Update: What Taxpayers Need To Break Even On A.I.G.

AIG closed barely above $30 today, and 300 million shares won't be easy to place, not with current financials.  Daytrading fools kept AIG too high for too long. Institutions are balking at anything above $27, and that means a loss for Treasury, who now threatens to postpone the offering.

AIG's $9 Billion Offering Could Be Pulled - Reuters

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Source - NYT Dealbook

The Obama administration has said the $130 billion bailout of American International Group could one day produce a profit for taxpayers.

But that could take a while, if it happens at all. On Wednesday, A.I.G. unveiled plans for a stock offering that was much smaller than once expected.

The offering, which will include the sale of 200 million shares by the government and another 100 million shares by A.I.G., would reduce the government’s stake in the insurance giant to 77 percent from 92 percent.

The government spent $47.5 billion buying up more than 1.6 billion common shares from A.I.G. to save the company from collapsing. For the Treasury Department to recoup that investment, A.I.G. must sell the 1.6 billion shares at roughly $29 a share — and that is hardly a guarantee. Still, A.I.G.’s shares did close at $30.65 on Wednesday, up $1.03 for the day.

A.I.G. Outlines Share Sale Plan

Comments

[DailyBail]

Regulator to join Comcast after OK of NBC deal

http://finance.yahoo.com/news/Regulator-to-join-Comcast-apf-3398147638.html?x=0

it never ends...

[DailyBail]

Bin Laden family condemns killing, while wife says one son escaped

http://news.yahoo.com/s/yblog_thelookout/20110511/ts_yblog_thelookout/bin-laden-family-condemns-killing-while-wife-says-one-son-escaped;_ylt=AtsnZNTxXwL3K1GDrnGap1VH2ocA;_ylu=X3oDMTR0c2ZocjVoBGFzc2V0A3libG9nX3RoZWxvb2tvdXQvMjAxMTA1MTEvYmluLWxhZGVuLWZhbWlseS1jb25kZW1ucy1raWxsaW5nLXdoaWxlLXdpZmUtc2F5cy1vbmUtc29uLWVzY2FwZWQEY2NvZGUDZ21wZQRjcG9zAzgEcG9zAzgEc2VjA3luX3RvcF9zdG9yaWVzBHNsawNiaW5sYWRlbmZhbWk-

[DailyBail]

SAN ANTONIO – Smile, Texas schoolchildren. You're on calorie camera.

That's the idea behind a $2 million project being unveiled Wednesday in the lunchroom of a San Antonio elementary school, where high-tech cameras installed in the cafeteria will begin photographing what foods children pile onto their trays — and later capture what they don't finish eating.

http://news.yahoo.com/s/ap/20110511/ap_on_re_us/us_calorie_camera

[DailyBail]

'Maybe he was looking for the bathroom': Family defends Yemeni passenger who stormed cockpit, shouting 'Allahu Akbar' as plane came in to land at San Francisco

Read more: http://www.dailymail.co.uk/news/article-1385083/Rageit-Almurisi-Family-defends-Yemeni-man-stormed-cockpit-San-Francisco-flight.html#ixzz1M6Uj3DRP

[john]

AIG's $9 billion offering could be pulled: sources

http://www.reuters.com/article/2011/05/12/us-aig-idUSTRE7495AL20110512

[DailyBail]

Yemeni Man Yells "Allahu Akbar" While Banging On Cockpit Door

http://www.realclearpolitics.com/video/2011/05/10/yemeni_man_yells_allahu_akbar_while_banging_on_cockpit_door.html

[Josie]

Sure, AIG may be a loser for the taxpayer, but we made $$$ on GM, right? I mean they paid back the loans early, right? I mean they posted huge profits the last few Qs, right?

I still feel good, don't you?