- The Federal Reserve, with the help of the Treasury Department, had to step in to orchestrate a $182.3 billion bailout to keep AIG going;
- For this loan, AIG has been paying 14% interest to U.S. taxpayers;
- In exchange for the bailout, the government took preferred shares which give it effectively 92% control of the company.
NEW YORK ( TheStreet) -- AIG ( AIG) used to be a four-letter word. No one liked American International Group as little as a year ago. It was the poster child for everything that went wrong before the financial crisis. Politicians and pundits assumed that the Federal Reserve's hasty rescue of the company --- to prevent a terrible crisis from spilling over into a catastrophic one -- would be a financial burden all taxpayers would carry for years, if not decades, to come. The idea that AIG might one day be actually able to pay back the government was laughable. Consider these facts: