AIG Rescue at Hand: Government to Take 80% Stake in Exchange for $85 Billion

Check out the Insurance Journal article about AIG – I commented on the article and here is a recap:

I cannot believe they are getting a bailout for being irresponsible! They screwed up and now are going to screw many of us out of more money in the form of $85,000,000,000 – that is what $85 Billion looks like… not so nice when you write it with all the zeros, eh?

They have been buying business in my State (Texas) on the P&C side with total disregard for their loss ratios and in effect making it VERY difficult for companies who are trying to improve their loss ratios to win business – but I guess they don’t have to worry because the government will just bail them out… total B.S.!

They should be allowed to go the way of the dinosaur and let companies that ARE responsible earn their book as it disintigrates… why would we “bail out” a company which has proven that it only knows how to mishandle the funds that have been entrusted to it… I totally don’t buy the, “They’re too big to fail.” balony! Nobody and NOTHING is too big to fail… they fail if they deserve to, ESPECIALLY if they have done the things that this company has chosen to do!

This whole situation SUCKS!  What do you think?

6 Responses to AIG Rescue at Hand: Government to Take 80% Stake in Exchange for $85 Billion

  1. Jay September 17, 2008 at 10:47 am #

    I agree. This is utterly ridiculous. Why should we, the tax payers, bail out PRIVATE companies that are irresponsible? If a small business owner is irresponsible and his/her business fails, there is no one there to bail them out.

    In addition, there should be absolutely NO golden parachutes or payouts for these executives/directors who have failed in their capacity. It’s a slap in the face plus a kick in the nuts when we have to pay for their mistakes while they are walking away with multiple million dollar severance packages.

  2. Shawn September 17, 2008 at 2:39 pm #

    I blogged on AIG rescue too. CStop on by and check me out. And, if you have myspace, please friend me at

    http://www.myspace.com / sophisticatedndetermined

    Thanks kindly,

    Shawn

  3. Mark September 17, 2008 at 10:12 pm #

    Hey guys – thanx for your comments :) But JJ – I think you should tell us how you really feel *grins*

  4. Shawn September 18, 2008 at 8:23 am #

    Thanks for the comment buddy..:-)

  5. Gaming Systems September 18, 2008 at 10:04 am #

    The U.S. Government is spending billions of dollars on bailing out these companies and in the meantime, small business owners have to contend with the same economic downturn and have no relief in sight. Individuals are losing their homes at an alarming rate and I don’t see any government officials coming to my house to help me with my mortgage. My sister just announced this week that she’s going into foreclosure and despite the fact that the government is helping the major players in the mortgage industry, the banks won’t re-negotiate loans to be more affordable for people in these tough economic times. It really and truly sucks. I do do quite a bit with just .01 percent of that AIG deal, for real!

  6. Mark September 18, 2008 at 11:32 am #

    GS -> Yep – Totally agree! I think that the whole thing is bullshit from start to finish – and if you read the headlines this morning, the rating entities are not going to penalize AIG by lowering the rating – they will lower some of the subsidiaries ratings but not the mother company… it just seems to get worse day by day…

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