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    Treasury to invest in AIG restructuring under the Emergency Economic Stabilization Act
    2008-11-11

    The Treasury Department announced that it will purchase $40 billion in senior preferred stock from the American International Group (AIG) as part of a comprehensive plan to restructure federal assistance to the systemically important company. Together with steps taken by the Federal Reserve, this restructuring will improve the ability of the firm to execute its asset disposition plan in an orderly manner. AIG will use the equity to pay down $40 billion of the Federal Reserve's secured lending facility.

    Filed under:
    USA, Banking, Insolvency & Restructuring, Seyfarth Shaw LLP, Preferred stock, Secured loan, US Department of the Treasury, American International Group, Federal Reserve (USA), Emergency Economic Stabilization Act 2008 (USA)
    Location:
    USA
    Firm:
    Seyfarth Shaw LLP
    What is happening to AIG?
    2009-03-02

    This morning, March 2, 2009, American International Group, Inc. ("AIG") announced a loss of $61.7 billion for the fourth quarter of 2008, a total net loss for 2008 of $99.29 billion, and a major restructuring of its operations, including a new federal infusion of $30 billion, forgiveness of certain debts, and relaxation of prior bailout terms. For comparison purposes, all insured losses for all insurance companies (not just AIG) relating to Hurricane Katrina are estimated at slightly more than $40 billion.

    Filed under:
    USA, Insolvency & Restructuring, Insurance, Reed Smith LLP, Bond market, Bankruptcy, Debt, Bailout, Holding company, Subsidiary, Preferred stock, Casualty insurance, Mortgage-backed security, US Department of the Treasury, American International Group, Federal Reserve (USA), MetLife, Moody's Investors Service
    Authors:
    Ann V. Kramer , Paul Walker-Bright , Timothy P. Law
    Location:
    USA
    Firm:
    Reed Smith LLP
    Chrysler bankruptcy judge approves GMAC as preferred lender for dealers
    2009-05-13

    Yesterday, U.S. Bankruptcy Judge Arthur Gonzalez approved a motion by Chrysler LLC requesting that GMAC LLC become the preferred lender for its dealer network, and be permitted to provide wholesale, retail and other product-related financing for Chrysler dealers and customers to purchase vehicles.

    Filed under:
    USA, Banking, Insolvency & Restructuring, Litigation, Alston & Bird LLP, Bankruptcy, Retail, Collateral (finance), Limited liability company, Consent, Preferred stock, Ally Financial, Chrysler
    Authors:
    Anjali Desai
    Location:
    USA
    Firm:
    Alston & Bird LLP
    AIG posts $4.35 billion first quarter loss
    2009-05-11

    On Thursday, AIG announced a $4.35 billion loss for the first quarter of 2009, as compared to a net loss of $7.81 billion in the first quarter of 2008 and a net loss of $61.7 billion in the fourth quarter of 2008.

    Filed under:
    USA, Insolvency & Restructuring, Insurance, Alston & Bird LLP, Libor, Market liquidity, Retirement, Life insurance, Line of credit, Preferred stock, Form 10-Q, US Securities and Exchange Commission, US Department of the Treasury, American International Group, Bank of New York Mellon
    Authors:
    Ian Grant
    Location:
    USA
    Firm:
    Alston & Bird LLP
    GM files for Chapter 11 bankruptcy
    2009-06-01

    This morning, General Motors Corp. (GM) announced that it filed for Chapter 11 bankruptcy in the U.S.

    Filed under:
    USA, New York, Insolvency & Restructuring, Litigation, Alston & Bird LLP, Bond (finance), Bankruptcy, Debtor, Dividends, Board of directors, Debt, Warranty, Preferred stock, Warrant (finance), US Department of the Treasury, United Automobile Workers, General Motors, United States bankruptcy court
    Authors:
    Anjali Desai
    Location:
    USA
    Firm:
    Alston & Bird LLP
    CIT files for bankruptcy
    2009-11-02

    CIT Group Inc.

    Filed under:
    USA, New York, Insolvency & Restructuring, Litigation, Alston & Bird LLP, Wage, Bankruptcy, Debtor, Board of directors, Market liquidity, Limited liability company, Debt, Line of credit, Subsidiary, Preferred stock
    Authors:
    Andrea L. Parisi
    Location:
    USA
    Firm:
    Alston & Bird LLP
    Treasury releases completed transactions report
    2009-12-15

    Yesterday, Treasury released its most recent completed transactions report for the period ending December 10, 2009.

    Filed under:
    USA, Banking, Insolvency & Restructuring, Alston & Bird LLP, Bankruptcy, Preferred stock, Warrant (finance), Capital Purchase Program, US Department of the Treasury, JPMorgan Chase
    Location:
    USA
    Firm:
    Alston & Bird LLP
    Court confirms CIT reorganization plan
    2009-12-08

    CIT Group Inc.

    Filed under:
    USA, New York, Insolvency & Restructuring, Alston & Bird LLP, Share (finance), Bankruptcy, Security (finance), Board of directors, Debt, Stock exchange, Preferred stock, New York Stock Exchange, Small Business Administration (USA), Chief executive officer, United States bankruptcy court
    Authors:
    Andrea L. Parisi
    Location:
    USA
    Firm:
    Alston & Bird LLP
    House subcommittee holds hearing on bank failures
    2010-01-22

    Yesterday, the Subcommittee on Financial Institutions and Consumer Credit of the House Committee on Financial Services held a hearing entitled “The Condition of Financial Institutions: Examining the Failure and Seizure of an American Bank.” Participants in the hearing examined the current state of U.S.

    Filed under:
    USA, Banking, Insolvency & Restructuring, Alston & Bird LLP, Credit (finance), Security (finance), Bank holding company, Community bank, Subsidiary, Preferred stock, Office of the Comptroller of the Currency (USA), Federal Deposit Insurance Corporation (USA), US Department of the Treasury, US House of Representatives, US House Committee on Financial Services, Chief executive officer
    Authors:
    Sarah McElroy
    Location:
    USA
    Firm:
    Alston & Bird LLP
    Capital purchase program experiencing effects of bankruptcies
    2010-02-17

    Treasury's most recent Transactions Report reveals a loss of $2,334,120,000 from two institutions in bankruptcy.

    Filed under:
    USA, Banking, Insolvency & Restructuring, Alston & Bird LLP, Contractual term, Bankruptcy, Subsidiary, Preferred stock, Computer program
    Location:
    USA
    Firm:
    Alston & Bird LLP

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