ARMONK, N.Y.--(BUSINESS WIRE)--
National Public Finance Guarantee Corporation (National), an indirect
subsidiary of MBIA Inc. (NYSE: MBI), today announced that Moody's
Investors Service (Moody's) has upgraded its insurance financial
strength rating to ‘A3' from ‘Baa1'. The outlook for the rating is
stable. Moody's upgrade of National reflects, among other things, its
strong stand-alone capital profile and its improving prospects for
generating new business in the U.S. public finance insurance market.
“We're pleased that Moody's has recognized the improvement in National's
credit profile,” said Bill Fallon, National's Chief Executive Officer.
“The upgrade provides immediate benefits to holders of National-insured
bonds and, together with recently announced ratings from Standard and
Poor's and Kroll Ratings in the double-A range, puts National in a
strong position to resume new business activities and serve the credit
enhancement needs of the U.S. public finance market.”
Forward-Looking Statements
This release includes statements that are not historical or current
facts and are “forward-looking statements” made pursuant to the safe
harbor provisions of the Private Securities Litigation Reform Act of
1995. The words “believe,” “anticipate,” “project,” “plan,” “expect,”
“intend,” “will likely result,” “looking forward” or “will continue,”
and similar expressions identify forward-looking statements. These
statements are subject to certain risks and uncertainties that could
cause actual results to differ materially from historical earnings and
those presently anticipated or projected, including, among other
factors, the possibility that MBIA Inc., which is the ultimate parent
company of National Public Finance Guarantee Corporation, or National
will experience increased credit losses or impairments on public finance
obligations issued by state, local and territorial governments and
finance authorities that are experiencing unprecedented fiscal stress;
the possibility that loss reserve estimates are not adequate to cover
potential claims; MBIA Inc.'s or National's ability to fully implement
their strategic plan, including the ability to maintain high stable
ratings for National and generate investor demand for National's
financial guarantees; and changes in general economic and competitive
conditions. These and other factors that could affect financial
performance or could cause actual results to differ materially from
estimates contained in or underlying MBIA Inc.'s or National's
forward-looking statements are discussed under the “Risk Factors”
section in MBIA Inc.'s most recent Annual Report on Form 10-K, which may
be updated or amended in MBIA Inc.'s subsequent filings with the
Securities and Exchange Commission. MBIA Inc. and National caution
readers not to place undue reliance on any such forward-looking
statements, which speak only to their respective dates. National and
MBIA Inc. undertake no obligation to publicly correct or update any
forward-looking statement if it later becomes aware that such result is
not likely to be achieved.
National Public Finance Guarantee Corporation, headquartered in Armonk,
New York is the world's largest U.S. public finance-only financial
guarantee insurance company, with offices in New York and San Francisco.
Please visit National's website at www.nationalpfg.com.
