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Losses on Subprime Seconds Mount, Pressure Bond Insurers 

May 15, 2008By

An earlier warning this week from Moody’s Investors Service over worsening performance of subprime second liens and associated implications for the Aaa ratings of key monoline bond insurers led both MBIA Inc. [stock MBI][/stock] and Ambac Financial [stock ABK][/stock] to publicly contest the agency’s suggestion that their ratings were at risk.

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