METLIFE BANK TO ACQUIRE SELECTED ASSETS OF FIRST TENNESSEE BANK N.A.
BRIDGEWATER, NJ, June 04, 2008
MetLife Bank, N.A., a subsidiary of MetLife, Inc. (NYSE: MET), announced today that it has entered into an agreement to acquire the residential mortgage origination and servicing business of First Tennessee Bank National Association, a subsidiary of First Horizon National Corporation (NYSE: FHN).
The acquisition includes all of the origination business outside of Tennessee and servicing assets associated with approximately $20 billion of first lien mortgage loans. MetLife Bank is also entering into a sub-servicing agreement for the remainder of First Horizon’s first lien servicing portfolio which is expected to total approximately $65 billion after closing. MetLife Bank will not be assuming any subprime or Alt-A mortgages as part of this acquisition. In addition, the acquisition will include more than 230 retail and wholesale offices nationwide.
“We’re excited about this acquisition,” said Donna DeMaio, president, MetLife Bank. “This will significantly accelerate the growth potential of MetLife Bank’s residential mortgage business as it allows us to acquire significant expertise, scale and platforms. Combined with our recently announced purchase of EverBank’s reverse mortgage business, this acquisition effectively positions MetLife Bank to be a leader in the origination and servicing of mortgage products.”
The companies expect the transaction to be completed during the third quarter of 2008.
MetLife Bank, N.A. (Member FDIC) is a federally chartered bank offering a wide array of banking products and services, including high-yield savings, certificates of deposit, money market accounts, individual retirement accounts, and residential mortgages. For more information, please visit www.metlifebank.com.
Celebrating 140 years, MetLife, Inc. is a leading provider of insurance and financial services with operations throughout the United States and the Latin America, Europe and Asia Pacific regions. Through its domestic and international subsidiaries and affiliates, MetLife, Inc. reaches more than 70 million customers around the world and MetLife is the largest life insurer in the United States (based on life insurance in-force). The MetLife companies offer life insurance, annuities, auto and home insurance, retail banking and other financial services to individuals, as well as group insurance, reinsurance and retirement & savings products and services to corporations and other institutions. For more information, please visit www.metlife.com.
This release contains statements which constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including statements relating to trends in the operations and financial results and the business and the products of the company and its subsidiaries, as well as other statements including words such as “anticipate,” “believe,” “plan,” “estimate,” “expect,” “intend” and other similar expressions. Forward-looking statements are made based upon management’s current expectations and beliefs concerning future developments and their potential effects on the company. Such forward-looking statements are not guarantees of future performance.
Actual results may differ materially from those included in the forward-looking statements as a result of risks and uncertainties including, but not limited to, the following: (i) changes in general economic conditions, including the performance of financial markets and interest rates, which may affect the company’s ability to raise capital; (ii) heightened competition, including with respect to pricing, entry of new competitors, the development of new products by new and existing competitors and for personnel; (iii) investment losses and defaults, and changes to investment valuations; (iv) unanticipated changes in industry trends; (v) catastrophe losses; (vi) ineffectiveness of risk management policies and procedures; (vii) changes in accounting standards, practices and/or policies; (viii) changes in assumptions related to deferred policy acquisition costs, value of business acquired or goodwill; (ix) discrepancies between actual claims experience and assumptions used in setting prices for the company’s products and establishing the liabilities for the company’s obligations for future policy benefits and claims; (x) discrepancies between actual experience and assumptions used in establishing liabilities related to other contingencies or obligations; (xi) adverse results or other consequences from litigation, arbitration or regulatory investigations; (xii) downgrades in the company’s and its affiliates’ claims paying ability, financial strength or credit ratings; (xiii) regulatory, legislative or tax changes that may affect the cost of, or demand for, the company’s products or services; (xiv) MetLife, Inc.’s primary reliance, as a holding company, on dividends from its subsidiaries to meet debt payment obligations and the applicable regulatory restrictions on the ability of the subsidiaries to pay such dividends; (xv) deterioration in the experience of the “closed block” established in connection with the reorganization of Metropolitan Life Insurance Company; (xvi) economic, political, currency and other risks relating to the company’s international operations; (xvii) the effects of business disruption or economic contraction due to terrorism or other hostilities; (xviii) the company’s ability to identify and consummate on successful terms any future acquisitions, and to successfully integrate acquired businesses with minimal disruption; and (xix) other risks and uncertainties described from time to time in MetLife, Inc.’s filings with the U.S. Securities and Exchange Commission. The company specifically disclaims any obligation to update or revise any forward-looking statement, whether as a result of new information, future developments or otherwise.