American International Group Inc. (AIG) raised approximately $36.71 billion, $27.71 billion of which was in cash proceeds through its sale of one insurance subsidiary, American Life Insurance Co. (ALICO) and the initial public offering of a second, AIA Group Ltd. (AIA).

AIG expects to use the cash proceeds from these transactions to repay the credit facility extended to AIG by the Federal Reserve Bank of New York (FRBNY) and to make payments on other interests owned by the government, under terms of the agreement in principle announced by AIG as part of its recapitalization plan on Sept. 30, 2010.

Register or login for access to this item and much more

All Digital Insurance content is archived after seven days.

Community members receive:
  • All recent and archived articles
  • Conference offers and updates
  • A full menu of enewsletter options
  • Web seminars, white papers, ebooks

Don't have an account? Register for Free Unlimited Access