The NYT notes that recent documents suggest that Goldman Sachs was largely hedged against a potential AIG bankruptcy and that it had taken collateral from AIG and other counter-parties that would have almost fully compensated for any losses.

It is not clear that Goldman was as hedged as the documents suggest since, as the article mentions in passing, a bankruptcy court may not have clawed back some of the collateral posted. The other issue that would have been worth mentioning in this piece is that the government and Goldman resisted the release of documents at every point in this process. For 6 months after the initial bailout of AIG the government provided no information whatsoever about the counter-parties who had been paid with the money.

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