Rescued US insurer posts profits again

Nov 7 2009 by Iain Laing, The Journal

INSURER AIG, which was saved by the US government last year, has posted its second quarterly profit in succession.

The company said that its net income for the three months to September was £55m, compared with £14.7bn loss when it was bailed out by the government at this time last year.

But chief executive Robert Benmosche warned that there would be uncertainty in the months ahead and charges from the restructuring of the company. “Expect continued volatility in reported results in the coming quarters,” he added.

AIG was bailed out by the US government in 2008 and is now 80% state-owned. The government has so far pumped around £110m into the business.