AIG Beats Expectations
American International Group Inc. has capped months of headlines about accounting woes by announcing a 20% increase in first-quarter earnings.[@@]
AIG, New York, has reported $3.7 billion in net income for the latest quarter on $27 billion in revenue, compared with $2.6 billion in net income on $23 billion in restated revenue for the first quarter of 2004.
AIG, the world’s largest insurance company, is under state and federal investigation over accounting issues. The company had delayed first-quarter reporting because of an internal review that resulted in a restatement of financial results for the past 5 years.
Andrew Kligerman, the lead life sector analyst at UBS Investment Research, New York, says AIG’s actual first-quarter earnings beat his and consensus expectations by 3 cents per share.