Bailouts

Summers: AIG 'Outrageous'

Who says bailouts are bad for business? One day after AIG revealed it still planned to pay bonuses to executives in the divisions where its crisis originated, the insurance giant disclosed that about two-thirds of its $160 billion bailout has been used to pay trading partners like Goldman Sachs and Deutsche Bank. Speaking yesterday on ABC’s This Week, Lawrence Summers, the White House’s top economic adviser, said that, of everything that’s happened this financial crisis, “what's happened at AIG is the most outrageous.”