Bob Giuffra Quoted in The New York Times Article on MBIA

January 7, 2011

On January 7, Mr. Giuffra was quoted in The New York Times article titled, “MBIA Fights Banks for Its Life.” Wading through several conflicting indicators of MBIA's corporate health, the article focuses on developments in pending litigation between the insurer and a group of its policyholders – nine global financial institutions represented by S&C. This litigation, which S&C's clients brought against MBIA and its regulator, the New York Insurance Department, seeks to overturn the regulator's approval of MBIA's 2009 restructuring, which, as the Times noted, “left some MBIA-insured policyholders – notably banks – less likely to be paid if there are defaults.” Commenting on the New York Insurance Department's refusal to turn over to the court internal correspondence pertinent to the restructuring, Mr. Giuffra said, “They seem to be fighting hammer and tong to avoid any public disclosure of the internal basis of their decision,' adding that the banks believed they could prove that MBIA was insolvent and that the regulator's 'so-called thorough review was window dressing.'”