Struggling AIG Unit Sells off $1.6 B of MBS Holdings At a Discount to Pay Off Debt, Maintain Funding
July 24, 2009
American International Group’s consumer lending unit, losing access to some of its usual sources of funding and moving to pay down some debt, is selling off approximately $1.6 billion of mortgage-backed securities at a very deep discount to Credit Suisse and to Private National Mortgage Acceptance Co., a newly formed entity. American General Finance Corp., AIG’s subprime business...