NEW YORK May 4 The Federal Reserve Bank of New
York is accepting bids from nine broker-dealers in an attempt to
sell off more of the risky assets it acquired in the 2008
bailout of giant U.S. insurer American International Group
The regional Fed bank said on Friday it had initiated a
competitive bidding process for the collateralized debt
obligations (CDOs) in its Maiden Lane III portfolio.
Last week, Barclays Capital and Deutsche Bank
submitted winning bids for other assets in the
portfolio. The New York Fed started exploring the sale of the
assets last month "in light of improving market conditions."
The Fed bank made the move "in response to several strong
reverse inquiries" for holdings in the two Triaxx CDOs in the
portfolio, it said. Bids will be due on May 10.
Units of Barclays, Citigroup Inc, Credit Suisse AG
, Deutsche Bank, Goldman Sachs Group Inc, Bank
of America, Morgan Stanley, Nomura, and
Royal Bank of Scotland were invited to submit bids, the
New York Fed said, based on expressions of interest.