AIG Shares Bounce Modestly on News of Warrant Repurchases from Treasury
11:55a ET March 1, 2013 (Benzinga)
American International Group, Inc. (NYSE: AIG) announced today that itcompleted the repurchase of warrants issued to the United States Department ofthe Treasury (U.S. Treasury) in 2008 and 2009. The warrant issued in 2008provided the right to purchase approximately 2.7 million shares of AIG commonstock at $50.00 per share, and the warrant issued in 2009 provided the rightto purchase up to 150 shares of AIG common stock at $0.00002 per share. AIGand the U.S. Treasury agreed upon a repurchase price of approximately $25million for the warrants. The U.S. Treasury does not have any residualinterest in AIG after AIG's repurchase of these warrants.
“With AIG repurchasing all outstanding warrants issued to the U.S. Treasury,we are turning the final page on America's assistance to AIG,” said Robert H.Benmosche, AIG President and Chief Executive Officer. “We appreciate theopportunities this support allowed and are proud to have returned to Americaevery cent plus a profit of $22.7 billion.”