8-K

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 8-K

Current Report

Pursuant To Section 13 or 15 (d) of the

Securities Exchange Act of 1934

Date of Report (Date of earliest event reported) — July 22, 2008

ASSURED GUARANTY LTD.

(Exact name of registrant as specified in its charter)

Bermuda	001-32141	98-0429991
(State or other jurisdiction of incorporation or organization)	(Commission File Number)	(I.R.S. Employer Identification No.)

Assured Guaranty Ltd.

30 Woodbourne Avenue

Hamilton HM 08 Bermuda

(Address of principal executive offices)

Registrant’s telephone number, including area code: (441) 299-9375

Not applicable

(Former name or former address, if changed since last report)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):

oWritten communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

oSoliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

oPre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

oPre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Item 2.02   Results of Operations and Financial Condition

On July 22, 2008, Assured Guaranty Ltd. issued a press release reporting its second quarter 2008 results and the availability of its preliminary second quarter 2008 financial supplement. The press release and the financial supplement are attached hereto as Exhibit 99.1 and Exhibit 99.2, respectively, and are hereby incorporated herein by reference.

Item 7.01   Regulation FD Disclosure

On July 22, 2008, the Company issued a statement in response to an announcement of a ratings review for possible downgrade by Moody’s Investors Service.  A copy of the press release containing that statement is attached as Exhibit 99.1 and is hereby incorporated herein by reference.

Item 9.01   Financial Statements, Pro Forma Financial Information and Exhibits.

(d)  Exhibits
Exhibit Number	Description
99.1	Press release, dated July 22, 2008, containing a statement in response to an announcement of a ratings review for possible downgrade by Moody’s Investors Service and reporting second quarter results
99.2	Preliminary second quarter 2008 Financial Supplement

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SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.

	ASSURED GUARANTY LTD.
	By:	/S/ Robert B. Mills
		Robert B. Mills
		Chief Financial Officer
DATE:  July 22, 2008

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EX-99.1

Exhibit 99.1

Press Release

Assured Guaranty Ltd. Issues Statement In Response to Announcement of
Ratings Review for Possible Downgrade by Moody’s Investors Service

Announces Second Quarter 2008 Net Income Estimate of $5.63 to $6.18 per
Diluted Share; Operating Income Estimated at $0.42 per Diluted Share

Hamilton, Bermuda, July 22, 2008 – Assured Guaranty Ltd. (NYSE: AGO) (“Assured” or “the Company”) today issued a statement in response to the announcement by Moody’s Investors Service (“Moody’s”) that Moody’s has placed under review for possible downgrade the Aaa insurance financial strength ratings of Assured Guaranty Corp., the Company’s principal direct financial guaranty insurance subsidiary, and Assured Guaranty (UK) Ltd., its U.K. subsidiary, as well as the Aa2 insurance financial strength ratings of Assured Guaranty Re Ltd. (“AG Re”), the Company’s Bermuda-based financial guaranty reinsurance subsidiary.  Moody’s review also includes the Aa3 senior unsecured rating of Assured Guaranty US Holdings Inc. and the Aa3 issuer rating of Assured Guaranty Ltd.

The Company has scheduled a conference call to discuss this announcement for 8:30 a.m. Eastern Time (9:30 a.m. Atlantic Time) on Tuesday, July 22, 2008.  The conference will be available by dialing 866-825-3209 (in the U.S.) or 617-213-8061 (International), passcode 80019821. A replay will be available until July 29, 2008.  To listen to the replay dial: 888-286-8010 (in the U.S.) or 617-801-6888 (International), passcode 68658510.

Statement by Dominic Frederico, President and Chief Executive Officer of Assured Guaranty Ltd.:

“We are concerned by Moody’s announcement at a time when Assured is experiencing broad market acceptance and investor demand for our insured paper,” stated Dominic Frederico, President and Chief Executive Officer of Assured Guaranty Ltd.  “We believe it is important for investors to know that Moody’s action is not at all reflective of a deterioration in Assured’s capital base, credit exposures or earnings outlook.  I would draw your attention to the following comments Moody’s made today in their

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press release,” continued Mr. Frederico.  First, their revised assessment of stress case loss estimates on our residential mortgage-backed securities portfolio did not change meaningfully from their prior estimates.  Second, Assured Guaranty Corp. and AG Re continue to exceed Moody’s current capital requirements for their current ratings of Aaa and Aa2, respectively.  In addition, in relation to the $40 billion of our pooled corporate exposures Moody’s referenced, I would note that 95% of the portfolio is rated by Moody’s and 84% is currently rated Aaa by them.”

“We are hopeful that investors will focus on the fundamental credit strength of our Company,” commented Mr. Frederico.  “It is our view, however, that Moody’s decision to reevaluate industry ratings during a time of unusually high market volatility and lack of liquidity in many credit markets could have been accomplished in a different manner without affecting municipal and other policyholders.  Reflective of our current market position, we are also in negotiations to assume via reinsurance large portfolios of principally municipal risk into AG Re.  We believe the cedents and their policyholders as well as Assured, should materially benefit from these transactions. In light of the announcement by Moody’s, we do not know when or if these reinsurance opportunities will be realized,” concluded Mr. Frederico.  “We are confident in Assured’s financial strength and are committed to maintaining our ratings and will work closely with Moody’s in their current review.”

Assured also announced today that it expects to report net income for the quarter ended June 30, 2008 in the range of $515 million to $565 million, or $5.63 to $6.18 per diluted share, largely due to after tax unrealized gains on credit derivatives, which are expected to be in the range of $475 million to $525 million.  Operating income, a non-GAAP financial measure, is estimated at $38.7 million, or $0.42 per diluted share.  Net income, operating income and the Company’s estimate of loss expenses could change based on new information the Company receives from reinsurance clients or if the Company’s management revises loss estimates on specific credits prior to the filing of the Company’s second quarter 2008 financial Quarterly Report on Form 10-Q, which is expected to be filed by August 11, 2008.

The Company’s after tax unrealized gains on credit derivatives in the quarter reflects an increase in the fair value of financial guaranty contracts written in credit default swap (“CDS”) form by the Company’s financial guaranty direct and reinsurance segments. The Company’s credit derivatives are generally held to maturity and management expects that the unrealized gain or loss on a credit derivative will reduce to zero as the exposure approaches its maturity date, unless there is a payment default on the exposure.  The Company determines the fair value of its financial guaranty contracts

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written in CDS form based on a combination of observable market data and valuation models, using various market indices, credit spreads and estimated contractual payments.  The fair value of its financial guaranty contracts written in CDS form also reflects the change in the Company’s own credit cost based on the price to purchase credit protection on Assured Guaranty Corp., the Company’s financial guaranty direct subsidiary.  Assured’s current estimate of after tax unrealized gains on derivatives of $475 million to $525 million includes a gain of approximately $675 million after tax (approximately $958 million before tax) associated with the change in Assured Guaranty Corp.’s CDS spread, which widened substantially during June.  See explanation of “Non-GAAP Financial Measures” section of this press release for definition of non-GAAP financial measures referenced in this press release.

Assured’s shareholders’ equity at June 30, 2008 was $2,242.4 million, a 35% increase from December 31, 2007 shareholders’ equity of $1,666.6 million.  The increase was largely due to the unrealized gains on financial guaranty contracts that were written in CDS form that were recorded in second quarter of 2008.  Assured’s book value per share was $24.66 at June 30, 2008 compared to $20.85 at December 31, 2007.  Book value per share excluding unrealized losses on credit derivatives and fair value gain on Assured Guaranty Corp.’s committed capital securities was $25.95 at June 30, 2008, compared to $26.43 at December 31, 2007.

The Company also announced today that its second quarter 2008 consolidated new business production as measured by the present value of insurance and credit derivative gross written premiums (“PVP”), a non-GAAP financial measure, was approximately $279 million, and was comprised of PVP of approximately $241 million in the financial guaranty direct segment and approximately $38 million in the financial guaranty reinsurance segment.  Second quarter 2008 PVP in the U.S. public finance market was approximately $183 million in the financial guaranty direct segment and approximately $26 million in the financial guaranty reinsurance segment, for total U.S. public finance PVP of $209 million.

