AIG closes deal for $30 billion in new federal funds

[Joanne98]

Source: Reuters


NEW YORK (Reuters) - American International Group Inc (AIG.N), which has received more than $150 billion in taxpayer support since last September, has closed a deal to access nearly $30 billion in additional federal funds.

In a filing with the U.S. Securities and Exchange Commission on Monday, AIG said it would issue and sell to the U.S. Treasury 300,000 preferred shares, including warrants to purchase common stock, in exchange for up to $29.835 billion.

The original amount agreed in early March was $30 billion, but officials subtracted $165 million in retention bonuses paid to employees of the AIG Financial Products unit last month.

The bonuses set off a maelstrom of protest across the United States. The financial products unit is blamed for most of the red ink at AIG, and taxpayers balked at executives of the unit being paid extra while the nation grapples with rising unemployment and recession.



Read more: http://www.reuters.com/article/ousiv/idUSTRE53J4N620090420

[truebrit71]

1. I'm sorry...this is an ADDITIONAL $30 Bill?

Good grief...enough is enough...let the fucker fail...

[girl gone mad]

20. It isn't about saving AIG.

It's about funneling money to Goldman Sachs and the other connected counterparties.

[truedelphi]

22. We can't make the people at Goldman Sachs unhappy now, can we?

Evenif it leaves the rest of us that much poorer.

[DJ13]

2. .....

[amandabeech]

7. Excellent photo!!!!!

n/t

[SkyDaddy7]

9. Nice Pic!!!!

[Sultana]

13. Depressing photo

[IDemo]

24. Wrong bathroom fixture,

[dixiegrrrrl]

3. My Translation:

AIG giving taxpayers worthless shares of a bankrupt company in exchange for
semi-worthless dollars, thanks to co-conspirator Geithner and other Goldman Sachs ex-employees/lackeys, who continue to perpetuate the world's largest Ponzi scheme while complicit Congress critters maintain guilty silence.

alternate translation:

American taxpayers handed a huge bill of debt so that a big company does not have to admit it is bankrupt, and company officials can continue to get obscenely high salaries.

Good news: the dollar is pretty worthless by now, so the rip off is actually less valuable than it was 6 months ago.

Your translation????

[Joanne98]

5. Sounds about right to me.

[boomerbust]

6. Here goes

Hank Paulson- CEO Goldmann Sachs
Bush hires Paulson Fed Chairman
Total Economic Collapse 6 months before Bush leaves
Paulson requests trillion dollar bailout
AIG owes Goldmann Sachs billions.
Bush and Cheney have a billion or two waiting fot them somewhere.

[Thothmes]

23. And the current administration

is aiding and abetting in this crime. They are as guilty as Bush and Cheney.

[Vidar]

10. Couldn't have put it better.

[Skwmom]

4. So does AIG keep the funds or is this just another "indirect" bailout of

Goldman Sachs,etc.?

I love hearing how Chase is going to return tarp funds and on the same day I read that they are getting additional billions as an incentive to restructure home loans. :rofl: :rofl: :rofl: :rofl: :rofl:

They really do think we are stupid. Poor Larry. Unfortunately for him, women aren't as math challenged as he thinks they are.


What a dog and pony show.

[NeoConsSuck]

11. You hit the nail in on the head

AIG is the conduit through which we continue capitalizing the banking system, especially Goldman Sachs.

[Barack_America]

8. So what stake does that give us?

This is good news.

[dixiegrrrrl]

12. It gives you stake in shares ot totally worthless loans.

and when the banks eventually do go bankrupt, the shareholders go bust, the depositors go bust, the CEOs go to another tax haven country.

[mbperrin]

14. Yep, and we even got gypped on the shares. AIG closed today at $1.29, so

we should get 23 BILLION plus shares, but we only get 300,000.

So in a company with a 3.47 billion cap, we've got about $200 billion invested so far.

So we've paid for it 66 times and still don't own it. Or even control it, since they are able to do what they wish and all government officials can do is sigh....

[rcrush]

17. No No No Its ok Obama has a secret plan.

This is all part of a 1000 step complicated series of steps to get the economy back on the road. Just be patient and wait the 1000 years. When we start trading with the Pleadians we'll be back on top again.

[ardvark]

19. please dont say AIG gyped us

it's offensive to gypsies

[mbperrin]

25. You are so right, and I apologize! I should have said Geitnered!

Or Paulsoned! or even Sachsed!

[ardvark]

18. it gives us up to 80 percent stake in a company that was worth 10 billion

for a 180 billion dollar price

but, if we order before midnight tonight, they'll throw in a ShamWow towel

[ardvark]

15. Original World Trade Center twin towers built for less than 1 billion

if that puts this in perspective how much taxpayer money AIG's destroyed

http://en.wikipedia.org/wiki/World_Trade_Center

of course, there's been a lot of inflation since 1973

ironically, caused by money thrown down a hole, like this

what does Obama have to say about this?

[rcrush]

16. But we cant allow AIG to fail!

Someone important and rich might lose their job!

[European Socialist]

21. I saw none of this on the evening news--seems like a big story.