREYFUS VIF INTERNATIONAL VALUE GOLDMAN SACHS MID CAP VALUE INVESTMENT DIVISION INVESTMENT DIVISION -------------- ---------------------- --- ----------- ----------- ---------------------- --- ----------- 2010 2009 2008 2010 2009 2008 -------------- ---------------------- --------------- ----------- ---------------------- --------------- $ 3,367 $ 10,533 $ 10,713 $ 2,264 $ 5,173 $ 13,616 -------------- ---------------------- --------------- ----------- ---------------------- --------------- 876 1,264 2,366 1,356 2,426 5,676 -------------- ---------------------- --------------- ----------- ---------------------- --------------- 876 1,264 2,366 1,356 2,426 5,676 -------------- ---------------------- --------------- ----------- ---------------------- --------------- 2,491 9,269 8,347 908 2,747 7,940 -------------- ---------------------- --------------- ----------- ---------------------- --------------- -- -- 92,929 -- -- 2,438 (14,086) (185,176) (67,586) (13,608) (540,331) (114,620) -------------- ---------------------- --------------- ----------- ---------------------- --------------- (14,086) (185,176) 25,343 (13,608) (540,331) (112,182) -------------- ---------------------- --------------- ----------- ---------------------- --------------- 19,382 238,024 (268,322) 84,633 633,578 (486,662) -------------- ---------------------- --------------- ----------- ---------------------- --------------- 5,296 52,848 (242,979) 71,025 93,247 (598,844) -------------- ---------------------- --------------- ----------- ---------------------- --------------- $ 7,787 $ 62,117 $ (234,632) $ 71,933 $ 95,994 $ (590,904) ============== ====================== =============== =========== ====================== ===============
The accompanying notes are an integral part of these financial statements. 85 METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE INSURANCE COMPANY STATEMENTS OF OPERATIONS -- (CONTINUED) FOR THE YEARS ENDED DECEMBER 31, 2010, 2009, AND 2008 GOLDMAN SACHS STRUCTURED SMALL CAP EQUITY INVESTMENT DIVISION --------------------------------------------------------- 2010 2009 2008 -------------- ---------------------- ------------------- INVESTMENT INCOME: Dividends $ 254 $ 724 $ 447 -------------- ---------------------- ------------------- EXPENSES: Mortality and expense risk charges 154 173 255 -------------- ---------------------- ------------------- Total expenses 154 173 255 -------------- ---------------------- ------------------- Net investment income (loss) 100 551 192 -------------- ---------------------- ------------------- NET REALIZED AND CHANGE IN UNREALIZED GAINS (LOSSES) ON INVESTMENTS: Realized gain distributions -- -- 113 Realized gains (losses) on sale of investments (7,335) (17,708) (35,096) -------------- ---------------------- ------------------- Net realized gains (losses) (7,335) (17,708) (34,983) -------------- ---------------------- ------------------- Change in unrealized gains (losses) on investments 18,632 28,044 (655) -------------- ---------------------- ------------------- Net realized and change in unrealized gains (losses) on investments 11,297 10,336 (35,638) -------------- ---------------------- ------------------- Net increase (decrease) in net assets resulting from operations $ 11,397 $ 10,887 $ (35,446) ============== ====================== ===================
(a) For the period April 28, 2008 to December 31, 2008. (b) Commenced on April 28, 2008 and began transactions in 2009. (c) For the period May 3, 2010 to December 31, 2010. (d) For the period May 4, 2009 to December 31, 2009. (e) Commenced on May 1, 2005 and began transactions in 2009. (f) Commenced on November 10, 2008 and began transactions in 2010. (g) Commenced on November 10, 2008 and began transactions in 2009. The accompanying notes are an integral part of these financial statements. 86 MFS VIT HIGH INCOME MFS VIT GLOBAL EQUITY INVESTMENT DIVISION INVESTMENT DIVISION --------------------------------------------- ------------------------------------------------- 2010 2009 2008 2010 2009 2008 ---------- ------------------- -------------- ----------- ------------------------ ------------ $ 8,657 $ 933 $ 1,656 $ 1,232 $ 1,242 $ 480 ---------- ------------------- -------------- ----------- ------------------------ ------------ 457 273 62 598 238 255 ---------- ------------------- -------------- ----------- ------------------------ ------------ 457 273 62 598 238 255 ---- ----- ------------------- ---- --------- ---- ------ ------------------------ ------------ 8,200 660 1,594 634 1,004 225 ---------- ------------------- -------------- ----------- ------------------------ ------------ -- -- -- -- -- 4,968 680 326 (3,105) 183 (11,994) (670) ---------- ------------------- -------------- ----------- ------------------------ ------------ 680 326 (3,105) 183 (11,994) 4,298 ---------- ------------------- -------------- ----------- ------------------------ ------------ 7,331 21,466 (1,097) 19,523 27,307 (30,617) ---------- ------------------- -------------- ----------- ------------------------ ------------ 8,011 21,792 (4,202) 19,706 15,313 (26,319) ---------- ------------------- -------------- ----------- ------------------------ ------------ $ 16,211 $ 22,452 $ (2,608) $ 20,340 $ 16,317 $ (26,094) ========== =================== ============== =========== ======================== ============
The accompanying notes are an integral part of these financial statements. 87 METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE INSURANCE COMPANY STATEMENTS OF OPERATIONS -- (CONTINUED) FOR THE YEARS ENDED DECEMBER 31, 2010, 2009, AND 2008 MFS VIT NEW DISCOVERY INVESTMENT DIVISION ------------------------------------------------------ 2010 2009 2008 -------------- ------------------------ -------------- INVESTMENT INCOME: Dividends $ -- $ -- $ -- -------------- ------------------------ -------------- EXPENSES: Mortality and expense risk charges 340 27 11 -------------- ------------------------ -------------- Total expenses 340 27 11 -------------- ------------------------ -------------- Net investment income (loss) (340) (27) (11) -------------- ------------------------ -------------- NET REALIZED AND CHANGE IN UNREALIZED GAINS (LOSSES) ON INVESTMENTS: Realized gain distributions -- -- 561 Realized gains (losses) on sale of investments 544 1,560 (22) -------------- ------------------------ -------------- Net realized gains (losses) 544 1,560 539 -------------- ------------------------ -------------- Change in unrealized gains (losses) on investments 28,843 3,314 (1,817) -------------- ------------------------ -------------- Net realized and change in unrealized gains (losses) on investments 29,387 4,874 (1,278) -------------- ------------------------ -------------- Net increase (decrease) in net assets resulting from operations $ 29,047 $ 4,847 $ (1,289) ============== ======================== ==============
(a) For the period April 28, 2008 to December 31, 2008. (b) Commenced on April 28, 2008 and began transactions in 2009. (c) For the period May 3, 2010 to December 31, 2010. (d) For the period May 4, 2009 to December 31, 2009. (e) Commenced on May 1, 2005 and began transactions in 2009. (f) Commenced on November 10, 2008 and began transactions in 2010. (g) Commenced on November 10, 2008 and began transactions in 2009. The accompanying notes are an integral part of these financial statements. 88 MFS VIT VALUE WELLS FARGO VT TOTAL RETURN BOND INVESTMENT DIVISION INVESTMENT DIVISION ------------------------------------------------ --------------------------------------------- 2010 2009 2008 2010 2009 2008 ------------- ---------------------- ----------- ----------- ------------------- ------------- $ 969 $ 803 $ 10,331 $ 29,774 $ 18,789 $ 7,542 ------------- ---------------------- ----------- ----------- ------------------- ------------- 293 257 302 6,709 1,892 619 ------------- ---------------------- ----------- ----------- ------------------- ------------- 293 257 302 6,709 1,892 619 ------------- ---------------------- ----------- ----------- ------------------- ------------- 676 546 10,029 23,065 16,897 6,923 ------------- ---------------------- ----------- ----------- ------------------- ------------- -- -- 42,245 23,602 2,046 -- (552) (1,224) (23,850) 10,857 3,173 (532) ------------- ---------------------- ----------- ----------- ------------------- ------------- (552) (1,224) 18,395 34,459 5,219 (532) ------------- ---------------------- ----------- ----------- ------------------- ------------- 7,585 14,082 (26,364) (12,496) 23,526 (2,943) ------------- ---------------------- ----------- ----------- ------------------- ------------- 7,033 12,858 (7,969) 21,963 28,745 (3,475) ------------- ---------------------- ----------- ----------- ------------------- ------------- $ 7,709 $ 13,404 $ 2,060 $ 45,028 $ 45,642 $ 3,448 ============= ====================== =========== =========== =================== =============
The accompanying notes are an integral part of these financial statements. 89 METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE INSURANCE COMPANY STATEMENTS OF OPERATIONS -- (CONTINUED) FOR THE YEARS ENDED DECEMBER 31, 2010, 2009, AND 2008 PIONEER VCT EMERGING MARKETS INVESTMENT DIVISION ----------------------------------------------- 2010 2009 2008 (a) ------------ ------------------- -------------- INVESTMENT INCOME: Dividends $ 3,039 $ 5,200 $ -- ------------ ------------------- -------------- EXPENSES: Mortality and expense risk charges 13,622 1,999 141 ------------ ------------------- -------------- Total expenses 13,622 1,999 141 ------------ ------------------- -------------- Net investment income (loss) (10,583) 3,201 (141) ------------ ------------------- -------------- NET REALIZED AND CHANGE IN UNREALIZED GAINS (LOSSES) ON INVESTMENTS: Realized gain distributions -- -- -- Realized gains (losses) on sale of investments 75,682 8,989 (554) ------------ ------------------- -------------- Net realized gains (losses) 75,682 8,989 (554) ------------ ------------------- -------------- Change in unrealized gains (losses) on investments 68,690 311,181 (40,541) ------------ ------------------- -------------- Net realized and change in unrealized gains (losses) on investments 144,372 320,170 (41,095) ------------ ------------------- -------------- Net increase (decrease) in net assets resulting from operations $ 133,789 $ 323,371 $ (41,236) ============ =================== ==============
(a) For the period April 28, 2008 to December 31, 2008. (b) Commenced on April 28, 2008 and began transactions in 2009. (c) For the period May 3, 2010 to December 31, 2010. (d) For the period May 4, 2009 to December 31, 2009. (e) Commenced on May 1, 2005 and began transactions in 2009. (f) Commenced on November 10, 2008 and began transactions in 2010. (g) Commenced on November 10, 2008 and began transactions in 2009. The accompanying notes are an integral part of these financial statements. 90 PIONEER VCT MID CAP VALUE ROYCE MICRO-CAP ROYCE SMALL-CAP INVESTMENT DIVISION INVESTMENT DIVISION INVESTMENT DIVISION ------------------------------------- --------------------------------------------------------------- 2010 2009 (b) 2010 (f) 2010 2009 (g) ----------- ------------------------- ---------------------- -------------- ------------------------- $ 801 $ -- $ 5,659 $ 425 $ -- ----------- ------------------------- ---------------------- -------------- ------------------------- 297 34 619 1,285 57 ----------- ------------------------- ---------------------- -------------- ------------------------- 297 34 619 1,285 57 ----------- ------------------------- ---------------------- -------------- ------------------------- 504 (34) 5,040 (860) (57) ----------- ------------------------- ---------------------- -------------- ------------------------- -- -- -- -- -- 313 32 197 2,111 16 ----------- ------------------------- ---------------------- -------------- ------------------------- 313 32 197 2,111 16 ----------- ------------------------- ---------------------- -------------- ------------------------- 14,039 2,439 61,964 63,066 2,984 ----------- ------------------------- ---------------------- -------------- ------------------------- 14,352 2,471 62,161 65,177 3,000 ----------- ------------------------- ---------------------- -------------- ------------------------- $ 14,856 $ 2,437 $ 67,201 $ 64,317 $ 2,943 =========== ========================= ====================== ============== =========================
The accompanying notes are an integral part of these financial statements. 91 METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE INSURANCE COMPANY STATEMENTS OF OPERATIONS -- (CONCLUDED) FOR THE YEARS ENDED DECEMBER 31, 2010, 2009, AND 2008 UIF EMERGING MARKETS DEBT INVESTMENT DIVISION -------------------------------- 2010 2009 (g) -------- ----------------------- INVESTMENT INCOME: Dividends $ 318 $ 74 -------- ----------------------- EXPENSES: Mortality and expense risk charges 31 6 -------- ----------------------- Total expenses 31 6 -------- ----------------------- Net investment income (loss) 287 68 -------- ----------------------- NET REALIZED AND CHANGE IN UNREALIZED GAINS (LOSSES) ON INVESTMENTS: Realized gain distributions -- -- Realized gains (losses) on sale of investments 87 32 -------- ----------------------- Net realized gains (losses) 87 32 -------- ----------------------- Change in unrealized gains (losses) on investments 318 95 -------- ----------------------- Net realized and change in unrealized gains (losses) on investments 405 127 -------- ----------------------- Net increase (decrease) in net assets resulting from operations $ 692 $ 195 ======== =======================
(a) For the period April 28, 2008 to December 31, 2008. (b) Commenced on April 28, 2008 and began transactions in 2009. (c) For the period May 3, 2010 to December 31, 2010. (d) For the period May 4, 2009 to December 31, 2009. (e) Commenced on May 1, 2005 and began transactions in 2009. (f) Commenced on November 10, 2008 and began transactions in 2010. (g) Commenced on November 10, 2008 and began transactions in 2009. The accompanying notes are an integral part of these financial statements. 92 UIF EMERGING MARKETS EQUITY PIMCO VIT LOW DURATION INVESTMENT DIVISION INVESTMENT DIVISION --------------------------------------- ---------------------------------- 2010 2009 (g) 2010 2009 (d) ----------- --------------------------- ----------- ---------------------- $ 758 $ -- $ 12,187 $ 11,216 ----------- --------------------------- ----------- ---------------------- 520 17 2,779 1,731 ----------- --------------------------- ----------- ---------------------- 520 17 2,779 1,731 ----------- --------------------------- ----------- ---------------------- 238 (17) 9,408 9,485 ----------- --------------------------- ----------- ---------------------- -- -- 2,469 32,906 899 480 260 180 ----------- --------------------------- ----------- ---------------------- 899 480 2,729 33,086 ----------- --------------------------- ----------- ---------------------- 38,992 1,146 23,685 1,601 ----------- --------------------------- ----------- ---------------------- 39,891 1,626 26,414 34,687 ----------- --------------------------- ----------- ---------------------- $ 40,129 $ 1,609 $ 35,822 $ 44,172 =========== =========================== =========== ======================
The accompanying notes are an integral part of these financial statements. 93 METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE INSURANCE COMPANY STATEMENTS OF CHANGES IN NET ASSETS FOR THE YEARS ENDED DECEMBER 31, 2010, 2009, AND 2008 MSF BLACKROCK DIVERSIFIED INVESTMENT DIVISION -------------------------------------------------------------- 2010 2009 2008 ---------------- ---------------------------- ---------------- INCREASE (DECREASE) IN NET ASSETS: FROM OPERATIONS: Net investment income (loss) $ 2,653,340 $ 10,169,948 $ 5,620,528 Net realized gains (losses) (1,951,136) (4,609,576) 1,274,596 Change in unrealized gains (losses) on investments 20,635,275 31,028,944 (90,018,067) ---------------- ---------------------------- ---------------- Net increase (decrease) in net assets resulting from operations 21,337,479 36,589,316 (83,122,943) ---------------- ---------------------------- ---------------- POLICY TRANSACTIONS: Premium payments received from policy owners 29,469,771 32,386,040 36,312,304 Net transfers (including fixed account) (2,059,076) (4,711,176) (7,645,743) Policy charges (23,701,241) (25,234,205) (25,234,783) Transfers for policy benefits and terminations (19,336,433) (17,354,140) (18,838,290) ---------------- ---------------------------- ---------------- Net increase (decrease) in net assets resulting from policy transactions (15,626,979) (14,913,481) (15,406,512) ---------------- ---------------------------- ---------------- Net increase (decrease) in net assets 5,710,500 21,675,835 (98,529,455) NET ASSETS: Beginning of year 257,391,816 235,715,981 334,245,436 ---------------- ---------------------------- ---------------- End of year $ 263,102,316 $ 257,391,816 $ 235,715,981 ================ ============================ ================
(a) For the period April 28, 2008 to December 31, 2008. (b) Commenced on April 28, 2008 and began transactions in 2009. (c) For the period May 3, 2010 to December 31, 2010. (d) For the period May 4, 2009 to December 31, 2009. (e) Commenced on May 1, 2005 and began transactions in 2009. (f) Commenced on November 10, 2008 and began transactions in 2010. (g) Commenced on November 10, 2008 and began transactions in 2009. The accompanying notes are an integral part of these financial statements. 94 MSF BLACKROCK AGGRESSIVE GROWTH MSF METLIFE STOCK INDEX INVESTMENT DIVISION INVESTMENT DIVISION ----------------------------------------------------------- ------------------------------------------------------------ 2010 2009 2008 2010 2009 2008 ---------------- ---------------------- ------------------- ---------------- -------------------------- ---------------- $ (1,491,228) $ (1,057,460) $ (1,837,501) $ 5,808,346 $ 9,682,465 $ 7,210,587 451,106 (3,328,441) 740,184 (5,405,568) (976,772) 24,582,861 26,312,677 66,805,065 (115,833,611) 82,259,608 112,925,652 (312,125,621) ---------------- ---------------------- ------------------- ---------------- -------------------------- ---------------- 25,272,555 62,419,164 (116,930,928) 82,662,386 121,631,345 (280,332,173) ---------------- ---------------------- ------------------- ---------------- -------------------------- ---------------- 18,632,365 20,361,017 22,493,319 86,739,358 95,757,402 104,846,071 (3,158,688) (3,469,034) (1,853,857) (12,182,904) (18,281,346) (10,320,663) (13,928,346) (14,222,944) (14,747,697) (41,866,793) (43,260,398) (45,394,792) (14,208,996) (11,832,605) (14,745,615) (41,307,628) (30,750,386) (44,256,002) ---------------- ---------------------- ------------------- ---------------- -------------------------- ---------------- (12,663,665) (9,163,566) (8,853,850) (8,617,967) 3,465,272 4,874,614 ---------------- ---------------------- ------------------- ---------------- -------------------------- ---------------- 12,608,890 53,255,598 (125,784,778) 74,044,419 125,096,617 (275,457,559) 187,532,635 134,277,037 260,061,815 597,707,546 472,610,929 748,068,488 ---------------- ---------------------- ------------------- ---------------- -------------------------- ---------------- $ 200,141,525 $ 187,532,635 $ 134,277,037 $ 671,751,965 $ 597,707,546 $ 472,610,929 ================ ====================== =================== ================ ========================== ================
The accompanying notes are an integral part of these financial statements. 95 METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE INSURANCE COMPANY STATEMENTS OF CHANGES IN NET ASSETS -- (CONTINUED) FOR THE YEARS ENDED DECEMBER 31, 2010, 2009, AND 2008 MSF ARTIO INTERNATIONAL STOCK INVESTMENT DIVISION ---------------------------------------------------------------- 2010 2009 2008 --------------- -------------------------------- --------------- INCREASE (DECREASE) IN NET ASSETS: FROM OPERATIONS: Net investment income (loss) $ 312,234 $ (49,120) $ 1,319,521 Net realized gains (losses) (1,030,425) (2,053,375) 6,453,740 Change in unrealized gains (losses) on investments 3,370,719 10,298,349 (39,671,178) --------------- -------------------------------- --------------- Net increase (decrease) in net assets resulting from operations 2,652,528 8,195,854 (31,897,917) --------------- -------------------------------- --------------- POLICY TRANSACTIONS: Premium payments received from policy owners 5,258,777 5,947,335 6,916,925 Net transfers (including fixed account) (592,663) (1,694,751) (1,195,679) Policy charges (3,227,781) (3,532,211) (3,925,209) Transfers for policy benefits and terminations (3,487,847) (2,746,693) (3,608,501) --------------- -------------------------------- --------------- Net increase (decrease) in net assets resulting from policy transactions (2,049,514) (2,026,320) (1,812,464) --------------- -------------------------------- --------------- Net increase (decrease) in net assets 603,014 6,169,534 (33,710,381) NET ASSETS: Beginning of year 45,163,862 38,994,328 72,704,709 --------------- -------------------------------- --------------- End of year $ 45,766,876 $ 45,163,862 $ 38,994,328 =============== ================================ ===============
(a) For the period April 28, 2008 to December 31, 2008. (b) Commenced on April 28, 2008 and began transactions in 2009. (c) For the period May 3, 2010 to December 31, 2010. (d) For the period May 4, 2009 to December 31, 2009. (e) Commenced on May 1, 2005 and began transactions in 2009. (f) Commenced on November 10, 2008 and began transactions in 2010. (g) Commenced on November 10, 2008 and began transactions in 2009. The accompanying notes are an integral part of these financial statements. 96 MSF T. ROWE PRICE SMALL CAP GROWTH MSF OPPENHEIMER GLOBAL EQUITY INVESTMENT DIVISION INVESTMENT DIVISION --------------------------------------------------------- --------------------------------------------------------- 2010 2009 2008 2010 2009 2008 --------------- ---------------------- ------------------ --------------- ---------------------- ------------------ $ (769,902) $ (277,201) $ (578,209) $ 315,620 $ 593,945 $ 579,985 562,971 468,105 14,184,194 362,727 (362,452) 1,806,879 22,601,563 19,138,611 (44,529,670) 5,192,068 11,124,292 (23,254,667) --------------- ---------------------- ------------------ --------------- ---------------------- ------------------ 22,394,632 19,329,515 (30,923,685) 5,870,415 11,355,785 (20,867,803) --------------- ---------------------- ------------------ --------------- ---------------------- ------------------ 6,679,778 7,344,778 8,304,333 3,921,178 4,170,777 4,811,674 (365,817) (1,819,482) (1,832,472) 130,181 (1,832,917) (1,307,371) (4,469,032) (4,555,731) (4,567,009) (2,449,571) (2,484,658) (2,551,030) (5,044,716) (3,780,276) (4,436,137) (2,648,050) (1,971,254) (2,513,495) --------------- ---------------------- ------------------ --------------- ---------------------- ------------------ (3,199,787) (2,810,711) (2,531,285) (1,046,262) (2,118,051) (1,560,222) --------------- ---------------------- ------------------ --------------- ---------------------- ------------------ 19,194,845 16,518,804 (33,454,970) 4,824,153 9,237,733 (22,428,025) 68,810,021 52,291,217 85,746,187 38,882,417 29,644,684 52,072,709 --------------- ---------------------- ------------------ --------------- ---------------------- ------------------ $ 88,004,866 $ 68,810,021 $ 52,291,217 $ 43,706,570 $ 38,882,417 $ 29,644,684 =============== ====================== ================== =============== ====================== ==================
The accompanying notes are an integral part of these financial statements. 97 METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE INSURANCE COMPANY STATEMENTS OF CHANGES IN NET ASSETS -- (CONTINUED) FOR THE YEARS ENDED DECEMBER 31, 2010, 2009, AND 2008 MSF MFS VALUE INVESTMENT DIVISION ------------------------------------------------------ 2010 2009 2008 --------------- ---------------------- --------------- INCREASE (DECREASE) IN NET ASSETS: FROM OPERATIONS: Net investment income (loss) $ 255,596 $ (360,654) $ 561,336 Net realized gains (losses) (425,864) (877,734) 4,618,363 Change in unrealized gains (losses) on investments 5,358,513 9,493,542 (26,124,726) --------------- ---------------------- --------------- Net increase (decrease) in net assets resulting from operations 5,188,245 8,255,154 (20,945,027) --------------- ---------------------- --------------- POLICY TRANSACTIONS: Premium payments received from policy owners 6,966,530 7,793,992 9,258,644 Net transfers (including fixed account) 37,691 (1,188,905) (2,421,442) Policy charges (3,542,869) (3,789,583) (4,038,000) Transfers for policy benefits and terminations (3,962,238) (2,718,079) (2,767,928) --------------- ---------------------- --------------- Net increase (decrease) in net assets resulting from policy transactions (500,886) 97,424 31,274 --------------- ---------------------- --------------- Net increase (decrease) in net assets 4,687,359 8,352,579 (20,913,753) NET ASSETS: Beginning of year 49,365,491 41,012,912 61,926,665 --------------- ---------------------- --------------- End of year $ 54,052,850 $ 49,365,491 $ 41,012,912 =============== ====================== ===============
(a) For the period April 28, 2008 to December 31, 2008. (b) Commenced on April 28, 2008 and began transactions in 2009. (c) For the period May 3, 2010 to December 31, 2010. (d) For the period May 4, 2009 to December 31, 2009. (e) Commenced on May 1, 2005 and began transactions in 2009. (f) Commenced on November 10, 2008 and began transactions in 2010. (g) Commenced on November 10, 2008 and began transactions in 2009. The accompanying notes are an integral part of these financial statements. 98 MSF NEUBERGER BERMAN MID CAP VALUE MSF T. ROWE PRICE LARGE CAP GROWTH INVESTMENT DIVISION INVESTMENT DIVISION --------------------------------------------------------- --------------------------------------------------------- 2010 2009 2008 2010 2009 2008 --------------- ---------------------- ------------------ --------------- ---------------------- ------------------ $ (335) $ 373,237 $ (1,022) $ (260,485) $ (70,974) $ (96,719) 12,235 (1,385,415) 465,644 253,453 (485,740) 2,565,785 15,949,723 21,838,137 (39,787,375) 6,370,252 13,392,122 (24,832,884) --------------- ---------------------- ------------------ --------------- ---------------------- ------------------ 15,961,623 20,825,959 (39,322,753) 6,363,220 12,835,408 (22,363,818) --------------- ---------------------- ------------------ --------------- ---------------------- ------------------ 8,746,908 9,917,985 12,028,118 4,102,715 5,247,409 6,714,567 (311,273) (2,538,823) (1,512,789) (1,629,305) (479,252) (722,396) (4,935,922) (4,785,680) (5,289,330) (2,739,632) (3,146,728) (3,279,014) (5,431,326) (3,527,386) (3,842,875) (2,842,508) (2,638,815) (2,458,005) --------------- ---------------------- ------------------ --------------- ---------------------- ------------------ (1,931,613) (933,904) 1,383,124 (3,108,730) (1,017,386) 255,152 --------------- ---------------------- ------------------ --------------- ---------------------- ------------------ 14,030,010 19,892,055 (37,939,629) 3,254,490 11,818,022 (22,108,666) 63,957,799 44,065,744 82,005,373 42,520,597 30,702,575 52,811,241 --------------- ---------------------- ------------------ --------------- ---------------------- ------------------ $ 77,987,809 $ 63,957,799 $ 44,065,744 $ 45,775,087 $ 42,520,597 $ 30,702,575 =============== ====================== ================== =============== ====================== ==================
The accompanying notes are an integral part of these financial statements. 99 METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE INSURANCE COMPANY STATEMENTS OF CHANGES IN NET ASSETS -- (CONTINUED) FOR THE YEARS ENDED DECEMBER 31, 2010, 2009, AND 2008 MSF BARCLAYS CAPITAL AGGREGATE BOND INDEX INVESTMENT DIVISION ---------------- ---------------------- --------------- 2010 2009 2008 ---------------- ---------------------- --------------- INCREASE (DECREASE) IN NET ASSETS: FROM OPERATIONS: Net investment income (loss) $ 3,134,920 $ 5,177,513 $ 3,745,554 Net realized gains (losses) 613,564 195,723 578,961 Change in unrealized gains (losses) on investments 1,607,603 (1,139,158) 873,489 ---------------- ---------------------- --------------- Net increase (decrease) in net assets resulting from operations 5,356,087 4,234,078 5,198,004 ---------------- ---------------------- --------------- POLICY TRANSACTIONS: Premium payments received from policy owners 13,651,933 15,575,764 17,571,072 Net transfers (including fixed account) 4,296,224 5,185,787 (10,724,107) Policy charges (7,836,195) (8,703,722) (8,741,597) Transfers for policy benefits and terminations (7,334,933) (6,465,006) (11,706,897) ---------------- ---------------------- --------------- Net increase (decrease) in net assets resulting from policy transactions 2,777,029 5,592,822 (13,601,529) ---------------- ---------------------- --------------- Net increase (decrease) in net assets 8,133,116 9,826,901 (8,403,525) NET ASSETS: Beginning of year 106,351,639 96,524,738 104,928,263 ---------------- ---------------------- --------------- End of year $ 114,484,755 $ 106,351,639 $ 96,524,738 ================ ====================== ===============
(a) For the period April 28, 2008 to December 31, 2008. (b) Commenced on April 28, 2008 and began transactions in 2009. (c) For the period May 3, 2010 to December 31, 2010. (d) For the period May 4, 2009 to December 31, 2009. (e) Commenced on May 1, 2005 and began transactions in 2009. (f) Commenced on November 10, 2008 and began transactions in 2010. (g) Commenced on November 10, 2008 and began transactions in 2009. The accompanying notes are an integral part of these financial statements. 100 MSF MORGAN STANLEY EAFE INDEX MSF RUSSELL 2000 INDEX INVESTMENT DIVISION INVESTMENT DIVISION --------------------------------------------------------- --------------------------------------------------------- 2010 2009 2008 2010 2009 2008 --------------- ---------------------- ------------------ --------------- ------------------------- --------------- $ 1,043,606 $ 1,709,359 $ 1,230,251 $ 169,705 $ 494,140 $ 223,659 (236,046) (455,196) 2,898,914 (66,857) 70,119 1,982,185 3,674,685 11,844,795 (35,342,222) 11,828,973 9,093,620 (21,357,274) --------------- ---------------------- ------------------ --------------- ------------------------- --------------- 4,482,245 13,098,958 (31,213,057) 11,931,821 9,657,879 (19,151,430) --------------- ---------------------- ------------------ --------------- ------------------------- --------------- 7,898,110 9,558,645 11,532,998 6,030,913 6,872,994 7,965,817 2,327,295 (1,404,247) 1,253,714 (1,459,730) (966,184) (1,376,858) (3,885,302) (4,356,028) (4,798,345) (3,188,654) (3,197,900) (3,405,238) (4,368,376) (2,974,891) (3,419,820) (3,961,411) (2,569,871) (2,830,521) --------------- ---------------------- ------------------ --------------- ------------------------- --------------- 1,971,727 823,479 4,568,547 (2,578,882) 139,039 353,200 --------------- ---------------------- ------------------ --------------- ------------------------- --------------- 6,453,972 13,922,437 (26,644,510) 9,352,939 9,796,918 (18,798,230) 58,913,857 44,991,420 71,635,930 47,243,288 37,446,370 56,244,600 --------------- ---------------------- ------------------ --------------- ------------------------- --------------- $ 65,367,829 $ 58,913,857 $ 44,991,420 $ 56,596,227 $ 47,243,288 $ 37,446,370 =============== ====================== ================== =============== ========================= ===============
