Paterson Offers Aid to Troubled AIG ALBANY, NEW YORK (WXXI) - New York Governor David Paterson is offering government help to try to save AIG from insolvency, as the bad news from Wall Street continues.

Paterson says he's directed his Superintendent of Insurance to change state rules and permit AIG to access up to $20 billion dollars of assets from it's subsidiaries. The company can use those assets as collateral, to obtain the cash the company needs to keep from going under. Paterson says no taxpayer dollars will be involved in the aid plan.

"This is not a government bail out," said Paterson, who described the deal as a "bridge loan" to allow AIG to borrow against it's own assets.

The amount represents around half of what AIG has said it needs to stay in business. The company employs around 8500 people in New York and countless others hold policies with the company.



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