Egg

America Buys AIG

I don't think the preferred were bailed-out. It said the government has a right to veto any dividend to them. Only the debt holders were bailed-out completely it seems.

As far as the common, that leaves 13.5B shares outstanding which will lead to what market cap?

From my perspective, this seems like the govenment has a chance to make out very well on this deal from a communist/capitalist point of view. They are the only ones able to come up with the 85B and if AIG survives, then there 80% shares will be worth a LOT...in addition to getting repaid the 85B.

Kinda like when that Saudi back in the 90s bailed-out C

AIG Bailout: Over to Congress

The text statement I read said the loan is for 24 months, which should not force AIG into a "low-grade fire sale."

The 80% warrants should mean there are now around 13.5 B shares outstanding.

All the details are not out yet, but if the above is true, then it would seem AIG common should still trade tomorrow at around $2 (plus or minus 50 cents)