Ambac Financial Group, Inc. (NASDAQ:AMBC) Files An 8-K Submission of Matters to a Vote of Security Holders
Item 5.07 Submission of Matters to a Vote of Security Holders
The Annual Meeting of Stockholders of Ambac Financial Group, Inc.
(the Company) was held on May 19, 2017. Represented at the meeting
were 38,563,519>shares, or approximately 85%, of the Companys
45,228,945>shares of common stock outstanding and entitled to
vote at the meeting. Set forth below are the final voting results
for the actions taken by the stockholders at the meeting.
(the Company) was held on May 19, 2017. Represented at the meeting
were 38,563,519>shares, or approximately 85%, of the Companys
45,228,945>shares of common stock outstanding and entitled to
vote at the meeting. Set forth below are the final voting results
for the actions taken by the stockholders at the meeting.
|
1.
|
The Companys stockholders elected the six (6) director
nominees named below to a term expiring at the 2018>annual meeting or until their successors are elected and qualified, with each receiving the following votes: |
|
Name
|
Number of Votes For
|
Votes Withheld
|
Broker Non-Votes
|
|||
|
Alexander D. Greene
|
|
31,132,119
|
|
1,604,609
|
|
5,826,791
|
|
Ian D. Haft
|
|
31,428,483
|
|
1,308,245
|
|
5,826,791
|
|
David Herzog
|
|
31,881,119
|
|
855,609
|
|
5,826,791
|
|
Claude LeBlanc
|
|
31,886,131
|
|
850,597
|
|
5,826,791
|
|
C. James Prieur
|
|
31,286,680
|
|
1,450,048
|
|
5,826,791
|
|
Jeffrey S. Stein
|
31,800,438
|
936,290
|
5,826,791
|
|
2.
|
The Companys stockholders approved, by advisory (non-binding
vote), the compensation of our named executive officers, as disclosed in the Companys 2017>Proxy Statement, with the following vote: |
|
Number of
Votes For
|
Votes Against
|
Abstentions
|
Broker
Non-Votes
|
|||
|
20,551,561
|
11,713,438
|
471,729
|
5,826,791
|
|
3.
|
The Companys stockholders ratified the selection of KPMG LLP
as the independent registered public accounting firm for the fiscal year ending December 31, 2017>with the following vote: |
|
Number of Votes For
|
Votes Against
|
Abstentions
|
||
|
38,464,002
|
79,621
|
19,896
|
Item 7.01 Regulation FD Disclosure.
On May 19, 2017, Ambac Financial Group, Inc. (Ambac or the
Company) conducted its 2017 Annual Meeting of Stockholders (the
Annual Meeting). At the Annual Meeting, Mr. Claude Le Blanc,
President and Chief Executive Officer of the Company, delivered
the prepared remarks set forth in the following paragraph. In the
prepared remarks, Mr. LeBlanc reports on two non-GAAP financial
measures: Adjusted Earnings and Adjusted Book Value. Please refer
to the section below entitled “Non GAAP Financial Data” for an
explanation of why these measures are used and a reconciliation
to the nearest GAAP measure.
Company) conducted its 2017 Annual Meeting of Stockholders (the
Annual Meeting). At the Annual Meeting, Mr. Claude Le Blanc,
President and Chief Executive Officer of the Company, delivered
the prepared remarks set forth in the following paragraph. In the
prepared remarks, Mr. LeBlanc reports on two non-GAAP financial
measures: Adjusted Earnings and Adjusted Book Value. Please refer
to the section below entitled “Non GAAP Financial Data” for an
explanation of why these measures are used and a reconciliation
to the nearest GAAP measure.
CEO Business Update
Good morning and thank you for attending Ambacs 2017 Annual
Meeting. Over the past few months Ive had the pleasure to meet
many of you and Im pleased to have the opportunity to see you
here today and meet others for the first time. We at Ambac are
very grateful for your support and are committed to maintaining
constructive and active dialogues with our shareholders in an
effort to be transparent and advance our ultimate goal of
maximizing shareholder value.
Meeting. Over the past few months Ive had the pleasure to meet
many of you and Im pleased to have the opportunity to see you
here today and meet others for the first time. We at Ambac are
very grateful for your support and are committed to maintaining
constructive and active dialogues with our shareholders in an
effort to be transparent and advance our ultimate goal of
maximizing shareholder value.
Ambac achieved solid results and several significant key
milestones during 2016 and I look forward to building on that
strong momentum going forward. Since emerging from bankruptcy
just over four years ago we have generated $1.4 billion of net
income and approximately $2.5 billion of adjusted earnings,
marking a post-emergence increase in Book Value of $29.54 per
share and Adjusted Book Value of approximately $23.32 per share
as of March 31, 2017. During the year we also made governance
related improvements in response to feedback from shareholders.
