Market Overview

AIG and The Carlyle Group Announce Strategic Partnership with DSA Re

  • Carlyle to acquire 19.9% of DSA Re from AIG and enter into a strategic
    asset management relationship with DSA Re
  • Carlyle and AIG will partner to position DSA Re as a platform to
    provide solutions for insurance liabilities globally

American International Group, Inc. (NYSE:AIG) and The Carlyle Group
(NASDAQ:CG) announced today a strategic partnership to build DSA Re
into a standalone provider of reinsurance, claims handling, and run-off
management solutions for long-dated, complex risks to the global
insurance industry.

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DSA Re currently reinsures $36 billion of AIG's Legacy Life and Annuity
and General Insurance liabilities. DSA Re's diversified risk portfolio,
strong claims operation, and efficient administration capabilities
provide the foundation for a platform that can be scaled over time.
Utilizing Carlyle's expertise in separating and standing up companies,
AIG and Carlyle plan to build DSA Re into a platform that complements
DSA Re's financial strength with its strategically differentiated

As part of the transaction, Carlyle will acquire a 19.9% stake in DSA Re
and enter into a strategic asset management relationship whereby DSA Re
and AIG will, in aggregate, allocate $6 billion of assets into various
Carlyle managed strategies across corporate private equity, real assets
and private credit.

Brian Duperreault, AIG's President and Chief Executive Officer, said,
"AIG launched DSA Re to help us efficiently manage our legacy
liabilities, honor our policy obligations and maximize financial
flexibility. This partnership with Carlyle meets these objectives while
allowing AIG to free up capital and participate in the build-out and
growth of the business. We look forward to working closely with Carlyle
to position DSA Re for long-term success."

Kewsong Lee, Carlyle's Co-Chief Executive Officer, stated, "This
strategic partnership extends Carlyle's investment capabilities into the
$15 trillion global insurance industry. Carlyle is excited to deliver
our global investment platform across a variety of asset classes to DSA
Re, and will work to generate attractive returns for the DSA Re
portfolio for many years to come. We have a terrific partner in AIG, and
will work closely together to help DSA Re become independent and
positioned for growth over time."

James Bracken, Chief Executive Officer of AIG Legacy and DSA Re, added,
"DSA Re's experienced team, capabilities, diversified risk portfolio and
strong capital position, along with Carlyle's investment expertise and
success in building strong franchises, provide a foundation to build a
competitive provider of tailored run-off solutions."

Brian Schreiber, Managing Director and Co-Head of Carlyle Global
Financial Services Partners, further noted, "We see tremendous
opportunities for Carlyle and DSA Re as insurers look to improve
investment yields and drive higher returns on capital. Our partnership
will help DSA Re effectively serve this growing market by offering
reinsurance solutions to the insurance industry globally across all
lines of business."

The transaction is expected to close in approximately 60 days, subject
to required regulatory approvals and other customary closing conditions.

AIG established DSA Re in February 2018 as a Bermuda-based, composite
reinsurer of its Legacy insurance portfolio, consolidating its non-core
insurance lines under a specialized team with expertise in run-off,
while continuing to ensure it meets its obligations to policyholders.

Goldman Sachs & Co. LLC was the financial advisor and Sidley Austin LLP
was the legal advisor to AIG for this minority interest equity sale.

Citi was the financial advisor and Debevoise & Plimpton LLP was the
legal advisor to The Carlyle Group.

About AIG

American International Group, Inc. (AIG) is a leading global insurance
organization. Founded in 1919, today AIG member companies provide a wide
range of property casualty insurance, life insurance, retirement
products, and other financial services to customers in more than 80
countries and jurisdictions. These diverse offerings include products
and services that help businesses and individuals protect their assets,
manage risks and provide for retirement security. AIG common stock is
listed on the New York Stock Exchange and the Tokyo Stock Exchange.

Additional information about AIG can be found at
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| Twitter: @AIGinsurance
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These references with additional information about AIG have been
provided as a convenience, and the information contained on such
websites is not incorporated by reference into this press release.

AIG is the marketing name for the worldwide property-casualty, life and
retirement, and general insurance operations of American International
Group, Inc. For additional information, please visit our website at
All products and services are written or provided by subsidiaries or
affiliates of American International Group, Inc. Products or services
may not be available in all countries, and coverage is subject to actual
policy language. Non-insurance products and services may be provided by
independent third parties. Certain property-casualty coverages may be
provided by a surplus lines insurer. Surplus lines insurers do not
generally participate in state guaranty funds, and insureds are
therefore not protected by such funds.

About The Carlyle Group

The Carlyle Group (NASDAQ:CG) is a global alternative asset manager
with $201 billion of assets under management across 324 investment
vehicles as of March 31, 2018. Carlyle's purpose is to invest wisely and
create value on behalf of its investors, many of whom are public
pensions. Carlyle invests across four segments – Corporate Private
Equity, Real Assets, Global Credit and Investment Solutions – in Africa,
Asia, Australia, Europe, the Middle East, North America and South
America. Carlyle has expertise in various industries, including:
aerospace, defense & government services, consumer & retail, energy,
financial services, healthcare, industrial, real estate, technology &
business services, telecommunications & media and transportation. The
Carlyle Group employs more than 1,575 people in 31 offices across six

AIG Forward-Looking Statement

Certain statements in this press release constitute forward-looking
statements. These statements are not historical facts but instead
represent only AIG's belief regarding future events, many of which, by
their nature, are inherently uncertain and outside AIG's control. It is
possible that actual results will differ, possibly materially, from the
anticipated results indicated in these statements. Factors that could
cause actual results to differ, possibly materially, from those in the
forward-looking statements are discussed throughout AIG's periodic
filings with the SEC pursuant to the Securities Exchange Act of 1934.

Carlyle Forward-Looking Statement

This press release may contain forward-looking statements within the
meaning of Section 27A of the Securities Act of 1933 and Section 21E of
the Securities Exchange Act of 1934. These statements include, but are
not limited to, statements related to Carlyle's future expectations and
other non-historical statements. Such forward-looking statements are
subject to various risks, uncertainties and assumptions. Accordingly,
there are or will be important factors that could cause actual outcomes
or results to differ materially from those indicated in these statements
including, but not limited to, those described under "Risk Factors" in
Carlyle's Annual Report on Form 10-K for the year ended December 31,
2017 filed with the SEC, as such factors may be updated from time to
time in Carlyle's periodic filings. These factors should not be
construed as exhaustive and should be read in conjunction with the other
cautionary statements that are included in this release and in Carlyle's
filings with the SEC. Carlyle undertakes no obligation to publicly
update or review any forward-looking statements, whether as a result of
new information, future developments or otherwise, except as required by
applicable law. This release does not constitute an offer for any
Carlyle fund.

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