A Buyer For Executive Life
On Aug. 6, four months after seizing Executive Life Insurance of California, state Insurance Commissioner John Garamendi signed an agreement to sell Executive Life's policies and other assets to a French group led by Paris-based insurer MAAF. At the same time, Garamendi sold Executive Life's junk bonds to Altus Finance, an investment arm of Credit Lyonnais, for $2.7 billion. At a press conference announcing the transactions, Garamendi also confirmed that the U. S. Justice Dept. is investigating Executive Life's pre-seizure business practices.