AIG May Get $75 Billion Emergency Financing Package

CNBC reports "Under pressure from New York Governor David Paterson and AIG policyholders, the Federal Reserve is considering reversing its decision on Monday and providing some kind of financial aid to the troubled insurer." However, if there's no financing deal, the company could file for bankruptcy tomorrow. The Wall Street Journal has a Q&A about AIG, explaining why the company is in crisis and what the effects might be.

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By Jen Chung in News on September 16, 2008 4:57 PM

Comments [rss]

contro

CEO + golden parachutes= set for life

who suffers everyone else

NannyState

^We'll see how well they "float down" on $3 per share vested options. Some may get an incentive package to stay on but the company will be immediately broken up and it's best, most valuable parts sold off to satisfy the feds. That loan is at 11% interest so there's little incentive to actually borrow much money. The best part is now Hank Greenberg can reassemble his baby while he watches those boardmembers collect their pink slips.

jibbly

Privatize the profit, socialize the debt! By golly, this capitalism thing sure is swell!

Now instead of jumping off the ledge to commit suicide like the dogs they are the sons of bitches have golden parachutes to safely float down on.

contro

Oh sweet another bailout! Goverment can haz controls over monies?

NannyState

$85 billion. And now the Fed is in the insurance business...just in time for those hurricane claims.

blablanyc

Unlikely.

drewo

$75 billion? No problem - just keep the presses rolling.

No more money to buy the ink and paper to keep the presses rolling? Uh-oh.

bagelman

if we are going to live in a socialist economy, i'd at least like free higher education, free health care, and may day off, fuck you very much.