The accompanying notes are an integral part of these financial statements. 101 METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE INSURANCE COMPANY STATEMENTS OF CHANGES IN NET ASSETS -- (CONTINUED) FOR THE YEARS ENDED DECEMBER 31, 2010, 2009, AND 2008 MSF JENNISON GROWTH INVESTMENT DIVISION ----------------------------------------------------- 2010 2009 2008 --------------- ---------------------- -------------- INCREASE (DECREASE) IN NET ASSETS: FROM OPERATIONS: Net investment income (loss) $ (33,604) $ (75,210) $ 209,436 Net realized gains (losses) 17,747 (140,559) 1,100,787 Change in unrealized gains (losses) on investments 1,535,759 4,015,386 (7,064,823) --------------- ---------------------- -------------- Net increase (decrease) in net assets resulting from operations 1,519,902 3,799,617 (5,754,600) --------------- ---------------------- -------------- POLICY TRANSACTIONS: Premium payments received from policy owners 1,601,194 1,719,206 1,982,892 Net transfers (including fixed account) 598,866 (143,027) (361,588) Policy charges (946,786) (963,364) (951,173) Transfers for policy benefits and terminations (838,122) (752,854) (843,478) --------------- ---------------------- -------------- Net increase (decrease) in net assets resulting from policy transactions 415,152 (140,039) (173,347) --------------- ---------------------- -------------- Net increase (decrease) in net assets 1,935,054 3,659,578 (5,927,947) NET ASSETS: Beginning of year 13,473,347 9,813,769 15,741,716 --------------- ---------------------- -------------- End of year $ 15,408,401 $ 13,473,347 $ 9,813,769 =============== ====================== ==============
(a) For the period April 28, 2008 to December 31, 2008. (b) Commenced on April 28, 2008 and began transactions in 2009. (c) For the period May 3, 2010 to December 31, 2010. (d) For the period May 4, 2009 to December 31, 2009. (e) Commenced on May 1, 2005 and began transactions in 2009. (f) Commenced on November 10, 2008 and began transactions in 2010. (g) Commenced on November 10, 2008 and began transactions in 2009. The accompanying notes are an integral part of these financial statements. 102 MSF NEUBERGER BERMAN GENESIS MSF METLIFE MID CAP STOCK INDEX INVESTMENT DIVISION INVESTMENT DIVISION --------------------------------------------------------------- --------------------------------------------------------- 2010 2009 2008 2010 2009 2008 --------------- ------------------------------- --------------- --------------- ---------------------- ------------------ $ (275,380) $ 150,638 $ (263,415) $ 88,922 $ 436,208 $ 324,526 (2,085,738) (2,703,187) 6,156,715 248,370 308,329 4,777,346 15,927,942 10,045,644 (44,228,185) 12,893,844 13,600,526 (28,232,883) --------------- ------------------------------- --------------- --------------- ---------------------- ------------------ 13,566,824 7,493,095 (38,334,885) 13,231,136 14,345,063 (23,131,011) --------------- ------------------------------- --------------- --------------- ---------------------- ------------------ 9,951,447 11,539,415 13,840,463 7,250,885 8,322,995 9,503,166 (1,640,139) (1,847,368) (4,686,927) 173,240 (1,733,152) 922,808 (5,140,082) (5,408,103) (6,294,459) (3,916,122) (3,929,463) (4,174,112) (5,453,013) (4,050,199) (5,526,338) (4,634,928) (4,046,727) (6,346,919) --------------- ------------------------------- --------------- --------------- ---------------------- ------------------ (2,281,787) 233,745 (2,667,261) (1,126,925) (1,386,348) (95,057) --------------- ------------------------------- --------------- --------------- ---------------------- ------------------ 11,285,037 7,726,840 (41,002,146) 12,104,211 12,958,716 (23,226,068) 67,433,059 59,706,219 100,708,365 53,691,851 40,733,135 63,959,203 --------------- ------------------------------- --------------- --------------- ---------------------- --- -------------- $ 78,718,096 $ 67,433,059 $ 59,706,219 $ 65,796,062 $ 53,691,851 $ 40,733,135 =============== =============================== =============== =============== ====================== ==================
The accompanying notes are an integral part of these financial statements. 103 METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE INSURANCE COMPANY STATEMENTS OF CHANGES IN NET ASSETS -- (CONTINUED) FOR THE YEARS ENDED DECEMBER 31, 2010, 2009, AND 2008 MSF LOOMIS SAYLES SMALL CAP GROWTH INVESTMENT DIVISION ------------------------------------------------------- 2010 2009 2008 -------------- ---------------------- ----------------- INCREASE (DECREASE) IN NET ASSETS: FROM OPERATIONS: Net investment income (loss) $ (51,755) $ (39,304) $ (48,690) Net realized gains (losses) (47,680) (219,528) 462,091 Change in unrealized gains (losses) on investments 1,843,398 1,519,136 (3,371,627) -------------- ---------------------- ----------------- Net increase (decrease) in net assets resulting from operations 1,743,963 1,260,304 (2,958,226) -------------- ---------------------- ----------------- POLICY TRANSACTIONS: Premium payments received from policy owners 919,140 988,520 1,143,026 Net transfers (including fixed account) 81,273 (173,065) (232,983) Policy charges (421,055) (408,126) (445,177) Transfers for policy benefits and terminations (486,248) (281,193) (339,761) -------------- ---------------------- ----------------- Net increase (decrease) in net assets resulting from policy transactions 93,110 126,136 125,105 -------------- ---------------------- ----------------- Net increase (decrease) in net assets 1,837,073 1,386,440 (2,833,121) NET ASSETS: Beginning of year 5,593,368 4,206,928 7,040,049 -------------- ---------------------- ----------------- End of year $ 7,430,441 $ 5,593,368 $ 4,206,928 ============== ====================== =================
(a) For the period April 28, 2008 to December 31, 2008. (b) Commenced on April 28, 2008 and began transactions in 2009. (c) For the period May 3, 2010 to December 31, 2010. (d) For the period May 4, 2009 to December 31, 2009. (e) Commenced on May 1, 2005 and began transactions in 2009. (f) Commenced on November 10, 2008 and began transactions in 2010. (g) Commenced on November 10, 2008 and began transactions in 2009. The accompanying notes are an integral part of these financial statements. 104 MSF BLACKROCK LARGE CAP VALUE MSF DAVIS VENTURE VALUE INVESTMENT DIVISION INVESTMENT DIVISION ----------------------------------------------------------- ---------------------------------------------------------- 2010 2009 2008 2010 2009 2008 --------------- ---------------------- -------------------- --------------- -------------------------- --------------- $ 27,035 $ 73,451 $ (2,759) $ 89,335 $ 312,737 $ 252,624 (263,466) (513,587) (9,263) 191,969 (723,952) 284,552 1,265,453 1,615,283 (4,899,187) 5,562,556 12,907,686 (24,908,606) --------------- ---------------------- -------------------- --------------- -------------------------- --------------- 1,029,022 1,175,147 (4,911,209) 5,843,860 12,496,471 (24,371,430) --------------- ---------------------- -------------------- --------------- -------------------------- --------------- 2,157,901 2,432,547 2,920,669 8,027,444 9,217,297 10,613,485 (183,197) 29,524 905,258 (908,212) (601,386) 154,312 (871,019) (969,741) (1,106,269) (3,883,974) (4,013,443) (4,201,518) (957,459) (514,960) (512,125) (3,941,742) (2,327,459) (2,743,331) --------------- ---------------------- -------------------- --------------- -------------------------- --------------- 146,226 977,370 2,207,533 (706,484) 2,275,010 3,822,948 --------------- ---------------------- -------------------- --------------- -------------------------- --------------- 1,175,248 2,152,517 (2,703,676) 5,137,376 14,771,480 (20,548,482) 11,723,889 9,571,372 12,275,048 52,773,242 38,001,762 58,550,244 --------------- ---------------------- -------------------- --------------- -------------------------- --------------- $ 12,899,137 $ 11,723,889 $ 9,571,372 $ 57,910,618 $ 52,773,242 $ 38,001,762 =============== ====================== ==================== =============== ========================== ===============
The accompanying notes are an integral part of these financial statements. 105 METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE INSURANCE COMPANY STATEMENTS OF CHANGES IN NET ASSETS -- (CONTINUED) FOR THE YEARS ENDED DECEMBER 31, 2010, 2009, AND 2008 MSF LOOMIS SAYLES SMALL CAP CORE INVESTMENT DIVISION -------------------------------------------------------- 2010 2009 2008 --------------- ---------------------- ----------------- INCREASE (DECREASE) IN NET ASSETS: FROM OPERATIONS: Net investment income (loss) $ (112,605) $ (66,505) $ (116,679) Net realized gains (losses) (55,224) (439,969) 2,006,144 Change in unrealized gains (losses) on investments 4,065,140 3,809,050 (7,889,493) --------------- ---------------------- ----------------- Net increase (decrease) in net assets resulting from operations 3,897,311 3,302,576 (6,000,028) --------------- ---------------------- ----------------- POLICY TRANSACTIONS: Premium payments received from policy owners 2,076,395 2,435,828 2,662,737 Net transfers (including fixed account) (491,792) (114,204) 421,215 Policy charges (1,025,327) (1,044,037) (1,093,210) Transfers for policy benefits and terminations (999,217) (789,008) (727,927) --------------- ---------------------- ----------------- Net increase (decrease) in net assets resulting from policy transactions (439,941) 488,579 1,262,815 --------------- ---------------------- ----------------- Net increase (decrease) in net assets 3,457,370 3,791,155 (4,737,213) NET ASSETS: Beginning of year 14,825,414 11,034,259 15,771,472 --------------- ---------------------- ----------------- End of year $ 18,282,784 $ 14,825,414 $ 11,034,259 =============== ====================== =================
(a) For the period April 28, 2008 to December 31, 2008. (b) Commenced on April 28, 2008 and began transactions in 2009. (c) For the period May 3, 2010 to December 31, 2010. (d) For the period May 4, 2009 to December 31, 2009. (e) Commenced on May 1, 2005 and began transactions in 2009. (f) Commenced on November 10, 2008 and began transactions in 2010. (g) Commenced on November 10, 2008 and began transactions in 2009. The accompanying notes are an integral part of these financial statements. 106 MSF BLACKROCK LEGACY LARGE CAP GROWTH MSF BLACKROCK BOND INCOME INVESTMENT DIVISION INVESTMENT DIVISION ------------------------------------------------------- ------------------------------------------------------------ 2010 2009 2008 2010 2009 2008 -------------- ---------------------- ----------------- --------------- ---------------------------- --------------- $ (38,770) $ (5,579) $ (18,267) $ 2,669,950 $ 5,080,494 $ 3,846,123 75,641 (146,284) (120,478) 24,746 (553,787) (261,951) 1,107,022 1,684,656 (1,924,420) 3,372,816 2,142,811 (7,357,146) -------------- ---------------------- ----------------- --------------- ---------------------------- --------------- 1,143,893 1,532,793 (2,063,165) 6,067,512 6,669,518 (3,772,974) -------------- ---------------------- ----------------- --------------- ---------------------------- --------------- 1,127,304 1,097,152 1,197,008 8,520,413 9,587,028 10,790,630 39,075 217,819 1,571,610 406,620 (2,591,044) (3,035,916) (499,832) (460,694) (466,831) (6,604,181) (7,385,796) (7,121,758) (438,412) (223,463) (276,284) (5,946,761) (5,845,823) (7,310,990) -------------- ---------------------- ----------------- --------------- ---------------------------- --------------- 228,135 630,814 2,025,503 (3,623,909) (6,235,635) (6,678,034) -------------- ---------------------- ----------------- --------------- ---------------------------- --------------- 1,372,028 2,163,607 (37,662) 2,443,603 433,883 (10,451,008) 5,950,495 3,786,888 3,824,550 82,419,233 81,985,350 92,436,358 -------------- ---------------------- ----------------- --------------- ---------------------------- --------------- $ 7,322,523 $ 5,950,495 $ 3,786,888 $ 84,862,836 $ 82,419,233 $ 81,985,350 ============== ====================== ================= =============== ============================ ===============
The accompanying notes are an integral part of these financial statements. 107 METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE INSURANCE COMPANY STATEMENTS OF CHANGES IN NET ASSETS -- (CONTINUED) FOR THE YEARS ENDED DECEMBER 31, 2010, 2009, AND 2008 MSF FI VALUE LEADERS INVESTMENT DIVISION ----------------------------------------------------- 2010 2009 2008 -------------- ----------------------- -------------- INCREASE (DECREASE) IN NET ASSETS: FROM OPERATIONS: Net investment income (loss) $ 42,314 $ 90,114 $ 62,174 Net realized gains (losses) (145,291) (259,906) 411,042 Change in unrealized gains (losses) on investments 885,079 1,128,894 (3,184,937) -------------- ----------------------- -------------- Net increase (decrease) in net assets resulting from operations 782,102 959,102 (2,711,721) -------------- ----------------------- -------------- POLICY TRANSACTIONS: Premium payments received from policy owners 997,133 1,137,076 1,366,282 Net transfers (including fixed account) 41,388 (112,167) (339,700) Policy charges (451,311) (473,372) (540,376) Transfers for policy benefits and terminations (361,541) (254,916) (291,811) -------------- ----------------------- -------------- Net increase (decrease) in net assets resulting from policy transactions 225,669 296,621 194,395 -------------- ----------------------- -------------- Net increase (decrease) in net assets 1,007,771 1,255,723 (2,517,326) NET ASSETS: Beginning of year 5,481,161 4,225,438 6,742,764 -------------- ----------------------- -------------- End of year $ 6,488,932 $ 5,481,161 $ 4,225,438 ============== ======================= ==============
(a) For the period April 28, 2008 to December 31, 2008. (b) Commenced on April 28, 2008 and began transactions in 2009. (c) For the period May 3, 2010 to December 31, 2010. (d) For the period May 4, 2009 to December 31, 2009. (e) Commenced on May 1, 2005 and began transactions in 2009. (f) Commenced on November 10, 2008 and began transactions in 2010. (g) Commenced on November 10, 2008 and began transactions in 2009. The accompanying notes are an integral part of these financial statements. 108 MSF MET/ARTISAN MID CAP VALUE MSF WESTERN ASSET MANAGEMENT STRATEGIC BOND OPPORTUNITIES INVESTMENT DIVISION INVESTMENT DIVISION ---------------------------------------------------------------- ------------------------------------------------------------ 2010 2009 2008 2010 2009 2008 --------------- -------------------------------- --------------- --------------- ---------------------- --------------------- $ (47,745) $ 94,579 $ (210,128) $ 1,151,290 $ 1,027,387 $ 570,564 (887,093) (2,074,439) 4,346,340 71,403 382,268 (105,443) 6,661,231 14,134,862 (29,274,257) 1,196,007 3,433,572 (3,452,504) --------------- -------------------------------- --------------- --------------- ---------------------- --------------------- 5,726,393 12,155,002 (25,138,045) 2,418,700 4,843,227 (2,987,383) --------------- -------------------------------- --------------- --------------- ---------------------- --------------------- 6,389,633 7,222,155 8,854,520 2,832,832 3,046,053 3,632,344 (144,561) (2,763,216) (1,996,000) 1,156,919 35,565 (873,301) (3,135,232) (3,172,696) (3,462,919) (1,584,202) (1,611,112) (1,570,638) (3,307,007) (2,344,946) (2,411,660) (1,617,829) (1,198,113) (1,108,566) --------------- -------------------------------- --------------- --------------- ---------------------- --------------------- (197,167) (1,058,703) 983,941 787,720 272,393 79,839 --------------- -------------------------------- --------------- --------------- ---------------------- --------------------- 5,529,226 11,096,299 (24,154,104) 3,206,420 5,115,620 (2,907,544) 41,071,915 29,975,616 54,129,720 20,580,082 15,464,462 18,372,006 --------------- -------------------------------- --------------- --------------- ---------------------- --------------------- $ 46,601,141 $ 41,071,915 $ 29,975,616 $ 23,786,502 $ 20,580,082 $ 15,464,462 =============== ================================ =============== =============== ====================== =====================
The accompanying notes are an integral part of these financial statements. 109 METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE INSURANCE COMPANY STATEMENTS OF CHANGES IN NET ASSETS -- (CONTINUED) FOR THE YEARS ENDED DECEMBER 31, 2010, 2009, AND 2008 MSF WESTERN ASSET MANAGEMENT U.S. GOVERNMENT INVESTMENT DIVISION ------------------------------------------------------ 2010 2009 2008 --------------- ---------------------- --------------- INCREASE (DECREASE) IN NET ASSETS: FROM OPERATIONS: Net investment income (loss) $ 314,612 $ 583,308 $ 545,979 Net realized gains (losses) 49,043 (89,029) (26,281) Change in unrealized gains (losses) on investments 435,726 44,105 (712,221) --------------- ---------------------- --------------- Net increase (decrease) in net assets resulting from operations 799,381 538,384 (192,523) --------------- ---------------------- --------------- POLICY TRANSACTIONS: Premium payments received from policy owners 2,331,803 2,652,804 3,041,844 Net transfers (including fixed account) (168,918) 3,368,164 (439,337) Policy charges (1,312,750) (1,485,448) (1,426,939) Transfers for policy benefits and terminations (1,375,135) (4,351,515) (1,143,545) --------------- ---------------------- --------------- Net increase (decrease) in net assets resulting from policy transactions (525,000) 184,006 32,023 --------------- ---------------------- --------------- Net increase (decrease) in net assets 274,381 722,389 (160,500) NET ASSETS: Beginning of year 16,359,270 15,636,881 15,797,381 --------------- ---------------------- --------------- End of year $ 16,633,651 $ 16,359,270 $ 15,636,881 =============== ====================== ===============
(a) For the period April 28, 2008 to December 31, 2008. (b) Commenced on April 28, 2008 and began transactions in 2009. (c) For the period May 3, 2010 to December 31, 2010. (d) For the period May 4, 2009 to December 31, 2009. (e) Commenced on May 1, 2005 and began transactions in 2009. (f) Commenced on November 10, 2008 and began transactions in 2010. (g) Commenced on November 10, 2008 and began transactions in 2009. The accompanying notes are an integral part of these financial statements. 110 MSF BLACKROCK MONEY MARKET MSF MFS TOTAL RETURN INVESTMENT DIVISION INVESTMENT DIVISION ------------------------------------------------------------- ----------------------------------------------------- 2010 2009 2008 2010 2009 2008 --------------- ----------------------------- --------------- -------------- ----------------------- -------------- $ (300,906) $ (11,349) $ 1,496,178 $ 130,483 $ 179,213 $ 147,927 -- -- -- (99,947) (173,243) 299,566 -- -- -- 568,242 937,515 (1,824,737) --------------- ----------------------------- --------------- -------------- ----------------------- -------------- (300,906) (11,349) 1,496,178 598,778 943,485 (1,377,244) --------------- ----------------------------- --------------- -------------- ----------------------- -------------- 14,816,043 8,264,492 7,147,517 952,924 1,270,198 1,252,582 (13,160,154) (31,859,828) (3,230,345) (93,026) 999,337 209,612 (1,340,285) (1,914,002) (1,791,374) (506,572) (577,409) (544,548) (5,424,880) (2,515,809) (3,755,019) (377,989) (362,991) (228,375) --------------- ----------------------------- --------------- -------------- ----------------------- -------------- (5,109,276) (28,025,147) (1,629,221) (24,663) 1,329,135 689,271 --------------- ----------------------------- --------------- -------------- ----------------------- -------------- (5,410,182) (28,036,496) (133,043) 574,115 2,272,620 (687,973) 35,228,518 63,265,014 63,398,057 7,134,157 4,861,537 5,549,510 --------------- ----------------------------- --------------- -------------- ----------------------- -------------- $ 29,818,336 $ 35,228,518 $ 63,265,014 $ 7,708,272 $ 7,134,157 $ 4,861,537 =============== ============================= =============== ============== ======================= ==============
The accompanying notes are an integral part of these financial statements. 111 METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE INSURANCE COMPANY STATEMENTS OF CHANGES IN NET ASSETS -- (CONTINUED) FOR THE YEARS ENDED DECEMBER 31, 2010, 2009, AND 2008 MSF METLIFE CONSERVATIVE ALLOCATION INVESTMENT DIVISION ----------------------------------------------------- 2010 2009 2008 -------------- ---------------------- --------------- INCREASE (DECREASE) IN NET ASSETS: FROM OPERATIONS: Net investment income (loss) $ 80,267 $ 42,263 $ 10,090 Net realized gains (losses) 46,459 5,727 (144,954) Change in unrealized gains (losses) on investments 119,161 276,504 (182,260) -------------- ---------------------- --------------- Net increase (decrease) in net assets resulting from operations 245,887 324,494 (317,124) -------------- ---------------------- --------------- POLICY TRANSACTIONS: Premium payments received from policy owners 467,696 374,777 277,237 Net transfers (including fixed account) 1,892,409 493,401 917,176 Policy charges (296,178) (222,010) (193,582) Transfers for policy benefits and terminations (461,555) (132,555) (117,612) -------------- ---------------------- --------------- Net increase (decrease) in net assets resulting from policy transactions 1,602,372 513,613 883,219 -------------- ---------------------- --------------- Net increase (decrease) in net assets 1,848,259 838,107 566,095 NET ASSETS: Beginning of year 2,188,237 1,350,130 784,035 -------------- ---------------------- --------------- End of year $ 4,036,496 $ 2,188,237 $ 1,350,130 ============== ====================== ===============
(a) For the period April 28, 2008 to December 31, 2008. (b) Commenced on April 28, 2008 and began transactions in 2009. (c) For the period May 3, 2010 to December 31, 2010. (d) For the period May 4, 2009 to December 31, 2009. (e) Commenced on May 1, 2005 and began transactions in 2009. (f) Commenced on November 10, 2008 and began transactions in 2010. (g) Commenced on November 10, 2008 and began transactions in 2009. The accompanying notes are an integral part of these financial statements. 112 MSF METLIFE CONSERVATIVE TO MODERATE ALLOCATION MSF METLIFE MODERATE ALLOCATION INVESTMENT DIVISION INVESTMENT DIVISION ---------------------------------------------------- -------------------------------------------------------- 2010 2009 2008 2010 2009 2008 -------------- ---------------------- -------------- --------------- ---------------------- ----------------- $ 146,886 $ 97,885 $ 15,426 $ 612,920 $ 506,612 $ 37,558 32,319 (68,146) (9,779) 17,779 (2,887) (190,034) 421,073 828,280 (847,823) 3,378,733 5,007,760 (6,087,839) -------------- ---------------------- -------------- --------------- ---------------------- ----------------- 600,278 858,019 (842,176) 4,009,432 5,511,485 (6,240,315) -------------- ---------------------- -------------- --------------- ---------------------- ----------------- 1,013,491 1,081,983 1,068,633 5,949,225 6,448,156 6,618,762 1,079,782 990,434 821,833 3,305,318 2,562,902 3,791,639 (573,007) (588,201) (557,733) (2,798,394) (2,812,947) (2,810,307) (457,386) (298,169) (249,480) (2,041,425) (1,454,530) (1,220,615) -------------- ---------------------- -------------- --------------- ---------------------- ----------------- 1,062,880 1,186,047 1,083,253 4,414,724 4,743,580 6,379,479 -------------- ---------------------- -------------- --------------- ---------------------- ----------------- 1,663,158 2,044,066 241,077 8,424,156 10,255,066 139,164 5,262,543 3,218,477 2,977,400 28,790,175 18,535,109 18,395,945 -------------- ---------------------- -------------- --------------- ---------------------- ----------------- $ 6,925,701 $ 5,262,543 $ 3,218,477 $ 37,214,331 $ 28,790,175 $ 18,535,109 ============== ====================== ============== =============== ====================== =================
The accompanying notes are an integral part of these financial statements. 113 METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE INSURANCE COMPANY STATEMENTS OF CHANGES IN NET ASSETS -- (CONTINUED) FOR THE YEARS ENDED DECEMBER 31, 2010, 2009, AND 2008 MSF METLIFE MODERATE TO AGGRESSIVE ALLOCATION INVESTMENT DIVISION --------------- ---------------------- --------------- 2010 2009 2008 --------------- ---------------------- --------------- INCREASE (DECREASE) IN NET ASSETS: FROM OPERATIONS: Net investment income (loss) $ 796,924 $ 779,492 $ (16,159) Net realized gains (losses) (102,509) (133,216) 175,501 Change in unrealized gains (losses) on investments 7,116,457 10,602,923 (15,640,562) --------------- ---------------------- --------------- Net increase (decrease) in net assets resulting from operations 7,810,872 11,249,199 (15,481,220) --------------- ---------------------- --------------- POLICY TRANSACTIONS: Premium payments received from policy owners 13,837,630 16,058,041 18,467,427 Net transfers (including fixed account) 655,595 (778,406) 5,509,124 Policy charges (5,100,587) (5,739,610) (6,415,360) Transfers for policy benefits and terminations (4,588,662) (2,211,947) (1,143,926) --------------- ---------------------- --------------- Net increase (decrease) in net assets resulting from policy transactions 4,803,976 7,328,078 16,417,265 --------------- ---------------------- --------------- Net increase (decrease) in net assets 12,614,848 18,577,277 936,045 NET ASSETS: Beginning of year 52,449,221 33,871,944 32,935,899 --------------- ---------------------- --------------- End of year $ 65,064,069 $ 52,449,221 $ 33,871,944 =============== ====================== ===============
(a) For the period April 28, 2008 to December 31, 2008. (b) Commenced on April 28, 2008 and began transactions in 2009. (c) For the period May 3, 2010 to December 31, 2010. (d) For the period May 4, 2009 to December 31, 2009. (e) Commenced on May 1, 2005 and began transactions in 2009. (f) Commenced on November 10, 2008 and began transactions in 2010. (g) Commenced on November 10, 2008 and began transactions in 2009. The accompanying notes are an integral part of these financial statements. 114 MSF METLIFE AGGRESSIVE ALLOCATION JANUS ASPEN JANUS INVESTMENT DIVISION INVESTMENT DIVISION --------------- ---------------------------------------- ---------------------------------------------------- 2010 2009 2008 2010 2009 2008 --------------- ---------------------- ----------------- -------------- ---------------------- -------------- $ 35,920 $ 123,185 $ (10,348) $ (153,142) $ 5,686 $ 16,320 (132,924) (317,303) 90,850 52,158 (31,201) 49,473 1,845,829 2,668,257 (4,222,544) 848,330 1,662,317 (3,051,413) --------------- ---------------------- ----------------- -------------- ---------------------- -------------- 1,748,825 2,474,139 (4,142,042) 747,346 1,636,802 (2,985,620) --------------- ---------------------- ----------------- -------------- ---------------------- -------------- 2,868,443 3,280,605 3,819,292 635,005 658,401 663,301 306,772 (255,947) 697,397 (58,773) 8,858 122,598 (1,017,478) (1,143,655) (1,345,001) (122,027) (310,790) (245,583) (952,529) (607,225) (323,045) -- (1,693) (135,708) --------------- ---------------------- ----------------- -------------- ---------------------- -------------- 1,205,208 1,273,778 2,848,643 454,205 354,776 404,608 --------------- ---------------------- ----------------- -------------- ---------------------- -------------- 2,954,033 3,747,917 (1,293,399) 1,201,551 1,991,578 (2,581,012) 10,645,616 6,897,699 8,191,098 6,630,451 4,638,873 7,219,885 --------------- ---------------------- ----------------- -------------- ---------------------- -------------- $ 13,599,649 $ 10,645,616 $ 6,897,699 $ 7,832,002 $ 6,630,451 $ 4,638,873 =============== ====================== ================= ============== ====================== ==============
The accompanying notes are an integral part of these financial statements. 115 METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE INSURANCE COMPANY STATEMENTS OF CHANGES IN NET ASSETS -- (CONTINUED) FOR THE YEARS ENDED DECEMBER 31, 2010, 2009, AND 2008 JANUS ASPEN BALANCED INVESTMENT DIVISION --------------------------------------------------- 2010 2009 2008 -------------- ----------------------- ------------ INCREASE (DECREASE) IN NET ASSETS: FROM OPERATIONS: Net investment income (loss) $ 30,692 $ 12,907 $ 2,996 Net realized gains (losses) 26,581 19,174 3,694 Change in unrealized gains (losses) on investments 90,252 93,262 (21,788) -------------- ----------------------- ------------ Net increase (decrease) in net assets resulting from operations 147,525 125,343 (15,098) -------------- ----------------------- ------------ POLICY TRANSACTIONS: Premium payments received from policy owners 500,783 116,443 43,848 Net transfers (including fixed account) 426,734 1,020,529 144,876 Policy charges (30,577) (15,717) (4,348) Transfers for policy benefits and terminations (8,070) (2,543) (2,904) -------------- ----------------------- ------------ Net increase (decrease) in net assets resulting from policy transactions 888,870 1,118,712 181,472 -------------- ----------------------- ------------ Net increase (decrease) in net assets 1,036,395 1,244,055 166,374 NET ASSETS: Beginning of year 1,490,464 246,409 80,035 -------------- ----------------------- ------------ End of year $ 2,526,859 $ 1,490,464 $ 246,409 ============== ======================= ============
(a) For the period April 28, 2008 to December 31, 2008. (b) Commenced on April 28, 2008 and began transactions in 2009. (c) For the period May 3, 2010 to December 31, 2010. (d) For the period May 4, 2009 to December 31, 2009. (e) Commenced on May 1, 2005 and began transactions in 2009. (f) Commenced on November 10, 2008 and began transactions in 2010. (g) Commenced on November 10, 2008 and began transactions in 2009. The accompanying notes are an integral part of these financial statements. 116 JANUS ASPEN FORTY JANUS ASPEN OVERSEAS INVESTMENT DIVISION INVESTMENT DIVISION -------------------------------------------------- ------------------------------------------------ 2010 2009 2008 2010 2009 2008 (a) -------------- ---------------------- ------------ ------------ ----------------------- ----------- $ (14,015) $ (2,048) $ (2,300) $ 792 $ 58 $ (44) 14,051 (78,622) (93,936) 4,218 26,564 (177) 47,707 310,554 (295,412) 62,994 37,885 (18,504) -------------- ---------------------- ------------ ------------ ----------------------- ----------- 47,743 229,884 (391,648) 68,004 64,507 (18,725) -------------- ---------------------- ------------ ------------ ----------------------- ----------- 190,160 165,769 22,794 61,601 9,283 38 46,953 209,535 641,922 175,192 11,467 45,738 (16,395) (23,392) (14,473) (7,034) (3,624) (400) (6,634) (106,150) (302,227) (4,005) (25,524) (667) -------------- ---------------------- ------------ ------------ ----------------------- ----------- 214,084 245,762 348,016 225,754 (8,398) 44,709 -------------- ---------------------- ------------ ------------ ----------------------- ----------- 261,827 475,646 (43,632) 293,758 56,109 25,984 950,941 475,295 518,927 82,093 25,984 -- -------------- ---------------------- ------------ ------------ ----------------------- ----------- $ 1,212,768 $ 950,941 $ 475,295 $ 375,851 $ 82,093 $ 25,984 ============== ====================== ============ ============ ======================= ===========
