Wednesday, February 25, 2009

AIG stock dives; Metlife eyes AIG


American International Group (AIG Quote - Cramer on AIG - Stock Picks) shares came under further pressure Tuesday as reports circulated that the insurance giant plans to post a massive loss and may liquidate assets or seek further government aid to stay afloat.

The New York-based insurer's stock dropped 13 cents, or 25%, to 40 cents in afternoon trading. A year ago, before the government's emergency rescue of the firm, AIG shares traded above $50.

Several outlets reported on Monday that AIG planned to announce up to a $60 billion loss the following week, and was seeking additional assistance from the government. Such a loss would likely trigger more ratings downgrades, forcing the firm to put up more cash as collateral for its debt obligations.

Read on.

1 comment:

airJackie said...

AIG's stock was 52 dollars a year ago today it's .53 cents per share. Looks like another country will move in and take over.