Watch Live: The Washington Ideas Forum 2014

Fed's $3.6 Billion Planned Cut in AIG's Credit Signals Confidence

Might AIG survive after all? The Federal Reserve appears to believe that the troubled insurer is slowly regaining its strength. The central bank plans to cut its credit line with the firm by $3.6 billion. That might sound bad, but it's actually a sign of confidence on the part of the Fed. Bloomberg reports:

"This means there's little anticipation AIG will need the credit," said Clark Troy, a senior analyst based in Chapel Hill, North Carolina, for Aite Group, a research firm. "It's a step in the right direction in terms of making AIG less dependent on federal aid."

Let's hope, for taxpayers' sake, that AIG does fully recover. If it does, it may eventually pay back the $182 billion bailout.

Read the full story at Bloomberg.

Presented by

Daniel Indiviglio was an associate editor at The Atlantic from 2009 through 2011. He is now the Washington, D.C.-based columnist for Reuters Breakingviews. He is also a 2011 Robert Novak Journalism Fellow through the Phillips Foundation. More

Indiviglio has also written for Forbes. Prior to becoming a journalist, he spent several years working as an investment banker and a consultant.

Things Not to Say to a Pregnant Woman

You don't have to tell her how big she is. You don't need to touch her belly.

Join the Discussion

After you comment, click Post. If you’re not already logged in you will be asked to log in or register.

blog comments powered by Disqus

Video

Things Not to Say to a Pregnant Woman

You don't have to tell her how big she is. You don't need to touch her belly.

Video

Maine's Underground Street Art

"Graffiti is the farthest thing from anarchy."

Video

The Joy of Running in a Beautiful Place

A love letter to California's Marin Headlands

Video

'I Didn't Even Know What I Was Going Through'

A 17-year-old describes his struggles with depression.

Video

Google Street View, Transformed Into a Tiny Planet

A 360-degree tour of our world, made entirely from Google's panoramas

Video

The Farmer Who Won't Quit

A filmmaker returns to his hometown to profile the patriarch of a family farm

Video

Riding Unicycles in a Cave

"If you fall down and break your leg, there's no way out."

Video

Carrot: A Pitch-Perfect Satire of Tech

"It's not just a vegetable. It's what a vegetable should be."

More in Business

Just In