Fitch Downgrades AIG to A Posted on September 15, 2008 by Yves Smith Reader Steve provided the link to Fitch’s website, which shows the announcement and apparently it’s being reported on CNBC. But what matters is what Moody’s and S&P do…. Post navigation ← Certain Pimco, Vanguard Funds, Japanese Banks, Biggest Losers on Lehman Bankruptcy (Updated) AIG Stay of Execution: Holding Company Can Access $20 Billion of Subsidiary Capital → Subscribe to Post Comments 3 comments Dean September 15, 2008 at 8:38 pm I think that a major plunge in the markets 9/16 can only be averted by a Fed pre-market announcement of dropping discount rate by at least 100 bps. Overseas markets are already treating AIG over the edge. I see no other practical solution at present. Anonymous September 15, 2008 at 8:52 pm wow. happy with how I’m positioned but there’s no joy in watching the world fall apart. How apropos?/ironic? that CNBC is playing Sia’s “Breathe Me” (http://www.absolutelyrics.com/lyrics/view/sia/breathe_me/) as it’s cutaway music. I guess that it’ll take a full-fledged depression for some people to get over their discomforts and vote for a mixed race person for president. And nakedcapitalism deserves a Pulitzer for the coverage over the past few weeks! Cheers. Anonymous September 15, 2008 at 8:58 pm AIG is toast. The Fed finding them funds or lowering rates would only throw good money after bad. They are the largest insurer in the world bar none, and have insured heavily in the funds and credit default swaps (insurance) that all these large firms made that we are seeing fail. I guess the Fed could nationalize them to save them, however it would crash the fiat currencies of the world. i think that would be the straw that broke the camel’s back. Comments are closed. Tip Jar Please Donate or Subscribe!