WASHINGTON, DC-With the basic premise of a large-scale financial system bailout accepted–albeit grudgingly–by Congress and constituents, details and execution of that concept continue to unfold. Some of these details are being shaped by events–such as the likelihood that AIG will require additional support. Others, such as a proposal floated by the Federal Deposition Insurance Corp., represent new tactics in the struggle to stave off wholesale meltdown.

The FDIC proposal, presented to the Senate Banking Committee on Thursday, would entail the government using some of the $700 billion of funds authorized under the Emergency Economic Stabilization Act of 2008 to directly support home owners with guaranteed home mortgages. While the government has introduced several measures to assist homeowners directly, this is the first under the act passed earlier this month. Indeed, one criticism of the act was that it provided little relief to home owners.

AIG is also looking like it will need additional funding, according to statements made by the newly appointed CEO Edward Liddy. The insurance agency has used $90.3 billion of the funds made available to it by the government; it will need another $123 billion, he says, according to news accounts. In related news, AIG will be selling its life insurance subsidiary–along with its plane leasing and consumer finance operations–to shore up its core business.

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