NY Fed Sells $1.3B In AIG Mortgage-Backed Securities

Law360, New York (April 6, 2011, 9:51 PM EDT) -- The Federal Reserve Bank of New York on Wednesday sold mortgage-backed securities with a face value of $1.3 billion in the first of multiple auctions of securities acquired from American International Group Inc. during the 2008 financial crisis.

The New York Fed was able to offload 42 of 52 Maiden Lane II LLC bonds that it offered with a total face value of $1.5 billion.

The successful sale comes just a week after the New York Fed rejected AIG's offer to buy the entire bundle of...
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