Robert Benmosche to become new AIG chief

NEW YORK: Robert H Benmosche, a former chief of insurer MetLife, will take over the reins as the president and chief executive officer of beleaguered insurer American International Group (AIG) from August 10.

Benmosche would take the place of AIG's chairman and chief Edward M Liddy. His appointment would be effective from August 10, AIG said in a statement on Monday.

"AIG and American taxpayers are fortunate to gain the commitment of Bob Benmosche, a highly experienced executive who understands the challenges and opportunities of restructuring complex organizations," Liddy said.

Battered by the financial turmoil, AIG was pushed to the brink and received Federal funds to stay afloat. Liddy took over as the chief late last year and has come under fire from various quarters, especially for the issue of huge bonuses shelled out to employees.

The 65-year-old Benmosche is former chairman, president, and chief executive officer of MetLife. He also led the transition of MetLife from a mutual to a public company in 2000.

Meanwhile, AIG said that the company's vice chairman and chief restructuring officer Paula Rosput Reynolds, has decided to leave the company effective late in the third quarter of 2009.