AIG to put property and casualty into SPV

NEW YORK, April 21 (Reuters) - American International Group Inc said on Tuesday it will place AIU Holdings in a special entity as it moves to separate its property and casualty operations as part of a restructuring plan.
AIG plans to put in the equity of AIU Holdings, which will hold AIG's commercial insurance, foreign general insurance, and private client group units, into a special purpose vehicle. In return, AIG will get preferred and common interests in the vehicle, it said.
AIG said it also intends to buy AIU Holdings' equity interests in International Lease Finance Corp, United Guaranty Corp and Transatlantic Holdings Inc.
The move is the first step in the process announced on March 2 that will result in AIU Holdings having a separate board of directors, management team and brand, it said.