AIG CFO Herzog out as Hancock shakes Up Management

American International Group Inc., the insurance companies are pressured by activist investor Carl Icahn to boost returns, said Chief Financial Officer David Herzog was one of the managers of the Summit left the company as Chief Executive Officer Peter Hancock shake up management.

SID Sankaran, the Chief Risk Officer, will take the role of CFO after AIG files its annual report with regulators early next year, an insurance company based in New York, said in a statement Thursday. Also leaving were John Doyle, head of commercial insurance, which is one of the most important business of AIG. Rob Schimek, who is the CEO of United, will take on the role of Doyle.
Hancock, who became CEO in September last year and recreated a month management, told investors after record third-quarter loss last month that the company plans to lay off approximately 23 percent of over 1400 member of senior management. He shrank the team leadership after telling staff in the town hall meetings that they should not count on a lifetime job with an insurance company, according to people familiar with the speech.

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"We are moving forward with a sense of urgency continues," said Smith in a statement. "I have my senior leadership structure to streamline in ways that will speed up decision making and ensure that we have a strong accountability of end-to-end."
The High Cost Of Debt

Herzog has been CFO since late 2008, helping insurance companies recovered from the bailout earlier that year. He is one of the top-paid employees of AIG and has focused recently on the debt redemption issued when interest rates are higher. Herzog was named last October by the U.S. Department of the Treasury to the Federal Advisory Committee on insurance, joining other industry leaders including the CEO of New York Life Insurance Co Ted Mathas.

Sankaran joined the company in 2010 from the consulting firm Oliver Wyman, a unit of insurance broker Marsh McLennan Cos. &, As AIG seeks to avoid the recurrence of gross negligence that caused billions of dollars of losses from derivatives contracts and rescue us. Hancock was also taken that year in the role of risk management.
"We are very surprised by the departure of Mr. Herzog," said analysts led by John Nadel in the Piper Jaffray consultant Cos. In a note. "We think Mr. Herzog is likely to land new roles within the industry very quickly. On the other hand, we are less surprised by the departure of Mr. Doyle remembers the recent lack of any significant improvement in the results of the commercial. "
AIG slipped 22 cents to $ 61.96 on 09:49 in New York, narrowing the profit for this year to be around 11 percent. The company has been decided about a year ago to shrink the size of team leadership, according to people familiar with the situation who asked not to be identified discussing internal deliberations.

Hernandez, Martinez
Also leaving is Jose Hernandez, who heads the Asia-Pacific region, and Eric Martinez, who is Executive Vice President of global operations and claims. AIG has taken longer than previously planned to integrate the unit with AIU Fuji fire and Marine at & Japan struggling with losses on underwriting coverage property-casualty.
"The show that runs from the main divisions have been worsened," John Heagerty, an analyst at Atlantic Equities, said in a note Thursday before departure was announced. "We saw a pretty left-headwinds. Market soured commercial insurance, low interest rates and a strong u.s. dollar is "

Dachille, Ulcer
Icahn said in October that Hancock had to break up AIG into three separate companies, one selling life insurance, victims of both the scope of the property-casualty and support third mortgages. The billionaire also mocking the inability of the Hancock for profit 10 percent in equity.

Doug Dachille, a former colleague of Hancock in J.p. Morgan Co. & named in July as head of AIG investment, given the additional task of supervising the Chief Science Officer of Murli Buluswar. Hancock has highlighted the role that the operation can have Buluswar trends analyzed the cost of claims. AIG intends to continue to improve the task group as the science grew Dachille, according to people familiar with the company's plans.

Seraina Maag, who is the head of Europe, Middle East and Africa, also add tasks. He was named CEO of the regional management and operations. EMEA, Americas and Asia Pacific CEO role are being consolidated. Kevin Hogan, who runs the consumer operations around the world, will experience an increase in scrutiny from Japan after the departure of Hernandez.
Alessa Quane will replace Chief Risk Officer as Sankaran and retain the role of the Chief Actuary of the company, reporting to the CFO and risk and capital Committee of Council