European execs won't give back bonuses

AIG executives in Europe are adamant they should not have to return their controversial bonuses and some feel that pressure on them to do so may amount to blackmail, according to a company employee and internal emails.

AIG Financial Products unit head Gerald Pasciucco told a staff meeting for UK and Paris employees on Monday that he thought a demand for repayments was to a certain extent "blackmail", said a London-based recipient of one of the retention bonuses from the bailed-out insurer.

"The vast majority of people in London have made the decision that the request is pretty offensive," the employee said.