Assured expects second quarter 2008 net income and operating income to include approximately $38.1 million of loss and loss adjustment expenses on financial guaranty contracts and $5.6 million of incurred losses on CDS contracts, for total second quarter 2008 loss and loss adjustment expenses and incurred losses of $43.7 million before tax ($34.5 million after tax or $0.38 per diluted share), based on the Company’s most recent credit evaluations and information received from reinsurance clients.  Of the $43.7 million of incurred losses before tax, approximately $39.7 million ($30.6 million

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after tax or $0.33 per diluted share) is associated with the Company’s U.S. residential mortgage backed securities (“RMBS”) exposures, principally related to Assured’s exposure to closed end second mortgage transactions, and does not include any additional loss and loss adjustment expense for CWHEQ Revolving Home Equity Loan Trust 2007-D and Countrywide Home Equity Loan Trust 2005-J, two U.S. prime home equity line of credit (“HELOC”) transactions underwritten by the Company’s financial guaranty direct segment.

The Company also released today a Preliminary Second Quarter 2008 Financial Supplement that contains information on Assured’s financial guaranty portfolio, including summary information on ratings, vintage, cumulative losses, subordination, credit enhancement levels and delinquencies on the Company’s U.S. RMBS portfolio.  It also contains information on Assured’s Closely Monitored Credits list (“CMC list”), pooled corporate obligations, and the Company’s largest U.S. public finance, U.S. structured finance and international exposures.  A copy of this document is available in the Investor Information section of the Company’s website located at http://www.assuredguaranty.com.

The Company’s consolidated net par outstanding was $230.4 billion as of June 30, 2008, of which 98.2% was rated investment grade by the Company’s internal rating scale, which is comparable to that of the nationally recognized rating agencies, with an average rating of AA-.   Approximately $4.1 billion, or 1.8%, of the Company’s net par outstanding, is on the Company’s CMC list, a modest increase of $77 million since March 31, 2008.  Assured’s CMC list is comprised of non-investment grade and investment grade exposures whose credit quality is deteriorating and where, in the view of the Company’s management, there is a significant potential that the risk quality of the exposure will fall below investment grade.  The majority of the exposures on the Company’s CMC list are associated with U.S. RMBS securities and, in particular, HELOC transactions.

Assured’s U.S. RMBS net par outstanding was $19.8 billion as of June 30, 2008, or approximately 8.6% of total net par outstanding, 88.8% of that exposure was rated investment grade according to the Company’s internal rating scale.  Approximately $2.2 billion of this exposure is non-investment grade and is on the Company’s CMC list, including the Company’s HELOC exposure.  The Company’s exposure to HELOCs, which is included in the $19.8 billion of U.S. RMBS exposure total, declined from $2.3 billion in the first quarter 2008 to $2.1 billion as of June 30, 2008.  Approximately, $1.8 billion of the Company’s HELOC exposure is rated non-investment grade and is on the Company’s CMC list.  Of the approximately $400 million of other U.S. RMBS exposure that is also rated non-investment grade and is on the Company’s CMC list, $105 million is for prime closed end second liens, $99 million alternate-A first lien mortgages and $190 million for subprime first lien mortgages.

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Assured intends to release its final second quarter 2008 financial results on August 7, 2008 at approximately 5:00 p.m. Eastern Time (6:00 p.m. Atlantic Time).  The company will host a conference call to discuss its financial results at 7:30 a.m. Eastern Time (8:30 a.m. Atlantic Time) on Friday, August 8, 2008.  The earnings conference call will be available via live and archived webcast in the Investor Information section of the Company’s website at http://www.assuredguaranty.com or by dialing 866-383-8009 (in the U.S.) or 617-597-5342 (International), passcode 64840547.  A replay of the call will be available through September 9, 2008.  To listen to the replay dial: 888-286-8010 (in the U.S.) or 617-801-6888 (International), passcode 20369305.

Please refer to Assured’s Preliminary Second Quarter 2008 Financial Supplement, which is posted on the Company’s website at http://www.assuredguaranty.com/investor/ltd/financial.aspx, for more information on the Company’s financial guaranty profile.

Assured Guaranty Ltd. is a publicly-traded Bermuda-based holding company.  Its operating subsidiaries provide credit enhancement products to the U.S. and international public finance, structured finance and mortgage markets.  More information on the Company and its subsidiaries can be found at www.assuredguaranty.com.

Non-GAAP Financial Measures

This press release references several non-GAAP financial measures to assist analysts and investors in evaluating Assured’s financial results.  These non-GAAP financial measures are defined below.  In each case, if available, the most directly comparable GAAP financial measure is presented and a reconciliation of the non-GAAP financial measure and GAAP financial measure is provided. This presentation is consistent with how Assured’s management, analysts and investors evaluate its financial results and is comparable to estimates published by analysts in their research reports on Assured.  The non-GAAP financial measures included in this press release are: operating income and present value of insurance and credit derivative gross written premiums (“PVP”).

The following defines non-GAAP financial measures presented in this press release and describes why they are useful for investors.

Operating income, which is a non-GAAP financial measure, is defined as net income (loss) excluding: (i) after-tax realized gains (losses) on investments; (ii) after-tax unrealized gains (losses) on credit derivatives, other than the Company’s net estimate of after-tax losses incurred on credit derivatives, and (iii) the fair value adjustment of the Company’s committed capital securities.  Management believes that operating income is a useful measure for management, investors and analysts because the presentation of operating income enhances the understanding of Assured’s results of operations by highlighting the underlying profitability of the Company’s business. Realized gains (losses) on investments and unrealized gains (losses) on credit derivatives and the fair value adjustment of the Company’s committed capital securities, other than incurred losses on credit derivatives, are excluded because the amount of both of these gains (losses) is heavily influenced by, and fluctuates, in part, according to market interest rates, credit spreads and other factors that management cannot control or predict. This measure should not be viewed as a substitute for net income (loss) determined in accordance with GAAP.

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Present value of insurance and credit derivative gross written premiums or PVP, which is a non-GAAP financial measure, is defined as gross upfront and installment premiums received and the present value of gross estimated future installment premiums, on insurance and credit derivative contracts written in the current period, discounted at 6% per year. Management believes that PVP is a useful measure for management, investors and analysts because it permits the evaluation of the value of new business production for Assured by taking into account the value of estimated future installment premiums on all new contracts underwritten in a reporting period, 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 settlements on credit derivatives (“credit derivative premiums”) do not measure. Actual future net earned or written premiums and credit derivative premiums may differ from PVP due to factors such as prepayments, amortizations, refundings, contract terminations or defaults that may or may not be influenced by market interest rates, refinancing or refunding activity, prepayment speeds, policy changes or terminations, credit defaults, or other factors that management cannot control or predict. This measure should not be viewed as a substitute for gross written premiums determined in accordance with GAAP.  Assured uses 6% as the present value discount rate for calculating PVP because it is the approximate taxable equivalent yield on Assured’s investment portfolio for the periods presented.

Analysis of PVP

($ in millions)

Gross written premiums (“GWP”) analysis:

					Full Year
	2Q-08		2Q-07		2007
Present value of financial guaranty and credit derivative GWP (“PVP”)	$	278.9	$	125.3	$	874.6
Less: PVP of credit derivatives	52.3		39.2		252.2
PVP of financial guaranty GWP	226.6		86.1		622.4
Less: Financial guaranty installment premium PVP	14.8		33.7		292.8
Total: Financial guaranty upfront GWP	211.8		52.4		329.6
Plus: Financial guaranty installment GWP	34.0		18.7		88.6
Total financial guaranty GWP	245.8		71.1		418.2
Plus: Mortgage guaranty segment GWP	—		0.5		2.7
Plus: Other segment GWP	—		0.1		3.5
Total GWP per income statement	$	245.8	$	71.8	$	424.5

The Company’s estimate of the components of operating income for the second quarter 2008 are as follows:

Net income	$515 million - $565 million
Less: After-tax realized gains on investments	$0.9 million
Less: After-tax unrealized gains on credit derivatives, other than the Company’s net estimate of after-tax losses incurred on credit derivatives	$475 million - $525 million
Less: Fair value adjustment of the Company’s committed capital securities	$5.8 million
Operating income	$38.7 million

Cautionary Statement Regarding Forward-Looking Statements:

Any forward-looking statements made in this press release reflect the Company’s current views 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

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uncertainties that may cause actual results to differ materially from those set forth in these statements.  For example, the Company’s forward-looking statements, including its calculations of adjusted book value, present value of insurance and credit derivative gross written premiums (“PVP”), net income, operating income, net present value of estimated future installment premiums in force, total estimated net future premium earnings, and statements regarding losses, pricing, ratings, capital adequacy and the growth of the direct business could be affected by many events.  These events include a significant reduction in the amount of reinsurance ceded by one or more of our principal ceding companies, rating agency action such as a ratings downgrade, difficulties with the execution of the Company’s business strategy, contract cancellations, developments or volatility in the world’s financial and capital markets, more severe or frequent losses associated with products affecting the adequacy of the Company’s loss reserves, more recent information received from reinsurance clients, changes in regulation or tax laws, governmental actions, natural catastrophes, the Company’s dependence on customers, decreased demand or increased competition, loss of key personnel, technological developments, the effects of mergers, acquisitions and divestitures, changes in accounting policies or practices, changes in general economic conditions, other risks and uncertainties that have not been identified at this time, management’s response to these factors, and other risk factors identified in the Company’s filings with the Securities and Exchange Commission.  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.  The Company undertakes no obligation to publicly update or revise any forward looking statements, whether as a result of new information, future events or otherwise.

