Document:

EX-10.92

Exhibit 10(92)

     The undersigned hereby confirm that they have reached an agreement in principle consistent
with the annexed term sheet.

	 	 	 	 	 	 	 	 	 
	UNITED STATES DEPARTMENT OF	 	 	 	AMERICAN INTERNATIONAL
	     THE TREASURY	 	 	 	     GROUP, INC.
	 
	 	 	 	 	 	 	 	 
	By:

	 	/s/ Neel Kashkari
	 	 	 	By:
	 	/s/ Edward M. Liddy
	 

	 	 
	 	 	 	 	 	 
	 

	 	Neel Kashkari
	 	 	 	 	 	Edward M. Liddy
	 

	 	Interim Assistant Secretary
	 	 	 	 	 	Chairman and Chief Executive
	 

	 	For Financial Stability
	 	 	 	 	 	Officer

Dated: March 1, 2009

 

Annex

Term Sheet for Exchange of Series D Fixed Rate Cumulative Perpetual Preferred Stock for Series E
Fixed Rate Non-Cumulative Perpetual Preferred Stock and Issuance of Additional Preferred Stock

[Attached]

 

 

Term Sheet

Exchange of Series D Fixed Rate Cumulative Perpetual Preferred Stock for Series E
Fixed Rate Non-Cumulative Perpetual Preferred Stock 

The
Series D Fixed Rate Cumulative Perpetual Preferred Stock (the
“Series D Preferred Stock”) of American
International Group, Inc. (“AIG”) issued to the
United States Department of the Treasury (“UST”) on
November 25, 2008 shall
be exchanged for Series E Fixed Rate Non-Cumulative Perpetual Preferred Stock (the “Series E
Preferred Stock”) of AIG, with the following changes to the terms of the Series D Preferred Stock:

	 	 	 
	Dividends:

	 	Holders of Series E Preferred Stock
will be entitled to receive, only
when, as and if declared by the
Board of Directors of AIG or a duly
authorized committee thereof,
non-cumulative cash dividends on the
liquidation preference at a rate of
10% per annum. Declared dividends
will be payable quarterly in arrears
on February 1, May 1, August 1 and
November 1 of each year.
	 
	 

	 	Dividends on the Series E Preferred
Stock will not be entitled to receive any
dividends not declared by the Board
of Directors of AIG or a duly
authorized committee thereof and no
interest, or sum of money in lieu of
interest, will be payable in respect
of any dividend not so declared.
	 
	Exchange Ratio:

	 	The aggregate liquidation preference
of the Series E Preferred Stock will
be equal to the sum of the aggregate
liquidation preference of the Series
D Preferred Stock and the amount of
the accrued and unpaid dividends
under the Series D Preferred Stock.
	 
	Voting:

	 	If dividends on the Series E
Preferred Stock are not paid in full
for four dividend periods, whether
or not consecutive, the Series E
Preferred Stock will have the right
to elect the greater of two
directors and a number of directors
(rounded upward) equal to 20% of the
total number of directors after
giving effect to such election. The
right to elect directors will end,
and such two directors shall resign,
if such directors were elected, when
full dividends have been paid for
four consecutive dividend periods
following commencement of such
right.
	 
	Replacement Capital Covenant:

	 	
AIG will enter into a Replacement
Capital Covenant in favor
of the holders of the covered debt pursuant to
which AIG will agree that prior to
the third anniversary of the
issuance of the Series E Preferred
Stock it will not repay, redeem or
purchase, and no subsidiary of AIG
will purchase, all or any part of
the Series E Preferred Stock except
with the proceeds obtained from the
issuance by AIG or any such
subsidiary of certain replacement
capital securities.

 

 

	 	 	 
	Replacement Capital Intention:

	 	
AIG intends that commencing on the
third anniversary of the issuance of
the Series E Preferred Stock it will
not repay, redeem or purchase, nor
will any subsidiary of AIG purchase,
all or any part of the Series E
Preferred Stock except with the
proceeds from the issuance by AIG or
any such subsidiary of securities
for which AIG will receive equity
credit, at the time of sale or
issuance, that is, in the aggregate,
equal to or greater than the equity
credit attributed to the Series E
Preferred Stock redeemed at the time
of such early redemption.
	 
