ASSURED GUARANTY LTD - FORM 8-K - EX-99.2 - EXHIBIT 99.2

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8-K - 8-K - ASSURED GUARANTY LTD	a2201094z8-k.htm
EX-99.3 - EXHIBIT 99.3 - ASSURED GUARANTY LTD	a2201094zex-99_3.htm
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Exhibit 99.2

Assured Guaranty Municipal Corp.
September 30, 2010
Financial Supplement

Table of Contents			Page

	Selected Financial Highlights		1
	Consolidated Statements of Operations		2
	Consolidated Balance Sheets		3
	Claims Paying Resources		4
	New Business Production		5
	Financial Guaranty Gross Par Written		6
	Underwriting Gain (Loss)		7
	Investment Portfolio		8
	Estimated Net Exposure Amortization and Estimated Future Net Premium Reserve and Credit Derivative Revenues		9
	Expected Amortization of U.S. and Non-U.S. Structured Finance Net Par Outstanding		10
	Present Value of Financial Guaranty Net Insurance Losses to be Expensed		11
	Financial Guaranty Profile		12-14
	Pooled Corporate Obligations Profile		15
	Consolidated U.S. Residential Mortgage-Backed Securities Profile		16-18
	U.S. Consumer Receivables Profile		19
	Credit Derivative Net Par Outstanding Profile		20
	Below Investment Grade Exposures		21-25
	Largest Exposures by Sector		26-29
	Loss and LAE Reserves		30
	Financial Guaranty Insurance and Credit Derivatives U.S. RMBS Representations and Warranties Benefit Development		31
	Financial Guaranty Losses Incurred and Paid		32
	Summary of Statutory Financial and Statistical Data		33
	Glossary		34-35
	Endnotes Related to Non-GAAP Financial Measures		36-37

This financial supplement should be read in conjunction with documents filed by Assured Guaranty Ltd. (together with its subsidiaries, "Assured Guaranty"), with the Securities and Exchange Commission ("SEC"), including Assured Guaranty's Annual Reports on Form 10-K for the year ended December 31, 2009 and its Quarterly Reports on Form 10-Q for the periods ended March 31, 2010, June 30, 2010 and September 30, 2010. Assured Guaranty Municipal Corp. ("AGM") was purchased by Assured Guaranty US Holdings Inc., a subsidiary of Assured Guaranty Ltd., on July 1, 2009. This financial supplement presents financial information since its acquisition, except for statutory data, which is based on full year statutory accounting principles. Purchase accounting adjustments were pushed down to AGM, which affects comparability to periods prior to the acquisition. AGM is a subsidiary of Assured Guaranty Municipal Holdings Inc. ("AGMH"), which terminated its registration with the SEC in July 2009 and no longer files reports with the SEC. For the purposes of this financial supplement, all references to the "Company" shall mean AGM.

Some amounts in this Financial Supplement may not add due to rounding.



		Cautionary Statement Regarding Forward-Looking Statements:
		Any forward-looking statements made in this supplement reflect the current views of Assured Guaranty with respect to future events and financial performance and are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Such statements involve risks and uncertainties that may cause actual results to differ materially from those set forth in these statements. Assured Guaranty's forward looking statements could be affected by many events. These events include (1) rating agency action, including a ratings downgrade or change in outlook of Assured Guaranty Ltd. or its subsidiaries and/or of transactions insured by Assured Guaranty Ltd.'s subsidiaries, both of which have occurred in the past; (2) developments in the world's financial and capital markets that adversely affect issuers' payment rates, Assured Guaranty's loss experience, its ability to cede exposure to reinsurers, its access to capital, its unrealized (losses) gains on derivative financial instruments or its investment returns; (3) changes in the world's credit markets, segments thereof or general economic conditions; (4) more severe or frequent losses implicating the adequacy of Assured Guaranty's expected loss estimates; (5) the impact of market volatility on the mark-to-market of Assured Guaranty's contracts written in credit default swap form; (6) reduction in the amount of reinsurance portfolio opportunities available to Assured Guaranty; (7) deterioration in the financial condition of our reinsurers, the amount and timing of reinsurance recoverable actually received and the risk that reinsurers may dispute amount owed to us under our reinsurance agreements; (8) the possibility that Assured Guaranty will not realize insurance loss recoveries or damages expected from originators, sellers, sponsors, underwriters or servicers of residential mortgage-backed securities transactions; (9) decreased demand or increased competition; (10) changes in applicable accounting policies or practices; (11) changes in applicable laws or regulations, including insurance and tax laws; (12) other governmental actions; (13) difficulties with the execution of Assured Guaranty's business strategy; (14) contract cancellations; (15) Assured Guaranty's dependence on customers; (16) loss of key personnel; (17) adverse technological developments; (18) the effects of mergers, acquisitions and divestitures; (19) natural or man-made catastrophes; (20) other risks and uncertainties that have not been identified at this time; (21) management's response to these factors; and (22) other risk factors identified in Assured Guaranty's filings with the SEC. Readers are cautioned not to place undue reliance on these forward looking statements, which speak only as of the dates on which they are made. Assured Guaranty undertakes no obligation to publicly update or revise any forward looking statements, whether as a result of new information, future events or otherwise, except as required by law.

Assured Guaranty Municipal Corp.
Selected Financial Highlights
(dollars in millions)

			Three Months Ended September 30,

			Three Months Ended September 30,						% Change versus 3Q-09		Nine Months Ended September 30, 2010
			2010			2009			% Change versus 3Q-09		Nine Months Ended September 30, 2010
Operating income reconciliation:
Operating income ¹			$	200.2		$	227.2			(12)%	$	531.5
	Plus after-tax adjustments:
		Realized gains (losses) on investments		(2.0	)		0.3			NM		(6.7	)
		Non-credit impairment unrealized fair value gains (losses) on credit derivatives		(23.7	)		(50.0	)		(53)%		(28.1	)
		Fair value gains (losses) on committed capital securities		(2.2	)		(33.7	)		(93)%		0.4
		Foreign exchange gains (losses) on revaluation of premiums receivable		16.1			3.5			360%		(5.3	)
		Effect of consolidating variable interest entities ("VIEs") ²		115.4			-			NM		115.6
		Gain on bargain purchase		-			232.6			(100)%		-

		Net income attributable to Assured Guaranty Municipal Corp.	$	303.8		$	379.9			(20)%	$	607.4

Return on equity ("ROE") calculations ³:
	ROE, excluding unrealized gain (loss) on investment portfolio			53.4%			104.3%					36.6%
	Operating ROE			31.8%			50.3%					29.8%
Other information
	Gross par written		$	6,204		$	1,065				$	17,023

			As of:

			September 30, 2010			December 31, 2009
Reconciliation of shareholder's equity to adjusted book value:
	Shareholder's equity attributable to Assured Guaranty Municipal Corp.		$	2,550.8		$	2,074.5
	Less after-tax adjustments:
		Effect of consolidating VIEs ²		(51.0	)		-
		Non-credit impairment unrealized fair value gains (losses) on credit derivatives		(150.1	)		(143.5	)
		Fair value gains (losses) on committed capital securities		4.0			3.6
		Unrealized gain (loss) on investment portfolio excluding foreign exchange effect		127.3			75.1

Operating shareholder's equity			$	2,620.6		$	2,139.3
	After-tax adjustments:
		Less: Deferred acquisition costs		(47.8	)		(17.5	)
		Plus: Net present value of estimated net future credit derivative revenue		163.3			191.9
		Plus: Net unearned premium reserve on financial guaranty contracts in excess of expected loss to be expensed		2,020.1			2,510.6

	Adjusted book value		$	4,851.8		$	4,859.3

Other information
	Net debt service outstanding		$	536,869		$	583,796
	Net par outstanding			361,767			393,990
	Claims paying resources ⁴			6,700			6,927

1. The Company revised its definition of operating income in 2010 to exclude foreign exchange revaluation gains and losses on premiums receivable. Prior periods are presented on a basis consistent with the current definition.

2. Effective January 1, 2010, GAAP accounting required the consolidation of VIEs where the Company is determined to be the control party through rights under our financial guaranty insurance contracts. For those VIEs that the Company consolidates, it records all of the activities of the VIE and eliminates the related insurance accounting. Operating income reverses the financial effect of consolidating these entities and accounts for them as financial guaranty insurance contracts in order to present the Company's insured obligations on a consistent basis.

3. ROE calculations represent annualized returns.

4. See page 4.

Note: Please refer to the endnotes for an explanation of the non-GAAP financial measures.

Page 1

Assured Guaranty Municipal Corp.
Consolidated Statements of Operations
(in millions)

			Three Months Ended September 30,

			Three Months Ended September 30,						% Change versus 3Q-09		Nine Months Ended September 30, 2010
			2010			2009			% Change versus 3Q-09		Nine Months Ended September 30, 2010
Revenues:
	Net earned premiums		$	217.4		$	280.5			(22)%	$	690.4
	Net investment income			49.1			44.9			9%		145.8
	Net realized investment gains (losses)			(3.1	)		0.5			NM		(10.3	)
	Net change in fair value of credit derivatives:
		Credit derivative revenues		23.9			28.8			(17)%		77.1
		Losses incurred on credit derivatives		(4.1	)		27.3			NM		(21.3	)
		Net unrealized gain (loss), excluding losses incurred		(36.6	)		(76.9	)		(52)%		(51.7	)

		Net change in fair value of credit derivatives		(16.8	)		(20.8	)		(19)%		4.1
	Fair value gains (losses) on committed capital securities			(3.3	)		(51.8	)		(94)%		0.7
	Financial guaranty VIEs' revenues			59.6			4.9			NM		(9.8	)
	Other income			25.5			34.3			(26)%		21.5

		Total revenues		328.4			292.5			12%		842.4
Expenses:
	Loss and loss adjustment expenses			77.9			0.9			NM		172.6
	Amortization of deferred acquisition costs			(1.6	)		-			NM		(5.9	)
	Interest expense			1.7			2.3			(26)%		5.2
	Gain on bargain purchase			-			(232.6	)		(100)%		-
	Financial guaranty VIEs' expenses			(119.3	)		10.2			NM		(175.5	)
	Other operating expenses			21.7			75.9			(71)%		61.9

		Total expenses		(19.6	)		(143.3	)		(86)%		58.3

	Income (loss) before income taxes			348.0			435.8			(20)%		784.1
	Provision (benefit) for income taxes			44.2			61.2			(28)%		176.7

	Net income (loss)			303.8			374.6			(19)%		607.4
	Less: Noncontrolling interest of variable interest entities			-			(5.3	)		(100)%		-

	Net income attributable to Assured Guaranty Municipal Corp.		$	303.8		$	379.9			(20)%	$	607.4
	Less after-tax adjustments:
		Realized gains (losses) on investments		(2.0	)		0.3			NM		(6.7	)
		Non-credit impairment unrealized fair value gains (losses) on credit derivatives		(23.7	)		(50.0	)		(53)%		(28.1	)
		Fair value gains (losses) on committed capital securities		(2.2	)		(33.7	)		(93)%		0.4
		Foreign exchange gains (losses) on revaluation of premiums receivable		16.1			3.5			360%		(5.3	)
		Effect of consolidating VIEs ¹		115.4			-			NM		115.6
		Gain on bargain purchase		-			232.6			(100)%		-

	Operating income		$	200.2		$	227.2			(12)%	$	531.5

	Effect of refundings and accelerations, net
	Earned premiums from refundings and accelerations, net		$	15.4		$	11.5				$	36.6
	Operating income effect			10.0			7.5					23.8

1. Effective January 1, 2010, GAAP accounting required the consolidation of VIEs where the Company is determined to be the control party through rights under our financial guaranty insurance contracts. For those VIEs that the Company consolidates, it records all of the activities of the VIE and eliminates the related insurance accounting. Operating income reverses the financial effect of consolidating these entities and accounts for them as financial guaranty insurance contracts in order to present the Company's insured obligations on a consistent basis.