The accompanying notes are an integral part of these financial statements. 117 METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE INSURANCE COMPANY STATEMENTS OF CHANGES IN NET ASSETS -- (CONTINUED) FOR THE YEARS ENDED DECEMBER 31, 2010, 2009, AND 2008 INVESCO V.I. GLOBAL REAL ESTATE INVESTMENT DIVISION ---------------------------------------------------------------- 2010 2009 2008 -------------- ---------------------------------- -------------- INCREASE (DECREASE) IN NET ASSETS: FROM OPERATIONS: Net investment income (loss) $ 32,545 $ (5,813) $ 117,347 Net realized gains (losses) (130,047) (698,156) (61,509) Change in unrealized gains (losses) on investments 289,353 1,038,943 (1,334,686) -------------- ---------------------------------- -------------- Net increase (decrease) in net assets resulting from operations 191,851 334,974 (1,278,848) -------------- ---------------------------------- -------------- POLICY TRANSACTIONS: Premium payments received from policy owners 3,708 143,426 125,102 Net transfers (including fixed account) (63,773) (367,827) 28,052 Policy charges (14,537) (55,212) (71,189) Transfers for policy benefits and terminations (26,660) (3,924) 80,702 -------------- ---------------------------------- -------------- Net increase (decrease) in net assets resulting from policy transactions (101,262) (283,537) 162,667 -------------- ---------------------------------- -------------- Net increase (decrease) in net assets 90,589 51,437 (1,116,181) NET ASSETS: Beginning of year 1,506,522 1,455,085 2,571,266 -------------- ---------------------------------- -------------- End of year $ 1,597,111 $ 1,506,522 $ 1,455,085 ============== ================================== ==============
(a) For the period April 28, 2008 to December 31, 2008. (b) Commenced on April 28, 2008 and began transactions in 2009. (c) For the period May 3, 2010 to December 31, 2010. (d) For the period May 4, 2009 to December 31, 2009. (e) Commenced on May 1, 2005 and began transactions in 2009. (f) Commenced on November 10, 2008 and began transactions in 2010. (g) Commenced on November 10, 2008 and began transactions in 2009. The accompanying notes are an integral part of these financial statements. 118 INVESCO V.I. INVESCO V.I. INTERNATIONAL GROWTH INVESCO V.I. GOVERNMENT VAN KAMPEN COMSTOCK INVESTMENT DIVISION INVESTMENT DIVISION INVESTMENT DIVISION ------------------------------------ --------------------------------------- ---------------------------------- 2010 2009 (b) 2010 2009 2008 2010 (c) ------------ ----------------------- ------------ -------------------------- ----------- ---------------------- $ 3,581 $ 213 $ (101) $ 3,609 $ 1,876 $ -- 1,465 34 (188) (289) (1,270) 53 26,537 2,258 4,107 (2,868) (983) 45 ------------ ----------------------- ------------ -------------------------- ----------- ---------------------- 31,583 2,505 3,818 452 (377) 98 ------------ ----------------------- ------------ -------------------------- ----------- ---------------------- 43,890 -- 23,483 51,159 30,742 -- 184,805 16,392 (1,622) 10,279 444 31,986 (4,422) (495) (5,001) (7,970) (6,986) -- (1,805) (42) -- (411) (15,013) -- ------------ ----------------------- ------------ -------------------------- ----------- ---------------------- 222,468 15,855 16,860 53,057 9,187 31,986 ------------ ----------------------- ------------ -------------------------- ----------- ---------------------- 254,051 18,360 20,678 53,509 8,810 32,084 18,360 -- 85,035 31,526 22,716 -- ------------ ----------------------- ------------ -------------------------- ----------- ---------------------- $ 272,411 $ 18,360 $ 105,713 $ 85,035 $ 31,526 $ 32,084 ============ ======================= ============ ========================== =========== ======================
The accompanying notes are an integral part of these financial statements. 119 METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE INSURANCE COMPANY STATEMENTS OF CHANGES IN NET ASSETS -- (CONTINUED) FOR THE YEARS ENDED DECEMBER 31, 2010, 2009, AND 2008 FTVIPT TEMPLETON FOREIGN SECURITIES INVESTMENT DIVISION ------------------------------------------------------- 2010 2009 2008 -------------- ---------------------- ----------------- INCREASE (DECREASE) IN NET ASSETS: FROM OPERATIONS: Net investment income (loss) $ (74,871) $ 211,754 $ 166,480 Net realized gains (losses) (50,450) (153,389) 735,646 Change in unrealized gains (losses) on investments 614,425 2,059,948 (4,855,241) -------------- ---------------------- ----------------- Net increase (decrease) in net assets resulting from operations 489,104 2,118,313 (3,953,115) -------------- ---------------------- ----------------- POLICY TRANSACTIONS: Premium payments received from policy owners 834,212 807,327 773,781 Net transfers (including fixed account) 220,184 (284,673) 350,298 Policy charges (165,900) (372,860) (323,164) Transfers for policy benefits and terminations (68,047) (189,134) (355,256) -------------- ---------------------- ----------------- Net increase (decrease) in net assets resulting from policy transactions 820,449 (39,340) 445,659 -------------- ---------------------- ----------------- Net increase (decrease) in net assets 1,309,553 2,078,973 (3,507,456) NET ASSETS: Beginning of year 7,935,141 5,856,168 9,363,624 -------------- ---------------------- ----------------- End of year $ 9,244,694 $ 7,935,141 $ 5,856,168 ============== ====================== =================
(a) For the period April 28, 2008 to December 31, 2008. (b) Commenced on April 28, 2008 and began transactions in 2009. (c) For the period May 3, 2010 to December 31, 2010. (d) For the period May 4, 2009 to December 31, 2009. (e) Commenced on May 1, 2005 and began transactions in 2009. (f) Commenced on November 10, 2008 and began transactions in 2010. (g) Commenced on November 10, 2008 and began transactions in 2009. The accompanying notes are an integral part of these financial statements. 120 FTVIPT MUTUAL GLOBAL DISCOVERY SECURITIES FTVIPT TEMPLETON GLOBAL BOND SECURITIES INVESTMENT DIVISION INVESTMENT DIVISION ------------------------------------------------------ ------------------------------------------ 2010 2009 2008 2010 2009 (d) ------------ ---------------------- ------------------ ---------- ------------------------------- $ 7,237 $ 3,112 $ 39,464 $ (29) $ (4) (4,189) (438,168) 78,245 4,601 5 81,592 609,659 (759,844) (171) 239 ------------ ---------------------- ------------------ ---------- ------------------------------- 84,640 174,603 (642,135) 4,401 240 ------------ ---------------------- ------------------ ---------- ------------------------------- 97,464 291,315 407,392 9,303 -- (79,267) (1,354,085) 463,793 (9,428) 3,614 (17,879) (31,930) (44,076) (736) (140) (141) (32,906) (55,518) (3,516) (10) ------------ ---------------------- ------------------ ---------- ------------------------------- 177 (1,127,606) 771,591 (4,377) 3,464 ------------ ---------------------- ------------------ ---------- ------------------------------- 84,817 (953,003) 129,456 24 3,704 882,515 1,835,518 1,706,062 3,704 -- ------------ ---------------------- ------------------ ---------- ------------------------------- $ 967,332 $ 882,515 $ 1,835,518 $ 3,728 $ 3,704 ============ ====================== ================== ========== ===============================
The accompanying notes are an integral part of these financial statements. 121 METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE INSURANCE COMPANY STATEMENTS OF CHANGES IN NET ASSETS -- (CONTINUED) FOR THE YEARS ENDED DECEMBER 31, 2010, 2009, AND 2008 ALLIANCEBERNSTEIN GLOBAL THEMATIC GROWTH INVESTMENT DIVISION --------------------------------------------------- 2010 2009 2008 ------------ ---------------------- --------------- INCREASE (DECREASE) IN NET ASSETS: FROM OPERATIONS: Net investment income (loss) $ 1,176 $ (370) $ (223) Net realized gains (losses) 8,379 (2,773) (414) Change in unrealized gains (losses) on investments 1,480 45,397 (37,457) ------------ ---------------------- --------------- Net increase (decrease) in net assets resulting from operations 11,035 42,254 (38,094) ------------ ---------------------- --------------- POLICY TRANSACTIONS: Premium payments received from policy owners 1,269 21,200 5,432 Net transfers (including fixed account) (20,468) 29,509 30,492 Policy charges (1,852) (2,499) (913) Transfers for policy benefits and terminations -- (10,407) (567) ------------ ---------------------- --------------- Net increase (decrease) in net assets resulting from policy transactions (21,051) 37,803 34,444 ------------ ---------------------- --------------- Net increase (decrease) in net assets (10,016) 80,057 (3,650) NET ASSETS: Beginning of year 129,504 49,447 53,097 ------------ ---------------------- --------------- End of year $ 119,488 $ 129,504 $ 49,447 ============ ====================== ===============
(a) For the period April 28, 2008 to December 31, 2008. (b) Commenced on April 28, 2008 and began transactions in 2009. (c) For the period May 3, 2010 to December 31, 2010. (d) For the period May 4, 2009 to December 31, 2009. (e) Commenced on May 1, 2005 and began transactions in 2009. (f) Commenced on November 10, 2008 and began transactions in 2010. (g) Commenced on November 10, 2008 and began transactions in 2009. The accompanying notes are an integral part of these financial statements. 122 ALLIANCEBERNSTEIN ALLIANCEBERNSTEIN INTERMEDIATE BOND INTERNATIONAL VALUE FIDELITY VIP CONTRAFUND INVESTMENT DIVISION INVESTMENT DIVISION INVESTMENT DIVISION ------------------------------------------------------------- -------------------------------------------------------- 2010 2009 (e) 2010 (f) 2010 2009 2008 ----------- -------------------------- ---------------------- -------------- -------------------------- -------------- $ 2,038 $ 692 $ 29 $ 9,930 $ 30,836 $ 13,305 2,172 716 1 (217,628) (198,535) (242,658) (1,393) 2,187 88 648,547 1,136,586 (1,292,698) ----------- -------------------------- ---------------------- -------------- -------------------------- -------------- 2,817 3,595 118 440,849 968,887 (1,522,051) ----------- -------------------------- ---------------------- -------------- -------------------------- -------------- 3,570 13,019 -- 166,923 431,847 540,486 9,880 23,126 1,252 (1,821,221) 898,388 269,458 (1,055) (590) (13) (86,557) (99,153) (91,935) (255) (10,842) -- (10,806) (139,114) (170,946) ----------- -------------------------- ---------------------- -------------- -------------------------- -------------- 12,140 24,713 1,239 (1,751,661) 1,091,968 547,063 ----------- -------------------------- ---------------------- -------------- -------------------------- -------------- 14,957 28,308 1,357 (1,310,812) 2,060,855 (974,988) 28,308 -- -- 3,988,185 1,927,330 2,902,318 ----------- -------------------------- ---------------------- -------------- -------------------------- -------------- $ 43,265 $ 28,308 $ 1,357 $ 2,677,373 $ 3,988,185 $ 1,927,330 =========== ========================== ====================== ============== ========================== ==============
The accompanying notes are an integral part of these financial statements. 123 METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE INSURANCE COMPANY STATEMENTS OF CHANGES IN NET ASSETS -- (CONTINUED) FOR THE YEARS ENDED DECEMBER 31, 2010, 2009, AND 2008 FIDELITY VIP ASSET MANAGER: GROWTH INVESTMENT DIVISION ------------------------------------------------------ 2010 2009 2008 -------------- ---------------------- ---------------- INCREASE (DECREASE) IN NET ASSETS: FROM OPERATIONS: Net investment income (loss) $ 7,999 $ 15,866 $ 17,011 Net realized gains (losses) 37,274 (16,185) 8,935 Change in unrealized gains (losses) on investments 201,872 427,179 (532,156) -------------- ---------------------- ---------------- Net increase (decrease) in net assets resulting from operations 247,145 426,860 (506,210) -------------- ---------------------- ---------------- POLICY TRANSACTIONS: Premium payments received from policy owners 168,558 240,196 167,675 Net transfers (including fixed account) (53,668) 256,106 79,494 Policy charges (58,088) (64,669) (45,464) Transfers for policy benefits and terminations (120,774) (44,925) (46,018) -------------- ---------------------- ---------------- Net increase (decrease) in net assets resulting from policy transactions (63,972) 386,708 155,687 -------------- ---------------------- ---------------- Net increase (decrease) in net assets 183,173 813,568 (350,523) NET ASSETS: Beginning of year 1,722,435 908,867 1,259,390 -------------- ---------------------- ---------------- End of year $ 1,905,608 $ 1,722,435 $ 908,867 ============== ====================== ================
(a) For the period April 28, 2008 to December 31, 2008. (b) Commenced on April 28, 2008 and began transactions in 2009. (c) For the period May 3, 2010 to December 31, 2010. (d) For the period May 4, 2009 to December 31, 2009. (e) Commenced on May 1, 2005 and began transactions in 2009. (f) Commenced on November 10, 2008 and began transactions in 2010. (g) Commenced on November 10, 2008 and began transactions in 2009. The accompanying notes are an integral part of these financial statements. 124 FIDELITY VIP INVESTMENT GRADE BOND FIDELITY VIP EQUITY-INCOME INVESTMENT DIVISION INVESTMENT DIVISION --------------------------------------------------- ------------------------------------------------------- 2010 2009 2008 2010 2009 2008 ------------ ---------------------- --------------- ------------ ----------------------------- ------------ $ 13,892 $ 10,311 $ 1,503 $ 2,489 $ 3,688 $ 16,347 23,465 3,887 13,667 (5,418) (392,905) (281,987) (13,312) (1,678) (8,842) 31,745 405,695 (292,885) ------------ ---------------------- --------------- ------------ ----------------------------- ------------ 24,045 12,520 6,328 28,816 16,478 (558,525) ------------ ---------------------- --------------- ------------ ----------------------------- ------------ 829 4,336 5,021 37,251 60,293 140,670 281,430 183,821 (563,563) (103,500) (169,930) 350,624 (4,910) (4,482) (5,850) (5,643) (10,922) (27,027) -- (5,946) (250,607) -- (227,954) (544,605) ------------ ---------------------- --------------- ------------ ----------------------------- ------------ 277,349 177,729 (814,999) (71,892) (348,513) (80,338) ------------ ---------------------- --------------- ------------ ----------------------------- ------------ 301,394 190,249 (808,671) (43,076) (332,035) (638,863) 233,950 43,701 852,372 245,766 577,801 1,216,664 ------------ ---------------------- --------------- ------------ ----------------------------- ------------ $ 535,344 $ 233,950 $ 43,701 $ 202,690 $ 245,766 $ 577,801 ============ ====================== =============== ============ ============================= ============
The accompanying notes are an integral part of these financial statements. 125 METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE INSURANCE COMPANY STATEMENTS OF CHANGES IN NET ASSETS -- (CONTINUED) FOR THE YEARS ENDED DECEMBER 31, 2010, 2009, AND 2008 FIDELITY VIP HIGH INCOME INVESTMENT DIVISION ------------------------ --------- 2010 2009 (b) ---------- ----------------------- INCREASE (DECREASE) IN NET ASSETS: FROM OPERATIONS: Net investment income (loss) $ 310 $ 2,849 Net realized gains (losses) (227) 11 Change in unrealized gains (losses) on investments 801 (647) ---------- ----------------------- Net increase (decrease) in net assets resulting from operations 884 2,213 ---------- ----------------------- POLICY TRANSACTIONS: Premium payments received from policy owners -- 16,782 Net transfers (including fixed account) (36,834) 22,156 Policy charges (252) (236) Transfers for policy benefits and terminations (148) -- ---------- ----------------------- Net increase (decrease) in net assets resulting from policy transactions (37,234) 38,702 ---------- ----------------------- Net increase (decrease) in net assets (36,350) 40,915 NET ASSETS: Beginning of year 40,915 -- ---------- ----------------------- End of year $ 4,565 $ 40,915 ========== =======================
(a) For the period April 28, 2008 to December 31, 2008. (b) Commenced on April 28, 2008 and began transactions in 2009. (c) For the period May 3, 2010 to December 31, 2010. (d) For the period May 4, 2009 to December 31, 2009. (e) Commenced on May 1, 2005 and began transactions in 2009. (f) Commenced on November 10, 2008 and began transactions in 2010. (g) Commenced on November 10, 2008 and began transactions in 2009. The accompanying notes are an integral part of these financial statements. 126 FIDELITY VIP MID CAP FIDELITY VIP FREEDOM 2010 INVESTMENT DIVISION INVESTMENT DIVISION ------------------------------------------------ ---------------------------------------------------- 2010 2009 2008 (a) 2010 2009 2008 (a) ------------ ----------------------- ----------- ----------- ---------------------------- ----------- $ (4,707) $ (23) $ 14 $ 545 $ 457 $ 802 3,104 742 (70) 537 (1,656) 545 83,723 13,131 (10,714) 2,036 3,793 (2,956) ------------ ----------------------- ----------- ----------- ---------------------------- ----------- 82,120 13,850 (10,770) 3,118 2,594 (1,609) ------------ ----------------------- ----------- ----------- ---------------------------- ----------- 95,232 3,949.00 -- 2,793 1,353 339 77,140 192,734 43,089 12,520 (12,215) 26,580 (3,824) (835) (179) -- -- -- (4,506) (25,654) (315) (1,119) (753) (1,741) ------------ ----------------------- ----------- ----------- ---------------------------- ----------- 164,042 170,194 42,595 14,194 (11,615) 25,178 ------------ ----------------------- ----------- ----------- ---------------------------- ----------- 246,162 184,044 31,825 17,312 (9,021) 23,569 215,869 31,825 -- 14,548 23,569 -- ------------ ----------------------- ----------- ----------- ---------------------------- ----------- $ 462,031 $ 215,869 $ 31,825 $ 31,860 $ 14,548 $ 23,569 ============ ======================= =========== =========== ============================ ===========
The accompanying notes are an integral part of these financial statements. 127 METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE INSURANCE COMPANY STATEMENTS OF CHANGES IN NET ASSETS -- (CONTINUED) FOR THE YEARS ENDED DECEMBER 31, 2010, 2009, AND 2008 FIDELITY VIP FREEDOM 2020 INVESTMENT DIVISION ------------ ---------------------------- ----------- 2010 2009 2008 (a) ------------ ---------------------------- ----------- INCREASE (DECREASE) IN NET ASSETS: FROM OPERATIONS: Net investment income (loss) $ 12,680 $ 17,181 $ 1,217 Net realized gains (losses) 8,278 (918) 1,278 Change in unrealized gains (losses) on investments 70,032 149,817 (11,135) ------------ ---------------------------- ----------- Net increase (decrease) in net assets resulting from operations 90,990 166,080 (8,640) ------------ ---------------------------- ----------- POLICY TRANSACTIONS: Premium payments received from policy owners 10,953 2,536 344 Net transfers (including fixed account) 1,108 449,027 46,772 Policy charges (7,298) (5,925) (315) Transfers for policy benefits and terminations (5,562) (928) (440) ------------ ---------------------------- ----------- Net increase (decrease) in net assets resulting from policy transactions (799) 444,710 46,361 ------------ ---------------------------- ----------- Net increase (decrease) in net assets 90,191 610,790 37,721 NET ASSETS: Beginning of year 648,511 37,721 -- ------------ ---------------------------- ----------- End of year $ 738,702 $ 648,511 $ 37,721 ============ ============================ ===========
(a) For the period April 28, 2008 to December 31, 2008. (b) Commenced on April 28, 2008 and began transactions in 2009. (c) For the period May 3, 2010 to December 31, 2010. (d) For the period May 4, 2009 to December 31, 2009. (e) Commenced on May 1, 2005 and began transactions in 2009. (f) Commenced on November 10, 2008 and began transactions in 2010. (g) Commenced on November 10, 2008 and began transactions in 2009. The accompanying notes are an integral part of these financial statements. 128 FIDELITY VIP FREEDOM 2030 AMERICAN FUNDS GROWTH INVESTMENT DIVISION INVESTMENT DIVISION ----------------------------------------------------- --------------------------------------------------------- 2010 2009 2008 (a) 2010 2009 2008 ------------ ---------------------------- ----------- ---------------- ------------------------ --------------- $ 1,654 $ 512 $ 652 $ (121,539) $ (160,985) $ 8,765 1,390 367 1,114 (328,082) (1,821,468) 11,917,407 11,839 6,395 (3,051) 19,817,938 31,985,158 (70,192,654) ------------ ---------------------------- ----------- ---------------- ------------------------ --------------- 14,883 7,274 (1,285) 19,368,317 30,002,705 (58,266,482) ------------ ---------------------------- ----------- ---------------- ------------------------ --------------- 3,169 1,286 109 16,677,167 18,769,815 22,132,573 62,506 2,573 22,132 (1,005,842) (2,195,305) 5,909,829 (1,042) (28) -- (8,182,015) (8,384,980) (9,064,293) (3,063) (754) 431 (8,617,264) (5,510,035) (5,469,352) ------------ ---------------------------- ----------- ---------------- ------------------------ --------------- 61,570 3,077 22,672 (1,127,954) 2,679,495 13,508,757 ------------ ---------------------------- ----------- ---------------- ------------------------ --------------- 76,453 10,351 21,387 18,240,363 32,682,200 (44,757,725) 31,738 21,387 -- 109,197,492 76,515,292 121,273,017 ------------ ---------------------------- ----------- ---------------- ------------------------ --------------- $ 108,191 $ 31,738 $ 21,387 $ 127,437,855 $ 109,197,492 $ 76,515,292 ============ ============================ =========== ================ ======================== ===============
The accompanying notes are an integral part of these financial statements. 129 METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE INSURANCE COMPANY STATEMENTS OF CHANGES IN NET ASSETS -- (CONTINUED) FOR THE YEARS ENDED DECEMBER 31, 2010, 2009, AND 2008 AMERICAN FUNDS GROWTH-INCOME INVESTMENT DIVISION --------------------------------------------------------------- 2010 2009 2008 --------------- ------------------------------- --------------- INCREASE (DECREASE) IN NET ASSETS: FROM OPERATIONS: Net investment income (loss) $ 453,689 $ 446,910 $ 616,716 Net realized gains (losses) (336,443) (956,152) 4,098,718 Change in unrealized gains (losses) on investments 6,948,053 15,943,649 (34,739,655) --------------- ------------------------------- --------------- Net increase (decrease) in net assets resulting from operations 7,065,299 15,434,407 (30,024,221) --------------- ------------------------------- --------------- POLICY TRANSACTIONS: Premium payments received from policy owners 10,334,758 11,825,982 13,919,840 Net transfers (including fixed account) (240,405) (1,377,002) (337,648) Policy charges (5,117,228) (5,387,634) (5,766,937) Transfers for policy benefits and terminations (4,718,644) (3,569,007) (3,550,594) --------------- ------------------------------- --------------- Net increase (decrease) in net assets resulting from policy transactions 258,481 1,492,340 4,264,661 --------------- ------------------------------- --------------- Net increase (decrease) in net assets 7,323,780 16,926,746 (25,759,560) NET ASSETS: Beginning of year 66,537,414 49,610,668 75,370,228 --------------- ------------------------------- --------------- End of year $ 73,861,194 $ 66,537,414 $ 49,610,668 =============== =============================== ===============
(a) For the period April 28, 2008 to December 31, 2008. (b) Commenced on April 28, 2008 and began transactions in 2009. (c) For the period May 3, 2010 to December 31, 2010. (d) For the period May 4, 2009 to December 31, 2009. (e) Commenced on May 1, 2005 and began transactions in 2009. (f) Commenced on November 10, 2008 and began transactions in 2010. (g) Commenced on November 10, 2008 and began transactions in 2009. The accompanying notes are an integral part of these financial statements. 130 AMERICAN FUNDS GLOBAL SMALL CAPITALIZATION AMERICAN FUNDS BOND INVESTMENT DIVISION INVESTMENT DIVISION ------------------------------------------------------ ---------------------------------------------------- 2010 2009 2008 2010 2009 2008 --------------- ---------------------- --------------- -------------- ---------------------- -------------- $ 538,047 $ (246,097) $ (466,291) $ 94,433 $ 88,860 $ 168,134 (386,466) (2,366,209) 6,877,405 (8,911) (91,981) (78,359) 11,810,164 23,159,810 (44,244,505) 122,161 381,938 (446,834) --------------- ---------------------- --------------- -------------- ---------------------- -------------- 11,961,745 20,547,504 (37,833,391) 207,683 378,817 (357,059) --------------- ---------------------- --------------- -------------- ---------------------- -------------- 8,529,505 9,330,898 11,097,448 724,857 777,097 813,635 (976,366) (1,354,960) 87,246 320,665 (59,617) 63,592 (4,049,658) (3,968,778) (4,406,590) (330,299) (371,335) (377,262) (4,114,157) (2,381,130) (2,679,242) (318,517) (107,448) (182,193) --------------- ---------------------- --------------- -------------- ---------------------- -------------- (610,676) 1,626,030 4,098,862 396,706 238,697 317,772 --------------- ---------------------- --------------- -------------- ---------------------- -------------- 11,351,069 22,173,534 (33,734,529) 604,389 617,514 (39,287) 56,054,284 33,880,750 67,615,279 3,760,642 3,143,128 3,182,415 --------------- ---------------------- --------------- -------------- ---------------------- -------------- $ 67,405,353 $ 56,054,284 $ 33,880,750 $ 4,365,031 $ 3,760,642 $ 3,143,128 =============== ====================== =============== ============== ====================== ==============
The accompanying notes are an integral part of these financial statements. 131 METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE INSURANCE COMPANY STATEMENTS OF CHANGES IN NET ASSETS -- (CONTINUED) FOR THE YEARS ENDED DECEMBER 31, 2010, 2009, AND 2008 AMERICAN FUNDS INTERNATIONAL INVESTMENT DIVISION -------------------------------------------------------- 2010 2009 2008 (a) ------------ ------------------------------- ----------- INCREASE (DECREASE) IN NET ASSETS: FROM OPERATIONS: Net investment income (loss) $ 3,782 $ 799 $ 1,075 Net realized gains (losses) (608) 1,537 (88) Change in unrealized gains (losses) on investments 46,566 19,842 (13,968) ------------ ------------------------------- ----------- Net increase (decrease) in net assets resulting from operations 49,740 22,178 (12,981) ------------ ------------------------------- ----------- POLICY TRANSACTIONS: Premium payments received from policy owners 196,875 22,210 -- Net transfers (including fixed account) 113,293 416,930 57,452 Policy charges (7,689) (1,457) (246) Transfers for policy benefits and terminations (7,938) (38,651) (91) ------------ ------------------------------- ----------- Net increase (decrease) in net assets resulting from policy transactions 294,541 399,032 57,115 ------------ ------------------------------- ----------- Net increase (decrease) in net assets 344,281 421,210 44,134 NET ASSETS: Beginning of year 465,344 44,134 -- ------------ ------------------------------- ----------- End of year $ 809,625 $ 465,344 $ 44,134 ============ =============================== ===========
(a) For the period April 28, 2008 to December 31, 2008. (b) Commenced on April 28, 2008 and began transactions in 2009. (c) For the period May 3, 2010 to December 31, 2010. (d) For the period May 4, 2009 to December 31, 2009. (e) Commenced on May 1, 2005 and began transactions in 2009. (f) Commenced on November 10, 2008 and began transactions in 2010. (g) Commenced on November 10, 2008 and began transactions in 2009. The accompanying notes are an integral part of these financial statements. 132 AMERICAN FUNDS U.S. GOVERNMENT/AAA RATED SECURITIES MIST T. ROWE PRICE MID CAP GROWTH INVESTMENT DIVISION INVESTMENT DIVISION ------------------------------------------------------ -------------------------------------------------------- 2010 2009 2008 (a) 2010 2009 2008 ------------- ---------------------- ----------------- --------------- ---------------------- ----------------- $ 87 $ 1,740 $ 709 $ (150,122) $ (115,483) $ (121,466) 643 1,124 1 131,367 (381,122) 1,499,327 1,804 (1,799) 862 4,580,355 5,596,487 (8,808,387) ------------- ---------------------- ----------------- --------------- ---------------------- ----------------- 2,534 1,065 1,572 4,561,600 5,099,882 (7,430,526) ------------- ---------------------- ----------------- --------------- ---------------------- ----------------- 7,825 43,406 -- 2,269,288 2,540,664 3,106,587 (50,106) 40,706 33,514 264,028 (25,606) 478,281 (10,089) (8,355) (181) (1,184,611) (1,208,476) (1,260,749) (2,565) (21,474) (22) (1,448,078) (796,500) (1,115,075) ------------- ---------------------- ----------------- --------------- ---------------------- ----------------- (54,935) 54,283 33,311 (99,373) 510,083 1,209,044 ------------- ---------------------- ----------------- --------------- ---------------------- ----------------- (52,401) 55,348 34,883 4,462,227 5,609,964 (6,221,482) 90,231 34,883 -- 16,772,681 11,162,717 17,384,199 ------------- ---------------------- ----------------- --------------- ---------------------- ----------------- $ 37,830 $ 90,231 $ 34,883 $ 21,234,908 $ 16,772,681 $ 11,162,717 ============= ====================== ================= =============== ====================== =================
The accompanying notes are an integral part of these financial statements. 133 METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE INSURANCE COMPANY STATEMENTS OF CHANGES IN NET ASSETS -- (CONTINUED) FOR THE YEARS ENDED DECEMBER 31, 2010, 2009, AND 2008 MIST MFS RESEARCH INTERNATIONAL INVESTMENT DIVISION -------------------------------------------------------- 2010 2009 2008 --------------- ---------------------- ----------------- INCREASE (DECREASE) IN NET ASSETS: FROM OPERATIONS: Net investment income (loss) $ 134,233 $ 280,264 $ 153,553 Net realized gains (losses) (545,005) (1,024,253) 891,055 Change in unrealized gains (losses) on investments 1,743,808 3,897,065 (7,755,181) --------------- ---------------------- ----------------- Net increase (decrease) in net assets resulting from operations 1,333,036 3,153,076 (6,710,573) --------------- ---------------------- ----------------- POLICY TRANSACTIONS: Premium payments received from policy owners 1,870,809 2,210,375 2,439,035 Net transfers (including fixed account) (766,625) (550,815) 2,279,426 Policy charges (802,613) (902,498) (971,130) Transfers for policy benefits and terminations (892,543) (545,950) (852,116) --------------- ---------------------- ----------------- Net increase (decrease) in net assets resulting from policy transactions (590,972) 211,112 2,895,215 --------------- ---------------------- ----------------- Net increase (decrease) in net assets 742,064 3,364,188 (3,815,358) NET ASSETS: Beginning of year 13,178,754 9,814,566 13,629,924 --------------- ---------------------- ----------------- End of year $ 13,920,818 $ 13,178,754 $ 9,814,566 =============== ====================== =================
(a) For the period April 28, 2008 to December 31, 2008. (b) Commenced on April 28, 2008 and began transactions in 2009. (c) For the period May 3, 2010 to December 31, 2010. (d) For the period May 4, 2009 to December 31, 2009. (e) Commenced on May 1, 2005 and began transactions in 2009. (f) Commenced on November 10, 2008 and began transactions in 2010. (g) Commenced on November 10, 2008 and began transactions in 2009. The accompanying notes are an integral part of these financial statements. 134 MIST PIMCO TOTAL RETURN MIST RCM TECHNOLOGY INVESTMENT DIVISION INVESTMENT DIVISION ---------------------------------------------------------- ----------------------------------------------------- 2010 2009 2008 2010 2009 2008 --------------- -------------------------- --------------- --------------- ---------------------- -------------- $ 1,273,636 $ 2,452,300 $ 1,044,114 $ (111,175) $ (82,504) $ 1,260,852 474,495 1,576,841 795,767 (54,192) (600,648) 2,114,093 1,426,113 1,911,046 (1,944,451) 3,551,862 5,182,655 (9,308,569) --------------- -------------------------- --------------- --------------- ---------------------- -------------- 3,174,244 5,940,187 (104,570) 3,386,495 4,499,503 (5,933,624) --------------- -------------------------- --------------- --------------- ---------------------- -------------- 5,334,220 5,672,803 6,020,557 1,602,041 1,674,647 1,927,758 3,101,158 2,447,477 960,679 7,146 1,430,181 (675,929) (3,135,341) (3,246,181) (2,840,352) (958,684) (886,510) (820,489) (3,692,336) (3,035,028) (2,205,736) (1,144,160) (618,269) (607,497) --------------- -------------------------- --------------- --------------- ---------------------- -------------- 1,607,701 1,839,070 1,935,148 (493,657) 1,600,049 (176,157) --------------- -------------------------- --------------- --------------- ---------------------- -------------- 4,781,945 7,779,258 1,830,578 2,892,838 6,099,552 (6,109,781) 41,820,317 34,041,059 32,210,481 13,221,048 7,121,496 13,231,277 --------------- -------------------------- --------------- --------------- ---------------------- -------------- $ 46,602,262 $ 41,820,317 $ 34,041,059 $ 16,113,886 $ 13,221,048 $ 7,121,496 =============== ========================== =============== =============== ====================== ==============
