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AIG Explores Joint Venture with PICC Group and PICC Life

  AIG Explores Joint Venture with PICC Group and PICC Life

Business Wire

NEW YORK -- November 22, 2012

On November 21, 2012, American International Group, Inc. (“AIG”) (NYSE: AIG),
The People’s Insurance Company (Group) of China Limited (“PICC Group”) and
PICC Life Insurance Company Limited (“PICC Life”) entered into a non-binding
term sheet with respect to the proposed establishment of a joint venture
insurance agency company between AIG and PICC Life (the “Joint Venture”) that
plans to distribute life insurance and other insurance products through a
specialized agency force on a nationwide basis with a focus on major cities in
China and to engage in reinsurance and other related business cooperation.

In addition, AIG has agreed to subscribe for approximately US$500 million
worth of H shares of PICC Group in its initial public offering in Hong Kong.
AIG has agreed not to dispose of more than 25 percent of such shares without
PICC Group’s prior consent for a period of five years, except that AIG will be
permitted to sell all of its H shares without such consent after six months if
definitive legal documentation for the proposed Joint Venture has not been
executed by May 31, 2013 or upon the occurrence of certain events in
connection with the proposed Joint Venture.

AIG currently owns approximately 9.9 percent of PICC Property and Casualty
Company Limited, a subsidiary of the PICC Group with publicly listed shares in
Hong Kong.

This press release contains “forward-looking statements” within the meaning of
the Private Securities Litigation Reform Act of 1995. In particular, no
assurance can be given that the Joint Venture or AIG’s purchase of H shares of
PICC Group will be consummated or, if consummated, regarding the terms
thereof. These forward-looking statements are not historical facts but instead
represent only AIG’s belief regarding future events, many of which, by their
nature, are inherently uncertain and outside AIG’s control. Except for AIG’s
ongoing obligation to disclose material information as required by federal
securities laws, AIG is not under any obligation (and expressly disclaims any
obligation) to update or alter any projections, goals, assumptions, or other
statements, whether written or oral, that may be made from time to time,
whether as a result of new information, future events or otherwise. Factors
that could cause these forward-looking statements to differ, possibly
materially, from that currently contemplated included the factors set forth in
AIG’s filings with the United States Securities and Exchange Commission.

American International Group, Inc. (AIG) is a leading international insurance
organization serving customers in more than 130 countries and jurisdictions.
AIG companies serve commercial, institutional, and individual customers
through one of the most extensive worldwide property-casualty networks of any
insurer. In addition, AIG companies are leading providers of life insurance
and retirement services in the United States. AIG common stock is listed on
the New York Stock Exchange and the Tokyo Stock Exchange.

AIG is the marketing name for the worldwide property-casualty, life and
retirement, and general insurance operations of American International Group,
Inc. For additional information, please visit our website at www.aig.com. All
products and services are written or provided by subsidiaries or affiliates of
American International Group, Inc. Products or services may not be available
in all jurisdictions, and coverage is subject to actual policy language.
Non-insurance products and services may be provided by independent third
parties. Certain property-casualty coverages may be provided by a surplus
lines insurer. Surplus lines insurers do not generally participate in state
guaranty funds, and insureds are therefore not protected by such funds.

Contact:

American International Group, Inc.
Media
Jon Diat, 917-239-9241
jon.diat@aig.com
or
Jim Ankner, 917-882-7677
james.ankner@aig.com
or
Investors
Liz Werner
elizabeth.werner@aig.com