AIG Vice Chairman Frenkel Retires

American International Group Inc. said Vice Chairman Jacob A. Frenkel has retired; the economist had delayed his departure as the government-controlled insurer recovered from its near collapse.

Frenkel, who joined AIG in May 2004, also was the chairman of the company's global economic strategies group, and he is the chairman of the Group of 30, a consultative group of prominent economists and policymakers, and previously led the Bank of Israel.

AIG is in the midst of a long struggle to pay back taxpayers roughly $90 billion. It is trying to keep its businesses stable and its employees motivated while also planning numerous asset sales.