The accompanying notes are an integral part of these financial statements. 135 METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE INSURANCE COMPANY STATEMENTS OF CHANGES IN NET ASSETS -- (CONTINUED) FOR THE YEARS ENDED DECEMBER 31, 2010, 2009, AND 2008 MIST LORD ABBETT BOND DEBENTURE INVESTMENT DIVISION -------------------------------------------------------- 2010 2009 2008 --------------- ---------------------- ----------------- INCREASE (DECREASE) IN NET ASSETS: FROM OPERATIONS: Net investment income (loss) $ 1,402,246 $ 1,391,406 $ 741,410 Net realized gains (losses) 240,525 (126,749) 159,621 Change in unrealized gains (losses) on investments 1,315,427 5,411,601 (5,045,528) --------------- ---------------------- ----------------- Net increase (decrease) in net assets resulting from operations 2,958,198 6,676,258 (4,144,497) --------------- ---------------------- ----------------- POLICY TRANSACTIONS: Premium payments received from policy owners 2,523,009 2,703,439 3,044,630 Net transfers (including fixed account) (548,415) 2,036,045 (840,812) Policy charges (1,509,898) (1,703,902) (1,532,129) Transfers for policy benefits and terminations (1,782,906) (1,226,776) (1,240,893) --------------- ---------------------- ----------------- Net increase (decrease) in net assets resulting from policy transactions (1,318,210) 1,808,806 (569,204) --------------- ---------------------- ----------------- Net increase (decrease) in net assets 1,639,988 8,485,064 (4,713,701) NET ASSETS: Beginning of year 26,033,742 17,548,678 22,262,379 --------------- ---------------------- ----------------- End of year $ 27,673,730 $ 26,033,742 $ 17,548,678 =============== ====================== =================
(a) For the period April 28, 2008 to December 31, 2008. (b) Commenced on April 28, 2008 and began transactions in 2009. (c) For the period May 3, 2010 to December 31, 2010. (d) For the period May 4, 2009 to December 31, 2009. (e) Commenced on May 1, 2005 and began transactions in 2009. (f) Commenced on November 10, 2008 and began transactions in 2010. (g) Commenced on November 10, 2008 and began transactions in 2009. The accompanying notes are an integral part of these financial statements. 136 MIST LAZARD MID CAP MIST INVESCO SMALL CAP GROWTH INVESTMENT DIVISION INVESTMENT DIVISION ---------------------------------------------------- -------------------------------------------------------------- 2010 2009 2008 2010 2009 2008 -------------- ---------------------- -------------- -------------- -------------------------------- -------------- $ 11,435 $ 19,267 $ 16,248 $ (30,507) $ (22,254) $ (24,205) (93,933) (283,748) 35,602 (15,371) (84,509) 197,782 1,108,654 1,519,608 (2,239,073) 887,599 919,328 (1,510,157) -------------- ---------------------- -------------- -------------- -------------------------------- -------------- 1,026,156 1,255,127 (2,187,223) 841,721 812,565 (1,336,580) -------------- ---------------------- -------------- -------------- -------------------------------- -------------- 700,574 796,272 992,305 471,774 525,764 623,838 24,219 (267,754) 293,008 164,724 214,625 84,613 (347,953) (346,321) (394,747) (216,436) (223,502) (237,487) (387,630) (290,206) (365,399) (184,521) (124,073) (180,449) -------------- ---------------------- -------------- -------------- -------------------------------- -------------- (10,790) (108,009) 525,167 235,541 392,814 290,515 -------------- ---------------------- -------------- -------------- -------------------------------- -------------- 1,015,366 1,147,118 (1,662,056) 1,077,262 1,205,379 (1,046,065) 4,569,758 3,422,640 5,084,696 3,392,636 2,187,257 3,233,322 -------------- ---------------------- -------------- -------------- -------------------------------- -------------- $ 5,585,124 $ 4,569,758 $ 3,422,640 $ 4,469,898 $ 3,392,636 $ 2,187,257 ============== ====================== ============== ============== ================================ ==============
The accompanying notes are an integral part of these financial statements. 137 METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE INSURANCE COMPANY STATEMENTS OF CHANGES IN NET ASSETS -- (CONTINUED) FOR THE YEARS ENDED DECEMBER 31, 2010, 2009, AND 2008 MIST HARRIS OAKMARK INTERNATIONAL INVESTMENT DIVISION --------------------------------------------------------- 2010 2009 2008 --------------- ---------------------- ------------------ INCREASE (DECREASE) IN NET ASSETS: FROM OPERATIONS: Net investment income (loss) $ 343,311 $ 1,418,689 $ 242,385 Net realized gains (losses) (312,283) (1,294,657) 2,675,287 Change in unrealized gains (losses) on investments 4,235,035 8,897,628 (13,913,907) --------------- ---------------------- ------------------ Net increase (decrease) in net assets resulting from operations 4,266,063 9,021,660 (10,996,235) --------------- ---------------------- ------------------ POLICY TRANSACTIONS: Premium payments received from policy owners 4,074,673 4,204,850 5,154,234 Net transfers (including fixed account) 669,473 154,538 (2,283,317) Policy charges (1,796,257) (1,715,379) (1,786,246) Transfers for policy benefits and terminations (2,128,605) (1,050,988) (944,552) --------------- ---------------------- ------------------ Net increase (decrease) in net assets resulting from policy transactions 819,284 1,593,020 140,119 --------------- ---------------------- ------------------ Net increase (decrease) in net assets 5,085,347 10,614,681 (10,856,116) NET ASSETS: Beginning of year 26,459,351 15,844,670 26,700,786 --------------- ---------------------- ------------------ End of year $ 31,544,698 $ 26,459,351 $ 15,844,670 =============== ====================== ==================
(a) For the period April 28, 2008 to December 31, 2008. (b) Commenced on April 28, 2008 and began transactions in 2009. (c) For the period May 3, 2010 to December 31, 2010. (d) For the period May 4, 2009 to December 31, 2009. (e) Commenced on May 1, 2005 and began transactions in 2009. (f) Commenced on November 10, 2008 and began transactions in 2010. (g) Commenced on November 10, 2008 and began transactions in 2009. The accompanying notes are an integral part of these financial statements. 138 MIST LEGG MASON CLEARBRIDGE AGGRESSIVE GROWTH MIST LORD ABBETT GROWTH AND INCOME INVESTMENT DIVISION INVESTMENT DIVISION ---------------------------------------------------- ------------------------------------------------------- 2010 2009 2008 2010 2009 2008 -------------- ---------------------- -------------- -------------- ---------------------- ----------------- $ (53,638) $ (40,420) $ (56,576) $ (69,544) $ 86,241 $ 70,536 (57,251) (166,346) (18,149) (79,021) (261,167) 472,182 1,583,027 1,815,976 (3,076,964) 921,874 894,542 (2,888,440) -------------- ---------------------- -------------- -------------- ---------------------- ----------------- 1,472,138 1,609,210 (3,151,689) 773,309 719,616 (2,345,722) -------------- ---------------------- -------------- -------------- ---------------------- ----------------- 897,883 1,020,767 1,253,068 427,886 455,197 479,313 (116,646) (178,569) (80,248) (66,707) (56,090) (17,411) (490,095) (500,322) (526,115) (66,379) (175,840) (146,058) (464,163) (374,454) (342,790) (7,059) (15,683) (23,697) -------------- ---------------------- -------------- -------------- ---------------------- ----------------- (173,021) (32,578) 303,915 287,741 207,584 292,147 -------------- ---------------------- -------------- -------------- ---------------------- ----------------- 1,299,117 1,576,632 (2,847,774) 1,061,050 927,200 (2,053,575) 6,533,459 4,956,827 7,804,601 5,163,011 4,235,811 6,289,386 -------------- ---------------------- -------------- -------------- ---------------------- ----------------- $ 7,832,576 $ 6,533,459 $ 4,956,827 $ 6,224,061 $ 5,163,011 $ 4,235,811 ============== ====================== ============== ============== ====================== =================
The accompanying notes are an integral part of these financial statements. 139 METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE INSURANCE COMPANY STATEMENTS OF CHANGES IN NET ASSETS -- (CONTINUED) FOR THE YEARS ENDED DECEMBER 31, 2010, 2009, AND 2008 MIST CLARION GLOBAL REAL ESTATE INVESTMENT DIVISION ------------------------------------------------------------------ 2010 2009 2008 --------------- ---------------------------------- --------------- INCREASE (DECREASE) IN NET ASSETS: FROM OPERATIONS: Net investment income (loss) $ 1,391,967 $ 376,681 $ 192,412 Net realized gains (losses) (571,095) (1,092,248) 947,022 Change in unrealized gains (losses) on investments 1,969,823 5,493,585 (9,433,208) --------------- ---------------------------------- --------------- Net increase (decrease) in net assets resulting from operations 2,790,695 4,778,018 (8,293,774) --------------- ---------------------------------- --------------- POLICY TRANSACTIONS: Premium payments received from policy owners 3,115,895 3,655,037 4,540,759 Net transfers (including fixed account) (6,843) (802,883) 360,392 Policy charges (1,331,035) (1,374,865) (1,606,318) Transfers for policy benefits and terminations (1,474,613) (714,297) (908,507) --------------- ---------------------------------- --------------- Net increase (decrease) in net assets resulting from policy transactions 303,404 762,992 2,386,326 --------------- ---------------------------------- --------------- Net increase (decrease) in net assets 3,094,099 5,541,010 (5,907,448) NET ASSETS: Beginning of year 18,066,465 12,525,455 18,432,903 --------------- ---------------------------------- --------------- End of year $ 21,160,564 $ 18,066,465 $ 12,525,455 =============== ================================== ===============
(a) For the period April 28, 2008 to December 31, 2008. (b) Commenced on April 28, 2008 and began transactions in 2009. (c) For the period May 3, 2010 to December 31, 2010. (d) For the period May 4, 2009 to December 31, 2009. (e) Commenced on May 1, 2005 and began transactions in 2009. (f) Commenced on November 10, 2008 and began transactions in 2010. (g) Commenced on November 10, 2008 and began transactions in 2009. The accompanying notes are an integral part of these financial statements. 140 MIST MORGAN STANLEY MID CAP GROWTH MIST LORD ABBETT MID CAP VALUE INVESTMENT DIVISION INVESTMENT DIVISION ------------------------------------------------------ -------------------------------------------------- 2010 2009 2008 2010 2009 2008 ---------------- ---------------------- -------------- ------------ ---------------------- -------------- $ (957,593) $ (870) $ 267 $ 199 $ 1,558 $ (115) 336,382 1,780 2,309 3,236 (38,897) (9,425) 31,775,159 75,648 (17,251) 19,769 57,059 (38,556) ---------------- ---------------------- -------------- ------------ ---------------------- -------------- 31,153,948 76,558 (14,675) 23,204 19,720 (48,096) ---------------- ---------------------- -------------- ------------ ---------------------- -------------- 16,409,129 13,014 31 6,334 75,266 6,403 174,856,480 208,259 36 (18,047) (77,923) 79,533 (9,530,730) (2,906) (162) (3,822) (4,803) (4,269) (9,440,323) (5,098) (1) -- (590) (8,220) ---------------- ---------------------- -------------- ------------ ---------------------- -------------- 172,294,556 213,269 (96) (15,535) (8,050) 73,447 ---------------- ---------------------- -------------- ------------ ---------------------- -------------- 203,448,504 289,827 (14,771) 7,669 11,670 25,351 306,427 16,600 31,371 103,521 91,851 66,500 ---------------- ---------------------- -------------- ------------ ---------------------- -------------- $ 203,754,931 $ 306,427 $ 16,600 $ 111,190 $ 103,521 $ 91,851 ================ ====================== ============== ============ ====================== ==============
The accompanying notes are an integral part of these financial statements. 141 METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE INSURANCE COMPANY STATEMENTS OF CHANGES IN NET ASSETS -- (CONTINUED) FOR THE YEARS ENDED DECEMBER 31, 2010, 2009, AND 2008 MIST THIRD AVENUE SMALL CAP VALUE INVESTMENT DIVISION ----------------------------------------------------- 2010 2009 2008 -------------- ---------------------- --------------- INCREASE (DECREASE) IN NET ASSETS: FROM OPERATIONS: Net investment income (loss) $ 1,081 $ 839 $ 888 Net realized gains (losses) 42,370 (14,175) 153 Change in unrealized gains (losses) on investments 198,929 152,916 (119,764) -------------- ---------------------- --------------- Net increase (decrease) in net assets resulting from operations 242,380 139,580 (118,723) -------------- ---------------------- --------------- POLICY TRANSACTIONS: Premium payments received from policy owners 152,265 57,631 48,914 Net transfers (including fixed account) 298,003 486,247 30,930 Policy charges (17,684) (12,877) (11,149) Transfers for policy benefits and terminations (369) (13,418) (87,205) -------------- ---------------------- --------------- Net increase (decrease) in net assets resulting from policy transactions 432,215 517,583 (18,510) -------------- ---------------------- --------------- Net increase (decrease) in net assets 674,595 657,163 (137,233) NET ASSETS: Beginning of year 900,994 243,831 381,064 -------------- ---------------------- --------------- End of year $ 1,575,589 $ 900,994 $ 243,831 ============== ====================== ===============
(a) For the period April 28, 2008 to December 31, 2008. (b) Commenced on April 28, 2008 and began transactions in 2009. (c) For the period May 3, 2010 to December 31, 2010. (d) For the period May 4, 2009 to December 31, 2009. (e) Commenced on May 1, 2005 and began transactions in 2009. (f) Commenced on November 10, 2008 and began transactions in 2010. (g) Commenced on November 10, 2008 and began transactions in 2009. The accompanying notes are an integral part of these financial statements. 142 MIST OPPENHEIMER CAPITAL APPRECIATION MIST LEGG MASON VALUE EQUITY INVESTMENT DIVISION INVESTMENT DIVISION ----------------------------------------------------- ------------------------------------------------------------- 2010 2009 2008 2010 2009 2008 -------------- ---------------------- --------------- -------------- ------------------------------- -------------- $ (2,663) $ (10,277) $ 30,626 $ 57,392 $ 32,368 $ (20,992) (39,996) (109,001) 189,066 (148,382) (273,743) 40,963 190,578 558,202 (860,586) 390,845 1,354,429 (3,108,496) -------------- ---------------------- --------------- -------------- ------------------------------- -------------- 147,919 438,924 (640,894) 299,855 1,113,054 (3,088,525) -------------- ---------------------- --------------- -------------- ------------------------------- -------------- 304,670 338,372 373,345 741,153 817,337 938,630 (75,809) 205,296 325,069 90,931 (92,993) 186,585 (119,410) (126,102) (131,344) (323,856) (317,442) (346,212) (109,397) (66,149) (40,306) (302,171) (208,119) (338,027) -------------- ---------------------- --------------- -------------- ------------------------------- -------------- 54 351,417 526,764 206,057 198,783 440,976 -------------- ---------------------- --------------- -------------- ------------------------------- -------------- 147,973 790,341 (114,130) 505,912 1,311,837 (2,647,549) 1,631,638 841,297 955,427 4,100,190 2,788,353 5,435,902 -------------- ---------------------- --------------- -------------- ------------------------------- -------------- $ 1,779,611 $ 1,631,638 $ 841,297 $ 4,606,102 $ 4,100,190 $ 2,788,353 ============== ====================== =============== ============== =============================== ==============
The accompanying notes are an integral part of these financial statements. 143 METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE INSURANCE COMPANY STATEMENTS OF CHANGES IN NET ASSETS -- (CONTINUED) FOR THE YEARS ENDED DECEMBER 31, 2010, 2009, AND 2008 MIST SSGA GROWTH ETF INVESTMENT DIVISION --------------------------------------------------- 2010 2009 2008 -------------- ----------------------- ------------ INCREASE (DECREASE) IN NET ASSETS: FROM OPERATIONS: Net investment income (loss) $ 16,282 $ 7,006 $ 4,529 Net realized gains (losses) 12,378 (20,730) (21,051) Change in unrealized gains (losses) on investments 271,601 309,775 (210,490) -------------- ----------------------- ------------ Net increase (decrease) in net assets resulting from operations 300,261 296,051 (227,012) -------------- ----------------------- ------------ POLICY TRANSACTIONS: Premium payments received from policy owners 426,740 229,022 168,313 Net transfers (including fixed account) 479,704 921,197 (72,658) Policy charges (144,844) (75,749) (43,964) Transfers for policy benefits and terminations (171,487) (38,845) (6,807) -------------- ----------------------- ------------ Net increase (decrease) in net assets resulting from policy transactions 590,113 1,035,626 44,884 -------------- ----------------------- ------------ Net increase (decrease) in net assets 890,374 1,331,676 (182,128) NET ASSETS: Beginning of year 1,789,007 457,331 639,459 -------------- ----------------------- ------------ End of year $ 2,679,381 $ 1,789,007 $ 457,331 ============== ======================= ============
(a) For the period April 28, 2008 to December 31, 2008. (b) Commenced on April 28, 2008 and began transactions in 2009. (c) For the period May 3, 2010 to December 31, 2010. (d) For the period May 4, 2009 to December 31, 2009. (e) Commenced on May 1, 2005 and began transactions in 2009. (f) Commenced on November 10, 2008 and began transactions in 2010. (g) Commenced on November 10, 2008 and began transactions in 2009. The accompanying notes are an integral part of these financial statements. 144 MIST SSGA GROWTH AND INCOME ETF MIST PIMCO INFLATION PROTECTED BOND INVESTMENT DIVISION INVESTMENT DIVISION ----------------------------------------------------- ------------------------------------------------------ 2010 2009 2008 2010 2009 2008 -------------- ---------------------- --------------- -------------- ---------------------- ---------------- $ 12,293 $ 6,273 $ 4,258 $ 146,674 $ 194,864 $ 95,597 16,158 3,801 (36,815) 281,279 (46,474) (94,032) 322,318 204,020 (94,558) 130,473 877,182 (678,454) -------------- ---------------------- --------------- -------------- ---------------------- ---------------- 350,769 214,094 (127,115) 558,426 1,025,572 (676,889) -------------- ---------------------- --------------- -------------- ---------------------- ---------------- 471,109 200,034 163,517 1,208,996 1,284,337 878,509 1,821,735 921,708 17,087 587,680 842,827 4,986,265 (188,226) (67,668) (43,029) (577,592) (561,645) (339,089) (217,589) (23,508) (19,484) (699,416) (379,813) (237,169) -------------- ---------------------- --------------- -------------- ---------------------- ---------------- 1,887,029 1,030,566 118,091 519,668 1,185,706 5,288,516 -------------- ---------------------- --------------- -------------- ---------------------- ---------------- 2,237,798 1,244,660 (9,024) 1,078,094 2,211,278 4,611,627 1,581,109 336,449 345,473 7,734,444 5,523,166 911,539 -------------- ---------------------- --------------- -------------- ---------------------- ---------------- $ 3,818,907 $ 1,581,109 $ 336,449 $ 8,812,538 $ 7,734,444 $ 5,523,166 ============== ====================== =============== ============== ====================== ================
The accompanying notes are an integral part of these financial statements. 145 METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE INSURANCE COMPANY STATEMENTS OF CHANGES IN NET ASSETS -- (CONTINUED) FOR THE YEARS ENDED DECEMBER 31, 2010, 2009, AND 2008 MIST BLACKROCK LARGE CAP CORE INVESTMENT DIVISION ----------------------------------------------------------- 2010 2009 2008 ---------------- ---------------------- ------------------- INCREASE (DECREASE) IN NET ASSETS: FROM OPERATIONS: Net investment income (loss) $ 1,615,609 $ 2,132,876 $ (317,267) Net realized gains (losses) (7,248,214) (10,716,690) 9,729,334 Change in unrealized gains (losses) on investments 38,497,976 54,384,062 (169,653,539) ---------------- ---------------------- ------------------- Net increase (decrease) in net assets resulting from operations 32,865,371 45,800,248 (160,241,472) ---------------- ---------------------- ------------------- POLICY TRANSACTIONS: Premium payments received from policy owners 34,809,861 38,206,877 42,625,658 Net transfers (including fixed account) (2,767,361) (5,847,879) (7,982,176) Policy charges (25,759,862) (26,968,042) (28,104,995) Transfers for policy benefits and terminations (21,236,249) (18,412,707) (24,473,418) ---------------- ---------------------- ------------------- Net increase (decrease) in net assets resulting from policy transactions (14,953,611) (13,021,751) (17,934,931) ---------------- ---------------------- ------------------- Net increase (decrease) in net assets 17,911,760 32,778,497 (178,176,403) NET ASSETS: Beginning of year 291,577,776 258,799,279 436,975,682 ---------------- ---------------------- ------------------- End of year $ 309,489,536 $ 291,577,776 $ 258,799,279 ================ ====================== ===================
(a) For the period April 28, 2008 to December 31, 2008. (b) Commenced on April 28, 2008 and began transactions in 2009. (c) For the period May 3, 2010 to December 31, 2010. (d) For the period May 4, 2009 to December 31, 2009. (e) Commenced on May 1, 2005 and began transactions in 2009. (f) Commenced on November 10, 2008 and began transactions in 2010. (g) Commenced on November 10, 2008 and began transactions in 2009. The accompanying notes are an integral part of these financial statements. 146 MIST JANUS FORTY MIST DREMAN SMALL CAP VALUE INVESTMENT DIVISION INVESTMENT DIVISION ----------------------------------------------------- ------------------------------------------------------------- 2010 2009 2008 2010 2009 2008 (a) --------------- ---------------------- -------------- ----------- ------------------------------ ------------------ $ 119,973 $ (75,162) $ 249,198 $ (48) $ (427) $ -- (41,591) (540,105) (35,061) 403 58,177 (10) 1,120,682 3,887,171 (4,523,728) 3,392 2,844 6 --------------- ---------------------- -------------- ----------- ------------------------------ ------------------ 1,199,064 3,271,904 (4,309,591) 3,747 60,594 (4) --------------- ---------------------- -------------- ----------- ------------------------------ ------------------ 2,241,409 2,031,808 1,649,448 2,082 412 -- 410,883 1,027,089 7,003,261 6,849 240,274 114 (908,738) (846,828) (590,128) (2,325) (5,500) -- (788,374) (298,955) (325,545) -- (278,764) 10 --------------- ---------------------- -------------- ----------- ------------------------------ ------------------ 955,180 1,913,115 7,737,036 6,606 (43,578) 124 --------------- ---------------------- -------------- ----------- ------------------------------ ------------------ 2,154,244 5,185,018 3,427,445 10,353 17,016 120 12,100,411 6,915,393 3,487,948 17,136 120 -- --------------- ---------------------- -------------- ----------- ------------------------------ ------------------ $ 14,254,655 $ 12,100,411 $ 6,915,393 $ 27,489 $ 17,136 $ 120 =============== ====================== ============== =========== ============================== ==================
The accompanying notes are an integral part of these financial statements. 147 METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE INSURANCE COMPANY STATEMENTS OF CHANGES IN NET ASSETS -- (CONTINUED) FOR THE YEARS ENDED DECEMBER 31, 2010, 2009, AND 2008 MIST AMERICAN FUNDS BALANCED ALLOCATION INVESTMENT DIVISION -------------------------------------------------- 2010 2009 2008 (a) ------------ ---------------------- -------------- INCREASE (DECREASE) IN NET ASSETS: FROM OPERATIONS: Net investment income (loss) $ 3,146 $ -- $ 368 Net realized gains (losses) 1,822 (28) (90) Change in unrealized gains (losses) on investments 26,193 14,667 (1,781) ------------ ---------------------- -------------- Net increase (decrease) in net assets resulting from operations 31,161 14,639 (1,503) ------------ ---------------------- -------------- POLICY TRANSACTIONS: Premium payments received from policy owners 105,391 30,361 302 Net transfers (including fixed account) 89,836 167,911 12,281 Policy charges (11,710) (9,727) (973) Transfers for policy benefits and terminations -- (563) -- ------------ ---------------------- -------------- Net increase (decrease) in net assets resulting from policy transactions 183,517 187,982 11,610 ------------ ---------------------- --- ---------- Net increase (decrease) in net assets 214,678 202,621 10,107 NET ASSETS: Beginning of year 212,728 10,107 -- ------------ ---------------------- -------------- End of year $ 427,406 $ 212,728 $ 10,107 ============ ====================== ==============
(a) For the period April 28, 2008 to December 31, 2008. (b) Commenced on April 28, 2008 and began transactions in 2009. (c) For the period May 3, 2010 to December 31, 2010. (d) For the period May 4, 2009 to December 31, 2009. (e) Commenced on May 1, 2005 and began transactions in 2009. (f) Commenced on November 10, 2008 and began transactions in 2010. (g) Commenced on November 10, 2008 and began transactions in 2009. The accompanying notes are an integral part of these financial statements. 148 MIST AMERICAN FUNDS GROWTH ALLOCATION MIST AMERICAN FUNDS MODERATE ALLOCATION INVESTMENT DIVISION INVESTMENT DIVISION -------------------------------------------------- -------------------------------------------------- 2010 2009 2008 (a) 2010 2009 2008 (a) ------------ ---------------------- -------------- ------------ ---------------------- -------------- $ 2,434 $ -- $ 644 $ 2,501 $ -- $ 165 5,990 1,298 12 646 370 (29) 79,550 20,909 (48) 16,902 11,101 (130) ------------ ---------------------- -------------- ------------ ---------------------- -------------- 87,974 22,207 608 20,049 11,471 6 ------------ ---------------------- -------------- ------------ ---------------------- -------------- 355,048 87,422 2,162 103,657 36,169 3,061 223,657 36,431 14,336 70,020 57,483 2,966 (93,195) (24,118) (1,358) (37,265) (13,816) (1,421) (2,170) (2,703) (1) (2,260) (21) (5) ------------ ---------------------- -------------- ------------ ---------------------- -------------- 483,340 97,032 15,139 134,152 79,815 4,601 ------------ ---------------------- -------------- ------------ ---------------------- -------------- 571,314 119,239 15,747 154,201 91,286 4,607 134,986 15,747 -- 95,893 4,607 -- ------------ ---------------------- -------------- ------------ ---------------------- -------------- $ 706,300 $ 134,986 $ 15,747 $ 250,094 $ 95,893 $ 4,607 ============ ====================== ============== ============ ====================== ==============
The accompanying notes are an integral part of these financial statements. 149 METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE INSURANCE COMPANY STATEMENTS OF CHANGES IN NET ASSETS -- (CONTINUED) FOR THE YEARS ENDED DECEMBER 31, 2010, 2009, AND 2008 MIST MET/FRANKLIN INCOME INVESTMENT DIVISION ---------------------------------------------------- 2010 2009 2008 (a) ------------ --------------------------- ----------- INCREASE (DECREASE) IN NET ASSETS: FROM OPERATIONS: Net investment income (loss) $ 3,216 $ -- $ 469 Net realized gains (losses) 823 54 (63) Change in unrealized gains (losses) on investments 10,272 9,507 (2,459) ------------ --------------------------- ----------- Net increase (decrease) in net assets resulting from operations 14,311 9,561 (2,053) ------------ --------------------------- ----------- POLICY TRANSACTIONS: Premium payments received from policy owners 28,894 13,515 2,138 Net transfers (including fixed account) 66,675 19,688 20,690 Policy charges (12,613) (6,238) (1,315) Transfers for policy benefits and terminations (1,480) (482) 1 ------------ --------------------------- ----------- Net increase (decrease) in net assets resulting from policy transactions 81,476 26,483 21,514 ------------ --------------------------- ----------- Net increase (decrease) in net assets 95,787 36,044 19,461 NET ASSETS: Beginning of year 55,505 19,461 -- ------------ --------------------------- ----------- End of year $ 151,292 $ 55,505 $ 19,461 ============ =========================== ===========
(a) For the period April 28, 2008 to December 31, 2008. (b) Commenced on April 28, 2008 and began transactions in 2009. (c) For the period May 3, 2010 to December 31, 2010. (d) For the period May 4, 2009 to December 31, 2009. (e) Commenced on May 1, 2005 and began transactions in 2009. (f) Commenced on November 10, 2008 and began transactions in 2010. (g) Commenced on November 10, 2008 and began transactions in 2009. The accompanying notes are an integral part of these financial statements. 150 MIST MET/FRANKLIN MUTUAL SHARES MIST MET/FRANKLIN TEMPLETON FOUNDING STRATEGY INVESTMENT DIVISION INVESTMENT DIVISION --------------------------------------------------- ------------------------------------------------ 2010 2009 2008 (a) 2010 2009 2008 (a) ------------- ---------------------- -------------- ------------ ---------------------- ------------ $ -- $ -- $ 234 $ -- $ -- $ 207 683 (91) (83) 1,546 565 (21) 4,077 4,710 (2,584) 23,230 14,572 (146) ------------- ---------------------- -------------- ------------ ---------------------- ------------ 4,760 4,619 (2,433) 24,776 15,137 40 ------------- ---------------------- -------------- ------------ ---------------------- ------------ 13,024 8,704 4,224 25,504 18,400 940 22,360 6,499 7,195 21,917 159,413 10,164 (6,571) (3,313) (946) (6,972) (7,871) (459) (811) (293) 24 -- (705) (4) ------------- ---------------------- -------------- ------------ ---------------------- ------------ 28,002 11,597 10,497 40,449 169,237 10,641 ------------- ---------------------- -------------- ------------ ---------------------- ------------ 32,762 16,216 8,064 65,225 184,374 10,681 24,280 8,064 -- 195,055 10,681 -- ------------- ---------------------- -------------- ------------ ---------------------- ------------ $ 57,042 $ 24,280 $ 8,064 $ 260,280 $ 195,055 $ 10,681 ============= ====================== ============== ============ ====================== ============
The accompanying notes are an integral part of these financial statements. 151 METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE INSURANCE COMPANY STATEMENTS OF CHANGES IN NET ASSETS -- (CONTINUED) FOR THE YEARS ENDED DECEMBER 31, 2010, 2009, AND 2008 MIST MET/TEMPLETON GROWTH INVESTMENT DIVISION --------------------------------------------------- 2010 2009 2008 (a) ----------- ---------------------------- ---------- INCREASE (DECREASE) IN NET ASSETS: FROM OPERATIONS: Net investment income (loss) $ 305 $ 2 $ 18 Net realized gains (losses) 125 (60) (39) Change in unrealized gains (losses) on investments 3,904 3,117 (322) ----------- ---------------------------- ---------- Net increase (decrease) in net assets resulting from operations 4,334 3,059 (343) ----------- ---------------------------- ---------- POLICY TRANSACTIONS: Premium payments received from policy owners 18,420 14,327 1,057 Net transfers (including fixed account) 12,049 2,568 2,915 Policy charges (5,335) (3,419) (442) Transfers for policy benefits and terminations (173) (526) 1 ----------- ---------------------------- ---------- Net increase (decrease) in net assets resulting from policy transactions 24,961 12,949 3,531 ----------- ---------------------------- ---------- Net increase (decrease) in net assets 29,295 16,009 3,188 NET ASSETS: Beginning of year 19,197 3,188 -- ----------- ---------------------------- ---------- End of year $ 48,492 $ 19,197 $ 3,188 =========== ============================ ==========
