AIG Amends Separation Agreement with Corebridge

American International Group, Inc. (AIG) and Corebridge Financial, Inc. have announced an amendment to their Separation Agreement as of May 16, 2024. This amendment is in connection with AIG's agreement to sell approximately 20% of the outstanding Common Stock to Nippon Life Insurance Co. as part of a Proposed Transaction.

The amendment introduces a new term, "Navy Threshold Date," which is linked to the closing of the sale to Nippon Life Insurance Co. and AIG's beneficial ownership of the outstanding Common Stock. It also specifies the rights of AIG to include directors on the Corebridge Slate, with the number of AIG Directors dependent on AIG's beneficial ownership percentage of Corebridge.

Furthermore, the amendment addresses situations where AIG's beneficial ownership percentage of Corebridge decreases, requiring AIG to cause a number of AIG Directors to resign from the Board within a specified timeframe. It also addresses the scenario where Corebridge is required by Applicable Law to increase the number of Independent Directors serving on the Corebridge Board.

The amendment also makes changes to the Separation Agreement by replacing "First Threshold Date" with "Navy Threshold Date" in Section 5.1(a).

The market has reacted to these announcements by moving the company's shares 0.3% to a price of $79.16. If you want to know more, read the company's complete 8-K report here.

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