I weep for this country.

AIG: How It Spent Your Tax Money

You sir, are an idiot and your lack of information makes your remarks recksless. First of all, the Fed didn't bailout AIG, more like they raped them. They took an 80% interest in the company without giving the shareholders a vote, sounds like a socialist country doesn't it?! Next, you don't understand the loan facility. An 85 billion dollar line of credit or loan facility is what was intially given to AIG to be paid back at a loan sharks vig of 8.5 plus libor (that is about 12.7 right now) giving AIG no incentive not to take the the entire amount. All AIG needed was a bridge loan, instead the government took everything. Of that 85 billion, AIG has taken about 69 billion only to offset the balance sheet (due to market to market accounting) there have been no realized losses. AIG has more than enough assets to pay back the loan, the problem is they will no sell valuable assets in a fire sale but rather are waiting till there is a better market. Plus, pursuant to the bailout and market to market being relaxed they may be able to recover that 69 billion without any sales. Next, the second facility was not a loan, rather the government simply swapped positions with banks that were calling in their interest in life insurance securities. The FED didn't loan more money they just switched positions with banks that couldn't afford to be in that position any more due to liquidity issues. Thus, to report that AIG was loaned 122 billion is inaccurate and dangerous. Lastly, these wild spending conferences are held across the industry to wine and dine your best clients, every good insurance company does it, that is how you bring in the billions of dollars AIG does. By dispariging AIG all you are doing is putting 130 thousand American jobs at risk and causing the best AMerican company to lose clients and talents to foreighn insurance companies in Europe. Those that can afford to have christmas parties and catered affairs to boost morale, keep talent and clients without idiots like you misreporting information!!!!!!!