will not beconsidered a nonbank systemically important financial institution, after acourt sided with the insurer in its case against the Financial Stability Oversight Council.
TheU.S. District Court for the District of Columbia on March 30 granted in partMetLife's cross motion for summary judgment, removing the nonbank SIFI tag thatit received in 2014and freeing it from the potential for additional federal oversight. The court'sopinion was sealed, pending a meeting by April 6 between MetLife and the FSOCto determine what part of the decision should remain confidential.
MetLifedid not immediately respond to a request for comment.
MetLifeclimbed 5.23% to $44.68 as of 11:07 a.m. ET. The shares of fellow nonbank SIFIsPrudential FinancialInc. and AmericanInternational Group Inc. also rose immediately after the verdictbecame public. Prudential and AIGdeclined to comment.
MetLifeis the only company so far to challenge its nonbank SIFI designation, andthroughout the case, it expressed confidence that it would prevail. The insurernevertheless announced in January that it would look to separate itsU.S. retail business due in large part to added regulatory burdens.
TheFSOC had recently determined that MetLife should remain a nonbank SIFIfollowing an annual review.