PlanMaestro Posted June 22, 2012 Author Share Posted June 22, 2012 Berkowitz Owns 1/3 Of AIG's TARP Warrants http://seekingalpha.com/article/668281-berkowitz-owns-1-3-of-aig-s-tarp-warrants-and-he-can-t-get-out Does he? I have not done an analysis of his position. Link to comment Share on other sites More sharing options...
gokou3 Posted June 23, 2012 Share Posted June 23, 2012 The World's Most Respected Companies http://online.barrons.com/article/SB50001424053111903882904577478993057727490.html?mod=TWM_pastedition_1#articleTabs_article%3D1 The very bottom of our rankings tend to feature a mix of Chinese and Russian commodity producers that bear the taint of their countries' perceived untrustworthiness in business dealings. Toward the bottom you'll also find the assigned domestic villains of the credit crisis, including Citigroup ©, Bank of America (BAC), and American International Group (AIG). Interesting how these bottom-ranked companies are favourites of this board. ;) Link to comment Share on other sites More sharing options...
mankap Posted June 25, 2012 Share Posted June 25, 2012 Credit Suisse Tops Winners in Latest N.Y. Fed Maiden Lane Sales Credit Suisse (CS, CSGN.VX) bought four of six complex mortgage-debt securities up for auction by the Federal Reserve Bank of New York, according to the New York Fed's website. The assets, which have a total face value of $4.2 billion, were taken on during the 2008 bailout of American International Group (AIG). Read more: http://www.foxbusiness.com/news/2012/06/25/credit-suisse-tops-winners-in-latest-ny-fed-maiden-lane-sales/#ixzz1ypaBEo2k All this money should be going to AIG. Link to comment Share on other sites More sharing options...
Uccmal Posted June 28, 2012 Share Posted June 28, 2012 Yeah, I am thinking Aig is getting alot of cash on the balance sheet. I am wondering when the fed announces the next stock sale. Mind you, having the overhang is keeping volatiliy down in this environment. Bought some AIG.WS yesterday, for the first time. Link to comment Share on other sites More sharing options...
mankap Posted June 28, 2012 Share Posted June 28, 2012 I think the next sale by Fed of AIG equity should come towards end of July or Aug.It could be another 250-300 m shares. By that time sale of MLIII would have been completed. Link to comment Share on other sites More sharing options...
jrallen81 Posted June 28, 2012 Share Posted June 28, 2012 Plan, Is there ever, ever a situation where you have used leverage? I know the warrants are essentially a leveraged investment, but I mean straight up margin leverage. It is the ultimate danger, but does it ever have a place in your opinion? Link to comment Share on other sites More sharing options...
PlanMaestro Posted June 28, 2012 Author Share Posted June 28, 2012 Plan, Is there ever, ever a situation where you have used leverage? I know the warrants are essentially a leveraged investment, but I mean straight up margin leverage. It is the ultimate danger, but does it ever have a place in your opinion? Ericopoly might be the man to ask! Link to comment Share on other sites More sharing options...
ERICOPOLY Posted June 28, 2012 Share Posted June 28, 2012 Plan, Is there ever, ever a situation where you have used leverage? I know the warrants are essentially a leveraged investment, but I mean straight up margin leverage. It is the ultimate danger, but does it ever have a place in your opinion? Ericopoly might be the man to ask! Hmm... at the absolute market bottom it is a good idea to take on a huge margin position. I think the AIG warrants look better than using margin to buy AIG. Link to comment Share on other sites More sharing options...
Olmsted Posted June 28, 2012 Share Posted June 28, 2012 Hmm... at the absolute market bottom it is a good idea to take on a huge margin position. I think the AIG warrants look better than using margin to buy AIG. If I could identify the absolute market bottom, I would use tons of margin... ;) Link to comment Share on other sites More sharing options...
