In the aftermath of the financial crisis, AIA Group, the largest pan-Asian life insurer and the regional subsidiary of then-troubled American International Group, was in a quandary: Should it stay tied to its parent, which was being bailed out by the U.S. government or accept a $35 billion takeover bid from U.K. insurer Prudential? AIA decided to go it alone, listing in Hong Kong in late 2010. After eight years, AIA (ticker:1299.Hong Kong) has a market value of $105 billion, twice that of Prudential (PRU.UK) at $51 billion and almost twice former parent AIG’s (AIG) $54 billion.
Berkshire and Holdings Could Benefit from Tax Rate Cuts
Posted on Jan 17, 2018 (4 days ago)
The US Senate has approved cutting tax rate from 35% to 21%, which could present windfall gains to corporates and long-term adjustments in operating flow generation. Whereas the tax break will likely be profitable for equity investors such as Berkshire Hathaway (BRK.B), companies engaged in US exports have weakened due to growing expectations of a fiscal deficit and the domestic manufacturing sector. Berkshire is expected to benefit from lower taxes on its holdings.
Berkshire Hathaway Could See Rebound in Insurance in 4Q17
Posted on Jan 12, 2018 (9 days ago)
Berkshire Hathaway (BRK.B) continues to garner higher expectations for its operating performance. Berkshire is expected to post EPS (earnings per share) of $2,633 in 4Q17, marginally lower than 4Q16’s $2,665 and a substantial improvement from 3Q17. The rise is expected due to lower losses in the insurance space and growth by BNSF Railway and the manufacturing sector. Earnings before taxes for Berkshire’s service, manufacturing, and energy divisions and BNSF Railway rose 1%–9% year-over-year in 3Q17.
AIG to Present at the 2018 Consumer Electronics Show
Posted on Jan 3, 2018 (17 days ago)
American International Group, Inc. today announced that Lex Baugh, CEO of North America General Insurance, and Gaurav D. Garg, CEO of Global Personal Insurance, will present at the Consumer Electronics Show in Las Vegas, Nevada, on Monday, January 8, 2018, from 3:30 – 4:30 p.m.