Government goes 'all in' to save AIG


As Warren Buffett said about the federal rescue of the U.S. credit system, the Fed has gone "all in" to save AIG (AIG). The government has had little choice and will shovel as much as $30 billion more into the pot. AIG announced it had a net loss of $61.7 billion or $22.95 per diluted share compared to a 2007 fourth quarter net loss of $5.3 billion or $2.08 per diluted share.

The insurance company's excuse for the disaster was that "AIG's results in the fourth quarter were negatively affected by continued severe credit market deterioration, particularly in commercial mortgage-backed securities (CMBS), and charges related to ongoing restructuring-related activities."