Mega insurer American International Inc. (AIG) on Thursday reached a settlement with Carl Icahn, ending a three month public battle the latter launched about three months earlier. AIG said it would install two dissident directors to the company's board' hedge fund mogul John Paulson of Paulson & Co. Inc. and Icahn analyst, Samuel Merksamer. The new directors are expected to be installed on a board that will be expanded from 14 to 16 persons at the company's upcoming annual meeting in May. In addition, AIG authorized the repurchase of $5 billion in additional shares, a move that brings its buyback authorization up to $5.8 billion. It comes after the insurance giant repurchased about $11 billion in shares in 2015. In addition, AIG conducted about $2.5 billion in stock buybacks in 2016 so far. In a statement Icahn said that he continues to believe that "smaller and simpler is better" and he "looked forward to working collaboratively with the board and management to help catalyze a turnaround at the insurer's property and casualty operations as well as a more transparent operating structure."
More from Video
Amid the Selling, Here's the Big Question Now
How quickly do we find support, is what we'll want to know now, as the correction is occurring while economic optimism builds.
One Tweet Pulls the Rug Out From Under the Indexes
Despite the president's promise of no stimulus until after Nov. 3, there are no signs yet that this is the sort of correlated selling that leads to a deep correction.
A Technical Look at the New Dow Jones Industrial Average
Salesforce, Amgen and Honeywell will give a lift to the DJIA going forward.
Conagra Brands Looks Tastier After Its Upgrade to Buy
CAG has hung onto the bulk of its recent gains, and could rise to the $50 area, according to the charts and indicators.
Biogen Bulls Get a Lift From Quant Upgrade and Strengthening Charts
Breaking down an approach to the long side of this biotech stock.
Real Money's message boards are strictly for the open exchange of investment ideas among registered users. Any discussions or subjects off that topic or that do not promote this goal will be removed at the discretion of the site's moderators. Abusive, insensitive or threatening comments will not be tolerated and will be deleted. Thank you for your cooperation.
If you have questions, please contact us here.