AIG Sells 2nd Overseas Unit – What’s Left?

Posted on 08. Mar, 2010 by Founder in Blog

The unloading of AIG assets continued today. AIG is selling an overseas insurance business to rival MetLife for $15.5bn as it continues to raise funds to pay off a federal bailout. But the big question we have is whether there will be enough of “good” business left to continue to make money on or not?

The bailout money continues to rise as AIG was given an initial $85bn in September 2008 to prevent its collapse which has subsequently been raised to $182.3bn. In addition they have to repay a $9bn investment in the company made by the Federal Reserve Bank of New York. Ha! So they are more than likely looking to continue to units off over the next couple of months.

AIG Bonuses After Bailout – Round 2

Posted on 04. Feb, 2010 by Founder in Blog

the AIG bonuses issue after the bailout has gone to round 2. AIG plans todayto pay another round of employee bonuses, worth about $100 million, said several people familiar with the matter, a year after similar payments at the bailed-out insurance giant infuriated many Americans and inflamed Washington. Whatever you think about the issue here’s our take. These payouts were for contracts for American employees that were entered into nearly 3 years ago (before the collapse). This are people just like you and me…so how would you feel if you worked all these years for nothing? Changes things a bit huh?

Even still about 97 percent of current employees at the Financial Products division agreed last week to forgo 10 percent of their upcoming bonuses in return for early payment.