NU Online News Service, July 27, 12:50 p.m.EDT

The American International Group's property and casualtybusiness further distanced itself from the parent corporation witha name change to Chartis and the creation of a special purposevehicle.

The New York-based insurer announced today that it formed aspecial purpose vehicle in which to fold the equity of AIUHoldings, LLC. The new entity will consist of AIU's commercialinsurance, foreign general insurance and private client groupbusinesses.

It also announced the appointment of Kristian P. Moor aspresident and chief executive officer of the new company.

In a statement, Edward Liddy, chairman and CEO of AIG,said,
"The SPV formation is an important milestone in our effort toenhance the value of our industry-leading property and casualty andgeneral insurance businesses for the benefit of allstakeholders."

In a separate announcement, AIU Holdings said it is re-brandingitself as Chartis. The company said the SPV, the naming of Mr. Moorand re-branding "advance the organization toward its goal ofoperating independence."

Chartis, which will be headquartered in New York, will be aglobal company, it said, serving more than 40 million clients inover 160 countries and jurisdictions.

"We are excited by this new stage in our evolution, which willsharpen appreciation for the value of one of the most experiencedand extensive insurance platforms in the world," Mr. Moore said ina statement.

The company said it began the brand change from AIG and AIUHoldings to Chartis today, prioritizing changes "worldwide based onlocal considerations as well as the most cost-effective way tooptimize the business value globally."

The company added that it is evaluating "a handful" of localsubsidiaries to determine if they will be re-branded as Chartis or"retained as standalone brands due to local brand value."

The name Chartis, from the Greek word for map, underscores itsglobal reach, the company said.

Mr. Liddy noted during a stockholders meeting in June that theSPV might become a separately traded publicly held company.

The financially troubled company, which became caught up inlosses from investments in credit default swaps, has receivedaround $180 billion in government loans and credits. The company isin the process of breaking off its assets to pay back the U.S.government.