I remember just weeks ago it was big news when Lehman filed for Chapter 11 and shortly after the Lehman's crisis news about AIG's struggle for survival surfaced.
There was an offer made to AIG to buy one of their business asset for $8bn but was rejected by AIG citing that the offer was too low (they think it's worth more than this amount).
At first I thought, how on earth this company will survive in a crisis like this, there's no sense of urgency at all. (Warren Buffett walked away from them) But then, they were lucky, U.S government stepped in with an $85bn buoy to save the company from going bust.
Alas, the execs spent the money on luxuries just few days after they got the funding. Hmm....what are these people up to? I hope they don't resign from their jobs and take a couple of millions with them as compensation.
Singapore is small and sensitive to every bits of bad news from the U.S, we are not immune from scandals like this at this juncture. Good luck to everyone in the market.
The STI has dropped again the last time I checked (an hour ago),ok AIG is innocent in this case.
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