FGIC Submits Proposed Surplus Restoration Plan

January 6, 2010 – New York, NY - On November 24, 2009, the New York State Insurance Department (the “Department”) issued an order pursuant to Section 1310 of the New York State Insurance Law that, among other things, requires Financial Guaranty Insurance Company (“FGIC”) to provide to the New York Superintendent of Insurance, no later than January 5, 2010, a detailed and final proposed surplus restoration plan to remove FGIC’s capital impairment and return it to compliance with the applicable minimum surplus to policyholders requirement by not later than March 25, 2010, or such subsequent date as the Superintendent deems appropriate. To satisfy this requirement, prior to January 5, 2010, FGIC provided to the Superintendent FGIC’s proposed surplus restoration plan, which is under review by the Department.