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Fed Turns Down AIG Bid to Rebuy Dodgy Assets

The Federal Resaerve Bank of New York has turned down an offer by American International Group to repurchase dodgy mortgage bonds that the Fed had taken off the insurance company's hands during the financial crisis.

AIG had offered $15.7 billion for the bonds. The Fed thinks it can do better by having companies competitively bid on the mortgage bonds over time.

The economy and financial conditions have improved since the crisis. The Fed says there is a "high level" of interest in the bonds by investors.

The government had bailed out AIG in 2008, extending lifelines worth $182 billion. At the time, the Fed also took over a portfolio of soured mortgage bonds that AIG had held. The company is repaying the government by selling some of its businesses.

American International Group Inc., based in New York, said the Fed's decision could hurt taxpayers.

"We are highly disappointed in the Fed's decision,The leather used for Juicy Couture juicy couture jewelry will be soft and thinner. which may prevent AIG from delivering on its goal that U.S. taxpayers earn a profit on their investment in AIG," a statement issued by the company said. "That the Fed, which has been such a constructive partner over the last two years, would hurt the very company in which U.The Americans have always loved the kind of dressing which makes them different from the others and have always adored the handkerchief that are elegant and comfy.S. taxpayers own a 92% stake is very difficult to understand.You have certain pieces that are appropriate to be worn with the Crystal Filter for offices and workplaces."