AP source: AIG agrees to sell 2 NYC buildings

CHARLOTTE -- A person familiar with the matter says the embattled insurer American International Group is selling its headquarters building in New York and a nearby building in a deal expected to close at the end of this summer.

The person said Wednesday that AIG is not disclosing the price or who the buyer is. They asked for anonymity because the sale has not been made public yet.

AIG has received $182.5 billion in government support since September. The company is selling assets to repay part of the loan.

The buildings are at 70 Pine Street and the adjacent 72 Wall Street in lower Manhattan and the tower at 70 Pine Street was the tallest building in downtown Manhattan before the building of the World Trade Center.

Both buildings, which are connected by a skywalk, were built in 1932 and have been owned and operated by AIG since the 1970s.

The person says AIG employees will remain in its headquarters through 2010. The New York-based firm is developing a relocation plan.

Separately, AIG said it agreed to sell its consumer finance operations in Argentina for nearly $44 million to Banco Galicia and an investment group led by Grupo Pegasus.

Banco Galicia bought 80% of the company and the Pegasus investment group purchased the remaining 20%.

The moves are part of a larger divestiture program by AIG, as it looks to sell assets to pay back the government. The government has committed some $180 billion to AIG's rescue, including about $85 billion in loans that the insurer is trying to repay with these divestitures.

Contributing: Reuters.