Note: Please refer to the endnotes for an explanation of the non-GAAP financial measures.

Page 2

Assured Guaranty Municipal Corp.
Consolidated Balance Sheets
(in millions)

			As of

			September 30, 2010		December 31, 2009
Assets
	Investment portfolio:
		Fixed maturity securities, available-for-sale, at fair value	$	4,871.9	$	5,183.6
		Short-term investments, at fair value		473.3		542.0

	Total investment portfolio			5,345.2		5,725.6
	Assets acquired in refinancing transactions			133.2		152.4
	Note receivable from affiliate			300.0		300.0
	Cash			40.6		23.6
	Premiums receivable			734.9		787.4
	Ceded unearned premium reserve			1,514.2		1,537.1
	Reinsurance recoverable on unpaid losses			19.4		13.7
	Credit derivative assets			199.6		227.0
	Committed capital securities, at fair value			6.2		5.6
	Deferred tax asset, net			694.6		972.4
	Salvage and subrogation recoverable			602.9		248.1
	Financial guaranty VIE assets ¹			1,892.3		762.3
	Other assets			178.4		135.5

Total assets			$	11,661.5	$	10,890.7

Liabilities and shareholder's equity
Liabilities
	Unearned premium reserve		$	5,546.7	$	6,468.3
	Loss and loss adjustment expense reserve			176.3		55.3
	Notes payable			132.1		149.1
	Credit derivative liabilities			655.8		625.8
	Reinsurance balances payable, net			324.9		259.0
	Financial guaranty VIE liabilities with recourse ¹			1,811.0		762.7
	Financial guaranty VIE liabilities without recourse ¹			224.9		-
	Other liabilities			239.0		496.4

Total liabilities				9,110.7		8,816.6
Shareholder's equity
	Preferred stock			-		-
	Common stock			15.0		15.0
	Additional paid-in capital			1,216.8		1,241.8
	Retained earnings ¹			1,184.2		743.4
	Accumulated other comprehensive income			134.8		74.3

Total shareholder's equity attributable to Assured Guaranty Municipal Corp.				2,550.8		2,074.5
	Noncontrolling interest of financial guaranty VIEs ¹			-		(0.4	)

Total shareholder's equity				2,550.8		2,074.1

Total liabilities and shareholder's equity			$	11,661.5	$	10,890.7

Page 3

Assured Guaranty Municipal Corp.
Claims Paying Resources
(dollars in millions)

		As of:

		September 30, 2010		December 31, 2009
Claims paying resources
Policyholders' surplus		$	1,008	$	909
Contingency reserve			1,505		1,323

	Qualified statutory capital		2,513		2,232
Unearned premium reserve			2,305		2,392
Loss and loss adjustment expense reserves ²			670		1,022

	Total policyholders' surplus and reserves		5,488		5,646
Present value of installment premiums ³			714		783
Standby line of credit/stop loss			498		498

	Total claims paying resources	$	6,700	$	6,927

Net par outstanding ¹		$	351,494	$	381,148
Net debt service outstanding ¹		$	525,385	$	568,594
Ratios:
	Net par outstanding to qualified statutory capital		140:1		171:1
	Capital ratio ⁴		209:1		255:1
	Financial resources ratio ⁵		78:1		82:1

1. Net par outstanding and net debt service outstanding are presented on a statutory basis. Under statutory accounting, such amounts would be reduced both when an outstanding issue is legally defeased (i.e., the rights and interests of bondholders and their lien on pledged revenues or other security are terminated in accordance with bond documentation) and when such issue is economically defeased (i.e., bond documentation does not provide a procedure for termination of such rights, interests and lien other than through payment of all outstanding debt in full; funds are deposited in an escrow account for future payment of the debt; and if the funds deposited prove insufficient to pay the outstanding debt in full, the issuer continues to be legally obligated to make payment on such debt).

2. Reserves as of September 30, 2010 and December 31, 2009 are reduced by approximately $0.9 billion and $0.8 billion, respectively, for benefit related to representation and warranty recoverables.

3. Includes financial guaranty insurance and credit derivatives.

4. The capital ratio is calculated by dividing net debt service outstanding by qualified statutory capital.

5. The financial resources ratio is calculated by dividing net debt service outstanding by total claims paying resources.

Page 4

Assured Guaranty Municipal Corp.
New Business Production
(in millions)

				Three Months Ended September 30,

				Three Months Ended September 30,					Nine Months Ended September 30, 2010
				2010		2009			Nine Months Ended September 30, 2010
Consolidated new business production analysis:
	Present value of new business production ("PVP")
		Public finance - U.S.
			Primary markets	$	64.9	$	12.6		$	177.7
			Secondary markets		9.1		0.4			22.3
		Public finance - non-U.S.
			Primary markets		-		-			-
			Secondary markets		-		-			-
		Structured finance - U.S. ¹			1.7		0.4			2.6
		Structured finance - non-U.S. ¹			0.7		0.9			2.8

		Total PVP			76.4		14.3			205.4
	Less: PVP of credit derivatives				-		-			-

	PVP of financial guaranty insurance				76.4		14.3			205.4
		Less: Financial guaranty installment premium PVP			2.7		4.4			4.6

	Total: Financial guaranty upfront gross written premiums ("GWP")				73.7		9.9			200.8
	Plus: Financial guaranty installment adjustment ²				4.0		(9.2	)		20.1

		Total GWP		$	77.7	$	0.7		$	220.9

Consolidated financial guaranty gross par written:
	Public finance - U.S.
			Primary markets	$	5,802	$	1,052		$	16,212
			Secondary markets		402		13			811
	Public finance - non-U.S.
			Primary markets		-		-			-
			Secondary markets		-		-			-
	Structured finance - U.S.				-		-			-
	Structured finance - non-U.S.				-		-			-

		Total		$	6,204	$	1,065		$	17,023

1. These policies represent existing policies that have additional premium and have no par outstanding.

2. Includes the difference in management estimates for the discount rate applied to future installments compared to the discount rate used for new financial guaranty insurance accounting standard as well as the changes in estimated term for future installments.

Note: Please refer to the endnotes for an explanation of the non-GAAP financial measures.

Page 5

Assured Guaranty Municipal Corp.
Financial Guaranty Gross Par Written
(in millions)

Financial Guaranty Gross Par Written by Asset Type

			Three Months Ended September 30, 2010				Nine Months Ended September 30, 2010

			Gross Par Written		Avg. Rating ¹		Gross Par Written		Avg. Rating ¹
Sector:
U.S. Public Finance:
	General obligation		$	3,003		A	$	7,615		A
	Tax backed			1,075		A+		3,097		A+
	Municipal utilities			786		A		2,840		A
	Transportation			730		A		1,317		A
	Healthcare			215		A-		764		A-
	Higher education			389		A		639		A
	Investor-owned utilities			-				30		A-
	Other public finance			6		A-		721		A

		Total U.S. public finance		6,204		A		17,023		A
Non-U.S. Public Finance:
		Total non-U.S. public finance		-		-		-		-

Total public finance			$	6,204		A	$	17,023		A

U.S. Structured Finance:
		Total U.S. structured finance	$	-		-	$	-		-
Non-U.S. Structured Finance:
		Total non-U.S. structured finance		-		-		-		-

Total structured finance			$	-		-	$	-		-

Total gross par written			$	6,204		A	$	17,023		A

Please refer to the Glossary for a description of select types of U.S. public finance, non-U.S. public finance, U.S. structured finance and non-U.S. structured finance obligations that the Company insures and reinsures.

Page 6

Assured Guaranty Municipal Corp.
Underwriting Gain (Loss)
(in millions)

			3Q-09			4Q-09			1Q-10			2Q-10			3Q-10			Nine Months 2010

Income statement:
Net earned premiums:
	Scheduled net earned premiums
		Public finance - U.S.	$	60.7		$	55.3		$	43.2		$	45.6		$	47.3		$	136.1
		Public finance - non-U.S.		13.3			11.5			9.5			13.0			12.5			35.0
		Structured finance - U.S.		189.5			180.6			185.8			161.5			147.7			495.0
		Structured finance - non-U.S.		5.5			11.0			6.7			7.4			7.0			21.1

	Total scheduled net earned premiums			269.0			258.4			245.2			227.5			214.5			687.2
	Net earned premiums from refundings and accelerations			11.5			36.5			10.8			10.4			15.4			36.6

Total net earned premiums				280.5			294.9			256.0			237.9			229.9			723.8
Credit derivative revenues ¹				28.8			27.8			28.1			25.1			23.9			77.1
Other income				28.9			(0.7	)		17.2			3.3			0.6			21.1

	Total underwriting revenues			338.2			322.0			301.3			266.3			254.4			822.0
Loss and loss adjustment expenses				0.9			50.9			69.0			60.0			89.1			218.1
Losses incurred on credit derivatives ²				(27.3	)		(19.7	)		(2.8	)		20.0			4.1			21.3

	Total incurred losses			(26.4	)		31.2			66.2			80.0			93.2			239.4
Amortization of deferred acquisition costs				-			(0.5	)		(1.3	)		(3.0	)		(1.6	)		(5.9	)
Operating expenses				41.7			25.5			18.8			19.7			20.8			59.3

	Total underwriting expenses			15.3			56.2			83.7			96.7			112.4			292.8

		Underwriting gain (loss) ³	$	322.9		$	265.8		$	217.6		$	169.6		$	142.0		$	529.2

1. Includes premiums and ceding commissions.

2. Includes paid and payable losses and received and receivable recoveries.

3. The Company has revised its definition of underwriting gain in 2010 to exclude foreign exchange revaluation gains and losses on premiums receivable. 2009 amounts are presented on a consistent basis.

