[Home]  [Headlines]  [Latest Articles]  [Latest Comments]  [Post]  [Mail]  [Sign-in]  [Setup]  [Help]  [Register] 

Who Is Bill Gates? (Full Documentary, 2020)

Here Is What Republican Voters Really Believe in. It's a Shame the GOP Has No Idea

guTTing america ... going back --- on Track

“The ElecTion is Over”... Trump HaTer Cindy McCain Trashes Arizona ElecTion AudiT ---“Ludicrous” (VIDEO)

DissidenT Episcopalians awarded $100 million worTh of property ... as U.S. Supreme CourT --- declines To Take up Fort WorTh case

Joe Biden needs to stop lying about the cause of the border crisis and start fixing it

George W. Bush says ... The Republican ParTy has a shoT aT fuTure elecTions if iT curbs --- iTs 'whiTe Anglo-Saxon ProTesTanTism' ( heriTage )

BREAKING EXCLUSIVE - TGP’s Jordan Conradson InTerviews AZ AudiT DirecTor Ken BenneTT — HUGE DEVELOPMENTS ... Including Plans To Triple OuTpuT --- QuesTions on Number of FraudulenT BalloTs (VIDEO)

Can Democrats Avoid a Wipeout in 2022?

Biden declares war on America -- literally

Former Trump assisTanT says ... 'freighT Train' of elecTion resulT audiTs coming --- 'The MAGA movemenT is demanding answers'

Tim Scott's 2024 Star Rises After Biden Rebuttal

“We Will Find MisTakes – IrregulariTies ... We Probably Are Going To Find OuTright Fraud” --- AZ GOP Chair Dr. Kelli Ward Give - UpdaTe on HisToric AudiT (VIDEO)

Australia security official warns nations are ‘beating drums’ of war amid Asia-Pacific tensions

Former Obama White House advisor Seth Andrew arrested, accused of stealing from charter school he founded

This is fo sucking funny ... Joe has no clue --- The dumbocrap leaders are in a hearT aTTack panic!!.

The voter suppression lie

War Room ... Rachel Maddow Is Worried abouT whaT AZ ElecTion AudiT will Find — She Knows Georgia Is NexT

Conspiracy Queen Rachel Maddow ... Panics Over --- ‘Dangerous’ Arizona Vote AudiT

‘True To iTs docTrine’ ... ConservaTives plan for a new church afTer UniTed MeThodism spliTs --- over homosexualiTy debaTe

Michael Eric Dyson - WhiTe People Can Help BLM ...by Holding RacisT RelaTives --- ‘To AccounT’ aT Thanksgiving

Derek Chauvin ... The GreaT --- WhiTe DefendanT

New Mexico state trooper executed by Mexican cartel member… Horrific Video

John Kerry in Earth Day wonderland

Democrats Are Cheaters

Derek Chauvin's FaTe ... Is Now in The Hands --- of The Jury

Fools' overture

Democrats Are Terrified of Georgia

Climate Media vs. Climate Science

Why We Black Leaders Support Voter ID Laws

Pelosi: ‘No Plans' to Bring a Court-Packing Bill to the House Floor – at This Time

B-1 Bombers Are Deploying To Norway For The First Time With An Eye On Nearby Russia And The Arctic

High School Coach Fired After Refusing To Enforce “Insane” Outdoor Masks During Sports

CNN Says Chinese-Style Fonts Are Racist

Gran Torino Denounced for Anti-Asian Racism

'It Is Still Not Safe To Go Outside,' Says Fauci's Head In A Jar In Year 2739

Biden Re-Ignites the Waco Fire

Over 500 White People Have Been Killed By Cops Since 2020. There Has Been No Rioting Over Those Deaths.

Buttigieg on Exaggerated Infrastructure Jobs Estimate: ‘I Should Have Been More Precise’

Videos - ChrisTians Tear Down MeTal Fences ... Denounce The Closure Of GraceLife Church --- Due To A COVID-19 ResTricTions

Pete BuTTigieg ... To evangelical vaccine hold-ouTs --- Maybe iT's parT of God's plan

TINHORN FLATS ... The Symbol of Modern Day America --- AgainsT Tyranny

This Trial is a ToTal sham ... The enTire power of The sTaTe - media - lefT-wing shock Troops - counTry's finesT legal TalenT ... is being deployed againsT Derek Chauvin.

