Stocks hit new lows on fear of a bigger U.S. bailo

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crippled insurance titan american international group is coming back to the government for more help scarpembtnegozi, as the company prepares to report a massive fourth-quarter loss moncler mens vest, cnbc is reporting.
the report triggered a fresh dive in share prices shortly after 11:30 a.m. pst, ending the market’s attempt to rally from the day’s lows. the dow industrials were down 222 points jeanssaleusa ugg classic bottes, or 3% new arrivals mbt sandali delle donne, to an 11-year low of 7 moncler μπουφάν,141 at about 12:30 p.m. pst.
from cnbc’s david faber:aig timberlandmukluk timberlandmukluk, the insurance giant that is 80%-owned by the u.s. government ugg classic bottes, is in discussions with the government to secure additional funds so it can keep operating after next monday uggbottesugg, when it will report the largest loss in u.s. corporate history mbt sandali delle donne new arrivals, cnbc has learned.
sources close to the company said the loss would be near $60 billion due to write-downs on a variety of assets including commercial real estate.
that massive loss is likely to spur downgrades in its insurance and credit ratings that will force aig to raise collateral that it doesn't have.
in addition jeanssaleusa, if aig's book value falls below a certain level moncler μπουφάν timberland 2010 new style, as it seems certain to do moncleroutletnl jacketgreece, it will trigger default in certain of its debt instruments moncleroutletnl, say people familiar with the situation.
all of this adds up to a huge headache for the federal reserve and treasury scarpembtnegozi, which have already provided over $150 billion of assistance to aig. faber said aig's board is expected to meet sunday to reach an agreement with the government. the company is preparing for the possibility of bankruptcy jacketgreece, although a filing was unlikely uggbottesugg moncler mens vest, he said.
if he’s right about aig’s need for more cash timberland 2010 new style, it will reinforce the perception that troubled financial companies have become a bottomless pit for taxpayers’ funds.
surprised?
-- tom petruno
photo: aig's headquarters in new york. credit: timothy a. clary /afp/getty images