Syncora Announces Execution of Reinsurance Framework Agreement with Assured Guaranty Corp.
The financial effects of this agreement and other related disclosures are expected to be disclosed at a later date.
“We are extremely pleased to enter into this reinsurance agreement which effectively caps our insured exposure, leaving SGI in a more stable financial position and making it possible for us to return value to our stakeholders, subject to approval, including by the
SGI’s remaining insured portfolio of approximately
|PFI/PPP Availability – Public Buildings, Hospitals, Schools||270,368||bb||15.7|
|Puerto Rico exposures (including PREPA and GOs)||220,445||d||6.5|
|Military Housing Bonds (pre-insured)||147,315||bbb-||21.1|
|Sub Sovereign State, Region||136,848||bbb-||17.9|
|Toll Roads (International Public) > = 5 years of operating history||119,532||bbb-||6.7|
|Arkansas River Power Authority, CO—Electric Revenue Bonds||105,990||bb-||17.1|
|Power & Gas - International||100,000||a+||6.8|
|City of Syracuse Industrial Development Agency||94,050||bbb-||6.3|
|City of Houston, TX – Water/Sewer Bonds||38,379||aa-||15.9|
|Port of Portland, OR – Airport Revenue Bonds||17,698||aa-||8.5|
|Tulare Local Health Care District, CA||14,655||b||14.3|
|JEA, FL Water and Sewer (Senior Lien)||9,025||aa||16.0|
|RMBS exposure (12 separate credits)||7,609||b-||0.9|
|Port of Tacoma, WA – Port Revenue Bonds (Subordinate Lien)||6,621||a+||11.1|
|Detroit (City of), MI||3,515||d||2.9|
|Collateralized Debt Obligation||2,185||c||19.9|
In addition, SGI has the option to cede certain debt service reserve fund surety and interest rate swap policies for an immaterial additional premium payment.
Closing of the reinsurance transaction is subject to the receipt of required regulatory approvals, consents from certain third parties and other closing conditions, including
There can be no assurance that SGI will receive the required approvals or consents for the reinsurance or that the reinsurance transaction will close on the expected timeline or at all; neither can assurance be given as to the timing or the amount, if any, of payment on SGI’s surplus notes that the
Important Information and Forward Looking Statements
This press release contains statements about future results, plans and events that may constitute "forward-looking" statements. We caution you that the forward-looking information presented in this press release is not a guarantee of future events, and that actual events may differ materially from those made in or suggested by the forward-looking information contained in this press release. In addition, forward-looking statements generally can be identified by the use of forward-looking terminology such as "may," "plan," "seek," "comfortable with," "will," "expect," "intend," "estimate," "anticipate," "believe" or "continue" or the negative thereof or variations thereon or similar terminology. Forward-looking statements are subject to a number of risks and uncertainties, many of which are beyond the Company's control. These risks and uncertainties include, but are not limited to, the factors described in the Company's historical filings with the NYDFS, and in the Company's and
Source: Syncora Holdings Ltd.