The US government has announced an expanded bailout for insurance giant AIG of more than 150 billion US dollars.

The US government announced on Monday that it would provide new financial assistance to the troubled insurer, including pouring 40 billion dollars into the company in return for partial ownership. That infusion comes from the recently enacted 700 billion dollar financial bailout package.

Meanwhile, over in Europe, the EU is ready to provide a small amount of financial aid to Iceland, but only if the country resolves its deposit disputes with other EU members.

Some EU member states, notably Britain and the Netherlands, have pressed Iceland to provide guarantees for deposits held by their nationals in stricken Icelandic banks before they will agree to lend a helping hand.

(CCTV November 12, 2008)