A few billionaires currenTly have The power To decide ... ThaT some Americans’ speech righTs are more sacred Than oThers --- Clarence Thomas offers a remedy.

Biden Defense Secretary Orders Several “Immediate Actions” to Weed Out ‘Extremism’ in the Ranks

Target selling book that includes prayer to 'hate white people' in 'Religion' section

America is losing its religion — and the effects will be long-lasting

Conservative Grassroots Begin to Take Back Wisconsin

Ron DeSantis Is What the Post-Trump GOP Should Look Like

White House pushes back on conservative argument over Georgia, Colorado voting laws amid MLB dispute


Status: Not Logged In; Sign In

Business
See other Business Articles

Title: U.S. Treasury To Sell $18 Billion Of A.I.G. Stock Acquired In Bailout
Source: Bloomberg
URL Source: http://www.nj.com/business/index.ss ... easury_to_sell_18_billion.html
Published: Sep 10, 2012
Author: Bloomberg
Post Date: 2012-09-10 11:01:12 by Brian S
Keywords: None
Views: 417

The Treasury Department is offering to sell $18 billion of American International Group Inc. shares in a transaction that will cut the U.S. stake in the firm to below 50 percent for the first time since its 2008 bailout.

The insurer plans to buy back as much as $5 billion of the shares and Citigroup Inc., Deutsche Bank AG, Goldman Sachs Group Inc. and JPMorgan Chase & Co. are managing the sale, the Treasury said yesterday in a statement.

The U.S. would own about 23 percent of AIG if it sells the shares at the Sept. 7 closing price of $33.99 each, data compiled by Bloomberg show. Treasury had cut its stake in the New York-based firm to 53 percent in four earlier share sales, which raised about $23.3 billion. The last offering, announced Aug. 3, came the same week that AIG reported a 27 percent increase in second-quarter net income to $2.33 billion, driven by improving results at its property-casualty operation.

“AIG is still a work in progress and has some work to do on its underlying fundamentals, but they’ve come a long way,” Cathy Seifert, an equity analyst at Standard & Poor’s Capital IQ, said in an interview before yesterday’s announcement. “We think it’s undervalued relative to its peer group and relative to the progress they’ve made at turning themselves around.”

After this sale, AIG will be regulated by the Federal Reserve as a savings and loan holding company because it owns a bank, the firm said in a preliminary prospectus supplement.

Fed Oversight

AIG may face capital requirements and limits on its ability to repurchase stock or pay a dividend, under Fed oversight, according to the prospectus. The insurer is considering whether to close its bank unit to prepare for more government regulation including the Volcker rule, which limits proprietary trading and investing in private equity or hedge funds, Chief Executive Officer Robert Benmosche said last month.

AIG slid 49 cents, or 1.4 percent, to $33.50 at 8:03 a.m. in early trading in New York.

The U.S. needs to average about $28.73 on the sales to break even on the stake it acquired as part of the bailout, excluding unpaid dividends and fees, according to the Government Accountability Office. The first two offerings were priced at $29 a share, and the second two at $30.50 apiece.

Benmosche, 68, is buying back stock to help AIG regain independence and increase the value of remaining shares. He’s raised funds for repurchases by divesting assets including part of its stake in Hong Kong-based insurer AIA Group Ltd. AIG trades for about 56 percent of book value, a measure of assets minus liabilities.

Bailed Out

The Treasury’s shares are the final piece of AIG’s bailout that began in 2008 and swelled to as much as $182.3 billion, including support from the Federal Reserve Bank of New York.

AIG is the last U.S. insurer that hasn’t yet ended its bailout. The government has already divested its holdings in most of the largest U.S. banks including Citigroup Inc. and Bank of America Corp. while retaining a majority stake in Ally Financial Inc.

“As we think about our primary goal, which is to make sure we pay back America for all the support they gave us, and with a profit, we can see that happening,” Benmosche said in an online video posted last month.

Underwriters have a 30-day option to buy as much as $2.7 billion more in AIG stock from the Treasury, according to the statement.

Post Comment   Private Reply   Ignore Thread  


[Home]  [Headlines]  [Latest Articles]  [Latest Comments]  [Post]  [Mail]  [Sign-in]  [Setup]  [Help]  [Register] 

Please report web page problems, questions and comments to webmaster@libertysflame.com