New York

MBIA’s Profit Narrows to Less Than $900m 

[UPDATE 1: clarifies loan loss reserves, claims] MBIA’s [stock MBI][/stock] Q209 profit of $894.7m ($4.30 per share) is down 47% from its year-ago period profit of $1.7bn. But the Armonk, NY-based monoline hasn’t written any new business during the first half of the year and the quarter’s recorded profits came in large part from decreases to its loan loss reserves MBIA was able to make after absolving itself of an estimated $1.1bn in obligations from defaulted second-lien mortgages it said should have never been securitized to begin with.