Leverage decisions made in 2004..

Who doesn't love a good "government meeting in the basement to do the bidding of investment bankers" stories?

Finally, the NYTimes does some journalism regarding Paulson's plea on behalf of investment banks to increase leverage limits in 2004. Decision made by the SEC in the basement, where they would soon all end up... Read here.

Insurance company leverage kills...

Here's how its leverage (assets to equity) stacked up against other insurance operations as of December 2007:

AIG: 11 to 1.
Markel (NYSE: MKL): 4 to 1.
Berkshire Hathaway (NYSE: BRK-B): 2 to 1.
Montpelier Re (NYSE: MRH): 2 to 1.
Travelers (NYSE: TRV): 4 to 1.
White Mountains Insurance (NYSE: WTM): 4 to 1.
Chubb (NYSE: CB): 4 to 1.

AIG "knows money" commercial, comedy.