EX-10.40



 Exhibit 10.40
 MANAGEMENT PERFORMANCE SHARE AGREEMENT 
 MetLife, Inc. confirms that, on
[grant date] (the “Grant Date”), it granted you, [name], [number] Performance Shares (your “Performance Shares”). Your Performance Shares are subject to the terms and conditions of this Management Performance
Share Agreement (this “Agreement”) and the MetLife, Inc. 2005 Stock and Incentive Compensation Plan (the “Plan”). 
 1. Standard Performance Terms.  
 (a) The terms of this
Section 1 shall be referred to as the “Standard Performance Terms” and will apply to your Performance Shares except in so far as Sections 2 (Change of Status) or 3 (Change of Control) apply. 

(b) The Performance Period for your Performance Shares will begin on [date], [year] and end on the December 31
immediately preceding the third anniversary of the beginning of the Performance Period. After the conclusion of the Performance Period, the Committee shall certify in writing the number of Performance Shares payable in accordance with
Section 1(c) (your “Final Performance Shares”), and your Final Performance Shares will be due and payable in Shares. 
 (c) The Committee will determine your Final Performance Shares by multiplying your Performance Shares by the “Performance Factor.” The Performance Factor means a percentage (from zero to
200%) which is the sum of two other percentages (each from zero to 100%), described in (1) and (2) below. 
 (1) The
first percentage will be based on the Company’s performance with respect to Change in Annual Net Operating Income Available to Common Shareholders Per Share during the Performance Period relative to the other companies in the Standard and
Poor’s Insurance Index, determined according to Table 1 of Schedule A to this Agreement. For this purpose, (a) “Net Operating Income Available to Common Shareholders Per Share” for any period means net income, excluding:
(1) after-tax net investment gains and losses, (2) after-tax adjustments related to net investment gains and losses, (3) after-tax discontinued operations other than discontinued real estate, and (4) preferred stock dividends, in
each case determined according to generally accepted accounting principles, divided by the weighted average number of shares outstanding during such period determined on a diluted basis under generally accepted accounting principles; and
(b) “Change in Annual Net Operating Income Available to Common Shareholders Per Share” means Net Operating Income Available to Common Shareholders Per Share in the final calendar year of the Performance Period divided by Net Operating
Income Available to Common Shareholders Per Share in the calendar year immediately preceding the beginning of the Performance Period. 
 (2) The second percentage will be based on the Company’s performance with respect to Proportionate Total Shareholder Return during the Performance Period relative to the other companies in the
Standard and Poor’s Insurance Index, determined according to Table 2 of Schedule A to this Agreement. For this purpose, (a) “Initial Closing Price” means the average Closing Price (and, in the case of a company other than
the Company, the most closely analogous price) in the twenty (20) trading days prior to the first day of the Performance Period; (b) “Final Closing Price” means the average Closing Price (and, the case of a company other than the
Company, the most closely analogous price) in the twenty (20) trading days prior 







 
to and including the final day of the Performance Period; (c) “Total Shareholder Return” means the change (plus or minus) from the Initial Closing Price to the Final Closing Price,
plus dividends (if any) actually paid on Shares (or, in the case of a company other than the Company, the most closely analogous security) on a reinvested basis from the first day of the Performance Period to and including the last day of the
Performance Period; and (d) “Proportionate Total Shareholder Return” means Total Shareholder Return divided by Initial Closing Price. 
 (d) For these purposes, the Standard & Poor’s Insurance Index means each company which is described by either of the following criteria: 

(1) the company is included in such index for the entirety of the Performance Period; or 

(2) the company is included in such index on the final day of the Performance Period, and at least fifty percent (50%) of the
securities entitled to vote for the directors of that company were owned, directly or indirectly, immediately after and as the result of a merger, acquisition, or other similar corporate transaction, by a majority of the shareholders (determined
immediately prior to such transaction) of a company that was either: (i) included in such index on the first day of the Performance Period, or (ii) described by this Section 1(d)(2). 

2. Change of Status. For purposes of this Section 2, your transfer between the Company and an Affiliate, or among
Affiliates, will not be a termination of employment. In the event of a Change of Control, any applicable terms of Section 3 (Change of Control) will supersede the terms of this Section 2. 

