CORRECTED - BRIEF-Metropolitan says FY diluted core headline EPS down 7 pct

(Corrects spelling of company name in headline and text)

JOHANNESBURG, March 10 (Reuters) - Metropolitan Holdings Limited (METJ.J: Quote): * Metropolitan (METJ.J: Quote) says FY diluted earnings per share increased to 188 cents * Metropolitan (METJ.J: Quote) says FY dividend increased to 100 cents per share * Metropolitan (METJ.J: Quote) says FY return on embedded value increased 12 percent * Metropolitan (METJ.J: Quote) says FY embedded value increased 6% to 1 811 cents per share * Metropolitan (METJ.J: Quote) says FY diluted core headline earnings per share down 7% * Metropolitan (METJ.J: Quote) says FY total recurring new business premium income fell 9% * Metropolitan (METJ.J: Quote) says FY operating profit decreased by 15% * Metropolitan (METJ.J: Quote) says food and transport inflation, together with rising unemployment, remain the biggest challenges * Metropolitan says challenges will reduce new business prospects and possibly challenge the persistency of the in-force book