AIG down, Marsh rises in 3Q

American International Group Inc.'s third quarter net income dropped to $3.09 billion or $1.19 per share. That’s down from $4.22 billion or $1.61 per diluted share during the same quarter last year. The New York-based insurance company also wrote down $1.95 billion on mortgage-related investments in the third quarter. Another $550 million will be hacked off in the following quarter. Marsh & McLennan Cos. saw its third quarter net income rise to $1.9 billion, or $3.60 per share, from $176 million, or 36 cents per share, a year ago. Gains were less than golden for the New York firm’s risk and insurance services: Operating income fell to $65 million, down from $143 million in the third quarter of 2006. Expenses lept in that department, in part due to the departure of the firm’s former CEO Brian Storms.