American International Group, Inc. announced today it has adopted voluntary restrictions on executive compensation that eliminate management bonuses this year and set Chief Executive Edward Liddy's pay at $1.

The company said there will be no 2008 annual bonuses and no salary increases through 2009 for AIG's top-seven-officer Leadership Group; and no salary increases through 2009 for the 50 next-highest executives, in addition to other bonus, severance and retention award restrictions.

AIG spending has been under scrutiny since September when it gave the government a 79.9 percent interest in the company in order to stay liquid and obtain government loan guarantees now totaling $150 billion.

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