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. 
| Index | Last | Change | % Change |
|---|---|---|---|
| Dow | 15,387.58 | 52.30 | 0.34% |
| Nasdaq | 3,502.12 | 5.69 | 0.16% |
| S&P 500 | 1,669.16 | 2.87 | 0.17% |
| Treasuries | 1.94 | -0.02 | -1.07% |
| Company | Price | Change | % Change |
|---|---|---|---|
| Bank of America Corp... | 13.44 | -0.07 | -0.52% |
| Ford Motor Co | 14.96 | 0.00 | 0.00% |
| Microsoft Corp | 34.85 | -0.23 | -0.66% |
| Cisco Systems Inc | 24.01 | 0.06 | 0.27% |
| Merck & Co Inc | 47.33 | 2.12 | 4.69% |
|
Saks Fifth Avenue could be offering a rare, high-ticket luxury item: Itself. More |
The Army is planning to launch a new reality TV program, "Starting Strong" on June 2, aimed at recruiting 18 to 24-year-olds to enlist in the military. More |
Microsoft is making a bid to own the living room with its new entertainment device. More |
Only a tiny fraction of small businesses must comply with new Obamacare rules. And most of them are already providing insurance to employees. More |
The Federal Emergency Management Agency announced a series of aid programs available to tornado victims who live in one of the Oklahoma counties declared a disaster area by President Obama. More |
.
