Why was it in the best interest of American taxpayers for the Federal Reserve Bank of New York (FRBNY) and Treasury to support AIG?
The governments assistance to AIG was intended to minimize the systemic risk to the global economy posed by a potential AIG failure. AIG has set forth a long-term plan designed to maximize the value of AIG businesses for the benefit of all stakeholders. While this process will take several years, we believe that disaggregating the businesses and separating them from issues at the holding company will benefit stakeholders including taxpayers by allowing us to create stronger, focused, and more valuable businesses. We are grateful for the U.S. governments continued cooperation as we undertake one of the most extensive restructurings of a large, systemically important company in the history of American business.
