American International Group Inc. (NYSE: AIG) may have yet one more rabbit to pull out of the hat that could pay back the American taxpayers who funded its bailout during the financial meltdown. CNBC first reported it and others have added more, but the insurance giant appears to be planning an initial public offering for its International Lease Finance Corporation unit.
The plane leasing unit is now expected to have a valuation of $6 billion to $8 billion. AIG is continuing to take efforts that will work towards getting the U.S. taxpayer paid back. CEO Robert Benmosche even appears to be poised to stay on longer now that his cancer treatments seem to be under control.
Today’s news is helping AIG shares rally with a 1.7% gain on a day when the DJIA and the S&P 500 Index are each down by more than 1% after weaker economic data and more irreverent worries that no more forms of quantitative easing will come from Ben Bernanke and friends at the Federal Reserve.
AIG shares are up 1.7% at $31.41 and shares even traded as high as $31.71 on the day. In fact, today’s high appears to be the highest share price since last May. AIG’s 52-week trading range is $19.18 to $35.57.
JON C. OGG