AIG Announces Agreement to Terminate Swap Agreement with Brookfield Asset
NEW YORK -- August 26, 2013
American International Group, Inc. (NYSE:AIG) today announced that it has
agreed to the consensual termination of an interest rate swap agreement with
Brookfield Asset Management, Inc., in exchange for the payment from Brookfield
to AIG of $905 million.
This swap agreement was part of the remaining derivatives portfolio of AIG
Financial Products ("AIGFP") and carried on AIG’s June 30, 2013 balance sheet
at $900 million, and the settlement is not expected to have an impact on AIG’s
profit or loss. This swap agreement was subject to previously disclosed
litigation which the parties have agreed to dismiss. Additional information
regarding this litigation was contained in AIG’s Quarterly Report on Form 10-Q
for the quarter ended June 30, 2013. The proceeds of the settlement are
expected to contribute towards the continued wind down of the remaining
derivatives portfolio of AIGFP, which is a part of Global Capital Markets.
Certain statements in this press release constitute forward-looking
statements. These 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. It is possible that actual
results will differ, possibly materially, from the anticipated results
indicated in these statements. Factors that could cause actual results to
differ, possibly materially, from those in the forward-looking statements are
discussed throughout AIG’s periodic filings with the SEC pursuant to the
Securities Exchange Act of 1934.
American International Group, Inc. (AIG) is a leading international insurance
organization serving customers in more than 130 countries. 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.
Additional information about AIG can be found at www.aig.com | YouTube:
www.youtube.com/aig |Twitter: @AIG_LatestNews | LinkedIn:
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 countries, 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.
American International Group, Inc.
Jon Diat, 212-770-3505
Liz Werner, 212-770-7074
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