A.I.G. discloses payments to its $1-a-year CEO

Now you know why Libby took a buck in salary...

The American International Group disclosed Thursday that it paid its dollar-a-year chief executive, Edward M. Liddy, compensation worth about $460,000 in 2008 to cover costs he incurred after taking over the company during its emergency rescue by the Federal Reserve.

The company said in a regulatory filing that the payments covered $38,368 for a New York apartment for Mr. Liddy, who lived in Chicago before coming out of retirement to lead A.I.G. through its restructuring. An additional $162,686 was paid for legal counseling, $47,578 to cover commercial airfare between New York and Chicago, and $31,348 for car services.

The company also said it paid $180,431 to reimburse Mr. Liddy for the taxes he owed on those amounts.

The information, which would normally appear in a proxy statement to shareholders, was provided in an amended annual report that the company filed with the Securities and Exchange Commission. A.I.G.’s proxy continues to be delayed.
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