We worked to strengthen and expand the core skillset of our Board
by adding three highly qualified and experienced directors: Jim
Prieur, Ian Haft, and David Herzog.
milestones during 2016 and I look forward to building on that
strong momentum going forward. Since emerging from bankruptcy
just over four years ago we have generated $1.4 billion of net
income and approximately $2.5 billion of adjusted earnings,
marking a post-emergence increase in Book Value of $29.54 per
share and Adjusted Book Value of approximately $23.32 per share
as of March 31, 2017. During the year we also made governance
related improvements in response to feedback from shareholders.
We worked to strengthen and expand the core skillset of our Board
by adding three highly qualified and experienced directors: Jim
Prieur, Ian Haft, and David Herzog.
Significant changes were also made in our compensation practices.
Our short-term incentive compensation program was revised for our
executive officers in 2017. A structured and more objective
approach was implemented to determine bonus award payouts based
on performance metrics for 2017, and beginning with 2016, a
percentage of short-term compensation became payable in equity,
and 50% of long-term incentive compensation is now payable in
equity. In addition, certain policies were also adopted such as
claw-backs and holding requirements. It is the Board’s view that
as the company works to develop a new long-term strategy, it is
particularly important that management compensation be focused
on, and further aligned with, creating long-term value for
shareholders.
Our short-term incentive compensation program was revised for our
executive officers in 2017. A structured and more objective
approach was implemented to determine bonus award payouts based
on performance metrics for 2017, and beginning with 2016, a
percentage of short-term compensation became payable in equity,
and 50% of long-term incentive compensation is now payable in
equity. In addition, certain policies were also adopted such as
claw-backs and holding requirements. It is the Board’s view that
as the company works to develop a new long-term strategy, it is
particularly important that management compensation be focused
on, and further aligned with, creating long-term value for
shareholders.
Looking now to 2017, we have and will continue to strive to
improve our risk profile and the financial stability of the
company. Since I arrived at Ambac in January, we have been
focused on aggressively reducing net par exposure and adversely
classified credits, realizing litigation settlements,
strategically allocating our capital and developing our long-term
strategic vision. Our litigation efforts remain a key
value-driver for Ambac and we continue to aggressively pursue
remedies to protect our rights. Consistent with this strategy,
during 2017 we filed four suits against Puerto Rico, two against
an RMBS trustee and we continue to pursue our RMBS cases, as well
as other non-RMBS related cases. With respect to our RMBS
litigations, we received a decision from the appellate court this
week in our flagship case against Countrywide and Bank of
America. While some of the rulings were not in our favor, it is
important to emphasize that our core rep and warranty case was
not materially impacted; our fraud claim remains valid and intact
as does our successor liability claim against Bank of America.
More specifically, on primary liability vs. Countrywide, the
appellate panel reversed the trial court judge on a number of
issues that had been decided in Ambacs favor. Nonetheless, the
rulings do not materially impact our core put-back claim and we
continue to have what we believe to be two viable paths to
recovery – put-back and fraud. Our path to recovery by way of
fraud will require us to do more as a result of the courts
rulings that New York Insurance Law does not relieve us of the
need to prove certain common law elements of this claim. However,
we are fully prepared to litigate those issues and have always
assumed that we might need to do so. The appellate panel also
affirmed the trial court in preserving two of our theories of
secondary liability, although the appellate court ruled against
us on our third theory. We believe our remaining claims against
Bank of America are strong and are pleased they have been
preserved. We are conferring with counsel as to whether to appeal
any aspect of these rulings and have not yet made a decision one
way or the other. We remain focused on getting these claims to
trial as soon as possible and we hope these decisions will allow
us to move expeditiously in that direction with a trial early
next year.
improve our risk profile and the financial stability of the
company. Since I arrived at Ambac in January, we have been
focused on aggressively reducing net par exposure and adversely
classified credits, realizing litigation settlements,
strategically allocating our capital and developing our long-term
strategic vision. Our litigation efforts remain a key
value-driver for Ambac and we continue to aggressively pursue
remedies to protect our rights. Consistent with this strategy,
during 2017 we filed four suits against Puerto Rico, two against
an RMBS trustee and we continue to pursue our RMBS cases, as well
as other non-RMBS related cases. With respect to our RMBS
litigations, we received a decision from the appellate court this
week in our flagship case against Countrywide and Bank of
America. While some of the rulings were not in our favor, it is
important to emphasize that our core rep and warranty case was
not materially impacted; our fraud claim remains valid and intact
as does our successor liability claim against Bank of America.
