The Federal Reserve said on Wednesday that it would provide up to $37.8 billion to AIG. That's on top of the $85 billion lifetime the insurance giant got a few weeks ago. [NYT]
Hank Paulson suggested yesterday the government may invest in banks as part of the next step in trying to resolve the credit crisis. [Bloomberg, NYT]
Talks continue between Wells Fargo and Citigroup, who are both vying for control of Wachovia, although they appear close to a settlement. [WSJ, DB]

Shares of Morgan Stanley are down 68 percent this year and have reached a 10-year low. "This is a tense time," John Mack says with obvious understatement. [WSJ]
The Times looks at Neel Kashkari, the former Goldman banker with six years of experience who will handing out the $700 billion that's part of the bailout. [NYT]
Sprint Nextel executives are the most overpaid in the country, says one poll. [Reuters]
Walgreen's has abandoned its bid for Longs Drug Stores. [WSJ]
Banking bonuses will fall 70 percent, at least in Europe. [Times Online]