Assured Guaranty Ltd. Provides Update on Its Reinsurance Relationship

    Business Editors

    HAMILTON, Bermuda--(BUSINESS WIRE)--April 27, 2005--Assured Guaranty Ltd. (NYSE:AGO) announced that its quota share reinsurance treaty with Ambac Assurance Corporation renewed as of April 1, 2005. In addition, Assured Guaranty announced that it entered into a master facultative agreement with Ambac on March 31, 2005. On April 20, 2005, Ambac also provided notice of a non-renewal of the quota share treaty on a run-off basis, effective July 1, 2006. This non-renewal will not affect business ceded from Ambac in any prior year, or business ceded under the current quota share treaty through June 30, 2006.
    Assured Guaranty Ltd. is a Bermuda-based holding company. Its operating subsidiaries provide credit enhancement products to the U.S. and international public finance, structured finance and mortgage markets. More information can be found at http://www.assuredguaranty.com.

    Any forward-looking statements made in this press release reflect the Company's current views with respect to future events and financial performance and are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Such statements involve risks and uncertainties that may cause actual results to differ materially from those set forth in these statements. For example, the Company's forward looking statements could be affected by a significant reduction in the amount of reinsurance ceded, rating agency action such as a ratings downgrade, difficulties with the execution of the Company's business strategy, contract cancellations, developments in the world's financial and capital markets, more severe losses or more frequent losses associated with products affecting the adequacy of the Company's loss reserve, changes in regulation or tax laws, the Company's dependence on customers, decreased demand or increased competition, loss of key personnel, the effects of mergers, acquisitions and divestitures, changes in accounting policies or practices, and changes in general economic conditions, as well as management's response to these factors, and other risk factors identified in the Company's filings with the Securities and Exchange Commission. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the dates on which they are made. The Company undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

--30--CM/mi*

CONTACT: Assured Guaranty Ltd., Hamilton Sabra Purtill, 212-408-6044 or 441-278-6665 spurtill@assuredguaranty.com or Christopher McNamee, 212-261-5509 cmcnamee@assuredguaranty.com or Patrick Early, 212-408-6043 pearly@assuredguaranty.com

KEYWORD: NEW YORK INTERNATIONAL LATIN AMERICA INDUSTRY KEYWORD: INSURANCE BANKING MARKETING AGREEMENTS SOURCE: Assured Guaranty Ltd.

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