American International Group, Inc.

2015 Annual Report

Years Ended December 31,(dollars in millions, except per share data) 2015 2014 2013

Operating results:

Total revenues $ 58,327 $ 64,406 $ 68,874Net income attributable to AIG 2,196 7,529 9,085After-tax operating income attributable to AIG 2,927 6,630 6,650

Earnings per share (EPS):

Basic Net income attributable to AIG 1.69 5.27 6.16Diluted Net income attributable to AIG 1.65 5.20 6.13 After-tax operating income attributable to AIG $ 2.19 $ 4.58 $ 4.49

Balance sheet (period-end):

Total assets $ 496,943 $ 515,581 $ 541,329Total AIG shareholders equity $ 89,658 $ 106,898 $ 100,470

Key metrics:

Book value per share $ 75.10 $ 77.69 $ 68.62 Book value per share, excluding AOCI and DTA $ 58.94 $ 58.23 $ 52.12Return on equity (ROE) 2.2% 7.1% 9.2%ROE after-tax operating income, excluding AOCI and DTA 3.7% 8.4% 9.3%

Commercial Insurance: Property Casualty combined ratio 115.0 100.2 101.6 Property Casualty accident year combined ratio, as adjusted2 95.0 94.2 95.1

Consumer Insurance: Personal Insurance combined ratio 101.3 99.9 101.5 Personal Insurance accident year combined ratio, as adjusted2 100.2 99.5 102.1 Retirement premiums and deposits $ 25,241 $ 24,023 $ 23,729 Life premiums and deposits $ 4,974 $ 4,806 $ 4,862

1The non-GAAP financial measures presented herein may not be comparable to similarly named measures reported by other companies. The reconcil-iations of such measures to the most comparable GAAP measures in accordance with Regulation G are included within AIGs Annual Report on Form 10-K for the fiscal year ended December 31, 2015 (included herein), or in the Fourth Quarter 2015 Financial Supplement available in the Investor Information section of AIGs website, www.aig.com.

2Combined ratio presented excluding catastrophe losses and related reinstatement premiums, prior year development, net of premium adjustments and the impact of reserve discounting.

Financial Highlights1

American International Group, Inc. (AIG) is a leading global insurance organization. Founded in 1919, today we provide a wide range of property casualty insurance, life insurance, retirement products, mortgage insurance and other financial services to customers in more than 100 countries and jurisdictions. Our 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.

1

Douglas M. SteenlandNon-Executive Chairman of the Board

Dear AIG Shareholder,

Since I became Chairman of AIG in July, Peter Hancock and I have spent a considerable amount of time meeting with many of you to listen to your questions, concerns, and observations. These meetings have been constructive, and I look forward to continuing them in 2016.

My fellow Board members and I are proud of the trust you have placed in us, and embrace the responsibility to oversee the company on your behalf.

On January 26, the AIG management team announced a comprehensive strategic plan for the next two years. The Board unanimously supports this plan. Peters letter lays out more details of the plan, but it essentially falls into four broad categories: 1) Returning at least $25 billion of capital to shareholders; 2) Reducing operating expenses by $1.6 billion; 3) Improving the financial performance of our business; and 4) Modulariz-ing parts of the company so we are more transparent to our shareholders, and are better able to decide which parts are appropriately held within AIG or should be placed in the hands of others.

Over the past year, Peter has remade the management team so it is more responsive and action oriented. Now, Peter and that team are laser-focused on delivering on the strategic plan. The Board will monitor progress carefully.

The AIG Board is strong and independent. It has significant experience in insurance, reinsurance, finance, management of global service companies, and business restructuring, as well as a deep understanding of risk management. This knowledge and experience fully enable the Board to oversee the company, demand exceptional performance, and challenge management when necessary. This is our job, and we take it seriously.

This is a dynamic time for AIG, and, on a personal level, I am excited to be part of it. We are in the midst of transformation.

Our balance sheet is strong. The strategic plan sets forth a clear path for the next two years. The Board and the management team, together, are committed to delivering on this plan.

