Assured Guaranty 8K Reports 12% Increase in First Quarter 2007 Net Income | AGO 4 May 07

Exhibit 99.2

Assured Guaranty Ltd.

Financial Supplement

First Quarter 2007

March 31, 2007

		Table of Contents				Page
		Assured Guaranty Ltd.
		Selected Financial Highlights				1
		Consolidated GAAP Income Statements				2
		Consolidated GAAP Balance Sheets				3
		Segment Consolidation				4
		Financial Guaranty Direct Segment				5-6
		Financial Guaranty Reinsurance Segment				7-8
		Mortgage Guaranty Segment				9
		Other Segment				10
		Loss and LAE Reserves and Analysis of Net Claims Paid				11
		Investment Portfolio				12
		Estimated Net Exposure Amortization				13
		Estimated Net Unearned Premium Amortization and Estimated Future Installment Premiums				14
		Financial Guaranty Profile				15-21
		Non-Investment Grade Exposures				22
		Closely Monitored Credits				23
		Largest Exposures by Sector				24-27
		Consolidated Capital and Claims Paying Resources				28
		Summary Financial and Statistical Data				29

This supplement should be read in conjunction with documents filed by Assured Guaranty Ltd. (the “Company”) with the Securities and Exchange Commission, including our 10-Q’s dated March 31, 2006, June 30, 2006, September 30, 2006 and our 10-K for the year ended December 31, 2006.

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, PVP, net present value of estimated future installment premiums in force, total estimated net future premium earnings, and statements regarding ratings improvement 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 in the world’s financial and capital markets, more severe or frequent losses associated with products affecting the adequacy of the Company’s loss reserve, 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.

Selected Financial Highlights

(dollars and shares in millions except per share amounts)

	Quarter Ended						% Change
	March 31,						versus
	2007			2006			1Q-06
Gross written premiums (GWP) analysis:
Present value of GWP (PVP)(a)	$	106.7		$	61.8		73	%
Less: Financial guaranty installment premium PVP	77.2			44.2			75	%
Upfront financial guaranty GWP	29.5			17.6			68	%
Plus: Financial guaranty installment GWP	38.7			31.4			23	%
Financial guaranty GWP	68.2			49.0			39	%
Plus: Mortgage guaranty segment GWP	1.0			2.6			(62	)%
Plus: Other segment GWP	3.3			3.8			(13	)%
Total GWP	$	72.5		$	55.4		31	%

Net income	$	39.0		$	34.9		12	%
Less: After-tax realized losses on investments	(0.2		)	(0.6		)	(67	)%
Less: After-tax unrealized losses on derivatives	(6.9		)	(0.1		)	NM
Operating income(b)	$	46.1		$	35.6		29	%

Book value	$	1,694.3		$	1,673.4		1	%
Plus: Net unearned premium reserve, after tax(1)	570.7			452.1			26	%
Plus: Net present value of estimate future installment premiums in-force, after tax(d)	456.6			340.6			34	%
Less: Deferred acquisition costs (DAC), after tax	194.6			167.2			16	%
Adjusted book value(c)	$	2,527.0		$	2,298.9		10	%

ROE, excluding AOCI	9.6		%	8.5		%
Less: After-tax realized losses on investments	(0.1		)%	(0.2		)%
Less: After-tax unrealized losses on derivatives	(1.7		)%	—
Operating ROE, excluding AOCI(b)	11.3		%	8.7		%

Per diluted share:
Net income	$	0.57		$	0.47		21	%
Less: After-tax realized losses on investments	—			(0.01		)	—
Less: After-tax unrealized losses on derivatives	(0.10		)	—			—
Operating income(b)	$	0.67		$	0.48		40	%

Book value	$	25.04		$	22.67		10	%
Plus: Net unearned premium reserve, after tax (1)	8.43			6.13			38	%
Plus: Net present value of estimate future installment premiums in-force, after tax(d)	6.75			4.62			46	%
Less: DAC, after tax	2.88			2.27			27	%
Adjusted book value(c)	$	37.34		$	31.15		20	%

Additional information:
Shares outstanding at the end of period(2)	67.7			73.8			(8	)%
Weighted average basic shares outstanding	67.6			73.8			(8	)%
Weighted average diluted shares outstanding	68.8			74.9			(8	)%

Consolidated net debt service outstanding	$	186,852		$	150,631		24	%
Consolidated net par outstanding	138,853			106,917			30	%
Consolidated claims-paying resources	3,466			3,125			11	%
Gross par written	10,362			8,129			27	%

1. Unearned premium reserve (UPR) less pre-paid reinsurance premiums, after tax.

2. 3/31/07 shares outstanding excludes 1.4 million of nonvested restricted stock and 3/31/06 shares outstanding excludes 1.4 million of nonvested restricted stock, which is considered not issued under FAS 123R.

Note: Please refer to endnotes for explanation of non-GAAP financial measures [PVP (a), operating income and operating ROE (b), adjusted book value (c), and net present value of estimated future installment premiums in force (d)].

NM = Not meaningful

Assured Guaranty Ltd.

Consolidated GAAP Income Statements

(dollars and shares in millions, except per share amounts)

	Quarter Ended						% Change
	March 31,						versus
	2007			2006			1Q-06

Revenues
Gross written premiums	$	72.5		$	55.4		31	%

Net written premiums	68.4			50.8			35	%

Net earned premiums	53.9			48.1			12	%
Net investment income	31.5			26.2			20	%
Total revenues	85.4			74.3			15	%

Expenses
Loss and loss adjustment expenses	(4.7		)	(0.4		)	NM
Profit commission expense	1.6			1.3			23	%
Acquisition costs	10.8			10.8			0	%
Other operating expenses	20.7			17.2			20	%
Interest and related expenses	6.6			4.0			65	%
Total expenses	35.0			32.9			6	%

Income before provision for income taxes	50.4			41.4			22	%

Total provision for income taxes	4.3			5.8			(26	)%

Operating income(b)	46.1			35.6			29	%

After-tax realized losses on investments	(0.2		)	(0.6		)	(67	)%
After-tax unrealized losses on derivatives	(6.9		)	(0.1		)	NM

Net income	$	39.0		$	34.9		12	%

Per diluted share
Operating income (b)	$	0.67		$	0.48		40	%
After-tax realized losses on investments	—			(0.01		)	—
After-tax unrealized losses on derivatives	(0.10		)	—			—
Net income	$	0.57		$	0.47		21	%

Effect of refundings
Earned premiums from refundings	$	4.9		$	3.6		36	%
Net income effect	$	2.0		$	1.6		25	%
Net income per diluted share effect	$	0.03		$	0.02		50	%

Weighted average shares outstanding
Basic shares outstanding	67.6			73.8			(8	)%
Plus: effect of options	0.6			0.6			0	%
Plus: effect of restricted stock	0.6			0.5			20	%
Diluted shares outstanding	68.8			74.9			(8	)%

Note: Please refer to endnotes for explanation of non-GAAP financial measures [PVP (a), operating income and operating ROE (b), and adjusted book value (c)].

NM = Not meaningful

Assured Guaranty Ltd.

Consolidated GAAP Balance Sheets

(dollars in millions)

	As of :
	March 31,		December 31,
	2007		2006

Assets
Fixed maturity securities, at fair value	$	2,391.7	$	2,331.1
Short-term investments, at cost which approximates fair value	96.7		134.1
Total investments	2,488.4		2,465.1

Cash and cash equivalents	5.7		4.8
Accrued investment income	23.6		24.2
Deferred acquisition costs	220.4		217.0
Prepaid reinsurance premiums	9.5		7.5
Reinsurance recoverable on ceded losses	10.6		10.9
Premiums receivable	36.2		41.6
Goodwill	85.4		85.4
Unrealized gains on derivative financial instruments	45.6		52.6
Other assets	27.6		26.2
Total assets	$	2,953.1	$	2,935.3

Liabilities and shareholders’ equity
Liabilities
Unearned premium reserves	$	661.0	$	644.5
Reserves for losses and loss adjustment expenses	121.0		120.6
Profit commissions payable	16.8		36.0
Reinsurance balances payable	2.7		7.2
Current income taxes payable	6.5		7.2
Deferred income taxes	21.1		39.9
Funds held by Company under reinsurance contracts	24.7		21.4
Unrealized losses on derivative financial instruments	9.4		6.7
Senior Notes	197.4		197.4
Series A Enhanced Junior Subordinated Debentures	149.7		149.7
Liability for tax basis step-up adjustment	10.5		15.0
Other liabilities	38.0		39.0
Total liabilities	1,258.8		1,284.6

Shareholders’ equity
Common stock	0.7		0.7
Additional paid-in capital	716.6		711.3
Retained earnings	935.7		896.9
Accumulated other comprehensive income	41.3		41.9
Total shareholders’ equity	1,694.3		1,650.8

Total liabilities and shareholders’ equity	$	2,953.1	$	2,935.3

Assured Guaranty Ltd.

