American International Group Inc will give its former chief executive Martin Sullivan a $47 million exit package.
Sullivan will receive a $15 million severance package along with a $4 million bonus. He also receives equity and cash awards worth around $28 million based on the company's closing stock price on Monday, according to a regulatory filing.
The former chief executive left the company after the AIG suffered heavy losses due to a corresponding decline in the subprime housing market. The company lost $5.29 billion in the fourth quarter of 2007. First quarter 2008 earnings were $7.81 billion.
Sullivan will be provided with an office and an assistant until the end of the year. He also signed a non-compete clause in effect for the same period.
Sullivan had held the role since March of 2005.