Plan to Rescue Bond Insurers Is Outlined
February 15, 2008 – 3:52 am‘WASHINGTON (Reuters) - The recapitalization of bond insurers hit by the subprime crisis may occur soon, but if it fails, insurers can be forced to separate riskier activities from their municipal bonds business, New York State officials said Thursday.
‘”The clear preference is a recapitalization of the companies, something that could happen at some point. We would hope shortly,” Gov. Eliot Spitzer of New York said after testifying before a House Financial Services subcommittee about the state of the bond insurance industry.
Asked to be specific, Mr. Spitzer said: “It could happen within a couple of days.”‘
Originally
from Disinfo.com
by
reBlogged
on Feb 15, 2008, 2:23AM
Originally by alexburns from Disinfo.com on February 15, 2008, 2:23am
