Treasury Dept. Wraps Up TARP Bailout of AIG by Selling Assets to China
The Treasury Department announced on Monday that it would unload its remaining shares of American International Group (AIG), the infamous insurance giant that received $182 billion in bailout money from the Troubled Asset Relief Program (TARP).
As part of the divestment plan, AIG will also sell its aircraft leasing business (ILFC) to a Chinese consortium.
The deal will give China “access to a global network of about 200 airlines in 80 countries.”
According to Reuters, taxpayers that bailed out and now own AIG will lose out in the deal because the $4.8 billion sale is “at a far cheaper price than AIG sought and will lead to a substantial loss.”