AIG VALIC Salutes Elementary and Middle School Principals for Outstanding Performance.

AIG VALIC's 16-year Sponsorship of Prestigious Award Reflects Commitment to Educators and Their Retirement Planning Needs

HOUSTON -- AIG VALIC, corporate sponsor of the National Distinguished Principals Awards Program, joins the National Association of Elementary School Principals (NAESP) and the U.S. Department of Education in recognizing 65 outstanding elementary and middle school principals from schools across the nation and abroad as National Distinguished Principals for 2006.

The honorees, including a national guardsman who served in Afghanistan, will be recognized this evening at an awards banquet at the Capital Hilton Hotel in Washington, D.C. AIG VALIC is a leading provider of retirement plan services to elementary, secondary and higher education institutions.

"The women and men of AIG VALIC are proud of our 16-year commitment sponsoring the National Distinguished Principals Award Program," said Bruce R. Abrams, President and CEO of VALIC and the VALIC Retirement Services Company. "This unique program serves as an important reminder of how excellence and leadership can influence the lives of our nation's youth in so many positive ways. We extend a special thank-you to this year's honorees for their guidance in helping others realize a bright and rewarding future."

Vincent Ferrandino, executive director of NAESP, commended the 65 principals for being role models for school leadership throughout the nation and the world. "Principals today face endless challenges," said Ferrandino. "As standards for student learning and teacher competency are raised, our school leaders keep expectations and morale high, often under the most difficult circumstances. The principals we honor today take the challenges in stride and with grace. Students and staff flourish because of their commitment, and their success should be applauded."

NAESP and the U.S. Department of Education started the program in 1984 to recognize public and private school principals who make superior contributions to their schools and communities. The distinguished principals are selected by NAESP state affiliates, including the District of Columbia, and by committees representing private and overseas schools. NAESP represents 30,000 elementary and middle school principals in the U.S. and overseas. Each affiliate uses its own selection process. The guidelines include: nomination by peers; demonstrated commitment to excellence; evidence of support by students, colleagues, parents and the community; high standards and expectations for students and staff; and service as a principal for at least five years.

AIG VALIC is one of the leading retirement plan services providers in the United States. For more than half a century, it has specialized in providing retirement programs and related investment, recordkeeping and administrative services to a variety of employer types, including for-profit and not-for-profit elementary and secondary education institutions, hospitals and healthcare organizations, higher education institutions and governmental entities. VALIC serves 28,000 client groups and more than two million participants. AIG VALIC is the marketing name for the group of companies comprising VALIC Financial Advisors, Inc.; VALIC Retirement Services Company; and The Variable Annuity Life Insurance Company (VALIC); each of which is a member company of American International Group, Inc.

American International Group, Inc. (AIG), world leaders in insurance and financial services, is the leading international insurance organization with operations in more than 130 countries and jurisdictions. AIG companies serve commercial, institutional and individual customers through the most extensive worldwide property-casualty and life insurance networks of any insurer. In addition, AIG companies are leading providers of retirement services, financial services and asset management around the world. AIG's common stock is listed on the New York Stock Exchange, as well as the stock exchanges in London, Paris, Switzerland and Tokyo.