Segment Consolidation

(dollars in millions)

	Quarter Ended March 31, 2007
	Financial			Financial						Total
	Guaranty			Guaranty			Mortgage			Financial
	Direct			Reinsurance(1)			Guaranty			Guaranty			Other			Total
Present value of financial guaranty gross written premiums (PVP):(a)
U.S. public finance	$	8.8		$	4.7		$	—		$	13.6					$	13.6
U.S. structured finance	44.9			3.9			—			48.9						48.9
International	29.9			14.4			—			44.3						44.3
Total PVP	$	83.7		$	23.1		$	—		$	106.7					$	106.7

Income statement:
Gross written premiums	$	49.5		$	18.7		$	1.0		$	69.2		$	3.3		$	72.5
Net written premiums	48.9			18.5			1.0			68.4			—			68.4

Net earned premiums	28.9			21.9			3.1			53.9			—			53.9

Loss and loss adjustment expenses	1.2			(4.8		)	0.1			(3.5		)	(1.3		)	(4.7		)
Profit commission expense	—			0.9			0.7			1.6			—			1.6
Acquisition costs	3.0			7.7			0.2			10.8			—			10.8
Operating expenses	15.9			4.4			0.3			20.7			—			20.7
Total underwriting expenses	$	20.1		$	8.3		$	1.3		$	29.7		$	(1.3	)	$	28.5

Underwriting gain	$	8.8		$	13.6		$	1.8		$	24.2		$	1.3		$	25.5

Loss and loss adjustment expense ratio	4.2		%	(21.9		)%	3.3		%	(6.5		)%				(8.8		)%
Expense ratio	65.4		%	59.6		%	37.8		%	61.5		%				61.5		%
Combined ratio	69.6		%	37.7		%	41.1		%	55.0		%				52.7		%

	Quarter Ended March 31, 2006
	Financial			Financial						Total
	Guaranty			Guaranty			Mortgage			Financial
	Direct			Reinsurance(1)			Guaranty			Guaranty			Other			Total
PVP:
U.S. public finance	$	8.5		$	8.5		$	—		$	16.9					$	16.9
U.S. structured finance	27.6			3.4			—			30.9						30.9
International	5.6			8.3			—			13.9						13.9
Total PVP	$	41.6		$	20.1		$	—		$	61.8					$	61.8

Income statement:
Gross written premiums	$	30.2		$	18.8		$	2.6		$	51.6		$	3.8		$	55.4
Net written premiums	29.7			18.5			2.6			50.8			—			50.8

Net earned premiums	20.7			23.3			4.2			48.1			—			48.1

Loss and loss adjustment expenses	(1.8		)	2.8			(0.2		)	0.8			(1.2		)	(0.4		)
Profit commission expense	—			0.4			0.9			1.3			—			1.3
Acquisition costs	1.8			8.7			0.3			10.8			—			10.8
Operating expenses	13.4			3.4			0.3			17.2			—			17.2
Total underwriting expenses	$	13.5		$	15.3		$	1.3		$	30.2		$	(1.2	)	$	29.0

Underwriting gain	$	7.2		$	8.0		$	2.8		$	18.0		$	1.2		$	19.2

Loss and loss adjustment expense ratio	(8.7		)%	12.0		%	(3.7		)%	1.8		%				(0.7		)%
Expense ratio	73.8		%	53.6		%	36.1		%	61.1		%				61.1		%
Combined ratio	65.1		%	65.6		%	32.4		%	62.9		%				60.4		%

1. Due to the timing of receiving reports prepared by our ceding companies, present value of financial guaranty gross written premiums (PVP) for installment premiums, par written and par outstanding on treaty business in our Financial Guaranty Reinsurance segment are reported on a one-quarter lag. PVP for installment premiums, par written and par outstanding on facultative business in our Financial Guaranty Reinsurance segment are reported on a current quarter basis effective Q1 2006.

Note: Please refer to endnotes for explanation of non-GAAP financial measures [PVP (a), operating income and operating ROE (b), and adjusted book value (c)].

Assured Guaranty Ltd.

Financial Guaranty Direct Segment (1 of 2)

(dollars in millions)

	1Q-06			2Q-06			3Q-06			4Q-06			1Q-07
Present value of gross written premiums (PVP)(a)	$	41.6		$	98.8		$	90.9		$	70.8		$	83.7
Less: Present value of installment premiums(a)	33.2			53.1			69.4			48.6			63.0
Upfront gross written premiums (GWP)	8.5			45.7			21.5			22.2			20.7
Plus: Installment GWP	21.8			22.7			20.4			26.5			28.8
Financial guaranty direct GWP	$	30.2		$	68.4		$	41.9		$	48.7		$	49.5

Income statement:
Gross written premiums	$	30.2		$	68.4		$	41.9		$	48.7		$	49.5
Net written premiums	29.7			67.8			41.5			48.0			48.9

Net earned premiums:
Scheduled net earned premiums
U.S. public finance	0.9			1.0			1.0			1.0			1.3
U.S. structured finance	18.6			18.8			18.1			19.8			21.3
International	1.2			1.4			2.7			5.3			4.6
Total scheduled net earned premiums	20.7			21.2			21.8			26.0			27.2
Net earned premiums from refundings	—			—			—			—			1.7
Total net earned premiums	20.7			21.2			21.8			26.0			28.9

Loss and loss adjustment expenses:
Case	(2.0		)	(0.4		)	(0.3		)	0.9			0.2
Portfolio	0.2			(2.1		)	—			1.7			1.0
Total loss and loss adjustment expenses	(1.8		)	(2.5		)	(0.3		)	2.6			1.2
Profit commission expense	—			—			—			—			—
Acquisition costs	1.8			2.3			2.1		��	2.2			3.0
Operating expenses	13.4			12.0			12.2			14.7			15.9
Total expenses	$	13.5		$	11.8		$	14.0		$	19.5		$	20.1

Underwriting gain	$	7.2		$	9.4		$	7.7		$	6.5		$	8.8

Loss and loss adjustment expense ratio	(8.7		)%	(11.7		)%	(1.3		)%	10.0		%	4.2		%
Expense ratio	73.8		%	67.4		%	65.7		%	65.1		%	65.4		%
Combined ratio	65.1		%	55.7		%	64.4		%	75.1		%	69.6		%

Assured Guaranty Ltd.

Financial Guaranty Direct Segment (2 of 2)

(dollars in millions)

	1Q-06		2Q-06		3Q-06		4Q-06		1Q-07
PVP (a):
U.S. public finance	$	8.5	$	6.0	$	8.2	$	13.0	$	8.8
U.S. structured finance	27.6		41.0		45.7		32.5		44.9
International	5.6		51.8		36.9		25.3		29.9
Total	$	41.6	$	98.8	$	90.9	$	70.8	$	83.7

Gross par written:
U.S. public finance	$	283	$	326	$	423	$	628	$	609
U.S. structured finance	4,446		10,943		4,968		6,486		5,776
International	648		2,210		5,375		5,007		2,190
Total	$	5,377	$	13,479	$	10,766	$	12,121	$	8,575

Net par outstanding:
U.S. public finance	$	3,250	$	2,471	$	2,878	$	3,499	$	3,989
U.S. structured finance	31,559		38,847		39,191		44,467		48,430
International	7,215		9,806		14,865		19,868		21,319
Total	$	42,024	$	51,124	$	56,935	$	67,834	$	73,738

Net present value of installment premiums in force:(d)	$	265.7	$	300.5	$	358.4	$	408.2	$	425.3
Unearned premium reserve net of ceded reinsurance	48.6		95.2		114.9		136.8		156.8

Assured Guaranty Ltd.

