Form 4: AIG Director James J. Dunne III Receives Additional Deferred Stock Units

American International Group, Inc. (AIG) Director James J. Dunne III has been awarded 40 additional deferred stock units (DSUs) as part of his non-employee director compensation, bringing his total beneficial ownership to 7,713 DSUs.

Summary

• James J. Dunne III, a Director at American International Group, Inc. (AIG), acquired 40 Deferred Stock Units (DSUs) on July 1, 2025.
• These DSUs represent dividend equivalent rights related to previously awarded DSUs under the AIG 2021 Omnibus Incentive Plan.
• The award serves as compensation for his service as a non-employee director.
• The DSUs, including the newly acquired ones and previously awarded units, will be settled in AIG common stock on a 1-to-1 basis.
• Settlement is scheduled for the last trading day of the month in which the director's service on the Board of Directors ends, unless the director has elected to defer the vesting date.
• Following this transaction, Mr. Dunne beneficially owns a total of 7,713 DSUs.

Sentiment

Score: 7

Explanation: The filing indicates a routine, positive event of director compensation through equity, aligning interests with shareholders. It does not suggest any negative operational or financial issues.

Positives

• The award of Deferred Stock Units (DSUs) aligns the director's financial interests with those of shareholders, as the value of the compensation is directly tied to AIG's stock performance.
• This transaction represents ongoing compensation for the director's service, indicating stability in corporate governance and continued commitment from key personnel.

Future Outlook

The acquired Deferred Stock Units (DSUs) will be settled in shares of AIG common stock on a 1-to-1 basis on the last trading day of the month in which the director's service on the Board of Directors ends, unless the director has elected to defer the vesting date.

Management Comments

• The award is part of the American International Group, Inc. (AIG) 2021 Omnibus Incentive Plan, designed for non-employee director compensation.

Industry Context

The award of deferred stock units as compensation for non-employee directors is a common practice in large publicly traded companies across various industries, including the financial services sector, to align director interests with long-term shareholder value and retention.

Comparison to Industry Standards

• The use of Deferred Stock Units (DSUs) for non-employee director compensation is a standard practice across major corporations, including financial institutions like JPMorgan Chase & Co., Bank of America Corporation, and Citigroup Inc., which commonly utilize similar equity-based awards to align director incentives with shareholder returns.
• The 1-to-1 settlement ratio for DSUs into common stock is typical for such compensation plans.
• The vesting schedule tied to the end of board service or allowing for deferral is also a common feature, ensuring long-term commitment and retention of experienced directors.

Corporate Governance

Related Party Transactions

• The acquisition of Deferred Stock Units by James J. Dunne III, a director, from American International Group, Inc. constitutes a related party transaction, as it involves compensation provided by the company to a member of its board of directors under an approved incentive plan.

Stakeholder Impact

• Shareholders: The equity-based compensation aligns the director's financial interests with shareholder value, potentially encouraging decisions that benefit long-term stock performance.

Next Steps

• Settlement of the Deferred Stock Units (DSUs) into AIG common stock upon the termination of the director's service on the Board of Directors, unless a deferral election is made.

Key Dates

Recommendation

Keywords

AIG, American International Group, Form 4, SEC Filing, Director Compensation, Deferred Stock Units, DSUs, Insider Transaction, Corporate Governance, Equity Compensation