Snappy newsletters. Simple Facebook sharing. Spirited comments. Sweet features are waiting… GET THEM NOW!

NEWS ABOUT: AIG

Stories 141 - 160 | << Prev   Next >>

Switch to grid view »

Eli Broad: AIG Can't Recover

LA billionaire says he has "no hope" for insurer

(Newser) - Eli Broad, a former director and shareholder of AIG, said yesterday that "it is too late" for the insurance giant to make any recovery. The Los Angeles billionaire told Reuters that the government's initial bailout of AIG came "on the harshest of terms," and that a... More »

Fear of Unforeseen Chaos Keeps Feds Bailing Out AIG

(Newser) - If you want to understand the phrase “too big to fail,” look no further than AIG, the Los Angeles Times reports. With $1.1 trillion at the end of 2007, operations in 130 countries and 74 million customers, AIG is so entrenched in the global financial system that... More »

AIG Regulator: We Should Have Stepped in Sooner

(Newser) - A “multitude of regulators” failed to spot the liquidity risk AIG was piling on until it was too late, and should have stepped in sooner, the Office of Thrift Supervision told the Senate today. A relatively small unit of AIG was piling up credit default swaps, and “no... More »

AIG Posts Record Loss, Gets 4th Lifeline of $30B

Insurer loses $62 billion in Q4 and may break up

(Newser) - AIG posted a quarterly loss of $62 billion today—the largest in American history—following news that Washington will provide an additional $30 billion in cash to the insurer and loosen the terms on previous loans. The Treasury and Fed have now intervened four times to prop up AIG, reports... More »

Ailing AIG Nears $30B Deal With Feds

(Newser) - Facing a roughly $60 billion fourth quarter loss—the biggest in corporate history—American International Group is cutting a deal with the feds to stay alive, Reuters reports. If AIG's board approves the agreement tomorrow, Washington will give the insurer another $30 billion in equity and a lower interest rate... More »

AIG Negotiating Yet Another Bailout

3rd rescue could see government acquire parts of insurer

(Newser) - AIG is seeking yet another bailout from the federal government, the Financial Times reports, as the troubled insurer prepares to post a quarterly loss the Wall Street Journal expects to exceed $60 billion. The new package would see the government swap its previous $60 billion loan for equity and acquire... More »

AIG's Downfall, Part 2: 'Almost Free Money'

Credit default swaps change the game

(Newser) - According to the computer models, credit default swaps almost couldn’t fail. They were the latest derivative contract in 1998, and AIG Financial Products decided to get on board, the Washington Post reports, in the second part of its series on the insurer’s self-destruction. When AIG struck its first... More »

How AIG Destroyed Itself (Part I)

Part 1

(Newser) - The roots of the current financial crisis can be traced back to a series of lunches and late-night dinners between two relatively unknown junk-bond traders 20 years ago. Howard Sosin and Randy Rackson had a plan to change the way the financial world did business, provided they could find a... More »

Stocks Bounce on Bailout Hope

Dow up about 90

(Newser) - Stocks took a modest bounce this morning, as anticipation over an auto bailout outweighed weakness in financials. The Dow rose 116 points, while the Nasdaq and S&P climbed 1% and 1.2% respectively, the Wall Street Journal reports. AIG shares were down 5% premarket after the Journal reported that... More »

AIG Looks for $10B More to Pay Bad Bets

Struggling insurer gambled billions of its own money on risky derivative trades

(Newser) - Insurance giant AIG, already the recipient of a $150 billion government bailout to cover soured credit-default swaps, now admits it owes some $10 billion more for speculative trades it made with its own money, reports the Wall Street Journal. Those deals aren’t covered by the bailout, leaving the struggling... More »

Fed Looks to Raise Cash With Its Own Debt Issue

Economy's dive prompts central bank to get more creative with financing programs

(Newser) - The Federal Reserve’s balance sheet has more than doubled to $2 trillion since August as it’s financed new programs and bailed out ailing businesses, prompting the central bank to weigh issuing its own debt for the first time, reports the Wall Street Journal. The Fed, looking for new... More »

