American International Group, Inc. announced today that it completed the repurchase of warrants issued to the United States Department of the Treasury in 2008 and 2009. The U.S. Treasury does not have any residual interest in AIG after AIG’s repurchase of these warrants, AIG said in a statement.
“With AIG repurchasing all outstanding warrants issued to the U.S. Treasury, we are turning the final page on America’s assistance to AIG,” said Robert H. Benmosche, AIG President and Chief Executive Officer.
“We appreciate the opportunities this support allowed and are proud to have returned to America every cent plus a profit of $22.7 billion.”
The warrant issued in 2008 provided the right to purchase approximately 2.7 million shares of AIG common stock at $50.00 per share, and the warrant issued in 2009 provided the right to purchase up to 150 shares of AIG common stock at $0.00002 per share. AIG and the U.S. Treasury agreed upon a repurchase price of approximately $25 million for the warrants.
Source: AIG