Contact Information:

Assured Guaranty:

Equity Investors and Analysts:

Sabra Purtill, CFA

Managing Director, Global Communications and Investor Relations

212-408-6044

441-299-9375

spurtill@assuredguaranty.com

Ross Aron

Associate, Investor Relations

212-261-5509

raron@assuredguaranty.com

Fixed Income Investors:

Michael Walker

Director, Fixed Income Investor Relations

212-261-5575

mwalker@assuredguaranty.com

Media:

Ashweeta Durani

Vice President, Communications

212-408-6042

adurani@assuredguaranty.com

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EX-99.2

Exhibit 99.2

Assured Guaranty Ltd.

Preliminary Second Quarter 2008 Financial Supplement

June 30, 2008

Table of Contents	Page
Assured Guaranty Ltd.
Financial Guaranty Profile	1-2
Pooled Corporate Profile	3
Residential Mortgage-Backed Securities Profile	4-7
Credit Derivative Exposures Profile	8
CDOs of ABS Profile	9
Non-Investment Grade Exposures	10
Closely Monitored Credits	11
Largest Exposures by Sector	12-15
Glossary

This supplement should be read in conjunction with documents filed by Assured Guaranty Ltd. (“Assured” or the “Company”) with the Securities and Exchange Commission, including our 10-Q’s dated March 31, 2007, June 30, 2007, September 30, 2007 and March 31, 2008 and our 10-K for the year ended December 31, 2007.

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 Company’s current views 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.  For example, the Company’s forward-looking statements, including its calculations of adjusted book value, present value of insurance and credit derivative gross written premiums (“PVP”), net present value of estimated future installment premiums in force, total estimated net future premium earnings, and statements regarding losses, pricing, ratings, capital adequacy and the growth of the direct business could be affected by many events.  These events include a significant reduction in the amount of reinsurance ceded by one or more of our principal ceding companies, rating agency action such as a ratings downgrade, difficulties with the execution of the Company’s business strategy, contract cancellations, developments or volatility in the world’s financial and capital markets, more severe or frequent losses associated with products affecting the adequacy of the Company’s loss reserves, changes in regulation or tax laws, governmental actions, natural catastrophes, the Company’s dependence on customers, decreased demand or increased competition, loss of key personnel, technological developments, the effects of mergers, acquisitions and divestitures, changes in accounting policies or practices, changes in general economic conditions, other risks and uncertainties that have not been identified at this time, management’s response to these factors, and other risk factors identified in the Company’s filings with the Securities and Exchange Commission.  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.  The Company undertakes no obligation to publicly update or revise any forward looking statements, whether as a result of new information, future events or otherwise.

Assured Guaranty Ltd.

Financial Guaranty Profile (1 of 2)

As of June 30, 2008

(dollars in millions)

Net Par Outstanding and Average Rating by Asset Type

	Financial Guaranty Direct			Financial Guaranty Reinsurance			Consolidated
Sector:	Net Par Outstanding		Avg. Rating (1)	Net Par Outstanding		Avg. Rating (1)	Net Par Outstanding		Avg. Rating (1)
U.S. public finance
General obligation	$	5,954	A+	$	19,299	A+	$	25,253	A+
Tax backed	7,488		A	16,939		A+	24,427		A+
Municipal utilities	3,967		A	11,419		A	15,386		A
Healthcare	4,870		A	8,339		A+	13,209		A
Transportation	2,859		A	9,293		A	12,152		A
Higher education	1,793		A-	3,064		A+	4,857		A+
Investor-owned utilities	119		A	2,247		BBB+	2,365		BBB+
Housing	—		—	2,064		A+	2,064		A+
Other public finance	554		A	3,337		A+	3,891		A+
Total U.S. public finance	$	27,602	A	$	76,003	A+	$	103,605	A+
U.S. structured finance
Pooled corporate obligations	$	34,147	AAA	$	1,376	AA+	$	35,523	AAA
Prime mortgage-backed and home equity	11,548		AA-	1,210		BBB-	12,758		AA-
Consumer receivables	4,732		AA+	2,654		A	7,386		AA
Subprime mortgage-backed and home equity	6,690		AA+	302		BBB+	6,992		AA+
Commercial mortgage-backed securities	5,709		AAA	224		A-	5,934		AAA
Commercial receivables	2,334		AA	3,142		A-	5,476		A+
Structured credit	1,660		A-	423		BBB	2,083		BBB+
Insurance securitizations	947		AA-	354		AA	1,301		AA-
Other structured finance	49		AA	453		A-	502		A
Total U.S. structured finance	$	67,816	AA+	$	10,139	A	$	77,955	AA
International
Infrastructure and pooled infrastructure	$	7,150	AA+	$	4,445	BBB+	$	11,596	AA-
Mortgage-backed and home equity	9,854		AAA	275		AA	10,130		AAA
Pooled corporate obligations	8,661		AAA	1,020		AAA	9,681		AAA
Regulated utilities	4,401		A	4,358		BBB+	8,759		A-
Commercial receivables	1,001		A-	907		A-	1,908		A-
Public finance	839		AA	1,018		A	1,857		A+
Future flow	943		BBB	373		A-	1,316		BBB+
Commercial mortgage-backed securities	644		AAA	390		A-	1,034		AA
Insurance securitizations	923		BB	82		A	1,005		BB
Structured credit	—		—	600		A-	600		A-
Consumer receivables	—		—	99		AAA	99		AAA
Other international structured finance	741		AAA	117		BBB+	858		AA+
Total international	$	35,158	AA	$	13,684	A-	$	48,841	AA-
Total net par outstanding	$	130,576	AA	$	99,826	A	$	230,402	AA-

1. Assured’s internal rating.  Assured’s scale is comparable to that of the nationally recognized rating agencies.  The super senior category, which is not generally used by rating agencies, is used by the Company in instances where Assured’s AAA-rated exposure has additional credit enhancement due to either (1) the existence of another security rated AAA that is subordinated to Assured’s exposure or (2) Assured’s exposure benefits 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’s attachment point to be materially above the AAA attachment point.

Please refer to Glossary for description of selected types of U.S. public finance, U.S. structured finance and International obligations that the Company insures and reinsures.

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Assured Guaranty Ltd.

