Posted On: October 14, 2008, 7:16 pm CDT

Posted By: stckbyr

I don't recall AIG being given a whole lot of choice in whether or not they "accepted" the US government's "generous" offer.

The deal was a pure cram down on the Company and its shareholders because Paulson et al were scared of facing what would happen if AIG just defaulted on its obligations and filed bankruptcy like they should have.

The proper place to have dealt with AIG's issues was US Bankruptcy Court--not trying to bail out a lot of foreign banks (news reports at the time stated that 75% of AIG's CDS exposure was with foreign banks).

AIG's shareholders were denied the opportunity to see if they couldn't get a better deal in bankruptcy court than having Paulson and his hand picked team liquidate the Company out from underneath them.

Now those shareholders don't even get to elect the directors who will represent their interests since the US Government is leaving the traitorous bastards in place.