posted on Sep, 17 2008 @ 07:07 AM
FACTBOX: Key stumbles in recent AIG history
Below are some key dark days in the 89-year-old company's recent history.
February - Former New York Attorney General Eliot Spitzer and the U.S. Securities and Exchange Commissioner send American International Group
subpoenas about "non-traditional insurance products and certain assumed reinsurance transactions.";
March - Hank Greenberg, who had led AIG since 1967, is forced out as CEO and replaced by longtime lieutenant Martin Sullivan;
May - Spitzer files a civil suit against AIG, saying the company, Greenberg and former chief financial officer Howard Smith, used "deception and
fraud" to inflate the stock's price;
February - AIG settles with SEC and state securities and insurance regulators, agreeing to pay $1.6 billion to resolve claims of improper accounting,
and bid rigging;
August - As the U.S. subprime mortgage crisis worsens, the company tells investors it is "very comfortable" with its exposure;
November - After third-quarter earnings fall 27 percent, the company concedes the subprime mortgage crisis is affecting results;
June - SEC begins probing how AIG valued its credit default swaps, which have emerged as a key weakness in its balance sheet;
June - AIG replaces Sullivan with former Citigroup CEO Robert Willumstad after the company posts the second of two consecutive quarters of record
losses. Total losses from the subprime crisis reach $18 billion, and total write-downs $25 billion
...the rest is all unfolding before our very eyes....