The shorts would like you to believe that this deal is the same as Freddie Mac & Fannie Mae. Wrong the Feds siezed and took over FNM & FRE thats not the case here.
The confidence in AIG management to execute a plan that will ensure AIG survival was zero after 0 --- stock tanked!!! hahaha
We will see in the morning. You can give the bad gambler a Billion dollars but in the end he will lose it. hahaha
Feds will give the shares back to AIG in exchange for cash when they sell off their assets.
No way will AIG give the feds cash and keep the shares.
So this is just temporary.
If shorts don't cover now, they risk AIG worth more in the future. At $2, this is the cheapest its ever going to get.
Thats what i am trying to tell from long. FNM and FRE are takeover by govt. AIG is a loan. If you take a loan on house.. does that mean you cant stay in house.
what is bridge loan read here all shorts