(a) Long-Term Disability. In the event you qualify for long-term disability benefits under a plan or arrangement offered by
the Company or an Affiliate for its Employees, the Standard Performance Terms will continue to apply to your Performance Shares. Once this provision applies, no other change of status described in this Section 2 (except the provision regarding
termination for Cause) will affect your Performance Shares, even if you subsequently return to active service or your employment with the Company or an Affiliate terminates other than for Cause. 

(b) Death. In the event that your employment with the Company or an Affiliate terminates due to your death, your Performance
Shares will be due and payable in Shares (or cash at a value equal to the Closing Price on the date of your death, if so determined by the Committee). 
 (c) Retirement. If your employment with the Company or an Affiliate terminates (other than for Cause) on after your early retirement date or normal retirement date (in each case determined
under any ERISA qualified pension plan offered by the Company or an Affiliate in which you participate) (“Retirement”), the Standard Performance Terms will continue to apply to your Performance Shares. 

(d) Bridge Eligibility. If your employment with the Company or an Affiliate terminates (other than for Cause) with bridge
eligibility for retirement-related medical benefits (determined under an ERISA qualified benefit plan offered by the Company or an Affiliate in which you participate, if any) (“Bridge Eligibility”), and your separation agreement (offered
to you under the severance program offered by the Company or an Affiliate to its Employees) becomes final, the Standard Performance Terms will continue to apply to your Performance Shares. 

  
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 (e) Termination for Cause. In the event that your employment with the Company or
an Affiliate terminates for Cause, your Performance Shares will be forfeited immediately. 
 (f) Other Termination of
Employment. Unless the Committee determines otherwise, if no other provision in this Section 2 regarding change of status applies, including, for example, your voluntary termination of employment, your termination without Retirement or
Bridge Eligibility, or your termination by the Company or an Affiliate without Cause, your Performance Shares will be forfeited immediately unless you are offered a separation agreement by the Company or an Affiliate under a severance program. To
the extent your separation agreement becomes final, your Prorated Performance Shares will be due and payable to you. The number of your “Prorated Performance Shares” will be determined by dividing the number of calendar months in the
Performance Period that have ended as of the end of the month of the termination of your employment by thirty-six (36), multiplying the result by the number of your Performance Shares, and rounding to the nearest whole number; provided,
however, that if the date of the termination of your employment is prior to the first anniversary of the beginning of the Performance Period, then the number of your Prorated Performance Shares shall be zero (0). Payment for each of your
Prorated Performance Shares will be made in cash at a value equal to the Closing Price on the Grant Date, and shall be rounded to the nearest one-hundred dollars ($100.00). If your separation agreement does not become final, your Performance Shares
will be forfeited. 
 3. Change of Control.  

(a) Except as provided in Section 3(b), and unless otherwise prohibited under law or by applicable rules of a national security
exchange, if a Change of Control occurs, your Performance Shares will be due and payable in the form of cash equal to the number of your Performance Shares multiplied by the Change of Control Price 

(b) The terms of Section 3(a) will not apply to your Performance Shares if the Committee reasonably determines in good faith,
prior to the Change of Control, that you have been granted an Alternative Award for your Performance Shares pursuant to Section 15.2 of the Plan. Any such Alternative Award shall not accelerate the timing of payment or otherwise violate Code
Section 409A. 
 4. Nontransferability of Awards. Except as provided in Section 5 or as otherwise
permitted by the Committee, you may not sell, transfer, pledge, assign or otherwise alienate or hypothecate any of your Performance Shares, and all rights with respect to your Performance Shares are exercisable during your lifetime only by you.

 5. Beneficiary Designation. You may name any beneficiary or beneficiaries (who may be named contingently
or successively) who may then exercise any right under this Agreement in the event of your death. Each beneficiary designation for such purpose will revoke all such prior designations. Beneficiary designations must be properly completed on a form
prescribed by the Committee and must be filed with the Company during your lifetime. If you have not designated a beneficiary, your rights under this Agreement will pass to and may be exercised by your estate. 

6. Tax Withholding. The Company will withhold from payment made under this Agreement an amount sufficient to satisfy
the minimum statutory Federal, state, and local tax withholding requirements relating to payment on account of your Performance Shares. 

