AIG Plunges as Sales Decline at Property-Casualty, Life Units

Third quarter property-casualty premiums dropped 13 percent, and life insurance sales plunged 16 percent, New York-based AIG said today in a statement. Net income of $455 million compares with a net loss of $24.5 billion a year earlier on fewer writedowns.

“Even with the profit, AIG’s still a sick company,” said Robert Haines, an analyst at CreditSights Inc. in New York. “The trends of the underlying business units are ultimately more important to the company than a positive quarterly figure.”