Zero borrowing from the bank was expanded so you can AIG lower than so it plan
The fresh loans so you’re able to Maiden Way II LLC and you may Maiden Lane III LLC have been offered within the authority away from Point 13(3) of Government Set-aside Work, and that allowed the new Panel, in strange and you may exigent facts, so you can authorize Reserve Banking institutions to give borrowing from the bank to individuals, partnerships, and corporations.
Toward , new FRBNY obtained prominent need for two special purpose automobile, AIA Aurora LLC and you will ALICO Holdings LLC, that have been designed to hang this new a good common inventory out of AIG’s premier foreign insurance coverage subsidiaries, Western Internationally Assurance Organization Ltd. (AIA) and you may American Life insurance policies Team (ALICO). Inturn, this new a great balance out of, and amount of borrowing from the bank readily available leaving out capitalized desire and charge, according to the revolving borrowing from the bank business is reduced.