PlanMaestro Posted June 29, 2012 Author Share Posted June 29, 2012 AIG Brand Revived http://online.wsj.com/article/SB10001424052702304830704577495092980975870.html AIG Chief Executive Robert Benmosche told employees in a memo Thursday that the New York company's global property-and-casualty insurance business, currently called Chartis, will be known as AIG starting this fall. Its domestic life-insurance and retirement-services division, SunAmerica Financial Group, will be rebranded AIG Life & Retirement, while other units will add AIG to their logos. .... In an interview Thursday, Mr. Benmosche said AIG's latest rebranding effort will commence in the fall as the company makes more progress toward exiting from U.S. ownership. In the coming months, AIG could raise billions of dollars from selling its remaining stake in pan-Asian life insurer AIA Group Ltd and listing its aircraft leasing unit, International Lease Finance Corp., in an initial public offering. It plans to use the proceeds of these sales to buy back a large amount of shares that the U.S. government will sell. Mr. Benmosche said the Federal Reserve should earn $3 billion to $8 billion in profit from sales of mortgage securities previously linked to AIG, and after Treasury sells all its AIG shares, the U.S. government could collect about a $10 billion profit. [That is good, it means the Treasury plans to exit fast] Link to comment Share on other sites More sharing options...
MrB Posted June 29, 2012 Share Posted June 29, 2012 ... Mr. Benmosche said the Federal Reserve should earn $3 billion to $8 billion in profit from sales of mortgage securities previously linked to AIG, and after Treasury sells all its AIG shares, the U.S. government could collect about a $10 billion profit. [That is good, it means the Treasury plans to exit fast] And the government does not get paid unless we get paid...doesn't happen every day. Link to comment Share on other sites More sharing options...
Kiltacular Posted June 29, 2012 Share Posted June 29, 2012 And the government does not get paid unless we get paid...doesn't happen every day. Classic Link to comment Share on other sites More sharing options...
mankap Posted June 29, 2012 Share Posted June 29, 2012 S&P affirms AIG notes 'A-' rating S&P expects better earnings from Chartis and Sun America in 2012. Its fixed-charge coverage ratio for 2011 was a relatively low 3.0x, but we expect it to improve significantly in 2012, reflecting better earnings from both its Chartis and SunAmerica operating units. Through the first three months of 2012 fixed-charge coverage was about 6x. http://www.reuters.com/article/2012/06/28/idUSWNB194820120628?feedType=RSS&feedName=rbssFinancialServicesAndRealEstateNews&rpc=43 Link to comment Share on other sites More sharing options...
Uccmal Posted June 30, 2012 Share Posted June 30, 2012 I see AIG just issued 750 M of notes, above par, with a yield of 4.75%. That is awfully cheap money. http://community.nasdaq.com/News/2012-06/aig-issues-notes-worth-750m-analyst-blog.aspx?storyid=152420 Link to comment Share on other sites More sharing options...
MrB Posted July 3, 2012 Share Posted July 3, 2012 Analysts: AIG to See up to $5.8B from Maiden Lane III Securities Sales http://www.propertycasualty360.com/2012/07/03/analysts-aig-to-see-up-to-58b-from-maiden-lane-iii Link to comment Share on other sites More sharing options...
PlanMaestro Posted July 5, 2012 Author Share Posted July 5, 2012 AIG undermines US mortgage refinancing http://www.ft.com/intl/cms/s/0/0f6bffe4-c5f7-11e1-b57e-00144feabdc0.html#axzz1ylM8YU9T AIG, the insurer bailed out by the US authorities, is frustrating attempts by US homeowners to refinance their government-backed mortgages, according to politicians and Obama administration officials. Unlike its rivals, AIG’s mortgage insurer is refusing to automatically waive its right to pursue lenders for misrepresenting the quality of loans that may default. That in turn has put the brakes on some refinancings of AIG insured loans, according to industry officials. A review of the five biggest mortgage insurers by the Financial Times shows that borrowers with AIG insured loans have been the least likely to benefit from a US government refinancing programme. .... About 27,000 mortgages insured by United Guaranty have been refinanced under Harp since it launched in mid-2009, the lowest number among the top five US mortgage insurers. It has refinanced loans worth $5.3bn under Harp, equal to 23 per cent of its exposure to government-backed loans as of mid-2009. MGIC, Radian, Genworth and PMI Financial – United Guaranty’s rivals – have all refinanced mortgages of value equal to at least 25 per cent of their exposure. For Radian and Genworth the figure is closer to 33 per cent. AIG’s rivals all agreed to automatically waive many of their rights to challenge payouts should loans refinanced under Harp default. Link to comment Share on other sites More sharing options...
