AIG Closes Two Asset Sales

Sales of AIG Life of Canada and Hartford Steam Boiler total approximately $1 billion.

AIG has completed the sale of two business units. On Wednesday, April 1, the company finalized the sale of AIG Life of Canada to BMO Financial Group for approximately $236 million. The previous day, AIG closed the sale of Hartford Steam Boiler to the Munich Re Group for $739 million, plus the assumption of $76 million of outstanding HSB capital securities, according to an AIG source.

"Despite highly adverse market conditions, AIG is working tirelessly to execute an orderly and effective asset disposition plan to repay the U. S. government," said Ed Liddy, Chairman and CEO, AIG. "In the past few months, we have reached agreements on the sale of 10 businesses. Several other transactions are under discussion, and we continue to evaluate how best to assure the continued strength and success of all of AIG's businesses for the benefit of all AIG stakeholders."

Anthony O'Donnell has covered technology in the insurance industry since 2000, when he joined the editorial staff of Insurance & Technology. As an editor and reporter for I&T and the InformationWeek Financial Services of TechWeb he has written on all areas of information ... View Full Bio