CLEVELAND -- Republican vice presidential candidate Sarah Palin said Wednesday that she's disappointed that the federal government needed to bail out another financial institution.

The Federal Reserve is giving a two-year, $85 billion loan to American International Group Inc. in exchange for a nearly 80 percent stake in the insurer, after AIG lost billions in the risky business of insuring against bond defaults.

"Disappointed that taxpayers are called upon to bail out another one," Palin told reporters during a visit to a downtown deli Wednesday.

"Certainly AIG -- though with the construction bonds that they're holding and with the insurance that they are holding -- very, very impactful for Americans. So you know the shot that has been called by the feds -- it's understandable but very, very disappointing that taxpayers are called upon for another one," she said.

Palin shook hands with police officers and business people. She and her husband, Todd, sat down for a cup of coffee and chatted briefly with patrons.