AIG Announces Sale of Prime Tokyo Real Estate Asset for Approximately $1.2 Billion in Cash to Nippon Life Insurance Company

NEW YORK--(Business Wire)--
American International Group, Inc. (AIG) announced today an agreement to sell
its prime real estate holding in Tokyo for approximately $1.2 billion in cash
(¥115,500mm) to Nippon Life Insurance Company. The property consists of
approximately one acre of land on which The AIG Otemachi Building in Tokyo is
situated.

The property`s Marunouchi 1 chome address is one of the most coveted in central
Tokyo's downtown business district. Marunouchi, Tokyo`s business center, is the
highest rent district in Japan with demand for Class A space typically exceeding
supply. AIG`s property is unique within the district because of its location
next to and overlooking the inner moat of the Imperial Palace.

The transaction is expected to close during the second quarter.

Edward Liddy AIG`s Chairman and Chief Executive Officer said, "This is a
significant transaction because of the prominence and unique nature of the
property and the highly attractive value that both AIG and Nippon Life Insurance
Company are realizing through the transaction. This transaction has been
successfully negotiated by AIG despite the difficult real estate market
environment in Japan and globally. The sale generated substantial interest from
both Japanese and foreign investors, resulting in a very competitive bidding
process. AIG is pleased to effectively monetize this asset within the context of
its restructuring effort. We view this transaction as a win-win for all
concerned, with Nippon Life Insurance Company acquiring a premier real estate
asset.

"We have reached agreement or closed over a dozen deals in the past several
months, despite a very challenging economic environment. We presently are in
various stages of discussions with respect to other potential transactions, as
we continue to move forward with our asset disposition and restructuring efforts
in order to serve the best interests of AIG and its constituents," Mr. Liddy
stated.

Merrill Lynch & Co. acted as financial advisor and Simpson Thacher & Bartlett
LLP and Anderson Mori & Tomotsune acted as legal counsel to AIG on this
transaction. Blackstone Advisory Services provided financial advice to AIG in
connection with AIG`s global restructuring program.

American International Group, Inc. (AIG), a world leader in insurance and
financial services, is the leading international insurance organization with
operations in more than 130 countries and jurisdictions. AIG companies serve
commercial, institutional and individual customers through the most extensive
worldwide property-casualty and life insurance networks of any insurer. In
addition, AIG companies are leading providers of retirement services, financial
services and asset management around the world. AIG's common stock is listed on
the New York Stock Exchange, as well as the stock exchanges in Ireland and
Tokyo.

AIG
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