AIG Seeks More US Funds As Record Loss Looms

[slipslidingaway]

http://www.cnbc.com/id/29353282

"American Insurance Group, the insurance giant that is 80-percent owned by the US government, is in discussions with the government to secure additional funds so it can keep operating after next Monday, when it will report the largest loss in U.S. corporate history, CNBC has learned.

Sources close to the company said the loss will be near $60 billion due to writedowns on a variety of assets including commercial real estate...

In addition, if AIG's book value falls below a certain level, as it seems certain to do, it will trigger default in certain of its debt instruments, say people familiar with the situation.

All of this adds up to a huge headache for the Federal Reserve and Treasury, which have already provided over $150 billion of assistance to AIG..."

[yella_dawg]

1. AIG. The mortgage insurance people in trouble?

Who'd a thunk it?

Note: This is about commercial real estate. Ghetto businessmen taking out expansion loans they couldn't afford, no doubt.

[Myrina]

2. Goddammit, stop feeding these zombie monsters!

Give the money directly to the people to pay these motherfuckers off, so they can balance their books and move on to better, MORE REGULATED, initiatives and us working folk can free up some income to take care of other shit that's looming over our shoulders!!

:mad:

[Romulox]

3. When will Obama name an "Insurance Czar" to recommend reform at AIG?

Wait...that's not happening? :wtf:

[1gobluedem]

4. Will Republican Governors be outraged?

Or is that just reserved for the domestic auto industry's request for a bigger loan?

[slipslidingaway]

5. Thanks for the replies, there is another thread with more info

http://www.democraticunderground.com/discuss/duboard.php?az=show_mesg&forum=389&topic_id=5116332&mesg_id=5116332

[truebrit71]

6. Boom! Goes the dynamite! Buh-bye market! Buh-bye!!!

...Plus Chase just cut their dividend....Tomorrow is gonna be one rocky damn day...