In Responce

I feel that the government has taken a very large stake in this company, and I am wondering if it is a wise thing to do considering that the country is already in a recession. I am worried that the government is "wasting" its money on one singular company, instead of trying to rebuild this fine country. And what happens if the company plunges again? What is there to stop the demise of the government? One wonders...

Buying the Debt

This article is one that I found on the New York Times, and I talks about how the government has decided to relieve the company of about $53.5 billion dollars worth of credit debt. The government has created a system that buys the companies debt from them. The government is now going to be buying into the company, and the company will be getting the money that it needs to survive. It was estimated that the government would need to supply AIG with $152 billion dollar just to get the company back onto their feet. This now translates to the government owning a lot of the company purely through paying the company for its debt.