MBIA, Inc. (MBI)

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The Company provides financial guarantee insurance and other forms of credit protection as well as investment management services to public finance and structured finance issuers and investors and capital market participants on a global basis.

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Avatar dmanso (84.15) Submitted: 6/03/08 5:50 AM : Start Price: $7.04 MBI Score: 65.23

Reckon Moody, Fitch, are destroying MBI and ABK. And they are doing this, only because they failed to do what they were suppose to do in the first place.

Its always easy to step on the person who has fallen. If they would have done their jobs in the first place, we might not be in this mess.

Now, they are just trying to save themselves, by stomping on the injured.

Strongly believe MBI can recover. They didn't become the company they are (before the fall) by being flukes.

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Avatar TheParadox (96.45) Submitted: 7/10/08 10:29 PM

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Whoa, hold on there, maybe they did become the company they were yesterday by being flukes.

Consider this, MBIA is an insurer... and I'm really stealing this from another comment/pitch so anyway.

ANYONE can write a policy for just about anything and can charge whatever they want for it. They can say "sure, we'll give you a policy for x dollars". Well, that's frankly a great business to own... you can just issue all sorts of policy and for a while, you just seem to printing money with every signature and agreement you make. But what happens when someone defaults? Money simply gets pulled to payout!

...no biggie, we planned for it... The accountants call these accounts "reserves for losses" or "allowance for doubtful accounts"... and some fancy math dude did that probability models to tell us how much we needed. But when there are a lot of hands reaching out to get paid, and you math dude didn't do a good job you accounts run negative... you end up doing the very thing you set out to save people from. and that my friend is called default.

and that's exactly what is happening right now in a nutshell. Im not stepping on the person/firm who has fallen, im looking at the investors and business man and im saying "shame on you"... you need to do a better job.

The bottom line is they got greedy, wrote a bunch of cheap insurance, raked in a lot of money and never saw any foresight in the credit markets. Now, they have to shovel away money that's not in the reserve accounts... but bits of the company money to pay employees...

...It would not shock me one bit to see this symbol "not recognized" in a 18 mo. or less.

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Avatar stevebk01 (99.11) Submitted: 7/18/08 4:58 PM

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Moody, Fitch did not destroy MBI and ABK, they destroyed themselves. Poor underwriting from the first-line can't blame poor regulation.

It's like if team1 in b-ball loses to team2 110-50 but the scoreboard shows 50-110, THEY STILL LOST. You can't blame the scoreboard for the team1 playing poorly. Yes the scoreboard is wrong, but when it is sorted out in the end and the books are consulted - team1 losing is still their own fault.

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Avatar DeerHunter73 (36.76) Submitted: 7/25/08 10:40 AM

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this is a thought to, Mbi was suppose to report on thursday 07/25/08 and never did! hmm whats up with that

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MBIA, Inc. (MBI)

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