American International Group (AIG) has just posted the biggest U.S. quarterly loss ever recorded in history, a whopping $61.7 billion ($22.95 per share) Q4 2008 loss, compared to a $5.3 billion ($2.08 per share) loss in Q4 2007. The American government has also opted to give AIG $30 billion in new loans. Q4 2008 revenue was down $23.8 billion. AIG’s insurance division reported a loss of $2.8 billion with premiums down 16.3% to $9.2 billion. For all of 2008, AIG posted a $99.3 billion (37.84) per share loss. In 2007, AIG posted a $6.2 billion ($2.39 per share) profit.
Edward Liddy, AIG chairman and CEO said today, “We have made meaningful progress in addressing liquidity issues related to AIG Financial Products and our securities lending activities and have announced several divestitures,”
Rating agencies today also downgraded AIG as they gave the insurer a negative outlook. Moody’s downgraded AIG SunAmerica’s subsidiaries insurance strength to A1 from Aa3. Fitch Ratings also downgraded AIG preferred securities to BB from A-
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March 3rd, 2009 at 8:04 am
I can't wait for their new commercials. “AIG: Clearly we have no idea what we're doing.”
March 3rd, 2009 at 8:04 am
I can't wait for their new commercials. “AIG: Clearly we have no idea what we're doing.”
March 3rd, 2009 at 4:04 pm
I can’t wait for their new commercials. “AIG: Clearly we have no idea what we’re doing.”