American International Group Inc. (AIG) has announced a fourth quarter 2011 profit of $19.8 billion following a large tax benefit that it received after it submitted its predictions regarding its ability to maintain the generation of profits over the upcoming years. The bailed-out insurance company received tax benefits worth $17.7 billion within the last three months of last year. This was a sum that was significantly greater than the $1.6 billion operating income that it received from its insurance businesses and other branches throughout that same time. Equally, though, the…
Read MoreTag: AIG news
AIG makes $972 million repayment to the Treasury
American International Group (AIG) has made a $972 repayment on its bailout loan to the United States Treasury in its latest effort to bring down its total debt to the federal government. This most recent repayment has brought the owed amount on the taxpayer-funded bailout from 2008 down to approximately $50 billion. At the peak of the financial crisis, AIG was provided with a bailout of $182 billion by way of the Troubled Asset Relief Program. The insurer also borrowed money from the Federal Reserve, but has repaid all but…
Read MoreAIG makes a $2.15 billion dent in its bailout repayments
American International Group Inc. (AIG) has made a payment of $2.15 billion to the U.S. Treasury Department as a partial repayment of the total $182 billion it was provided through the 2008 financial crisis bailout package. The repayment funds were drawn from the proceeds that the company made from the company’s sale of its Taiwan subsidiary called Nan Shan Life Insurance Company Shan to Ruen Chen Investment Holding Co. Nan Shan has been available for sale from AIG since the middle of 2009, when the government of Taiwan halted its…
Read MoreAIG files suit against Bank of America, looking to recover $10 billion in losses
American International Group (AIG), the U.S. largest insurer that has been steeped in controversy, has filed a lawsuit against Bank of American Corp. The insurer is looking to recover over $10 billion in losses from what it is calling “massive fraud.” The lawsuit is spurred by allegations of mortgage fraud stemming from the bank’s deals leading up to the 2008 economic recession. The suit claims that Bank of America misrepresented its mortgages as being of a higher quality than they actually were. According to the suit, filed with the New…
Read MoreGovernment looking for buyers
Several major businesses floundered in the wake of the global economic recession. Unable to recover in the early days of the economic downturn, many of these companies were allowed to fail. In the U.S., some of these companies received federal aid in the form of massive cash injections. The American International Group, an American insurance corporation, was one such company. AIG, however, mishandled the funds in one way or another, leading the government to seize the company. Now, The U.S. Treasury Department is selling shares of the company in the…
Read More