Forbes: AIG Decides Its Too Big To Succeed

[Sapiens]

http://www.forbes.com/markets/2008/1...markets27.html

AIG Decides Its Too Big To Succeed
Ruthie Ackerman, 10.04.08, 5:00 AM ET

Just when it seemed that things couldn't possibly get any worse for the U.S. government-controlled insurer American International Group, they did.

The insurer has already burned through most of the loan it secured in a government bailout last month, and it is now planning to sell many of its operations to try to salvage some value for its long-suffering shareholders.

On Friday, the ailing insurer announced it will sell off a number of assets to focus on its property-casualty insurance and foreign general insurance businesses, pay down its loan from the Federal Reserve and address its capital structure.

...

[don]

Re: Forbes: AIG Decides Its Too Big To Succeed

A.I.G. Uses $61 Billion of Fed Loan

By MARY WILLIAMS WALSH


The American International Group said on Friday that it had already drawn down $61 billion of the $85 billion emergency bridge loan it received from the Federal Reserve two weeks ago, an announcement that startled credit ratings agencies.



The emergency loan was supposed to buy the company time to sell its troubled assets in an orderly manner. But the sell-off has not yet begun, and now the insurer faces the additional pressure of trying to sell the businesses at a time when potential buyers are having trouble borrowing money.


http://www.nytimes.com/2008/10/04/bu...l?ref=business

[rj1]

Re: Forbes: AIG Decides Its Too Big To Succeed

So I take it Manchester United will be looking for a new sponsor shortly?