Page 7

Assured Guaranty Municipal Corp.
Investment Portfolio
As of September 30, 2010
(dollars in millions)

				Amortized Cost		Pre-Tax Book Yield			Fair Value		Annualized Investment Income ¹

Investment portfolio, available-for-sale:
Fixed maturity securities:
	U.S. Treasury securities and obligations of U.S. government agencies			$	35.1		3.44%	2.24%	$	38.3	$	1.2
	Agency obligations				115.1		2.06%	1.34%		119.1		2.4
	Obligations of states and political subdivisions				1,697.7		3.79%	3.57%		1,800.4		64.3
	Insured obligations of state and political subdivisions ²				1,623.6		4.81%	4.54%		1,736.1		78.1
	Corporate securities				172.5		2.91%	1.89%		178.0		5.0
	Mortgage-backed securities ("MBS"):
		Residential MBS ("RMBS")			410.9		4.78%	3.11%		386.6		19.6
		Commercial MBS ("CMBS")			15.3		4.27%	2.78%		15.8		0.7
	Asset-backed securities				325.8		2.60%	1.69%		329.3		8.5
	Foreign government securities				268.2		2.83%	1.84%		268.3		7.6

			Total fixed maturity securities		4,664.2		4.02%	3.50%		4,871.9		187.4
Short-term investments					473.0		0.17%	0.11%		473.3		0.8

			Total investment portfolio	$	5,137.2		3.66%	3.19%	$	5,345.2	$	188.2

Ratings ³:				Fair Value		%
Treasury and U.S. government obligations				$	38.3		0.8%
Agency obligations					119.1		2.4%
AAA/Aaa					1,456.5		29.9%
AA/Aa					2,102.6		43.2%
A/A					757.3		15.5%
BBB					98.9		2.0%
Below investment grade ("BIG") ⁴					264.5		5.4%
Not rated					34.7		0.8%

	Total fixed maturity securities available for sale			$	4,871.9		100.0%

Duration of investment portfolio (in years):							4.8

Average ratings of investment portfolio							AA-

1. Represents annualized investment income based on amortized cost and pre-tax book yields.

2. Reflects obligations of state and local political subdivisions that have been insured by financial guarantors. The underlying ratings of these bonds, after giving effect to the lower of the rating assigned by Standard & Poor's Rating Services ("S&P") or Moody's Investors Service, Inc. ("Moody's") average A+. Includes $182.7 million insured by AGM.

3. Ratings are represented by the lower of the Moody's and S&P classifications.

4. Included in the investment portfolio are securities purchased or obtained as part of loss mitigation or other risk management strategies of $542.5 million in par with carrying value of $264.5 million.

Page 8

Assured Guaranty Municipal Corp.
Estimated Net Exposure Amortization ¹ and Estimated Future Net Premium and Credit Derivative Revenues
(in millions)

						Financial Guaranty Insurance ²

		Estimated Net Debt Service Amortization		Estimated Ending Net Debt Service Outstanding		Expected PV Net Earned Premiums		Accretion of Discount		Future Net Premiums Earned		Future Credit Derivative Revenues ³		Total
2010 (as of September 30)				$	536,869
2010 (October 1 - December 31)			13,253		523,616	$	182.3	$	3.7	$	186.0	$	19.6	$	205.6
2011			42,936		480,680		547.2		14.1		561.3		75.0		636.3
2012			44,687		435,993		411.5		13.2		424.7		54.7		479.4
2013			36,818		399,175		344.6		12.3		356.9		37.5		394.4
2014			38,112		361,063		303.2		11.5		314.7		25.0		339.7
2010-2014			175,806		361,063		1,788.8		54.8		1,843.6		211.8		2,055.4
2015-2019			127,902		233,161		1,060.0		46.6		1,106.6		35.5		1,142.1
2020-2024			91,764		141,397		603.4		31.7		635.1		3.4		638.5
2025-2029			64,327		77,070		352.2		20.4		372.6		3.0		375.6
After 2029			77,070		-		403.1		20.8		423.9		7.7		431.6

	Total	$	536,869			$	4,207.5	$	174.3	$	4,381.8	$	261.4	$	4,643.2

1. Represents the future expected amortization of current debt service outstanding (principal and interest), assuming no advance refundings, as of September 30, 2010. Actual amortization differs from expected maturities because borrowers may have the right to call or prepay guaranteed and because of management's assumptions on structured finance amortization.

2. See page 11 for "Present Value of Financial Guaranty Net Insurance Losses to be Expensed."

3. Excludes contracts with credit impairment.

Page 9

Assured Guaranty Municipal Corp.
Expected Amortization of U.S. and Non-U.S. Structured Finance Net Par Outstanding
(in millions)

		Estimated Net Par Amortization

		U.S. and Non-U.S. Pooled Corporate		U.S. RMBS		Financial Products ¹		Other Structured Finance		Total		Estimated Ending Net Par Outstanding
Structured Finance Net Par Amortization:
2010 (as of September 30)												$	83,373
2010 (October 1 - December 31)		$	4,394	$	846	$	239	$	479	$	5,958		77,415
2011			8,904		2,654		700		1,922		14,180		63,235
2012			11,666		1,711		1,247		1,406		16,030		47,205
2013			7,911		1,096		969		413		10,389		36,816
2014			11,008		916		743		218		12,885		23,931
2010-2014			43,883		7,223		3,898		4,438		59,442		23,931
2015-2019			12,366		2,966		910		1,038		17,280		6,651
2020-2024			195		1,289		624		243		2,351		4,300
2025-2029			33		465		460		173		1,131		3,169
After 2029			81		868		1,820		400		3,169		-

	Total structured finance	$	56,558	$	12,811	$	7,712	$	6,292	$	83,373

1. See Glossary for description of financial products.

Page 10

Assured Guaranty Municipal Corp.
Present Value ("PV") of Financial Guaranty Net Insurance Losses to be Expensed
(in millions)

		Net Expected Loss to be Expensed ¹

Financial Guaranty Insurance Losses to be Expensed:
2010 (October 1 - December 31)		$	76.5
2011			180.9
2012			104.9
2013			78.6
2014			67.0
2010-2014			507.9
2015-2019			232.3
2020-2024			116.1
2025-2029			67.3
After 2029			66.1

	Total expected PV of net loss to be expensed		989.7
Discount			390.7

	Total future value	$	1,380.4

1. The expected present value of net loss to be expensed is discounted by weighted-average risk free rates ranging from 0% to 4.51%.

Page 11

Assured Guaranty Municipal Corp.
Financial Guaranty Profile (1 of 3)
(in millions)

Net Par Outstanding and Average Rating by Asset Type

			As of September 30, 2010

			Net Par Outstanding		Avg. Rating ¹
U.S. Public Finance:
	General obligation		$	112,142	A+
	Tax backed			50,141	A+
	Municipal utilities			46,136	A+
	Transportation			19,985	A
	Healthcare			10,063	A
	Higher education			6,962	A+
	Housing			5,476	AA-
	Infrastructure finance			1,144	BBB
	Investor-owned utilities			46	A-
	Other public finance			1,742	A

		Total U.S. public finance		253,837	A+
Non-U.S. Public Finance:
	Infrastructure finance			11,129	BBB
	Regulated utilities			6,987	BBB+
	Other public finance			6,441	AA-

		Total non-U.S. public finance		24,557	A-

Total public finance			$	278,394	A+

U.S. Structured Finance:
	Pooled corporate obligations		$	43,101	AAA
	RMBS			12,811	BB-
	Financial products ²			7,712	AA-
	Consumer receivables			2,357	A+
	Insurance securitization			369	AA
	Commercial receivables			90	BBB-
	Structured credit			80	BBB-
	Other structured finance			623	A

		Total U.S. structured finance		67,143	AA
Non-U.S. Structured Finance:
	Pooled corporate obligations			13,457	AAA
	RMBS			1,626	AA
	Structured credit			515	BBB+
	Commercial receivables			233	A
	Insurance securitizations			38	A+
	Other structured finance			361	AAA

		Total non-U.S. structured finance		16,230	AAA

Total structured finance			$	83,373	AA

Total net par outstanding			$	361,767	A+

2. See Glossary for description of financial products.

Page 12

Assured Guaranty Municipal Corp.
Financial Guaranty Profile (2 of 3)
(dollars in millions)

Distribution by Ratings of Financial Guaranty Portfolio

		As of September 30, 2010

		Public Finance - U.S.				Public Finance - non-U.S.				Structured Finance - U.S.				Structured Finance - non-U.S.				Consolidated
Ratings ¹:		Net Par Outstanding		%		Net Par Outstanding		%		Net Par Outstanding		%		Net Par Outstanding		%		Net Par Outstanding		%
Super senior		$	-		0.0%	$	-		0.0%	$	14,501		21.6%	$	5,292		32.6%	$	19,793		5.5%
AAA			4,114		1.6%		1,300		5.3%		25,557		38.1%		7,132		43.9%		38,103		10.5%
AA			106,973		42.1%		1,169		4.8%		13,920		20.7%		1,332		8.2%		123,394		34.1%
A			120,911		47.6%		7,515		30.6%		1,739		2.6%		1,197		7.4%		131,362		36.3%
BBB			20,698		8.2%		13,571		55.3%		1,228		1.8%		1,198		7.4%		36,695		10.1%
BIG			1,141		0.5%		1,002		4.0%		10,198		15.2%		79		0.5%		12,420		3.5%

	Total net par outstanding	$	253,837		100.0%	$	24,557		100.0%	$	67,143		100.0%	$	16,230		100.0%	$	361,767		100.0%

Ceded Par Outstanding by Reinsurer and Insurer Financial Strength Rating

Reinsurer					Ceded Par Outstanding

Affiliated Companies			A1	AA	$	64,751	50.1%
Non-Affiliated Companies:
	Radian Asset Assurance Inc.		Ba1	BB-		22,192	17.2%
	Tokio Marine & Nichido Fire Insurance Co., Ltd.		Aa2	AA		19,803	15.3%
	RAM Reinsurance Co. Ltd.		WR	WR		10,640	8.2%
	Syncora Guarantee Inc.		Ca	WR		4,198	3.2%
	Swiss Reinsurance Company		A1	A+		2,930	2.3%
	Mitsui Sumitomo Insurance Co. Ltd.		Aa3	AA-		2,475	1.9%
	Other		Various	Various		2,321	1.8%

Non-Affiliated Companies						64,559	49.9%

		Total			$	129,310	100.0%

1. Assured Guaranty's internal rating. The Company's ratings scale is similar to that used by the nationally recognized rating agencies; however, the ratings in the above table may not be the same as ratings assigned by any nationally recognized rating agency. The super senior category, which is not generally used by rating agencies, is used by the Company in instances where Assured Guaranty's AAA-rated exposure has additional credit enhancement due to either (1) the existence of another security rated AAA that is subordinated to Assured Guaranty's exposure or (2) Assured Guaranty's exposure benefiting from a different form of credit enhancement that would pay any claims first in the event that any of the exposures incurs a loss and such credit enhancement, in management's opinion, causes Assured Guaranty's attachment point to be materially above the AAA attachment point.

