Treasury Dumps Remaining AIG Shares
by Ian Smith |
The U.S. Department of the Treasury announced that it today received payment from its final sale of AIG common stock. With the proceeds received today, the Treasury and the Federal Reserve have fully recovered the combined $182.3 billion they committed to stabilize AIG during the financial crisis – with an additional $22.7 billion positive return.
On December 11, 2012, Treasury announced that it had agreed to sell its remaining 234 million shares of AIG common stock at $32.50 per share – the $7.6 billion in proceeds from which it received today.
Treasury now owns zero shares of AIG common stock, down from 1.655 billion shares (92 percent of outstanding common stock) in January 2011. Over the last two years, Treasury has conducted six public offerings of AIG common stock through which it sold 1.655 billion shares at an average price of $31.18 per share.
After today’s transaction, Treasury will continue to hold warrants to purchase approximately 2.7 million shares of AIG common stock – the sale of which will provide an additional positive return to taxpayers.
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