AIG cancels Half Moon Bay retreat

October 9, 2008 2:45:16 PM PDT
Embattled AIG insurance has canceled a lavish retreat scheduled to begin this weekend at the Ritz-Carlton resort in Half Moon Bay.

The cancellation of the retreat here follows days of outrage over a half-million dollar trip to an LA area spa AIG execs took after the government agreed to bail out the insurance giant.

The Federal Reserve has now agreed to lend AIG more than $100 billion dollars to keep it afloat.