AIG mulling new debt offer: chairman
American International Group
In an interview at The Deal's Deal Economy conference, Miller said, Well, we're having second thoughts, when CNBC's David Faber asked if the company would tap debt markets again. The interview was monitored via Webcast .
AIG, once the world's largest insurance company, sold $500 million in three-year notes and $1.5 billion in 10-year paper on Tuesday, with heavy demand as it offered high yields for an investment-grade company.
The U.S. government prevented AIG from failing during the financial crisis.
After AIG completes a recapitalization deal in the first quarter, it will be 92.1 percent owned by the U.S. Treasury and will still owe taxpayers about $100 billion from its roughly $182 billion bailout.
AIG Chief Executive Robert Benmosche said in November the company wanted to tap the debt market in the fourth quarter and the equity market early next year to raise about $3.5 billion.
Miller called the debt sale a milestone for the company, given it was AIG's first access to the capital markets at the holding company level since August 2008.
Miller also said the company was 80 to 90 percent of the way through its asset dispositions, which include the sale of ALICO and the initial public offering of AIA.
One asset that may yet be sold is aircraft leasing business ILFC, which Miller said was not necessarily core to our strategy.
He acknowledged that ILFC would probably not be part of AIG five to 10 years from now, but said there were currently no buyers willing to pay what AIG thinks the company is worth.
(Reporting by Ben Berkowitz)
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