US Treasury to sell more of AIG

The US Treasury plans to sell a large piece of its stake in American International Group (AIG) in two stock offerings next year. It would sell any remaining stock in AIG in 2012. The government will own 92.1 per cent of AIG after a recapitalisation plan closes by the end of first quarter, and perhaps as soon as 31 December. The sale would mark a major step in getting the government out of its investment in AIG, which received a $182.3bn (£117.9bn) bailout package during the financial crisis. The stock sale will help the government make a profit on the bailout if the offering is roughly $30 per share or higher. The Treasury’s stake is now worth about $90bn. It spent $49.1bn for that stake.