AIG ( AIG) has repaid the U.S. Treasury's preferred invesment stake in full, with a final payment of an additional $1.5 billion. AIG was scheduled to repay the investment by May 2013. The government's remaining outstanding investment is now $45 billion, which represents a more than 75 percent reduction from that original commitment. "In the dark days of the financial crisis, when commitments to AIG totaled $182 billion, few would have believed that we'd already be able to reduce that amount by more than 75 percent, or that we may be able to recover every single dollar invested in the company," said Assistant Secretary for Financial Stability Tim Massad. "This demonstrates the significant progress that AIG and the government have made in restructuring the company's business so that it can repay taxpayers."
Friday brings economic data in the form of new home sales. Consensus expects new home sales to have risen to 325,000 in February, according to Bloomberg. Federal Reserve Chairman Ben Bernanke will deliver opening remarks at the Fed Conference on Central Banking "Before, During, and After the Crisis." Leading central bankers will debate the impact of their easy-money policies. Bernanke returned to school this week with a series of lectures on the financial crisis and the role of the Fed. --Written by Shanthi Bharatwaj in New York >To contact the writer of this article, click here: Shanthi Bharatwaj. >To follow the writer on Twitter, go to http://twitter.com/shavenk. Readers Also Like: >> Cramer: There Is No Reason to Be in Treasuries >> 10 Small-Cap Stocks Safe for Skittish Investors