  
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 7. Adjustments. The Committee will make appropriate adjustments in the
terms and conditions of your Performance Shares in recognition of unusual or nonrecurring events affecting the Company or its financial statements (such as a Common Stock dividend, Common Stock split, recapitalization, payment of an extraordinary
dividend, merger, consolidation, combination, spin-off, distribution of assets to stockholders other than ordinary cash dividends, exchange of shares, or other similar corporate change), or in recognition of changes to applicable laws, regulations,
or accounting principles, to prevent unintended dilution or enlargement of the potential benefits of your Performance Shares. The Committee’s determinations in this regard will be conclusive. 

8. Timing of Payment.  
 (a) This Agreement is intended to comply with Code Section 409A and shall be interpreted accordingly. If Shares are to be paid to you, you will receive evidence of ownership of those Shares.

 (b) If payment is due and payable under Section 2(b), it will be made upon your death. 

(c) If payment is due and payable under Section 2(f), it will be made six (6) months after the termination of your
employment (or six (6) months after your “separation from service” under Code Section 409A, if that is a different date). 
 (d) If payment is due and payable under Section 3(a), and the Change of Control that causes payment to be due and payable is a “change of control” as defined under Code
Section 409A, such sum shall be paid to you within thirty (30) days of the Change of Control. If payment is due and payable under Section 3(a), and the Change of Control that causes payment to be due and payable is not a “change
of control” as defined under Code Section 409A, such sum shall be paid to you at the time determined under Section 8(e). 
 (e) If payment is due and payable under the Standard Performance Terms and you have chosen to defer payment under an applicable deferred compensation plan offered by the Company or an Affiliate,
payment will be made at the time determined under that plan. If payment is due and payable under the Standard Performance Terms and you have not chosen to defer payment under an applicable deferred compensation plan offered by the Company or an
Affiliate, payment will be made in the calendar year after the end of the Performance Period. 
 9. Closing
Price. For purpose of this Agreement, “Closing Price” will mean the closing price of a Share as reported in the principal consolidated transaction reporting system for the New York Stock Exchange (or on such other recognized
quotation system on which the trading prices of the Shares are quoted at the relevant time), or in the event that there are no Share transactions reported on such tape or other system on the applicable date, the closing price on the immediately
preceding date on which Share transactions were reported. Closing Price shall constitute “Fair Market Value” under the Plan for all purposes related to your Performance Shares. 

10. No Guarantee of Employment. This Agreement is not a contract of employment and it is not a guarantee of employment
for life or any period of time. Nothing in this Agreement interferes with or limits in any way the right of the Company or an Affiliates to terminate your employment at any time. This Agreement does not give you any right to continue in the employ
of the Company or an Affiliate. 

  
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 11. Governing Law; Choice of Forum. This Agreement will be construed in
accordance with and governed by the laws of the State of Delaware, regardless of the law that might be applied under principles of conflict of laws. Any action to enforce this Agreement or any action otherwise regarding this Agreement must be
brought in a court in the State of New York, to which jurisdiction the Company and you consent. 

12. Miscellaneous. For purposes of this Agreement, “Committee” includes any direct or indirect delegate of
the Committee as defined in the Plan and the word “Section” refers to a Section in this Agreement. Any other capitalized word used in this Agreement and not defined in this Agreement, including each form of that word, is defined in the
Plan. Any determination or interpretation by the Committee pursuant to this Agreement will be final and conclusive. In the event of a conflict between any term of this Agreement and the terms of the Plan, the terms of the Plan control. This
Agreement and the Plan represent the entire agreement between you and the Company, and you and all Affiliates, regarding your Performance Shares. No promises, terms, or agreements of any kind regarding your Performance Shares that are not set forth,
or referred to, in this Agreement or in the Plan are part of this Agreement. In the event any provision of this Agreement is held illegal or invalid, the rest of this Agreement will remain enforceable. If you are an Employee of an Affiliate, your
Performance Shares are being provided to you by the Company on behalf of that Affiliate, and the value of your Performance Shares will be considered a compensation obligation of that Affiliate. Your Performance Shares are not Shares and do not give
you the rights of a holder of Shares. You will not be credited with additional Performance Shares on account of any dividend paid on Shares. The issuance of Shares or payment of cash pursuant to your Performance Shares is subject to all applicable
laws, rules and regulations, and to any approvals by any governmental agencies or national securities exchanges as may be required. No Shares will be issued or no cash will be paid if that issuance or payment would result in a violation of
applicable law, including the federal securities laws and any applicable state or foreign securities laws. 

  
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 13. Amendments. The Committee has the exclusive right to amend this
Agreement as long as the amendment does not adversely affect any of your previously-granted Awards in any material way (without your written consent) and is otherwise consistent with the Plan. The Company will give written notice to you (or, in the
event of your death, to your beneficiary or estate) of any amendment as promptly as practicable after its adoption. 

14. Agreement to Protect Corporate Property. The grant of your Performance Shares is subject to your execution of the
Agreement to Protect Corporate Property provided to you with this Agreement (“Property Agreement”). If you do not return a signed copy of the Property Agreement, this Agreement and the Performance Shares granted to you will be void. The
Company may in its sole discretion allow an extension of time for you to return your signed Property Agreement. 
 IN WITNESS
WHEREOF, the Company has caused its duly authorized officer to execute this Agreement, and you have executed this Agreement. 
  

									
	METLIFE, INC.	 		 		 	EMPLOYEE
					
	By:	 	C. Robert Henrikson	 		 		 	[name]
		 	Name	 		 		 	
		 		 		 		 	
		 	 Chairman of the Board,
 President, and Chief Executive Officer
	 		 		 	
		 	Title	 		 		 	
					
		 		 		 		 	
		 	Signature	 		 		 	Signature
		 		 		 		 	


											
		 		 		 		 	Date: 	 	 


  
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 Schedule A
 to Management Performance Share Agreement 
 Table 1 

  

			
	 Change in Annual Net Operating

Income Available to Common

Shareholders Company Performance

(Percentile Relative to Other

Companies in S&P Ins. Index)
	  	First Percentage For Purposes 
of
Determining Performance Factor*
	 0-24
	  	0
	 25
	  	25
	 26
	  	26
	 27
	  	27
	 28
	  	28
	 29
	  	29
	 30
	  	30
	 31
	  	31
	 32
	  	32
	 33
	  	33
	 34
	  	34
	 35
	  	35
	 36
	  	36
	 37
	  	37
	 38
	  	38
	 39
	  	39
	 40
	  	40
	 41
	  	41
	 42
	  	42
	 43
	  	43
	 44
	  	44
	 45
	  	45
	 46
	  	46
	 47
	  	47
	 48
	  	48
	 49
	  	49
	 50
	  	50
	 51
	  	52
	 52
	  	54
	 53
	  	56
	 54
	  	58
	 55
	  	60
	 56
	  	62
	 57
	  	64
	 58
	  	66
	 59
	  	68
	 60
	  	70
	 61
	  	72
	 62
	  	74
	 63
	  	76
	 64
	  	78
	 65
	  	80
	 66
	  	82
	 67
	  	84
	 68
	  	86
	 69
	  	88
	 70
	  	90
	 71
	  	92
	 72
	  	94
	 73
	  	96
	 74
	  	98
	 75-99
	  	100








 Table 2 

 

			
	 Proportionate Total Shareholder

Return Company Performance
 (Percentile
Relative to Other
 Companies in S&P Ins. Index)
	  	Second Percentage For Purposes of Determining
Performance Factor*
	 0-24
	  	0
	 25
	  	25
	 26
	  	26
	 27
	  	27
	 28
	  	28
	 29
	  	29
	 30
	  	30
	 31
	  	31
	 32
	  	32
	 33
	  	33
	 34
	  	34
	 35
	  	35
	 36
	  	36
	 37
	  	37
	 38
	  	38
	 39
	  	39
	 40
	  	40
	 41
	  	41
	 42
	  	42
	 43
	  	43
	 44
	  	44
	 45
	  	45
	 46
	  	46
	 47
	  	47
	 48
	  	48
	 49
	  	49
	 50
	  	50
	 51
	  	52
	 52
	  	54
	 53
	  	56
	 54
	  	58
	 55
	  	60
	 56
	  	62
	 57
	  	64
	 58
	  	66
	 59
	  	68
	 60
	  	70
	 61
	  	72
	 62
	  	74
	 63
	  	76
	 64
	  	78
	 65
	  	80
	 66
	  	82









			
	 67
	  	84
	 68
	  	86
	 69
	  	88
	 70
	  	90
	 71
	  	92
	 72
	  	94
	 73
	  	96
	 74
	  	98
	 75-99
	  	100

  

	*	First percentage and second percentage are added together and the total is multiplied by the number of Performance Shares granted to determine the number of Final
Performance Shares. See Section 1(c) of this Agreement.