Financial Guaranty Profile (2 of 2)

(dollars in millions)

Distribution by Ratings of Financial Guaranty Portfolio

	As of June 30, 2008
	Financial Guaranty Direct				Financial Guaranty Reinsurance				Consolidated
Ratings (1):	Net Par Outstanding		%		Net Par Outstanding		%		Net Par Outstanding		%
Super senior	$	44,493	34.1	%	$	29	0.0	%	$	44,522	19.3	%
AAA	34,986		26.8	%	5,354		5.4	%	40,340		17.5	%
AA	14,167		10.8	%	33,117		33.2	%	47,285		20.5	%
A	22,978		17.6	%	40,192		40.3	%	63,170		27.4	%
BBB	11,256		8.6	%	19,770		19.8	%	31,026		13.5	%
Below investment grade	2,697		2.1	%	1,363		1.4	%	4,060		1.8	%
Total exposures	$	130,576	100.0	%	$	99,826	100.0	%	$	230,402	100.0	%

	As of December 31, 2007
	Financial Guaranty Direct				Financial Guaranty Reinsurance				Consolidated
Ratings (1):	Net Par Outstanding		%		Net Par Outstanding		%		Net Par Outstanding		%
Super senior	$	36,359	35.3	%	$	—	—		$	36,359	18.2	%
AAA	41,716		40.5	%	5,617		5.8	%	47,333		23.6	%
AA	5,576		5.4	%	32,858		33.8	%	38,434		19.2	%
A	9,873		9.6	%	39,304		40.4	%	49,177		24.6	%
BBB	7,970		7.7	%	18,892		19.4	%	26,862		13.4	%
Below investment grade	1,526		1.5	%	588		0.6	%	2,114		1.1	%
Total exposures	$	103,021	100.0	%	$	97,258	100.0	%	$	200,279	100.0	%

	As of June 30, 2008
	U.S. Public Finance				U.S. Structured Finance				International				Consolidated
Ratings (1):	Net Par Outstanding		%		Net Par Outstanding		%		Net Par Outstanding		%		Net Par Outstanding		%
Super senior	$	—	—		$	28,997	37.2	%	$	15,524	31.8	%	$	44,522	19.3	%
AAA	1,618		1.6	%	26,947		34.6	%	11,774		24.1	%	40,340		17.5	%
AA	37,091		35.8	%	6,912		8.9	%	3,282		6.7	%	47,285		20.5	%
A	50,436		48.7	%	6,149		7.9	%	6,584		13.5	%	63,170		27.4	%
BBB	13,679		13.2	%	6,681		8.6	%	10,666		21.8	%	31,026		13.5	%
Below investment grade	780		0.8	%	2,268		2.9	%	1,011		2.1	%	4,060		1.8	%
Total exposures	$	103,605	100.0	%	$	77,955	100.0	%	$	48,841	100.0	%	$	230,402	100.0	%

	As of December 31, 2007
	U.S. Public Finance				U.S. Structured Finance				International				Consolidated
Ratings (1):	Net Par Outstanding		%		Net Par Outstanding		%		Net Par Outstanding		%		Net Par Outstanding		%
Super senior	$	—	—		$	22,098	29.9	%	$	14,261	32.0	%	$	36,359	18.2	%
AAA	1,777		2.2	%	34,370		46.6	%	11,185		25.1	%	47,333		23.6	%
AA	31,750		38.8	%	4,676		6.3	%	2,008		4.5	%	38,434		19.2	%
A	37,604		45.9	%	5,302		7.2	%	6,271		14.1	%	49,177		24.6	%
BBB	10,608		13.0	%	5,479		7.4	%	10,776		24.2	%	26,862		13.4	%
Below investment grade	174		0.2	%	1,894		2.6	%	45		0.1	%	2,114		1.1	%
Total exposures	$	81,914	100.0	%	$	73,820	100.0	%	$	44,546	100.0	%	$	200,279	100.0	%

1. Assured’s internal rating.  Assured’s scale is comparable to that of the nationally recognized rating agencies.  The super senior category, which is not generally used by rating agencies, is used by the Company in instances where Assured’s AAA-rated exposure has additional credit enhancement due to either (1) the existence of another security rated AAA that is subordinated to Assured’s exposure or (2) Assured’s exposure benefits 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’s attachment point to be materially above the AAA attachment point.

2

Assured Guaranty Ltd.

Pooled Corporate Profile

(dollars in millions)

Distribution by Ratings of Direct Pooled Corporate Obligations as of June 30, 2008

Ratings (1):	Net Par Outstanding		%		Avg. Initial Credit Enhancement (2)		Avg. Current Enhancement (2)
AAA	$	38,012	88.8	%	37.7	%	36.2	%
AA	3,907		9.1	%	34.4	%	32.2	%
A	635		1.5	%	46.5	%	41.1	%
BBB	253		0.6	%	48.2	%	39.7	%
Below investment grade	—		—		—		—
Total exposures	$	42,808	100.0	%	37.6	%	36.0	%

Distribution of Direct Pooled Corporate Obligations by Year Insured as of June 30, 2008

Year insured:	Net Par Outstanding		%		Avg. Initial Credit Enhancement (2)		Avg. Current Enhancement (2)
2004 and prior	$	2,069	4.8	%	33.9	%	33.9	%
2005	7,499		17.5	%	36.9	%	34.7	%
2006	13,213		30.9	%	37.7	%	35.0	%
2007	16,765		39.2	%	38.3	%	37.2	%
2008 YTD	3,262		7.6	%	37.5	%	37.6	%
	$	42,808	100.0	%	37.6	%	36.0	%

Distribution of Direct Pooled Corporate Obligations by Asset Class as of June 30, 2008

Asset class:	Net Par Outstanding		%		Average Rating (1)	Avg. Initial Credit Enhancement (2)		Avg. Current Enhancement (2)
High yield corporates	$	27,314	63.8	%	AAA	35.4	%	33.6	%
Trust preferred - banks and insurance	3,907		9.1	%	AAA	47.2	%	45.9	%
Trust preferred - US mortgage and REITs	2,571		6.0	%	AA	50.0	%	45.7	%
Trust preferred - European mortgage and REITs	1,309		3.1	%	AAA	36.6	%	36.8	%
Market value CDOs of corporates	4,245		9.9	%	AAA	38.6	%	36.8	%
Investment grade corporates	2,337		5.5	%	AAA	28.7	%	29.6	%
Commercial real estate	755		1.8	%	AAA	49.0	%	48.9	%
CDO of CDOs (corporate)	370		0.9	%	AAA	34.6	%	35.3	%
	$	42,808	100.0	%	AAA	37.6	%	36.0	%

1. Assured’s internal rating.  Assured’s scale is comparable to that of the nationally recognized rating agencies.

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 Assured’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 misstatement or correction.

3

Assured Guaranty Ltd.

Residential Mortgage-Backed Securities Profile (1 of 4)

(dollars in millions)

Distribution by Ratings(1) of Residential Mortgage-Backed Securities by Category as of June 30, 2008

	June 30, 2008
	US				International				Total Net Par
Ratings (1):	Prime		Subprime		Prime		Subprime		Outstanding		% of Total
Super senior	$	5,554	$	3,370	$	2,826	$	—	$	11,750	39.3	%
AAA	2,499		2,372		7,009		15		11,895		39.8	%
AA	366		581		154		2		1,103		3.7	%
A	1,338		203		110		—		1,651		5.5	%
BBB	978		276		14		—		1,267		4.2	%
Below investment grade	2,023		190		—		—		2,213		7.4	%
Total exposures	$	12,758	$	6,992	$	10,113	$	17	$	29,879	100.0	%

Distribution of Residential Mortgage-Backed Securities by Category and by Year Insured as of June 30, 2008

	US				International				Total Net Par
Year insured:	Prime		Subprime		Prime		Subprime		Outstanding		% of Total
2004 and prior	$	616	$	648	$	463	$	14	1,741		5.8	%
2005	1,543		101		1,245		0		2,889		9.7	%
2006	699		4,558		2,383		—		7,639		25.6	%
2007	7,129		1,649		2,830		2		11,610		38.9	%
2008 YTD	2,771		37		3,192		—		6,000		20.1	%
	$	12,758	$	6,992	$	10,113	$	17	$	29,879	100.0	%

Distribution of U.S. Residential Mortgage-Backed Securities by Rating(1) as of June 30, 2008

	Direct				Reinsurance				Total
	Net Par				Net Par				Net Par
Ratings (1):	Outstanding		%		Outstanding		%		Outstanding		%
Super senior	$	8,915	48.9	%	$	9	0.6	%	$	8,924	45.2	%
AAA	4,508		24.7	%	363		24.0	%	4,871		24.7	%
AA	844		4.6	%	103		6.8	%	947		4.8	%
A	1,371		7.5	%	170		11.3	%	1,541		7.8	%
BBB	915		5.0	%	338		22.4	%	1,254		6.3	%
Below investment grade	1,685		9.2	%	528		34.9	%	2,213		11.2	%
	$	18,238	100.0	%	$	1,512	100.0	%	$	19,750	100.0	%

1. Assured’s internal rating.  Assured’s scale is comparable to that of the nationally recognized rating agencies.  The super senior category, which is not generally used by rating agencies, is used by the Company in instances where Assured’s AAA-rated exposure has additional credit enhancement due to either (1) the existence of another security rated AAA that is subordinated to Assured’s exposure or (2) Assured’s exposure benefits 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’s attachment point to be materially above the AAA attachment point.

4

Assured Guaranty Ltd.

