AIG CEO Hancock Shakes Up Executive Team; Herzog, Doyle Out

American International Group Inc. today unveiled a new executive leadership team reporting to CEO Peter Hancock, which Hancock says will ensure “strong end-to-end accountability within the customer segments” and transform AIG into a “more efficient, less complex organization with accelerated decision-making.”

The shake-up will result in several executives leaving the company after what the company said would be a period of transition. Those leaving include David Herzog, Chief Financial Officer; John Doyle, Executive Vice President and Chief Executive Officer Commercial Insurance; Jose Hernandez, Senior Vice President and Chief Executive Officer Asia Pacific; and Eric Martinez, Executive Vice President Global Claims and Operations.

Hancock called the new executive team a “dynamic, highly skilled group of executives.” Members of the new executive leadership team who will report to Hancock are:

• Douglas Dachille – Chief Investment Officer. He will oversee the Science function, and Murli Buluswar, Chief Science Officer, will report to him.

• Philip Fasano – Chief Information Officer.

• Martha Gallo – Chief Auditor. Gallo will continue to report both to the Board’s Audit Committee and to Hancock.

• Kevin Hogan – CEO of Consumer. The Japan operations and the Consumer Claims organization will report to Hogan.

• Jeffrey Hurd – Executive Vice President – Transformation, Human Resources, and Administration.

• Seraina Maag – CEO of Regional Management & Operations. The Regional CEO & President roles (Americas, EMEA, and Asia Pacific) will be consolidated into one role with oversight of country management. Maag will also assume oversight of Operations.

• Thomas Russo – General Counsel – Legal, Compliance, Regulatory Affairs, and Government Affairs.

• Sid Sankaran – Chief Financial Officer. He will maintain oversight of Enterprise Risk Management. Alessa Quane will become Chief Risk Officer and will continue in the role of Chief Corporate Actuary, reporting both to Sankaranand to the Board’s Risk and Capital Committee.

• Robert Schimek – CEO of Commercial. The UK operations and the Commercial Claims organization will report to him.

• Brian Schreiber – Chief Strategy Officer, and Head of Corporate Marketing and Communications.

Herzog will continue as Chief Financial Officer through the filing of AIG’s 2015 Form 10-K. Sankaran will continue as Chief Risk Officer until he becomes Chief Financial Officer (at which time Alessa Quane will become Chief Risk Officer and continue in the role of Chief Corporate Actuary). All other executive leadership team appointments are effective immediately.

Hancock, who has been under pressure by activist investor Carl Icahn to split AIG into separate companies, said AIG is moving ahead with a “continued sense of urgency” on these strategic priorities: narrowing its focus to profitable clients, products and geographies; driving for efficiency; growing through innovation and optimizing data assets and client relationships; and returning excess capital to shareholders.

He thanked the senior leaders who will be departing AIG. “I am grateful for their years of distinguished service. Their leadership has been invaluable in positioning AIG for long-term growth and sustainable profitability,” Hancock said.