AIG Program Standing
You to integrated almost $70 billion one to Treasury the full time through TARP and you may $112 mil enough time by Federal Set-aside Financial of brand new York (FRBNY).
In the , Treasury marketed the leftover 234,169,156 offers out of AIG common inventory inside a keen underwritten societal offering to possess aggregate continues of approximately $7.six million.
You.S. Institution of one’s Treasury
Giving perception to that sales, the entire self-confident go back towards the Federal Put aside and you can Treasury’s shared $182 million commitment to stabilize AIG within the financial crisis are today $22.seven billion, which have Treasury Mississippi online payday loans realizing a confident return of $5.0 million therefore the Federal Reserve realizing a positive come back regarding $17.eight billion.
Included in their total $5.0 million self-confident return to big date, Treasury realized an excellent $cuatro.1 mil positive return with the its prominent stock holdings and good $0.9 million confident go back for the its common inventory holdings. As part of the Federal Reserve’s $17.7 billion confident go back to day is actually an excellent $six.8 billion confident go back into Government Set-aside Financial of the latest York’s (FRBNY) fund so you’re able to AIG; a great $1.cuatro billion self-confident return into the common hobbies about AIA Aurora and ALICO special purpose automobile you to kept AIG’s premier overseas lifetime insurance policies subsidiaries; and a combined $9.5 mil confident come back into Maiden Lane II & III special purpose vehicle.
The newest combined profit out of $9.5 billion in the Maiden Lane II and you can III special-purpose car, and that ordered mortgage-associated possessions out of AIG and its counterparties, portrayed the largest part of the total $twenty-two.eight billion confident get back.
Because the overall economy, AIG has actually undertaken a remarkable reorganizing energy, and that put it inside the a more powerful reputation to settle taxpayers. The size of the organization has been reduce nearly by 50 percent because sold non-center property and you can focused on the core insurance operations. AIG’s Borrowing products unit (AIGFP) is staying wound off and has reduce its legacy derivatives exposure by the more than 93 percent up until now.
During the last 19 months, Treasury conducted six personal choices off AIG preferred inventory, attempting to sell a maximum of step one,655,037,962 offers (to start with ninety five percent out-of AIG’s an excellent well-known inventory) during the an average price of $ for every display. Treasury’s $20.eight million AIG well-known stock giving within the by yourself illustrated the biggest single You.Smon stock providing of all time.
Following the are key occurrences once the reorganizing at the beginning of 2011. Check an ideas graphic explaining every major AIG deals by way of .
AIG paid down Treasury $dos.2 billion in arises from the product sales of its subsidiaries AIG Superstar Insurance Co., Ltd. and you may AIG Edison Coverage Organization in order to Prudential Monetary, Inc.
AIG paid back Treasury $6.9 million to reduce the same share out-of Treasury’s preferred security need for AIG. The fresh proceeds originated in AIG’s product sales of the security share in the MetLife and you may of fund in past times stored inside the expectation out-of costs associated towards selling of their American Term life insurance Co. (ALICO) to help you MetLife.
Treasury offered 200 billion offers out of AIG common inventory to own proceeds out of $5.8 billion, and you will terminated $dos billion away from in earlier times enough time — however, undrawn fund.
AIG repaid Treasury $2.fifteen mil funded from proceeds from the latest selling out of AIG’s Nan Shan term life insurance subsidiary. The latest continues were utilized to invest back the newest You.S. taxpayers’ investment into the AIG through the redemption from the same portion off Treasury’s common equity passion within the AIA Aurora LLC, a subsidiary out-of AIG.
Treasury received a cost away from AIG of $972 mil. New commission is actually financed mainly through the scheduled discharge of escrowed proceeds from AIG’s marketing off ALICO, subsidiary to MetLife, Inc. New continues were used to expend right back the latest You.S. taxpayers’ financing within the AIG from redemption of an equal portion out of Treasury’s preferred guarantee passion inside the AIA Aurora LLC, a part away from AIG.