(a) For the period April 28, 2008 to December 31, 2008. (b) Commenced on April 28, 2008 and began transactions in 2009. (c) For the period May 3, 2010 to December 31, 2010. (d) For the period May 4, 2009 to December 31, 2009. (e) Commenced on May 1, 2005 and began transactions in 2009. (f) Commenced on November 10, 2008 and began transactions in 2010. (g) Commenced on November 10, 2008 and began transactions in 2009. The accompanying notes are an integral part of these financial statements. 152 MIST PIONEER FUND AMERICAN CENTURY VP VISTA INVESTMENT DIVISION INVESTMENT DIVISION ------------------------------------- ----------------------------------------- 2010 2009 (d) 2010 2009 2008 ------------ ------------ ----------- ---------------------------- ------------ $ 1,005 $ (580) $ (519) $ (472) $ (285) 6,067 1,986 12,351 (47,927) 204 25,716 48,304 (1,947) 67,433 (65,328) ------------ ------------ ----------- ---------------------------- ------------ 32,788 49,710 9,885 19,034 (65,409) ------------ ------------ ----------- ---------------------------- ------------ 4,871 9,778 13,202 110,074.00 13,124.00 (26,206) 197,145 (83,499) (53,969) 106,780 (4,729) (2,535) (2,550) (4,572) (3,919) -- (14,962) (9,338) (3,305) (516) ------------ ------------ ----------- ---------------------------- ------------ (26,064) 189,426 (82,185) 48,228 115,469 ------------ ------------ ----------- ---------------------------- ------------ 6,724 239,136 (72,300) 67,262 50,060 239,136 -- 146,455 79,193 29,133 ------------ ------------ ----------- ---------------------------- ------------ $ 245,860 $ 239,136 $ 74,155 $ 146,455 $ 79,193 ============ ============ =========== ============================ ============
The accompanying notes are an integral part of these financial statements. 153 METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE INSURANCE COMPANY STATEMENTS OF CHANGES IN NET ASSETS -- (CONTINUED) FOR THE YEARS ENDED DECEMBER 31, 2010, 2009, AND 2008 DELAWARE VIP SMALL CAP VALUE INVESTMENT DIVISION --------------------------------------------------------- 2010 2009 2008 ------------ ------------------------------- ------------ INCREASE (DECREASE) IN NET ASSETS: FROM OPERATIONS: Net investment income (loss) $ (561) $ 2,698 $ 195 Net realized gains (losses) 10,618 (324,068) (88,810) Change in unrealized gains (losses) on investments 49,508 372,833 (269,207) ------------ ------------------------------- ------------ Net increase (decrease) in net assets resulting from operations 59,565 51,463 (357,822) ------------ ------------------------------- ------------ POLICY TRANSACTIONS: Premium payments received from policy owners 10,701 60,157 119,309 Net transfers (including fixed account) 93,641 (501,693) 78,642 Policy charges (6,802) (11,186) (21,619) Transfers for policy benefits and terminations -- (5,015) (210,049) ------------ ------------------------------- ------------ Net increase (decrease) in net assets resulting from policy transactions 97,540 (457,737) (33,717) ------------ ------------------------------- ------------ Net increase (decrease) in net assets 157,105 (406,274) (391,539) NET ASSETS: Beginning of year 228,031 634,305 1,025,844 ------------ ------------------------------- ------------ End of year $ 385,136 $ 228,031 $ 634,305 ============ =============================== ============
(a) For the period April 28, 2008 to December 31, 2008. (b) Commenced on April 28, 2008 and began transactions in 2009. (c) For the period May 3, 2010 to December 31, 2010. (d) For the period May 4, 2009 to December 31, 2009. (e) Commenced on May 1, 2005 and began transactions in 2009. (f) Commenced on November 10, 2008 and began transactions in 2010. (g) Commenced on November 10, 2008 and began transactions in 2009. The accompanying notes are an integral part of these financial statements. 154 DREYFUS VIF INTERNATIONAL VALUE GOLDMAN SACHS MID CAP VALUE INVESTMENT DIVISION INVESTMENT DIVISION ------------------------------------------------------------ -------------------------------------------------------- 2010 2009 2008 2010 2009 2008 ------------ ---------------------------------- ------------ ------------ ------------------------------ ------------ $ 2,491 $ 9,269 $ 8,347 $ 908 $ 2,747 $ 7,940 (14,086) (185,176) 25,343 (13,608) (540,331) (112,182) 19,382 238,024 (268,322) 84,633 633,578 (486,662) ------------ ---------------------------------- ------------ ------------ ------------------------------ ------------ 7,787 62,117 (234,632) 71,933 95,994 (590,904) ------------ ---------------------------------- ------------ ------------ ------------------------------ ------------ 955 28,115 2,055 -- -- 205,990 (65,938) (85,562) 3,974 (23,223) (667,539) 102,395 (3,082) (8,707) (12,689) (7,848) (13,708) (27,133) -- (45,781) (118,241) (2,114) (214) 12,539 ------------ ---------------------------------- ------------ ------------ ------------------------------ ------------ (68,065) (111,935) (124,901) (33,185) (681,461) 293,791 ------------ ---------------------------------- ------------ ------------ ------------------------------ ------------ (60,278) (49,818) (359,533) 38,748 (585,467) (297,113) 291,742 341,560 701,093 328,341 913,808 1,210,921 ------------ ---------------------------------- ------------ ------------ ------------------------------ ------------ $ 231,464 $ 291,742 $ 341,560 $ 367,089 $ 328,341 $ 913,808 ============ ================================== ============ ============ ============================== ============
The accompanying notes are an integral part of these financial statements. 155 METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE INSURANCE COMPANY STATEMENTS OF CHANGES IN NET ASSETS -- (CONTINUED) FOR THE YEARS ENDED DECEMBER 31, 2010, 2009, AND 2008 GOLDMAN SACHS STRUCTURED SMALL CAP EQUITY INVESTMENT DIVISION ---------------------------------------------------- 2010 2009 2008 ----------- ---------------------- ----------------- INCREASE (DECREASE) IN NET ASSETS: FROM OPERATIONS: Net investment income (loss) $ 100 $ 551 $ 192 Net realized gains (losses) (7,335) (17,708) (34,983) Change in unrealized gains (losses) on investments 18,632 28,044 (655) ----------- ---------------------- ----------------- Net increase (decrease) in net assets resulting from operations 11,397 10,887 (35,446) ----------- ---------------------- ----------------- POLICY TRANSACTIONS: Premium payments received from policy owners 4,077 12,573 1,613 Net transfers (including fixed account) (33,283) 4,125 25,177 Policy charges (1,447) (1,545) (2,152) Transfers for policy benefits and terminations -- (4,928) (74,323) ----------- ---------------------- ----------------- Net increase (decrease) in net assets resulting from policy transactions (30,653) 10,225 (49,685) ----------- ---------------------- ----------------- Net increase (decrease) in net assets (19,256) 21,112 (85,131) NET ASSETS: Beginning of year 70,508 49,396 134,527 ----------- ---------------------- ----------------- End of year $ 51,252 $ 70,508 $ 49,396 =========== ====================== =================
(a) For the period April 28, 2008 to December 31, 2008. (b) Commenced on April 28, 2008 and began transactions in 2009. (c) For the period May 3, 2010 to December 31, 2010. (d) For the period May 4, 2009 to December 31, 2009. (e) Commenced on May 1, 2005 and began transactions in 2009. (f) Commenced on November 10, 2008 and began transactions in 2010. (g) Commenced on November 10, 2008 and began transactions in 2009. The accompanying notes are an integral part of these financial statements. 156 MFS VIT HIGH INCOME MFS VIT GLOBAL EQUITY INVESTMENT DIVISION INVESTMENT DIVISION ---------------------------------------------- ------------------------------------------------- 2010 2009 2008 2010 2009 2008 ------------ ---------------------- ---------- ------------ ------------------------ ----------- $ 8,200 $ 660 $ 1,594 $ 634 $ 1,004 $ 225 680 326 (3,105) 183 (11,994) 4,298 7,331 21,466 (1,097) 19,523 27,307 (30,617) ------------ ---------------------- ---------- ------------ ------------------------ ----------- 16,211 22,452 (2,608) 20,340 16,317 (26,094) ------------ ---------------------- ---------- ------------ ------------------------ ----------- -- 3,777 696 28,453 20,456 16,644 (706) 90,405 (8,416) 103,015 (9,035) 8,770 (1,293) (684) (180) (2,360) (1,544) (2,425) -- (1,164) (8,325) (1,538) (5,469) (3,305) ------------ ---------------------- ---------- ------------ ------------------------ ----------- (1,999) 92,334 (16,225) 127,570 4,408 19,684 ------------ ---------------------- ---------- ------------ ------------------------ ----------- 14,212 114,786 (18,833) 147,910 20,725 (6,410) 117,897 3,111 21,944 78,884 58,159 64,569 ------------ ---------------------- ---------- ------------ ------------------------ ----------- $ 132,109 $ 117,897 $ 3,111 $ 226,794 $ 78,884 $ 58,159 ============ ====================== ========== ============ ======================== ===========
The accompanying notes are an integral part of these financial statements. 157 METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE INSURANCE COMPANY STATEMENTS OF CHANGES IN NET ASSETS -- (CONTINUED) FOR THE YEARS ENDED DECEMBER 31, 2010, 2009, AND 2008 MFS VIT NEW DISCOVERY INVESTMENT DIVISION ------------------------------------------------ 2010 2009 2008 ------------ ------------------------ ---------- INCREASE (DECREASE) IN NET ASSETS: FROM OPERATIONS: Net investment income (loss) $ (340) $ (27) $ (11) Net realized gains (losses) 544 1,560 539 Change in unrealized gains (losses) on investments 28,843 3,314 (1,817) ------------ ------------------------ ---------- Net increase (decrease) in net assets resulting from operations 29,047 4,847 (1,289) ------------ ------------------------ ---------- POLICY TRANSACTIONS: Premium payments received from policy owners 8,926 564 -- Net transfers (including fixed account) 94,362 (83) -- Policy charges (2,441) (178) (37) Transfers for policy benefits and terminations -- (2,063) (1) ------------ ------------------------ ---------- Net increase (decrease) in net assets resulting from policy transactions 100,847 (1,760) (38) ------------ ------------------------ ---------- Net increase (decrease) in net assets 129,894 3,087 (1,327) NET ASSETS: Beginning of year 5,029 1,942 3,269 ------------ ------------------------ ---------- End of year $ 134,923 $ 5,029 $ 1,942 ============ ======================== ==========
(a) For the period April 28, 2008 to December 31, 2008. (b) Commenced on April 28, 2008 and began transactions in 2009. (c) For the period May 3, 2010 to December 31, 2010. (d) For the period May 4, 2009 to December 31, 2009. (e) Commenced on May 1, 2005 and began transactions in 2009. (f) Commenced on November 10, 2008 and began transactions in 2010. (g) Commenced on November 10, 2008 and began transactions in 2009. The accompanying notes are an integral part of these financial statements. 158 MFS VIT VALUE WELLS FARGO VT TOTAL RETURN BOND INVESTMENT DIVISION INVESTMENT DIVISION ---------------------------------------------- ---------------------------------------------------- 2010 2009 2008 2010 2009 2008 ----------- ---------------------- ----------- -------------- ---------------------- -------------- $ 676 $ 546 $ 10,029 $ 23,065 $ 16,897 $ 6,923 (552) (1,224) 18,395 34,459 5,219 (532) 7,585 14,082 (26,364) (12,496) 23,526 (2,943) ----------- ---------------------- ----------- -------------- ---------------------- -------------- 7,709 13,404 2,060 45,028 45,642 3,448 ----------- ---------------------- ----------- -------------- ---------------------- -------------- -- -- (5,064) 158,432 124,039 41,989 -- -- 55,984 386,034 234,843 50,132 (2,613) (2,736) (3,817) (15,907) (14,024) (4,589) (2) (1) (31,762) (26,909) (39,437) (20,785) ----------- ---------------------- ----------- -------------- ---------------------- -------------- (2,615) (2,737) 15,341 501,650 305,421 66,747 ----------- ---------------------- ----------- -------------- ---------------------- -------------- 5,094 10,667 17,401 546,678 351,063 70,195 74,001 63,334 45,933 534,737 183,674 113,479 ----------- ---------------------- ----------- -------------- ---------------------- -------------- $ 79,095 $ 74,001 $ 63,334 $ 1,081,415 $ 534,737 $ 183,674 =========== ====================== =========== ============== ====================== ==============
The accompanying notes are an integral part of these financial statements. 159 METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE INSURANCE COMPANY STATEMENTS OF CHANGES IN NET ASSETS -- (CONTINUED) FOR THE YEARS ENDED DECEMBER 31, 2010, 2009, AND 2008 PIONEER VCT EMERGING MARKETS INVESTMENT DIVISION --------------------------------------------------------- 2010 2009 2008 (a) ------------ ------------------------------- ------------ INCREASE (DECREASE) IN NET ASSETS: FROM OPERATIONS: Net investment income (loss) $ (10,583) $ 3,201 $ (141) Net realized gains (losses) 75,682 8,989 (554) Change in unrealized gains (losses) on investments 68,690 311,181 (40,541) ------------ ------------------------------- ------------ Net increase (decrease) in net assets resulting from operations 133,789 323,371 (41,236) ------------ ------------------------------- ------------ POLICY TRANSACTIONS: Premium payments received from policy owners 102,565 70,484 25 Net transfers (including fixed account) 72,459 258,993 213,338 Policy charges (14,156) (19,519) (1,388) Transfers for policy benefits and terminations (82,614) (15,065) (16,880) ------------ ------------------------------- ------------ Net increase (decrease) in net assets resulting from policy transactions 78,254 294,893 195,095 ------------ ------------------------------- ------------ Net increase (decrease) in net assets 212,043 618,264 153,859 NET ASSETS: Beginning of year 772,123 153,859 -- ------------ ------------------------------- ------------ End of year $ 984,166 $ 772,123 $ 153,859 ============ =============================== ============
(a) For the period April 28, 2008 to December 31, 2008. (b) Commenced on April 28, 2008 and began transactions in 2009. (c) For the period May 3, 2010 to December 31, 2010. (d) For the period May 4, 2009 to December 31, 2009. (e) Commenced on May 1, 2005 and began transactions in 2009. (f) Commenced on November 10, 2008 and began transactions in 2010. (g) Commenced on November 10, 2008 and began transactions in 2009. The accompanying notes are an integral part of these financial statements. 160 PIONEER VCT MID CAP VALUE ROYCE MICRO-CAP ROYCE SMALL-CAP INVESTMENT DIVISION INVESTMENT DIVISION INVESTMENT DIVISION ---------------------------- ---------------------- --------------------------- 2010 2009 (b) 2010 (f) 2010 2009 (g) ----------- ---------------- ---------------------- ------------ -------------- $ 504 $ (34) $ 5,040 $ (860) $ (57) 313 32 197 2,111 16 14,039 2,439 61,964 63,066 2,984 ----------- ---------------- ---------------------- ------------ -------------- 14,856 2,437 67,201 64,317 2,943 ----------- ---------------- ---------------------- ------------ -------------- 7,217 -- 53,592 22,886 13,726 59,471 19,671 236,555 257,401 42,530 (3,451) (582) (4,223) (6,872) (728) (18) (123) (4,416) (3,061) -- ----------- ---------------- ---------------------- ------------ -------------- 63,219 18,966 281,508 270,354 55,528 ----------- ---------------- ---------------------- ------------ -------------- 78,075 21,403 348,709 334,671 58,471 21,403 -- -- 58,471 -- ----------- ---------------- ---------------------- ------------ -------------- $ 99,478 $ 21,403 $ 348,709 $ 393,142 $ 58,471 =========== ================ ====================== ============ ==============
The accompanying notes are an integral part of these financial statements. 161 METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE INSURANCE COMPANY STATEMENTS OF CHANGES IN NET ASSETS -- (CONCLUDED) FOR THE YEARS ENDED DECEMBER 31, 2010, 2009, AND 2008 UIF EMERGING MARKETS DEBT INVESTMENT DIVISION ---------------------------- 2010 2009 (g) ---------- ----------------- INCREASE (DECREASE) IN NET ASSETS: FROM OPERATIONS: Net investment income (loss) $ 287 $ 68 Net realized gains (losses) 87 32 Change in unrealized gains (losses) on investments 318 95 ---------- ----------------- Net increase (decrease) in net assets resulting from operations 692 195 ---------- ----------------- POLICY TRANSACTIONS: Premium payments received from policy owners 2,057 803 Net transfers (including fixed account) -- 6,688 Policy charges (1,064) (131) Transfers for policy benefits and terminations (89) (1,808) ---------- ----------------- Net increase (decrease) in net assets resulting from policy transactions 904 5,552 ---------- ----------------- Net increase (decrease) in net assets 1,596 5,747 NET ASSETS: Beginning of year 5,747 -- ---------- ----------------- End of year $ 7,343 $ 5,747 ========== =================
(a) For the period April 28, 2008 to December 31, 2008. (b) Commenced on April 28, 2008 and began transactions in 2009. (c) For the period May 3, 2010 to December 31, 2010. (d) For the period May 4, 2009 to December 31, 2009. (e) Commenced on May 1, 2005 and began transactions in 2009. (f) Commenced on November 10, 2008 and began transactions in 2010. (g) Commenced on November 10, 2008 and began transactions in 2009. The accompanying notes are an integral part of these financial statements. 162 UIF EMERGING MARKETS EQUITY PIMCO VIT LOW DURATION INVESTMENT DIVISION INVESTMENT DIVISION ------------------------------ ------------------------- 2010 2009 (g) 2010 2009 (d) ------------ ----------------- ------------ ------------ $ 238 $ (17) $ 9,408 $ 9,485 899 480 2,729 33,086 38,992 1,146 23,685 1,601 ------------ ----------------- ------------ ------------ 40,129 1,609 35,822 44,172 ------------ ----------------- ------------ ------------ 2,451 803 -- -- 157,781 6,231 32 696,037 (6,947) (1,164) (8,069) (3,966) (1,388) (1,836) -- (1,497) ------------ ----------------- ------------ ------------ 151,897 4,034 (8,037) 690,574 ------------ ----------------- ------------ ------------ 192,026 5,643 27,785 734,746 5,643 -- 734,746 -- ------------ ----------------- ------------ ------------ $ 197,669 $ 5,643 $ 762,531 $ 734,746 ============ ================= ============ ============
The accompanying notes are an integral part of these financial statements. 163 METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE INSURANCE COMPANY NOTES TO THE FINANCIAL STATEMENTS 1. ORGANIZATION Metropolitan Life Separate Account UL (the "Separate Account"), a separate account of Metropolitan Life Insurance Company (the "Company"), was established by the Company's Board of Directors on December 13, 1988 to support operations of the Company with respect to certain variable life insurance policies (the "Policies"). The Company is a direct 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 New York Department of Insurance. The Separate Account is divided into Investment Divisions, each of which is treated as an individual accounting entity for financial reporting purposes. Each Investment Division 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: Metropolitan Series Fund, Inc. ("MSF")* Janus Aspen Series ("Janus Aspen") AIM Variable Insurance Funds (Invesco Variable Insurance Funds) ("Invesco V.I.")+ Franklin Templeton Variable Insurance Products Trust("FTVIPT") AllianceBernstein Variable Products Series Fund, Inc. ("AllianceBernstein") Fidelity Variable Insurance Products ("Fidelity VIP") American Funds Insurance Series ("American Funds") Met Investors Series Trust ("MIST")* American Century Variable Portfolios, Inc. ("American Century VP") Delaware VIP Trust ("Delaware VIP") Dreyfus Variable Investment Fund ("Dreyfus VIF") Goldman Sachs Variable Insurance Trust ("Goldman Sachs") MFS Variable Insurance Trust ("MFS VIT") Wells Fargo Variable Trust ("Wells Fargo VT") Oppenheimer Variable Account Funds ("Oppenheimer VA") Pioneer Variable Contracts Trust ("Pioneer VCT") Putnam Variable Trust ("Putnam VT") Royce Capital Fund ("Royce") The Universal Institutional Funds, Inc. ("UIF") PIMCO Variable Insurance Trust ("PIMCO VIT") Legg Mason Partners Variable Equity Trust ("LMPVET") +Formerly named AIM Variable Insurance Funds ("AIM V.I.) *See Note 5 for discussion of additional information on related party transactions. 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. Global Real Estate Fund Invesco V.I. Global Real Estate Fund AIM V.I. International Growth Fund Invesco V.I. International Growth Fund
REORGANIZATION: During the year ended December 31, 2010, all of the portfolios of the Van Kampen Life Investment Trust ("Van Kampen LIT") were reorganized into portfolios of Invesco V.I.. As a result of the reorganization, the following name change occurred: FORMER TRUST NEW TRUST ----------------------------------------------------- ---------------------------- Van Kampen LIT Government Portfolio Invesco V.I. Government Fund
164 METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE INSURANCE COMPANY NOTES TO THE FINANCIAL STATEMENTS -- (CONTINUED) 1. ORGANIZATION -- (CONTINUED) The assets of each of the Investment Divisions 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 Policies is not chargeable with liabilities arising out of any other business the Company may conduct. 2. LIST OF INVESTMENT DIVISIONS A. Premium payments, less any applicable charges, applied to the Separate Account are invested in one or more Investment Divisions in accordance with the selection made by the policy owner. The following Investment Divisions had net assets as of December 31, 2010: MSF BlackRock Diversified Investment Division MSF BlackRock Aggressive Growth Investment Division MSF MetLife Stock Index Investment Division MSF Artio International Stock Investment Division MSF T. Rowe Price Small Cap Growth Investment Division MSF Oppenheimer Global Equity Investment Division MSF MFS Value Investment Division MSF Neuberger Berman Mid Cap Value Investment Division MSF T. Rowe Price Large Cap Growth Investment Division MSF Barclays Capital Aggregate Bond Index Investment Division MSF Morgan Stanley EAFE Index Investment Division MSF Russell 2000 Index Investment Division MSF Jennison Growth Investment Division MSF Neuberger Berman Genesis Investment Division MSF MetLife Mid Cap Stock Index Investment Division MSF Loomis Sayles Small Cap Growth Investment Division MSF BlackRock Large Cap Value Investment Division MSF Davis Venture Value Investment Division MSF Loomis Sayles Small Cap Core Investment Division MSF BlackRock Legacy Large Cap Growth Investment Division MSF BlackRock Bond Income Investment Division MSF FI Value Leaders Investment Division MSF Met/Artisan Mid Cap Value Investment Division* MSF Western Asset Management Strategic Bond Opportunities Investment Division MSF Western Asset Management U.S. Government Investment Division MSF BlackRock Money Market Investment Division MSF MFS Total Return Investment Division* MSF MetLife Conservative Allocation Investment Division* MSF MetLife Conservative to Moderate Allocation Investment Division* MSF MetLife Moderate Allocation Investment Division* MSF MetLife Moderate to Aggressive Allocation Investment Division* MSF MetLife Aggressive Allocation Investment Division* Janus Aspen Janus Investment Division Janus Aspen Balanced Investment Division Janus Aspen Forty Investment Division Janus Aspen Overseas Investment Division Invesco V.I. Global Real Estate Investment Division Invesco V.I. International Growth Investment Division Invesco V.I. Government Investment Division Invesco V.I. Van Kampen Comstock Investment Division** FTVIPT Templeton Foreign Securities Investment Division FTVIPT Mutual Global Discovery Securities Investment Division FTVIPT Templeton Global Bond Securities Investment Division AllianceBernstein Global Thematic Growth Investment Division AllianceBernstein Intermediate Bond Investment Division AllianceBernstein International Value Investment Division** Fidelity VIP Contrafund Investment Division Fidelity VIP Asset Manager: Growth Investment Division Fidelity VIP Investment Grade Bond Investment Division Fidelity VIP Equity-Income Investment Division Fidelity VIP High Income Investment Division 165 METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE INSURANCE COMPANY NOTES TO THE FINANCIAL STATEMENTS -- (CONTINUED) 2. LIST OF INVESTMENT DIVISIONS -- (CONTINUED) Fidelity VIP Mid Cap Investment Division Fidelity VIP Freedom 2010 Investment Division Fidelity VIP Freedom 2020 Investment Division Fidelity VIP Freedom 2030 Investment Division American Funds Growth Investment Division American Funds Growth-Income Investment Division American Funds Global Small Capitalization Investment Division American Funds Bond Investment Division American Funds International Investment Division American Funds U.S. Government/AAA Rated Securities Investment Division MIST T. Rowe Price Mid Cap Growth Investment Division* MIST MFS Research International Investment Division* MIST PIMCO Total Return Investment Division MIST RCM Technology Investment Division MIST Lord Abbett Bond Debenture Investment Division MIST Lazard Mid Cap Investment Division* MIST Invesco Small Cap Growth Investment Division* MIST Harris Oakmark International Investment Division MIST Legg Mason ClearBridge Aggressive Growth Investment Division* MIST Lord Abbett Growth and Income Investment Division MIST Clarion Global Real Estate Investment Division* MIST Morgan Stanley Mid Cap Growth Investment Division MIST Lord Abbett Mid Cap Value Investment Division MIST Third Avenue Small Cap Value Investment Division MIST Oppenheimer Capital Appreciation Investment Division MIST Legg Mason Value Equity Investment Division MIST SSgA Growth ETF Investment Division MIST SSgA Growth and Income ETF Investment Division MIST PIMCO Inflation Protected Bond Investment Division MIST BlackRock Large Cap Core Investment Division MIST Janus Forty Investment Division MIST Dreman Small Cap Value Investment Division MIST American Funds Balanced Allocation Investment Division MIST American Funds Growth Allocation Investment Division MIST American Funds Moderate Allocation Investment Division MIST Met/Franklin Income Investment Division MIST Met/Franklin Mutual Shares Investment Division MIST Met/Franklin Templeton Founding Strategy Investment Division MIST Met/Templeton Growth Investment Division MIST Pioneer Fund Investment Division American Century VP Vista Investment Division Delaware VIP Small Cap Value Investment Division Dreyfus VIF International Value Investment Division Goldman Sachs Mid Cap Value Investment Division Goldman Sachs Structured Small Cap Equity Investment Division MFS VIT High Income Investment Division MFS VIT Global Equity Investment Division MFS VIT New Discovery Investment Division MFS VIT Value Investment Division Wells Fargo VT Total Return Bond Investment Division Pioneer VCT Emerging Markets Investment Division Pioneer VCT Mid Cap Value Investment Division Royce Micro-Cap Investment Division** Royce Small-Cap Investment Division UIF Emerging Markets Debt Investment Division UIF Emerging Markets Equity Investment Division PIMCO VIT Low Duration Investment Division * This Investment Division invests in two or more share classes within the underlying portfolio, series, or fund of the Trusts that may assess 12b-1 fees. ** This Investment Division began operations during the year ended December 31, 2010. 166 METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE INSURANCE COMPANY NOTES TO THE FINANCIAL STATEMENTS -- (CONTINUED) 2. LIST OF INVESTMENT DIVISIONS -- (CONCLUDED) B. The following Investment Divisions had no net assets as of December 31, 2010: Janus Aspen Enterprise Investment Division Fidelity VIP Freedom 2015 Investment Division Fidelity VIP Freedom 2025 Investment Division Fidelity VIP Freedom 2040 Investment Division Fidelity VIP Freedom 2050 Investment Division American Funds High-Income Bond Investment Division Oppenheimer VA Main Street Small Cap Investment Division Putnam VT International Value Investment Division PIMCO VIT Long-Term U.S. Government Investment Division LMPVET Investment Counsel Variable Social Awareness Investment Division 3. PORTFOLIO CHANGES The following Investment Divisions ceased operations during the year ended December 31, 2010: MSF FI Mid Cap Opportunities Investment Division Janus Aspen Perkins Mid Cap Value Investment Division Wells Fargo VT Money Market Investment Division The operations of the Investment Divisions were affected by the following changes that occurred during the year ended December 31, 2010: NAME CHANGES: FORMER NAME NEW NAME -------------------------------------------- ----------------------------------------------- (MSF) BlackRock Strategic Value Portfolio (MSF) Neuberger Berman Genesis 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 (MIST) Van Kampen Mid Cap Growth Portfolio (MIST) Morgan Stanley Mid Cap Growth Portfolio Putnam VT International Growth and Income Fund Putnam VT International Value Fund MERGERS: FORMER PORTFOLIO NEW PORTFOLIO -------------------------------------------- ----------------------------------------------- (MSF) FI Mid Cap Opportunities Portfolio (MIST) Morgan Stanley Mid Cap Growth Portfolio SUBSTITUTIONS: FORMER PORTFOLIO NEW PORTFOLIO -------------------------------------------- ----------------------------------------------- Janus Aspen Perkins Mid Cap Value Portfolio (MSF) Met/Artisan Mid Cap Value Portfolio LIQUIDATIONS: (Wells Fargo VT) Money Market Fund
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 life 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. 167 METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE INSURANCE COMPANY NOTES TO THE FINANCIAL STATEMENTS -- (CONTINUED) 4. SIGNIFICANT ACCOUNTING POLICIES -- (CONTINUED) SECURITY VALUATION The Investment Divisions' 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 Investment Divisions. 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 Investment Division 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. 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 Policies. 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 Policies. PREMIUM PAYMENTS The Company deducts a sales charge and a state premium tax charge from premiums before amounts are allocated to the Separate Account. The Company also deducts a federal income tax charge before amounts are allocated to the Separate Account. This federal income tax charge is imposed to recover a portion of the federal income tax adjustment attributable to policy acquisition expenses. Net premiums are reported as payments received from policy owners on the statements of changes in net assets of the applicable Investment Divisions and are credited as accumulation units. NET TRANSFERS Funds transferred by the policy owner into or out of the Investment Divisions 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 Investment Divisions. 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. 168 METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE INSURANCE COMPANY NOTES TO THE FINANCIAL STATEMENTS -- (CONTINUED) 4. SIGNIFICANT ACCOUNTING POLICIES -- (CONCLUDED) 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. Effective January 1, 2008, the Separate Account adopted new 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 measured at fair value. The adoption of this guidance did not have an impact on the fair value of items measured at fair value or each of the Investment Divisions. 5. EXPENSES AND RELATED PARTY TRANSACTIONS The following annual Separate Account charge paid to the Company, is an asset-based charge and assessed through a daily reduction in unit values, which is recorded as an expense in the accompanying statements of operations of the applicable Investment Divisions: 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 Policies will exceed the amounts realized from the administrative charges assessed against the Policies. The table below represents the range of effective annual rates for the respective charge for the year ended December 31, 2010: Mortality and Expense Risk 0.00% - 0.90%
