AIG Bailout: How American Taxpayers Saved European Banks

Includes: AIG, GS, SCGLY
by: Prieur du Plessis

While the AIG (NYSE:AIG) controversy rages and the enquiry into the bailout gathers momentum, Professor Linus Wilson of the University of Louisiana (via Clusterstock) has put together a helpful chart showing exactly how the bailout was constructed and indicating which banks got how much.

Two things stand out: The Treasury’s overpayment for preferred stock was a crucial part of the bailout, and though Goldman Sachs (NYSE:GS) is usually held up as the bad guy here, SocGen (OTCPK:SCGLY) received $2.5 billion more,

remarked Clusterstock.

Fascinating stuff, especially with American taxpayers coming to the rescue of the European banks!


Source: Clusterstock, January 27, 2010.