The AIG case continues to make headlines in the USA. White House economic advisors are voicing their indignation after the announcement of 165 million USD being disbursed in bonuses by the insurer for the benefit of the officers in charge of its financial operations, the very ones behind its historic losses of 99.3 billion USD in 2008, characterizing the move as a scandal.
Rescued from bankruptcy thanks to the tens of billions of dollars in bail-out by the American government, AIG has unveiled a breakdown of the 85 billion USD bail-out plan by referring to the payment of its debts to several American and foreign banks. Among key beneficiaries of these repayments, we note American Goldman-Sachs (12.9 billion USD) and Merrill Lynch (6.8 billion USD) along with three other European banks: Société Générale (11.9 billion USD), Deutsche Bank (11.8 billion USD) and Barclays (8.5 billion USD).
Edward Liddy, AIG's Chairman has asked officers who received controversial premiums to return at least half of it. On the other hand, according to the American authorities, AIG will have its name changed and will be dismantled in four years' time.
