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AIG execs went on an $87k partridge hunt

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Lifer
Jun 3, 2002
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Originally posted by: BoberFett
Originally posted by: eskimospy
Originally posted by: BoberFett
Originally posted by: eskimospy
Originally posted by: BoberFett
Originally posted by: eskimospy

The government will get 100% of its money back through the orderly sale of AIG assets. Since we the people aren't losing a dime, is this sort of thing really a big deal?
You're pretty naive.
Well that's a well thought out argument. The government now has warrants to acquire an 80% ownership stake in AIG. I sincerely doubt that the assets of a company worth a trillion dollars will lose 90% of their value. This would be the only circumstance in which the government would not recoup its investment.
Sell to who? If they were worth anything they'd have been snatched up already. Not to mention, the whole point of the bailout was supposedly liquidity. What exactly will parceling out the profitable bits and pieces of AIG do for market liquidity?

As I said, you're naive and will believe anything the talking heads tell you.
From watching you post about this and other economic issues I'm pretty sure you just don't know what you're talking about. The entire point of loaning AIG the money is so that they don't have to pull a fire sale and sell these assets at far below their value. So, sell to whomever a year or two down the road when assets are more easily and realistically priced. The purpose of this loan is to prop up liquidity in the short term, so I fail to understand what selling off assets two years from now (as per the terms of the loan) has to do with that.

This is a no brainer. You might think I'm naive, but I think you're ignorant.
So you think any economic problems we have now will be long forgotten within two years? Talk about ignorant...
You're out of your league in this debate I'm afraid. Two years from now the entire economic landscape could be different and AIG's various assets could quite feasibly look far more attractive. Business cycles 101.
 

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