Page 13

Assured Guaranty Municipal Corp.
Financial Guaranty Profile (3 of 3)
(dollars in millions)

Geographic Distribution of Financial Guaranty Portfolio as of September 30, 2010

			Net Par Outstanding

U.S.:
Public Finance:
	California		$	36,055	10.0%
	New York			21,087	5.8%
	Pennsylvania			19,607	5.4%
	Texas			17,157	4.7%
	Illinois			16,015	4.4%
	Florida			14,877	4.1%
	Michigan			11,365	3.1%
	New Jersey			11,356	3.1%
	Washington			8,657	2.4%
	Massachusetts			7,468	2.1%
	Other states			90,193	24.9%

		Total Public Finance		253,837	70.0%
Structured finance (multiple states)				67,143	18.6%

		Total U.S.		320,980	88.6%

Non-U.S.:
	United Kingdom			12,164	3.4%
	Australia			5,093	1.4%
	Canada			4,259	1.2%
	Italy			1,764	0.5%
	France			1,698	0.5%
	Other			15,809	4.4%

		Total non-U.S.		40,787	11.4%

	Total net par outstanding		$	361,767	100.0%

Page 14

Assured Guaranty Municipal Corp.
Pooled Corporate Obligations Profile
(dollars in millions)

Distribution of Financial Guaranty Pooled Corporate Obligations by Ratings as of September 30, 2010

Ratings ¹:		Net Par Outstanding

Super senior		$	19,259	34.1%	27.9%	26.3%
AAA			30,446	53.8%	23.6%	23.7%
AA			4,126	7.3%	37.9%	33.2%
A			1,741	3.1%	22.8%	19.9%
BBB			764	1.4%	11.8%	9.4%
BIG			222	0.3%	40.8%	7.5%

	Total exposures	$	56,558	100.0%	26.0%	24.9%

Distribution of Financial Guaranty Pooled Corporate Obligations by Asset Class as of September 30, 2010

Asset class:		Net Par Outstanding

CBOs/CLOs ³		$	29,822	52.7%	26.4%	25.9%	AAA
Synthetic investment grade pooled corporates			14,134	25.0%	18.6%	16.9%	AAA
Synthetic high yield pooled corporates			10,202	18.0%	38.0%	33.2%	AAA
Market Value CDOs of corporates			1,492	2.6%	17.0%	32.9%	AAA
Trust preferred - banks and insurance			160	0.3%	47.5%	43.5%	A
CDO of CDOs (corporate) ⁴			35	0.1%	24.1%	30.3%	A-
Other pooled corporates			713	1.3%	0.0%	0.0%	A-

	Total exposures	$	56,558	100.0%	26.0%	24.9%	AAA

1. Assured Guaranty's internal rating. The Company's ratings scale is similar to that used by the nationally recognized rating agencies; however, the ratings in the above table may not be the same as ratings assigned by any nationally recognized rating agency.. The super senior category, which is not generally used by rating agencies, is used by the Company in instances where Assured Guaranty's AAA-rated exposure has additional credit enhancement due to either (1) the existence of another security rated AAA that is subordinated to Assured Guaranty's exposure or (2) Assured Guaranty's exposure benefiting from a different form of credit enhancement that would pay any claims first in the event that any of the exposures incurs a loss and such credit enhancement, in management's opinion, causes Assured Guaranty's attachment point to be materially above the AAA attachment point.

2. "Average Credit Enhancement" is intended to provide a measure of the amount of equity and/or subordinate tranches that are junior in the capital structure to AGM's exposure, and reflects any reduction of that credit support resulting from defaults or other factors. For transactions where excess spread may be available to absorb certain losses, the numbers shown above do not include any benefit from excess spread. The calculation methodologies differ for the various asset classes to reflect differences in transaction structures in order to provide a measure that management believes is comparable across asset classes. Data is obtained from third-party sources such as trustee reports and may be subject to adjustments.

3. CBOs(collateralized bond obligations)/CLOs(collateralized loan obligations) are largely non-investment/high yield collateral.

4. CDOs are collateralized debt obligations.

Page 15

Assured Guaranty Municipal Corp.
Consolidated U.S. RMBS Profile (1 of 3)
(dollars in millions)

Distribution of U.S. RMBS by Rating ¹ and Type of Exposure as of September 30, 2010

Ratings:		Prime First Lien ²		Closed End Seconds ("CES")		HELOC ³		Alt-A First Lien		Alt-A Option ARMs		Subprime First Lien		NIMs ⁴		Total Net Par Outstanding

Super senior		$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-
AAA			4		-		415		86		111		1,237		-		1,851
AA			101		208		255		39		-		249		-		852
A			1		-		-		-		-		120		-		121
BBB			-		-		-		-		-		247		31		277
BIG			-		893		3,200		1,336		2,042		2,086		152		9,710

	Total exposures	$	105	$	1,102	$	3,870	$	1,462	$	2,152	$	3,938	$	183	$	12,811

Distribution of U.S. RMBS by Year Insured and Type of Exposure as of September 30, 2010

Year insured ⁵:		Prime First Lien		CES		HELOC		Alt-A First Lien		Alt-A Option ARMs		Subprime First Lien		NIMs		Total Net Par Outstanding

2004 and prior		$	6	$	-	$	262	$	70	$	-	$	1,257	$	-	$	1,596
2005			-		-		618		354		114		357		-		1,443
2006			98		445		1,457		501		834		126		86		3,547
2007			-		657		1,532		537		1,204		2,130		96		6,157
2008			-		-		-		-		-		68		-		68

	Total exposures	$	105	$	1,102	$	3,870	$	1,462	$	2,152	$	3,938	$	183	$	12,811

Distribution of U.S. RMBS by Rating ¹ and Year Insured as of September 30, 2010

Year insured:		Super Senior		AAA Rated		AA Rated		A Rated		BBB Rated		BIG Rated		Total

2004 and prior		$	-	$	1,248	$	2	$	44	$	16	$	286	$	1,596
2005			-		163		105		-		46		1,128		1,443
2006			-		162		98		77		-		3,210		3,547
2007			-		278		646		-		147		5,087		6,157
2008			-		-		-		-		68		-		68

	Total exposures	$	-	$	1,851	$	852	$	121	$	277	$	9,710	$	12,811

% of total			0.0%		14.5%		6.6%		0.9%		2.2%		75.8%		100.0%

2. Includes primarily Prime First Lien plus an insignificant amount of other miscellaneous MBS transactions.

3. Home equity line of credit ("HELOC") securitizations.

4. NIMs are net interest margin securities.

5. AGM has not insured any U.S. RMBS transactions since 2008.

Page 16

Assured Guaranty Municipal Corp.
Consolidated U.S. RMBS Profile (2 of 3)
(dollars in millions)

Distribution of Financial Guaranty U.S. RMBS Insured January 1, 2005 or Later by Exposure Type, Average Pool Factor, Subordination, Cumulative Losses and 60+ Day Delinquencies as of September 30, 2010 ¹

U.S. CES

	Net Par Outstanding

Year insured:
2005	$	-	-	-	-	-	-
2006		445	22.5%	-	54.5%	17.1%	2
2007		657	26.3%	-	60.3%	11.8%	9
2008		-	-	-	-	-	-

	$	1,102	24.8%	-	58.0%	13.9%	11

U.S. HELOC

	Net Par Outstanding

Year insured:
2005	$	618	21.8%	4.1%	8.9%	9.5%	4
2006		1,457	36.2%	2.0%	27.7%	11.3%	7
2007		1,532	53.7%	4.2%	22.6%	6.3%	7
2008		-	-	-	-	-	-

	$	3,607	41.2%	3.3%	22.3%	8.9%	18

U.S. Alt-A First Lien

	Net Par Outstanding

Year insured:
2005	$	354	38.6%	12.2%	6.1%	23.7%	8
2006		501	50.2%	1.2%	12.3%	39.7%	7
2007		537	62.8%	0.4%	12.7%	44.6%	4
2008		-	-	-	-	-	-

	$	1,392	52.1%	3.7%	10.9%	37.5%	19

1. For this release, net par outstanding is based on values as of September 2010. All performance information such as pool factor, subordination, cumulative losses and delinquency is based on September 30, 2010 information obtained from Intex, Bloomberg, and/or provided by the trustee and may be subject to restatement or correction.

2. Pool factor is the percentage of the current collateral balance divided by the original collateral balance of the transactions at inception.

3. Represents the sum of subordinate tranches and over-collateralization, expressed as a percentage of total transaction size and does not include any benefit from excess interest collections that may be used to absorb losses.

4. Cumulative losses are defined as net charge-offs on the underlying loan collateral divided by the original pool balance.

5. 60+ day delinquencies are defined as loans that are greater than 60 days delinquent and all loans that are in foreclosure, bankruptcy or real estate owned ("REO") divided by net par outstanding.

6. Many of the CES transactions insured by the Company have unique structures whereby the collateral may be written down for losses without a corresponding write-down of the obligations insured by the Company. Many of these transactions are currently under-collateralized, with the principal amount of collateral being less than the principal amount of the obligation insured by the Company. The Company is not required to pay principal shortfalls until legal maturity (rather than making timely principal payments), and takes the under-collateralization into account when estimating expected losses for these transactions.

Page 17

Assured Guaranty Municipal Corp.
Consolidated U.S. RMBS Profile (3 of 3)
(dollars in millions)

U.S. Alt-A Option ARMs

	Net Par Outstanding

Year insured:
2005	$	114	32.3%	5.0%	8.5%	41.7%	3
2006		834	58.1%	5.2%	10.4%	52.3%	6
2007		1,204	62.5%	3.3%	12.5%	46.5%	6
2008		-	-	-	-	-	-

	$	2,152	59.2%	4.1%	11.5%	48.5%	15

U.S. Subprime First Lien

	Net Par Outstanding

Year insured:
2005	$	357	38.0%	45.4%	4.3%	38.9%	6
2006		126	40.8%	43.5%	11.1%	39.8%	2
2007		2,130	69.1%	26.3%	10.0%	49.1%	9
2008		68	72.4%	33.6%	6.3%	32.8%	1

	$	2,681	63.7%	29.8%	9.2%	46.9%	18

2. Pool factor is the percentage of the current collateral balance divided by the original collateral balance of the transactions at inception.

4. Cumulative losses are defined as net charge-offs on the underlying loan collateral divided by the original pool balance.

5. 60+ day delinquencies are defined as loans that are greater than 60 days delinquent and all loans that are in foreclosure, bankruptcy or REO divided by net par outstanding.

Page 18

Assured Guaranty Municipal Corp.
U.S. Consumer Receivables Profile
(dollars in millions)

Distribution of U.S. Consumer Receivables by Rating ¹ as of September 30, 2010

Rating:		Credit Cards		Manufactured Housing		Auto		Total Net Par Outstanding

AAA		$	-	$	82	$	40	$	122
AA			-		45		1,237		1,282
A			-		-		109		109
BBB			88		-		592		680
BIG			-		164		-		164

	Total exposures	$	88	$	291	$	1,978	$	2,357

Average rating ¹			BBB		A-		A+		A+
Avg. initial credit enhancement ²			13.2%		27.6%		11.0%		13.1%
Avg. current credit enhancement ²			13.0%		26.1%		30.8%		29.6%

2. "Average Credit Enhancement" is intended to provide a measure of the amount of equity and/or subordinate tranches that are junior in the capital structure to AGM's exposure, expressed as a percentage of the total transaction size and reflects any reduction of that credit support resulting from defaults or other factors. For transactions where excess spread may be available to absorb certain losses, the amounts shown above do not include any benefit from excess spread. The calculation methodologies differ for the various asset classes to reflect differences in transaction structures in order to provide a measure that management believes is comparable across asset classes. Data is obtained from third-party sources such as trustee reports and may be subject to adjustments.

