AIG Earnings and Investment Portfolio Report slide image

AIG Earnings and Investment Portfolio Report

Other Operations: APTL increased principally due to higher consolidation and eliminations from consolidated investment entities, the sale of Fortitude in 2Q20, as well as higher interest expense from May 2020 bond issuance AIG ($M) Corporate and Other Asset Management Adjusted pre-tax loss before consolidation and eliminations Consolidation and eliminations: Consolidation and eliminations - Consolidated investment entities Consolidation and eliminations - Other Total Consolidation and eliminations Adjusted pre-tax loss Key Takeaways: 4Q19 4Q20 ($301) ($519) 10 91 ($291) ($428) (126) (285) (8) (7) (134) (292) ($425) ($720) ■ Fourth quarter APTL was $720M, including $292M of reductions from consolidation and eliminations, compared to APTL of $425M, including $134M of reductions from consolidation and eliminations, in the prior year quarter. The increase in consolidation and eliminations from 4Q19 reflects the impact of consolidated investment entities ☐ Before consolidation and eliminations, the increase in APTL was primarily due to lower NII associated with available for sale securities; the sale of Fortitude in 2Q20, which had APTI of $70M in 4Q19; and increased interest expense related to debt issuances in 2Q20 16
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