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Article: Standard & Poor's Downgrades Ambac Again.
- Article from:
- HomeEquityWire
- Article date:
- December 1, 2008
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Byline: Glenn McCullom
Standard & Poor's downgraded Ambac Financial and the company's main bond insurance unit because the ratings agency expects more losses from guarantees of mortgage-backed securities and collateralized debt obligations.
S&P downgraded the senior debt of Ambac Financial to BBB from A.
It also cut Ambac Assurance Corp., the bond insurance subsidiary, to A from AA. The outlook is negative.
"The company's exposures in the U.S. residential mortgage sector and particularly the related collateralized debt obligation structures have been a source of significant and comparatively greater-than-competitor losses and will ...