AIG's New Competition Threatens on All Fronts

This story reminds me of the old Laurel and Hardy line which I am not quite sure if I recall exactly. But I believe it went, “This is one fine fix we are in now, Ollie."

AIG has competition from a Greenberg-run company which is siphoning business from AIG and along with it the ability to pay the several dimes which AIG owes the government.

And recently announced pay restrictions on AIG employees will hasten the exodus of AIG employees to the Greenberg entity and that exodus will further damage AIG’s competitive position.

Maybe the operative quote should be the Sir Walter Scott line which goes:

“What a tangled web we weave, when we practice to deceive."

Comments

[peelle:]

10-27-2009

AIG is a rerun of "Weekends at Bernies", but we need to change the title to "Weekends at Barneys".

AIG does have an advantage in pricing with their non-profit government owned status.

However, the red ink AIG is running up with their pricing will eventually turn to blood in the streets and Barney

Oct 27 09:46 AM

[Smalltownba...:]

The Federal Government has no business meddling in the management of private companies, salary caps or otherwise. It will backfire every time. They should regulate business activities, not pay at individual companies.

Oct 27 09:48 AM

[The Geoffster:]

“Mistakes, scandals, and failures no longer signal catastrophe. The crucial thing is that they be made credible, and that the public be made aware of the efforts being expended in that direction. The ''marketing'' immunity of governments is similar to that of the major brands of washing powder.”
- Jean Baudrillard

Oct 27 11:16 AM