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NEW YORK--May 14, 2003--The Board of Directors of American International Group, Inc. (AIG) today declared a quarterly cash dividend on the company's common stock of 5.2 cents per share, payable on September 19, 2003 to shareholders of record on September 5, 2003.

This represents a 10.6 percent increase in the quarterly cash dividend on AIG common stock, and is the eighteenth consecutive year that AIG has increased its dividend.

American International Group, Inc. (AIG) is the world's leading international insurance and financial services organization, with operations in approximately 130 countries and jurisdictions. AIG member companies serve commercial, institutional and individual customers through the most extensive worldwide property-casualty and life insurance networks of any insurer. In the United States, AIG companies are the largest underwriters of commercial and industrial insurance and AIG American General is a top-ranked life insurer. AIG's global businesses also include financial services, retirement savings and asset management. AIG's financial services businesses include aircraft leasing, financial products, trading and market making. AIG's growing global consumer finance business is led in the United States by American General Finance. AIG also has one of the largest U.S. retirement savings businesses through AIG SunAmerica and AIG VALIC, and is a leader in asset management for the individual and institutional markets, with specialized investment management capabilities in equities, fixed income, alternative investments and real estate. AIG's common stock is listed on the New York Stock Exchange, as well as the stock exchanges in London, Paris, Switzerland and Tokyo.

CONTACT: AIG Charlene Hamrah (Investment Community) 212/770-7074 or Joe Norton (News Media) 212/770-3144
SOURCE: American International Group, Inc.