Financial Guaranty Reinsurance Segment 1 (1 of 2)

(dollars in millions)

	1Q-06			2Q-06			3Q-06			4Q-06			1Q-07
Present value of gross written premiums (PVP)(a)	$	20.1	��	$	49.6		$	36.5		$	45.2		$	23.1
Less: Present value of installment premiums(a)	11.0			17.7			16.8			20.8			14.2
Upfront gross written premiums (GWP)	9.1			31.9			19.8			24.4			8.9
Plus: Installment GWP	9.7			9.8			9.9			9.3			9.8
Financial guaranty reinsurance GWP	$	18.8		$	41.7		$	29.7		$	33.7		$	18.7

Income statement:
Gross written premiums:
Treaty	$	12.0		$	29.1		$	22.4		$	19.0		$	14.2
Facultative	6.8			12.6			7.3			14.7			4.5
Total gross written premiums	$	18.8		$	41.7		$	29.7		$	33.7		$	18.7
Net written premiums	18.5			41.3			29.7			33.7			18.5

Net earned premiums:
Scheduled net earned premiums	19.7			21.4			21.3			20.8			18.7
Net earned premiums from refundings	3.6			1.7			4.1			1.8			3.2
Total net earned premiums	23.3			23.1			25.4			22.6			21.9

Loss and loss adjustment expenses:
Case	2.3			1.8			(1.2		)	2.4			(7.3		)
Portfolio	0.5			3.9			3.0			0.4			2.5
Total loss and loss adjustment expenses	2.8			5.7			1.8			2.8			(4.8		)
Profit commission expense	0.4			1.0			0.7			0.6			0.9
Acquisition costs	8.7			8.5			8.9			7.9			7.7
Operating expenses	3.4			3.4			3.9			3.8			4.4
Total expenses	$	15.3		$	18.5		$	15.3		$	15.2		$	8.3

Underwriting gain	$	8.0		$	4.6		$	10.1		$	7.4		$	13.6

Loss and loss adjustment expense ratio	12.0		%	24.6		%	7.1		%	12.6		%	(21.9		)%
Expense ratio	53.6		%	55.4		%	53.3		%	54.7		%	59.6		%
Combined ratio	65.6		%	80.0		%	60.4		%	67.3		%	37.7		%

Note: Please refer to endnotes for explanation of non-GAAP financial measures [PVP (a), operating income and operating ROE (b), and adjusted book value (c)].

Assured Guaranty Ltd.

Financial Guaranty Reinsurance Segment 1 (2 of 2)

(dollars in millions)

	1Q-06		2Q-06		3Q-06		4Q-06		1Q-07
PVP (a):
U.S. public finance	$	8.5	$	29.7	$	11.4	$	30.4	$	4.7
U.S. structured finance	3.4		2.0		3.8		4.5		3.9
International	8.3		17.9		21.4		10.4		14.4
Total	$	20.1	$	49.6	$	36.5	$	45.2	$	23.1

Gross par written:
U.S. public finance	$	1,631	$	718	$	1,475	$	1,367	$	754
U.S. structured finance	444		311		453		127		496
International	677		775		800		371		537
Total	$	2,752	$	1,804	$	2,727	$	1,865	$	1,787

Net par outstanding:
U.S. public finance	$	48,309	$	48,316	$	48,335	$	48,836	$	48,929
U.S. structured finance	9,387		8,314		8,046		7,116		6,945
International	7,196		7,857		8,263		8,510		9,240
Total	$	64,893	$	64,487	$	64,644	$	64,462	$	65,115

Net present value of installment premiums in force(d)	$	153.8	$	158.9	$	164.5	$	164.9	$	160.2
Unearned premium reserve net of ceded reinsurance	431.2		449.4		453.8		464.8		460.9

Assured Guaranty Ltd.

Mortgage Guaranty Segment

(dollars in millions)

	1Q-06			2Q-06			3Q-06			4Q-06			1Q-07
Income statement:
Gross written premiums	$	2.6		$	1.2		$	1.9		$	2.7		$	1.0
Net written premiums	2.6			1.2			1.9			2.7			1.0
Net earned premiums	4.2			3.7			4.9			9.9			3.1

Loss and loss adjustment expenses:
Case	—			0.1			0.1			(0.1		)	—
Portfolio and IBNR	(0.2		)	0.3			0.3			(4.9		)	0.1
Total loss and loss adjustment expenses	(0.2		)	0.4			0.4			(5.0		)	0.1
Profit commission expense	0.9			0.7			0.9			4.3			0.7
Acquisition costs	0.3			0.3			0.3			1.3			0.2
Operating expenses	0.3			0.3			0.4			0.3			0.3
Total expenses	$	1.3		$	1.7		$	2.0		$	0.9		$	1.3

Underwriting gain	$	2.8		$	2.0		$	2.9		$	8.9		$	1.8

Loss and loss adjustment expense ratio	(3.7		)%	9.4		%	8.2		%	(50.7		)%	3.3		%
Expense ratio	36.1		%	36.4		%	31.9		%	60.2		%	37.8		%
Combined ratio	32.4		%	45.8		%	40.1		%	9.5		%	41.1		%

Risk in force	$	1,970		$	1,960		$	2,003		$	1,822		$	1,374
Risk written	—			—			—			—			—
Unearned premium reserve net of ceded reinsurance	48.1			45.6			42.6			35.4			33.5

Assured Guaranty Ltd.

Other Segment

(dollars in millions)

	1Q-06			2Q-06			3Q-06			4Q-06			1Q-07
Income statement:
Gross written premiums	$	3.8		$	0.1		$	0.1		$	0.1		$	3.3
Net written premiums	—			—			—			—			—

Net earned premiums	—			—			—			—			—

Loss and loss adjustment expenses	(1.2		)	(10.1		)	(1.0		)	(1.2		)	(1.3		)
Profit commission expense	—			—			—			—			—
Acquisition costs	—			—			—			—			—
Operating expenses	—			—			—			—			—
Total expenses	$	(1.2	)	$	(10.1	)	$	(1.0	)	$	(1.2	)	$	(1.3	)

Underwriting gain	$	1.2		$	10.1		$	1.0		$	1.2		$	1.3

Assured Guaranty Ltd.
Loss and LAE Reserves by Segment/Type and Analysis of Net Claims Paid
(dollars in millions)

	As of March 31, 2007
	Financial		Financial				Total
	Guaranty		Guaranty		Mortgage		Financial
Reserves by segment and type:	Direct		Reinsurance		Guaranty		Guaranty		Other		Total
Case	$	1.2	$	32.9	$	0.1	$	34.2	$	6.6	$	40.8
IBNR	—		—		—		—		7.4		7.4
Portfolio reserves associated with fundamentally sound credits	6.2		28.6		2.3		37.1		—		37.1
Portfolio reserves associated with CMC credits	3.1		32.6		—		35.7		—		35.7
Total	$	10.5	$	94.1	$	2.4	$	107.0	$	14.0	$	121.0

	As of December 31, 2006
	Financial		Financial				Total
	Guaranty		Guaranty		Mortgage		Financial
Reserves by segment and type:	Direct		Reinsurance		Guaranty		Guaranty		Other		Total
Case	$	1.0	$	36.1	$	0.1	$	37.2	$	6.8	$	44.0
IBNR	—		—		—		—		7.4		7.4
Portfolio reserves associated with fundamentally sound credits	6.1		29.1		2.2		37.4		—		37.4
Portfolio reserves associated with CMC credits	2.2		29.6		—		31.8		—		31.8
Total	$	9.3	$	94.8	$	2.3	$	106.4	$	14.2	$	120.6

