Poor management is what got AIG in the pickle in the Beginning, management is showing,
its poor decision making agian, i am selling my AIG stock,
maybe the US government will make them pay for the law suit since its frivolous.
your selling your share because the company's management team is sticking up for you (its shareholder). Think of how much money you could have made if the government didn't regulate 92% and hold everyone hostage.
The whole lawsuit is by a former executive not currently on the management board. From a legal perspective it is not directly tied to aig. Why can't you short sellers read stop and think about what your saying!?
Sentiment: Strong Buy
Government bought 92% of the shares. That made them, by a large margin, the majority owner. Government also was the regulating authority. So they should have bought out the company, then not regulated it? Or should they have regulated it, and not bought it out?
I personally prefer the latter of the two options, but since they did, and they put forward $186 billion to save the company, I tend to give them a little benefit of the doubt in how things are done. To say they fork over $186 billion, then step back and simply get out of the way is unrealistic. The shareholders were going to be screwed either way. The company almost imploded. To believe you are going to escape without any harm from a situation like that is also unrealistic. That is the realities of investing.
Personally, I would sell simply for the image it projects. The American public is already fed up with AIG for the bailout. Now the image of it biting the very hand that pulled it out of the fire will totally turn public opinion against AIG for a long time, which would undoubtedly hurt business as well. People wont use and insurer that they hate.
Hopefully the board wises up and puts this to bed. I believe the stock will fall hard if they sue.
Give me a break the government did not bail out AIG from the goodness of their heart. They went in and took over with zero reguard for the share holders so their buddies at goldman got paid 100 cents on the dollar. Did you forget what the government did to the bond holders of GM? They screwed them royaly without any reguard for due process. The government deserves to be sued . Sell your shares and good ridence!
I'm not selling, yet. But if they sue, I will. What an ungrateful company to even consider this. You expect the government to come in and bail you out of a losing situation, and then bend over for you too? AIG was in NO position to negotiate the terms of the bail out. If you ask me, they got a good deal, with a float of $186 billion to pull them out of the drink. Now, in the middle of saying "Thank You, America!", you want to say #$%$ Government" at the same time and sue the very thing that kept you alive?
Greenberg's lawsuit has already been thrown out of court. AIG will kill any hopes of crawling back to the good graces of the public if it does this. First word of a lawsuit and I'm selling, lock, stock, and barrel.
If you read the articles carefully, the board is threading a needle. I don't think they want to join Hank's lawsuit, but they have a legal obligation to protect the shareholders financial interests. They could be sued for failing to do so and the board knows it. This is not bad management- just a no-win situation. My question is to what degree Hank's lawsuit would benefit current shareholders vs those of 2009? I could live with a little acrimony if current shareholders got some of the settlement. But I doubt that is the case. From my perspective, this lawsuit is all bad for AIG. We're just beginning to build some good will and this is poisoning it. Your shoot-from-the-hip response proves as much.