Big Players Reel in Charity Spending

Drop-off in corporate giving leaves groups scrambling

(Newser) - Charities used to getting much of their money from major corporations and private foundations are feeling the economic downturn, the Wall Street Journal reports. Bill Gates’ foundation plans to give fewer grants next year, and other large donors are honoring existing pledges but refusing to make new ones. “You... More »

AIG CEO Cuts His Pay to $1

Edward Liddy gives up his salary and bonuses, others expected to follow

(Newser) - As Congress continues to bail out corporate America, CEOs are canceling bonuses and cutting pay for their top executives—but no one has come close to AIG top executive Edward Liddy, reports the New York Post. The CEO, who took over the troubled insurance company in September, will take home... More »

Bailed-Out Banks Won't Bail on Sports Sponsorships

Gaudy expenditures anger public, Congress

(Newser) - Citibank is getting billions from taxpayers and cutting thousands of jobs, but it's not canning its 20-year, $400 million deal to dub the New York Mets’ new stadium “Citi Field.” Such big advertising deals are coming under the microscope—and have critics crying foul, ABC News reports. “... More »

Wall Streeters Question Geithner's Role in Crisis

Treasury pick has been at the table all along

(Newser) - Markets surged yesterday when Barack Obama announced that Timothy Geithner would become treasury secretary as part of an all-star economic team. But Wall Street actually harbors some skepticism about Geithner, writes Andrew Sorkin in the New York Times. As chair of the New York Fed, Geithner was the point man... More »

Feds Under Pressure to Broaden Bailout

Treasury already needs to ask Congress for next $350B installment

(Newser) - With nearly half of the $700 billion bailout committed, a growing array of distressed companies is lobbying the government, the Wall Street Journal reports, increasing the likelihood the Treasury will ask Congress for the rest of the bailout cash soon. But varied interests among legislators and emerging unemployment risks could... More »

Chinese Stimulus Lifts Dow

Index surges 150+ at open, following Asian lead

(Newser) - Stocks jumped out of the gate today, thanks to a $586 billion stimulus package from Beijing. The Dow was up nearly 200 just after opening, the Wall Street Journal reports, and the S&P and Nasdaq climbed 1.8% and 1.2%, respectively. The moves followed rallies overseas, including a... More »

Feds Up AIG Aid to $150B; Insurer Posts $24.5B Loss

US scraps insurer's original $123 billion package as company's struggles continue

(Newser) - The $123 billion the US pledged to foundering insurance giant AIG will grow to at least $150 billion, reports the Wall Street Journal, as the company continues to hemorrhage money. AIG, which today reported a loss of $24.5 billion in its most recent quarter, will get more cash and... More »

Geek Squad's Models Missed Risks—and AIG Paid Price

Insurance giant's dependence on computer predictions made situation far worse

(Newser) - “All I can say is beware of geeks bearing formulas,” Warren Buffett once said. AIG didn’t heed his advice. The huge insurer bet tens of billions on credit-default swaps, guided by imperfect risk-assessment models created by a moonlighting finance professor, the Wall Street Journal reports. AIG knew... More »

Bankrupt AIG Might Have Been Better Than Bailout

Experts say letting insurer file bankruptcy would have been a better, cheaper, plan

(Newser) - The government’s $143 billion bailout of AIG is looking more and more like an expensive example of good money following bad, as financial experts are concluding that bankruptcy would have been better for both the insurance giant and taxpayers, reports the Washington Post. AIG has burned through more than... More »

Stories 141 - 160 | << Prev   Next >>
NEWS FROM OUR PARTNERS
Other Sites We Like:   24/7 Wall St.   |   Betty Confidential   |   BuzzFeed   |   Cracked   |   Fark   |   Timelines   |   The Frisky   |   Geek Sugar   |   NewsOne