Analysis of net claims paid

							Full Year			Full Year
	1Q-07			1Q-06			2006			2005
Net claims paid by segment:
Financial Guaranty Direct	$	(1.3	)	$	2.0		$	1.7		$	4.7
Financial Guaranty Reinsurance	(4.2		)	1.4			11.7			(66.6		)
Mortgage Guaranty	—			0.1			0.3			0.5
Total Financial Guaranty	$	(5.5	)	$	3.5		$	13.7		$	(61.4	)

Net earned premiums by segment:
Financial Guaranty Direct	$	28.9		$	20.7		$	89.7		$	74.5
Financial Guaranty Reinsurance	21.9			23.3			94.4			105.6
Mortgage Guaranty	3.1			4.2			22.7			18.6
Total Financial Guaranty	$	53.9		$	48.1		$	206.7		$	198.7

Ratio of net claims paid by segment:
Financial Guaranty Direct	(4.5		)%	9.7		%	1.9		%	6.3		%
Financial Guaranty Reinsurance	(19.2		)%	6.0		%	12.4		%	(63.1		)%
Mortgage Guaranty	0.0		%	2.4		%	1.3		%	2.7		%
Total Financial Guaranty	(10.2		)%	7.3		%	6.6		%	(30.9		)%

Assured Guaranty Ltd.
Investment Portfolio
as of March 31, 2007
(dollars in millions)

			Pre-Tax	After-Tax			Annualized
	Amortized		Book	Book			Investment
	Cost		Yield	Yield	Fair Value		Income
Fixed maturity securities available for sale:
U.S. Treasury securities and obligations of U.S. government agencies	$	144.5	4.9%	4.2%	$	146.7	$	7.0
Agency obligations	133.1		5.5%	5.1%	136.5		7.3
Foreign government securities	47.9		4.9%	3.2%	47.4		2.3
Obligations of states and political subdivisions	379.2		4.7%	4.4%	391.9		17.7
Insured obligations of state and political subdivisions	511.5		4.9%	4.6%	538.1		25.1
Corporate securities	136.9		5.6%	4.7%	139.6		7.7
Mortgage-backed securities:
Pass-thrus	742.1		5.4%	4.6%	739.5		39.9
PACs	76.6		4.8%	4.5%	75.6		3.7
Asset-backed securities	176.5		5.0%	4.6%	176.4		8.9
Total fixed maturity securities available for sale	2,348.3		5.1%	4.6%	2,391.7		119.6
Short-term investments	96.7		4.5%	3.4%	96.7		4.4
Total investments	$	2,445.0	5.1%	4.5%	$	2,488.4	$	124.0

Ratings distribution(1):	Fair Value	%
Treasury and U.S. government obligations	$146.7	6.1%
Agency obligations	136.5	5.7%
AAA/Aaa	1,695.3	70.9%
AA/Aa	300.4	12.6%
A/A	112.8	4.7%
Total	$2,391.7	100.0%

Duration of investment portfolio (in years):		4.1

(1) Ratings are represented by the lower of the Moody’s Investor Services and Standard & Poor’s classifications.

Assured Guaranty Ltd.

Estimated Net Exposure Amortization(1)

(dollars in millions)

	Estimated Net		Estimated Ending Net
	Debt Service		Debt Service
	Amortization		Outstanding

Financial Guaranty Direct
2007 (as of March 31)			$	78,555
2007 (April — December)	$	5,377	73,178
2008	5,495		67,683
2009	4,073		63,610
2010	5,989		57,621
2011	5,686		51,935

2007—2011	26,620		51,935
2012—2016	33,486		18,449
2017—2021	6,725		11,724
2022—2026	2,242		9,482
After 2026	9,482		—
Total	$	78,555

Financial Guaranty Reinsurance
2007 (as of March 31)			$	108,297
2007 (April — December)	$	4,757	103,540
2008	5,544		97,996
2009	5,792		92,204
2010	5,319		86,885
2011	5,209		81,676

2007—2011	26,621		81,676
2012—2016	23,931		57,745
2017—2021	19,924		37,821
2022—2026	16,039		21,782
After 2026	21,782		—
Total	$	108,297

Total Financial Guaranty
2007 (as of March 31)			$	186,852
2007 (April — December)	$	10,134	176,718
2008	11,039		165,679
2009	9,865		155,814
2010	11,308		144,506
2011	10,895		133,611

2007—2011	53,241		133,611
2012—2016	57,418		76,194
2017—2021	26,649		49,545
2022—2026	18,281		31,264
After 2026	31,264		—
Total	$	186,852

(1) Represents amortization of existing guaranteed portfolio (principal and interest), assuming no advance refundings, as of March 31, 2007. Expected maturities will differ from contractual maturities because borrowers may have the right to call or prepay guaranteed obligations.

Assured Guaranty Ltd.

Estimated Net Unearned Premium Amortization and Estimated Future Installment Premiums

(dollars in millions)

			Estimated Net Unearned		Estimated		Total Estimated Net Future
	Net Unearned		Premium		Net Future		Premium
	Premiums(1)		Amortization		Installments		Earnings

Financial Guaranty Direct

2007 (as of March 31)	$	156.8
2007 (2nd, 3rd & 4th Qtrs)	136.5		$	20.3	$	59.5	$	79.8
2008	129.4		7.1		79.9		87.0
2009	123.1		6.3		72.3		78.5
2010	117.1		6.0		61.5		67.5
2011	111.5		5.7		56.0		61.7

2007—2011	111.5		45.3		329.2		374.5
2012—2016	86.3		25.2		150.7		175.8
2017—2021	66.0		20.3		42.9		63.3
2022—2026	49.2		16.8		21.3		38.1
After 2026	—		49.2		30.0		79.2
Total			$	156.8	$	574.1	$	730.9

Financial Guaranty Reinsurance

2007 (as of March 31)	$	460.9
2007 (2nd, 3rd & 4th Qtrs)	427.0		$	33.9	$	17.3	$	51.2
2008	392.8		34.2		27.2		61.3
2009	360.3		32.5		26.5		59.0
2010	329.7		30.6		24.4		55.0
2011	300.9		28.8		23.1		51.9

2007—2011	300.9		160.0		118.5		278.5
2012—2016	184.5		116.5		92.8		209.3
2017—2021	107.2		77.2		65.3		142.6
2022—2026	57.2		50.0		50.1		100.1
After 2026	—		57.2		68.4		125.5
Total			$	460.9	$	395.1	$	856.0

Total Financial Guaranty

2007 (as of March 31)	$	617.7
2007 (2nd, 3rd & 4th Qtrs)	563.5		$	54.2	$	76.8	$	131.0
2008	522.2		41.3		107.0		148.3
2009	483.4		38.8		98.8		137.6
2010	446.9		36.5		86.0		122.5
2011	412.4		34.5		79.2		113.6

2007—2011	412.4		205.3		447.8		653.0
2012—2016	270.8		141.6		243.5		385.1
2017—2021	173.2		97.6		108.2		205.8
2022—2026	106.4		66.8		71.4		138.2
After 2026	—		106.4		98.4		204.7
Total			$	617.7	$	969.2	$	1,586.9

(1) Unearned premium amounts are U.S. GAAP based and net of prepaid reinsurance premiums.

Assured Guaranty Ltd.

