MBIA Inc. (MBI) Unit Commutes $3B Worth of Highly-Volatile CMBS Pools

MBIA Inc. (NYSE: MBI) announced that its subsidiary, MBIA Insurance Corporation ("MBIA Corp."), commuted policies insuring approximately $3 billion of potentially highly volatile commercial mortgage back securities pools (“CMBS”) in which the reference CMBS were originally rated single-A for a cost in excess of the third quarter statutory loss reserve. The cost will be reflected in MBIA Corp.’s statutory financial statements for the period ending December 31, 2013. MBIA Corp. has approximately $760 million of CMBS exposure remaining in which the reference obligations were originally rated triple-B, of which approximately $391 million is expected to generate losses in the next few years and for which MBIA Corp. has established statutory loss reserves.

---

Serious News for Serious Traders! Try StreetInsider.com Premium Free!

---

You May Also Be Interested In

• Elevance Health (ELV) hikes 2024 earnings outlook, shares climb
• PPG Industries (PPG) Reports In-Line Q1 EPS, offers outlook
• Jabil falls after placing CEO on paid leave amid internal investigation