AIG chairman Harvey Golub resigns

By Julianne Pepitone, staff reporter


NEW YORK (CNNMoney.com) -- American International Group chairman Harvey Golub resigned effective immediately Wednesday, citing issues with chief executive Bob Benmosche.

Benmosche told AIG's board of directors that his working relationship with Golub was "ineffective and unsustainable," Golub said in his resignation letter.

"I view asking the Board to choose between us [as] an abdication of my responsibility to lead," Golub added.

Golub said he is resigning for "the simple reason" that he believe it will be easier for AIG to replace its chairman than its CEO as the troubled insurer faces both corporate restructuring and the development of a plan to exit government control.

AIG (AIG, Fortune 500) has been selling off divisions of its company to pay back the $102 billion it owes taxpayers, after the struggling insurer took a series of bailouts from the government.

Robert S. (Steve) Miller will replace Golub. In his own statement, Miller said the company will "remain fully committed" to paying back the bailout money and restructuring to become a more focused insurer "worthy of investor confidence."

Miller, 68, was elected to AIG's board of directors in June 2009. To top of page

Frontline troops push for solar energy
The U.S. Marines are testing renewable energy technologies like solar to reduce costs and casualties associated with fossil fuels. Play
25 Best Places to find rich singles
Looking for Mr. or Ms. Moneybags? Hunt down the perfect mate in these wealthy cities, which are brimming with unattached professionals. More
Fun festivals: Twins to mustard to pirates!
You'll see double in Twinsburg, Ohio, and Ketchup lovers should beware in Middleton, WI. Here's some of the best and strangest town festivals. Play
Index Last Change % Change
Dow 17,098.45 18.88 0.11%
Nasdaq 4,580.27 22.58 0.50%
S&P 500 2,003.37 6.63 0.33%
Treasuries 2.34 0.01 0.39%
Data as of 6:32am ET
Company Price Change % Change
Bank of America Corp... 16.09 0.08 0.50%
Apple Inc 102.50 0.25 0.24%
Intel Corp 34.92 0.27 0.78%
General Electric Co 25.98 -0.03 -0.12%
Microsoft Corp 45.43 0.00 0.00%
Data as of Aug 29

Sections

Union organizers say that fast food workers will strike in more than 150 cities on Thursday. Workers want a $15 minimum wage and protection from retaliation by employers. More

Gas prices are falling to nearly $3 a gallon in some parts of South Carolina, and that will soon be common in much of the country. More

Xiaomi is beating Apple and Samsung in China and 'selling a dream' as it bids for world smartphone domination. More

The Coolest Cooler is the most successful Kickstarter campaign in the site's history, raising $13.3 million from over 62,000 backers. More

Five CNNMoney readers share stories about saving that you can learn from: What they would do differently if they had another chance. More

Market indexes are shown in real time, except for the DJIA, which is delayed by two minutes. All times are ET. Disclaimer Morningstar: © 2014 Morningstar, Inc. All Rights Reserved. Disclaimer The Dow Jones IndexesSM are proprietary to and distributed by Dow Jones & Company, Inc. and have been licensed for use. All content of the Dow Jones IndexesSM © 2014 is proprietary to Dow Jones & Company, Inc. Chicago Mercantile Association. The market data is the property of Chicago Mercantile Exchange Inc. and its licensors. All rights reserved. FactSet Research Systems Inc. 2014. All rights reserved. Most stock quote data provided by BATS.