Sep
28th
Mon
28th
S&P cuts MBIA bond-insurance unit to junk
Once again, the ratings agencies show just how ahead of the curve they are. MBIA, who made their earnings by insuring mortgage-backed securities, requires a solid credit rating to generate any new business. Let’s see how the runoff business works out for them.
In other news, Unprecedented U.S. corporate default seen for ‘09. I hope none of those bonds are insured by MBIA.
