American International Group (AIG) has reported a net income of $19.8bn, or $10.43 diluted earnings per share, for the fourth quarter of 2011, compared to $2.3bn, or $16.60 diluted earnings per share, for the same period in 2010.
The fourth quarter results were impacted by $17.7bn tax benefit as the company released some of its deferred tax assets.
AIG’s global property insurance unit Chartis reported an operating income of $348m for the fourth quarter of 2011, compared to an operating loss of $4bn for the same period a year ago despite $467m of catastrophe losses, including $368m related to the Thailand floods.
The company’s SunAmerica unit reported an operating income of $931m, compared to $1bn for the same period in the previous year.
For the full year of 2011, AIG posted a net income of $16.99bn, compared to $1.58bn for the same period in 2010.
AIG president and CEO Robert Benmosche said that fourth quarter and full year profitability reflects the commitment and focus on business fundamentals by everyone at the company.
"The quality of our earnings, against the backdrop of record natural catastrophes, enables this great company to again stand proud as a market leader," Benmosche said.