On June 26, Christine Richard of Bloomberg wrote an article entitled, “Fitch Withdraws Rankings on MBIA, Ambac Financial.” This article is inaccurate and misleading. Shortly after the release of the article, MBIA emailed Christine Richard requesting a clarification, but Ms. Richard declined. The following is MBIA’s correction: With regard to the above article, the sentence "MBIA and Ambac had asked Fitch to stop issuing ratings after disagreements over the ratings company's loss estimates" is not accurate. As was noted in Jay Brown's letter to shareholders on March 10th, the disagreement was with respect to the capital charges produced by Fitch's model driven, at least in part, by the fact that Fitch directly rates only about 30% our portfolio. The disagreement was not over "loss estimates". In addition, the sentence "MBIA requested Fitch stop providing a financial strength rating in March after the unit of Paris-based Fimalac SA didn't affirm the Armonk, New York-based company's rating after it raised $2.6 billion in capital" might be correct from a strict chronological perspective (the request did follow the capital raise and Fitch did not affirm our rating), but it creates the false impression for the reader that there was a cause and effect relationship between the two, which there was not. Jay Brown explained the "Why now?" in the same letter.

June 25: Errors in the Conference Call held by the Labor Council for Latin American Advancement (LCLAA)

The Labor Council for Latin American Advancement (LCLAA) held a conference call for members of the media on June 25. In the course of the conference call, a number of erroneous statements about MBIA were made by Dr. Lemus, as well as by Dr. Mason, a purported expert on bond insurers. As will be made evident in the following identification and correction of these errors, Drs. Lemus and Mason lack a basic understanding of MBIA’s business, portfolio and capitalization. They clearly made no effort to check their facts in advance of the call and never contacted in MBIA in advance of the call to express their concerns. According to a Dow Jones Newswire article, “The call was publicized in part by an e-mail sent by public relations firm Group Gordon, on behalf of Ackman's Pershing Square Investments, a frequent critic of bond insurers that has long held a short position in MBIA” …click here to read more.