AIG REGISTRATION STATEMENT RELATING TO ACQUISITION OF SUNAMERICA INC. DECLARED EFFECTIVE

NEW YORK, October 8, 1998 – American International Group, Inc. (AIG) has announced that its Registration Statement filed in connection with AIG’s pending acquisition of SunAmerica Inc. (“SunAmerica”) has been today declared effective by the Securities and Exchange Commission.

A joint proxy statement/prospectus will be mailed to AIG and SunAmerica shareholders commencing on October 13, 1998. The special meetings for AIG and SunAmerica shareholders will be held on November 18, 1998. Shareholders of record on October 9, 1998 will be entitled to vote at the special meetings.

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AIG is the leading U.S.-based international insurance organization and among the largest underwriters of commercial and industrial insurance in the United States. Its member companies write property, casualty, marine, life and financial services insurance in approximately 130 countries and jurisdictions, and are engaged in a range of financial services businesses. American International Group, Inc.’s common stock is listed on the New York Stock Exchange, as well as the stock exchanges in London, Paris, Switzerland and Tokyo.

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