American International Group Inc. lost less money in the first quarter than it did in the first quarter of 2008 despite a steep drop in life and retirement unit deposits.
AIG, New York, is reporting a $5.1 billion total net loss for the latest quarter on $20 billion in revenue, compared with a $7.7 billion net loss on $14 billion in revenue for the first quarter of 2008.
Total revenue from premiums and other considerations fell to $19 billion, from $21 billion, but unrealized losses on “super senior” credit default swaps held by the AIG Financial Products unit dropped to $452 million, from $9.1 billion, and net realized capital losses dropped to $3.1 billion, from $6.1 billion.
The net loss amounted to $1.98 per share. Some securities analysts originally had predicted that AIG would report a net loss of less than 10 cents per share, but Reuters and other news organizations have been reporting this week that the loss would be about $1.80 per share.
Life And Retirement
The AIG life and retirement operations are reporting a $1.9 billion operating loss on $8.3 billion in revenue from premiums and other considerations, compared with a $1.8 billion operating loss on $9.3 billion in premiums and other considerations for the first quarter of 2008.