close

policy

We would like to invite you to continue a survey you have started. ...

Do you trust your insurer ?

Strongly agree
Agree
Disagree
Strongly disagree
Insurance provides peace of mind
Insurance is purchased only when compulsory
Terms and Conditions (small print) are clear and easily accessible
Insurance jargon (language) stands in the way of fully understanding each policy
Insurance companies try their best to uphold the details of the policy without cutting corners
Reducing risk, cutting costs and profits are more important to an insurance company than the customer
Insurance companies in the region are as professional as in other more developed markets
Gender
Age group
Do you feel your insurance provider works in your interest?
Have you had a rejected claim that you feel was not justified?
Do you trust your insurance provider?
Our Network

Register for our free newsletter

 
 
Latest News

Banks take over AIG property arm Dubai assets-source

Outstanding amount is about $117 million - source.

0

February 4, 2011 10:46 by



Banks have taken over control of two Dubai properties belonging to the real estate arm of American International Group Inc (AIG)  after it refused to pay up to cover lenders’ risk, a source familiar with the proceedings told Reuters on Thursday.

“They breached a valuation covenant. Banks were willing to talk, taking over the asset is always the last resort,” said the source speaking on condition of anonymity. “Banks lost their patience.”

The breach of contract refers to a five-year Islamic credit facility provided in 2008 by a syndicate of several banks, which was used to finance the acquisition of two commercial buildings in the Gulf Arab emirate at the height of its property boom.

The value of the deal, structured as an Islamic leasing agreement, or Ijara, was undisclosed at the time but the source said it was understood that the outstanding amount is about 430 million dirhams ($117 million).

Banks in the syndicate included Noor Islamic Bank, National Bank of Abu Dhabi , Abu Dhabi’s First Gulf Bank , United Arab Bank  and United Bank Ltd. AIG’s near-collapse in September 2008 shook global financial markets and prompted the U.S. Treasury to rescue the insurer with a $182 billion bailout.

At the time, AIG began conducting a fire sale of its assets to repay the government but has been unable to find buyers for its Dubai assets after putting them up for sale in 2009.

The company manages $24.3 billion of real estate for clients and AIG companies, according to its website, with investments spanning the United States, Asia, Europe and Latin America.

(Editing by David Holmes)



0

Tags: , , , ,

Leave a Comment