Page 19

Assured Guaranty Municipal Corp.
Credit Derivative Net Par Outstanding Profile
(dollars in millions)

Distribution of Credit Derivative Net Par Outstanding by Rating

		As of September 30, 2010

		Net Par Outstanding		% of Total
Ratings ¹:
Super senior		$	19,238		34.2%
AAA			27,893		49.6%
AA			4,416		7.8%
A			2,514		4.5%
BBB			1,461		2.6%
BIG			736		1.3%

	Total credit derivative net par outstanding	$	56,258		100.0%

Distribution of Credit Derivative Net Par Outstanding by Sector and Average Rating

			As of September 30, 2010

			Net Par Outstanding		Average Rating ¹
Public Finance
	U.S. public finance		$	811		A
	Non-U.S. public finance			2,666		A

Total public finance			$	3,477		A

U.S. Structured Finance:
	Pooled corporate obligations		$	39,299		AAA
	Insurance securitizations			368		AA
	RMBS			355		BBB-
	Commercial receivables			63		BB
	Other structured finance			119		B

		Total U.S. structured finance		40,204		AAA
Non-U.S. Structured Finance:
	Pooled corporate obligations			12,024		AAA
	RMBS			506		AA-
	Insurance securitizations			38		A+
	Structured credit			9		BBB

		Total non-U.S. structured finance		12,577		AAA

Total structured finance			$	52,781		AAA

Total credit derivative net par outstanding			$	56,258		AAA

Page 20

Assured Guaranty Municipal Corp.
Below Investment Grade Exposures (1 of 5)
As of September 30, 2010
(in millions)

			Net Par Outstanding ¹

BIG Exposures by Asset Exposure Type:
U.S. Public Finance:
	General obligation		$	519
	Healthcare			197
	Tax backed			189
	Municipal utilities			160
	Housing			6
	Higher education			5
	Other public finance			65

		Total U.S. public finance		1,141
Non-U.S. Public Finance:
	Infrastructure finance			805
	Municipal finance			197

		Total non-U.S. public finance		1,002

Total public finance			$	2,143
U.S. Structured Finance:
	RMBS		$	9,710
	Consumer receivables			164
	Pooled corporate obligations			143
	Commercial Receivables			62
	Other structured finance			119

		Total U.S. structured finance		10,198
Non-U.S. Structured Finance:
	Pooled corporate obligations			79

		Total non-U.S. structured finance		79

Total structured finance			$	10,277

Total BIG net par outstanding			$	12,420

Please refer to the Glossary for a description of select types of U.S. public finance, non-U.S. public finance, U.S. structured finance and non-U.S structured finance obligations that the Company insures and reinsures.

Page 21

Assured Guaranty Municipal Corp.
Below Investment Grade Exposures (2 of 5)
(dollars in millions)

Net Par Outstanding by BIG Category ¹

				Financial Guaranty Insurance and Credit Derivatives Surveillance Categories

				September 30, 2010 ²		December 31, 2009
Description:
BIG:
Category 1
	U.S. public finance			$	759	$	991
	Non-U.S. public finance				1,002		380
	U.S. structured finance				1,001		1,775
	Non-U.S. structured finance				1		2

		Total Category 1			2,763		3,148
Category 2
	U.S. public finance				198		330
	Non-U.S. public finance				-		-
	U.S. structured finance				4,479		4,601
	Non-U.S. structured finance				2		2

		Total Category 2			4,679		4,933
Category 3
	U.S. public finance				184		186
	Non-U.S. public finance				-		-
	U.S. structured finance				4,718		3,895
	Non-U.S. structured finance				76		77

		Total Category 3			4,978		4,158

			BIG Total	$	12,420	$	12,239

1. Assured Guaranty's surveillance department is responsible for monitoring our portfolio of credits and maintains a list of below investment grade ("BIG") credits. The BIG credits are divided into three categories: BIG Category 1: Below investment grade transactions showing sufficient deterioration to make material losses possible, but for which no losses have been incurred. Non-investment grade transactions on which liquidity claims have been paid are in this category. BIG Category 2: Below investment grade transactions for which expected losses have been established but for which no unreimbursed claims have yet been paid. BIG Category 3: Below investment grade transactions for which expected losses have been established and on which unreimbursed claims have been paid. Transactions remain in this category when claims have been paid and only a recoverable remains.

Page 22

Assured Guaranty Municipal Corp.
Below Investment Grade Exposures (3 of 5)
As of September 30, 2010
(dollars in millions)

Public Finance BIG Exposures Greater Than $50 Million

Name or Description		Net Par Outstanding

U.S. Public Finance:
Detroit (City of) School District Michigan		$	162	BB
Jefferson County Alabama Sewer			145	D
Jefferson County Alabama School Sales Tax Limited Obligation			144	BB
Reading (City of) Pennsylvania			113	BB
Detroit (City of) Michigan			112	BB+
Harrisburg (City of) Pennsylvania General Obligation			75	B-
Mashantucket Pequot Tribe, Connecticut			65	B
St. Barnabas Health System - New Jersey			58	BB

	Total	$	874
Non-U.S. Public Finance:
Reliance Rail Finance Pty. Limited		$	424	BB
Aeroporti Di Roma (ADR) Romulus Finance S.R.L. (Rome Airport)			213	BB
Hellenic Republic			197	BB+
Cross City Tunnel Motorway Finance Limited			168	BB

	Total	$	1,002

Total		$	1,876

Page 23

Assured Guaranty Municipal Corp.
Below Investment Grade Exposures (4 of 5)
As of September 30, 2010
(dollars in millions)

Structured Finance BIG Exposures Greater Than $50 Million

Name or Description			Net Par Outstanding

U.S. Structured Finance:
	U.S. RMBS:
	MABS 2007-NCW		$	601	B	33.5%	66.1%
	Countrywide HELOC 2006-I			534	CCC	0.0%	8.9%
	MASTR 2007-3			531	CCC	2.9%	54.3%
	Countrywide HELOC 2006-F			444	CCC	0.0%	19.1%
	Option One 2007-FXD2			391	CCC	18.0%	29.4%
	Nomura Asset Accept. Corp. 2007-1			380	CCC	0.0%	42.0%
	Harborview 2006-12			326	BB	9.7%	56.6%
	MARM 2007-1 (FKA MASTR 2007-OA1)			289	CCC	0.0%	35.5%
	Countrywide HELOC 2005-D			284	CCC	0.0%	12.2%
	Countrywide 2007-13			277	B	31.6%	56.4%
	Countrywide HELOC 2007-A			275	CCC	0.0%	9.2%
	Terwin Mortgage Trust 2006-12SL			250	CCC	0.0%	19.0%
	Countrywide HELOC 2007-B			246	CCC	0.0%	8.3%
	GMACM 2004-HE3			246	BB	0.0%	2.8%
	FHABS 2007-HE1 HELOC			222	BB	0.0%	2.6%
	CWABS 2007-4			219	B	22.0%	43.5%
	Terwin Mortgage Trust 2007-1SL			205	CCC	0.0%	11.1%
	FHABS 2006-HE2 HELOC			202	BB	0.0%	4.2%
	Indymac 2007-H1 HELOC			201	CCC	0.0%	9.8%
	Soundview 2007-WMC1			197	CCC	10.9%	71.4%
	Terwin Mortgage Trust 2006-10SL			195	CCC	0.0%	14.6%
	Harborview 2006-1			190	CCC	4.6%	61.8%
	Harborview 2007-1			185	BB	13.0%	58.1%
	New Century 2005-A			167	B	20.5%	30.9%
	Renaissance (DELTA) 2007-3			146	B	25.9%	35.4%
	Countrywide HELOC 2005-C			145	CCC	0.0%	11.1%
	Harborview 2006-10			144	B	0.0%	30.4%
	CSAB 2006-3			143	CCC	0.0%	45.6%
	Flagstar HELOC 2006-2			124	CCC	21.3%	10.9%
	Flagstar HELOC 2005-1			119	BB	18.5%	6.4%
	NAAC 2007-S2			108	CCC	0.0%	12.7%
	American Home Mortgage Assets Trust 2007-4			105	CCC	0.0%	31.3%
	IndyMac IMSC Mortgage Loan Trust 2007-HOA1			95	CCC	0.0%	31.2%
	CSAB 2006-2			91	CCC	2.1%	40.3%
	Deutsche ALT-B 2006-AB1			90	CCC	3.7%	29.6%
	Countrywide ALTA 2005-22T			88	B	6.0%	25.5%
	Terwin Mortgage Trust 2005-16HE			71	BB	12.5%	27.6%
	CSMC 2007-3			68	CCC	0.0%	32.6%
	Deutsche ALT-B 2006-AB4			65	CCC	0.0%	37.0%
	ACE 2006-GP1			64	CCC	0.0%	10.0%
	ACE 2007-SL1			63	CCC	0.0%	11.6%
	Terwin Mortgage Trust 2007-6ALT			60	CCC	0.0%	82.2%
	GSAA 2005-12			57	B	10.8%	22.4%
	Terwin Mortgage Trust 2005-14HE			56	B	11.1%	26.1%
	Countrywide HELOC 2006-H			56	CCC	0.0%	19.4%
	CWALT 2005-62			55	CCC	10.5%	58.0%
	DSLA 2005-AR5			52	CCC	0.0%	26.5%
	CSAB 2006-4			51	CCC	0.0%	40.6%
	Luminent 2006-2			51	CCC	5.3%	58.1%

		Total U.S. RMBS	$	9,224

2. 60+ day delinquencies are defined as loans that are greater than 60 days delinquent and all loans that are in foreclosure, bankruptcy or REO, divided by net par outstanding.

