American International Group, Inc. (AIG) announced today the adoption of a Tax Asset Protection Plan designed to protect AIG’s substantial tax assets. According to the co.’s press release, this plan is similar to tax benefit protection plans adopted by other public companies with significant tax attributes. As of December 31, 2010, AIG had a U.S. federal net operating loss carryforward of approximately $32.3 billion, $27.8 billion in capital loss carryforwards and $4.6 billion in foreign tax credits carryforward.
“This Plan is designed to protect AIG’s valuable tax assets by reducing the likelihood of an unintended ‘ownership change’ through actions involving AIG’s securities,” said Robert S. Miller, AIG Chairman. “The Plan is particularly important as the U.S. Department of the Treasury begins to reduce its position in AIG.”
AIG fell $0.19 to $31.12 in extended trading.