AIG Names a New Unit Head

Kristian Moor will oversee the renamed AIG Property Casualty Group.
By Debra Borchardt ,

Updated from 1:58 p.m. EDT

American International Group

(AIG) - Get Report

on Monday named Kristian Moor the new head of its renamed unit encompassing property and casualty insurance operations.

Moor, who headed the insurer's brokerage group, will oversee the new AIG Property Casualty Group as president and CEO.

AIG took one of the biggest hits among insurers in the collapse of the housing and credit markets that laid waste to the financial sector. The insurer had $24 billion in subprime residential mortgages on the books at the end of 2007 and recorded $3.3 billion in pre-tax charges in the fourth quarter for declines in value. AIG also had $4.6 billion in collateralized debt obligations, or CDOs, at the end of 2007 and the capital markets unit recorded pre-tax, unrealized market valuation losses of $352 million in the third quarter and $11.2 billion in the fourth quarter on its substantial super senior credit default swap positions.

"These organizational changes will contribute substantially to an improved operating environment, provide greater results in our 'Deliver the Firm' initiative and a better customer service framework for our property and casualty customers in the U.S. and Canada," AIG CEO Martin Sullivan said.

Sullivan saw his bonus cut dramatically as a result of the writedowns in the fourth quarter. The stock has fallen 29% over the last year and most analysts according to Thomson Financial expect the current quarter to record a loss of 31 cents.

Kevin Kelley, head of AIG's Lexington Insurance business, will replace the retiring Executive Vice President Robert Sandler as head of the Domestic Personal Lines unit. John Doyle, head of AIG's executive liability and commercial assurance units, will oversee the insurer's commercial business. Both will report to Moor.

The stock was recently jumping 2.4% to $48.44.

Know What You Own

: AIG operates in the insurance industry, and some of the other stocks in its field include

Prudential Financial

(PRU) - Get Report

,

Allianz

(AZ)

,

AXA

(AXA)

and

MetLife

(MET) - Get Report

. These stocks were recently trading at $82.04, +0.67%, $20.84, +0.00%, $38.80, -0.28% and $61.68, -0.13% respectively. For more on the value of knowing what you own, visit TheStreet.com's

Investing A-to-Z

section.

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