|AIG PRICES COMMON STOCK AND EQUITY UNIT OFFERINGS FOR AN AGGREGATE OF $11.9 BILLION|
NEW YORK, May 12, 2008 -- American International Group, Inc. (AIG) announced today that it priced its $6.5 billion public offering of 171,052,631 shares of common stock at $38 per share and has granted the underwriters a 30-day option to purchase up to an additional 25,657,894 shares of common stock to cover over-allotments.
In addition, AIG concurrently priced its $5.4 billion public offering of 72 million equity units, with an initial stated amount of $75 per unit. The threshold appreciation price of the equity units is $45.60, which represents a premium of 20% over the concurrent public offering price of AIG common stock of $38 per share. AIG has granted the underwriters a 13-day option to purchase up to an additional 6.4 million equity units to cover over-allotments.
The combined size of these two offerings has been increased from the previously announced $7.5 billion. AIG intends to use the net proceeds from the offerings for general corporate purposes.
Citi and JPMorgan are serving as joint bookrunning managers for both offerings.
This release does not constitute an offer to sell or the solicitation of an offer to buy securities. Each offering is being made under AIG's shelf registration statement filed with the Securities and Exchange Commission and only by means of a prospectus supplement and accompanying prospectus. When available, a copy of the prospectus supplement and accompanying prospectus relating to each offering may be obtained from either (i) Citigroup Global Markets Inc., Attn: Prospectus Department, Brooklyn Army Terminal 140, 58th Street, 8th Floor, Brooklyn, New York 11220 or by calling (800) 831-9146; or (ii) J.P. Morgan Securities Inc., 4 Chase Metrotech Center, CS Level, Brooklyn, NY 11245, Attention: Prospectus Department, email: email@example.com or by calling (718) 242-8002.
American International Group, Inc. (AIG), a world leader in insurance and financial services, is the leading international insurance organization with operations in more than 130 countries and jurisdictions. AIG companies serve commercial, institutional and individual customers through the most extensive worldwide property-casualty and life insurance networks of any insurer. In addition, AIG companies are leading providers of retirement services, financial services and asset management around the world. AIG's common stock is listed on the New York Stock Exchange, as well as the stock exchanges in Ireland and Tokyo.
SOURCE: American International Group, Inc.
American International Group, Inc.