MBIA Inc., Armonk, N.Y., has sought to stave off negative rating pressure related to its mortgage-related asset-backed securities insurance exposure with a $1 billion surplus note offering and by cutting its dividend. Combined news reports also indicate that MBIA is facing inquiries by federal securities and state insurance regulators related to the company's reports to investors about its mortgage-related risks. The company reaffirmed previous estimates for the fourth quarter indicating that it will take a $737 million loss for the period that is "principally related" to "insured securitizations of prime home equity lines of credit and prime closed-end second-lien mortgages."
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