by John Darer CLU ChFC MSSC RSP
Yahoo Finance reports that the price to the tax payers of the bailouts and financial rescue of 2008 and 2009 continues to fall sharply. Incredibly the final net cost of the Troubled Asserts Relief Program (TARP) is estimated to be $50 Billion, according to the report.
There has been alot of misinformation out there and to the extent it has affected structured settlement sales it needs to be corrected. If you are in the structured settlement industry , or an attorney, or a plaintiff in a personal injury case reading this a post I suggest you read this article and watch the video.
While AIG is characterized as a huge wild card , having received more than $180 billion in support from Treasury and the Federal Reserve, including $69 billion in TARP funds, the company has a plan to extricate itself from Treasury and The Federal Reserve. As published last week in the media, the plan involves converting preferred shares owned by Treasury into common stock, which would then be sold piece by piece over several years, but less than the 5 to 8 years estimated in 2009.
To underscore that Treasury is optimistic the plan will succeed, Treasury secretary Timothy Geitrner said ""The returns we'll get from our investments in banks and AIG will be more than enough to cover the money we'll lose in autos"