|
AIG
Insurance reports record $61.7bn loss - 2nd March 2009
__________________________________
2nd March 2009
The
Amercian Insurance giant AIG (American International Group)
has reported a loss of $61.7bn (£43bn) in the final
three months of 2008 - the largest quarterly loss in corporate
history.
AIG
has already received $150bn in financial
support - the biggest bail-out by far of any US company.
The fourth quarter 2008 adjusted net loss, was $37.9 billion
or $14.17 per diluted share, compared to an adjusted net loss
of $3.2 billion or $1.25 per diluted share for the fourth
quarter of 2007.
The company will receive an extra $30bn from the US government
as part of a revamped rescue package. Under the deal, the
third government rescue of AIG since September, the US Treasury
and the Federal Reserve will provide around $30bn in fresh
capital to the insurer, lower the interest rate on a $60bn-loan
and ease the terms of a $40bn preferred share investmentUS
officials fear that a failure of AIG would be disastrous for
both the US and the global economy.
The latest package involves the Federal Reserve taking stakes
in its American Life Insurance and American International
Assurance businesses.
According to a report in the Insurance
Times, the group is also separating out AIG UK, a general
insurance business, by creating a new holding company to be
called AIU Holdings.The establishment of AIU Holdings, Inc.
will assist AIG in preparing for the potential sale of a minority
stake in the business, which ultimately may include a public
offering of shares, depending on market conditions.
“AIG is executing one of the most extensive corporate
restructuring programs in history,” said Edward Liddy,
Chairman and Chief Executive Officer, AIG. “The formation
of AIU Holdings, Inc. will help protect and enhance the value
of these key businesses, and position them for the future
as more independently run, transparent companies.”
When it is formed, AIU Holdings, Inc. will be a unique leading
franchise with more than 44,000 employees and 500 products
and services serving 40 million commercial and individual
customers in 130 countries and jurisdictions.
AIG UK Limited who are part of the
American International Group, Inc., (AIG) are underwriters
to
insurance4carhire products and
Direct Travel Insurance are underwritten
by AIG UK Limited. Both of these products are available via
jml-insurance.co.uk
who are
introducers
for insurance4carhire.com
and Direct
Travel Insurance
Please
note, all details on any of the Insurance industry Press Releases
displayed on this site are provided by insurance companies,
organisations, Government departments and media and jml Property
Services does not take any responsibility for their content
or accuracy.
Return
to insurance Indusry Press Releases
See
Also
jml
Insurance Press Releases
Insurance
Industry Press Releases 2009
Insurance
Industry Press Releases -2008
Insurance
Industry Press Releases 2001 -2007
Independent
insurance Articles
jml
villas.com Press Releases
jml
villas.com / euro-rentavilla.com Media Coverage
jml
Training and Consultancy Press Releases
Back
to top
| 
