American International Group, Inc. (AIG) announced that it had paid in full the liquidation preference and accrued return on one of the special purpose vehicles (“SPVs”) created as part of the government’s assistance to AIG and made a substantial payment on the preferred interests in another SPV. In addition, approximately $300 million previously held for costs and expenses by the ALICO SPV has been paid to the Treasury, bringing the total amount of funds paid to the Treasury to $6.9 billion.
With that payment, the Treasury said it has now recuperated 70% of the $411 billion distributed under TARP.
AIG gained 22 cents to $37.32 in extended trading. The shares, up 27.49 percent this year, increased to $37.65 earlier today on the New York Stock Exchange.