The government is providing new financial assistance to troubled insurance giant American International Group. It includes pouring $40 billion into the company in return for partial ownership. The action was announced jointly by the Federal Reserve and the Treasury Department Monday morning. All told the moves boost aid to the company to around $150 billion.
RENEE MONTAGNE, host: NPR's business news starts with a new and bigger bailout for AIG.</s>RENEE MONTAGNE, host: The Treasury and the Federal Reserve today announced a new bailout package for the troubled insurance giant AIG. The Federal Reserve has already extended the company more than $120 billion in funding. That hasn't stabilized it. Now the Fed and the Treasury have come up with a new, rejiggered rescue package that replaces previous measures. It includes lower interest rates on loans and the purchase of $40 billion in AIG shares. The total cost of this new AIG bailout is about $150 billion.