AIG Archive

Congressman Ron Klein Statement on AIG

[Skip to the end] Hi Ron, Add this? But let me add that it’s our fault. We make the laws and the regulations. If anyone violates the laws there are prisons waiting for them. If they acted within our laws, however flawed, it’s our responsibility to alter those laws to serve public ...Read More

Bloomberg: Thoughts on Treasury plan

[Skip to the end] My take is an RTC type solution only works when the government owns the institutions, so this will probably be different. I suspect it will be more like Japan, where the government bought a new class of preferred stock in the banks to add capital. Whatever they will ...Read More

Fed loan to AIG

[Skip to the end] My question remains: can they give the shareholders less than they would have gotten in a bankruptcy? The burden of proof may be on the government to show that the shareholders are better off with the 20% of net worth they are giving them due to the value ...Read More

NYT: Fed to Give A.I.G. $85 bln Loan and Takeecon

[Skip to the end] The Fed has a major strategic advantage over private sector buyers. With the Fed making the loan, credit spreads in general should narrow. This will add value to AIG’s short credit position which is where most of the mark to market losses are. So the Fed’s actions to ...Read More