By Colin Lea:

This morning’s must-know news SA column hinted at the likelihood that the U.S. government will hold off on selling any more of its stake in AIG (AIG), following the insurer’s next report on Thursday. SA reported that the government’s break-even point on its investment is $28.73 (40% below book value of $40.22). AIG closed at $26.34 on Friday. Its 52-week high is $62.87, 52-week low is $19.18 and EPS are -$0.49).

AIG 1-Year Performance

SA contributors Devon Shire and Roger Nusbaum have published noteworthy reads on AIG recently. They provide analysis on the sizable position taken by Fairholme Fund manager Bruce Berkowitz in AIG, and secondly the potential implications following the departure of co-manager Charlie Fernandez.

For those unfamiliar with Berkowitz and his philosophy behind his large-stake investment in distressed assets, I recommend the article “Bruce Berkowitz – The Megamind of Miami.” It clearly sets out the challenges faced by

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