[longtermmemmory]

we bought 80% of AIG at a severe low.

it was depressed in part by short selling which is now suspended.

rather than knee jerk perhaps we should be looking to see how we are going to make a profit.

THink RTC.

[rodguy911]

Problem is I signed up with the govt. that seals borders, wins wars, does the basics of govt., not plays fast and lose in high finance. That wasn't the govt. I signed up for.

When businesses do well and make money, shareholders benefit. When things go the other way shareholders lose., To change that equation and we are head in the wrong direction IMHO.

But as I said yesterday I am not an economist/financier nor do I play one on TV.

[aligncare]

You are right. Tax-payers stand to make a profit if history is any indication.

[LiveFree99]

If AIG was such a gosh-darned bargain, why didn’t some other private entity make a deal for it? Why did Uncle Sap have to pick up that garbage company?

[Sunnyflorida]

Buying AIG is likely going to be a good deal for the tax payer.

It was an $85B 79.9% convertable preferred at 12% and subs all the debt. The Treasury can dump all the paper back on the counterparties and sell off the insurance companies at a profit. If I had $85B and power to sub the debt. I would do this deal also.

It is a great trade.

Saving MSH, GSH, and MER or allowing them to merge with FDIC insured entities is a huge mistake and probably a NYC area jobs bill.

[Candor7]

I also have a position in AIG, bought it before its low, but then it is likely to come back a lot higher than it was before, much to the chagrin of our socialist lieral A$$HAT utopian Democrats, who believe that risk taking and profit taking are unconscionable. Should be outlawed Ya Know!!( He He!).