Page 24

Assured Guaranty Municipal Corp.
Below Investment Grade Exposures (5 of 5)
As of September 30, 2010
(dollars in millions)

Structured Finance BIG Exposures Greater Than $50 Million

Name or Description				Net Par Outstanding

U.S. Structured Finance:
	Other:
	NRG Peaker			$	119	B	N/A
	Synthetic High Yield Pooled Corporate CDO				113	CCC	7.7%
	Conseco Finance MH Series 2001-2				92	BB	17.0%
	Greenpoint 2000-4				72	BB	13.8%
	America West Airlines EETC				63	BB	N/A

		Total other		$	459

			Total	$	9,683
Non-U.S. Structured Finance:
	Synthetic High Yield Pooled Corporate CDO			$	75	CCC	7.7%

			Total	$	75

	Total			$	9,758

Page 25

Assured Guaranty Municipal Corp.
Largest Exposures by Sector (1 of 4)
As of September 30, 2010
(in millions)

50 Largest U.S. Public Finance Exposures

Credit Name:		Net Par Outstanding		Internal Rating ¹

New Jersey (State of)		$	2,897	AA-
Massachusetts (Commonwealth of)			2,054	AA
New York (State of)			1,872	AA
Chicago (City of) Illinois			1,684	AA-
New York (City of) New York			1,505	AA-
Illinois (State of)			1,470	A+
Houston Texas Water and Sewer Authority			1,462	A+
Massachusetts (Commonwealth of) State Sales Tax			1,455	AA
Pennsylvania (Commonwealth of)			1,399	AA-
University of California Board of Regents			1,391	AA
Arizona (State of)			1,382	AA-
Wisconsin (State of)			1,366	A+
Washington (State of)			1,339	AA
California (State of)			1,322	A-
New York City Municipal Water Finance Authority			1,293	AA+
Port Authority of New York and New Jersey			1,287	AA-
Atlanta Georgia Water & Sewer System			1,241	BBB+
Los Angeles California Unified School District			1,223	AA-
New York MTA Dedicated Tax			1,134	AA-
Broward County Florida School Board			1,085	AA-
New York MTA Transportation Authority			1,084	A
Denver Colorado School District No.1			1,016	A+
Puerto Rico (Commonwealth of)			1,005	BBB-
Miami-Dade County Florida Aviation Authority - Miami International Airport			991	A+
Massachusetts (Commonwealth of) Water Resources			971	AA
Los Angeles California Department of Water and Power - Electric Revenue Bonds			958	AA-
Long Island Power Authority			945	A-
Chicago-O'Hare International Airport			939	A
Illinois Toll Highway Authority			933	AA
San Diego County, California Water			915	AA
Connecticut (State of)			898	AA-
Michigan (State of)			894	A+
New Jersey Turnpike Authority			874	A-
Orlando-Orange County Expressway Authority, Florida			869	A+
Louisiana (State of) Gas and Fuel Tax			865	A
Kentucky (Commonwealth of)			843	AA-
California State University System Trustee			822	AA-
Skyway Concession Company LLC			820	BBB
San Diego California Unified School District			819	AA
Detroit Michigan Sewer			817	A
Chicago Illinois Public Schools			815	A+
Michigan (State of) Gas & Motor Vehicle Tax			809	AA
Metro Washington Airport Authority			803	AA-
California (State of) Department of Water Resources - Electric Power Revenue			792	A-
Philadelphia, Pennsylvania Water and Wastewater System			785	A-
Austin Texas Combined Utility System Revenue Bonds			780	AA-
Philadelphia (City of) Pennsylvania			777	BBB-
Hawaii (State of) Department of Hawaiian Home Lands			771	AA
Oregon (State of)			764	AA-
Detroit, Michigan Water System			743	A

	Total top 50 U.S. public finance exposures	$	55,978

Page 26

Assured Guaranty Municipal Corp.
Largest Exposures by Sector (2 of 4)
As of September 30, 2010
(dollars in millions)

50 Largest U.S. Structured Finance Exposures

Credit Name:		Net Par Outstanding

Fortress Credit Opportunities I, LP.		$	1,268	AA	29.6%
Synthetic Investment Grade Pooled Corporate CDO			1,126	AAA	13.3%
Stone Tower Credit Funding			1,119	AAA	32.9%
Synthetic High Yield Pooled Corporate CDO			973	AA-	42.2%
Synthetic High Yield Pooled Corporate CDO			854	AAA	25.0%
Synthetic High Yield Pooled Corporate CDO			849	Super Senior	31.4%
Synthetic High Yield Pooled Corporate CDO			838	Super Senior	30.3%
Synthetic Investment Grade Pooled Corporate CDO			763	Super Senior	14.8%
Synthetic Investment Grade Pooled Corporate CDO			754	Super Senior	29.4%
Synthetic Investment Grade Pooled Corporate CDO			752	Super Senior	23.4%
Synthetic Investment Grade Pooled Corporate CDO			738	Super Senior	29.2%
Mizuho II Synthetic CDO			735	A	30.7%
Synthetic High Yield Pooled Corporate CDO			730	AA-	40.0%
Synthetic Investment Grade Pooled Corporate CDO			652	AAA	17.2%
MABS 2007-NCW			601	B	33.5%
Countrywide HELOC 2006-I			534	CCC	0.0%
MASTR 2007-3 (NEGAM)			531	CCC	2.9%
Synthetic High Yield Pooled Corporate CDO			523	Super Senior	29.7%
Synthetic High Yield Pooled Corporate CDO			521	Super Senior	24.5%
Synthetic Investment Grade Pooled Corporate CDO			512	Super Senior	14.3%
Synthetic High Yield Pooled Corporate CDO			492	AAA	46.7%
Eastland CLO, LTD			489	Super Senior	33.9%
Denali CLO VII, LTD.			488	AAA	20.0%
Avenue CLO V			448	AAA	20.4%
Countrywide Heloc 2006-F			444	CCC	0.0%
Synthetic Investment Grade Pooled Corporate CDO			433	AAA	10.7%
Synthetic Investment Grade Pooled Corporate CDO			429	Super Senior	12.0%
Churchill Financial Cayman			413	AAA	36.2%
Synthetic Investment Grade Pooled Corporate CDO			399	Super Senior	14.0%
Synthetic High Yield Pooled Corporate CDO			398	AAA	35.6%
Grayson CLO			396	Super Senior	24.0%
Westchester CLO			391	AAA	34.2%
Option One 2007-FXD2			391	CCC	18.0%
Synthetic High Yield Pooled Corporate CDO			383	Super Senior	36.4%
Stone Tower III			382	AAA	21.3%
Synthetic Investment Grade Pooled Corporate CDO			380	Super Senior	29.2%
Nomura Asset Accept. Corp. 2007-1			380	CCC	0.0%
Synthetic Investment Grade Pooled Corporate CDO			378	Super Senior	14.2%
Synthetic Investment Grade Pooled Corporate CDO			377	Super Senior	10.3%
Synthetic High Yield Pooled Corporate CDO			368	AAA	29.5%
CENT CDO 15 LIMITED			360	Super Senior	16.9%
Stone Tower CLO V			357	Super Senior	28.0%
Americredit 2007-B-F			353	AA	21.9%
Synthetic High Yield Pooled Corporate CDO			349	AAA	34.2%
Synthetic Investment Grade Pooled Corporate CDO			342	AAA	17.5%
MUIR GROVE CLO			340	AAA	22.0%
KKR Financial CLO 2005-1			340	AAA	24.2%
Madison Park Funding			329	AAA	25.8%
CIFC Funding 2006-1			328	AAA	23.1%
Synthetic High Yield Pooled Corporate CDO			327	AAA	30.0%

	Total top 50 U.S. structured finance exposures	$	27,057

1. Assured Guaranty's internal rating. The Company's ratings scale is similar to that used by the nationally recognized rating agencies; however, the ratings in the above table may not be the same as ratings assigned by any nationally recognized rating agency. The super senior category, which is not generally used by rating agencies, is used by the Company in instances where Assured Guaranty's AAA-rated exposure has additional Credit enhancement due to either (1) the existence of another security rated AAA that is subordinated to Assured Guaranty's exposure or (2) Assured Guaranty's exposure benefiting from a different form of Credit enhancement that would pay any claims first in the event that any of the exposures incurs a loss and such Credit enhancement, in management's opinion, causes Assured Guaranty's attachment point to be materially above the AAA attachment point.

Page 27

Assured Guaranty Municipal Corp.
Largest Exposures by Sector (3 of 4)
As of September 30, 2010
(in millions)

25 Largest Non-U.S. Exposures

Credit Name:		Net Par Outstanding

Quebec Province		$	1,931	A
Sydney Airport Finance Company			1,462	BBB
Thames Water Utility Finance PLC			1,272	A-
Channel Link Enterprises Finance PLC			892	BBB
International AAA Sovereign Debt Synthetic CDO			821	AAA
Synthetic Investment Grade Pooled Corporate CDO			700	Super Senior
Japan Expressway Holding and Debt Repayment Agency			606	AA
Synthetic Investment Grade Pooled Corporate CDO			561	Super Senior
Artesian Finance II Plc (Southern) - Swap Policy			503	A-
Central Nottinghamshire Hospitals PLC			475	BBB
Capital Hospitals (Issuer) PLC			463	BBB-
Queen Street CLO I			428	Super Senior
Reliance Rail Finance Pty. Limited			424	BB
Synthetic Investment Grade Pooled Corporate CDO			416	AAA
Integrated Accomodation Services PLC			401	BBB+
The Hospital Company (QAH Portsmouth) Limited			386	BBB
ETSA Utility Finance Pty Ltd.			381	A-
Synthetic Investment Grade Pooled Corporate CDO			381	Super Senior
Verbund - Lease and Sublease of Hydro-Electric equipment			380	AAA
Synthetic Investment Grade Pooled Corporate CDO			377	Super Senior
M6 Duna Autopalya Koncesszios Zartkoruen Mukodo			377	BBB
Synthetic Investment Grade Pooled Corporate CDO			375	AAA
Stone Tower Credit Funding			373	AAA
Synthetic Investment Grade Pooled Corporate CDO			371	Super Senior
Campania Region - Healthcare receivable			371	A-

	Total top 25 non-U.S. exposures	$	15,127

Page 28

Assured Guaranty Municipal Corp.
Largest Exposures by Sector (4 of 4)
As of September 30, 2010
(dollars in millions)

10 Largest U.S. Residential Mortgage Servicers Exposures

Servicer:		Net Par Outstanding

Bank of america, N.A. ¹		$	5,485
American Home Mortgage Servicing, Inc			1,676
GMAC Mortgage Corporation			1,019
Specialized Loan Servicing, LLC.			871
Ocwen Loan Servicing, LLC.			828
Wells Fargo Bank, N.A.			746
OneWest Bank Group, LLC.			626
First Tennessee Bank, N.A.			426
Litton Loan Servicing LP			269
Select Portfolio Servicing, Inc.			269

	Total top 10 U.S. residential mortgage servicers exposures	$	12,215

10 Largest U.S. Healthcare Exposures

Credit Name:		Net Par Outstanding

Asante Health System		$	246	A	OR
SSM Health Care			242	A+	MO
Hospital Sisters Health Services Inc Obligated Group			203	AA-	IL
MultiCare Health System			198	A+	WA
CHRISTUS Health			189	A+	TX
Catholic Health Initiatives			188	AA	CO
Clarian Health Partners			177	A+	IN
Carolina HealthCare System			176	AA-	NC
Columbus Regional Healthcare System Inc.			170	A-	GA
Covenant Health Hospital Revenue Bonds			163	A-	TN

	Total top 10 U.S. healthcare exposures	$	1,952

1. Includes Countrywide Home Loans Servicing LP.

2. Assured Guaranty's internal rating. The Company's ratings scale is similar to that used by the nationally recognized rating agencies; however, the ratings in the above table may not be the same as ratings assigned by any nationally recognized rating agency.