Residential Mortgage-Backed Securities Profile (2 of 4)

(dollars in millions)

Distribution of Consolidated U.S. Residential Mortgage-Backed Securities by Rating(1) as of June 30, 2008

Ratings (1):	Prime First Lien		Prime Closed End Seconds		Prime HELOC		Alt-A First Lien		Subprime First Lien		Total Net Par Outstanding
Super senior	$	696	$	48	$	—	$	4,809	$	3,370	$	8,924
AAA	494		67		17		1,922		2,372		4,871
AA	92		258		14		2		581		947
A	145		—		15		1,178		203		1,541
BBB	738		6		210		23		276		1,254
Below investment grade	0		105		1,818		99		190		2,213
Total exposures	$	2,164	$	485	$	2,075	$	8,034	$	6,992	$	19,750

Distribution of Consolidated U.S. Residential Mortgage-Backed Securities by Year Issued as of June 30, 2008

Year issued:	Prime First Lien		Prime Closed End Seconds		Prime HELOC		Alt-A First Lien		Subprime First Lien		Total Net Par Outstanding
2004 and prior	$	303	$	—	$	214	$	158	$	638	$	1,313
2005	226		—		837		557		3,747		5,367
2006	498		6		204		634		1,921		3,263
2007	1,137		478		820		6,685		667		9,788
2008 YTD	—		—		—		—		19		19
	$	2,164	$	485	$	2,075	$	8,034	$	6,992	$	19,750

1. Assured’s internal rating.  Assured’s scale is comparable to that of the nationally recognized rating agencies.  The super senior category, which is not generally used by rating agencies, is used by the Company in instances where Assured’s AAA-rated exposure has additional credit enhancement due to either (1) the existence of another security rated AAA that is subordinated to Assured’s exposure or (2) Assured’s exposure benefits 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’s attachment point to be materially above the AAA attachment point.

5

Assured Guaranty Ltd.

Residential Mortgage-Backed Securities Profile (3 of 4)

(dollars in millions)

Financial Guaranty Direct U.S. Residential Mortgage-Backed Securities Net Par Outstanding Underwritten Since January 1, 2004 by Rating(1) and Year of Issue as of June 30, 2008

Year	Super			AAA			AA			A			BBB			BIG
Issued	Senior			Rated			Rated			Rated			Rated			Rated			Total
2004 and prior	$	17		$	436		$	6		$	—		$	178		$	54		$	691
2005	2,082			2,213			180			—			—			706			5,181
2006	1,387			404			400			150			444			118			2,903
2007	5,429			1,455			257			1,221			293			807			9,462
2008 YTD	—			—			—			—			—			—			—
	$	8,915		$	4,508		$	844		$	1,371		$	915		$	1,685		$	18,238
% of total	48.9		%	24.7		%	4.6		%	7.5		%	5.0		%	9.2		%	100.0		%

Distribution of Financial Guaranty Direct U.S. Residential Mortgage-Backed Securities by Rating(1) as of June 30, 2008

Ratings (1):	Prime First Lien		Prime Closed End Seconds		Prime HELOC		Alt-A First Lien		Subprime First Lien		Total Net Par Outstanding
Super senior	$	696	$	48	$	—	$	4,800	$	3,370	$	8,915
AAA	338		64		—		1,873		2,233		4,508
AA	—		257		6		—		580		844
A	—		—		—		1,177		194		1,371
BBB	662		—		19		—		234		915
Below investment grade	—		97		1,416		93		79		1,685
Total exposures	$	1,697	$	466	$	1,441	$	7,944	$	6,690	$	18,238

Distribution of Financial Guaranty Direct U.S. Residential Mortgage-Backed Securities by Rating(1) as of June 30, 2008

Ratings (1):	Prime First Lien		Prime Closed End Seconds		Prime HELOC		Alt-A First Lien		Subprime First  Lien
Super senior	41.0	%	10.3	%	—		60.4	%	50.4	%
AAA	19.9	%	13.6	%	—		23.6	%	33.4	%
AA	—		55.2	%	0.4	%	—		8.7	%
A	—		—		—		14.8	%	2.9	%
BBB	39.0	%	—		1.3	%	—		3.5	%
Below investment grade	—		20.8	%	98.2	%	1.2	%	1.2	%
Total exposures	100.0	%	100.0	%	100.0	%	100.0	%	100.0	%

Distribution of Financial Guaranty Direct U.S. Residential Mortgage-Backed Securities by Year Insured as of June 30, 2008

Year insured:	Prime First Lien		Prime Closed End Seconds		Prime HELOC		Alt-A First Lien		Subprime First Lien		Total Net Par Outstanding
2004 and prior	$	—	$	—	$	25	$	133	$	516	$	675
2005	194		—		706		439		88		1,428
2006	369		—		—		54		4,535		4,958
2007	1,134		466		710		4,547		1,550		8,406
2008 YTD	—		—		—		2,771		—		2,771
	$	1,697	$	466	$	1,441	$	7,944	$	6,690	$	18,238

Distribution of Financial Guaranty Direct U.S. Residential Mortgage-Backed Securities by Year Issued as of June 30, 2008

Year issued:	Prime First Lien		Prime Closed End Seconds		Prime HELOC		Alt-A First Lien		Subprime First Lien		Total Net Par Outstanding
2004 and prior	$	—	$	—	$	25	$	150	$	516	$	691
2005	194		—		706		557		3,723		5,181
2006	369		—		—		634		1,900		2,903
2007	1,134		466		710		6,603		550		9,462
2008 YTD	—		—		—		—		—		—
	$	1,697	$	466	$	1,441	$	7,944	$	6,690	$	18,238

1. Assured’s internal rating.  Assured’s scale is comparable to that of the nationally recognized rating agencies.  The super senior category, which is not generally used by rating agencies, is used by the Company in instances where Assured’s AAA-rated exposure has additional credit enhancement due to either (1) the existence of another security rated AAA that is subordinated to Assured’s exposure or (2) Assured’s exposure benefits 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’s attachment point to be materially above the AAA attachment point.

6

Assured Guaranty Ltd.

Residential Mortgage-Backed Securities Profile (4 of 4)

(dollars in millions)

Distribution of Financial Guaranty Direct U.S. Residential Mortgage-Backed Securities Issued January 1, 2005 or Later by Exposure Type, Average Pool Factor, Subordination, Cumulative Losses and 60+ Day Delinquincies as of June 30, 2008 (1)

U.S. Prime First Lien

Year issued:	Net Par Outstanding		Pool Factor(2)		Subordination (3)		Cumulative Losses (4)		60+ Day Delinquencies (5)
2005	$	194	77.8	%	3.3	%	0.03	%	1.4	%
2006	369		73.2	%	4.2	%	0.0	%	2.9	%
2007	1,134		91.2	%	9.2	%	0.0	%	1.7	%
2008	—		N/A		N/A		N/A		N/A
	$	1,697	85.8	%	7.5	%	0.004	%	1.9	%

U.S. Prime CES

Year issued:	Net Par Outstanding		Pool Factor(2)		Subordination (3)		Cumulative Losses (4)		60+ Day Delinquencies (5)
2005	$	—	N/A		N/A		N/A		N/A
2006	—		N/A		N/A		N/A		N/A
2007	466		82.9	%	32.9	%	10.6	%	12.8	%
2008	—		N/A		N/A		N/A		N/A
	$	466	82.9	%	32.9	%	10.6	%	12.8	%

U.S. Prime HELOC

Year issued:	Net Par Outstanding		Pool Factor(2)		Subordination (3)		Cumulative Losses (4)		60+ Day Delinquencies (5)
2005	$	706	39.1	%	0.6	%	6.3	%	12.9	%
2006	—		N/A		N/A		N/A		N/A
2007	710		79.7	%	0.0	%	6.2	%	8.2	%
2008	—		N/A		N/A		N/A		N/A
	$	1,416	59.4	%	0.3	%	6.2	%	10.5	%

U.S. Alt-A First Lien

Year issued:	Net Par Outstanding		Pool Factor(2)		Subordination (3)		Cumulative Losses (4)		60+ Day Delinquencies (5)
2005	$	557	57.6	%	13.4	%	0.3	%	8.2	%
2006	634		75.1	%	31.6	%	0.4	%	18.6	%
2007	6,603		83.5	%	20.5	%	0.2	%	11.1	%
2008	—		N/A		N/A		N/A		N/A
	$	7,794	81.0	%	20.9	%	0.2	%	11.5	%

