Total Equity and Earnings Per Share (Tables)

6 Months Ended

Jun. 30, 2011

Total Equity and Earnings (Loss) Per Share

Rollforward of outstanding shares

		Preferred Stock
Six Months Ended June 30, 2011														Common Stock		Treasury Stock
		AIG Series E			AIG Series F			AIG Series C			AIG Series G
Shares issued, beginning of year			400,000			300,000			100,000			-			147,124,067		6,660,908
	Issuances		-			-			-			20,000			100,066,640		11,678
	Settlement of equity unit stock purchase contracts		-			-			-			-			2,404,278		-
	Shares exchanged		(400,000	)		(300,000	)		(100,000	)		-			1,655,037,962		-
	Shares cancelled		-			-			-			(20,000	)		-		-
Shares issued, end of period			-			-			-			-			1,904,632,947		6,672,586

Accumulated Other Comprehensive Income (Loss)

Six Months Ended June 30, 2011 (in millions)		Unrealized Appreciation (Depreciation) of Fixed Maturity Investments on Which Other-Than- Temporary Credit Impairments Were Taken			Unrealized Appreciation (Depreciation) of All Other Investments			Foreign Currency Translation Adjustments			Net Derivative Gains (Losses) Arising from Cash Flow Hedging Activities			Change in Retirement Plan Liabilities Adjustment			Total
Balance, beginning of year, net of tax		$	(659	)	$	8,888		$	298		$	(34	)	$	(869	)	$	7,624
	Unrealized appreciation of investments		537			631			-			-			-			1,168
	Net changes in foreign currency translation adjustments		-			-			(529	)		-			-			(529	)
	Net gains on cash flow hedges		-			-			-			31			-			31
	Net actuarial gain		-			-			-			-			275			275
	Prior service cost		-			-			-			-			(17	)		(17	)
	Deferred tax asset (liability)		(248	)		484			239			40			(109	)		406
Total other comprehensive income (loss)			289			1,115			(290	)		71			149			1,334
Acquisition of noncontrolling interest			-			43			62			-			(17	)		88
Noncontrolling interests			3			(81	)		31			-			-			(47	)
Balance, end of period, net of tax		$	(373	)	$	10,127		$	39		$	37		$	(737	)	$	9,093

Rollforward of non-controlling interests

				Redeemable Noncontrolling interests									Non-redeemable Noncontrolling interests
(in millions)				Held by Department of Treasury			Other			Total			Held by FRBNY			Other			Total
Six Months Ended June 30, 2011
Balance, beginning of year				$	-		$	434		$	434		$	26,358		$	1,562		$	27,920
	Repurchase of SPV preferred interests in connection with Recapitalization				-			-			-			(26,432	)		-			(26,432	)
	Exchange of consideration for preferred stock in connection with Recapitalization				20,292			-			20,292			-			-			-
	Repayment to Department of the Treasury				(9,146	)		-			(9,146	)		-			-			-
	Net distributions				-			(21	)		(21	)		-			(74	)		(74	)
	Consolidation (deconsolidation)				-			(308	)		(308	)		-			(6	)		(6	)
	Acquisition of noncontrolling interest				-			-			-			-			(468	)		(468	)
	Comprehensive income:
		Net income			319			6			325			74			22			96
		Accumulated other comprehensive loss, net of tax:
			Unrealized losses on investments		-			-			-			-			(78	)		(78	)
			Foreign currency translation adjustments		-			-			-			-			31			31
		Total accumulated other comprehensive loss, net of tax			-			-			-			-			(47	)		(47	)
	Total comprehensive income (loss)				319			6			325			74			(25	)		49
Other					-			-			-			-			(41	)		(41	)
Balance, end of period				$	11,465		$	111		$	11,576		$	-		$	948		$	948

