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AIG CEO Duperreault says he's not planning to break up insurer
[NEW YORK] Brian Duperreault, who took over as chief executive officer of American International Group Inc on Monday, said he's not planning to split up the company as some activists have urged.
"I didn't come here to break the company up. I came here to grow it," Mr Duperreault, 70, said at AIG's consumer-insurance investor day, adding that the New York-based company's multi-line structure is beneficial. "Capital will also be deployed to expand and grow our businesses with the goal of building long-term shareholder value."
AIG named Mr Duperreault its seventh CEO since 2005, to help turn around a company that's been battling higher-than-expected claims costs. Mr Duperreault, who spent more than two decades at AIG earlier in his career, succeeds Peter Hancock, who said in March he would depart AIG because of insufficient support from investors including activist Carl Icahn.
Mr Icahn took a stake in AIG in 2015, urging the company to split into three firms, one offering property-casualty coverage, another selling life insurance and a third guaranteeing mortgages. AIG eventually sold its mortgage-insurance company, United Guaranty Corp.
Mr Icahn said in a Twitter post Monday that he was pleased AIG was making some "much-needed" changes. "It is extremely gratifying that the activist strategy continues to create value for all shareholders," he said.