Financial Guaranty Profile (1 of 7)

As of March 31, 2007

(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(7)	Net Par Outstanding		Avg. Rating(7)	Net Par Outstanding		Avg. Rating(7)
U.S. public finance
General obligation	$	983	A+	$	11,632	A+	$	12,615	A+
Tax backed	1,316		BBB+	10,717		A+	12,032		A+
Municipal utilities	126		BBB+	9,490		A+	9,616		A+
Transportation	42		AAA	6,661		A	6,703		A
Healthcare	1,098		A-	5,561		A	6,659		A
Investor-owned utilities	39		AAA	1,617		BBB+	1,656		A-
Higher education	373		BBB	918		A+	1,292		A
Housing	—		—	1,030		AA-	1,030		AA-
Structured municipal(1)	—		—	570		AAA	570		AAA
Other public finance(2)	12		BBB	732		A	744		A
Total U.S. public finance	$	3,989	A-	$	48,929	A+	$	52,918	A+

U.S. structured finance
Pooled corporate obligations(3)	$	27,144	AAA	$	1,602	AA+	$	28,746	AAA
Commercial receivables(4)	6,029		AAA	1,958		A-	7,987		AA
Subprime mortgage-backed and home equity	6,616		AAA	384		AA-	6,999		AA+
Prime mortgage-backed and home equity	3,562		A	1,592		A-	5,154		A
Consumer receivables(5)	2,359		AA+	670		BBB	3,029		AA
Other structured finance(6)	2,720		AA+	739		A+	3,459		AA+
Total U.S. structured finance	$	48,430	AA+	$	6,945	A	$	55,375	AA+

International
Regulated Utilities	$	2,883	A+	$	2,738	BBB+	$	5,621	A-
Pooled corporate obligations(3)	4,025		AAA	1,108		AAA	5,133		AAA
Mortgage-backed and home equity	4,518		AAA	294		AA	4,811		AAA
Pooled infrastructure	4,449		AAA	—		—	4,449		AAA
Infrastructure	885		AA	3,002		BBB	3,887		BBB+
Other structured finance	2,279		AA	1,185		A	3,464		AA-
Public finance	834		A+	486		A	1,320		A+
Future flow	658		BBB	297		BBB	955		BBB
Insurance securitizations	789		A-	131		A	920		A-
Total international	$	21,319	AA	$	9,240	A-	$	30,559	AA-

Total exposures	$	73,738	AA+	$	65,115	A	$	138,853	AA-

Mortgage guaranty risk in force							$	1,374	N/A

(1) Structured municipal: includes excess of loss reinsurance on portfolios of municipal credits where the Company attached in excess of the AAA rating level.

(2) Other public finance: primarily includes student loans and government-sponsored project finance.

(3) 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.

(4) Commercial receivables: principally includes equipment leases and commercial mortgage-backed securities.

(5) Consumer receivables: principally includes auto loan receivables and credit card receivables.

(6) Other structured finance: includes trade receivable securitizations, secured structured lending and manufactured housing.

(7) Assured Guaranty internal rating. Our scale is comparable to that of the nationally recognized rating agencies.

Assured Guaranty Ltd.

Financial Guaranty Profile (2 of 7)

(dollars in millions)

Gross Par Written by Asset Type

	Financial Guaranty Direct		Financial Guaranty Reinsurance		Consolidated
Sector	1Q-07		1Q-07		1Q-07
U.S. public finance
Tax backed	$	558	$	374	$	932
General obligation	28		173		201
Healthcare	—		109		109
Municipal utilities	6		45		52
Investor-owned utilities	—		50		50
Higher education	18		1		18
Housing	—		—		—
Transportation	—		—		—
Structured municipal(1)	—		—		—
Other public finance(2)	—		1		1
Total U.S. public finance	$	609	$	754	$	1,363

U.S. structured finance
Pooled corporate obligations(3)	$	3,833	$	290	$	4,123
Subprime mortgage-backed and home equity	1,000		4		1,004
Prime mortgage-backed and home equity	416		192		609
Consumer receivables(5)	500		3		503
Commercial receivables(4)	—		7		7
Other structured finance(6)	28		—		28
Total U.S. structured finance	$	5,776	$	496	$	6,273

International
Pooled corporate obligations(3)	$	1,504	$	89	$	1,593
Regulated utilities	686		156		842
Infrastructure	—		205		205
Other structured finance	—		53		53
Mortgage-backed and home equity	—		18		18
Public finance	—		16		16
Pooled infrastructure	—		—		—
Future flow	—		—		—
Insurance securitizations	—		—		—
Total international	$	2,190	$	537	$	2,726

Total gross par written	$	8,575	$	1,787	$	10,362

1. Structured municipal: includes excess of loss reinsurance on portfolios of municipal credits where the Company attached in excess of the AAA rating level.

2. Other public finance: primarily includes student loans and government-sponsored project finance.

3. 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.

4. Commercial receivables: principally includes equipment leases and commercial mortgage-backed securities.

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

6. Other structured finance: includes trade receivable securitizations, secured structured lending and manufactured housing.

Assured Guaranty Ltd.

Financial Guaranty Profile (3 of 7)

(dollars in millions)

Distribution by ratings of financial guaranty portfolio

	As of March 31, 2007
	Financial Guaranty Direct			Financial Guaranty Reinsurance			Consolidated
Ratings(1)	Net Par Outstanding		%	Net Par Outstanding		%	Net Par Outstanding		%
AAA/Aaa	$	59,021	80.0%	$	4,799	7.4%	$	63,821	46.0%
AA/Aa	2,732		3.7%	19,340		29.7%	22,072		15.9%
A/A	5,764		7.8%	26,621		40.9%	32,385		23.2%
BBB/Baa	6,113		8.3%	13,279		20.4%	19,392		14.0%
Below investment grade	107		0.1%	1,076		1.7%	1,183		0.9%
Total exposures	$	73,738	100.0%	$	65,115	100.0%	$	138,853	100.0%

	As of December 31, 2006
	Financial Guaranty Direct			Financial Guaranty Reinsurance			Consolidated
Ratings(1)	Net Par Outstanding		%	Net Par Outstanding		%	Net Par Outstanding		%
AAA/Aaa	$	52,606	77.6%	$	4,448	6.9%	$	57,054	43.1%
AA/Aa	4,028		5.9%	18,955		29.4%	22,983		17.4%
A/A	5,757		8.5%	27,065		42.0%	32,822		24.9%
BBB/Baa	5,351		7.9%	12,831		19.9%	18,182		13.7%
Below investment grade	92		0.1%	1,163		1.8%	1,255		0.9%
Total exposures	$	67,834	100.0%	$	64,462	100.0%	$	132,296	100.0%

1. Assured Guaranty internal rating. Our scale is comparable to that of the nationally recognized rating agencies.

Assured Guaranty Ltd.

Financial Guaranty Profile (4 of 7)

(dollars in millions)

Geographic distribution of financial guaranty portfolio, as of March 31, 2007

U.S.:	Net Par Outstanding		%
California	$	7,771	5.6%
New York	5,874		4.2%
Texas	3,306		2.4%
Illinois	2,997		2.2%
Florida	2,796		2.0%
Massachusetts	2,625		1.9%
Pennsylvania	2,341		1.7%
New Jersey	2,032		1.5%
Puerto Rico	1,954		1.4%
Washington	1,906		1.4%
Other states	19,316		13.9%
Mortgage and structured (multiple states)	55,375		39.9%
Total U.S.	$	108,293	78.0%

International:
United Kingdom	$	19,617	14.1%
Germany	2,813		2.0%
Australia	1,302		0.9%
Turkey	623		0.4%
Italy	466		0.3%
Other	5,739		4.1%
Total International	$	30,559	22.0%

Total exposures	$	138,853	100.0%

Assured Guaranty Ltd.

Financial Guaranty Profile (5 of 7)

(dollars in millions)

Distribution by ratings of pooled corporate obligations

	March 31, 2007			December 31, 2006
	Net Par			Net Par
Ratings(1)	Outstanding		%	Outstanding		%
AAA/Aaa	$	31,553	93.1%	$	25,565	87.6%
AA/Aa	2,202		6.5%	3,473		11.9%
A/A	74		0.2%	75		0.3%
BBB/Baa	17		0.1%	17		0.1%
Below investment grade	33		0.1%	37		0.1%
Total exposures	$	33,879	100.0%	$	29,167	100.0%

Distribution of pooled corporate obligations by year of issue as of March 31, 2007

	Net Par
	Outstanding		%
2000 and prior	$	264	0.8%
2001	562		1.7%
2002	3,036		9.0%
2003	2,256		6.7%
2004	1,589		4.7%
2005	7,384		21.8%
2006	13,598		40.1%
2007 year to date	5,190		15.3%
	$	33,879	100.0%

1. Assured Guaranty internal rating. Our scale is comparable to that of the nationally recognized rating agencies.

Assured Guaranty Ltd.

