Official announcement have confirmed that the American International Group Inc. has appointed Peter Hancock, once described by an ex-employer as an "architect" of derivatives business, to overlook the group's finance and risk, in addition to the company's money-losing credit-default swap division.

Mr. Hancock has spent 20 long years at a predecessor to JPMorgan & Chase Co., where he managed to successfully establish the derivatives unit and served as the Chief Financial Officer, as has been confirmed by AIG.

Most recently, Mr. Hancock was the Vice Chairman at KeyCrop, and was responsible for national banking. He will report directly to Robert Benmosche, AIG's Chief Executive Officer.

"I am very pleased that Peter, a recognized expert in risk and finance, will be joining AIG in this important new role. (His) comprehensive experience in financial services will help accelerate our existing team's efforts toward AIG's re-emergence as a strong, independent company", said Mr. Benmosche.

Mr. Hancock will receive a salary of about $3.9 Million.