AIG axes Goldman as its main corporate adviser: report

(BestGrowthStock) – American International Group (AIG.N: ) has replaced Goldman Sachs (GS.N: ) as its main corporate adviser with Citigroup (C.N: ) and Bank of America Corp (BAC.N: ), the New York Times said, citing three people with knowledge of the matter.

AIG met with its two new advisers on Thursday, the paper said.

AIG, Goldman, Bank of America and Citigroup could not immediately be reached for comment by Reuters, outside regular U.S. business hours.

The paper said the bailed-out insurer had retained Goldman to help reorganize its businesses, and advise on how it could sell off parts of its business to help return government bailout money while still preserving units to be part of a surviving company.

While AIG is the first company known to have canceled major work with Goldman, European officials and some local officials in the United States have also said they are reconsidering their relationships with the company, the paper said.

Goldman has come under pressure since it was charged last month with fraud by the U.S. Securities and Exchange Commission over its marketing of a subprime mortgage product.

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(Reporting by Brenton Cordeiro in Bangalore; Editing by Muralikumar Anantharaman)

AIG axes Goldman as its main corporate adviser: report