Lives and Livelihoods

The American International Group has posted their results today and the least you can say is that it is disappointing. The shares of the company have shed 50% off their value in the past year and that is surely not an encouraging sign for its investors.

The companys profits were mainly wiped out due to the writedowns in the mortgage loans and real estate related investments. To get back on track they certainly do need the so called school emergency response to get back into the black.

The company reported a net loss of over 5 billion dollars. This comes back of the profit of 4billion dollars posted a year ago same quarter.

The writedowns in the banking industry continue to mount with citigroup leading at over 45 billion dollars.