LEHMAN BROTHERS: AIG NEXT?
5, 000 jobs have been lost in London directly through the thousands of miles away Lehman Brothers Chapter 11 protection filing in the US. In the fallout AIG (American International Group Inc.) is struggling due to its huge stake in Lehman Brothers, it share price is in freefall, and it is looking for at least 40 billion British Pounds in bridge loans. So which way for the worlds largest insurer? What about Manchester United shirt sponsors' satellites around the world?
AIG estimated a one-notch downgrade by both S&P and Moody's Investors Service would force it to post $13.3 billion in extra collateral to cover swaps, according to a regulatory filing.
Another ratings agency, Fitch Ratings, on Monday night cut its longterm issuer default rating for AIG to "A" from "AA-."
Lehman Brothers was an investment bank and most of its clients were corporate, as Alan Greenspan says its just the beginning, there may be more casualties caught up in the complicated global investment(s) fray, too many loans were given, too many loans were taken. Global economy question marks set in. Who next? Asia?| Telegraph.co.uk |
NY allows AIG to borrow from subsidiaries
Talk of job security! We are never ever really safe as employees, are we?
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