Posted: Aug 18, 2011 2:42 PM by Gene Cotton
Updated: Aug 18, 2011 2:44 PM
WASHINGTON (AP) - American International Group Inc. has paid the federal government $2.15 billion this week after selling off a life insurance subsidiary, trimming its financial bailout balance to roughly $51 billion.
The Treasury Department says the repayment comes from AIG's sale of its Nan Shan subsidiary. AIG has now paid back $11.4 billion of the $68 billion in bailout funds it received from the government at the height of the 2008 financial crisis.
The government sold 200 million AIG shares in May. That trimmed the government's stake in the company from 92 percent to 77 percent. Treasury officials have said they expect to recoup the full amount of the bailout.