Date:23/12/2008 URL: http://www.thehindu.com/2008/12/23/stories/2008122356271500.htm

Business

Munich RE to buy AIG’s HSB unit

BERLIN: Reinsurer Munich Re AG on Monday said it would pay $742 million to buy Hartford Steam Boiler from its embattled parent company, American International Group. The purchase price is considered well below HSB’s value, estimated at between $1 billion and $2 billion by the Financial Times, as AIG is forced to sell units to pay back a U.S. government bailout loan.