US government in £47bn AIG rescue

The US government will provide a £47.2bn emergency loan to rescue the huge insurer AIG, the Federal Reserve has said.

The bank said the US Treasury Department fully supported the decision.

The Fed said a "disorderly failure" of AIG could undermine already fragile financial markets.

Source:

http://news.aol.co.uk/us-government-in-47bn-aig-rescue/article/2008091617342092521598?rsp=UK%20News%5D