AIG Selling Assets And Restructuring Its Business

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As long as we're broadening the storyline tonight from the narrow Lehman Brothers collapse, we might as well note that the Wall Street Journal is reporting that AIG is going to announce a restructuring on Monday morning.

AIG's management team was scrambling on Sunday afternoon to cobble together the plan and present it to the insurer's board for approval, the people said. The insurer, which has already raised $20 billion in fresh capital so far this year, was also in discussions with several private equity firms about a capital injection and hoped to raise more than $10 billion, the people said.
AIG considered selling or spinning off the aircraft-leasing arm -- International Lease Finance Corp. -- earlier this year but decided in June to keep it. Since then, AIG's position has deteriorated, however, making a disposal more likely.

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