8-KOther EventsExhibits & Filings

AMERICAN INTERNATIONAL GROUP, INC. 8-K Report, Corporate Update (Sep 27, 2018)

Filed September 27, 2018For Securities:AIG

Summary

This 8-K filing from American International Group (AIG) on September 27, 2018, announces significant redemption actions related to its subsidiaries, Validus Holdings, Ltd. and Validus Reinsurance, Ltd. Specifically, AIG is proceeding with the redemption of all outstanding Series A and Series B Non-Cumulative Preference Shares from Validus Holdings, along with all outstanding Floating Rate Deferrable Interest Junior Subordinated Notes from Validus Reinsurance. These redemptions are scheduled to occur on October 30, 2018. The redemption price for the Preference Shares is $26,000 per share, plus any declared and unpaid dividends. The Junior Notes will be redeemed at 100% of their principal amount, plus accrued and unpaid interest. Investors holding these specific securities should note these actions, as the effective date for repayment is October 30, 2018. This move may indicate AIG's strategy to optimize its capital structure or manage its outstanding debt and preferred equity.

Key Highlights

  • 1AIG subsidiary Validus Holdings will redeem all outstanding Series A and Series B Preference Shares on October 30, 2018.
  • 2The redemption price for Validus Holdings' Preference Shares is $26,000 per share, plus accrued dividends.
  • 3AIG subsidiary Validus Reinsurance will redeem all outstanding Junior Subordinated Notes due 2037 on October 30, 2018.
  • 4The redemption price for the Junior Notes is 100% of the principal amount, plus accrued interest.
  • 5The filing does not constitute the official notice of redemption; holders should refer to separate redemption notices.
  • 6Press releases detailing these redemptions are attached as exhibits.

Frequently Asked Questions

Validus Holdings, Ltd. is redeeming its 5.875% Non-Cumulative Preference Shares, Series A, and its 5.800% Non-Cumulative Preference Shares, Series B. Validus Reinsurance, Ltd. is redeeming its Floating Rate Deferrable Interest Junior Subordinated Notes due July 30, 2037.

The redemption date for both the Preference Shares and the Junior Notes is October 30, 2018.

The redemption price for each Preference Share is $26,000, in addition to any declared and unpaid dividends up to, but excluding, the redemption date.

The Junior Notes will be redeemed at 100% of their principal amount, plus any interest that has accrued and is unpaid up to, but excluding, the redemption date.

Yes, holders of these securities should refer to the specific notice of redemption that was or will be delivered to them. This 8-K filing itself is an announcement and not the formal notice required for redemption.