	Executive Compensation:

	 	Until such time as no obligation of
AIG arising from financial
assistance provided under the
Troubled Asset Relief Program
remains outstanding (excluding any
period during which the federal
government only holds warrants to
purchase common stock of AIG), AIG
shall comply in all respects with
Section 111 of the Emergency
Economic Stabilization Act of 2008,
as amended, as implemented by any
guidance or regulations issued
and/or to be issued thereunder
including any amendments to the
guidelines implementing the Programs
of Systemically Significant Failing
Institutions.

Issuance of Additional Preferred Stock

	 	 	 
	Issuer:

	 	AIG
	 
	Initial Holder:

	 	UST
	 
	Security:

	 	Shares of Series F Preferred Stock to be issued from
time to time at the request of
AIG.1
	 
	Issue Price:

	 	Upon each drawdown the aggregate
liquidation preference of the shares of the Series F Preferred
Stock will increase by either an amount equal to the amount of such
drawdown or by the aggregate liquidation preference of the shares of
the Series F Preferred Stock issued on the closing date
of such drawdown.
	 
	Capacity:

	 	Up to $30 billion aggregate liquidation preference.
	 
	Duration of Facility:

	 	5 years beginning on
commencement date of the facility.

 

			
	1	 	The terms of the Series F Preferred Stock will be same
as the terms of the Series E Preferred Stock except that the Series F Preferred
Stock will not be subject to the Replacement Capital Covenant or the
Replacement Capital Intention.

2

 

	 	 	 
	Warrants:

	 	The UST will receive a warrant (“Warrant”) to purchase
a number of shares of common stock of AIG (“Common
Stock”) equal to 1% of the issued and outstanding
shares of Common Stock on the commencement date of the
facility. The initial exercise price for the Warrant
shall be $2.50 per share of Common Stock (representing
the par value of the Common Stock on the commencement
date of the facility), subject to customary
anti-dilution adjustments; provided that the initial
exercise price per share of Common Stock shall be
adjusted to the par value per share of the Common Stock
following the amendments to AIG’s Restated Certificate
of Incorporation contemplated by the terms of the
Series C Perpetual, Convertible, Participating
Preferred Stock of AIG. The Warrant shall be net share
settled or, if consented to by AIG and the UST, on a
full physical basis.
	 
	Conditions
to
Commencement:

	 	
On the commencement date of the facility AIG shall:
	 
	

	 	- make representations and warranties essentially in
the form as set forth in the following sections of the
Series D Preferred Stock Securities Purchase Agreement: Section 2.2(a) (With respect to the incorporation and
good standing of AIG), 2.2(b) (Capitalization), 2.2(c)
(Preferred Stock), 2.2(d) (The Warrant and Warrant
Shares) and 2.2(e)(i) (Authorization, Enforceability);
and
	 
	 

	 	
- deliver written opinions from counsel to AIG (which
may be internal counsel) comparable to those delivered
at the closing of the Series D Preferred Stock
offering.
	 
	Executive 

Compensation:

	 	
Until such time as no obligation of AIG arising from
financial assistance provided under the Troubled Asset
Relief Program remains outstanding (excluding any
period during which the federal government only holds
warrants to purchase common stock of AIG), AIG shall
comply in all respects with Section 111 of the
Emergency Economic Stabilization Act of 2008, as
amended, as implemented by any guidance or regulations
issued and/or to be issued thereunder including any
amendments to the guidelines implementing the Programs
of Systemically Significant Failing Institutions.

3

 

	 	 	 
	Conditions
to
Closing of Each
Drawdown:

	 	
As a condition to the closing of each drawdown:
	 
	 

	 	- AIG shall not be the debtor in a pending case under
Title 11, United States Code;

	 
	 

	 	- the AIG Credit Facility Trust (or any successor
entity established for the benefit of the United States
Treasury) shall “beneficially own” more than 50% of the
voting power of the aggregate voting power of AIG’s
voting securities at the time of such drawdown.
“Beneficially owns” is as defined in Rule 13d-3 under
the Securities Exchange Act of 1934;

	 
	 

	 	- AIG shall deliver a certificate signed on behalf of
AIG by a senior executive officer certifying to the
effect that the representations and warranties made on
the commencement date are true and correct in all
material respects on and as of such closing date; and

	 
	 

	 	- AIG shall deliver certificates in proper form or,
with the prior consent of UST, evidence of shares in
book-entry form, evidencing the shares of the Series F
Preferred Stock to be issued on such closing date to
UST or its designee.

