American International Group, Inc. (NYSE:

) reported 3Q10 net operating income of $2.1 billion, Keefe, Bruyette & Woods reports. “The company has also announced a recapitalization plan and successfully executed upon the sales of the foreign life businesses,” KBW writes. “We are raising our price target to $17.50, setting a 2011 EPS estimate of $2.50 and maintain our Underperform rating.” AIG closed Friday at $41.81.