AIG's general insurance division reported a pre-tax operating loss in the third quarter...
AIG's general insurance division reported a pretax operating loss in the third quarter of $232m before realised gains (losses), compared to pre-tax operating income of $622m last year.
But the US insurer reported a third quarter net income of $1.72bn despite after-tax net catastrophe related losses of $1.57bn. In the same perion last year income was $2.69bn.
AIG said that excluding catastrophe losses, the general insurance combined ratio improved to 91.61% compared to 93.87% in third quarter 2004.
AIG president and chief executive Martin Sullivan highlighted the steps taken to enhance financial controls, disclosure and corporate governance processes, including the board adoption of majority voting and mandatory retirement age guidelines and the election as a director of the company of Michael Sutton, former chief accountant of the SEC, who is now serving on the audit committee of the board.