	 
	 

	 	- AIG shall duly execute the relevant warrant and
deliver such executed warrant to UST or its
designee(s).

4EX-10.93

Exhibit
10(93)

EXECUTION COPY

SUPPORT AGREEMENT

     AGREEMENT (this “Agreement”), dated as of July 10, 2008 between AMERICAN INTERNATIONAL
GROUP, INC., a Delaware corporation (“AIG”), and AMERICAN GENERAL FINANCE CORPORATION, an
Indiana corporation (“AGFC”).

W I T N E S S E T H:

     WHEREAS, AIG owns as of the date hereof indirectly all of the issued and outstanding common
stock of AGFC; and

     WHEREAS, AGFC desires to enter into the AGFC 364-Day Credit Agreement (as defined below) which
provides for borrowings by AGFC from time to time as provided therein; and

     WHEREAS, in connection therewith, AIG desires to take certain actions to maintain the
financial condition of AGFC as hereinafter set forth; and

     WHEREAS, the corporate interests of AIG will be furthered by its entering into this Agreement;

     NOW THEREFORE, AGFC and AIG hereby agree as follows:

     1. Definitions. As used in this Agreement, the following terms shall have the meanings
specified below:

          “Adjusted Debt” shall mean, at any time, the sum of short term debt and long term debt
of AGFC and its subsidiaries as shown on AGFC’s consolidated balance sheet, less the sum of (x) the
amount of unrestricted cash and cash equivalents as shown on AGFC’s consolidated balance sheet in
excess of $250,000,000 and (y) (but only to the extent included in such debt) the amount of hybrid
debt then outstanding that is afforded equity credit as disclosed in AGFC’s most recently filed
Annual Report on Form 10-K or Quarterly Report on Form 10-Q.

          “Adjusted Tangible Leverage Ratio” shall mean, at any time, the ratio of (i) Adjusted
Debt to (ii) Adjusted Tangible Net Worth.

          “Adjusted Tangible Net Worth” shall mean, at any time, Consolidated Net Worth, less
the sum of the total amount of goodwill, and other intangible assets, all determined in accordance
with GAAP, plus (without duplication) the amount of hybrid debt then outstanding that is afforded
equity credit as disclosed in AGFC’s most recently filed Annual Report on Form 10-K or Quarterly
Report on Form 10-Q.

          “AGFC 364-Day Credit Agreement” shall mean the 364-Day Credit Agreement, dated as of
July 10, 2008, by and between AGFC and American General Finance, Inc., as borrowers, and Citibank,
N.A., as administrative agent, and the lenders party thereto, as amended

Support Agreement

 

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and in effect from time to time.

          “Consolidated Net Worth” shall mean, at any time, AGFC’s total shareholders’ equity
minus the amount of accumulated other comprehensive income or loss as shown on AGFC’s
consolidated balance sheet.

          “GAAP” shall mean generally accepted accounting principles in effect from time to time
in the United States, applied on a consistent basis.

     2. Support Undertakings.

     A. AIG will cause AGFC at all times to maintain Consolidated Net Worth of at least
$2,200,000,000.

     B. AIG will cause AGFC at the end of each fiscal quarter to maintain the Adjusted Tangible
Leverage Ratio of less than or equal to 8.00 to 1.00; provided that if the Adjusted
Tangible Leverage Ratio at the end of any fiscal quarter shall be greater than 8.00 to 1.00, AIG
shall be in compliance with its undertaking with respect to such fiscal quarter under this
paragraph 2.B if, not later than (a) in the case of the first three fiscal quarters of each fiscal
year of AGFC, the earlier of (i) the filing by AGFC with the Securities and Exchange Commission
(“SEC”) of a Quarterly Report on Form 10-Q for such fiscal quarter and (ii) 45 days after
the end of such fiscal quarter or (b) in the case of each fiscal year of AGFC, the earlier of (i)
the filing by AGFC with the SEC of an Annual Report on Form 10-K for such fiscal year and (ii) 90
days after the end of such fiscal year, AIG will cause a capital contribution to be made to AGFC or
otherwise cause AGFC to take actions such that if such capital contribution had been made or such
actions had been taken as of the last day of such fiscal quarter or fiscal year, as applicable,
together with any other capital contributions or actions, if any, made or taken subsequent to the
end of such fiscal quarter or fiscal year, as applicable, such Adjusted Tangible Leverage Ratio
would have been less than or equal to 8.00 to 1.00.

