Earlier this week, Troubled Asset Relief Program’s inspector general Neil Barofsky issued a report noting that the Treasury's estimate that it will lose $5 billion on its AIG TARP investment “represents a dramatic shift from the $45 billion loss that Treasury had projected in its AIG investment just six months earlier." Barofsky went on to say that “while AIG’s fortune may have indeed improved during the course of those six months, there is a serious question over how much of this decrease comes from a change in Treasury’s methodology for calculating the loss as opposed to AIG’s improved prospects.” Some people did not like that. This morning, the White House took it its blog to respond. These are its best moments, starting with the first line:
* Some people just don’t like movies with happy endings.
* How else to explain this week’s report by the Office of the Special Inspector General for the Troubled Asset Relief Program (SIGTARP)?
* SIGTARP instead sought to generate a false controversy over AIG to try and grab a few, cheap headlines.
* The math isn’t that complicated. It’s simple multiplication.
* All of this financial talk can get complicated.
* ...here’s the bottom line: Any truly independent observer would say that Treasury’s stake in AIG will be worth more than taxpayers originally invested in that company.
The Facts On AIG [White House Blog]