The Wall Street Journal is reporting that AIG is seeking to overhaul its $150 billion government bailout package that would substantially reduce the insurer's financial obligations.  The crux of the plan is for the government to swap about $60 billion in debt in exchange for certain AIG operating businesses.  The first question that arises is how do you value the operating companies being sold?  The second question is why should taxpayers make more bets on an AIG turnaround?  AIG does not appear to be a going concern reqardless of what the government does.  Do you know of anybody pressing to purchase AIG insurance policies?  Me either.  Here is the article:  http://online.wsj.com/article/SB123543559972054331.html