vinod1 Posted July 10, 2012 Share Posted July 10, 2012 Nygren on AIG - http://www.oakmark.com/opencommentary.asp?commentary_id=644&news_from=c&fund_id=1 American International Group (AIG-$32) AIG is a large insurance company operating in both property and casualty (Chartis) and life (SunAmerica). It is a poster child of the financial crisis, having required over $180 billion in government aid, and the government still owns over half of its outstanding shares. While the rescue measures still dampen its current valuation, we believe AIG has made remarkable progress under the leadership of CEO Robert Benmosche. The government loans have been completely repaid, and the stock currently trades above the government’s breakeven point of $29. Two years ago, we found it almost impossible to estimate the value of AIG’s equity. The analysis involved guessing at proceeds from sales of businesses and valuing large, opaque, levered loan portfolios. Today the analysis is the same as it would be for any insurer: What is its future earnings outlook? How good are its reserves? How will its capital be invested? Chartis went through a difficult period of writing unprofitable business just to grow revenues. That has stopped, and we believe that for the past several years Chartis has focused on only writing profitable business even if growth suffers. Reserves have been boosted to a level that we think is consistent with other high-quality insurers. Capital is being invested primarily in share repurchase -- with AIG selling at just over half of book, this is nicely accretive to the company’s per-share book value. We believe that AIG should earn over $3 per share this year and is on track to earn in excess of $5 per share within a few years. We believe that AIG is priced as if its future looks like its past. We expect the current discount to other insurers will diminish as the memory of the financial crisis fades. Link to comment Share on other sites More sharing options...
mankap Posted July 11, 2012 Share Posted July 11, 2012 Are they giving $32 as target price Link to comment Share on other sites More sharing options...
CONeal Posted July 11, 2012 Share Posted July 11, 2012 Are they giving $32 as target price $32 is the price at qtr end. The other companies discussed were similar. Link to comment Share on other sites More sharing options...
Uccmal Posted July 11, 2012 Share Posted July 11, 2012 Aig is hovering around 31. The next fed sale price? Q: Can Aig buy shares from the fed during an earnings blackout period which would be from end of Q2 to earnings release at the end of July? Link to comment Share on other sites More sharing options...
PlanMaestro Posted July 11, 2012 Author Share Posted July 11, 2012 http://greatinvestors.tv/video/why-aig-is-once-again-an-attractive-investment-dave-sather-p.html Link to comment Share on other sites More sharing options...
gokou3 Posted July 12, 2012 Share Posted July 12, 2012 New York Fed's Maiden Lane Sales Top $27 Billion http://online.wsj.com/article/SB10001424052702304373804577523034174474046.html They bring total sales from the vehicle known as Maiden Lane III to about $27.5 billion in face value this year and reduce the remaining portfolio to about $18.7 billion. And another $12B face value of securities is up for grabs by end of July: http://www.newyorkfed.org/markets/ml3_sec_offerings.html Complete wind down by end of August? Link to comment Share on other sites More sharing options...
PlanMaestro Posted July 12, 2012 Author Share Posted July 12, 2012 I do not remember this Benmosche interview being posted before http://www.bloomberg.com/video/94023205-aig-will-continue-to-expand-globally-ceo-says.html Link to comment Share on other sites More sharing options...
BargainValueHunter Posted July 14, 2012 Share Posted July 14, 2012 CNBC Head Cheerleader Maria Bartiromo and Eliot "Client 9" Spitzer battle over AIG, Greenberg and what actually constitutes fraud... http://video.cnbc.com/gallery/?video=3000102873 Link to comment Share on other sites More sharing options...
mankap Posted July 16, 2012 Share Posted July 16, 2012 AIG has been paid its equity and Interest as per Fed release today. This means probably they already got $5.6B and still will get 1/3rd of the gains.I think what this 1/3 portion would be is still a mystery.As I understand Fed has already listed $12B for sale starting this week.AIG can get $1-3B or maybe more. http://www.newyorkfed.org/markets/maidenlane.html Link to comment Share on other sites More sharing options...
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