More specifically, on primary liability vs. Countrywide, the
appellate panel reversed the trial court judge on a number of
issues that had been decided in Ambacs favor. Nonetheless, the
rulings do not materially impact our core put-back claim and we
continue to have what we believe to be two viable paths to
recovery – put-back and fraud. Our path to recovery by way of
fraud will require us to do more as a result of the courts
rulings that New York Insurance Law does not relieve us of the
need to prove certain common law elements of this claim. However,
we are fully prepared to litigate those issues and have always
assumed that we might need to do so. The appellate panel also
affirmed the trial court in preserving two of our theories of
secondary liability, although the appellate court ruled against
us on our third theory. We believe our remaining claims against
Bank of America are strong and are pleased they have been
preserved. We are conferring with counsel as to whether to appeal
any aspect of these rulings and have not yet made a decision one
way or the other. We remain focused on getting these claims to
trial as soon as possible and we hope these decisions will allow
us to move expeditiously in that direction with a trial early
next year.
Another key risk and focus of ours is the situation in Puerto
Rico. As we previously reported, our first quarter results were
heavily influenced by an increase in reserves related to Puerto
Rico. Our primary focus for Puerto Rico is how to most
efficiently limit and mitigate losses and exit exposures. To that
end, and as noted earlier, we recently filed four lawsuits to
protect and enforce our rights and have been evaluating and
pursuing strategic transactions that will broaden our options and
enhance our flexibility. The first hearing was held this past
Wednesday in the Puerto Rico restructuring cases. The hearing was
in Puerto Rico and was presided over by District Court Judge
Swain who is sitting by designation from the Southern District of
New York. The hearing went as expected. All of the motions heard
were procedural, but we (and other creditors) used it as an
opportunity to educate the Court about our perspective on the
case and our history and relationship with Puerto Rico.
Rico. As we previously reported, our first quarter results were
heavily influenced by an increase in reserves related to Puerto
Rico. Our primary focus for Puerto Rico is how to most
efficiently limit and mitigate losses and exit exposures. To that
end, and as noted earlier, we recently filed four lawsuits to
protect and enforce our rights and have been evaluating and
pursuing strategic transactions that will broaden our options and
enhance our flexibility. The first hearing was held this past
Wednesday in the Puerto Rico restructuring cases. The hearing was
in Puerto Rico and was presided over by District Court Judge
Swain who is sitting by designation from the Southern District of
New York. The hearing went as expected. All of the motions heard
were procedural, but we (and other creditors) used it as an
opportunity to educate the Court about our perspective on the
case and our history and relationship with Puerto Rico.
Specifically, we focused the Court on the separateness of
COFINA, and the tangible conflicts between it and the
Commonwealth. We also discussed the creditors needs for
financial diligence and transparency. The Court appreciated the
conflict issues, and made clear her expectation that the
Oversight Board address the concerns raised going forward.
Judge Swain also indicated she would assist with the flow of
information and facilitate future negotiations, and asked for a
report regarding the progress of diligence and thoughts on
mediation by mid-June.
COFINA, and the tangible conflicts between it and the
Commonwealth. We also discussed the creditors needs for
financial diligence and transparency. The Court appreciated the
conflict issues, and made clear her expectation that the
Oversight Board address the concerns raised going forward.
Judge Swain also indicated she would assist with the flow of
information and facilitate future negotiations, and asked for a
report regarding the progress of diligence and thoughts on
mediation by mid-June.
As it relates to Ambacs 2017 plan, Puerto Rico has not and will
not distract us from continuing our focus across all our
priorities going forward. In particular, we remain actively
engaged with the Rehabilitator and creditors in progressing a
plan for the Segregated Account to exit rehabilitation and were
pleased to receive, on April 10, our regulator’s express
support to continue progressing our plan over a 60-day period.
To this end, we also acquired approximately $200 million
accreted par of the General Account and Segregated Account
surplus notes, and accelerated purchases of distressed
Ambac-insured bonds. We believe these actions, in addition to
other key initiatives we are currently pursuing, will serve to
advance our plans towards the Segregated Accounts exit from
rehabilitation. However, we can provide no assurances as to
whether, when or on what terms an exit plan will be introduced
or implemented.
not distract us from continuing our focus across all our
priorities going forward. In particular, we remain actively
engaged with the Rehabilitator and creditors in progressing a
plan for the Segregated Account to exit rehabilitation and were
pleased to receive, on April 10, our regulator’s express
support to continue progressing our plan over a 60-day period.
To this end, we also acquired approximately $200 million
accreted par of the General Account and Segregated Account
surplus notes, and accelerated purchases of distressed
Ambac-insured bonds. We believe these actions, in addition to
other key initiatives we are currently pursuing, will serve to
advance our plans towards the Segregated Accounts exit from
rehabilitation. However, we can provide no assurances as to
whether, when or on what terms an exit plan will be introduced
or implemented.