Page 29

Assured Guaranty Municipal Corp.
Loss and Loss Adjustment Expense ("LAE") Reserves
(in millions)

		As of September 30, 2010

Financial guaranty insurance reserves:
Gross		$	176.3
Ceded			19.4

	Net financial guaranty insurance reserves	$	156.9

Salvage and subrogation recoverable:
Gross		$	602.9
Ceded ¹			118.2

	Net salvage and subrogation recoverable	$	484.7

Credit impairment on credit derivative contracts ²:
Case gross		$	137.8
Case ceded			31.5

	Case net credit derivative reserves	$	106.3

Net loss and LAE reserves on financial guaranty insurance and credit derivative contracts, net of reinsurance ³
Net loss and LAE reserves on financial guaranty contracts net of ceded reinsurance		$	156.9
Credit impairment on credit derivative contracts			106.3

Net loss and LAE reserves		$	263.2

1. Recorded in "reinsurance balances payable, net" on the consolidated balance sheets.

2. Credit derivative assets and liabilities recorded on the balance sheet incorporate estimates of expected losses.

3. Gross of salvage and subrogation assets.

Page 30

Assured Guaranty Municipal Corp.
Financial Guaranty Insurance and Credit Derivatives U.S. RMBS Representations and Warranties ("R&W") Benefit Development
(dollars in millions)

Financial Guaranty Insurance			Outstanding Principal and Interest Policies with R&W Benefit Recorded as of September 30, 2010		Future Net R&W Benefit at December 31, 2009		R&W Development and Accretion of Discount during Year		R&W Recovered During 2010		Future Net R&W Benefit at September 30, 2010

Prime first lien		-	$	-	$	-	$	-	$	-	$	-
Alt-A first lien		11		1,512.2		53.2		18.0		-		71.2
Alt-A option ARMs		9		1,577.8		183.6		82.9		39.4		227.1
Subprime first lien (including NIMs)		-		-		-		-		-		-
CES		1		136.0		-		60.3		-		60.3
HELOC		8		2,702.3		524.4		88.0		50.3		562.1

	Total	29	$	5,928.3	$	761.2	$	249.2	$	89.7	$	920.7

Credit Derivatives		-	$	-	$	-	$	-	$	-	$	-

Page 31

Assured Guaranty Municipal Corp.
Financial Guaranty Losses Incurred and Paid
As of September 30, 2010
(in millions)

Financial Guaranty Insurance Contracts and Credit Derivatives			Total Net Par Outstanding for BIG Transactions ¹		3Q-10 Incurred Losses			3Q-10 Paid Losses			Net Loss and LAE Reserve ¹			Net Salvage and Subrogation Assets			Expected Loss to be Expensed

First Lien:
	Prime first lien		$	-	$	-		$	-		$	-		$	-		$	-
	Alt-A first lien			1,336.2		8.1			14.0			2.6			2.2			176.9
	Alt-A option ARMs			2,041.8		58.2			55.1			117.4			33.7			426.2
	Subprime first lien (including NIMs)			2,238.3		9.7			0.4			73.7			-			77.0

		Total First Lien		5,616.3		76.0			69.5			193.7			35.9			680.1
Second Lien:
	CES			893.5		5.4			11.7			28.0			35.4			177.6
	HELOC			3,200.4		10.2			114.9			0.2			451.8			207.2

		Total Second Lien		4,093.9		15.6			126.6			28.2			487.2			384.8

		Total U.S. RMBS		9,710.2		91.6			196.1			221.9			523.1			1,064.9
Other structured finance				566.4		1.3			0.9			52.2			-			5.9
Public finance				2,143.3		0.3			18.8			9.7			24.9			28.9

Total			$	12,419.9	$	93.2		$	215.8		$	283.8		$	548.0		$	1,099.7

Effect of consolidating of VIEs				-		(11.2	)		(29.3	)		(20.6	)		(63.3	)		(110.0	)

Total excluding consolidated VIE amounts			$	12,419.9	$	82.0		$	186.5		$	263.2		$	484.7		$	989.7

1. Includes credit impairment on credit derivative transactions.

Page 32

Assured Guaranty Municipal Corp.
Summary of Statutory Financial and Statistical Data
(dollars in millions)

						Year Ended December 31,

				YTD 2010		2009		2008			2007		2006		2005
Statutory Data
	Net income (loss)			$	338.5	$	228.2	$	(1,376.7	)	$	312.9	$	339.6	$	293.5
	Policyholders' surplus			$	1,008	$	909	$	711		$	1,609	$	1,543	$	1,511
	Contingency reserve				1,505		1,323		1,282			1,094		1,011		907

			Qualified statutory capital		2,513		2,232		1,993			2,703		2,554		2,418
	Unearned premium reserve				2,305		2,392		2,520			2,275		2,071		1,850
	Loss and LAE reserves				670		1,022		1,688			98		53		54

			Total policyholders' surplus and reserves		5,488		5,646		6,201			5,076		4,678		4,322
	Present value of installment premiums				714		783		963			1,113		828		804
	Standby line of credit/stop loss				498		498		550			550		550		550

			Total claims-paying resources	$	6,700	$	6,927	$	7,714		$	6,739	$	6,056	$	5,676

Statutory Financial Ratios
		Loss and LAE ratio			86.1%		17.4%		480.2%			16.1%		0.0%		2.1%
		Expense ratio			37.2%		48.1%		9.1%			30.0%		29.9%		27.8%

		Combined ratio			123.3%		65.5%		489.3%			46.1%		29.9%		29.9%

Other Financial Information (Statutory Basis):
	Net debt service outstanding (end of period)			$	525,385	$	568,594	$	631,886		$	623,158	$	552,695	$	497,625
	Gross debt service outstanding (end of period)				729,770		755,360		834,426			858,458		765,632		686,134
	Net par outstanding (end of period)				351,494		381,148		424,393			426,512		376,456		351,398
	Gross par outstanding (end of period)				475,867		493,798		545,568			564,515		498,619		472,374
	Ceded par to all Assured Guaranty companies				62,239		32,501		32,927			30,872		37,590		44,599
	Ceded par to other companies				62,134		79,433		88,248			107,131		84,573		76,377
	Ratios:
		Par insured to statutory capital			140:1		171:1		213:1			158:1		147:1		145:1
		Capital ratio ¹			209:1		255:1		317:1			231:1		216:1		206:1
		Financial resources ratio ²			78:1		82:1		82:1			92:1		91:1		88:1
	Gross debt service written:
		Public finance		$	29,707	$	4,202	$	85,666		$	133,792	$	127,294	$	120,745
		Structured finance			-		-		5,193			57,434		48,794		40,347

	Total gross debt service written			$	29,707	$	4,202	$	90,859		$	191,226	$	176,088	$	161,092

1. The capital ratio is calculated by dividing net par and interest insured divided by qualified statutory capital.

2. The financial resources ratio is calculated by dividing net par and interest insured by total claims paying resources.

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Glossary

Below are the brief descriptions of selected types of U.S. public finance, non-U.S. public finance, U.S. structured finance and non-U.S. structured finance obligations that the Company insures and reinsures. For a more complete description, please refer to Assured Guaranty Ltd.'s Annual Report on Form 10-K for the year ended December 31, 2009.

General Obligation Bonds are full faith and credit bonds that are issued by states, their political subdivisions and other municipal issuers, and are supported by the general obligation of the issuer to pay from available funds and by a pledge of the issuer to levy ad valorem taxes in an amount sufficient to provide for the full payment of the bonds.

Tax-Backed Bonds are obligations that are supported by the issuer from specific and discrete sources of taxation. They include tax-backed revenue bonds, general fund obligations and lease revenue bonds. Tax-backed obligations may be secured by a lien on specific pledged tax revenues, such as a gasoline or excise tax, or incrementally from growth in property tax revenue associated with growth in property values. These obligations also include obligations secured by special assessments levied against property owners and often benefit from issuer covenants to enforce collections of such assessments and to foreclose on delinquent properties. Lease revenue bonds typically are general fund obligations of a municipality or other governmental authority that are subject to annual appropriation or abatement; projects financed and subject to such lease payments ordinarily include real estate or equipment serving an essential public purpose. Bonds in this category also include moral obligations of municipalities or governmental authorities.

Municipal Utility Bonds are obligations of all forms of municipal utilities, including electric, water and sewer utilities and resource recovery revenue bonds. These utilities may be organized in various forms, including municipal enterprise systems, authorities or joint action agencies.

Transportation Bonds include a wide variety of revenue-supported bonds, such as bonds for airports, ports, tunnels, municipal parking facilities, toll roads and toll bridges.

Healthcare Bonds are obligations of healthcare facilities, including community based hospitals and systems, as well as of health maintenance organizations and long-term care facilities.

Higher Education Bonds are obligations secured by revenue collected by either public or private secondary schools, colleges and universities. Such revenue can encompass all of an institution's revenue, including tuition and fees, or in other cases, can be specifically restricted to certain auxiliary sources of revenue.

Housing Revenue Bonds are obligations relating to both single and multi-family housing, issued by states and localities, supported by cash flow and, in some cases, insurance from entities such as the Federal Housing Administration.

Infrastructure Bonds include obligations issued by a variety of entities engaged in the financing of infrastructure projects, such as roads, airports, ports, social infrastructure and other physical assets delivering essential services supported by long-term concession arrangements with a public sector entity.

Investor-Owned Utility Bonds are obligations primarily backed by investor-owned utilities, first mortgage bond obligations of for-profit electric or water utilities providing retail, industrial and commercial service, and also include sale-leaseback obligation bonds supported by such entities.

Regulated Utilities Obligations are issued by government-regulated providers of essential services and commodities, including electric, water and gas utilities. The majority of the Company's international regulated utility business is conducted in the UK.

Pooled Infrastructure Obligations are synthetic asset-backed obligations that take the form of CDS obligations or credit-linked notes that reference either infrastructure finance obligations or a pool of such obligations, with a defined deductible to cover credit risks associated with the referenced obligations.

Other Public Finance. Other domestic public finance obligations insured by AGM include bonds secured by revenues and guarantees from the Federal government, financings supported by specific state or local government entity revenues and stadium financings.

Pooled Corporate Obligations are securities primarily backed by various types of corporate debt obligations, such as secured or unsecured bonds, bank loans or loan participations and trust preferred securities. These securities are often issued in "tranches," with subordinated tranches providing credit support to the more senior tranches. The Company's financial guaranty exposures generally are to the more senior tranches of these issues.

Residential Mortgage-Backed Securities ("RMBS") and Home Equity Securities are obligations backed by closed-end first mortgage loans and closed- and open-end second mortgage loans or home equity loans on one-to-four family residential properties, including condominiums and cooperative apartments. First mortgage loan products in these transactions include fixed rate, adjustable rate ("ARM") and option adjustable-rate ("Option ARM") mortgages. The credit quality of borrowers covers a broad range, including "prime", "subprime" and "Alt-A". A prime borrower is generally defined as one with strong risk characteristics as measured by factors such as payment history, credit score, and debt-to-income ratio. A subprime borrower is a borrower with

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higher risk characteristics, usually as determined by credit score and/or credit history. An Alt-A borrower is generally defined as a prime quality borrower that lacks certain ancillary characteristics, such as fully documented income.

Financial Products is the guaranteed investment contracts ("GICs") portion of the former Financial Products Business of AGMH. AGM has issued financial guaranty insurance policies on the GICs and in respect of the GICs business that cannot be revoked or cancelled. Assured Guaranty is indemnified against exposure to the former Financial Products Business by Dexia. In addition, the French and Belgian governments have issued guaranties in respect of the GICs portion of the Financial Products Business. The Financial Products Business is currently being run off.

Structured Credit Securities include program-wide credit enhancement for commercial paper conduits in the U.S., and securities issued in whole business securitizations and intellectual property securitizations. Program-wide credit enhancement generally involves insuring against the default of ABS in a bank-sponsored commercial paper conduit. Securities issued in whole business and intellectual property securitizations are backed by revenue-producing assets sold to a limited-purpose company by an operating company, including franchise agreements, lease agreements, intellectual property and real property.

