American International Group Inc.
American International Group Inc. said Friday that it was profitable for the second consecutive quarter as its core insurance operations continue to stabilize after the company’s bailout by the government last year.
AIG also said the amount of its government financial assistance dropped by 4 percent during the third quarter. Its results got a lift from the increasing value of investments it still holds that soured last year and helped drive it to the brink of collapse.
Net income available to owners of common shares was $92 million in the three months ended Sept. 30, compared with a loss of $24.47 billion, or $181.02 per share, during the same quarter last year. Including the government’s portion of the profit, AIG earned $455 million, or 68 cents a share, during the latest quarter.
Berkshire Hathaway Inc.
Berkshire Hathaway Inc. said third-quarter profit tripled as stock markets advanced and the cost of compensating insurance customers for storm damage dropped.
Net income advanced to $3.24 billion, or $2,087 a share, from $1.06 billion, or $682, in the same period a year earlier, the Omaha-based company said Friday in a regulatory filing. Operating earnings, which exclude some investments and derivative results, were $1,325 a share, beating the $1,267 average estimate of three analysts surveyed by Bloomberg.
The company, controlled by Warren Buffett, shown above, buoyed by six months of increased profit, targeted Burlington Northern Santa Fe Corp. this week for the largest takeover in his four decades as Berkshire’s chairman.
Freddie Mac
Freddie Mac’s losses narrowed to $6.3 billion in the third quarter, but the government-controlled mortgage finance company didn’t need a federal cash infusion.
The McLean, Va.-based company has received about $51 billion since it was seized by federal regulators in September 2008 but said it didn’t need any more money for the second consecutive quarter.
Freddie Mac’s quarterly loss works out to $1.94 a share and includes $1.3 billion in dividends paid to the Treasury Department. It compares with a loss of $25.3 billion, or $19.44 a share, in the year-ago period.