     3. No Guarantee. This Agreement is not, and nothing herein contained and nothing herein
contained and nothing done pursuant hereto by AIG shall be deemed to constitute, a direct or
indirect guarantee by AIG of the payment of any indebtedness or other obligation or liability, of
any kind or character whatsoever, of AGFC or its subsidiaries, if any.

     4. Representations and Warranties. AIG represents and warrants that: AIG has duly authorized,
executed and delivered this Agreement; neither the execution and delivery hereof nor the
consummation of the transactions contemplated hereby nor the compliance with the terms hereof (i)
does or will contravene (1) AIG’s restated certificate of incorporation or by-laws or (2) any other
law or regulation then applicable to or binding on AIG, (ii) does or will contravene or result in
any breach or constitute any default under any agreement or instrument to which AIG is a party or
by which it or any of its properties may be bound, or (iii) does or will require the consent or
approval of any person or entity which has not previously been obtained, in the case of each of
(i), (ii) and (iii) above, in a manner that would materially impair AIG’s ability to perform its
obligations under this Agreement; and this Agreement constitutes the legally valid and binding
obligation of AIG, enforceable against AIG (and its successors and assigns) in accordance with the
terms of this Agreement, subject to applicable bankruptcy, insolvency,

Support Agreement

 

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moratorium and other similar laws affecting creditors’ rights generally and general principles of
equity.

     5. Waiver. AIG hereby waives any failure or delay on the part of AGFC in asserting or
enforceing any of its rights or in making any claims or demands under this Agreement.

     6. Modification, Amendment and Termination. This Agreement may only be modified or amended so
as to reduce AIG’s obligations hereunder with the consent of the Majority Banks (as defined in the
AGFC 364-Day Credit Agreement), and this Agreement shall terminate automatically upon: (i) the
earlier of (x) the Commitment Termination Date (as defined in the AGFC 364-Day Credit Agreement) or
(y) the termination of the Commitments (as defined in the AGFC 364-Day Credit Agreement)
thereunder; and (ii) any of the following: (x) payment in full of the loans, if any,
outstanding and all other amounts owing under the AGFC 364-Day Credit Agreement, (y) AIG providing
an irrevocable and unconditional written guarantee of such payment in favor of the lenders party to
the AGFC 364-Day Credit Agreement or (z) consent in writing of the Majority Banks to such
termination.

     7. Successors. The agreements herein set forth shall be mutually binding upon, and inure to
the mutual benefit of, AIG and AGFC and their respective successors.

     8. Third Party Beneficiaries. AIG and AGFC hereby acknowledge that the agreements herein are
intended to benefit the Banks (as defined in the AGFC 364-Day Credit Agreement).

     9. Governing Law. This Agreement shall be governed by and construed in accordance with the
law of the State of New York.

Support Agreement

 

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     IN WITNESS WHEREOF, the parties hereto have duly executed and delivered this Agreement as of
the day and year first above written.

	 	 	 	 	 
	 	AMERICAN INTERNATIONAL GROUP, INC.

 	 
	 	By:  	/s/ Robert A. Gender
 	 
	 	 	Name:  	Robert A. Gender 	 
	 	 	Title:  	Vice President and Treasurer 	 
	 
	 	AMERICAN GENERAL FINANCE CORPORATION

 	 
	 	By:  	/s/ Donald R. Breivogel ,Jr.
 	 
	 	 	Name:  	Donald R. Breivogel, Jr. 	 
	 	 	Title:  	Senior Vice President and

Chief Financial Officer 	 
	 

 Support Agreement

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