The above referenced charge 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 policy. For some Policies, a mortality and expense risk charge ranging from 0.30% to 0.90% is assessed through the redemption of units on a monthly basis and recorded as mortality and expense risk charges in the statements of operations of the applicable Investment Divisions. Charges outlined in the section below are paid to the Company and are recorded as policy charges in the accompanying statements of changes in net assets of the applicable Investment Divisions. Policy charges that are assessed through the redemption of units generally include: Cost of Insurance ("COI") charges, administrative charges, a policy fee, and charges for benefits provided by rider, if any. The COI charge is the primary charge under the policy for the death benefit provided by the Company which may vary by policy based on underwriting criteria. Administrative charges range from $0 to $35 and are assessed monthly. For some Policies, a surrender 169 METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE INSURANCE COMPANY NOTES TO THE FINANCIAL STATEMENTS -- (CONTINUED) 5. EXPENSES AND RELATED PARTY TRANSACTIONS -- (CONTINUED) charge is imposed if the policy is partially or fully surrendered within the specified surrender charge period that ranges from $3.75 to $38.25 for every $1,000 of the policy face amount. Surrender charges for other Policies are equal to the lesser of the maximum surrender charge premium or the premiums actually paid in the first two policy years. For these policies, in the first policy year, the maximum surrender charge premium is 75% of the smoker federal guideline premium for the policy, assuming a level death benefit for the policy and any riders; and in the second and later policy years, it is 100% of the smoker federal guideline premium for the policy, assuming a level death benefit for the policy and any riders. The surrender charge cannot exceed 100% of the cumulative premiums paid in the first two policy years. If the policy is surrendered in the first two policy years, the Company will deduct 100% of the surrender charge, determined as described above. After the second policy year, the percentage the Company deducts declines until it reaches 0% at the end of the 15th policy year. Most policies offer optional benefits that can be added to the policy by rider. The change for riders that provide life insurance benefits can range from $0.01 to $37.98 per $1,000 of coverage and the charge for riders providing benefits in the event of disability can range from $0.00 to $61.44 per $100 of the benefit provided. Certain investments in the various portfolios of the MIST and MSF Trusts hold shares that are managed by MetLife Advisers, LLC, which acts in the capacity of investment advisor and is an indirect affiliate of the Company. On May 1, 2009, Met Investors Advisory, LLC, an indirect affiliate of the Company and previous manager of the MIST Trust, merged into MetLife Advisers, LLC. 170 METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE INSURANCE COMPANY NOTES TO THE FINANCIAL STATEMENTS -- (CONTINUED) 6. STATEMENTS OF INVESTMENTS FOR THE YEAR ENDED AS OF DECEMBER 31, 2010 DECEMBER 31, 2010 ----------------------- ---------------------------- COST OF PROCEEDS SHARES COST ($) PURCHASES ($) FROM SALES ($) ----------- ----------- ------------- -------------- MSF BlackRock Diversified Investment Division 263,102,792 268,324,200 8,518,236 21,488,733 MSF BlackRock Aggressive Growth Investment Division 200,141,319 170,847,464 2,338,781 16,490,360 MSF MetLife Stock Index Investment Division 671,764,339 679,315,457 47,048,203 49,869,268 MSF Artio International Stock Investment Division 45,766,808 52,665,450 2,105,704 3,842,700 MSF T. Rowe Price Small Cap Growth Investment Division 87,990,296 66,021,182 2,318,086 6,301,609 MSF Oppenheimer Global Equity Investment Division 43,706,628 35,376,212 3,249,970 3,980,518 MSF MFS Value Investment Division 54,046,050 55,792,485 3,693,963 3,946,394 MSF Neuberger Berman Mid Cap Value Investment Division 77,987,777 67,436,921 3,294,311 5,225,572 MSF T. Rowe Price Large Cap Growth Investment Division 45,774,309 36,407,154 1,214,090 4,584,444 MSF Barclays Capital Aggregate Bond Index Investment Division 114,484,199 110,654,732 22,625,306 16,711,144 MSF Morgan Stanley EAFE Index Investment Division 65,360,237 60,626,260 10,748,813 7,741,327 MSF Russell 2000 Index Investment Division 56,596,282 49,485,716 4,271,448 6,680,460 MSF Jennison Growth Investment Division 15,400,256 13,605,225 1,735,188 1,361,813 MSF Neuberger Berman Genesis Investment Division 78,718,305 99,041,535 2,239,658 4,796,586 MSF MetLife Mid Cap Stock Index Investment Division 65,795,207 56,653,792 4,558,217 5,525,712 MSF Loomis Sayles Small Cap Growth Investment Division 7,430,424 6,878,793 588,154 546,779 MSF BlackRock Large Cap Value Investment Division 12,899,194 14,304,257 1,366,630 1,193,468 MSF Davis Venture Value Investment Division 57,904,627 50,308,964 3,532,125 4,155,257 MSF Loomis Sayles Small Cap Core Investment Division 18,282,803 16,393,945 779,792 1,332,319 MSF BlackRock Legacy Large Cap Growth Investment Division 7,322,522 5,895,870 955,624 766,286 MSF BlackRock Bond Income Investment Division 84,862,620 83,847,599 6,783,042 7,737,220 MSF FI Value Leaders Investment Division 6,488,970 7,523,326 768,915 500,892 MSF Met/Artisan Mid Cap Value Investment Division 46,594,385 56,288,922 3,730,063 3,981,454 MSF Western Asset Management Strategic Bond Opportunities Investment Division 23,786,570 22,267,556 3,765,318 1,826,322 MSF Western Asset Management U.S. Government Investment Division 16,633,677 16,548,496 1,730,763 1,893,816 MSF BlackRock Money Market Investment Division 29,829,020 29,829,068 39,085,331 44,495,834 MSF MFS Total Return Investment Division 7,708,232 7,889,884 2,150,016 2,044,235 MSF MetLife Conservative Allocation Investment Division 4,036,489 3,791,063 2,451,236 768,583 MSF MetLife Conservative to Moderate Allocation Investment Division 6,925,754 6,362,162 2,108,320 898,546 MSF MetLife Moderate Allocation Investment Division 37,214,363 34,152,850 7,290,820 2,263,141 MSF MetLife Moderate to Aggressive Allocation Investment Division 65,064,142 61,678,297 9,000,879 3,399,802 MSF MetLife Aggressive Allocation Investment Division 13,599,650 13,167,631 2,449,050 1,207,936 Janus Aspen Janus Investment Division 7,832,027 6,292,276 709,475 408,399 Janus Aspen Balanced Investment Division 2,526,892 2,362,915 1,410,141 490,563 Janus Aspen Forty Investment Division 1,212,504 1,058,636 374,848 175,085 Janus Aspen Overseas Investment Division 375,925 293,550 246,705 20,135 Invesco V.I. Global Real Estate Investment Division 1,597,827 1,900,541 281,030 349,677 Invesco V.I. International Growth Investment Division 272,423 243,626 348,070 122,011 Invesco V.I. Government Investment Division 105,716 105,181 26,124 9,364 Invesco V.I. Van Kampen Comstock Investment Division (a) 32,084 32,039 62,391 30,405 FTVIPT Templeton Foreign Securities Investment Division 9,245,237 9,032,570 1,298,784 553,148 FTVIPT Mutual Global Discovery Securities Investment Division 967,459 928,349 735,899 728,462 FTVIPT Templeton Global Bond Securities Investment Division 3,730 3,662 454,211 458,606 AllianceBernstein Global Thematic Growth Investment Division 119,520 104,051 64,878 84,747 AllianceBernstein Intermediate Bond Investment Division 43,368 43,089 44,107 29,920 AllianceBernstein International Value Investment Division 1,357 1,269 1,284 16
171 METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE 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 ($) ----------- ----------- ------------- -------------- Fidelity VIP Contrafund Investment Division 2,677,586 2,605,414 618,817 2,359,396 Fidelity VIP Asset Manager: Growth Investment Division 1,905,664 1,601,398 350,953 401,055 Fidelity VIP Investment Grade Bond Investment Division 535,348 551,922 1,216,749 919,692 Fidelity VIP Equity-Income Investment Division 202,703 193,458 83,560 152,960 Fidelity VIP High Income Investment Division 4,567 4,414 340 37,262 Fidelity VIP Mid Cap Investment Division 462,037 375,898 192,649 32,284 Fidelity VIP Freedom 2010 Investment Division 31,863 28,990 16,287 1,077 Fidelity VIP Freedom 2020 Investment Division 738,709 529,995 32,723 15,399 Fidelity VIP Freedom 2030 Investment Division 108,197 93,015 106,748 42,841 American Funds Growth Investment Division 127,437,891 119,191,240 6,233,209 7,482,387 American Funds Growth-Income Investment Division 73,861,244 74,149,207 4,134,198 3,422,111 American Funds Global Small Capitalization Investment Division 67,405,396 64,151,822 4,775,557 4,848,239 American Funds Bond Investment Division 4,365,047 4,437,363 1,139,102 647,988 American Funds International Investment Division 809,630 757,190 390,086 91,760 American Funds U.S. Government/AAA Rated Securities Investment Division 37,834 36,967 8,716 63,369 MIST T. Rowe Price Mid Cap Growth Investment Division 21,234,919 17,018,549 1,810,217 2,059,741 MIST MFS Research International Investment Division 13,920,147 15,302,568 1,608,825 2,067,653 MIST PIMCO Total Return Investment Division 46,602,304 43,438,571 7,076,844 3,959,479 MIST RCM Technology Investment Division 16,113,864 13,729,827 2,790,890 3,395,885 MIST Lord Abbett Bond Debenture Investment Division 27,673,394 24,784,731 3,982,725 3,898,865 MIST Lazard Mid Cap Investment Division 5,585,178 5,824,017 595,846 595,212 MIST Invesco Small Cap Growth Investment Division 4,469,864 3,908,949 797,813 592,803 MIST Harris Oakmark International Investment Division 31,544,693 32,145,832 3,407,788 2,246,052 MIST Legg Mason ClearBridge Aggressive Growth Investment Division 7,832,598 7,150,010 471,892 698,228 MIST Lord Abbett Growth and Income Investment Division 6,220,900 6,986,138 501,908 286,976 MIST Clarion Global Real Estate Investment Division 21,155,496 25,452,280 3,370,800 1,679,748 MIST Morgan Stanley Mid Cap Growth Investment Division 203,751,581 171,918,595 181,166,153 9,832,558 MIST Lord Abbett Mid Cap Value Investment Division 111,198 82,410 7,623 22,956 MIST Third Avenue Small Cap Value Investment Division 1,575,617 1,361,005 877,330 444,016 MIST Oppenheimer Capital Appreciation Investment Division . 1,779,584 1,857,024 282,601 285,229 MIST Legg Mason Value Equity Investment Division 4,606,141 6,034,715 636,784 373,208 MIST SSgA Growth ETF Investment Division 2,679,337 2,306,484 875,750 269,381 MIST SSgA Growth and Income ETF Investment Division 3,818,872 3,386,885 2,220,868 321,444 MIST PIMCO Inflation Protected Bond Investment Division 8,812,603 8,434,527 2,469,861 1,583,040 MIST BlackRock Large Cap Core Investment Division 309,489,156 381,618,294 6,951,054 20,284,505 MIST Janus Forty Investment Division 14,254,609 13,582,405 2,738,764 1,663,638 MIST Dreman Small Cap Value Investment Division 27,494 21,252 10,026 3,466 MIST American Funds Balanced Allocation Investment Division 427,409 388,329 209,126 22,345 MIST American Funds Growth Allocation Investment Division 706,302 605,891 546,597 60,823 MIST American Funds Moderate Allocation Investment Division 250,096 222,223 144,861 8,208 MIST Met/Franklin Income Investment Division 151,295 133,975 90,123 4,997 MIST Met/Franklin Mutual Shares Investment Division 57,045 50,842 31,238 2,657 MIST Met/Franklin Templeton Founding Strategy Investment Division 260,281 222,625 56,837 16,387 MIST Met/Templeton Growth Investment Division 48,494 41,795 26,766 1,499 MIST Pioneer Fund Investment Division 245,287 171,267 6,857 31,995 American Century VP Vista Investment Division 69,257 61,694 60,206 147,832 Delaware VIP Small Cap Value Investment Division 385,135 354,726 261,673 164,693 Dreyfus VIF International Value Investment Division 231,499 264,043 7,776 73,348 Goldman Sachs Mid Cap Value Investment Division 367,130 410,086 2,264 34,533
172 METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE 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 ($) FROM SALES ($) --------- ------------- ------------- -------------- Goldman Sachs Structured Small Cap Equity Investment Division 51,282 46,862 4,341 34,881 MFS VIT High Income Investment Division 132,571 105,302 10,141 3,882 MFS VIT Global Equity Investment Division 226,835 210,592 201,962 73,751 MFS VIT New Discovery Investment Division 134,934 104,942 105,171 4,660 MFS VIT Value Investment Division 79,100 85,643 969 2,907 Wells Fargo VT Total Return Bond Investment Division 1,081,377 1,071,578 920,218 371,858 Pioneer VCT Emerging Markets Investment Division 983,753 644,423 292,305 225,049 Pioneer VCT Mid Cap Value Investment Division 99,492 83,013 68,084 4,348 Royce Micro-Cap Investment Division (b) 348,711 286,746 291,230 4,681 Royce Small-Cap Investment Division 393,157 327,107 433,307 163,799 UIF Emerging Markets Debt Investment Division 7,345 6,932 3,126 1,934 UIF Emerging Markets Equity Investment Division 197,671 157,533 160,270 8,134 PIMCO VIT Low Duration Investment Division 762,323 737,037 14,655 10,848
(a) For the period May 3, 2010 to December 31, 2010. (b) Commenced November 10, 2008 and began transactions in 2010. 173 METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE INSURANCE COMPANY NOTES TO THE FINANCIAL STATEMENTS -- (CONTINUED) 7. SCHEDULES OF UNITS FOR THE YEARS ENDED DECEMBER 31, 2010, 2009, AND 2008: MSF BLACKROCK DIVERSIFIED MSF BLACKROCK AGGRESSIVE GROWTH INVESTMENT DIVISION INVESTMENT DIVISION -------------------------------------------------- -------------------------------------------------- 2010 2009 2008 2010 2009 2008 ------------- ---------------------- ------------- ------------- ---------------------- ------------- Units beginning of year 11,480,151 12,136,197 12,715,624 9,655,662 10,226,808 10,673,487 Units issued and transferred from other funding options 7,504,390 5,841,981 3,715,948 5,730,219 4,486,979 2,758,625 Units redeemed and transferred to other funding options (8,158,313) (6,498,027) (4,295,375) (6,375,375) (5,058,125) (3,205,304) ------------- ---------------------- ------------- ------------- ---------------------- ------------- Units end of year 10,826,228 11,480,151 12,136,197 9,010,506 9,655,662 10,226,808
MSF T. ROWE PRICE SMALL CAP GROWTH MSF OPPENHEIMER GLOBAL EQUITY INVESTMENT DIVISION INVESTMENT DIVISION ------------------------------------------------- ------------------------------------------------- 2010 2009 2008 2010 2009 2008 ------------- ---------------------- ------------- ------------- ---------------------- ------------ Units beginning of year 4,272,691 4,498,247 4,692,085 2,111,250 2,250,790 2,347,437 Units issued and transferred from other funding options 2,453,679 1,930,920 1,202,595 1,375,412 1,043,645 653,061 Units redeemed and transferred to other funding options (2,670,628) (2,156,476) (1,396,433) (1,441,970) (1,183,185) (749,708) ------------- ---------------------- ------------- ------------- ---------------------- ------------ Units end of year 4,055,742 4,272,691 4,498,247 2,044,692 2,111,250 2,250,790 ============= ====================== ============= ============= ====================== ============
MSF T. ROWE PRICE LARGE CAP GROWTH MSF BARCLAYS CAPITAL AGGREGATE BOND INDEX INVESTMENT DIVISION INVESTMENT DIVISION -------------------------------------------------- -------------------------------------------------- 2010 2009 2008 2010 2009 2008 ------------- ---------------------- ------------- ------------- ---------------------- ------------- Units beginning of year 3,409,767 3,522,287 3,529,093 5,979,612 5,705,639 6,582,200 Units issued and transferred from other funding options 2,659,923 2,114,300 1,354,500 5,950,976 4,481,852 3,155,394 Units redeemed and transferred to other funding options (2,921,312) (2,226,820) (1,361,306) (5,861,380) (4,207,879) (4,031,955) ------------- ---------------------- ------------- ------------- ---------------------- ------------- Units end of year 3,148,378 3,409,767 3,522,287 6,069,208 5,979,612 5,705,639 ============= ====================== ============= ============= ====================== =============
(a) For the period April 28, 2008 to December 31, 2008. (b) Commenced on April 28, 2008 and began transactions in 2009. (c) For the period May 3, 2010 to December 31, 2010. (d) For the period May 4, 2009 to December 31, 2009. (e) Commenced on May 1, 2005 and began transactions in 2009. (f) Commenced on November 10, 2008 and began transactions in 2010. (g) Commenced on November 10, 2008 and began transactions in 2009. 174 MSF METLIFE STOCK INDEX MSF ARTIO INTERNATIONAL STOCK INVESTMENT DIVISION INVESTMENT DIVISION ---------------------------------------------------- -------------------------------------------------- 2010 2009 2008 2010 2009 2008 -------------- ---------------------- -------------- ------------- ---------------------- ------------- 36,924,505 36,120,853 34,637,993 3,130,833 3,272,041 3,371,026 25,845,802 21,105,595 13,540,436 2,254,216 1,779,165 1,065,634 (26,105,801) (20,301,943) (12,057,576) (2,399,709) (1,920,373) (1,164,619) -------------- ---------------------- -------------- ------------- ---------------------- ------------- 36,664,506 36,924,505 36,120,853 2,985,340 3,130,833 3,272,041 ============== ====================== ============== ============= ====================== =============
MSF MFS VALUE MSF NEUBERGER BERMAN MID CAP VALUE INVESTMENT DIVISION INVESTMENT DIVISION -------------------------------------------------- -------------------------------------------------- 2010 2009 2008 2010 2009 2008 ------------- ---------------------- ------------- ------------- ---------------------- ------------- 4,056,273 4,061,727 4,115,566 3,292,949 3,355,424 3,292,329 3,454,529 2,678,033 1,700,729 3,046,306 2,427,646 1,542,307 (3,535,458) (2,683,487) (1,754,568) (3,160,150) (2,490,121) (1,479,212) ------------- ---------------------- ------------- ------------- ---------------------- ------------- 3,975,344 4,056,273 4,061,727 3,179,105 3,292,949 3,355,424 ============= ====================== ============= ============= ====================== =============
MSF MORGAN STANLEY EAFE INDEX MSF RUSSELL 2000 INDEX INVESTMENT DIVISION INVESTMENT DIVISION -------------------------------------------------- -------------------------------------------------- 2010 2009 2008 2010 2009 2008 ------------- ---------------------- ------------- ------------- ---------------------- ------------- 4,618,467 4,548,869 4,186,312 2,972,133 2,979,566 2,975,863 5,171,804 3,949,991 2,508,640 2,633,026 2,105,103 1,318,726 (5,072,931) (3,880,393) (2,146,083) (2,796,559) (2,112,536) (1,315,023) ------------- ---------------------- ------------- ------------- ---------------------- ------------- 4,717,340 4,618,467 4,548,869 2,808,600 2,972,133 2,979,566 ============= ====================== ============= ============= ====================== =============
175 METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE INSURANCE COMPANY NOTES TO THE FINANCIAL STATEMENTS -- (CONTINUED) 7. SCHEDULES OF UNITS -- (CONTINUED) FOR THE YEARS ENDED DECEMBER 31, 2010, 2009, AND 2008: MSF JENNISON GROWTH MSF NEUBERGER BERMAN GENESIS INVESTMENT DIVISION INVESTMENT DIVISION ------------------------------------------------ -------------------------------------------------- 2010 2009 2008 2010 2009 2008 ------------ ---------------------- ------------ ------------- ---------------------- ------------- Units beginning of year 1,148,604 1,170,101 1,203,057 4,279,459 4,285,033 4,450,536 Units issued and transferred from other funding options 1,009,921 646,258 394,023 3,571,339 2,810,773 1,678,023 Units redeemed and transferred to other funding options (923,867) (667,755) (426,979) (3,738,934) (2,816,347) (1,843,526) ------------ ---------------------- ------------ ------------- ---------------------- ------------- Units end of year 1,234,658 1,148,604 1,170,101 4,111,864 4,279,459 4,285,033 ============ ====================== ============ ============= ====================== =============
MSF BLACKROCK LARGE CAP VALUE MSF DAVIS VENTURE VALUE INVESTMENT DIVISION INVESTMENT DIVISION ------------------------------------------------ ------------------------------------------------- 2010 2009 2008 2010 2009 2008 ------------- ---------------------- ----------- ------------- ---------------------- ------------ Units beginning of year 1,018,697 924,995 770,111 1,661,533 1,580,625 1,479,707 Units issued and transferred from other funding options 1,430,731 1,160,670 738,266 1,634,097 1,319,611 814,725 Units redeemed and transferred to other funding options (1,423,068) (1,066,968) (583,382) (1,662,761) (1,238,703) (713,807) ------------- ---------------------- ----------- ------------- ---------------------- ------------ Units end of year 1,026,360 1,018,697 924,995 1,632,869 1,661,533 1,580,625 ============= ====================== =========== ============= ====================== ============
MSF BLACKROCK BOND INCOME MSF FI VALUE LEADERS INVESTMENT DIVISION INVESTMENT DIVISION -------------------------------------------------- ---------------------------------------------- 2010 2009 2008 2010 2009 2008 ------------- ---------------------- ------------- ----------- ---------------------- ----------- Units beginning of year 3,849,026 4,137,787 4,467,585 478,934 451,406 440,904 Units issued and transferred from other funding options 2,545,294 1,958,068 1,342,396 576,474 447,507 277,204 Units redeemed and transferred to other funding options (2,698,422) (2,246,829) (1,672,194) (561,589) (419,979) (266,702) ------------- ---------------------- ------------- ----------- ---------------------- ----------- Units end of year 3,695,898 3,849,026 4,137,787 493,819 478,934 451,406 ============= ====================== ============= =========== ====================== ===========
(a) For the period April 28, 2008 to December 31, 2008. (b) Commenced on April 28, 2008 and began transactions in 2009. (c) For the period May 3, 2010 to December 31, 2010. (d) For the period May 4, 2009 to December 31, 2009. (e) Commenced on May 1, 2005 and began transactions in 2009. (f) Commenced on November 10, 2008 and began transactions in 2010. (g) Commenced on November 10, 2008 and began transactions in 2009. 176 MSF METLIFE MID CAP STOCK INDEX MSF LOOMIS SAYLES SMALL CAP GROWTH INVESTMENT DIVISION INVESTMENT DIVISION -------------------------------------------------- ---------------------------------------------- 2010 2009 2008 2010 2009 2008 ------------- ---------------------- ------------- ----------- ---------------------- ----------- 3,313,158 3,450,115 3,466,871 592,149 579,322 569,953 3,107,108 2,443,661 1,669,439 595,787 456,755 284,532 (3,196,529) (2,580,618) (1,686,195) (590,320) (443,928) (275,163) ------------- ---------------------- ------------- ----------- ---------------------- ----------- 3,223,737 3,313,158 3,450,115 597,616 592,149 579,322 ============= ====================== ============= =========== ====================== ===========
MSF LOOMIS SAYLES SMALL CAP CORE MSF BLACKROCK LEGACY LARGE CAP GROWTH INVESTMENT DIVISION INVESTMENT DIVISION -------------------------------------------- ---------------------------------------------- 2010 2009 2008 2010 2009 2008 ---------- ---------------------- ---------- ----------- ---------------------- ----------- 116,312 116,157 98,083 480,438 413,693 265,094 70,304 70,176 60,203 793,080 696,623 481,035 (71,077) (70,021) (42,129) (778,520) (629,878) (332,436) ---------- ---------------------- ---------- ----------- ---------------------- ----------- 115,539 116,312 116,157 494,998 480,438 413,693 ========== ====================== ========== =========== ====================== ===========
MSF WESTERN ASSET MANAGEMENT MSF MET/ARTISAN MID CAP VALUE STRATEGIC BOND OPPORTUNITIES INVESTMENT DIVISION INVESTMENT DIVISION --------------------------------------------- ------------- ---------------------- ------------ 2010 2009 2008 2010 2009 2008 ----------- ---------------------- ---------- ------------- ---------------------- ------------ 191,339 196,801 191,591 1,115,618 1,106,833 1,117,386 303,121 142,199 89,923 1,232,736 931,022 616,116 (271,624) (147,661) (84,713) (1,202,545) (922,237) (626,669) ----------- ---------------------- ---------- ------------- ---------------------- ------------ 222,836 191,339 196,801 1,145,809 1,115,618 1,106,833 =========== ====================== ========== ============= ====================== ============
177 METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE INSURANCE COMPANY NOTES TO THE FINANCIAL STATEMENTS -- (CONTINUED) 7. SCHEDULES OF UNITS -- (CONTINUED) FOR THE YEARS ENDED DECEMBER 31, 2010, 2009, AND 2008: MSF WESTERN ASSET MANAGEMENT U.S. GOVERNMENT MSF BLACKROCK MONEY MARKET INVESTMENT DIVISION INVESTMENT DIVISION ------------------------------------------------- -------------------------------------------------- 2010 2009 2008 2010 2009 2008 ------------- ---------------------- ------------ ------------- ---------------------- ------------- Units beginning of year 1,063,071 1,059,598 1,066,735 1,962,757 3,533,477 3,638,086 Units issued and transferred from other funding options 1,297,550 1,058,237 562,109 1,839,931 1,181,172 902,181 Units redeemed and transferred to other funding options (1,338,852) (1,054,764) (569,246) (2,138,792) (2,751,892) (1,006,790) ------------- ---------------------- ------------ ------------- ---------------------- ------------- Units end of year 1,021,769 1,063,071 1,059,598 1,663,896 1,962,757 3,533,477 ============= ====================== ============ ============= ====================== =============
MSF METLIFE CONSERVATIVE TO MODERATE ALLOCATION MSF METLIFE MODERATE ALLOCATION INVESTMENT DIVISION INVESTMENT DIVISION -------------------------------------------------- -------------------------------------------------- 2010 2009 2008 2010 2009 2008 ----------- ---------------------- --------------- ------------- ---------------------- ------------- Units beginning of year 443,689 336,506 244,254 2,488,914 2,031,439 1,452,241 Units issued and transferred from other funding options 852,775 631,508 381,130 4,421,202 3,488,092 2,404,563 Units redeemed and transferred to other funding options (773,277) (524,325) (288,878) (4,084,553) (3,030,617) (1,825,365) ----------- ---------------------- --------------- ------------- ---------------------- ------------- Units end of year 523,187 443,689 336,506 2,825,563 2,488,914 2,031,439 =========== ====================== =============== ============= ====================== =============
JANUS ASPEN JANUS JANUS ASPEN BALANCED INVESTMENT DIVISION INVESTMENT DIVISION -------------------------------------------- ------------------------------------------- 2010 2009 2008 2010 2009 2008 ---------- ---------------------- ---------- ---------- ---------------------- --------- Units beginning of year 718,894 685,791 643,417 99,381 20,633 5,625 Units issued and transferred from other funding options 65,451 77,949 85,627 79,900 81,253 20,270 Units redeemed and transferred to other funding options (42,822) (44,846) (43,253) (23,447) (2,505) (5,262) ---------- ---------------------- ---------- ---------- ---------------------- --------- Units end of year 741,523 718,894 685,791 155,834 99,381 20,633 ========== ====================== ========== ========== ====================== =========
(a) For the period April 28, 2008 to December 31, 2008. (b) Commenced on April 28, 2008 and began transactions in 2009. (c) For the period May 3, 2010 to December 31, 2010. (d) For the period May 4, 2009 to December 31, 2009. (e) Commenced on May 1, 2005 and began transactions in 2009. (f) Commenced on November 10, 2008 and began transactions in 2010. (g) Commenced on November 10, 2008 and began transactions in 2009. 178 MSF MFS TOTAL RETURN MSF METLIFE CONSERVATIVE ALLOCATION INVESTMENT DIVISION INVESTMENT DIVISION ---------------------------------------------- ---------------------------------------------- 2010 2009 2008 2010 2009 2008 ----------- ---------------------- ----------- ----------- ---------------------- ----------- 580,613 469,855 418,473 179,332 133,696 66,558 701,621 595,895 357,123 672,097 463,545 353,431 (714,128) (485,137) (305,741) (570,404) (417,909) (286,293) ----------- ---------------------- ----------- ----------- ---------------------- ----------- 568,106 580,613 469,855 281,025 179,332 133,696 =========== ====================== =========== =========== ====================== ===========
MSF METLIFE MODERATE TO AGGRESSIVE ALLOCATION MSF METLIFE AGGRESSIVE ALLOCATION INVESTMENT DIVISION INVESTMENT DIVISION -------------------------------------------------- ------------------------------------------------ 2010 2009 2008 2010 2009 2008 ------------- ---------------------- ------------- ------------- ---------------------- ----------- 4,732,679 3,956,910 2,499,351 993,895 851,068 608,756 8,011,177 6,445,005 4,336,625 1,827,076 1,466,442 960,727 (7,625,587) (5,669,236) (2,879,066) (1,739,137) (1,323,615) (718,415) ------------- ---------------------- ------------- ------------- ---------------------- ----------- 5,118,269 4,732,679 3,956,910 1,081,834 993,895 851,068 ============= ====================== ============= ============= ====================== ===========
JANUS ASPEN FORTY JANUS ASPEN OVERSEAS INVESTMENT DIVISION INVESTMENT DIVISION -------------------------------------------- ------------------------------------------- 2010 2009 2008 2010 2009 2008 (a) ---------- ---------------------- ---------- --------- ---------------------- ---------- 61,130 45,182 27,126 3,135 1,777 -- 22,591 39,687 46,241 9,125 5,289 1,802 (10,503) (23,739) (28,185) (779) (3,931) (25) ---------- ---------------------- ---------- --------- ---------------------- ---------- 73,218 61,130 45,182 11,481 3,135 1,777 ========== ====================== ========== ========= ====================== ==========
179 METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE INSURANCE COMPANY NOTES TO THE FINANCIAL STATEMENTS -- (CONTINUED) 7. SCHEDULES OF UNITS -- (CONTINUED) FOR THE YEARS ENDED DECEMBER 31, 2010, 2009, AND 2008: INVESCO V.I. GLOBAL REAL ESTATE INVESCO V.I. INTERNATIONAL GROWTH INVESTMENT DIVISION INVESTMENT DIVISION --------------------------------------------- ------------------------------------ 2010 2009 2008 2010 2009 (b) ---------- ----------------------- ---------- --------- -------------------------- Units beginning of year 59,960 76,172 74,508 1,080 -- Units issued and transferred from other funding options 6,829 18,609 21,095 20,685 1,114 Units redeemed and transferred to other funding options (12,696) (34,821) (19,431) (7,564) (34) ---------- ----------------------- ---------- --------- -------------------------- Units end of year 54,093 59,960 76,172 14,201 1,080 ========== ======================= ========== ========= ==========================
