AIG repays $6.9 billion to bailout program

AP News
Posted: Mar 08, 2011 5:02 PM
AIG repays $6.9 billion to bailout program

American International Group Inc. has paid the federal government nearly $7 billion this week after selling off assets, trimming its financial bailout balance to just under $60 billion.

The Treasury Department says $6.6 billion comes from AIG's sale last week of MetLife Inc. holdings. Another $300 million is from AIG's sale of American Life Insurance Co.

AIG has now paid back $9.1 billion of the $68 billion in bailout funds it received from the government at the height of the 2008 financial crisis.

Treasury owns 92 percent of AIG through its holdings of the company's common stock, which it is expected to begin selling in May. Treasury officials said they expect to recoup the full amount of the bailout.