AIG Posts Second Straight Loss; Hancock Lifts Dividend, Buybacks
- CEO announces $5 billion buyback, raises dividend 14%
- Insurer's investment income hurt by results from hedge funds
This article is for subscribers only.
American International Group Inc. posted its second-straight quarterly loss, adding to pressure on Chief Executive Officer Peter Hancock, who lifted the dividend and announced a $5 billion share buyback as he fights demands from activist investor Carl Icahn for a management shakeup.
The net loss was $1.84 billion, or $1.50 a share, in the three months ended Dec. 31 and compares with profit of $655 million, or 46 cents, a year earlier, the New York-based company said Thursday in a statement. The operating loss, which excludes some investment results, was $1.10 a share, missing by 19 cents the average estimate of 16 analysts surveyed by Bloomberg.