Municipal Advisory Council of Texas
News and Events
News Items
Previous News Items
7/1/2008 Issuance Drops 4.1% In 1st Half
Free Bond Buyer article
7/1/2008 In Texas, More Bad Insurance News AAA School Fund Nears Capacity
Free Bond Buyer Article on PSF Fund
6/26/2008 SIFMA’s Credit Rating Agency Task Force Supports SEC Proposals Allowing Continued Use of Ratings
6/26/2008 Fitch Withdraws Ratings on MBIA and Ambac
Fitch Ratings-New York-26 June 2008: Fitch Ratings is withdrawing all of its outstanding ratings on MBIA Inc, MBIA Insurance Corp. (MBIA), and other related entities. Also, Fitch is withdrawing all of its outstanding ratings on Ambac Financial Group, Inc., Ambac Assurance Corp. (Ambac) and other related entities. In addition, Fitch will be withdrawing all ratings based on insurance policies from both MBIA and Ambac's insurance subsidiaries.
Fitch will list ratings of primary obligors for bonds where we maintain coverage.
Today's action follows decisions by MBIA and Ambac's managements to cease providing substantive non-public portfolio information used in Fitch's capital analysis model, to discontinue previous full interactive dialogue with Fitch analysts, and to request withdrawal of Fitch's ratings.
Many key credit issues have developed recently prompting Fitch's decision to withdraw MBIA and Ambac's ratings at this time. Negative rating actions by S&P and Moody's impact the companies' business prospects and the companies' reactive strategic and capital management planning creates a volatile credit variable. In addition, credit risk developments continue and Fitch's ability to analyze credit strength needs to shift to utilizing public information only.
Fitch will consider reinstating coverage and assigning new ratings based only on public information if there is continuing investor interest. In the interim, Fitch may continue to offer commentary and research on developing credit events at MBIA and Ambac.
6/25/2008 Fed Keeps Rate at 2%, Ending Most Aggressive Easing Since 1980s
6/25/2008 Moody's downgrades Radian Asset Assurance to A3; rating outlooks are negative
6/25/2008 Regional Dealers Fixed Income Conference - Sept 24-26, Dallas
6/24/2008 Rating Bill Bashed - First Amendment Questions Raised
Free Bond Buyer Article
6/23/2008 Moody's downgrades FGIC's rating to B1; outlook is
New York, June 20, 2008 -- Moody's Investors Service has downgraded to B1, from Baa3, the insurance financial strength (IFS) ratings of the main operating subsidiaries of FGIC Corporation, including Financial Guaranty Insurance Company and FGIC UK Limited (collectively "FGIC"). In the same rating action, Moody's has also downgraded the senior debt ratings of the holding company, FGIC Corporation to Caa2 from B3 and the contingent capital securities ratings of Grand Central Capital Trusts I-IV to B3 from B2. Today's rating action concludes a review for possible downgrade that was initiated on March 31, 2008, and reflects the company's severely impaired financial flexibility and the company's proximity to minimum regulatory capital requirements relative to our estimations of expected case losses. The rating action also considers the likelihood that FGIC's previously announced restructuring plan will ultimately result in the company retaining the higher-risk portion of the insured portfolio without the premiums associated with its lower-risk business. The outlook for the rating is negative.
6/23/2008 Moody's downgrades Security Capital Assurance subs XLCA and XLFA to B2; outlook is negative
New York, June 20, 2008 -- Moody's Investors Service has downgraded to B2, from A3, the insurance financial strength ratings of XL Capital Assurance Inc. ("XLCA"), XL Capital Assurance (U.K.) Limited and XL Financial Assurance Ltd ("XLFA"). In the same rating action, Moody's also downgraded the debt ratings of Security Capital Assurance Ltd (NYSE: SCA -- preference shares to Ca from B3) and a related financing trust. Today's rating action concludes a review for possible downgrade that was initiated on March 4, 2008, and reflects the company's severely impaired financial flexibility and the company's proximity to minimum regulatory capital requirements relative to our estimations of expected case losses. The outlook for the ratings is negative.
6/23/2008 Outspoken Pension Review Board chairman is replaced
Gov. Rick Perry has removed outspoken Dallas investor Frederick “Shad” Rowe as chairman of the Texas Pension Review Board, which oversees public pension sysems that have nearly $200 billion in assets....
