WASHINGTON, Oct. 8 (UPI) -- The U.S. Federal Reserve said it extended American International Group's line of credit by another $37 billion Wednesday.

The Wall Street Journal reported AIG has already drawn down $61 billion of the $85 billion line of credit the Fed extended to the company on Sept. 17.


The new program brings the AIG bailout total to $122.8 billion.

The Fed statement said the extended credit "will allow AIG to replenish liquidity used in settling those transactions, while providing enhanced credit protection to the New York Fed and U.S. taxpayers in the form of a security interest in these securities."