FTVIPT TEMPLETON FTVIPT MUTUAL GLOBAL DISCOVERY SECURITIES GLOBAL BOND SECURITIES INVESTMENT DIVISION INVESTMENT DIVISION -------------------------------------------- --------------------------------- 2010 2009 2008 2010 2009 (d) ---------- ---------------------- ---------- ---------- ---------------------- Units beginning of year 54,588 140,006 93,103 204 -- Units issued and transferred from other funding options 32,229 28,222 55,579 11,325 213 Units redeemed and transferred to other funding options (33,373) (113,640) (8,676) (11,350) (9) ---------- ---------------------- ---------- ---------- ---------------------- Units end of year 53,444 54,588 140,006 179 204 ========== ====================== ========== ========== ============== =======
FIDELITY VIP CONTRAFUND FIDELITY VIP ASSET MANAGER: GROWTH INVESTMENT DIVISION INVESTMENT DIVISION --------------------------------------------- -------------------------------------------- 2010 2009 2008 2010 2009 2008 ----------- ---------------------- ---------- ---------- ---------------------- ---------- Units beginning of year 332,757 218,160 188,529 181,097 126,890 112,746 Units issued and transferred from other funding options 43,442 153,261 67,806 24,042 70,300 28,458 Units redeemed and transferred to other funding options (185,444) (38,664) (38,175) (32,679) (16,093) (14,314) ----------- ---------------------- ---------- ---------- ---------------------- ---------- Units end of year 190,755 332,757 218,160 172,460 181,097 126,890 =========== ====================== ========== ========== ====================== ==========
(a) For the period April 28, 2008 to December 31, 2008. (b) Commenced on April 28, 2008 and began transactions in 2009. (c) For the period May 3, 2010 to December 31, 2010. (d) For the period May 4, 2009 to December 31, 2009. (e) Commenced on May 1, 2005 and began transactions in 2009. (f) Commenced on November 10, 2008 and began transactions in 2010. (g) Commenced on November 10, 2008 and began transactions in 2009. 180 INVESCO V.I. INVESCO V.I. GOVERNMENT VAN KAMPEN COMSTOCK FTVIPT TEMPLETON FOREIGN SECURITIES INVESTMENT DIVISION INVESTMENT DIVISION INVESTMENT DIVISION ---------------------------------------------- ------------------------------- ----------------------------------- 2010 2009 2008 2010 (C) 2010 2009 2008 ------------- ---------------------- --------- ---------------------- -------- ------------------------ ---------- 7,019 2,625 1,920 -- 520,792 527,866 504,436 2,058 5,113 2,736 2,966 75,062 104,859 90,235 (757) (719) (2,031) -- (37,545) (111,933) (66,805) ------------- ---------------------- --------- ---------------------- -------- ------------------------ ---------- 8,320 7,019 2,625 2,966 558,309 520,792 527,866 ==== ======== ====================== ========= ====================== ======== ======================== ==========
ALLIANCEBERNSTEIN ALLIANCEBERNSTEIN ALLIANCEBERNSTEIN GLOBAL THEMATIC GROWTH INTERMEDIATE BOND INTERNATIONAL VALUE INVESTMENT DIVISION INVESTMENT DIVISION INVESTMENT DIVISION ------------------------------------------- ---------------------- ---------------------- 2010 2009 2008 2010 2009 (e) 2010 (f) ---------- ---------------------- --------- --------- ------------ ---------------------- 25,043 14,644 8,261 2,242 -- -- 5,471 14,289 6,627 3,226 3,299 73 (11,028) (3,890) (244) (2,322) (1,057) -- ---------- ---------------------- --------- --------- ------------ ---------------------- 19,486 25,043 14,644 3,146 2,242 73 ========== ====================== ========= ========= ============ ======================
FIDELITY VIP INVESTMENT GRADE BOND FIDELITY VIP EQUITY-INCOME INVESTMENT DIVISION INVESTMENT DIVISION -------------------------------------------- -------------------------------------------- 2010 2009 2008 2010 2009 2008 ---------- ---------------------- ---------- ---------- ---------------------- ---------- 18,087 3,908 73,675 23,778 72,691 87,700 87,556 31,638 1,647 4,102 10,561 72,887 (67,207) (17,459) (71,414) (10,840) (59,474) (87,896) ---------- ---------------------- ---------- ---------- ---------------------- ---------- 38,436 18,087 3,908 17,040 23,778 72,691 ========== ====================== ========== ========== ====================== ==========
181 METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE INSURANCE COMPANY NOTES TO THE FINANCIAL STATEMENTS -- (CONTINUED) 7. SCHEDULES OF UNITS -- (CONTINUED) FOR THE YEARS ENDED DECEMBER 31, 2010, 2009, AND 2008: FIDELITY VIP HIGH INCOME FIDELITY VIP MID CAP INVESTMENT DIVISION INVESTMENT DIVISION --------------------------- ------------------------------------------- 2010 2009 (b) 2010 2009 2008 (a) --------- ----------------- --------- ---------------------- ---------- Units beginning of year 3,001 -- 10,051 2,071 -- Units issued and transferred from other funding options -- 3,022 7,750 9,260 2,085 Units redeemed and transferred to other funding options (2,707) (21) (1,068) (1,280) (14) --------- ----------------- --------- ---------------------- ---------- Units end of year 294 3,001 16,733 10,051 2,071 ========= ================= ========= ====================== ==========
FIDELITY VIP FREEDOM 2030 AMERICAN FUNDS GROWTH INVESTMENT DIVISION INVESTMENT DIVISION ------------------------------------------- ------------------------------------------------- 2010 2009 2008 (a) 2010 2009 2008 --------- ---------------------- ---------- ------------- ---------------------- ------------ Units beginning of year 3,665 3,324 -- 1,419,237 1,382,286 1,218,654 Units issued and transferred from other funding options 9,042 372 3,402 1,491,854 1,183,014 771,486 Units redeemed and transferred to other funding options (3,696) (31) (78) (1,499,983) (1,146,063) (607,854) --------- ---------------------- ---------- ------------- ---------------------- ------------ Units end of year 9,011 3,665 3,324 1,411,108 1,419,237 1,382,286 ========= ====================== ========== ============= ====================== ============
AMERICAN FUNDS BOND AMERICAN FUNDS INTERNATIONAL INVESTMENT DIVISION INVESTMENT DIVISION ---------------------------------------------- ------------------------------------------- 2010 2009 2008 2010 2009 2008 (a) ----------- ---------------------- ----------- --------- ---------------------- ---------- Units beginning of year 335,183 317,147 291,647 17,214 2,335 -- Units issued and transferred from other funding options 767,492 631,349 466,213 13,635 16,414 2,351 Units redeemed and transferred to other funding options (741,602) (613,313) (440,713) (2,919) (1,535) (16) ----------- ---------------------- ----------- --------- ---------------------- ---------- Units end of year 361,073 335,183 317,147 27,930 17,214 2,335 =========== ====================== =========== ========= ====================== ==========
(a) For the period April 28, 2008 to December 31, 2008. (b) Commenced on April 28, 2008 and began transactions in 2009. (c) For the period May 3, 2010 to December 31, 2010. (d) For the period May 4, 2009 to December 31, 2009. (e) Commenced on May 1, 2005 and began transactions in 2009. (f) Commenced on November 10, 2008 and began transactions in 2010. (g) Commenced on November 10, 2008 and began transactions in 2009. 182 FIDELITY VIP FREEDOM 2010 FIDELITY VIP FREEDOM 2020 INVESTMENT DIVISION INVESTMENT DIVISION ----------------------------------------------- ------------------------------------------- 2010 2009 2008 (a) 2010 2009 2008 (a) ------------- ---------------------- ---------- --------- ---------------------- ---------- 1,541 3,089 -- 56,341 4,617 -- 1,471 21 3,101 829 52,551 4,660 (10) (1,569) (12) (873) (827) (43) ------------- ---------------------- ---------- --------- ---------------------- ---------- 3,002 1,541 3,089 56,297 56,341 4,617 ==== ======== ====================== ========== ========= ====================== ==========
AMERICAN FUNDS GROWTH-INCOME AMERICAN FUNDS GLOBAL SMALL CAPITALIZATION INVESTMENT DIVISION INVESTMENT DIVISION ------------------------------------------------- -------------------------------------------------- 2010 2009 2008 2010 2009 2008 ------------- ---------------------- ------------ ------------- ---------------------- ------------- 1,491,242 1,461,879 1,381,044 2,152,577 2,098,117 1,945,062 1,511,750 1,196,222 759,706 2,898,451 2,393,707 1,620,594 (1,519,897) (1,166,859) (678,871) (2,936,108) (2,339,247) (1,467,539) ------------- ---------------------- ------------ ------------- ---------------------- ------------- 1,483,095 1,491,242 1,461,879 2,114,920 2,152,577 2,098,117 ============= ====================== ============ ============= ====================== =============
AMERICAN FUNDS U.S. GOVERNMENT/AAA RATED SECURITIES MIST T. ROWE PRICE MID CAP GROWTH INVESTMENT DIVISION INVESTMENT DIVISION ------------------------------------------- -------------------------------------------------- 2010 2009 2008 (a) 2010 2009 2008 --------- ---------------------- ---------- ------------- ---------------------- ------------- 4,564 1,808 -- 1,754,850 1,702,757 1,587,296 398 4,273 1,820 2,400,707 1,928,793 1,301,840 (3,152) (1,517) (12) (2,429,809) (1,876,700) (1,186,379) --------- ---------------------- ---------- ------------- ---------------------- ------------- 1,810 4,564 1,808 1,725,748 1,754,850 1,702,757 ========= ====================== ========== ============= ====================== =============
183 METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE INSURANCE COMPANY NOTES TO THE FINANCIAL STATEMENTS -- (CONTINUED) 7. SCHEDULES OF UNITS -- (CONTINUED) FOR THE YEARS ENDED DECEMBER 31, 2010, 2009, AND 2008: MIST MFS RESEARCH INTERNATIONAL MIST PIMCO TOTAL RETURN INVESTMENT DIVISION INVESTMENT DIVISION -------------------------------------------------------------- ------------------------------------ 2010 2009 2008 2010 2009 2008 ------------- ---------------------- ----------- ------------- ---------------------- ------------- Units beginning of year 885,756 870,603 695,827 2,378,221 2,287,745 2,175,489 Units issued and transferred from other funding options 1,201,606 996,145 702,443 2,765,705 2,051,940 1,322,359 Units redeemed and transferred to other funding options (1,249,252) (980,992) (527,667) (2,693,499) (1,961,464) (1,210,103) ------------- ---------------------- ----------- ------------- ---------------------- ------------- Units end of year 838,110 885,756 870,603 2,450,427 2,378,221 2,287,745 ============= ====================== =========== ============= ====================== =============
MIST LAZARD MID CAP MIST INVESCO SMALL CAP GROWTH INVESTMENT DIVISION INVESTMENT DIVISION ---------------------------------------------- ---------------------------------------------- 2010 2009 2008 2010 2009 2008 ----------- ---------------------- ----------- ----------- ---------------------- ----------- Units beginning of year 362,314 371,732 340,316 268,049 230,618 208,985 Units issued and transferred from other funding options 450,103 378,306 294,536 345,354 285,386 181,529 Units redeemed and transferred to other funding options (451,970) (387,724) (263,120) (333,149) (247,955) (159,896) ----------- ---------------------- ----------- ----------- ---------------------- ----------- Units end of year 360,447 362,314 371,732 280,254 268,049 230,618 =========== ====================== =========== =========== ====================== ===========
MIST LORD ABBETT GROWTH AND INCOME MIST CLARION GLOBAL REAL ESTATE INVESTMENT DIVISION INVESTMENT DIVISION -------------------------------------------- ------------------------------------------------- 2010 2009 2008 2010 2009 2008 ---------- ---------------------- ---------- ------------- ---------------------- ------------ Units beginning of year 585,353 569,914 539,972 1,332,507 1,247,223 1,071,638 Units issued and transferred from other funding options 46,143 58,321 51,580 1,901,957 1,551,482 1,053,139 Units redeemed and transferred to other funding options (30,055) (42,882) (21,638) (1,891,476) (1,466,198) (877,554) ---------- ---------------------- ---------- ------------- ---------------------- ------------ Units end of year 601,441 585,353 569,914 1,342,988 1,332,507 1,247,223 ========== ====================== ========== ============= ====================== ============
(a) For the period April 28, 2008 to December 31, 2008. (b) Commenced on April 28, 2008 and began transactions in 2009. (c) For the period May 3, 2010 to December 31, 2010. (d) For the period May 4, 2009 to December 31, 2009. (e) Commenced on May 1, 2005 and began transactions in 2009. (f) Commenced on November 10, 2008 and began transactions in 2010. (g) Commenced on November 10, 2008 and began transactions in 2009. 184 MIST RCM TECHNOLOGY MIST LORD ABBETT BOND DEBENTURE INVESTMENT DIVISION INVESTMENT DIVISION -------------------------------------------------- ------------------------------------------------ 2010 2009 2008 2010 2009 2008 ------------- ---------------------- ------------- ------------ ---------------------- ------------ 2,111,049 1,806,845 1,867,295 1,300,112 1,205,110 1,249,287 3,754,204 2,949,637 1,857,487 833,058 736,059 372,521 (3,857,418) (2,645,433) (1,917,937) (910,963) (641,057) (416,698) ------------- ---------------------- ------------- ------------ ---------------------- ------------ 2,007,835 2,111,049 1,806,845 1,222,207 1,300,112 1,205,110 ============= ====================== ============= ============ ====================== ============
MIST HARRIS OAKMARK INTERNATIONAL MIST LEGG MASON CLEARBRIDGE AGGRESSIVE GROWTH INVESTMENT DIVISION INVESTMENT DIVISION -------------------------------------------------- ------------------------------------------------ 2010 2009 2008 2010 2009 2008 ------------- ---------------------- ------------- ----------- ---------------------- ------------- 1,439,875 1,337,674 1,335,770 918,435 929,444 893,124 1,994,881 1,598,848 1,015,983 862,843 681,902 427,707 (1,961,447) (1,496,647) (1,014,079) (893,021) (692,911) (391,387) ------------- ---------------------- ------------- ----------- ---------------------- ------------- 1,473,309 1,439,875 1,337,674 888,257 918,435 929,444 ============= ====================== ============= =========== ====================== =============
MIST MORGAN STANLEY MID CAP GROWTH MIST LORD ABBETT MID CAP VALUE INVESTMENT DIVISION INVESTMENT DIVISION --------------------------------------------------- ------------------------------------------ 2010 2009 2008 2010 2009 2008 -------------- ---------------------- ------------- --------- ---------------------- --------- 23,317 1,987 2,000 9,319 10,463 4,638 24,103,485 23,232 9 620 12,325 8,670 (11,005,152) (1,902) (22) (1,965) (13,469) (2,845) -------------- ---------------------- ------------- --------- ---------------------- --------- 13,121,650 23,317 1,987 7,974 9,319 10,463 ============== ====================== ============= ========= ====================== =========
185 METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE INSURANCE COMPANY NOTES TO THE FINANCIAL STATEMENTS -- (CONTINUED) 7. SCHEDULES OF UNITS -- (CONTINUED) FOR THE YEARS ENDED DECEMBER 31, 2010, 2009, AND 2008: MIST THIRD AVENUE SMALL CAP VALUE MIST OPPENHEIMER CAPITAL APPRECIATION INVESTMENT DIVISION INVESTMENT DIVISION ------------------------------------------- --------------------------------------------- 2010 2009 2008 2010 2009 2008 ---------- ---------------------- --------- ----------- ---------------------- ---------- Units beginning of year 66,457 22,742 24,943 155,544 114,986 70,634 Units issued and transferred from other funding options 54,144 49,002 5,677 284,133 234,271 142,400 Units redeemed and transferred to other funding options (23,671) (5,287) (7,878) (284,323) (193,713) (98,048) ---------- ---------------------- --------- ----------- ---------------------- ---------- Units end of year 96,930 66,457 22,742 155,354 155,544 114,986 ========== ====================== ========= =========== ====================== ==========
MIST SSGA GROWTH AND INCOME ETF MIST PIMCO INFLATION PROTECTED BOND INVESTMENT DIVISION INVESTMENT DIVISION --------------------------------------------- ------------------------------------------------ 2010 2009 2008 2010 2009 2008 ----------- ---------------------- ---------- ------------- ---------------------- ----------- Units beginning of year 149,333 39,742 30,551 618,801 523,888 80,592 Units issued and transferred from other funding options 435,343 206,989 57,632 1,507,168 1,226,809 872,786 Units redeemed and transferred to other funding options (264,392) (97,398) (48,441) (1,472,356) (1,131,896) (429,490) ----------- ---------------------- ---------- ------------- ---------------------- ----------- Units end of year 320,284 149,333 39,742 653,613 618,801 523,888 =========== ====================== ========== ============= ====================== ===========
MIST DREMAN SMALL CAP VALUE MIST AMERICAN FUNDS BALANCED ALLOCATION INVESTMENT DIVISION INVESTMENT DIVISION ----------------------------------------------- ---------------------------------------------------- 2010 2009 2008 (a) 2010 2009 2008 (a) ------------- ---------------------- ---------- ------- ---------- ---------------------- ---------- Units beginning of year 1,271 11 -- 23,102 1,427 -- Units issued and transferred from other funding options 1,222 22,145 15 70,685 44,911 1,565 Units redeemed and transferred to other funding options (788) (20,885) (4) (52,491) (23,236) (138) ------------- ---------------------- ---------- ------- ---------- ---------------------- ---------- Units end of year 1,705 1,271 11 41,296 23,102 1,427 ============= ====================== ========== ======= ========== ====================== ==========
(a) For the period April 28, 2008 to December 31, 2008. (b) Commenced on April 28, 2008 and began transactions in 2009. (c) For the period May 3, 2010 to December 31, 2010. (d) For the period May 4, 2009 to December 31, 2009. (e) Commenced on May 1, 2005 and began transactions in 2009. (f) Commenced on November 10, 2008 and began transactions in 2010. (g) Commenced on November 10, 2008 and began transactions in 2009. 186 MIST LEGG MASON VALUE EQUITY MIST SSGA GROWTH ETF INVESTMENT DIVISION INVESTMENT DIVISION ---------------------------------------------- --------------------------------------------- 2010 2009 2008 2010 2009 2008 ----------- ---------------------- ----------- ----------- ---------------------- ---------- 615,613 576,603 511,093 181,473 59,898 56,164 729,851 565,868 304,320 355,523 247,780 75,852 (704,992) (526,858) (238,810) (299,245) (126,205) (72,118) ----------- ---------------------- ----------- ----------- ---------------------- ---------- 640,472 615,613 576,603 237,751 181,473 59,898 =========== ====================== =========== =========== ====================== ==========
MIST BLACKROCK LARGE CAP CORE MIST JANUS FORTY INVESTMENT DIVISION INVESTMENT DIVISION -------------------------------------------------- ------------------------------------------------- 2010 2009 2008 2010 2009 2008 ------------- ---------------------- ------------- ------------- ---------------------- ------------ 14,107,746 14,670,780 15,352,126 1,122,196 943,170 281,380 9,046,176 6,882,314 4,069,201 2,258,407 1,816,405 1,255,331 (9,685,539) (7,445,348) (4,750,547) (2,194,977) (1,637,379) (593,541) ------------- ---------------------- ------------- ------------- ---------------------- ------------ 13,468,383 14,107,746 14,670,780 1,185,626 1,122,196 943,170 ============= ====================== ============= ============= ====================== ============
MIST AMERICAN FUNDS GROWTH ALLOCATION MIST AMERICAN FUNDS MODERATE ALLOCATION INVESTMENT DIVISION INVESTMENT DIVISION -------------------------------------------- -------------------------------------------- 2010 2009 2008 (a) 2010 2009 2008 (a) ---------- ---------------------- ---------- ---------- ---------------------- ---------- 15,564 2,439 -- 9,961 593 -- 90,305 17,809 2,697 29,424 11,392 809 (34,295) (4,684) (258) (15,801) (2,024) (216) ---------- ---------------------- ---------- ---------- ---------------------- ---------- 71,574 15,564 2,439 23,584 9,961 593 ========== ====================== ========== ========== ====================== ==========
187 METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE INSURANCE COMPANY NOTES TO THE FINANCIAL STATEMENTS -- (CONTINUED) 7. SCHEDULES OF UNITS -- (CONTINUED) FOR THE YEARS ENDED DECEMBER 31, 2010, 2009, AND 2008: MIST MET/FRANKLIN INCOME MIST MET/FRANKLIN MUTUAL SHARES INVESTMENT DIVISION INVESTMENT DIVISION ------------------------------------------- ------------------------------------------- 2010 2009 2008 (a) 2010 2009 2008 (a) --------- ---------------------- ---------- --------- ---------------------- ---------- Units beginning of year 5,364 2,408 -- 2,904 1,208 -- Units issued and transferred from other funding options 13,379 4,293 2,572 6,436 2,223 1,620 Units redeemed and transferred to other funding options (5,703) (1,337) (164) (3,206) (527) (412) --------- ---------------------- ---------- --------- ---------------------- ---------- Units end of year 13,040 5,364 2,408 6,134 2,904 1,208 ========= ====================== ========== ========= ====================== ==========
MIST PIONEER FUND AMERICAN CENTURY VP VISTA INVESTMENT DIVISION INVESTMENT DIVISION --------------------------------- ------------------------------------ 2010 2009 (d) 2010 2009 2008 --------- ------------ ---------- ---------------------- ------------- Units beginning of year 20,277 -- 13,115 8,686 1,642 Units issued and transferred from other funding options 399 22,226 2,722 17,746 7,373 Units redeemed and transferred to other funding options (2,738) (1,949) (10,477) (13,317) (329) --------- ------------ ---------- ---------------------- ------------- Units end of year 17,938 20,277 5,360 13,115 8,686 ========= ============ ========== ====================== ==== ========
GOLDMAN SACHS MID CAP VALUE GOLDMAN SACHS STRUCTURED SMALL CAP EQUITY INVESTMENT DIVISION INVESTMENT DIVISION ------------------------------------------- -------------------------------------------- 2010 2009 2008 2010 2009 2008 --------- ---------------------- ---------- --------- ---------------------- ----------- Units beginning of year 27,552 102,102 84,789 7,623 6,818 12,264 Units issued and transferred from other funding options 1 -- 29,281 436 2,806 2,521 Units redeemed and transferred to other funding options (2,910) (74,550) (11,968) (3,801) (2,001) (7,967) --------- ---------------------- ---------- --------- ---------------------- ----------- Units end of year 24,643 27,552 102,102 4,258 7,623 6,818 ========= ====================== ========== ========= ====================== ===========
(a) For the period April 28, 2008 to December 31, 2008. (b) Commenced on April 28, 2008 and began transactions in 2009. (c) For the period May 3, 2010 to December 31, 2010. (d) For the period May 4, 2009 to December 31, 2009. (e) Commenced on May 1, 2005 and began transactions in 2009. (f) Commenced on November 10, 2008 and began transactions in 2010. (g) Commenced on November 10, 2008 and began transactions in 2009. 188 MIST MET/FRANKLIN TEMPLETON FOUNDING STRATEGY MIST MET/TEMPLETON GROWTH INVESTMENT DIVISION INVESTMENT DIVISION ------------------------------------------------ --------------------------------------------------- 2010 2009 2008 (a) 2010 2009 2008 (a) ---------- ---------------------- -------------- --------- ---------------------- ---------- ------- 21,298 1,503 -- 2,173 480 -- 55,695 44,058 1,613 5,903 2,325 543 (51,240) (24,263) (110) (2,988) (632) (63) ---------- ---------------------- -------------- --------- ---------------------- ---------- ------- 25,753 21,298 1,503 5,088 2,173 480 ========== ====================== ============== ========= ====================== ========== =======
DELAWARE VIP SMALL CAP VALUE DREYFUS VIF INTERNATIONAL VALUE INVESTMENT DIVISION INVESTMENT DIVISION ------------------------------------------- --------------------------------------------- 2010 2009 2008 2010 2009 2008 --------- ---------------------- ---------- --------- ------------------------ ---------- 16,198 59,279 67,044 21,676 33,156 42,550 7,585 7,473 14,415 505 2,909 1,327 (3,044) (50,554) (22,180) (5,679) (14,389) (10,721) --------- ---------------------- ---------- --------- ------------------------ ---------- 20,739 16,198 59,279 16,502 21,676 33,156 ========= ====================== ========== ========= ======================== ==========
MFS VIT HIGH INCOME MFS VIT GLOBAL EQUITY INVESTMENT DIVISION INVESTMENT DIVISION ---------------------------------------------- ---------------------------------------------- 2010 2009 2008 2010 2009 2008 ------------- ---------------------- --------- --------- ---------------------- ------------- 9,209 354 1,776 5,543 5,386 3,948 106 9,330 77 11,271 2,627 1,868 (295) (475) (1,499) (2,592) (2,470) (430) ------------- ---------------------- --------- --------- ---------------------- ------------- 9,020 9,209 354 14,222 5,543 5,386 ============= ====================== ========= ========= ====================== =============
189 METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE INSURANCE COMPANY NOTES TO THE FINANCIAL STATEMENTS -- (CONTINUED) 7. SCHEDULES OF UNITS -- (CONCLUDED) FOR THE YEARS ENDED DECEMBER 31, 2010, 2009, AND 2008: MFS VIT NEW DISCOVERY MFS VIT VALUE INVESTMENT DIVISION INVESTMENT DIVISION ------------------------------------------------- -------------------------------------------------- 2010 2009 2008 2010 2009 2008 ------------- ---------------------- ------------ ------------- ---------------------- ------------- Units beginning of year 396 249 253 5,803 6,081 2,966 Units issued and transferred from other funding options 7,766 864 -- -- -- 3,928 Units redeemed and transferred to other funding options (348) (717) (4) (226) (278) (813) ------------- ---------------------- ------------ ------------- ---------------------- ------------- Units end of year 7,814 396 249 5,577 5,803 6,081 ============= ====================== ============ ============= ====================== =============
PIONEER VCT MID CAP VALUE ROYCE MICRO-CAP ROYCE SMALL-CAP INVESTMENT DIVISION INVESTMENT DIVISION INVESTMENT DIVISION ---------------------------- ---------------------- ---------------------- 2010 2009 (b) 2010 (f) 2010 2009 (g) -------- ------------------- ---------------------- ---------- ----------- Units beginning of year 586 -- -- 4,703 -- Units issued and transferred from other funding options 1,815 604 19,549 35,416 4,771 Units redeemed and transferred to other funding options (99) (18) (323) (13,884) (68) -------- ------------------- ---------------------- ---------- ----------- Units end of year 2,302 586 19,226 26,235 4,703 ======== =================== ====================== ========== ===========
(a) For the period April 28, 2008 to December 31, 2008. (b) Commenced on April 28, 2008 and began transactions in 2009. (c) For the period May 3, 2010 to December 31, 2010. (d) For the period May 4, 2009 to December 31, 2009. (e) Commenced on May 1, 2005 and began transactions in 2009. (f) Commenced on November 10, 2008 and began transactions in 2010. (g) Commenced on November 10, 2008 and began transactions in 2009. 190 WELLS FARGO VT TOTAL RETURN BOND PIONEER VCT EMERGING MARKETS INVESTMENT DIVISION INVESTMENT DIVISION ------------------------------------------- ------------------------------------------- 2010 2009 2008 2010 2009 2008 (a) ---------- ---------------------- --------- --------- ---------------------- ---------- 39,845 15,329 9,697 37,577 13,031 -- 56,222 36,270 9,589 11,637 26,780 13,166 (20,786) (11,754) (3,957) (7,783) (2,234) (136) ---------- ---------------------- --------- --------- ---------------------- ---------- 75,281 39,845 15,329 41,431 37,577 13,031 ========== ====================== ========= ========= ====================== ==========
UIF EMERGING MARKETS DEBT UIF EMERGING MARKETS EQUITY PIMCO VIT LOW DURATION INVESTMENT DIVISION INVESTMENT DIVISION INVESTMENT DIVISION ---------------------------- ------------------------------ ------------------------- 2010 2009 (g) 2010 2009 (g) 2010 2009 (d) ------- -------------------- --------- -------------------- --------- --------------- 223 -- 442 -- 66,450 -- 79 302 13,146 714 -- 66,978 (43) (79) (570) (272) (953) (528) ------- -------------------- --------- -------------------- --------- --------------- 259 223 13,018 442 65,497 66,450 ======= ==================== ========= ==================== ========= ===============
191 METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE INSURANCE COMPANY NOTES TO THE FINANCIAL STATEMENTS -- (CONTINUED) 8. FINANCIAL HIGHLIGHTS The Company sells a number of variable life products, which have unique combinations of features and fees that are charged against the policy owner's cash value. 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 Policies, 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(%) ---------- ------------- ----------- ------------- ---------------- ------------------- MSF BlackRock Diversified 2010 10,826,228 14.93 - 60.41 263,102,316 1.90 0.00 - 0.90 8.67 - 9.65 Investment Division 2009 11,480,151 13.61 - 55.09 257,391,816 5.15 0.45 - 0.90 16.25 - 17.30 2008 12,136,197 11.61 - 46.97 235,715,981 2.81 0.45 - 0.90 (25.47) - (20.65) 2007 12,715,624 15.43 - 38.69 334,245,436 2.54 0.45 - 0.90 4.96 - 8.02 2006 13,096,726 14.57 - 36.86 331,432,719 2.44 0.40 - 0.90 7.38 - 10.53 MSF BlackRock Aggressive Growth 2010 9,010,506 17.39 - 65.35 200,141,525 0.07 0.00 - 0.90 14.27 - 15.30 Investment Division 2009 9,655,662 15.15 - 56.68 187,532,635 0.20 0.45 - 0.90 48.10 - 49.44 2008 10,226,808 10.19 - 37.93 134,277,037 -- 0.45 - 0.90 (46.22) - (44.59) 2007 10,673,487 18.84 - 26.64 260,061,815 -- 0.45 - 0.90 19.53 - 20.60 2006 11,198,297 15.63 - 22.09 228,717,595 -- 0.40 - 0.90 5.76 - 6.75 MSF MetLife Stock Index 2010 36,664,506 12.28 - 55.00 671,751,965 1.75 0.00 - 0.90 13.79 - 14.82 Investment Division 2009 36,924,505 10.69 - 47.90 597,707,546 2.70 0.45 - 0.90 25.11 - 26.26 2008 36,120,853 8.47 - 37.94 472,610,929 1.94 0.45 - 0.90 (37.67) - (34.22) 2007 34,637,993 13.47 - 39.67 748,068,488 1.03 0.45 - 0.90 4.28 - 10.73 2006 33,607,228 12.80 - 38.04 707,564,793 1.97 0.40 - 0.90 8.73 - 15.48 MSF Artio International Stock 2010 2,985,340 12.56 - 18.74 45,766,876 1.57 0.00 - 0.90 6.25 - 7.21 Investment Division 2009 3,130,833 11.77 - 17.48 45,163,862 0.71 0.45 - 0.90 21.07 - 22.17 2008 3,272,041 9.71 - 14.31 38,994,328 3.13 0.45 - 0.90 (44.63) - (40.37) 2007 3,371,026 17.46 - 23.95 72,704,709 1.05 0.45 - 0.90 9.36 - 11.35 2006 3,412,213 15.68 - 21.90 67,509,144 1.40 0.40 - 0.90 14.38 - 16.49 MSF T. Rowe Price Small Cap Growth 2010 4,055,742 19.98 - 22.99 88,004,866 -- 0.00 - 0.90 33.69 - 34.90 Investment Division 2009 4,272,691 14.95 - 17.11 68,810,021 0.35 0.45 - 0.90 37.72 - 38.97 2008 4,498,247 10.85 - 12.37 52,291,217 -- 0.45 - 0.90 (36.76) - (33.41) 2007 4,692,085 17.16 - 19.47 85,746,187 -- 0.45 - 0.90 8.88 - 9.89 2006 4,913,291 15.76 - 17.80 81,812,746 -- 0.45 - 0.90 2.96 - 3.93 MSF Oppenheimer Global Equity 2010 2,044,692 20.77 - 23.52 43,706,570 1.54 0.00 - 0.90 15.19 - 16.23 Investment Division 2009 2,111,250 18.03 - 20.23 38,882,417 2.57 0.45 - 0.90 39.06 - 40.31 2008 2,250,790 12.94 - 14.42 29,644,684 2.15 0.45 - 0.90 (40.90) - (37.34) 2007 2,347,437 21.71 - 24.18 52,072,709 1.10 0.45 - 0.90 5.53 - 10.86 2006 2,344,938 20.38 - 22.70 48,944,535 2.49 0.45 - 0.90 11.00 - 16.59 MSF MFS Value Investment Division 2010 3,975,344 12.48 - 18.04 54,052,850 1.43 0.00 - 0.90 10.43 - 11.42 2009 4,056,273 11.25 - 16.19 49,365,491 -- 0.45 - 0.90 19.74 - 20.82 2008 4,061,727 9.35 - 13.40 41,012,912 1.91 0.45 - 0.90 (34.05) - (17.37) 2007 4,115,566 14.14 - 17.54 61,926,665 0.78 0.45 - 0.90 (4.67) - (3.48) 2006 4,099,325 14.65 - 18.40 64,292,839 0.77 0.40 - 0.90 16.70 - 18.14 MSF Neuberger Berman Mid Cap 2010 3,179,105 20.40 - 30.55 77,987,809 0.83 0.00 - 0.90 25.18 - 26.31 Value Investment Division 2009 3,292,949 16.29 - 24.19 63,957,799 1.58 0.90 46.77 - 48.10 2008 3,355,424 11.10 - 16.33 44,065,744 0.85 0.90 (47.81) - (46.55) 2007 3,292,329 21.27 - 30.68 82,005,373 0.55 0.90 2.51 - 3.45 2006 3,225,765 20.75 - 29.66 77,735,349 0.48 0.40 - 0.90 10.46 - 11.46
