The board of American International Group Inc. (AIG) on Sunday is reported to have approved an extensive revision of the government's $150 billion bailout, according to Reuters. The news comes after a week of rumors that AIG and government officials were contemplating slicing the organization up into three separate companies, and on the verge of the company releasing a roughly $60 billion loss early on Monday.
A source with “direct knowledge of developments” told Bloomberg today that as part of the deal, in a meeting with the government AIG said it planned to rename its property-casualty business to differentiate it from AIG, and it will be given its own board of directors, said the source.
AIG reported that the division was losing employees and having difficulty attracting new clients as a result of its financial problems.
INN reported last week that John Williams, previously SVP of operations at one of AIG's fastest-growing commercial units in the , its small business division, is joining Torus Insurance Ltd. as global head of business operations. Hiscox, a specialty insurer, said it hired Steve Silverman to lead Hiscox's newly created inland marine business. Silverman was AVP and product line manager for AIG's Lexington Insurance's inland marine and specialty property business in the and .
INN also reported through Reuters last week that bidders were predicted to emerge for some Asia-based units of American International Group Inc. (AIG).
The paper named Toronto-based Manulife Financial Corp. and London–based Prudential Plc as potential suitors. The article also says the two companies may team with a sovereign fund based in to buy another AIG unit, American International Assurance Co.
For the latest on the additional $30 billion in bailout funds from the Treasury, click here.