				Redeemable Noncontrolling interests								Non-redeemable Noncontrolling interests
(in millions)				Held by Department of Treasury		Other			Total			Held by FRBNY		Other			Total
Six Months Ended June 30, 2010
Balance, beginning of year				$	-	$	959		$	959		$	24,540	$	3,712		$	28,252
	Net contributions				-		215			215			-		20			20
	Consolidation (deconsolidation)				-		757			757			-		(2,148	)		(2,148	)
	Comprehensive income:
		Net income			-		16			16			1,027		146			1,173
		Accumulated other comprehensive income (loss), net of tax:
			Unrealized gains on investments		-		7			7			-		14			14
			Foreign currency translation adjustments		-		(6	)		(6	)		-		(171	)		(171	)
		Total accumulated other comprehensive income (loss), net of tax			-		1			1			-		(157	)		(157	)
	Total comprehensive income (loss)				-		17			17			1,027		(11	)		1,016
Other					-		(25	)		(25	)		-		114			114
Balance, end of period				$	-	$	1,923		$	1,923		$	25,567	$	1,687		$	27,254

Computation of basic and diluted EPS

			Three Months Ended June 30,						Six Months Ended June 30,
(dollars in millions, except per share data)			2011			2010			2011			2010
Numerator for EPS:
	Income from continuing operations		$	2,094		$	496		$	914		$	2,584
	Net income from continuing operations attributable to noncontrolling interests:
		Nonvoting, callable, junior and senior preferred interests		141			508			393			1,027
		Other		64			20			9			139
	Total net income from continuing operations attributable to noncontrolling interests			205			528			402			1,166
	Net income (loss) attributable to AIG from continuing operations			1,889			(32	)		512			1,418
	Income (loss) from discontinued operations		$	(37	)	$	(2,611	)	$	1,616		$	(2,268	)
	Net income from discontinued operations attributable to noncontrolling interests			12			13			19			23
	Net income (loss) attributable to AIG from discontinued operations			(49	)		(2,624	)		1,597			(2,291	)
	Deemed dividends			-			-			(812	)		-
	(Income) loss allocated to the Series C Preferred Stock – continuing operations			-			-			-			(1,131	)
Net income (loss) attributable to AIG common shareholders from continuing operations, applicable to common stock for EPS				1,889			(32	)		(300	)		287
	(Income) loss allocated to the Series C Preferred Stock – discontinued operations			-			-			-			1,828
Net income (loss) attributable to AIG common shareholders from discontinued operations, applicable to common stock for EPS			$	(49	)	$	(2,624	)	$	1,597		$	(463	)
Denominator for EPS:
	Weighted average shares outstanding – basic			1,836,713,069			135,813,034			1,698,001,301			135,745,903
	Dilutive shares			58,444			-			-			61,410
	Weighted average shares outstanding – diluted*			1,836,771,513			135,813,034			1,698,001,301			135,807,313
EPS attributable to AIG common shareholders:
Basic:
	Income (loss) from continuing operations		$	1.03		$	(0.25	)	$	(0.18	)	$	2.11
	Income (loss) from discontinued operations		$	(0.03	)	$	(19.32	)	$	0.94		$	(3.41	)
Diluted:
	Income (loss) from continuing operations		$	1.03		$	(0.25	)	$	(0.18	)	$	2.11
	Income (loss) from discontinued operations		$	(0.03	)	$	(19.32	)	$	0.94		$	(3.41	)

*

Dilutive shares are calculated using the treasury stock method and include dilutive shares from share-based employee compensation plans, and the warrant issued to the Department of the Treasury on April 17, 2009 to purchase up to 150 shares of AIG Common Stock (Series F Warrant). The number of shares excluded from diluted shares outstanding were 80 million and 72 million for the three- and six-month periods ended June 30, 2011 and 12 million for the three- and six-month periods ended June 30, 2010, respectively, because the effect would have been anti-dilutive. Shares excluded for the three- and six-month periods ended June 30, 2011 include 75 million and 67 million shares, respectively, representing the weighted average number of warrants to purchase AIG Common Stock that were issued to shareholders on January 19, 2011.