American International Group has named chairman Robert Willumstad to the additional position of CEO of the group.

The board has also named Stephen Bollenbach as its lead independent director. Mr Willumstad succeeds Martin Sullivan, who is leaving American International Group (AIG) and its board of directors. Mr Willumstad has been chairman of the board of AIG since November 2006.

George Miles, chairman of the nominating and corporate governance committee of the board of directors, said: Martin successfully led AIG through the crisis it faced when he became CEO in 2005, and he has made significant contributions over the past three years in executing AIG’s strategy and building on its global franchise.

The board has determined that Bob’s broad managerial and financial services experience makes him the right person to lead AIG through today’s turbulent markets, drive further organizational change and rebuild shareholder value in the years ahead.