Financial Guaranty Profile (6 of 7)

(dollars in millions)

Distribution by ratings of residential mortgage-backed securities

	March 31, 2007									December 31, 2006
							Total Net Par			Net Par
Ratings(1)	U.S. Prime		U.S. Subprime		International		Outstanding		%	Outstanding		%
AAA/Aaa	$	1,422	$	6,519	$	4,311	$	12,253	72.2%	$	11,714	72.2%
AA/Aa	121		2		207		329		1.9%	253		1.6%
A/A	703		174		190		1,067		6.3%	1,241		7.7%
BBB/Baa	2,908		194		103		3,205		18.9%	2,916		18.0%
Below investment grade	—		111		—		111		0.7%	97		0.6%
Total exposures	$	5,154	$	6,999	$	4,811	$	16,965	100.0%	$	16,221	100.0%

Distribution of U.S. subprime residential mortgage-backed securities by rating as of March 31, 2007

	Direct		Reinsurance		Total
	Net Par		Net Par		Net Par
Ratings(1)	Outstanding		Outstanding		Outstanding
AAA/Aaa	$	6,233	$	286	$	6,519
AA/Aa	—		2		2
A/A	154		20		174
BBB/Baa	162		31		194
Below investment grade	66		45		111
	$	6,616	$	384	$	6,999

Distribution of residential mortgage-backed securities by year of issue as of March 31, 2007

							Total Net Par
	U.S. Prime		U.S. Subprime		International		Outstanding		%
2000 and prior	$	105	$	65	$	67	$	237	1.4%
2001	19		28		205		252		1.5%
2002	56		23		270		349		2.1%
2003	130		482		170		782		4.6%
2004	818		665		71		1,555		9.2%
2005	2,176		111		1,248		3,536		20.8%
2006	1,437		4,625		2,781		8,843		52.1%
2007 year to date	412		1,000		—		1,412		8.3%
	$	5,154	$	6,999	$	4,811	$	16,965	100.0%

1. Assured Guaranty internal rating. Our scale is comparable to that of the nationally recognized rating agencies.

Assured Guaranty Ltd.
Financial Guaranty Profile (7 of 7)
(dollars in millions)

Historical Net Par Outstanding and Average Rating by Asset Type

	As of March 31,			As of December 31,
	2007			2006			2005
Sector	Net Par Outstanding		Avg. Rating(7)	Net Par Outstanding		Avg. Rating(7)	Net Par Outstanding		Avg. Rating(7)
U.S. public finance
General obligation	$	12,615	A+	$	12,700	A+	$	11,965	A+
Tax backed	12,032		A+	11,812		A+	10,671		A+
Municipal utilities	9,616		A+	9,673		A+	10,378		A+
Transportation	6,703		A	6,302		A	6,407		A
Healthcare	6,659		A	6,580		A	6,003		A
Investor-owned utilities	1,656		A-	1,580		BBB+	1,431		A-
Higher education	1,292		A	1,282		A	1,177		A
Housing	1,030		AA-	1,083		AA-	1,148		AA-
Structured municipal(1)	570		AAA	578		AAA	829		AAA
Other public finance(2)	744		A	745		A	760		A
Total U.S. public finance	$	52,918	A+	$	52,335	A+	$	50,769	A+

U.S. structured finance
Pooled corporate obligations(3)	$	28,746	AAA	$	25,604	AAA	$	19,177	AAA
Commercial receivables(4)	7,987		AA	7,879		AA	4,358		AA-
Subprime mortgage-backed and home equity	6,999		AA+	6,390		AA+	4,221		AA+
Prime mortgage-backed and home equity	5,154		A	4,849		A	5,451		A
Consumer receivables(5)	3,029		AA	2,663		AA-	2,413		A
Other structured finance(6)	3,459		AA+	4,199		AA	2,958		AA
Total U.S. structured finance	$	55,375	AA+	$	51,583	AA+	$	38,578	AA

International
Regulated utilities	$	5,621	A-	$	4,780	A-	$	—	—
Pooled corporate obligations(3)	5,133		AAA	3,563		AAA	2,111		AAA
Mortgage-backed and home equity	4,811		AAA	4,982		AAA	2,139		AA+
Pooled infrastructure	4,449		AAA	4,616		AAA	—		—
Infrastructure	3,887		BBB+	3,640		BBB+	3,461		A-
Other structured finance	3,464		AA-	3,664		AA-	3,020		A
Public finance	1,320		A+	1,202		A+	1,456		A
Future flow	955		BBB	1,008		BBB	931		BBB
Insurance securitizations	920		A-	923		A-	—		—
Total international	$	30,559	AA-	$	28,378	AA-	$	13,118	A+
Total exposures	$	138,853	AA-	$	132,296	AA-	$	102,465	AA-
Mortgage guaranty risk in force	$	1,374	N/A	$	1,822	N/A	$	2,332	N/A

Distribution by ratings of financial guaranty portfolio

	March 31, 2007			December 31, 2006			December 31, 2005
Ratings(7)	Net Par Outstanding		%	Net Par Outstanding		%	Net Par Outstanding		%
AAA/Aaa	$	63,821	46.0%	$	57,054	43.1%	$	34,492	33.7%
AA/Aa	22,072		15.9%	22,983		17.4%	19,978		19.5%
A/A	32,385		23.2%	32,822		24.9%	30,258		29.5%
BBB/Baa	19,392		14.0%	18,182		13.7%	16,404		16.0%
Below investment grade	1,183		0.9%	1,255		0.9%	1,333		1.3%
Total exposures	$	138,853	100.0%	$	132,296	100.0%	$	102,465	100.0%

1. Structured municipal: includes excess of loss reinsurance on portfolios of municipal credits where the Company attached in excess of the AAA rating level.

2 Other public finance: primarily includes student loans and government-sponsored project finance.

4 Commercial receivables: principally includes equipment leases and commercial mortgage-backed securities.

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

6. Other structured finance: includes trade receivable securitization, secured structured lending and manufactured housing.

7. Assured Guaranty internal rating. Our scale is comparable to that of the nationally recognized rating agencies.

Assured Guaranty Ltd.
Non-Investment Grade Exposures
as of March 31, 2007
(dollars in millions)

Non-Investment Grade Exposures by: Asset Type	Weighted Average Remaining Life	Net Par Outstanding		Average Rating 1
U.S. public finance
Transportation	19.4	$	217	B+
General obligation	14.5	79		BB+
Tax backed	16.5	73		BB
Healthcare	10.8	59		B+
Municipal utilities	10.5	13		C
Housing	13.3	4		B-
Investor-owned utilities	10.8	2		BB
Higher education	13.4	1		BB+
Structured municipal	—	—		—
Other public finance	15.3	4		D
Total U.S. public finance	16.6	$	451	BB-
U.S. structured finance
Commercial Receivables	5.5	$	171	B+
Subprime mortgage-backed and home equity	6.8	111		B-
Pooled corporate obligations	4.5	33		B
Consumer receivables	1.6	2		BB
Prime mortgage-backed and home equity	5.9	—		D
Other structured finance	8.0	134		BB-
Total U.S. structured finance	6.5	$	451	B+
International
Infrastructure	19.0	$	256	C
Other structured finance	9.0	25		B-
Pooled infrastructure	—	—		—
Pooled corporate obligations	—	—		—
Public finance	—	—		—
Total international	18.1	$	281	CC
Total non-investment grade exposures	13.1	$	1,183	B

Top Ten Non-Investment Grade Exposures as of March 31, 2007

Name or Description	Weighted Average Remaining Life	Net Par Outstanding		Average Rating(1)
Eurotunnel—Fixed-Link Finance & Fixed-Link Finance(2)	20.7	$	222	D
Public Finance Infrastructure Transaction	21.1	165		BB-
Structured Finance Domestic Manufactured Housing Transactions(3)	6.4	122		BB+
Structured Finance Domestic Auto Fleet Financing Transaction	2.5	108		BB+
Puerto Rico Public Finance Corporation	15.4	70		BB+
Northwest Airlines EETC Transactions	8.3	33		D
International Airport Facility	7.1	33		BB
Structured Finance Domestic Franchise Loan Receivable Transactions(4)	13.5	29		B
Louisiana State Stadium & Exposition District	20.3	29		BB
New Orleans Louisiana Exhibit Hall—Morial	16.2	29		BB
Total	14.5	$	840	B

1. Assured Guaranty internal rating. Our scale is comparable to that of the nationally recognized rating agencies.

2. Exposure comprised of four series: $149.7 million, $38.3 million, $27.2 million, and $7.2 million - all rated ‘D’.

3. Exposure comprised of twelve series: 10 series totaling $119.5 million - rated ‘BB+’, $1.4 million rated ‘BB’, and $1.5 million rated ‘B’.

