AIG recently posted a third-quarter of $24.5 billion, prompting the US government to rework the terms of it’s aid to the insurance giant in order to a) extend more money to AIG (another $40 billion, after $123 billion had already gone into buying up AIG equity and b) significantly reduce repayment terms to help stabilise the company and allow it to recover fully (as opposed to collapsing under the current crisis or under the weight of the government handouts).
For Manchester United, the message is clear – if there was any hope that AIG would recover in time to renew their deal as sponsors of the Manchester United shirt, they are now shot. David Gill was recently quoted as saying that United would have no trouble in finding a replacement if the need arose – it’s time for the Manchester United chairman to put that to the test and ensure that a shirt sponsor paying as much (and if possible more) than AIG’s 14m / year deal is brought in before the agreement with AIG ends, or worse, before AIG says they can’t pay their next year’s installment.
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