NU Online News Service, April 8, 2:52 p.m. EDT
Troubled bond insurer Ambac Assurance Corp. requested that Moody's Investors Service withdraw its ratings for the company.
The announcement, made yesterday, was made for business reasons, Moody's said in a separate statement.
Moody's said the following ratings were withdrawn:
- Ambac Assurance Corp.—insurance financial strength at Caa2.
- Ambac Assurance UK Ltd.—insurance financial strength at Caa2.
- Ambac Financial Group Inc.—senior unsecured debt at C, junior subordinated debt at C.
The New York-based insurer is currently in Chapter 11 bankruptcy reorganization after having to make good on the credit-default obligations on asset-backed securities that it insured in the face of the great recession.
For the fourth quarter of 2010, the company reported a loss close to $82 million on a combination of loss of new business and decline in investment gains.
© Arc, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to TMSalesOperations@arc-network.com. For more information visit Asset & Logo Licensing.