AIG Borrows $200M For Aircraft Leasing Unit
12-09-2009 | Source: Total Securitization
American International Group says it plans to borrow another $200 million from the Federal Reserve Bank of New York to help its struggling International Lease Finance Corp. unit. According to a filing with the Securities and Exchange Commission, AIG turned to the Fed because it was unable to secure funding from other sources. The aircraft leasing unit was not permitted to participate in the governments commercial paper purchase program because of credit downgrades. AIG has already pumped more than $3 billion into ILFC, which the insurer is eager to sell but for which it has been unable to find a buyer.
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