192 METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE 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 T. Rowe Price Large Cap Growth 2010 3,148,378 10.95 - 17.18 45,775,087 0.27 0.00 - 0.90 16.00 - 17.05 Investment Division 2009 3,409,767 9.44 - 14.68 42,520,597 0.63 0.90 42.15 - 43.44 2008 3,522,287 6.64 - 10.23 30,702,575 0.59 0.90 (41.89) - (38.27) 2007 3,529,093 11.53 - 17.60 52,811,241 0.45 0.90 8.47 - 9.40 2006 3,620,946 10.63 - 16.09 49,315,573 0.33 0.40 - 0.90 12.21 - 13.23 MSF Barclays Capital Aggregate 2010 6,069,208 16.75 - 19.11 114,484,755 3.72 0.00 - 0.90 5.10 - 6.05 Bond Index Investment Division 2009 5,979,612 15.94 - 18.02 106,351,639 5.95 0.45 - 0.90 4.22 - 5.17 2008 5,705,639 15.30 - 17.13 96,524,738 4.55 0.45 - 0.90 4.32 - 5.99 2007 6,582,200 14.56 - 16.17 104,928,263 4.49 0.45 - 0.90 5.89 - 11.27 2006 6,058,549 13.75 - 15.13 90,417,327 4.29 0.45 - 0.90 (0.88) - 4.15 MSF Morgan Stanley EAFE Index 2010 4,717,340 11.23 - 15.78 65,367,829 2.68 0.00 - 0.90 7.22 - 8.19 Investment Division 2009 4,618,467 10.47 - 14.59 58,913,857 4.28 0.45 - 0.90 27.52 - 28.67 2008 4,548,869 8.21 - 11.34 44,991,420 2.87 0.45 - 0.90 (42.58) - (40.15) 2007 4,186,312 14.30 - 19.58 71,635,930 1.94 0.45 - 0.90 9.83 - 13.98 2006 3,792,545 13.02 - 17.67 58,401,764 1.70 0.40 - 0.90 23.03 - 25.75 MSF Russell 2000 Index 2010 2,808,600 15.35 - 22.19 56,596,227 1.10 0.00 - 0.90 25.78 - 26.92 Investment Division 2009 2,972,133 12.21 - 17.49 47,243,288 2.05 0.45 - 0.90 24.88 - 26.01 2008 2,979,566 9.77 - 13.88 37,446,370 1.26 0.45 - 0.90 (34.09) - (30.11) 2007 2,975,863 14.83 - 20.87 56,244,600 0.91 0.45 - 0.90 (2.43) - 2.72 2006 2,884,744 15.20 - 21.19 55,288,989 0.81 0.45 - 0.90 12.11 - 17.99 MSF Jennison Growth 2010 1,234,658 6.44 - 14.22 15,408,401 0.59 0.00 - 0.90 10.63 - 11.66 Investment Division 2009 1,148,604 5.77 - 12.74 13,473,347 0.19 0.90 38.73 - 39.99 2008 1,170,101 4.12 - 9.10 9,813,769 2.43 0.90 (37.00) - (26.98) 2007 1,203,057 6.48 - 13.98 15,741,716 0.42 0.90 10.62 - 11.66 2006 1,356,790 5.81 - 12.52 14,099,259 -- 0.40 - 0.90 1.88 - 2.82 MSF Neuberger Berman Genesis 2010 4,111,864 17.63 - 19.37 78,718,096 0.51 0.00 - 0.90 20.49 - 21.58 Investment Division 2009 4,279,459 14.59 - 15.93 67,433,059 1.12 0.90 12.14 - 13.15 2008 4,285,033 12.90 - 14.08 59,706,219 0.54 0.90 (38.96) - (35.81) 2007 4,450,536 20.94 - 22.86 100,708,365 0.30 0.90 (4.30) - (3.41) 2006 4,494,782 21.68 - 23.68 105,414,517 0.31 0.40 - 0.90 15.68 - 16.74 MSF MetLife Mid Cap Stock Index 2010 3,223,737 18.84 - 20.70 65,796,062 0.99 0.00 - 0.90 25.15 - 26.28 Investment Division 2009 3,313,158 14.93 - 16.39 53,691,851 1.81 0.90 35.77 - 36.99 2008 3,450,115 10.90 - 11.97 40,733,135 1.41 0.90 (36.75) - (35.42) 2007 3,466,871 17.07 - 18.75 63,959,203 0.75 0.90 6.83 - 7.82 2006 3,270,208 15.84 - 17.39 56,090,136 1.19 0.48 - 0.90 9.11 - 10.09 MSF Loomis Sayles Small Cap 2010 597,616 11.50 - 12.54 7,430,441 -- 0.00 - 0.90 30.53 - 31.71 Growth Investment Division 2009 592,149 8.22 - 9.52 5,593,368 -- 0.90 28.77 - 38.63 2008 579,322 5.93 - 7.33 4,206,928 -- 0.90 (41.67) - (36.32) 2007 569,953 11.73 - 12.46 7,040,049 -- 0.90 3.53 - 4.53 2006 538,941 11.33 - 11.92 6,368,294 -- 0.90 9.07 - 10.05 MSF BlackRock Large Cap Value 2010 1,026,360 11.78 - 12.73 12,899,137 1.05 0.00 - 0.90 8.24 - 9.22 Investment Division 2009 1,018,697 10.88 - 11.66 11,723,889 1.58 0.90 10.22 - 11.21 2008 924,995 9.87 - 10.48 9,571,372 0.82 0.90 (35.46) - (30.94) 2007 770,111 15.30 - 16.10 12,275,048 0.98 0.90 2.41 - 3.40 2006 608,908 8.29 - 15.57 9,397,259 1.17 0.90 18.29 - 19.30
193 METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE 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 Davis Venture Value 2010 1,632,869 13.03 - 43.04 57,910,618 1.00 0.00 - 0.90 11.00 - 12.00 Investment Division 2009 1,661,533 11.63 - 38.43 52,773,242 1.57 0.90 30.80 - 31.99 2008 1,580,625 8.81 - 29.12 38,001,762 1.34 0.90 (39.89) - (37.59) 2007 1,479,707 14.53 - 42.17 58,550,244 0.77 0.90 3.65 - 4.56 2006 1,301,427 13.90 - 40.33 49,859,713 0.85 0.40 - 0.90 13.55 - 14.62 MSF Loomis Sayles Small Cap Core 2010 115,539 16.04 - 355.36 18,282,784 0.09 0.00 - 0.90 26.38 - 27.53 Investment Division 2009 116,312 12.58 - 278.66 14,825,414 0.28 0.90 29.08 - 30.25 2008 116,157 9.66 - 213.94 11,034,259 -- 0.90 (36.47) - (30.05) 2007 98,083 15.07 - 333.74 15,771,472 0.08 0.90 10.90 - 11.90 2006 78,273 13.47 - 298.24 12,333,660 -- 0.40 - 0.90 15.64 - 16.72 MSF BlackRock Legacy Large Cap 2010 494,998 10.25 - 41.25 7,322,523 0.23 0.00 - 0.90 18.75 - 19.82 Growth Investment Division 2009 480,438 8.55 - 34.42 5,950,495 0.62 0.90 35.56 - 36.79 2008 413,693 6.25 - 25.16 3,786,888 0.43 0.90 (37.07) - (34.56) 2007 265,094 9.85 - 14.78 3,824,550 0.19 0.90 17.60 - 18.77 2006 190,308 8.29 - 12.45 2,269,333 0.16 0.48 - 0.90 3.23 - 4.13 MSF BlackRock Bond Income 2010 3,695,898 17.52 - 82.97 84,862,836 3.95 0.00 - 0.90 7.37 - 8.34 Investment Division 2009 3,849,026 16.17 - 76.59 82,419,233 7.04 0.45 - 0.90 8.49 - 9.47 2008 4,137,787 14.77 - 69.96 81,985,350 5.16 0.45 - 0.90 (4.31) - (3.43) 2007 4,467,585 15.30 - 31.06 92,436,358 3.24 0.45 - 0.90 5.36 - 12.31 2006 4,668,001 14.39 - 29.48 92,311,177 5.74 0.40 - 0.90 (2.17) - 4.43 MSF FI Value Leaders 2010 493,819 10.47 - 34.50 6,488,932 1.56 0.00 - 0.90 13.54 - 14.56 Investment Division 2009 478,934 9.14 - 30.11 5,481,161 2.80 0.90 20.75 - 21.85 2008 451,406 7.50 - 24.71 4,225,438 1.93 0.90 (39.49) - (34.25) 2007 440,904 12.29 - 15.50 6,742,764 0.91 0.90 3.22 - 4.24 2006 393,835 11.79 - 14.87 5,778,898 1.00 0.40 - 0.90 10.97 - 11.91 MSF Met/Artisan Mid Cap Value 2010 222,836 17.60 - 250.67 46,601,141 0.74 0.00 - 0.90 7.99 - 15.04 Investment Division 2009 191,339 35.18 - 217.89 41,071,915 1.13 0.90 40.30 - 41.56 2008 196,801 24.85 - 153.92 29,975,616 0.37 0.90 (46.49) - (42.81) 2007 191,591 268.52 - 285.05 54,129,720 0.56 0.90 (7.67) - (6.84) 2006 191,529 290.84 - 305.98 58,176,504 0.30 0.90 11.45 - 12.45 MSF Western Asset Management 2010 1,145,809 19.28 - 33.21 23,786,502 6.04 0.00 - 0.90 11.72 - 12.73 Strategic Bond Opportunities 2009 1,115,618 17.25 - 29.46 20,580,082 6.60 0.90 31.04 - 32.22 Investment Division 2008 1,106,833 13.17 - 22.28 15,464,462 4.07 0.90 (15.76) - (14.42) 2007 1,117,386 15.63 - 16.60 18,372,006 2.67 0.90 3.10 - 4.08 2006 998,939 15.16 - 15.95 15,802,133 4.79 0.90 3.38 - 4.33 MSF Western Asset Management 2010 1,021,769 15.08 - 22.66 16,633,651 2.70 0.00 - 0.90 4.86 - 5.81 U.S. Government 2009 1,063,071 14.38 - 21.41 16,359,270 4.49 0.90 3.40 - 4.33 Investment Division 2008 1,059,598 13.91 - 20.52 15,636,881 4.27 0.90 (1.23) - (0.36) 2007 1,066,735 14.08 - 14.95 15,797,381 2.66 0.90 3.38 - 4.33 2006 988,756 13.62 - 14.33 14,050,390 3.26 0.90 3.25 - 4.19 MSF BlackRock Money Market 2010 1,663,896 17.66 - 17.98 29,818,336 0.01 0.00 - 0.90 (0.89) - 0.01 Investment Division 2009 1,962,757 17.82 - 17.98 35,228,518 0.45 0.90 (0.48) - 0.42 2008 3,533,477 17.90 - 17.91 63,265,014 2.81 0.90 1.92 - 2.84 2007 3,638,086 17.41 - 17.57 63,398,057 4.94 0.90 4.15 - 5.07 2006 3,575,759 16.57 - 16.87 59,328,821 4.81 0.40 - 0.90 3.86 - 4.82
194 METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE 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 568,106 12.76 - 66.27 7,708,272 3.01 0.00 - 0.90 9.09 - 10.08 Investment Division 2009 580,613 11.70 - 60.20 7,134,157 4.19 0.90 17.54 - 18.60 2008 469,855 9.95 - 50.76 4,861,537 3.50 0.90 (22.84) - (20.13) 2007 418,473 12.90 - 13.33 5,549,510 1.97 0.90 3.45 - 4.39 2006 297,430 12.47 - 12.77 3,781,921 3.21 0.40 - 0.90 11.19 - 12.18 MSF MetLife Conservative 2010 281,025 12.84 - 133.23 4,036,496 3.52 0.00 - 0.90 9.35 - 10.34 Allocation Investment Division 2009 179,332 11.74 - 121.06 2,188,237 3.20 0.90 19.65 - 20.73 2008 133,696 9.82 - 10.14 1,350,130 1.41 0.90 (14.87) - (13.89) 2007 66,558 11.53 - 11.81 784,035 -- 0.90 4.82 - 5.73 2006 44,128 11.00 - 11.17 492,252 2.90 0.90 6.27 - 7.27 MSF MetLife Conservative to 2010 523,187 12.70 - 131.65 6,925,701 3.39 0.00 - 0.90 10.78 - 11.78 Moderate Allocation 2009 443,689 11.47 - 118.05 5,262,543 3.27 0.90 22.89 - 24.00 Investment Division 2008 336,506 9.33 - 9.64 3,218,477 1.34 0.90 (22.11) - (20.23) 2007 244,254 11.98 - 12.27 2,977,400 -- 0.90 4.08 - 5.05 2006 161,903 11.51 - 11.68 1,884,052 2.36 0.90 8.80 - 9.74 MSF MetLife Moderate Allocation 2010 2,825,563 12.48 - 129.39 37,214,331 2.69 0.00 - 0.90 12.45 - 13.47 Investment Division 2009 2,488,914 11.09 - 114.33 28,790,175 3.09 0.90 25.71 - 26.84 2008 2,031,439 8.82 - 90.36 18,535,109 1.08 0.90 (29.06) - (26.51) 2007 1,452,241 12.44 - 12.74 18,395,945 0.19 0.90 3.58 - 4.51 2006 775,138 12.01 - 12.19 9,406,274 1.48 0.90 11.20 - 12.19 MSF MetLife Moderate to Aggressive 2010 5,118,269 12.16 - 126.24 65,064,069 2.27 0.00 - 0.90 13.86 - 14.89 Allocation Investment Division 2009 4,732,679 10.68 - 110.06 52,449,221 2.75 0.90 28.27 - 29.43 2008 3,956,910 8.33 - 8.61 33,871,944 0.84 0.90 (35.55) - (32.36) 2007 2,499,351 12.92 - 13.23 32,935,899 0.19 0.90 3.19 - 4.09 2006 1,098,433 12.52 - 12.71 13,918,465 1.07 0.90 13.54 - 14.57 MSF MetLife Aggressive Allocation 2010 1,081,834 11.74 - 121.79 13,599,649 1.15 0.00 - 0.90 14.82 - 15.85 Investment Division 2009 993,895 10.23 - 105.27 10,645,616 2.32 0.90 30.74 - 31.92 2008 851,068 7.82 - 80.06 6,897,699 0.76 0.90 (40.83) - (37.15) 2007 608,756 13.22 - 13.54 8,191,098 0.22 0.90 2.56 - 3.52 2006 225,274 12.89 - 13.08 2,934,559 0.67 0.90 15.05 - 16.04 Janus Aspen Janus 2010 741,523 10.56 7,832,002 1.09 -- 14.52 Investment Division 2009 718,894 9.22 6,630,451 0.54 -- 36.35 2008 685,791 6.76 4,638,873 0.74 -- (39.71) 2007 643,417 11.22 7,219,885 0.74 -- 15.08 2006 595,051 9.75 5,801,609 0.49 0.48 - 0.60 11.38 Janus Aspen Balanced 2010 155,834 16.22 2,526,859 2.71 -- 8.12 Investment Division 2009 99,381 15.00 1,490,464 2.93 -- 25.58 2008 20,633 11.94 246,409 3.65 -- (16.08) 2007 5,625 14.23 80,035 3.00 -- 10.31 2006 179 12.90 2,311 1.92 0.48 10.41 Janus Aspen Forty Investment Division 2010 73,218 16.56 1,212,768 0.24 -- 6.48 (Commenced 5/3/2004 and began 2009 61,130 15.56 950,941 0.01 -- 46.01 transactions in 2006) 2008 45,182 10.65 475,295 0.01 -- (44.31) 2007 27,126 19.13 518,927 0.25 -- 36.64 2006 7,954 14.00 111,362 0.14 0.48 9.11
195 METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE 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(%) ------- ------------- ---------- ------------- ---------------- ------------------ Janus Aspen Overseas 2010 11,481 32.74 375,851 0.73 -- 25.02 Investment Division 2009 3,135 26.19 82,093 0.46 -- 79.07 (Commenced 4/28/2008) 2008 1,777 14.62 25,984 -- -- (52.68) Invesco V.I. Global Real Estate 2010 54,093 29.53 1,597,111 5.17 -- 17.51 Investment Division 2009 59,960 25.13 1,506,522 -- -- 31.53 2008 76,172 19.10 1,455,085 5.47 -- (44.65) 2007 74,508 34.51 2,571,266 5.97 -- (12.34) 2006 70,179 39.37 2,762,613 1.18 0.40 - 0.60 42.62 Invesco V.I. International Growth 2010 14,201 19.18 272,411 2.40 -- 12.86 Investment Division 2009 1,080 17.00 18,360 1.38 -- 35.24 (Commenced 4/28/2008 and began transactions in 2009) Invesco V.I. Government 2010 8,320 12.71 105,713 0.20 -- 4.88 Investment Division 2009 7,019 12.11 85,035 6.08 -- 0.86 2008 2,625 12.01 31,526 5.03 -- 1.53 2007 1,920 11.83 22,716 5.06 -- 6.96 2006 1,342 11.06 14,833 4.52 0.40 3.14 Invesco V.I. Comstock Van Kampen 2010 2,966 10.82 32,084 -- -- 19.94 Investment Division (Commenced 5/3/2010) FTVIPT Templeton Foreign Securities 2010 558,309 16.56 9,244,694 2.02 -- 8.67 Investment Division 2009 520,792 15.24 7,935,141 3.61 -- 37.34 2008 527,866 11.09 5,856,168 2.58 -- (40.23) 2007 504,436 18.56 9,363,624 2.07 -- 15.78 2006 471,719 16.03 7,566,317 1.35 0.48 - 0.60 21.69 FTVIPT Mutual Global 2010 53,444 18.10 967,332 1.39 -- 11.96 Discovery Securities 2009 54,588 16.17 882,515 0.75 -- 23.31 Investment Division 2008 140,006 13.11 1,835,518 2.51 -- (28.44) 2007 93,103 18.32 1,706,062 1.59 -- 11.84 2006 54,880 16.38 899,109 0.99 0.40 - 0.48 23.03 FTVIPT Templeton Global Bond 2010 179 20.79 3,728 0.20 -- 14.71 Securities Investment Division (Commenced 5/4/2009) 2009 204 18.12 3,704 -- -- 95.55 AllianceBernstein Global Thematic 2010 19,486 6.13 119,488 1.84 -- 18.58 Growth Investment Division 2009 25,043 5.17 129,504 -- -- 53.14 2008 14,644 3.38 49,447 -- -- (47.48) 2007 8,261 6.43 53,097 -- -- 19.96 2006 11,769 5.36 63,091 -- 0.40 - 0.60 8.36 AllianceBernstein Intermediate Bond 2010 3,146 13.75 43,265 5.90 -- 8.93 Investment Division 2009 2,242 12.62 28,308 4.18 -- 18.20 (Commenced 5/1/2005 and began transactions in 2009)
196 METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE 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(%) --------- -------------- ----------- ------------- ---------------- ------------------- AllianceBernstein International Value 2010 73 18.68 1,357 2.40 -- 13.41 Investment Division (Commenced 11/10/2008 and began transactions in 2010) Fidelity VIP Contrafund 2010 190,755 14.04 2,677,373 0.96 -- 17.11 Investment Division 2009 332,757 11.99 3,988,185 1.48 -- 35.66 2008 218,160 8.83 1,927,330 0.90 -- (42.60) 2007 188,529 15.39 2,902,318 0.91 -- 11.44 2006 151,404 13.81 2,091,319 1.15 0.40 - 0.60 11.57 Fidelity VIP Asset Manager: Growth 2010 172,460 11.05 1,905,608 1.12 -- 16.18 Investment Division 2009 181,097 9.51 1,722,435 1.60 -- 32.79 2008 126,890 7.16 908,867 1.87 -- (35.88) 2007 112,746 11.17 1,259,390 4.07 -- 18.83 2006 102,160 9.40 958,076 1.87 0.48 6.89 Fidelity VIP Investment Grade Bond 2010 38,436 13.93 535,344 4.23 -- 7.68 Investment Division 2009 18,087 12.93 233,950 10.75 -- 15.67 2008 3,908 11.18 43,701 1.19 -- (3.35) 2007 73,675 11.57 852,372 0.68 -- 4.23 2006 3,341 11.10 36,978 4.18 0.40 - 0.48 4.28 Fidelity VIP Equity-Income 2010 17,040 11.90 202,690 1.60 -- 15.09 Investment Division 2009 23,778 10.34 245,766 1.95 -- 30.03 2008 72,691 7.95 577,801 1.89 -- (42.69) 2007 87,700 13.87 1,216,664 3.23 -- (0.93) 2006 30,951 14.00 433,176 3.96 0.40 - 0.48 20.07 Fidelity VIP High Income 2010 294 15.52 4,565 4.94 -- 13.82 Investment Division 2009 3,001 13.63 40,915 26.74 -- 43.96 (Commenced 4/28/2008 and began transactions in 2009) Fidelity VIP Mid Cap 2010 16,733 27.61 462,031 0.15 -- 28.57 Investment Division 2009 10,051 21.48 215,869 0.29 -- 39.75 (Commenced 4/28/2008) 2008 2,071 15.37 31,825 0.15 -- (46.25) Fidelity VIP Freedom 2010 2010 3,002 10.61 31,860 2.67 -- 12.45 Investment Division 2009 1,541 9.44 - 12.05 14,548 3.32 0.45 23.72 - 24.27 (Commenced 4/28/2008) 2008 3,089 7.63 - 9.69 23,569 6.53 0.45 (23.71) - (23.48) Fidelity VIP Freedom 2020 2010 56,297 10.16 - 13.67 738,702 2.26 -- 13.98 - 14.49 Investment Division 2009 56,341 8.91 - 11.94 648,511 4.16 0.45 28.40 - 28.97 (Commenced 4/28/2008) 2008 4,617 6.94 - 9.26 37,721 4.51 0.45 (30.60) - (30.39) Fidelity VIP Freedom 2030 2010 9,011 9.75 - 13.35 108,191 2.42 -- 15.56 - 16.08 Investment Division 2009 3,665 8.43 - 11.50 31,738 2.47 0.45 31.07 - 31.66 (Commenced 4/28/2008) 2008 3,324 6.43 - 8.74 21,387 6.89 0.45 (35.65) - (35.46) American Funds Growth 2010 1,411,108 20.92 - 228.81 127,437,855 0.73 0.00 - 0.90 17.62 - 18.68 Investment Division 2009 1,419,237 17.62 - 192.80 109,197,492 0.67 0.90 38.16 - 39.41 2008 1,382,286 12.64 - 138.29 76,515,292 0.86 0.90 (44.47) - 27.72 2007 1,218,654 94.52 - 100.35 121,273,017 0.82 0.90 11.33 - 12.35 2006 1,094,384 84.90 - 89.32 97,034,740 0.86 0.90 9.24 - 10.22
197 METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE 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 1,483,095 45.89 - 152.46 73,861,194 1.51 0.00 - 0.90 10.43 - 11.43 Investment Division 2009 1,491,242 41.56 - 136.83 66,537,414 1.65 0.90 30.07 - 31.24 2008 1,461,879 31.95 - 104.26 49,610,668 1.79 0.90 (38.41) - (35.35) 2007 1,381,044 51.88 - 55.07 75,370,228 1.59 0.90 4.11 - 5.04 2006 1,228,077 49.83 - 52.43 63,898,091 1.68 0.90 14.17 - 15.21 American Funds Global Small 2010 2,114,920 29.62 - 37.13 67,405,353 1.74 0.00 - 0.90 21.32 - 22.41 Capitalization Investment Division 2009 2,152,577 24.42 - 30.34 56,054,284 0.29 0.90 59.85 - 61.30 2008 2,098,117 15.27 - 18.81 33,880,750 -- 0.90 (53.94) - (48.89) 2007 1,945,062 33.16 - 35.20 67,615,279 3.01 0.90 20.32 - 21.42 2006 1,521,701 27.56 - 28.99 43,642,742 0.46 0.90 22.97 - 24.05 American Funds Bond 2010 361,073 11.41 - 20.00 4,365,031 3.15 0.00 - 0.90 5.49 - 6.44 Investment Division 2009 335,183 10.81 - 18.79 3,760,642 3.37 0.90 11.60 - 12.61 (Commenced 5/1/2006) 2008 317,147 9.69 - 16.69 3,143,128 5.80 0.90 (10.12) - (9.37) 2007 291,647 10.78 - 10.95 3,182,415 10.03 0.90 6.52 - 7.56 2006 63,414 10.12 - 10.18 644,176 0.87 0.90 1.20 - 1.80 American Funds International 2010 27,930 28.99 809,625 2.23 -- 7.23 Investment Division 2009 17,214 27.03 465,344 1.51 -- 43.07 (Commenced 4/28/2008) 2008 2,335 18.89 44,134 2.51 -- (39.19) American Funds U.S. 2010 1,810 20.90 37,830 1.49 -- 5.75 Government/AAA Rated Securities 2009 4,564 19.77 90,231 3.32 -- 2.50 Investment Division 2008 1,808 19.29 34,883 2.26 -- 6.61 (Commenced 4/28/2008) MIST T. Rowe Price Mid Cap Growth 2010 1,725,748 11.33 - 18.33 21,234,908 -- 0.00 - 0.90 26.93 - 28.07 Investment Division 2009 1,754,850 8.93 - 14.35 16,772,681 -- 0.90 44.54 - 45.85 2008 1,702,757 6.18 - 9.87 11,162,717 0.07 0.90 (40.16) - (37.28) 2007 1,587,296 10.32 - 16.38 17,384,199 0.21 0.90 16.74 - 17.85 2006 1,338,870 8.84 - 13.92 12,401,292 -- 0.60 - 0.90 5.66 - 6.60 MIST MFS Research International 2010 838,110 14.64 - 17.04 13,920,818 1.89 0.00 - 0.90 10.65 - 11.65 Investment Division 2009 885,756 13.14 - 15.26 13,178,754 3.35 0.90 30.75 - 31.93 2008 870,603 9.99 - 11.57 9,814,566 2.06 0.90 (42.78) - (41.00) 2007 695,827 17.33 - 20.03 13,629,924 1.44 0.90 12.59 - 13.61 2006 566,593 15.30 - 17.63 9,803,525 1.59 0.90 25.80 - 26.90 MIST PIMCO Total Return 2010 2,450,427 17.69 - 19.29 46,602,262 3.66 0.00 - 0.90 7.44 - 8.41 Investment Division 2009 2,378,221 16.46 - 17.80 41,820,317 7.36 0.90 17.33 - 18.39 2008 2,287,745 14.03 - 15.03 34,041,059 3.92 0.90 (1.28) - 0.61 2007 2,175,489 14.07 - 14.94 32,210,481 3.46 0.90 6.91 - 7.87 2006 2,039,385 13.16 - 13.85 28,016,253 2.73 0.90 3.85 - 4.81 MIST RCM Technology 2010 2,007,835 7.46 - 8.14 16,113,886 -- 0.00 - 0.90 27.12 - 28.27 Investment Division 2009 2,111,049 5.87 - 6.34 13,221,048 -- 0.90 57.74 - 59.17 2008 1,806,845 3.72 - 3.99 7,121,496 13.07 0.90 (44.79) - (37.82) 2007 1,867,295 6.74 - 7.15 13,231,277 -- 0.90 30.62 - 31.68 2006 1,395,573 5.16 - 5.43 7,523,569 -- 0.90 4.51 - 5.47
198 METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE 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 Lord Abbett Bond Debenture 2010 1,222,207 19.75 - 29.48 27,673,730 6.47 0.00 - 0.90 12.16 - 13.18 Investment Division 2009 1,300,112 17.61 - 26.05 26,033,742 7.18 0.45 - 0.90 35.89 - 37.12 2008 1,205,110 12.96 - 19.00 17,548,678 4.38 0.45 - 0.90 (19.13) - (18.40) 2007 1,249,287 16.02 - 19.29 22,262,379 5.32 0.45 - 0.90 5.88 - 14.15 2006 1,162,806 14.77 - 18.05 19,368,414 6.71 0.40 - 0.90 1.42 - 9.34 MIST Lazard Mid Cap 2010 360,447 13.62 - 18.13 5,585,124 1.05 0.00 - 0.90 22.15 - 23.25 Investment Division 2009 362,314 11.09 - 14.71 4,569,758 1.34 0.90 35.92 - 37.14 2008 371,732 8.11 - 10.73 3,422,640 1.17 0.90 (38.70) - (36.07) 2007 340,316 13.14 - 15.10 5,084,696 0.63 0.90 (3.37) - (2.45) 2006 261,764 14.85 - 15.48 4,020,887 0.52 0.90 6.62 - 14.86 MIST Invesco Small Cap Growth 2010 280,254 15.06 - 18.44 4,469,898 -- 0.00 - 0.90 25.34 - 26.47 Investment Division 2009 268,049 12.01 - 14.58 3,392,636 -- 0.90 33.01 - 34.21 2008 230,618 9.03 - 10.86 2,187,257 -- 0.90 (38.73) - (34.43) 2007 208,985 14.84 - 15.62 3,233,322 -- 0.90 10.42 - 11.41 2006 170,794 13.44 - 14.02 2,376,804 -- 0.90 3.77 - 13.93 MIST Harris Oakmark International 2010 1,473,309 20.09 - 21.72 31,544,698 2.05 0.00 - 0.90 15.63 - 16.67 Investment Division 2009 1,439,875 17.38 - 18.61 26,459,351 7.87 0.90 54.07 - 55.46 2008 1,337,674 11.28 - 11.97 15,844,670 1.96 0.90 (41.26) - (37.26) 2007 1,335,770 19.20 - 20.20 26,700,786 0.89 0.90 (1.74) - (0.83) 2006 1,060,490 19.54 - 20.37 21,411,537 2.33 0.90 28.05 - 29.18 MIST Legg Mason ClearBridge 2010 888,257 7.56 - 9.05 7,832,576 0.06 0.00 - 0.90 22.94 - 24.05 Aggressive Growth 2009 918,435 6.11 - 7.30 6,533,459 0.12 0.90 32.26 - 33.45 Investment Division 2008 929,444 4.59 - 5.47 4,956,827 0.01 0.90 (39.49) - (36.35) 2007 893,124 7.54 - 8.82 7,804,601 0.22 0.90 1.71 - 2.56 2006 908,926 7.37 - 8.60 7,744,433 -- 0.48 - 0.90 (2.53) - (1.60) MIST Lord Abbett Growth and 2010 601,441 10.35 6,224,061 1.22 -- 17.33 Income Investment Division 2009 585,353 8.82 5,163,011 2.45 -- 18.67 2008 569,914 7.43 - 48.32 4,235,811 1.80 -- (36.20) - (32.76) 2007 539,972 11.65 6,289,386 1.00 -- 4.02 2006 523,423 11.20 5,861,368 0.03 0.40 - 0.60 18.05 MIST Clarion Global Real Estate 2010 1,342,988 14.98 - 15.90 21,160,564 8.28 0.00 - 0.90 15.24 - 16.28 Investment Division 2009 1,332,507 13.00 - 13.68 18,066,465 3.50 0.90 33.91 - 35.12 2008 1,247,223 9.71 - 10.12 12,525,455 2.00 0.90 (44.73) - (41.56) 2007 1,071,638 16.76 - 17.32 18,432,903 1.09 0.90 (15.57) - (14.81) 2006 939,464 19.85 - 20.33 18,987,194 1.01 0.40 - 0.90 36.70 - 37.93 MIST Morgan Stanley Mid Cap 2010 13,121,650 6.67 - 18.71 203,754,931 -- 0.00 - 0.90 17.91 - 32.19 Growth Investment Division 2009 23,317 13.14 - 14.13 306,427 -- -- 57.27 - 57.83 (Commenced 5/3/2004 and began 2008 1,987 8.35 - 8.96 16,600 1.36 -- (46.77) - (43.85) transactions in 2007) 2007 2,000 15.69 31,371 -- -- 23.52 MIST Lord Abbett Mid Cap Value 2010 7,974 13.94 111,190 0.58 -- 25.53 Investment Division 2009 9,319 11.11 103,521 2.10 -- 26.53 2008 10,463 8.78 91,851 0.25 -- (38.78) 2007 4,638 14.34 66,500 0.94 -- 0.63 2006 2,988 14.25 42,580 0.54 0.48 - 0.60 12.16
199 METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE 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 Third Avenue Small Cap Value 2010 96,930 16.25 1,575,589 1.05 -- 19.90 Investment Division 2009 66,457 13.56 900,994 0.62 -- 26.45 2008 22,742 10.72 243,831 0.70 -- (29.73) 2007 24,943 15.28 381,064 0.85 -- (2.98) 2006 17,494 15.75 275,584 0.11 0.48 - 0.60 13.11 MIST Oppenheimer Capital 2010 155,354 9.89 - 11.63 1,779,611 0.66 0.00 - 0.90 8.70 - 9.68 Appreciation Investment Division 2009 155,544 9.02 - 10.61 1,631,638 -- 0.90 42.73 - 44.02 2008 114,986 6.26 - 7.37 841,297 3.67 0.90 (46.29) - (43.37) 2007 70,634 13.27 - 13.59 955,427 0.11 0.90 13.42 - 14.49 2006 27,796 11.70 - 11.87 329,300 0.26 0.90 6.88 - 7.78 MIST Legg Mason Value Equity 2010 640,472 6.61 - 7.73 4,606,102 2.19 0.00 - 0.90 6.88 - 7.85 Investment Division 2009 615,613 6.18 - 7.17 4,100,190 1.81 0.90 36.55 - 37.79 (Commenced 5/1/2006) 2008 576,603 4.53 - 5.20 2,788,353 0.32 0.90 (54.82) - (47.12) 2007 511,093 10.02 - 11.42 5,435,902 -- 0.90 (6.62) - (5.70) 2006 490,888 10.73 - 12.11 5,537,660 0.16 0.48 - 0.90 7.73 - 27.65 MIST SSgA Growth ETF 2010 237,751 10.89 - 12.28 2,679,381 1.57 0.00 - 0.90 13.35 - 14.37 Investment Division 2009 181,473 9.61 - 10.74 1,789,007 1.53 0.90 28.34 - 29.51 (Commenced 5/1/2006) 2008 59,898 7.48 - 8.29 457,331 1.65 0.90 (33.42) - (30.82) 2007 56,164 11.24 - 11.41 639,459 -- 0.90 4.95 - 5.94 2006 16,395 10.71 - 10.77 176,315 2.52 0.90 7.10 - 7.70 MIST SSgA Growth and Income ETF 2010 320,284 11.51 - 12.74 3,818,907 1.29 0.00 - 0.90 11.60 - 12.61 Investment Division 2009 149,333 10.31 - 11.31 1,581,109 1.61 0.90 23.84 - 24.96 (Commenced 5/1/2006) 2008 39,742 8.33 - 9.05 336,449 1.95 0.90 (25.54) - (23.99) 2007 30,551 11.18 - 11.35 345,473 -- 0.90 4.78 - 5.78 2006 10,875 10.67 - 10.73 116,548 3.14 0.90 6.70 - 7.30 MIST PIMCO Inflation 2010 653,613 12.97 - 15.63 8,812,538 2.54 0.00 - 0.90 7.04 - 8.00 Protected Bond 2009 618,801 12.12 - 14.47 7,734,444 3.75 0.90 17.31 - 18.37 Investment Division 2008 523,888 10.33 - 12.23 5,523,166 3.28 0.90 (9.73) - (6.61) (Commenced 5/1/2006) 2007 80,592 11.16 - 11.33 911,539 1.27 0.90 10.06 - 11.08 2006 12,722 10.14 - 10.20 129,728 -- 0.90 1.40 - 2.00 MIST BlackRock Large Cap Core 2010 13,468,383 8.42 - 36.79 309,489,536 1.34 0.00 - 0.90 11.73 - 12.73 Investment Division 2009 14,107,746 7.50 - 32.93 291,577,776 1.61 0.45 - 0.90 18.37 - 19.43 (Commenced 4/30/2007) 2008 14,670,780 6.31 - 27.82 258,799,279 0.70 0.45 - 0.90 (37.68) - (31.87) 2007 15,352,126 10.08 - 44.64 436,975,682 -- 0.45 - 0.90 0.80 - 6.77 MIST Janus Forty 2010 1,185,626 10.96 - 355.01 14,254,655 1.71 0.00 - 0.90 8.70 - 9.68 Investment Division 2009 1,122,196 10.08 - 323.68 12,100,411 -- 0.90 41.93 - 43.21 (Commenced 4/30/2007) 2008 943,170 7.10 - 226.02 6,915,393 4.58 0.90 (44.68) - (41.84) 2007 281,380 12.33 - 12.40 3,487,948 -- 0.90 23.30 - 24.00 MIST Dreman Small Cap Value 2010 1,705 16.12 27,489 0.82 -- 19.53 Investment Division 2009 1,271 13.49 17,136 -- -- 29.09 (Commenced 4/28/2008) 2008 11 10.45 120 -- -- (25.08) MIST American Funds 2010 41,296 10.35 427,406 1.26 -- 12.40 Balanced Allocation 2009 23,102 9.21 212,728 -- -- 30.06 Investment Division 2008 1,427 7.08 10,107 5.25 -- (29.27) (Commenced 4/28/2008)
200 METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE 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 2010 71,574 9.87 706,300 0.62 -- 13.78 Growth Allocation 2009 15,564 8.67 134,986 -- -- 34.36 Investment Division 2008 2,439 6.45 15,747 8.38 -- (35.51) (Commenced 4/28/2008) MIST American Funds 2010 23,584 10.60 250,094 1.38 -- 10.15 Moderate Allocation 2009 9,961 9.63 95,893 -- -- 23.90 Investment Division 2008 593 7.77 4,607 6.80 -- (22.46) (Commenced 4/28/2008) MIST Met/Franklin Income 2010 13,040 11.60 151,292 3.26 -- 12.13 Investment Division 2009 5,364 10.35 55,505 -- -- 28.05 (Commenced 4/28/2008) 2008 2,408 8.08 19,461 4.29 -- (19.19) MIST Met/Franklin Mutual Shares 2010 6,134 9.30 57,042 -- -- 11.23 Investment Division 2009 2,904 8.36 24,280 -- -- 25.15 (Commenced 4/28/2008) 2008 1,208 6.68 8,064 3.53 -- (33.20) MIST Met/Franklin 2010 25,753 10.11 260,280 -- -- 10.36 Templeton Founding Strategy 2009 21,298 9.16 195,055 -- -- 28.84 Investment Division 2008 1,503 7.11 10,681 7.79 -- (28.92) (Commenced 4/28/2008) MIST Met/Templeton Growth 2010 5,088 9.53 48,492 0.98 -- 7.88 Investment Division 2009 2,173 8.83 19,197 0.02 -- 33.08 (Commenced 4/28/2008) 2008 480 6.64 3,188 1.08 -- (33.62) MIST Pioneer Fund 2010 17,938 13.71 245,860 0.90 -- 17.93 Investment Division 2009 20,277 11.79 239,136 -- -- 17.93 (Commenced 5/4/2009) American Century VP Vista 2010 5,360 13.83 74,155 -- -- 23.88 Investment Division 2009 13,115 11.17 146,455 -- -- 22.47 2008 8,686 9.12 79,193 -- -- (48.63) 2007 1,642 17.75 29,133 -- -- 39.76 2006 1,963 12.70 24,927 -- 0.40 9.03 Delaware VIP Small Cap Value 2010 20,739 18.57 385,136 0.44 -- 31.91 Investment Division 2009 16,198 14.08 228,031 1.34 -- 31.56 2008 59,279 10.70 634,305 0.47 -- (30.06) 2007 67,044 15.30 1,025,844 0.21 -- (6.82) 2006 31,911 16.42 524,104 0.02 0.48 15.86 Dreyfus VIF International Value 2010 16,502 14.03 231,464 1.53 -- 4.22 Investment Division 2009 21,676 13.46 291,742 3.77 -- 30.67 2008 33,156 10.30 341,560 2.14 -- (37.50) 2007 42,550 16.48 701,093 1.66 -- 3.97 2006 45,198 15.85 716,432 -- 0.40 - 0.48 22.35 Goldman Sachs Mid Cap Value 2010 24,643 14.90 367,089 0.70 -- 25.00 Investment Division 2009 27,552 11.92 328,341 1.09 -- 33.15 2008 102,102 8.95 913,808 1.06 -- (37.33) 2007 84,789 14.28 1,210,921 1.16 -- (0.70) 2006 18,361 14.38 263,966 1.82 0.40 - 0.48 16.17
201 METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE 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(%) ------ ------------- ---------- ------------- ---------------- ------------------ Goldman Sachs Structured 2010 4,258 12.04 51,252 0.57 -- 30.12 Small Cap Equity 2009 7,623 9.25 70,508 1.46 -- 27.67 Investment Division 2008 6,818 7.24 49,396 0.66 -- (33.96) 2007 12,264 10.97 134,527 0.51 -- (17.46) 2006 6,743 13.29 89,590 0.87 0.48 12.30 MFS VIT High Income 2010 9,020 14.65 132,109 7.00 -- 14.40 Investment Division 2009 9,209 12.80 117,897 1.48 -- 45.22 2008 354 8.82 3,111 10.38 -- (28.67) 2007 1,776 12.36 21,944 9.79 -- 1.56 2006 6,738 12.17 82,011 5.42 0.40 - 0.48 9.98 MFS VIT Global Equity 2010 14,222 15.95 226,794 0.78 -- 12.05 Investment Division 2009 5,543 14.23 78,884 2.04 -- 31.80 2008 5,386 10.80 58,159 0.76 -- (33.95) 2007 3,948 16.35 64,569 1.71 -- 8.93 2006 1,789 15.01 26,856 -- 0.40 - 0.48 24.04 MFS VIT New Discovery 2010 7,814 17.27 134,923 -- -- 35.94 Investment Division 2009 396 12.70 5,029 -- -- 62.92 (Commenced 5/3/2004 and began 2008 249 7.80 1,942 -- -- (39.52) transactions in 2007) 2007 253 12.89 3,269 -- -- 2.25 MFS VIT Value Investment Division 2010 5,577 14.18 79,095 1.32 -- 11.22 (Commenced 5/3/2004 and began 2009 5,803 12.75 74,001 1.24 -- 22.45 transactions in 2007) 2008 6,081 10.41 63,334 6.73 -- (32.72) 2007 2,966 15.48 45,933 -- -- 7.56 Wells Fargo VT Total Return Bond 2010 75,281 14.37 1,081,415 3.35 -- 7.04 Investment Division 2009 39,845 13.42 534,737 4.42 -- 12.00 2008 15,329 11.98 183,674 4.82 -- 2.41 2007 9,697 11.70 113,479 4.64 -- 6.17 2006 5,553 11.02 61,191 4.43 0.40 3.79 Pioneer VCT Emerging Markets 2010 41,431 23.75 984,166 0.33 -- 15.61 Investment Division 2009 37,577 20.55 772,123 0.96 -- 74.02 (Commenced 4/28/2008) 2008 13,031 11.81 153,859 -- -- (55.11) Pioneer VCT Mid Cap Value 2010 2,302 43.21 99,478 1.08 -- 18.22 Investment Division 2009 586 36.55 21,403 -- -- 25.58 (Commenced 4/28/2008 and began transactions in 2009) Royce Micro-Cap 2010 19,226 18.14 348,709 3.02 -- 29.96 Investment Division (Commenced 11/10/2008 and began transactions in 2010) Royce Small-Cap 2010 26,235 14.99 393,142 0.14 -- 20.52 Investment Division 2009 4,703 12.43 58,471 -- -- 35.20 (Commenced 11/10/2008 and began transactions in 2009)
202 METROPOLITAN LIFE SEPARATE ACCOUNT UL OF METROPOLITAN LIFE 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(%) ------ ------------- ---------- ------------- ---------------- --------------- UIF Emerging Markets Debt 2010 259 28.33 7,343 4.24 -- 9.74 Investment Division 2009 223 25.82 5,747 2.19 -- 30.21 (Commenced 11/10/2008 and began transactions in 2009) UIF Emerging Markets Equity 2010 13,018 15.18 197,669 0.57 -- 19.02 Investment Division 2009 442 12.76 5,643 -- -- 69.84 (Commenced 11/10/2008 and began transactions in 2009) PIMCO VIT Low Duration 2010 65,497 11.64 762,531 1.62 -- 5.29 Investment Division 2009 66,450 11.06 734,746 1.55 -- 10.57 (Commenced 5/4/2009)
(1) These amounts represent the dividends, excluding distributions of capital gains, received by the Investment Division 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 policy owner accounts either through reductions in the unit values or the redemption of units. The investment income ratio is calculated for each period indicated or from the effective date through the end of the reporting period. The recognition of investment income by the Investment Division is affected by the timing of the declaration of dividends by the underlying portfolio, series, or fund in which the Investment Division invests. The investment income ratio is calculated as a weighted average ratio since the Investment Division may invest in two or more share classes, if any, within the underlying portfolio, series or fund of the Trusts which may have unique investment income ratios. (2) These amounts represent the annualized policy expenses of each of the applicable Investment Divisions, 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 policy 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 Investment Division. 203 This page is intentionally left blank. METROPOLITAN LIFE INSURANCE COMPANY 200 PARK AVENUE NEW YORK, NY 10166 RECEIPT This is to acknowledge receipt of an Equity Advantage VUL Prospectus (Book #252) dated May 1, 2011. This Variable Life Insurance Policy is offered by Metropolitan Life Insurance Company. -------------------------------- -------------------------------- (Date) (Client's Signature)