U.S. Subprime First Lien

Year issued:	Net Par Outstanding		Pool Factor(2)		Subordination (3)		Cumulative Losses (4)		60+ Day Delinquencies (5)
2005	$	3,723	39.3	%	59.9	%	3.2	%	40.9	%
2006	1,900		57.4	%	41.3	%	3.8	%	39.0	%
2007	550		63.1	%	41.5	%	4.0	%	40.0	%
2008	—		N/A		N/A		N/A		N/A
	$	6,174	47.0	%	52.5	%	3.4	%	40.2	%

U.S. CMBS

Year issued:	Net Par Outstanding		Pool Factor(2)		Subordination (3)		Cumulative Losses (4)		60+ Day Delinquencies (5)
2005	$	3,429	97.2	%	28.8	%	0.0	%	0.1	%
2006	1,418		98.6	%	30.5	%	0.0	%	0.1	%
2007	554		92.9	%	19.2	%	0.0	%	0.9	%
2008	—		N/A		N/A		N/A		N/A
	$	5,401	97.2	%	28.3	%	0.0	%	0.1	%

1.  For this release, net par outstanding is based on values as of June 2008.  Pool factor, subordination, cumulative losses and delinquency data is based on June 2008 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 net par outstanding divided by the original net par outstanding of the transactions at inception.

3. Represents the sum of subordinate tranches and over-collateralization 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 also includes all loans that are in foreclosure, bankruptcy or REO divided by net par outstanding.

7

Assured Guaranty Ltd.

Credit Derivative Exposure Profile

(dollars in millions)

Financial Guaranty Direct Distribution of Credit Derivative Exposure by Rating

	June 30, 2008				December 31, 2007
	Net Par				Net Par
Ratings (1):	Outstanding		%		Outstanding		%
Super senior	$	40,880	53.0	%	$	34,328	49.1	%
AAA	29,144		37.8	%	33,318		47.6	%
AA	4,567		5.9	%	1,796		2.6	%
A	1,732		2.2	%	101		0.1	%
BBB	765		1.0	%	368		0.5	%
Below investment grade	100		0.1	%	26		—
Total exposures	$	77,186	100.0	%	$	69,936	100.0	%

Financial Guaranty Direct Distribution of Credit Derivative Exposure by Sector and Average Rating

	June 30, 2008			December 31, 2007
Sector:	Net Par Outstanding		Average Rating (1)	Net Par Outstanding		Average Rating (1)
U.S. public finance
General obligation	$	429	AAA	$	431	AAA
Tax backed	69		BBB+	70		AAA
Investor-owned utilities	39		AAA	39		AAA
Municipal utilities	26		AAA	26		AAA
Total U.S. public finance	$	562	AA+	$	565	AAA
U.S. structured finance
Pooled corporate obligations	$	29,396	AAA	$	28,229	AAA
Prime mortgage-backed and home equity	7,412		AAA	4,901		AAA
Subprime mortgage-backed and home equity	5,759		AA+	5,843		AAA
Commercial mortgage-backed securities	5,381		AAA	5,391		AAA
Commercial receivables	1,625		AA+	1,584		AAA
Consumer receivables	645		AAA	695		AA+
Structured credit	352		AA+	346		AAA
Insurance securitizations	100		AA	108		AAA
Other structured finance	49		AA	643		AAA
Total U.S. structured finance	$	50,719	AAA	$	47,740	AAA
International
Mortgage-backed and home equity	$	9,086	AAA	$	6,032	AAA
Pooled corporate obligations	8,056		AAA	6,984		AAA
Infrastructure and pooled Infrastructure	6,390		AAA	6,404		AAA
Regulated utilities	786		AA-	462		AAA
Commercial mortgage-backed securities	644		AAA	832		AAA
Future flow	153		A-	173		A+
Insurance securitizations	41		BB	41		BBB-
Public finance	8		AAA	9		AAA
Commercial receivables	—		—	—		—
Consumer receivables	—		—	—		—
Structured credit	—		—	—		—
Other international structured finance	741		AAA	695		AAA
Total international	$	25,905	AAA	$	21,631	AAA
Total exposures	$	77,186	AAA	$	69,936	AAA

(1) Assured’s internal rating.  Assured’s scale is comparable to that of the nationally recognized rating agencies.  The super senior category, which is not generally used by rating agencies, is used by the Company in instances where Assured’s AAA-rated exposure has additional credit enhancement due to either (1) the existence of another security rated AAA that is subordinated to Assured’s exposure or (2) Assured’s exposure benefits 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’s attachment point to be materially above the AAA attachment point.

Please refer to Glossary for description of selected types of U.S. public finance, U.S. structured finance and International obligations that the Company insures and reinsures.

8

Assured Guaranty Ltd.

CDOs of ABS Profile

(dollars in millions)

Financial Guaranty Direct Collateralized Debt Obligations of Asset-Backed Securities (CDOs of ABS)(1) Net Par Outstanding by Type of CDO, by Year Insured and by Collateral:

				Type of Collateral as a Percent of Total Pool														Ratings as of June 30, 2008
Year Insured	Legal Final Maturity(2)	Net Par Outstanding		ABS		RMBS (Includes Subprime)		Comm. MBS (CMBS)(3)		CDOs of Investment Grade Corporate		CDOs of ABS		Total Collateral Pool		U.S. Subprime RMBS		S&P	Moody’s	Original AAA Sub- ordination		Original Sub- ordination Below Assured		Current Sub- ordination Below Assured
CDOs of Mezzanine ABS(3):
2001	2017	$	113.6	0	%	0	%	100	%	0	%	0	%	100	%	0	%	AAA	Aaa	25.1	%	25.1	%	30.3	%
2001	2016	59.8		0	%	0	%	100	%	0	%	0	%	100	%	0	%	AAA	Aaa	28.1	%	28.1	%	40.1	%
2002	2017	124.9		0	%	0	%	100	%	0	%	0	%	100	%	0	%	AAA	Aaa	24.6	%	24.6	%	34.9	%
2002	2017	107.1		0	%	0	%	100	%	0	%	0	%	100	%	0	%	AAA	Aaa	22.1	%	22.1	%	28.6	%
2002	2017	88.7		0	%	0	%	100	%	0	%	0	%	100	%	0	%	AAA	Aaa	35.0	%	35.0	%	48.0	%
2002	2017	71.2		0	%	0	%	100	%	0	%	0	%	100	%	0	%	AAA	Aaa	24.0	%	24.0	%	32.2	%
2003	2018	124.1		0	%	0	%	100	%	0	%	0	%	100	%	0	%	AAA	Aaa	20.0	%	20.0	%	25.1	%
2003	2038	75.7		0	%	0	%	100	%	0	%	0	%	100	%	0	%	AAA	Aaa	23.0	%	38.0	%	47.6	%
2003	2018	49.9		0	%	0	%	100	%	0	%	0	%	100	%	0	%	AAA	Aaa	63.0	%	63.0	%	66.3	%
	Subtotal:	$	815.0	0	%	0	%	100	%	0	%	0	%	100	%	0	%	AAA	Aaa	27.2	%	28.6	%	36.6	%
CDOs of High Grade ABS(4):
No CDO of ABS business written
CDOs of Pooled AAA ABS(5):
2003	2010	741.1		35	%	34	%	26	%	5	%	0	%	100	%	0	%	AAA	Aaa	0.0	%	12.5	%	12.5	%
	Subtotal:	$	741.1	35	%	34	%	26	%	5	%	0	%	100	%	0	%	AAA	Aaa	0.0	%	12.5	%	12.5	%
	Total:	$	1,556.0	17	%	16	%	65	%	2	%	0	%	100	%	0	%	AAA	Aaa	14.2	%	20.9	%	25.1	%

(1) A “CDO of ABS” is a collateralized debt obligation (CDO) transaction whose collateral pool consists primarily of asset-backed securities (ABS), including mortgage-backed securities (MBS).  ABS transactions securities generally represent an ownership interest in a trust that contains collateral supporting the notes.  Those interests are divided into several tranches that can have varying levels of subordination, credit protection triggers and credit ratings. 

(2) “Legal Final Maturity” represents the final date for payment specified in the transaction documents and does not take into account prepayments that shorten the expected maturity and weighted average life.

