The Treasury Department announced today that the bail out [sic] of AIG Insurance, which began in September under the Bush administration, is working better than expected.
Encouraged by the company’s loss of nearly $62 billion in the 4th quarter of 2008, the Obama administration injected another $30 billion into AIG this week.
“The government stepped in last year with $150 billion because AIG was too big to fail,” said Treasury Secretary Timothy Geithner. “The stock was trading in early September at more than $20 per share.
Today it’s worth less than 50 cents a share. If we keep pumping billions of tax dollars into it, I’d say we’ll soon reach the point where AIG won’t be too big to fail, and then we can stop giving them money.”