NEW YORK (AP) -- Insurer AIG says it is suspending dividends on its common stock.
American International Group Inc., one of the world's largest insurers, was bailed out by the government last week. The government provided an $85 billion loan to AIG, which has been hit hard by liquidity issues amid the ongoing credit crisis. In return for the loan, the government received options to purchase a nearly 80 percent stake in the company.
The insurer had previously paid a quarterly dividend of 22 cents per share.
Shares of AIG rose 17 cents, or 3.6 percent, to $4.89 in afternoon trading.
(Copyright 2008 by The Associated Press. All Rights Reserved.)
To comment, the following rules must be followed:
Comments may be monitored for inappropriate content, but the station is under no legal obligation to do so.
If you believe a comment violates the above rules, please use the Flagging Tool to alert a Moderator.
Flagging does not guarantee removal.
Multiple violations may result in account suspension.
Decisions to suspend or unsuspend accounts are made by Station Moderators.
Links require admin approval before posting.
Questions may be sent to email@example.com. Please provide detailed information.