Assured Guaranty Ltd. (NYSE: AGO) (“AGL”), along with its wholly owned
subsidiary, Assured Guaranty US Holdings Inc. (“AGUS”), announced that
the companies expect to remarket on May 24, 2012 AGUS’s 8.50% Senior
Notes due 2014 (CUSIP No. 04621W AB6) (the “Notes”). The Notes were
originally issued as part of AGL’s Corporate Units (CUSIP No. G0585R
122). AGL and AGUS intend to remarket the Notes exclusively to AGL or
one of its affiliates. All Notes acquired by AGL or its affiliate will
be retired on or about June 1, 2012. AGL expects to finance the
retirement of the Notes using available cash.
Holders of the outstanding Notes that are components of the Corporate
Units and holders of Notes held separately from the Corporate Units who
elect to participate in a successful remarketing will receive the
remaining proceeds, if any, from the remarketing, after deduction of the
remarketing fee and, in the case of the holders of Corporate Units,
after satisfaction of the holders’ obligations under the related
purchase contracts to purchase AGL’s common shares on June 1, 2012.
The reset rate and interest payment dates for the Notes will be
established, and modified terms of the Notes will be set, on the
remarketing date and will be effective on June 1, 2012. The reset rate
will be determined by the remarketing agent based solely on the bid
submitted by AGL or its affiliate that results in a price for the Notes
equal to at least 100% of the aggregate principal amount of the Notes
being remarketed plus the applicable remarketing fee. The remarketing
fee is expected to be $431,250.
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, infrastructure and
structured finance markets. More information on Assured Guaranty and its
subsidiaries can be found at www.assuredguaranty.com.
Any forward-looking statements made in this press release reflect
Assured Guaranty’s current views with respect to future events 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. These risks and uncertainties
include, but are not limited to, those resulting from Assured Guaranty’s
ability to remarket the Notes successfully and other risks and
uncertainties that have not been identified at this time, management’s
response to these factors, and other risk factors identified in Assured
Guaranty’s filings with the Securities and Exchange Commission. Readers
are cautioned not to place undue reliance on these forward-looking
statements, which are made as of May 21, 2012. Assured Guaranty
undertakes no obligation to publicly update or revise any
forward-looking statements, whether as a result of new information,
future events or otherwise, except as required by law.
