stock;price;and;financial;condition
deteriorated,;terms;of;the;contract
required;that;AIG;post;additional
collateral;to;the;counterparties;to
guarantee;compliance.
When;AIG;was;unable;to;raise
these;funds;in;the;open;market,;the
decline;in;its;financials;accelerated.
Currently,;AIG’s;loans;from;the
Federal;Reserve;Board;have;been
repaid,;and;its;government;involve-ment;is;now;mainly;through;Treasury
ownership;of;approximately;77%;of
its;common;stock.
DIVERSITY... TO A POINT
Wintrob;has;been;with;SunAmerica
for;25;years.;It;was;originally;based
in;Maryland,;and;its;headquarters
moved;to;Los;Angeles;after;it;was
acquired;by;Kaufman;and;Broad,;a
real;estate;company;that;was;then
diversifying.
SunAmerica;was;acquired;by;AIG
in;1999.;American;General,;a;huge
life;insurance;company;and;a;large
player;in;the;403(b);and;fixed;annuity
businesses,;and;based;in;Houston,
was;acquired;by;AIG;in;August;2001.
SunAmerica;Financial;Group
now;includes;American;General,;its
primary;life;insurance;platform;and
numerous;other;operations,;includ-ing;AGLA;(which;focuses;on;providing
life;products;to;the;middle;market),
VALIC;(a;leader;in;group;retirement
products),;and;Western;National;Life
(the;top;distributor;of;fixed;annuities
in;the;bank;channel;for;15;consecu-
tive;years).;The;group;also;includes
SunAmerica’s;variable;annuity;and
retail;asset;management;businesses
as;well;as;Advisor;Group,;one;of;the
largest;networks;of;independent
financial;advisors;in;the;U.S.
This;diversity,;Wintrob;says,;is;as
intentional;as;it;is;important;to;the
group’s;sense;of;risk;management.
SunAmerica;has;a;comprehensive
suite;of;live;and;savings;products,
Wintrob;says,;but;it;is;not;a;full
supermarket.;“We;don’t;sell;every
product;under;the;sun.”
It;may;not;need;to.;Wintrob;notes
that;SunAmerica;has;affiliated;distri-
bution;by;way;of;AGLA’s;career;insur-
ance;agents;and;VALIC’s;career;finan-
cial;advisors,;and;it;also;owns;one;of
the;largest;networks;of;independent
financial;planning;broker-dealers;in
the;United;States;with;roughly;4,600
financial;advisors;that;are;licensed
with;its;Advisor;Group;broker-dealers
— FSC;Securities,;Royal;Alliance;and
SagePoint;Financial.
NOT REALLY A COMEBACK
“You;might;remember;in;your;read-
ings;that;there;was;a;time;when
people;were;wondering;if;we;could
compete,;for;example,;in;the;area;of
education;conferences;and;top;pro-
ducer;meetings,;which,;as;you;know,
is;part;of;this;industry,;diligence
meetings,;and;there;were;some;early
incidents;with;other;parts;of;AIG;that
the;media;made;hay;over.”
But;toward;the;end;of;2009,;Sun-
America;was;back;in;business;and
fully;competing;in;every;way,;including
product;distribution;and;providing;top-
level;customer;service.;This,;Wintrob
says,;is;little;more;than;an;open
secret:;anybody;who;has;been;paying
close;attention;to;SunAmerica;would
have;seen;it;all;along.
The;real;secret,;Wintrob;says,;isn’t
what;SunAmerica;has;been;doing;to
become;what;is;probably;one;of;the
fastest-growing;life;and;retirement
savings;organization;in;the;country...
but;how;it;is;has;been;doing;it.
“It;is;a;combination;of;having
strong;personal;relationships,
a;strong;reputation;over;many,
many;years;of;doing;the;right;thing
for;the;customer,”;Wintrob;says.
“And;quite;frankly,;it;is;a;matter
of;just;wanting;it;more;than;other
people;because;we;all;have;such
commitment;to;what;has;been;built
here,;our;employees,;our;distribution
partners,;most;importantly,;the
customers;who;bought;and;held
our;products.”
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