Updated to include analyst comment.
NEW YORK (
American International Group
selected two longtime executives to oversee its treasury and capital markets businesses as it prepares to step away from bailout funding and back into the private market.
Brian Schreiber has been named executive vice president of treasury and capital markets, with Robert Gender as senior vice president and treasurer. Both have been with the company for more than a decade. Schreiber had been leading AIG's restructuring effort as senior vice president in charge of strategic planning. Gender has been treasurer since 2005.
Executive Vice President Peter Hancock, who oversees finance, risk and investments, said their appointments reflect AIG's desire to tap the capital markets for funding again.
"Their experience and commitment will help advance the performance of our team," Hancock said in a statement. "Brian has played an instrumental role in the success of AIG's restructuring, and his capital markets experience, knowledge of AIG's continuing businesses, energy, and focus will help AIG re-enter the capital markets and achieve our future objectives. Bob's professional management of our Treasury function has been critical as AIG has navigated the financial crisis."
Angelo Graci, a credit analyst who covers AIG at Chapdelaine Credit Partners, said investors appear ready for a debt offering from the newly resuscitated insurance giant.
"I would say so," Graci wrote in an email. "Market conditions are going to affect when they tap the debt market, but I would say it is definitely on their radar screen."
Schreiber, who joined the company in 1997 as a portfolio manager, will report to CFO David Herzog. Gender, who came on board in 1998 as assistant treasurer, will report to Schreiber.
AIG announced plans to repay its bailout funds in full on Sept. 30. The federal government's support will not be gone entirely until the Treasury Department unwinds a 92% equity stake in the company over the next couple of years. However, its credit lines with the
have been extinguished and AIG will eventually have to seek financing from private investors.
Its aircraft leasing subsidiary, International Lease Finance Corp., has already made headway on that front. ILFC borrowed $1.3 billion in the spring through two debt issuances.
AIG shares were down 2.6% at $41.05 in recent trading amid a broad stock sell-off. The stock has held up above $40 since the bailout-repayment plan was announced, but is still well below a 52-week high of $45.95.
-- Written by Lauren Tara LaCapra in New York
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