AIG Sees Small Subprime Risk; Others See More ($)
THE WALL STREET JOURNAL August 13, 2007; Page C1 Heard on the Street
By David Reilly

Yet the company's valuation models seem to ignore the fact that those derivatives would likely take a haircut if sold in today's depressed market. "There's no way these aren't showing a loss," says Janet Tavakoli, president of Tavakoli Structured Finance Inc., a Chicago research firm. That's simply a market reality, she adds, that should be showing up in AIG's results.

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