Fed Sold $7 Billion of Bonds From AIG Rescue to Credit Suisse
January 20, 2012, 4:01 PM ESTBy Caroline Salas Gage
Jan. 19 (Bloomberg) -- The Federal Reserve Bank of New York sold $7.01 billion in face value of mortgage bonds it assumed in the rescue of American International Group Inc. to Credit Suisse Group AG, the New York Fed said today.
The New York Fed sold the bonds through a “competitive process” after Goldman Sachs Group Inc. made an unsolicited offer to buy a portion of the assets held by a vehicle called Maiden Lane II LLC, which held the bonds, according to a statement posted on the New York Fed’s website.
“I am pleased with the strength of the bids and the level of market interest in these assets,” New York Fed President William C. Dudley said in the statement.
--Editors: James L Tyson, Paul Badertscher
To contact the reporter on this story: Caroline Salas Gage in New York at csalas1@bloomberg.net
To contact the editor responsible for this story: Christopher Wellisz at cwellisz@bloomberg.net
