Treasury Department
U.S. could profit by $15.1 billion from AIG bailoutPosted by RJ and Makay on May 08, 2012 |
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The U.S. government may eventually make $15.1 billion in profit as a result of the 2008 bailout of American International Group (AIG), according to a new estimate by the Government Accountability Office (GAO). The news came amid a Treasury Department announcement Monday that it has agreed to sell $5.8 billion worth of AIG shares, reducing the government’s ownership from 70% to 61%.
The U.S. Treasury Department announced recently that it would facilitate the expansion of annuities and other guaranteed lifetime income products for retirement plans. The department has put forward two regulations that will make it easier to purchase an annuity through company-funded pensions or 401(k) accounts. Annuities pay out guaranteed lifetime income streams in exchange for a lump sum up-front payment.
Fitch Ratings announced Tuesday that it was keeping the United States’ long-term credit rating at AAA with a stable outlook. Citing the “exceptional creditworthiness” of the U.S., Fitch said it maintained the coveted AAA rating because of the country’s ability, with its broad and diverse economy, to withstand economic shocks. After the announcement, U.S. officials said government leaders must still make progress on cutting budget deficits.
