NY Times Does Extensive Piece on AIG’s Problems

We’ve said before that Gretchen Morgenson of the NY Times is perhaps the only major journalist covering credit default swaps with any level of detail. She’s been covering this issue and this weekend, she continues with a large piece on how AIG got so wound up in the derivatives mess. Worth a read.

For some quick background on how CDSs work, see our previous piece from before the Fannie/Freddie takeover—Morgenson also sourced there too.