Consumer Receivables Securities are obligations backed by non-mortgage consumer receivables, such as automobile loans and leases, credit card receivables and other consumer receivables.

Commercial Mortgage-Backed Securities ("CMBS") are obligations backed by pools of commercial mortgages. The collateral supporting CMBS include office, multi-family, retail, hotel, industrial and other specialized or mixed-use properties.

Commercial Receivables Securities are obligations backed by equipment loans or leases, fleet auto financings, business loans and trade receivables. Credit support is derived from the cash flows generated by the underlying obligations, as well as property or equipment values as applicable.

Insurance Securitization Securities are obligations secured by the future earnings from pools of various types of insurance/reinsurance policies and income produced by invested assets.

Other Structured Finance Securities are obligations backed by assets not generally described in any of the other described categories.

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Endnotes related to non-GAAP financial measures discussed in the financial supplement:

The Company references financial measures that are not in accordance with accounting principles generally accepted in the United States of America ("GAAP").

Assured Guaranty's management and board of directors utilize non-GAAP measures in evaluating the Company's financial performance and as a basis for determining senior management incentive compensation. By providing these non-GAAP financial measures, investors, analysts and financial news reporters have access to the same information that management reviews internally. In addition, Assured Guaranty's presentation of non-GAAP financial measures is consistent with how analysts calculate their estimates of Assured Guaranty's financial results in their research reports on Assured Guaranty and with how investors, analysts and the financial news media evaluate Assured Guaranty's financial results.

The following paragraphs define each non-GAAP financial measure and describe why they are useful. A reconciliation of the non-GAAP financial measure and the most directly comparable GAAP financial measure, if available, is presented above. Non-GAAP financial measures should not be viewed as substitutes for their most directly comparable GAAP measures.

Operating Income: Management believes that operating income is a useful measure because it clarifies the understanding of the underwriting results of the Company's financial guaranty insurance business, and also includes financing costs and net investment income, and enables investors and analysts to evaluate the Company's financial results as compared to the consensus analyst estimates distributed publicly by financial databases. Operating income is defined as net income (loss) attributable to Assured Guaranty Municipal Corp., as reported under GAAP, adjusted for the following:

1): Elimination of the after-tax realized gains (losses) on the Company's investments, including other than temporary impairments, and credit and interest rate related gains and losses from sales of securities. Impairments and losses from sales of credit-impaired securities, the timing of which depends largely on market credit cycles, can vary considerably across periods. The timing of other sales that would result in gains or losses, such as interest rate related gains or losses, is largely subject to the Company's discretion and influenced by market opportunities, as well as the Company's tax and capital profile. Trends in the underlying profitability of the Company's business can be more clearly identified without the fluctuating effects of these transactions.
2): Elimination of the after-tax non-credit impairment unrealized fair value gains (losses) on credit derivatives, which is the amount in excess of the present value of the expected estimated economic credit losses. Such fair value adjustments are heavily affected by, and in part fluctuate with, changes in market interest rates, credit spreads and other market factors and are not expected to result in an economic gain or loss. Additionally, such adjustments present all financial guaranty contracts on a more consistent basis of accounting, whether or not they are subject to derivative accounting rules.
3): Elimination of the after-tax fair value gains (losses) on the Company's committed capital securities. Such amounts are heavily affected by, and in part fluctuate with, changes in market interest rates, credit spreads and other market factors and are not expected to result in an economic gain or loss.
4): Elimination of the after-tax foreign exchange gains (losses) on revaluation of net premium receivables. Long-dated receivables constitute a significant portion of the net premium receivable balance and represent the present value of future contractual or expected collections. Therefore, the current period's foreign exchange revaluation gains (losses) are not necessarily indicative of the total foreign exchange gains (losses) that the Company will ultimately recognize.
5): Elimination of the effects of consolidating certain financial guaranty VIEs in order to present all financial guaranty contracts on a more consistent basis of accounting, whether or not GAAP requires consolidation. GAAP requires the Company to consolidate certain VIEs that have issued debt obligations insured by the Company even though the Company does not own such VIEs and is not liable for such debt obligations.
6): Elimination of gain on bargain purchase in order to show the 2009 contribution to operating income of AGMH without the distorting effects of acquisition accounting adjustments recorded on the Acquisition Date.

Operating Shareholder's Equity: Management believes that operating shareholders' equity is a useful measure because it presents the equity of Assured Guaranty Ltd. with all financial guaranty contracts accounted for on a more consistent basis and excluding fair value adjustments that are not expected to result in economic loss. Many investors, analysts and financial news reporters use operating shareholders' equity as the principal financial measure for valuing Assured Guaranty Ltd.'s current share price or projected share price and also as the basis of their decision to recommend, buy or sell the Assured Guaranty Ltd.'s common shares. Many of the Company's fixed income investors also use operating shareholders' equity to evaluate the Company's capital adequacy. Operating shareholders' equity is the basis of the calculation of adjusted book value (see below). Operating shareholders' equity is the basis of the calculation of adjusted book value (see below). Operating shareholders' equity is defined as shareholder's equity attributable to Assured Guaranty Municipal Corp., as reported under GAAP, adjusted for the following:

1): Elimination of the effects of consolidating certain VIEs in order to present all financial guaranty contracts on a more consistent basis of accounting, whether or not GAAP requires consolidation. GAAP requires the Company to consolidate certain VIEs that have issued debt obligations insured by the Company even though the Company does not own such VIEs and is not liable for such debt obligations.

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2): Elimination of the after-tax non-credit impairment unrealized fair value gains (losses) on credit derivatives, which is the amount in excess of the present value of the expected estimated economic credit losses. Such fair value adjustments are heavily affected by, and in part fluctuate with, changes in market interest rates, credit spreads and other market factors and are not expected to result in an economic gain or loss.
3): Elimination of the after-tax fair value gains (losses) on the Company's committed capital securities. Such amounts are heavily affected by, and in part fluctuate with, changes in market interest rates, credit spreads and other market factors and are not expected to result in an economic gain or loss.
4): Elimination of the after-tax unrealized gains (losses) on the Company's investments, that are recorded as a component of accumulated other comprehensive income (AOCI) (excluding foreign exchange revaluation). The AOCI component of the fair value adjustment on the investment portfolio is not deemed economic because the Company generally holds these investments to maturity and therefore will not recognize an economic loss.

Operating return on equity ("Operating ROE"): Operating ROE represents operating income for a specified period divided by the average of operating shareholders' equity at the beginning and the end of that period. Management believes that operating ROE is a useful measure to evaluate the Company's return on invested capital. Many investors, analysts and members of the financial news media use operating ROE to evaluate Assured Guaranty Ltd.'s share price and as the basis of their decision to recommend, buy or sell the Assured Guaranty Ltd. common shares. Quarterly and year-to-date operating ROE are calculated on an annualized basis.

Adjusted Book Value: Management believes that adjusted book value is a useful measure because it enables an evaluation of the net present value of the Company's in force premiums and revenues in addition to operating shareholders' equity. The premiums and revenues included in adjusted book value will be earned in future periods, but actual earnings may differ materially from the estimated amounts used in determining current adjusted book value due to changes in, foreign exchange rates, refinancing or refunding activity, prepayment speeds, terminations, credit defaults and other factors. Many investors, analysts and financial news reporters use adjusted book value to evaluate Assured Guaranty Ltd.'s share price and as the basis of their decision to recommend, buy or sell the Assured Guaranty Ltd. common shares. Adjusted book value is operating shareholders' equity, as defined above, further adjusted for the following:

1): Elimination of after-tax deferred acquisition costs. These amounts represent net deferred expenses that have already been paid or accrued that will be expensed in future accounting periods.
2): Addition of the after-tax net present value of estimated net future credit derivative revenue. See below.
3): Addition of the after-tax value of the unearned premium reserve on financial guaranty contracts in excess of net expected loss to be expensed, net of reinsurance. This amount represents the expected future net earned premiums, net of expected losses to be expensed, which are not reflected in GAAP equity.

Net present value of estimated net future credit derivative revenue: Management believes that this amount is a useful measure because it enables an evaluation of the value of future estimated credit derivative revenue. There is no corresponding GAAP financial measure. This amount represents the present value of estimated future revenue from the Company's credit derivative in-force book of business, net of reinsurance, ceding commissions and premium taxes in excess of expected losses, and is discounted at 6% (which represents the Company's tax-equivalent pre-tax investment yield on its investment portfolio). Estimated net future credit derivative revenue may change from period to period due to changes in foreign exchange rates, prepayment speeds, terminations, credit defaults or other factors that affect par outstanding or the ultimate maturity of an obligation.

PVP or present value of new business production: Management believes that PVP is a useful measure because it enables the evaluation of the value of new business production for Assured Guaranty by taking into account the value of estimated future installment premiums on all new contracts underwritten in a reporting period as well as premium supplements and additional installment premium on existing contracts as to which the issuer has the right to call the insured obligation but has not exercised such right, whether in insurance or credit derivative contract form, which GAAP gross premiums written and the net credit derivative premiums received and receivable portion of net realized gains and other settlement on credit derivatives ("Credit Derivative Revenues") do not adequately measure. PVP in respect of insurance and credit derivative contracts written in a specified period is defined as gross upfront and installment premiums received and the present value of gross estimated future installment premiums, in each case, discounted at 6% (the Company's tax-equivalent pre-tax investment yield on its investment portfolio). For purposes of the PVP calculation, management discounts estimated future installment premiums on insurance contracts at 6%, while under GAAP, these amounts are discounted at a risk free rate. Additionally, under GAAP, management records future installment premiums on financial guaranty insurance contracts covering non-homogeneous pools of assets based on the contractual term of the transaction, whereas for PVP purposes, management records an estimate of the future installment premiums the Company expects to receive, which may be based upon a shorter period of time than the contractual term of the transaction. Actual future net earned or written premiums and Credit Derivative Revenues may differ from PVP due to factors including, but not limited to, changes in foreign exchange rates, refinancing or refunding activity, prepayment speeds, terminations, credit defaults, or other factors that affect par outstanding or the ultimate maturity of an obligation.

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		Contacts: Equity Investors: Sabra Purtill Managing Director, Investor Relations (212) 408-6044 spurtill@assuredguaranty.com Ross Aron Assistant Vice President, Investor Relations (212) 261-5509 raron@assuredguaranty.com

Assured Guaranty Municipal Corp. 31 West 52^nd Street New York, NY 10019 (212) 974-0100 www.assuredguaranty.com		Fixed Income Investors: Robert Tucker Managing Director, Fixed Income Investor Relations (212) 339-0861 rtucker@assuredguaranty.com Michael Walker Director, Fixed Income Investor Relations (212) 261-5575 mwalker@assuredguaranty.com Media: Betsy Castenir Managing Director, Corporate Communications (212) 339-3424 bcastenir@assuredguaranty.com Ashweeta Durani Vice President, Corporate Communications (212) 408-6042 adurani@assuredguaranty.com

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Exhibit 99.2

ASSURED GUARANTY LTD - FORM 8-K - EX-99.2 - EXHIBIT 99.2 - November 23, 2010

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