AIG shares fall on fears more government cash needed

Fidelity Management and Research reduced its holding of AIG stock by 65 percent, or 103 million shares, in the period ended September 30. T. Rowe Price Associates cut its exposure by more than half, selling 13 million shares in the same period.

Shares of AIG, which traded at $55.96 a year ago, fell as low as $1.01 on the New York Stock Exchange on Tuesday. They were down 15.45 percent at $1.04 in afternoon trade.

(Reporting by Lilla Zuill, additional reporting by Doris Frankel in Chicago)