The Hindu Business Line : AIG to sell three Japanese life insurance units

As part of its effort to pay off a massive US government loan, AIG has decided to unload Alico Japan, AIG Edison Life Insurance Co, and AIG Start Life Insurance Co, the company said in a statement.

On the brink of failure last month, AIG was bailed out when the government offered it an $85 billion loan during the ongoing credit crisis that saw Lehman Brothers Holdings Inc. file for bankruptcy protection and the sale of Merrill Lynch & Co to Bank of America Corp. In return for the loan, the government received warrants to purchase up to 79.9 per cent of AIG.

AIG said on Friday in New York that it would sell a number of business units around the world, though it did not specifically disclose all the assets being considered for sale or their expected prices.

A number of overseas life insurance companies are believed to be interested in buying the three Japan subsidiaries, according to the Nikkei financial daily. AIG's Japan unit said it will retain its casualty insurance operations, in line with the comp any's overall plan to refocus on its core property and casualty insurance businesses.

Prev: Rupee down 24 paise against dollar
Next: World Bank's funding for energy projects rise to $2.7 b

Business Line | NUS Index |


Related Topics Books Browser's Corner Cinema Domestic Travel Entertainment & Leisure Fitness First Food & Cuisine Gender Health International Travel Lifestyle People Radio/TV Showbiz Social Welfare