Palin: AIG Bailout 'Disappointing' But 'Understandable'

— -- CLEVELAND, Oh. -- Republican vice presidential nominee and Alaska Gov. Sarah Palin greeted diners at Karl's Restaurant and Bar Wednesday morning with her husband, shaking hands and introducing herself as "Sarah."

Speaking to reporters Palin said she was "disappointed" by the government bailout of insurance giant AIG but that decision was "understandable."

Describing AIG's insurance holdings as "very, very impactful to Americans", Palin said she was "disappointed that taxpayers are called upon to bail out another one" but that "the shot that has been called upon by the Feds, it's understandable but very, very disappointing."

Earlier this morning on Good Morning America, Palin's running mate, Republican presidential candidate John McCain, answered ambiguously on the bailout, after adamantly opposing such measures earlier in the week.

The impromptu stop at the diner was the first time Palin has taken questions from her traveling press corp. Palin will participate in a joint town hall meeting with McCain this evening in Grand Rapids, MI, which will be the first time she will take questions directly from voters.