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AIG Securities Litigation - Company Settlement

IMPORTANT:  Co-Lead Counsel Labaton Sucharow LLP and Hahn Loeser & Parks LLP are pleased to inform you that the U.S. District Court for the Southern District of New York authorized a second distribution of the Net Settlement Funds created in the four settlements in the AIG Securities Litigation – the PwC, Company, Starr and Gen Re Settlements. On June 29, 2018, pursuant to the Court's Orders, the PwC, Company, Starr, and Gen Re Net Settlement Funds were distributed to Authorized Claimants who cashed their check from the November 18, 2014 initial distribution and certain other Authorized Claimants. If you received a check from the second distribution, please cash it promptly as it will become stale on the date listed.

The following is a summary of information presented in more detail in the Notice of Proposed Settlement, Motion for Attorneys’ Fees and Expenses Award and Fairness Hearing (the "Notice"), which Class Members should have received in the mail, and which you can access by clicking on the box with that name to the left. Since this is just a summary, you should see the full Notice for additional details.


 If you would like information about:
American International Group Securities Litigation-PwC Settlement please click here.
American International Group Securities Litigation-Starr Defendants Settlement please click here.
American International Group Securities Litigation-Gen ReSettlement please click here.


Terms of the Settlement

In exchange for the Settlement and dismissal of the Released Claims, AIG agreed to pay $175 million in cash into an escrow account within ten business days of preliminary approval of the Settlement.  AIG also agreed to pay an additional $550 million in cash prior to the date on which the Court entered the proposed Order and Final Judgment approving the Settlement.  In all, AIG paid the Settlement Amount of $725 million for settlement of the claims.

The Settlement Amount was divided, after deduction of Court-awarded attorneys’ fees and expenses, Notice and Administrative Expenses, any applicable taxes, and any other expenses and awards the Court may have ordered, among all Settlement Class Members who timely submitted valid Proof of Claim forms that showed a Recognized Loss. Your share of the Distribution Amount depended on several things, including: (1) the amount of Recognized Losses of other Settlement Class Members who filed valid Proofs of Claim; (2) how many AIG Securities you bought; (3) how much you paid for them; (4) the type of security bought; (5) when you bought them; and (6) whether or when you sold them (and, if so, for how much you sold them).

Your Recognized Loss was calculated according to the formula shown in the Plan of Allocation.  It is unlikely that you got a payment for your entire Recognized Loss, given the number of potential Settlement Class Members with Recognized Losses.  The payment you got was a portion of the Distribution Amount equal to your Recognized Loss divided by the total of all Settlement Class Members’ Recognized Losses and multiplied by the total Distribution Amount.  If you received any payment from the fair fund created in SEC v. American International Group, Inc., 06 Civ. 1000 (S.D.N.Y.) (LAP) (“Fair Fund Distribution”), your Recognized Loss was reduced by seven-eights (7/8th) of your Fair Fund Distribution (“Fair Fund Ratio Amount”).  In no event did you recover more than your Recognized Loss reduced by your Fair Fund Ratio Amount.  No one received a distribution from the Settlement that exceeded 100% of their total Recognized Loss(es).


Further Information

Further information regarding the Litigation, the Notice and your Proof of Claim or Release form may be obtained by contacting the Administrator or reading through the Notice link on the left.

Disclaimer

IMPORTANT: THIS SITE IS NOT OPERATED BY AIG.  THIS SETTLEMENT IS SUPERVISED BY LEAD PLAINTIFF’S COUNSEL.  THE ADMINISTRATOR HANDLES ALL ASPECTS OF CLAIM PROCESSING. THIS IS THE AUTHORIZED WEB SITE FOR THIS SETTTLEMENT; INFORMATION CAN ALSO BE FOUND ON LEAD PLAINTIFF’S COUNSEL’S WEBSITE WWW.LABATON.COM. PLEASE DO NOT RELY UPON OTHER SITES THAT SET OUT DIFFERENT AND UNAUTHORIZED INFORMATION.

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