Reason for downfall in rank of AIG from 10th place in 2007 to 13th place in fortune 500 company list?

Question

Reason for downfall in rank of AIG from 10th place in 2007 to 13th place in fortune 500 company list?

Answer 1

Although premiums written, AIG's main source of revenue, rose last year, the company had realized losses of more than $15 billion (realized gains/losses are applied to an insurance company's overall revenue figures). Coupled with the divestiture of some smaller business lines, AIG's overall revenue slipped slightly last year. That would only have dropped them to 12th place, but the new 10th place company, AT&T, rose from 27th place as their merger with Cingular increased revenues by about 88 percent.