(3) “CDOs of Mezzanine ABS” is a market term that refers to transactions where the underlying collateral at issuance is comprised primarily of mezzanine tranches rated BBB or lower.  The collateral underlying Assured’s exposure to CDOs of Mezzanine ABS is comprised of mezzanine tranches of CMBS transactions and senior unsecured debt issued by commercial property REITs.  The transactions to which Assured has exposure are static pools rather than actively managed transactions, and the collateral in these static pools was originated primarily in the period from 1997-2003. The collateral underlying Assured’s exposure to CDOs of Mezzanine ABS had weighted average ratings, based on rating information as of June 30, 2008, as follows: 18% AAA, 7% AA, 12% A, 45% BBB and 18% below investment grade (BIG).

(4) “CDOs of High Grade ABS” is a market term that refers to transactions where the underlying collateral at issuance is comprised of mezzanine tranches rated single-A or higher.

(5) “CDOs of Pooled AAA ABS” is a market term that refers to transactions where the underlying collateral at issuance is comprised of the senior-most AAA rated securities.  Assured’s exposure to CDOs of Pooled AAA ABS was rated, based on rating information as of June 30, 2008: 100% AAA.

9

Assured Guaranty Ltd.

Non-Investment Grade Exposures

As of June 30, 2008

(dollars in millions)

	Weighted Average	Net Par		Average
Non-Investment Grade Exposures by Asset Type:	Remaining Life	Outstanding		Rating (1)
U.S. public finance
Municipal utilities	27.0	$	571	CCC
Healthcare	16.2	112		BB-
Tax backed	16.0	43		BB
General obligation	9.1	25		BB
Transportation	15.3	24		C
Housing	13.9	4		B
Higher education	12.4	1		BB+
Investor-owned utilities	9.0	0		BB
Total U.S. public finance	23.8	$	780	CCC+
U.S. structured finance
Prime mortgage-backed and home equity	7.0	$	2,023	B
Subprime mortgage-backed and home equity	10.1	190		B
Commercial receivables	12.5	20		B
Pooled corporate obligations	2.6	18		B-
Other structured finance	16.5	17		B
Total U.S. structured finance	7.3	$	2,268	B
International
Insurance securitizations	12.3	$	923	BB
Infrastructure and pooled infrastructure	10.1	88		B
Total international	12.1	$	1,011	BB
Total non-investment grade exposures	11.7	4,060		B

Top Ten Non-Investment Grade Exposures as of June 30, 2008

Name or Description	Segment	Weighted Average Remaining Life	Net Par Outstanding		Average Rating (1)
CWHEQ Revolving Home Equity Loan Trust 2007-D	Direct	6.4	$	679	BB
Countrywide Home Equity Loan Trust 2005-J Class 1 & 2	Direct	5.4	608		B
Jefferson County Alabama Sewer	Reinsurance	27.3	560		CCC
Ballantyne Re PLC Class A-2 Floating Rate Notes	Direct	13.8	500		BB
Orkney Re II, PLC	Direct	10.6	423		BB
SACO I Trust 2005-GP1	Direct	2.8	98		CCC
American Home Mortgage Assets Trust 2007-3	Direct	2.8	97		CCC
Morgan Stanley Mortgage Loan Trust 2006-5AR	Direct	5.1	93		BB
Trover Clinic Foundation	Direct	18.9	77		BB
Domestic Residential Mortgage-backed HELOC transaction	Reinsurance	6.0	73		CCC
Total		11.6	$	3,209	B+

(1). Assured’s internal rating.  Assured’s scale is comparable to that of the nationally recognized rating agencies.  The super senior category, which is not generally used by rating agencies, is used by the Company in instances where Assured’s AAA-rated exposure has additional credit enhancement due to either (1) the existence of another security rated AAA that is subordinated to Assured’s exposure or (2) Assured’s exposure benefits 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’s attachment point to be materially above the AAA attachment point.

Please refer to Glossary for description of selected types of U.S. public finance, U.S. structured finance and International obligations that the Company insures and reinsures.

10

Assured Guaranty Ltd.

Closely Monitored Credits (“CMC”)

(dollars in millions)

Net Par Outstanding by Credit Monitoring Category (1)

	June 30, 2008
Description:	Net Par Outstanding		%		Number of Credits in Category
Fundamentally sound risk	$	226,254	98.2	%
Closely monitored credits:
Category 1	1,460		0.6	%	32
Category 2	1,972		0.9	%	18
Category 3	661		0.3	%	41
Category 4	20		—		16
CMC Total	4,114		1.8	%	107
Other below investment grade risk	34		—		52
Total	$	230,402	100.0	%

	December 31, 2007
Description:	Net Par Outstanding		%		Number of Credits in Category
Fundamentally sound risk	$	198,133	98.9	%
Closely monitored credits:
Category 1	1,288		0.6	%	36
Category 2	743		0.4	%	12
Category 3	71		—		16
Category 4	24		—		16
CMC Total	2,126		1.1	%	80
Other below investment grade risk	20		—		46
Total	$	200,279	100.0	%

(1).  Assured’s surveillance department is responsible for monitoring the Company’s portfolio of credits and maintains a list of closely monitored credits. The closely monitored credits are divided into four categories: Category 1 (low priority; fundamentally sound, greater than normal risk); Category 2 (medium priority; weakening credit profile, may result in loss); Category 3 (high priority; claim/default probable, case reserve established); Category 4 (claim paid, case reserve established for future payments). The closely monitored credits include all below investment grade (BIG) exposures where there is a material amount of exposure (generally greater than $10.0 million) or a material risk of the Company incurring a loss greater than $0.5 million. The closely monitored credits also include investment grade (IG) risks where credit quality is deteriorating and where, in the view of the Company, there is significant potential that the risk quality will fall below investment grade.

11

Assured Guaranty Ltd.

Largest Exposures by Sector (Part 1 of 4)

As of June 30, 2008

(dollars in millions)

25 Largest U.S. Public Finance Exposures

	Net Par
Credit Name:	Outstanding		Rating(1)
State of California General Obligation & Leases	$	1,568	A+
State of New Jersey General Obligation & Leases	1,183		AA-
New York City General Obligation & Leases	1,099		A+
City of Chicago General Obligation & Leases	996		AA-
Los Angeles Unified School District	906		AA
State of New York General Obligation & Leases	857		A+
San Francisco Airport Commission	847		A
State of Washington General Obligation	836		AA
Denver International Airport System	795		BBB-
Commonwealth of Puerto Rico General Obligation & Leases	794		BBB-
Commonwealth of Massachusetts General Obligation & Bay Transportation	793		A
Miami-Dade County Florida Aviation Authority	769		A
Florida State General Obligation	680		AA
Port Authority of New York & New Jersey	651		AA-
Metropolitan Transportation Authority (New York) - Transportation Revenue	651		A
District of Columbia General Obligation	635		A
Puerto Rico Highway & Transportation Authority	628		BBB
Michigan State General Obligation	626		AA+
Hawaii State General Obligation	621		AA-
Long Island Power Authority	609		A-
Pennsylvania State Turnpike Commission	608		A+
New York City Municipal Water Finance Authority	586		AA
Jefferson County, Alabama Sewer Enterprise	560		CCC
Miami-Dade County School Board	548		A
Chicago Public Building Commission - Chicago Board of Education	533		A
Total top 25 U.S. public finance exposures	$	19,380

10 Largest Healthcare Exposures

	Net Par
Credit Name:	Outstanding		Rating(1)	State
Iowa Health System	$	418	AA-	IA
Methodist Health System	305		A-	TN
Essentia Health	262		A-	MN
Integris Health, Inc.	258		AA	OK
Catholic Healthcare West	235		A	CA
Children’s Memorial Hospital	215		A-	IL
Meridian Health System Obligated Group	213		A-	NJ
Hackensack Medical Center	207		A-	NJ
Lifebridge Health	207		A	MD
Centracare Health System	196		A	MN
Total top 10 healthcare exposures	$	2,514

(1). Assured’s internal rating. Assured’s scale is comparable to that of the nationally recognized rating agencies. The super senior category, which is not generally used by rating agencies, is used by the Company in instances where Assured’s AAA-rated exposure has additional credit enhancement due to either (1) the existence of another security rated AAA that is subordinated to Assured’s exposure or (2) Assured’s exposure benefits 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’s attachment point to be materially above the AAA attachment point.

12

Assured Guaranty Ltd.

