New York Fed details assets bought for Bear Stearns, AIG bailouts

REGULATORS

N.Y. Fed details assets bought for bailouts

The Federal Reserve Bank of New York released new details Wednesday about the assets it acquired as part of the rescues of Bear Stearns and American International Group in 2008.

In response to congressional pressure, the New York Fed posted 161 pages of data detailing the identity and principal balances of the securities in each of its three "Maiden Lane" portfolios. The first was created to facilitate the rescue of Bear Stearns in March 2008. The latter were part of a restructuring of the government's bailout of AIG.

The investments include mortgage-backed securities and credit default swaps, among other assets, many of which have declined in value. The New York Fed said Wednesday's disclosure came after it reached an agreement on issues of confidentiality with AIG and J.P. Morgan Chase, which acquired Bear Stearns.

-- Brady Dennis

LABOR

UAW health-care fund raises cash in auction

A union trust fund that pays the health-care bills for retired Ford factory workers raised $1.78 billion by selling warrants to buy the automaker's stock.

The United Auto Workers trust auctioned warrants to buy 362 million shares for $5 each. They can be exercised between now and the end of 2012.

More than 200,000 retirees and their spouses are covered by the trust, which started paying their health-care costs in January after Ford began transferring cash and other assets, including the warrants, valued at $14.8 billion, to the fund.

The trust was established in 2007 as part of negotiations between Ford and the UAW. It allowed Ford to remove billions of dollars in liabilities from its books and gave the union control of health-care coverage at a time when Ford was struggling.

-- Associated Press

ALSO IN BUSINESS

-- 7 charged with insider trading at British banks: Seven people were charged in connection with an insider-trading ring that prosecutors said made about $3.8 million from information garnered at the London printers of UBS and J.P. Morgan Chase's Cazenove unit, Britain's Financial Services Authority said after a 21-month probe.

-- From news services