American International Group

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American International Group

American International Group (AIG), American multinational insurance corporation whose potential bankruptcy in 2008 led to the largest federal bailout of a private company. AIG was founded as American Asiatic Underwriters by Cornelius Vander Starr in 1919 in Shanghai, China; it soon expanded internationally and became known as American International Underwriters. With the advance of Mao Zedong's Red Army on Shanghai in 1949, Starr moved the headquarters to New York. In 1962 Maurice R. “Hank” Greenberg (1925–) took over leadership of the company; he remained its head until he was forced out as chief executive in 2005 because of transactions that created overstated earnings reports (he settled the civil accounting fraud changes arising from the transactions in 2017). Greenberg expanded AIG by buying up numerous insurance and other financial firms. The company, which assumed its present name in 1967, became one of the largest insurance companies in the world. In the 2000s, however, AIG incurred huge losses relating to subprime home mortgages, both its own and those of other companies and banks it had insured against losses on mortgage-backed securities, although many AIG businesses remained profitable.

By 2008 bankruptcy loomed due to a downgraded credit rating and increased calls for collateral required by the insurance on the mortgage-backed securites. The Federal Reserve Bank, concerned over potentially far-reaching repercussions to the international financial system should AIG fail, agreed to give AIG a line of credit for up to $85 billion in exchange for 80% of its stock, effectivily nationalizing the company. Eventually the Federal Reserve Bank and U.S. government increased their potential support to more than $182 billion through investment and credit lines and by buying mortgage-backed securities. The Treasury Dept. ultimately owned more than 90% of AIG before beginning to sell off shares in 2011. AIG sold a number of its profitable assets in order to pay back the U.S. government, and recovered from its near collapse in 2009. The bailout became controversial because large bonuses were paid to many AIG employees after the bailout (though these were largely later returned) and because some of the financial firms, such as Goldman Sachs, that benefited from the financial stability the bailout was designed to preserve also received sizable payments from AIG after the bailout. Goldman Sachs was also accused by some at AIG of having misled AIG over the quality of the mortgage-backed securities that AIG insured. In 2011 Greenberg brought a class-action lawsuit for damages against the government, contending it had exceeded its authority in demanding its stock in return for aid. The 2015 verdict said the government had had no right to demand the ownership control of AIG, but did not award damages because the company would have become bankrupt without the government aid.

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American International Group, Inc. (AIG) is a global insurance organisation whose member companies provide a wide range of property casualty insurance, life insurance, retirement products, and other financial services to customers in more than 80 countries and jurisdictions.
American International Group, Inc. (AIG) has appointed Sachin N Shah as chief executive officer of Asia Pacific, AIG General Insurance.
Financial Services Conference on Wednesday, December 5, 2018, American International Group, Inc. announced.
American International Group, Inc. (NYSE:AIG) has announced that it has been selected as Brand Expedia Group's global provider of travel insurance and assistance products, the company said.
Maurice "Hank" Greenberg has filed notice with the Securities and Exchange Commission of his intent to sell his nearly 12.9 million shares in American International Group, Inc. (AIG) to Starr International Co.
National Union Fire Insurance Company of Pittsburgh, PA, a subsidiary of The American International Group, Inc., expanded by 38,507 s/f at 101 Hudson Street in Jersey City.
American International Group, Inc. (NYSE:AIG) has said that as per the terms of the outstanding warrants to purchase shares of AIG common stock, the warrant exercise price will be reduced to USD43.2776 per share from USD43.4750 per share and the number of shares of AIG Common Stock receivable upon warrant exercise will increase to 1.041 from 1.036.
NEW YORK: Brian Duperreault, AIG President and Chief Executive Officer of American International Group, Inc., will present at the Keefe, Bruyette & Woods Insurance Conference on Wednesday in New York City, NY.
National Union Fire Insurance Company of Pittsburgh, PA, a member company of American International Group, Inc., (AIG), one of the most recognized insurance and financial services organizations in the world, recently committed to 173,837 s/f of office space at 101 Hudson Street in Jersey City, NJ.
American International Group, Inc. (NYSE: AIG) and Munich Re have said that AIG Life Limited (AIGLL), a UK subsidiary of AIG Life & Retirement, has entered into an agreement to acquire Ellipse, a specialist provider of group life risk protection in the UK, from Munich Re.
American International Group, Inc. (NYSE: AIG) has named Martha Gallo as Chief Information Officer, the company said.

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