Posted on 09 Mar 2010
MetLife's CEO C. Robert Henrikson talked with Maria Bartiroma on CNBC's "Closing Bell" this afternoon regarding the company's $15.5 billion deal for American International Group's (AIG) Alico insurance unit.
Not too many surprises here. Asked about a recent note by Standard & Poor's suggesting the deal has integration risks, Henrikson said there is very little overlap between Met and Alico, and that "this is not a synnergies play, this is not about laying people off," but about the geographic fit between Met and Alico.
Asked what the deal would do for the company, Henrikson noted it’s hard to build an international business from scratch. He noted Met's currrent business of variable annuities in Japan is only possible because of the company’s acquisition of The Travelers Life & Annuity from Citigroup in 2005 for $12 billion.
“The other markets outside the united states have been growing faster; this puts us in a position where we can accelerate the portion coming from outside the United States in a way we could not have done organically.”