Assured Guaranty, LTD - AGO STOCK NEWS

Kroll Bond Rating Agency (KBRA) has affirmed the AA+ insurance financial strength ratings with Stable Outlooks for Assured Guaranty Inc. (AG) and its U.K. and European subsidiaries, Assured Guaranty UK (AGUK) and Assured Guaranty (Europe) SA (AGE). KBRA highlighted AG's strong capital position, substantial claims-paying resources, and diversified underwriting platform focused on public finance, international infrastructure, and structured finance.

The agency noted that AG's expertise in surveillance and work-outs helps mitigate credit risk and limit losses while growing its insured portfolio. KBRA views new business opportunities for AG as strong, citing increased awareness of financial guaranty products due to high-profile municipal defaults and events like the COVID-19 pandemic. The recent merger of Assured Guaranty Municipal Corp. into Assured Guaranty Inc. was seen as streamlining the organizational structure and improving efficiencies.

Assured Guaranty (NYSE: AGO) reported its second quarter 2024 financial results. GAAP net income was $78 million, or $1.41 per share, while non-GAAP adjusted operating income was $80 million, or $1.44 per share. Gross written premiums (GWP) reached $132 million, and the present value of new business production (PVP) was $155 million. Shareholders’ equity per share increased to $104.15.

During the quarter, the company returned $169 million to shareholders through share repurchases and dividends. Significant stock redemptions included $100 million by AGM and $300 million by Assured Guaranty Inc. The merger of AGM into AG was completed, aiming for capital efficiency.

Despite a 38% year-over-year decline in net income, adjusted operating income increased by 122%, driven by new business production and share repurchases. The Insurance segment reported $116 million in adjusted operating income, up from $106 million in the prior year, due to lower loss expenses and higher alternative investment earnings.

Assured Guaranty (NYSE:AGO) has declared a quarterly dividend of $0.31 per common share, payable on September 4, 2024 to shareholders of record as of August 21, 2024. The company, based in Bermuda, provides credit enhancement products for public finance, infrastructure, and structured finance markets in the U.S. and internationally. Assured Guaranty also has a presence in asset management through its ownership stake in Sound Point Capital Management, LP and other investment management affiliates.

Assured Guaranty (NYSE: AGO) announced that S&P Global Ratings, Kroll Bond Rating Agency (KBRA), and Moody's Ratings have indicated no change to Assured Guaranty's financial strength following the August 1, 2024 merger of Assured Guaranty Municipal Corp. (AGM) into Assured Guaranty Inc. (AG). Key points:

• S&P maintains AG's AA (stable) financial strength rating
• KBRA affirms AG's AA+ (stable) insurance financial strength rating
• Moody's affirms AG's A1 (stable) insurance financial strength rating
• All AGM-insured securities are now guaranteed by AG
• Agencies view the merger positively, citing enhanced capital efficiency, risk diversification, and market position

The merger is expected to create capital, operational, and regulatory efficiencies while strengthening Assured Guaranty's global platform and growth opportunities.

Assured Guaranty (NYSE: AGO) has completed the merger of Assured Guaranty Municipal Corp. (AGM) into Assured Guaranty Inc. (AG), effective August 1, 2024. This strategic move aims to enhance capital structure and create operational efficiency. Key points include:

1. AG is the surviving company, with all AGM obligations now under AG.
2. Financial strength ratings remain unchanged: AA+ (KBRA), AA (S&P), and A1 (Moody's).
3. The merger creates a larger scale company with a greater capital base and a more diversified insured portfolio.
4. AG will continue to be domiciled in Maryland with the Maryland Insurance Administration as its primary regulator.
5. A $300 million stock redemption has been approved and is expected to be effectuated shortly after the merger.

Assured Guaranty (NYSE:AGO) has announced it will release its Q2 2024 financial results on August 7, 2024, after 4:00 p.m. Eastern Time. The company will host an investor conference call on August 8, 2024, at 8:00 a.m. Eastern Time. The financial results press release and Financial Supplement will be available on the company's website.

Investors can access the conference call via live webcast or by dialing in. A replay of the call will be available for 90 days on the website and for 30 days via telephone. Assured Guaranty is a Bermuda-based holding company that provides credit enhancement products to public finance, infrastructure, and structured finance markets through its subsidiaries.

Assured Guaranty (NYSE: AGO) announced that the financial strength ratings of its subsidiaries will remain unchanged following the merger of Assured Guaranty Municipal Corp. (AGM) into Assured Guaranty Inc. (AG). This affirmation comes from S&P Global Ratings, Kroll Bond Rating Agency (KBRA), and Moody's. The merger, expected to close on August 1, 2024, aims to simplify the organizational structure, creating operational efficiencies and enhancing the company's global platform. Moody's noted that the merger will moderately strengthen the credit profile of the combined entity, despite a planned $300 million capital extraction through a special dividend. The ratings affirmations reflect Assured Guaranty's strong capital profile, conservative underwriting, and leading market position.

Assured Guaranty (NYSE: AGO) announced the merger of its U.S. entities, Assured Guaranty Municipal Corp. (AGM) and Assured Guaranty Inc. (AG), effective August 1, 2024. The merger aims to optimize capital usage, simplify administration, and enhance financial stability by combining their portfolios and resources. This consolidation is expected to diversify the insured portfolio and increase claims-paying resources. Additionally, the Maryland Insurance Administration has approved a $300 million stock redemption post-merger. AGM's subsidiaries will continue their operations under AG.

Assured Guaranty Municipal (AGM) has insured $800 million of senior Special Facilities Revenue Bonds for JFK International Airport's New Terminal One project. This marks AGM's second involvement within seven months, following a similar issuance in December 2023. The bonds, part of a $2.55 billion Series 2024 issue, were issued on June 27. AGM's total insured bonds now amount to $1.6 billion out of JFK NTO's $4.55 billion total bonds issued to date. The bonds will fully amortize post an initial interest-only period, maturing in 2060. This reflects AGM's significant commitment and capability to provide cost savings in large, complex public-private partnership projects.