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Article: Moody's: MBIA Aaa, Outlook Negative.
- Article from:
- The Bond Buyer
- Article date:
- February 27, 2008
- Author:
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Moody's Investors Service yesterday affirmed the insurer financial strength rating for MBIA Insurance Corp. at Aaa, removed the credit from negative watch, and assigned a negative outlook.
Moody's had the bond insurer on review for possible downgrade, but yesterday's rating actions reflect MBIA's efforts to improve its capital position and alter its business structure to reduce the volatility associated with its insured portfolio, Moody's said.
In evaluating the risks in MBIA's portfolio, Moody's said MBIA could incur $4 billion in losses under the most likely scenario. The rating agency also estimated stress-case losses to be in the range of $13.7 ...