Largest Exposures by Sector (Part 2 of 4)

As of June 30, 2008

(dollars in millions)

50 Largest U.S. Structured Finance Exposures

	Net Par
Credit Name:	Outstanding		Rating(1)
Deutsche Alt-A Securities Mortgage Loan 2007-2	$	1,071	AAA
Discover Card Master Trust I Series A	1,000		AAA / Super senior
Private - CDO	998		AAA
Field Point III & IV, Limited	810		AA-
Prospect Funding I LLC	775		AAA
Goldentree Credit Opportunities Financing I	764		AAA
Ares Enhanced Credit Opportunities Fund	750		AAA
Private - CDO	716		AAA
Chrysler Retail Auto Loan Receivables Class-A	704		A
MortgageIt Securities Corp. Mortgage Loan 2007-2	696		AAA / Super senior
CWHEQ Revolving Home Equity Loan Trust 2007-D	679		BB
Field Point I & II, Limited	672		AA-
Private RMBS Re-Remic	668		AAA / Super senior
Private - CDO	660		AAA
Applebee’s Enterprises LLC	645		BBB-
Private RMBS Re-Remic	623		AAA / Super senior
Sandelman Finance 2006-1 Limited	623		AA
Citibank Omni Master Trust	614		AAA / Super senior
Countrywide Home Equity Loan Trust 2005-J Class 1 & 2	608		B
Private RMBS Re-Remic	607		AAA / Super senior
Private RMBS Re-Remic	604		AAA / Super senior
Private Structured Credit	600		BBB+
Private - CDO	551		AAA / Super senior
Chrysler Retail Auto Loan Receivables Class A	550		AAA
Deutsche Alt-A Securities Mortgage Loan 2007-3	535		AAA / Super senior
Liberty CLO Ltd	530		AAA / Super senior
Aaa Trust 2007-2	506		AAA / Super senior
Private RMBS Transaction	497		A-
LIICA Holdings, LLC	495		AA
Private RMBS Re-Remic	486		AAA / Super senior
Private - CDO	486		AAA
Impac CMB Trust Series 2007-A	451		A+
SLM Private Credit Student Loan Trust 2007	450		AAA
Synthetic CDO - IG Corporate	438		AAA / Super senior
Synthetic CDO - IG Corporate	438		AAA / Super senior
Synthetic CDO - IG Corporate	438		AAA / Super senior
McDonnell Loan Opportunity Fund II	400		AAA
Private RMBS Re-Remic	400		AAA / Super senior
SLM Student Loan Trust 2007	392		AAA
Wasatch CLO, Ltd.	389		AAA
Daimler Chrysler 2007-A Lease Trust	387		AAA
Newstar Credit Opportunities Funding II	380		AA
Southfork CLO Ltd. Series 2005-A1 Class A1G	380		AAA / Super senior
Cent CDO XI Limited	373		AAA
SLM Private Credit Student Loan Trust 2006	356		AAA
ACS 2007-1 Pass Through Trust G-1	355		A
Private - CDO	338		AAA / Super senior
Synthetic CDO - IG Corporate	335		AAA / Super senior
United Commercial Mortgage Securities 2007-1	328		A
Comstock Funding Ltd	326		AAA
Total top 50 U.S. structured finance exposures	$	27,876

(1). Assured’s internal rating.  Assured’s scale is comparable to that of the nationally recognized rating agencies.  The super senior category, which is not generally used by rating agencies, is used by the Company in instances where Assured’s AAA-rated exposure has additional credit enhancement due to either (1) the existence of another security rated AAA that is subordinated to Assured’s exposure or (2) Assured’s exposure benefits 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’s attachment point to be materially above the AAA attachment point.

13

Assured Guaranty Ltd.

Largest Exposures by Sector (Part 3 of 4)

As of June 30, 2008

(dollars in millions)

25 Largest International Exposures

	Net Par
Credit Name:	Outstanding		Rating(1)
Prime European RMBS	$	1,591	AAA / Super senior
Permanent Master Issuer PLC	1,453		AAA
Arkle Master Issuer PLC	1,450		AAA
Gracechurch Mortgage Financing PLC	1,447		AAA
Granite Master Issuer PLC	1,255		AAA
Graphite Mortgages PLC Provide Graphite 2005-2	1,235		AAA / Super senior
Essential Public Infrastructure Capital II	1,139		AAA / Super senior
Essential Public Infrastructure Capital III	1,115		AAA / Super senior
International Infrastructure Pool	844		AAA / Super senior
International Infrastructure Pool	844		AAA / Super senior
International Infrastructure Pool	844		AAA / Super senior
Taberna Europe CDO II PLC	803		AAA / Super senior
Paragon Mortgages (No.13) PLC	768		AAA
Synthetic CDO - IG ABS	741		AAA / Super senior
Stichting Profile Securitisation I	675		AAA / Super senior
United Utilities Water PLC	674		A
Global Senior Loan Index Fund 1 B.V.	605		AAA / Super senior
Nemus Funding No.1 PLC	603		AAA / Super senior
National Grid Gas PLC	598		A
Harvest CLO III	543		AAA
Northumbrian Water PLC	542		BBB+
National Grid Electricity Transmission PLC	539		A
Taberna Europe CDO I PLC	506		AAA / Super senior
Ballantyne Re Plc Class A-2 Floating Rate Notes	500		BB
RMF Euro CDO V PLC	498		AAA
Total top 25 international exposures	$	21,812

(1). Assured’s internal rating.  Assured’s scale is comparable to that of the nationally recognized rating agencies.  The super senior category, which is not generally used by rating agencies, is used by the Company in instances where Assured’s AAA-rated exposure has additional credit enhancement due to either (1) the existence of another security rated AAA that is subordinated to Assured’s exposure or (2) Assured’s exposure benefits 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’s attachment point to be materially above the AAA attachment point.

14

Assured Guaranty Ltd.

Largest Exposures by Sector (Part 4 of 4)

As of June 30, 2008

(dollars in millions)

10 Largest Residential Mortgage Servicers Exposures

Servicer:	Net Par Outstanding
Countrywide Home Loans, Inc.	$	4,670
Residential Funding Corporation	2,966
Northern Rock PLC	2,489
Wells Fargo Home Mortgage, Inc.	2,486
European Mortgage Servicer (Private Transaction)	1,591
Halifax PLC	1,458
Cheltenham & Gloucester PLC	1,450
Barclays Bank PLC	1,447
EMC Mortgage Corp	784
Paragon Finance PLC	768
Total top 10 residential mortgage servicers exposures	$	20,109

15

Glossary

Below are the brief descriptions of selected types of U.S. public finance, U.S. structured finance and International obligations that the Company insures and reinsures. For a more complete description, please refer to Assured Guaranty Ltd.’s 10-K report.

Other public finance: primarily includes government insured student loans, government-sponsored project finance and structured municipal which includes excess of loss reinsurance on portfolios of municipal credits.

Pooled corporate obligations are structured financings backed by a pool of debt obligations. These financings are typically structured in multiple tranches (layers) from equity (first loss) through super senior (high excess). Losses on defaulted pool assets are allocated successively first to the equity tranche then to higher rated tranches.

Mortgage-backed and home equity: includes individual and repackaged securities backed by either prime, Alt-A, or subprime first and second lien mortgages.

Consumer receivables: principally includes auto loan receivables and credit card receivables.

Commercial mortgage-backed securities: includes individual and repackaged securities backed by commercial mortgage-backed securities.

Commercial receivables: includes equipment loans or leases, fleet auto financings and franchise loans.

Structured credit: includes whole business securitizations and intellectual property securitizations. Whole business securitizations are obligations 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.

Other structured finance: includes, manufactured housing, collateralized debt obligations of asset-backed securities and other securitizations not included in other asset classes.

	Contacts:
	Equity Investors and Media
	Sabra Purtill
	Managing Director, Global Communications
	and Investor Relations
	(212) 408-6044
	spurtill@assuredguaranty.com
	Ross Aron
	Associate, Investor Relations
	(212) 261-5509
	raron@assuredguaranty.com
Assured Guaranty Ltd.	Fixed Income Investors
30 Woodbourne Avenue	Michael Walker
Hamilton HM 08	Director, Fixed Income Investor Relations
Bermuda	(212) 261-5575
www.assuredguaranty.com	mwalker@assuredguaranty.com
	Media
	Ashweeta Durani
	Vice President, Global Communications
	and Media Relations
	(212) 408-6042
	adurani@assuredguaranty.com