“Taxpayers have lent AIG $132.6 billion, but the probability that the government would recoup all of those funds fell even further this week after the insurer failed to complete a crucial asset sale.  AIG had agreed in March to sell Asian life insurance unit AIA to Prudential PLC for $35.5 billion, but AIG terminated that deal on Thursday after Prudential tried to lower its bid to $30.4 billion.” Read more.