4. Exposure comprised of two series: one in the amount of $15.4 million and the other for $14.1 million both rated ‘B’.

Assured Guaranty Ltd.
Closely Monitored Credits (“CMC”)
(dollars in millions)

Net par outstanding by credit monitoring category(1)

	March 31, 2007
Description	Net Par Outstanding		%	Number of Credits in Category
Fundamentally sound risk	$	137,623	99.1%

Closely monitored credits:
Category 1	749		0.5%	30
Category 2	321		0.2%	18
Category 3	109		0.1%	18
Category 4	22		—	13
CMC Total	1,201		0.9%	79
Other below investment grade risk	29		—	58
Total	$	138,853	100.0%

	December 31, 2006
Description	Net Par Outstanding		%	Number of Credits in Category
Fundamentally sound risk	$	130,944	99.0%

Closely monitored credits:
Category 1	855		0.6%	43
Category 2	318		0.2%	13
Category 3	123		0.1%	18
Category 4	22		—	13
CMC Total	1,318		1.0%	87
Other below investment grade risk	34		—	68
Total	$	132,296	100.0%

1. Our surveillance department is responsible for monitoring our 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.

Assured Guaranty Ltd.
Largest Exposures by Sector (Part 1 of 4)
as of March 31, 2007
(dollars in millions)

25 Largest U.S. Public Finance Exposures

	Net Par
Revenue Source	Outstanding(2)		Rating(1)
California State General Obligation & Leases	$	838	A+
New York City General Obligation & Leases	687		A+
Long Island Power Authority	665		A-
New Jersey State General Obligation & Leases	658		AA-
Chicago Illinois General Obligation & Leases	624		AA-
Puerto Rico General Obligation & Leases	619		BBB-
Massachusetts State General Obligation & Bay Transportation	596		AA-
Jefferson County Alabama Sewer	578		A
Washington State General Obligation	563		AA
New York State MTA—Transportation Revenue	541		A
Los Angeles California Unified School District	521		AA-
New York City Municipal Water Finance Authority	520		AA
Puerto Rico Highway & Transportation Authority	494		BBB
New York State General Obligation & Leases	464		AA
Energy Northwest	439		AA
Denver Colorado Airport System	428		A
Houston Texas Water & Sewer System	421		A+
Puerto Rico Electric Power Authority	408		BBB+
San Francisco California Airport	403		A
New Jersey State Turnpike Authority	350		A
Port Authority of New York & New Jersey	329		AA-
Massachusetts School Building Authority	327		AA
Chicago Illinois Public Building—Board Of Education	286		A
Los Angeles County Metro Trans—Sales Tax	285		AA-
Wisconsin State General Obligation	282		AA-
Total top 25 U.S. public finance exposures	$	12,326

1. Assured Guaranty internal rating. Our scale is comparable to that of the nationally recognized rating agencies.

2. Excludes net par in force for transactions insured by a AAA monoline financial guaranty company.

Assured Guaranty Ltd.

Largest Exposures by Sector (Part 2 of 4)

as of March 31, 2007

(dollars in millions)

25 Largest U.S. Structured Finance Exposures

	Net Par
Revenue Source	Outstanding(2)		Rating(1)
Structured Finance Corporate Pool	$	914	AAA
Field Point III & IV, Limited	887		AA-
Private — CDO	760		AAA
Field Point I & II, Limited	742		AA-
Synthetic CDO — IG Corporate	740		AAA
Sandelman Finance 2006-1 Limited	672		AA
Private — CDO	670		AAA
Synthetic CDO — IG ABS	594		AAA
Private — CDO	540		AAA
Private — Mortgage Backed Securities	500		A
Private — Consumer ABS	500		AAA
Private — Consumer ABS	500		AAA
Private — CDO	489		AAA
Synthetic CDO — IG Corporate	438		AAA
Synthetic CDO — IG Corporate	438		AAA
Synthetic CDO — IG Corporate	438		AAA
Countrywide Home Equity Loan Trust 2005-J Cl 1-A	436		BBB-
Countrywide Home Equity Loan Trust 2005-J Cl 2-A	435		BBB-
Private — Consumer ABS	420		AAA
Synthetic CDO — IG Corporate	410		AAA
Southfork CLO Ltd. Series 2005-A1 Class A1G	380		AAA
Private — CDO	373		AAA
Private — Mortgage Backed Securities	371		BBB-
Private — Consumer ABS	356		AAA
Synthetic CDO — HY Corporate	328		AAA
Total top 25 U.S. structured finance exposures	$	13,331

1. Assured Guaranty internal rating. Our scale is comparable to that of the nationally recognized rating agencies.

2. Excludes net par in force for transactions insured by a AAA monoline financial guaranty company.

Assured Guaranty Ltd.

Largest Exposures by Sector (Part 3 of 4)

as of March 31, 2007

(dollars in millions)

10 Largest Healthcare Exposures

	Net Par
Revenue Source	Outstanding(2)		Rating(1)	State
Covenant Health	$	177	A-	TN
Texas Health Resources	153		A+	TX
Ascension Health Credit Group	144		AA	MO
Catholic Healthcare Partners	137		AA-	OH
Catholic Healthcare West	132		A-	CA
W.A. Foote Memorial Hospital	125		A	MI
Sutter Health Obligated Group	117		AA-	CA
Medstar Health Inc.	109		BBB	MD
St. Barnabas Health Care System	106		BBB	NJ
Methodist Hospital	102		A+	TX
Total top 10 healthcare exposures	$	1,302

10 Largest International Exposures

	Net Par
Revenue Source	Outstanding(2)		Rating(1)
Private — Mortgage Backed Securities	$	1,477	AAA
Paragon Mortgages (No.13) PLC	1,284		AAA
Graphite Mortgages PLC Provide Graphite 2005-2	1,225		AAA
International Infrastructure Pool	972		AAA
International Infrastructure Pool	972		AAA
International Infrastructure Pool	972		AAA
Essential Public Infrastructure Capital II	863		AAA
Nemus Funding No.1 PLC	694		AAA
Stichting Profile Securitisation I	669		AAA
Synthetic CDO — IG ABS	632		AAA
Total top 10 international exposures	$	9,760

1. Assured Guaranty internal rating. Our scale is comparable to that of the nationally recognized rating agencies.

2. Excludes net par in force for transactions insured by a AAA monoline financial guaranty company.

Assured Guaranty Ltd.
Largest Exposures by Sector (Part 4 of 4)
as of March 31, 2007
(dollars in millions)

10 Largest Mortgage Servicers (Prime and Subprime)

Revenue Source	Net Par Outstanding(1)
Countrywide Home Loans, Inc.	$	2,334
European Mortgage Servicer (Private Transaction)	1,477
Residential Funding Corporation	1,465
Paragon Finance PLC	1,284
Northern Rock	1,225
AMC Mortgage Services	1,033
Wells Fargo	888
East West Bank	839
Chevy Chase Bank, F.S.B.	550
Aurora Loan Services LLC	462
Total top 10 mortgage servicers (prime and subprime) exposures	$	11,557

1. Excludes net par in force for transactions insured by a AAA monoline financial guaranty company.

Assured Guaranty Ltd.
Consolidated Capital and Claims Paying Resources
(dollars in millions)

