Article: Detente reached in AIG, Greenberg war? Both sides agree to arbitrate disputes, new chief reaches out.(NEWS)(American International Group Inc.)(Maurice R. Greenberg)

Byline: COLLEEN McCARTHY

American International Group Inc. and former Chief Executive Officer Maurice R. Greenberg agreed last week to binding arbitration to resolve various legal disputes, suggesting the formerly contentious parties are willing to mend ties, observers say.

The move came after comments by new AIG CEO Robert H. Benmosche to Reuters in recent weeks that he had been in talks with Mr. Greenberg.

An attorney for Mr. Greenberg said the leadership change at AIG led to the agreement.

The agreement, which also involves former AIG Chief Financial Officer Howard I. Smith, may bring an end to extensive litigation since Messrs. ...

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