Asia This Day:Chinese Investors Make Biggest Ever US Purchase;Tensions Mount With Vietnam

In an historic move,an investing consortium has made the biggest ever US purchase by Chinese investors.The Chinese group has acquired an 80.1% stake in AIG's International Lease Finance Corporation subsidiary,which is a plane-leasing operation,for 4.23 billion dollars.
IFLC is China's largest aircraft lessor,with a 30% market share.The sale is part of AIG CEO Robert Benmosche's plan to reduce the company's debt and refocus on its insurance business.The firm will be concentrating on its global property-casualty insurance and domestic life insurance lines.
Japan's GDP numbers show the country remains mired in a recession.The Nikkei stock index fell 0.5% in response.
China's November export figures rose 2.9%,which was less than expected,while Australia's iron ore exports rose on Chinese demand.
Indian stock futures were up on policy reform expectations.
Vietnamese marched in the streets to protest Chinese claims on territory in the South China Sea.Vietnam had charged that  two Chinese ships harassed and damaged one of its oil and gas survey vessels in the South China Sea,cutting its cables.The incident occurred  off Vietnam's central coast in the last week of November.The Vietnamese foreign ministry said China must respect Vietnam's sovereignty and immediately stop all these wrong actions,and make sure they are not repeated.
Asian shares were mostly higher in early Monday trading,with the MSCI Asia Pacific index up 0.33%.

AIG Substantially Profitable Under Benmosche

AIG had a great operating quarter,said Robert Benmosche(pronounced Benmoshay),CEO of the insurance titan,with a 1.56 billion dollar profit.All of the operating units have been performing well.Thailand lost 368 million-a little above what we'd like to see,but Japan was the big problem,in the wake of payouts for the countries' 2011 natural disasters.
We see the U.S. economy as being pretty strong.Jobs and housing are doing better.We're pretty optimistic about 2012.
Our job is to build a great company.We're gonna focus on the owner who wants to hold the stock for a long time.We're working hard for our shareholders,clients and employees.
The government wants to get out of AIG as prudently and as quickly as they can.They feel they should be able to sell that stock at break even or a profit for the taxpayers.
People still need to save for their retirement.The annuities are selling reasonably well in this market.We provide the public with certain guarantees.We'll take care of that volatility.
Unfortunately,I have cancer,but I'm enjoying what I'm doing.There's no guarantee,but I'm gonna keep going until I can't.I'm feeling good.The doctors are working on some stuff,the tanned and fully bearded Robert Benmosche revealed.He agreed to lead the recovering insurance company in 2009.
Mr.Benmosche,67,had been CEO of Metropolitan Life.The married father of two,a New York native,has been treated with aggressive chemotherapy for an undisclosed type of cancer.
American International Group(AIG),Metropolitan Life(MET)

AIG Conveys Its Renewal

The current market madness may be obscuring our vision.Investors need to remember that most large companies are doing very well.They have tons of cash on their balance sheets.There has been a remarkable resurgence in the corporate sector.AIG is a case in point.
AIG has actually turned the corner and our crisis is over,says CEO Robert Benmosche (pronounced Benmoshay).It is actually a strong,independent company.I'm looking at what is good and right in this country.
We provide guarantees for our customers,and that is going very well.Our fixed annuity sales have gone up dramatically.People are looking for more guarantees around their future.
I believe it's a very different world than 2008.People are trying to figure out what's gonna happen tomorrow.We've got to talk about what's positive.What's jeopardized is people being afraid to invest in their businesses.
You've got to add to the retirement age.These entitlement programs are for later in life;not for 20 years of life.
I think this is a great quarter for us.I don't think this is a long sort of trough.France has changed its retirement age.If that happens,the debt won't be as bad,Mr.Benmosche believes.
AIG is a multinational insurance and investment firm.Active in more than 130 countries and jurisdictions,it has 96,000 employees.The New York-based company was badly damaged by the financial crisis,and received much federal aid.
American International Group(AIG)

AIG At Its Core

Insurance titan AIG is going through a lot of restructuring.As they keep paying the government back for rescuing the company from the financial crisis,they have to keep accelerating the amortization,says CEO Robert Benmosche.
They'll be the largest property and casualty insurer,and one of the largest life and annuity firms.That's the core of the company.They're selling off a lot of smaller things.AIG can produce 6-8 billion dollars of profit once they complete the restructuring plan.
Now AIG is working on a liquidity plan.They want to have enough capital to withstand any future shock.They're gonna start showing that to the ratings agencies.
Right now there's a lot of capacity at AIG.They are well past their reputational issues.
Over the next couple of years,AIG won't be suffering from unrealistic prices.They think that they'll get all their issues behind them in Q4.You'll begin to see the company's earnings grow steadily over time,Mr.Benmosche believes.
AIG's global employees are returning the firm to its client-centered heritage.They are taking pride in restoring the company to a leadership position.
American International Group(AIG)