	As of March 31, 2007						As of December 31, 2006
	AGC		AG Re(1)		Consolidated		AGC		AG Re(1)		Consolidated
Statutory surplus and reserves
Unearned premium reserve(2)	$	240	$	454	$	694	$	239	$	444	$	683
Contingency reserve	663		—		663		631		—		631
Policyholders’ surplus	272		758		1,030		286		741		1,027
Loss & loss adjustment expense reserves(3)	13		18		31		15		18		33
Total policyholders’ surplus & reserves	$	1,188	$	1,230	$	2,418	$	1,171	$	1,203	$	2,374
Claims paying resources
Policyholders’ surplus	$	272	$	758	$	1,030	$	286	$	741	$	1,027
Contingency reserve	663		—		663		631		—		631
Qualified statutory capital	935		758		1,693		917		741
Unearned premium reserve(2)	240		454		694		239		444		683
Loss & loss adjustment expense reserves(3)	13		18		31		15		18		33
Total policyholders’ surplus & reserves	1,188		1,230		2,418		1,171		1,203		2,374
Present value of installment premium (d)	365		228		593		356		230		586
Standby line of credit/stop loss	455		—		455		455		—		455
Total claims paying resources	$	2,008	$	1,458	$	3,466	$	1,982	$	1,433	$	3,415
Net par insured outstanding	$	72,902	$	66,037	$	138,853	$	68,370	$	63,927	$	132,296
Net debt service outstanding	$	89,938	$	97,050	$	186,852	$	85,522	$	94,652	$	180,174
Ratios:
Net par insured to statutory capital	78:1		87:1		82:1		75:1		86:1		80:1
Capital ratio(4)	96:1		128:1		110:1		93:1		128:1		109:1
Financial resources ratio(5)	45:1		67:1		54:1		43:1		66:1		53:1

1. AG Re numbers are our estimate of U.S. statutory as the company files Bermuda statutory financial statements.

2. Unearned premium reserve for AG Re is U.S. GAAP based and net of prepaid reinsurance premiums.

3. Loss & loss adjustment reserves for AG Re is U.S. GAAP based and net of reinsurance recoverable and portfolio reserves.

4. Capital ratio is net par and interest insured divided by qualified statutory capital.

5. Financial resources ratio is calculated by dividing net par and interest insured by total claims paying resources.

Note: Please refer to endnotes for explanation of non-GAAP financial measures [net present value of estimated future installment premiums in force (d)].

Assured Guaranty Ltd.
Summary Financial and Statistical Data
(dollars in millions, except per share amounts)

				Year Ended December 31,
	YTD 1Q-2007			2006			2005			2004
GAAP Summary Income Statement Data

Gross premiums written	$	72.5		$	325.7		$	252.1		$	190.9
Net earned premiums	53.9			206.7			198.7			187.9
Net investment income	31.5			111.5			96.8			94.8
Total expenses	35.0			132.1			64.9			114.6
Income before provision for income taxes	40.3			190.0			229.6			233.3
Net income	39.0			159.7			188.4			182.8
Operating income	46.1			157.2			190.0			141.1

Net income per diluted share	$	0.57		$	2.15		$	2.53		$	2.44
Operating income per diluted share	$	0.67		$	2.12		$	2.55		$	1.88

Financial Ratios
Loss and LAE ratio	(8.8		)%	(3.3		)%	(35.0		)%	(17.0		)%
Expense ratio	61.5		%	59.2		%	58.9		%	65.4		%
Combined ratio	52.7		%	55.9		%	23.9		%	48.4		%

GAAP Summary Balance Sheet Data (end of period)

Total investments and cash	$	2,494.1		$	2,469.9		$	2,256.0		$	2,157.9
Total assets	2,953.1			2,935.3			2,696.3			2,703.7
Unearned premium reserves	661.0			644.5			537.1			521.3
Loss and LAE reserves	121.0			120.6			128.4			236.2
Senior Notes	197.4			197.4			197.3			197.4
Series A Enhanced Junior Subordinated Debentures	149.7			149.7			—			—
Shareholders’ equity	1,694.3			1,650.8			1,661.5			1,527.6
Book value per share	$	25.04		$	24.44		$	22.22		$	20.19

Other Financial Information
Net debt service outstanding (end of period)	$	186,852		$	180,174		$	145,694		$	136,120
Net par outstanding (end of period)	138,853			132,296			102,465			95,592
Gross par outstanding (end of period)	139,801			133,303			105,258			98,221

Consolidated qualified statutory capital	1,693			1,658			1,545			1,351
Consolidated policyholders’ surplus & reserves	2,418			2,374			2,182			1,990

Ratios:
Par insured to statutory capital	82:1			80:1			66:1			71:1
Capital ratio(1)	110:1			109:1			94:1			101:1
Financial resources ratio(2)	54:1			53:1			48:1			51:1

Debt service written:
U.S. public finance	$	2,698		$	13,261		$	13,335		$	11,943
U.S. structured finance	6,348			28,902			16,724			15,131
International	3,821			17,154			5,729			3,897
Total debt service written	$	12,867		$	59,317		$	35,788		$	30,970

1. Capital ratio is net par and interest insured divided by qualified statutory capital.

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

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

(a) Present value of 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 contracts written in the current period, discounted at 6% per year. We believe PVP is a useful measure for management, equity analysts and investors because it permits the evaluation of the value of new business production for Assured Guaranty by taking into account the value of estimated future installment premiums on new contracts underwritten in a reporting period, which GAAP gross premiums written does not adequately measure. Actual future net earned or written 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.

(b) Operating income, which is a non-GAAP financial measure, is defined as net income excluding after-tax realized gains (losses) on investments and after-tax unrealized gains (losses) on derivative financial instruments. Operating return on equity (ROE) represents operating income as a percentage of average shareholders’ equity, excluding accumulated other comprehensive income. We believe that operating income and operating ROE are useful measures for management, equity analysts and investors because the presentation of operating income and operating ROE enhance the understanding of our results of operations by highlighting the underlying profitability of our insurance business. We exclude net realized gains (losses) on investments and net unrealized gains (losses) on derivative financial instruments because the amount 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. These measures should not be viewed as substitutes for net income or ROE determined in accordance with GAAP.

(c) Adjusted book value, which is a non-GAAP financial measure, is defined as shareholders’ equity (book value) plus the after-tax value of the unearned premium reserve net of prepaid reinsurance premiums, plus the net present value of estimated future installment premiums in force, less future ceding commissions, after tax discounted at 6%, less deferred acquisition costs, after tax. We believe adjusted book value is a useful measure for management, equity analysts and investors because the calculation of adjusted book value permits an evaluation of the net present value of the Company’s in-force premiums and capital base. The premiums described above will be earned in future periods, but may differ materially from the estimated amounts used in determining current adjusted book value due to changes in market interest rates, refinancing or refunding activity, prepayment speeds, policy changes or terminations, credit defaults, and other factors that management cannot control or predict. This measure should not be viewed as a substitute for book value determined in accordance with GAAP.

(d) Net present value of estimated future installment premiums in force, which is a non-GAAP financial measure, is defined as the present value of estimated future installment premiums from our in-force book of business, net of reinsurance and discounted at 6%. We believe net present value of estimated future installment premiums in force is a useful measure for management, equity analysts and investors because it permits an evaluation of the value of future estimated installment premiums. Estimated future premiums may change from period to period due to changes in par outstanding, maturity, or other factors that management cannot control or predict that result from market interest rates, refinancing or refunding activity, prepayment speeds, policy changes or terminations, credit defaults, or other factors. There is no comparable GAAP financial measure.

For adjusted book value, net present value of estimated future installment premiums in force, and present value of gross written premiums or PVP, we use 6% as the present value discount rate because it is the approximate taxable equivalent yield on our investment portfolio for the periods presented.







		Contacts:

		Equity investors and media
		Sabra Purtill
		Managing Director, Investor Relations and Strategic Planning
		(212) 408-6044
		spurtill@assuredguaranty.com

		Chris McNamee
		Vice President, Investor Relations
		(212) 261-5509
		cmcnamee@assuredguaranty.com

		Fixed income investors
		Patrick Early
		Director, Fixed Income Investor Relations
		(212) 408 6043
		pearly@assuredguaranty.com
Assured Guaranty Ltd.
30 Woodbourne Avenue		Michael Walker
Hamilton HM 08		Director, Fixed Income Investor Relations
Bermuda		(212) 261-5575
www.assuredguaranty.com		mwalker@assuredguaranty.com

Assured Guaranty (AGO) 8-KAssured Guaranty Ltd. Reports 12% Increase in First Quarter 2007 Net Income