Id like to thank the highly skilled employees of AIG for their commitment, their hard work, and their adaptation to change. This is a resilient workforce that has been through a great deal over the past few years, and has proven itself again and again in difficult times. Our employees have consistently provided world-class service to our clients, who range from the individual purchasing an annuity to the Fortune 100 multinational manag-ing its global risks. We are confident that our 65,000-person team will continue to do so as they execute the strategic plan.

Id also like to thank AIG customers. At the end of the day, it is the vote of confidence our customers make every time they select AIG to manage their risks that energizes our team. The commitment of our customers is the root of the value AIG delivers to you, our shareholders. AIG will continue to improve the prod-ucts and services we offer customers, and will work every day to be our clients most valued insurer.

Thank you for your continued support of AIG. With all of us working together, we can improve returns for our shareholders as we build a better AIG for the future. Sincerely,

Douglas M. SteenlandNon-Executive Chairman of the Board

2

If one word will define AIG in 2016, it is focus. In my first full year as CEO, I directed an analysis of the companys strategy and structure, incorporating the best insights from within AIG and from expert industry advisors, as well as invaluable contributions from your Board of Directors. These efforts crystallized a process for evaluating our business: how we decide what we would do and not do, and how our company would be simplified and best orga-nized to run those businesses. Together with hundreds of employ-ees, I laid the foundation for an enduring culture that builds on the best parts of AIG today to chart a path for our future: our Vision, Mission, and Values the overarching themes that state, simply, who we are, how we act, and why. You can see them on page 5.

Youve already seen three milestones in that process: first, in November, the release of over 20 percent of the top of AIGs managerial hierarchy, to streamline and speed decision making; then, in January of this year, the announcement of the sale of our broker-dealer network, AIG Advisor Group, and the planned full separation of our mortgage insurer, United Guaranty, following a 19.9 percent initial public offering (IPO); and then the public unveiling of our strategic plan, setting our course for the next two years with a series of tough commitments to you. By the end of 2017, we intend to:

Return at least $25 billion of capital to shareholders.

Enhance transparency by separating the company into an Operating Portfolio with a goal of over10 percent return on equity1 and a Legacy Portfolio that will focus on return of capital.

Reorganize the company into at least nine modular, more self-contained business units to enhance accountability, transparency, and strategic flexibility.

Reduce general operating expenses by $1.6 billion, 14 percent of our 2015 expenses2.

Improve our commercial property and casualty accident year loss ratio2 by six points.

Pursue an active divestiture program, including initially the 19.9 percent IPO of United Guaranty as the first step towards full separation and the agreement to sell AIG Advisor Group, while preserving the value of deferred tax assets.

One of AIGs core values is that we have the courage to make difficult promises and the integrity to keep them. This is a list of ambitious commitments (for more details on them, see www.aig.com/strategyupdate). For the next two years, our focus will be on meeting these objectives.

We have a strong track record to build on. Since 2008, we have sold more than 50 businesses. In 2015 alone, we returned nearly $12 billion of capital to you. We developed and began to execute a plan to streamline AIG, to create a company that matches our vision of being our clients most valued insurer.

I have trimmed my own leadership team to nine people, who understand that all of us are accountable for reaching our ambitious goals.

Focus on Execution

This is hard and sometimes painful work, and we have much left to accomplish. A key step is to improve the way we share information about our businesses to better show where we are doing well and where we must make changes.

To Our Shareholders,

One of AIGs core values is that we have the courage to make difficult promises and the integrity to keep them.

Sid SankaranAIG Chief Financial Officer

1 Normalized operating ROE, excluding AOCI and DTA, a non-GAAP financial measure. See appendix of Strategic Actions to Maximize Shareholder Value at www.aig.com/strategyupdate.

2 Non-GAAP financial measure. See appendix of Strategic Actions to Maximize Shareholder Value at www.aig.com/strategyupdate. Accident year loss ratio improvement is on a fourth quarter exit run rate basis.

We realize significant real world benefits through a diverse set