Additionally, we recently commenced initiatives towards
evaluating and establishing a long-term business strategy for
Ambac as well as making future operational improvements. We
believe Ambac is well positioned to capture a broad range of
strategic options to create long-term shareholder value and we
look forward to sharing more details later in the year.
evaluating and establishing a long-term business strategy for
Ambac as well as making future operational improvements. We
believe Ambac is well positioned to capture a broad range of
strategic options to create long-term shareholder value and we
look forward to sharing more details later in the year.
I want to emphasize again that the Board, Executive Management,
and all the employees at Ambac are committed to, and working
diligently towards, generating long-term value for
shareholders. We are optimistic about the opportunities that
lie ahead of us and look forward to updating you on our
progress during the year. Thank you for your ongoing commitment
to Ambac.
and all the employees at Ambac are committed to, and working
diligently towards, generating long-term value for
shareholders. We are optimistic about the opportunities that
lie ahead of us and look forward to updating you on our
progress during the year. Thank you for your ongoing commitment
to Ambac.
After these remarks, Mr. LeBlanc responded to a number of
questions from stockholders.
questions from stockholders.
In response to a question about whether the May 16, 2017
decisions of the New York Supreme Court, Appellate Division,
First Department in the litigation against Countrywide Home
Loans, Inc., et al. and Bank of America Corp. by Ambac
Assurance Corporation (AAC) and the Segregated Account of Ambac
Assurance Corporation (the Segregated Account) would impact the
amount of RMBS Representation and Warranty Subrogation
Recoveries recorded in Ambacs financial statements, Mr. LeBlanc
expressed the view that the decisions would not result in a
material change to the recorded figure. He explained that the
expected recoveries as reflected in the financial statements
were based on the put-back claims asserted by AAC and the
Segregated Account, which management believes were not
materially affected by the recent appellate decisions.
decisions of the New York Supreme Court, Appellate Division,
First Department in the litigation against Countrywide Home
Loans, Inc., et al. and Bank of America Corp. by Ambac
Assurance Corporation (AAC) and the Segregated Account of Ambac
Assurance Corporation (the Segregated Account) would impact the
amount of RMBS Representation and Warranty Subrogation
Recoveries recorded in Ambacs financial statements, Mr. LeBlanc
expressed the view that the decisions would not result in a
material change to the recorded figure. He explained that the
expected recoveries as reflected in the financial statements
were based on the put-back claims asserted by AAC and the
Segregated Account, which management believes were not
materially affected by the recent appellate decisions.
One stockholder inquired about plans for the possible
conclusion of the Segregated Account rehabilitation proceedings
and how much capital needed to be injected into AAC to satisfy
the Rehabilitator of the Segregated Account that it has
sufficient capital for the Segregated Account to exit
rehabilitation. Mr. LeBlanc explained that capital would not be
injected into AAC, rather AAC was working on improving its
capital position by (1) reducing risks and remediating losses
in the insured portfolio; (2) crystallizing the value of, or
selling, illiquid assets or assets the value of which may not
be immediately realized; and (3) seeking to gain consents to
exchange cash and securities (or other assets or instruments)
for outstanding deferred payment obligations on Segregated
Account policies and surplus notes. In response to a question
about how much capital the Rehabilitator would require to
result from AACs efforts, Mr. LeBlanc replied that the
Rehabilitator has not informed the Company of the requirement
but that he thought that the Company would need to achieve a
large increase in its capital position to satisfy the
Rehabilitator. The stockholder then questioned whether the
amount of the required increase was more or less than $500
million, and Mr. LeBlanc responded that he thought it would be
more than $500 million but stressed that the Company was
presently unaware of the requirements of the Rehabilitator. It
was also stressed that the Rehabilitator will determine if and
when it is appropriate to disclose such information, and the
Company does not speak for the Rehabilitator.
conclusion of the Segregated Account rehabilitation proceedings
and how much capital needed to be injected into AAC to satisfy
the Rehabilitator of the Segregated Account that it has
sufficient capital for the Segregated Account to exit
rehabilitation. Mr. LeBlanc explained that capital would not be
injected into AAC, rather AAC was working on improving its
capital position by (1) reducing risks and remediating losses
in the insured portfolio; (2) crystallizing the value of, or
selling, illiquid assets or assets the value of which may not
be immediately realized; and (3) seeking to gain consents to
exchange cash and securities (or other assets or instruments)
for outstanding deferred payment obligations on Segregated
Account policies and surplus notes. In response to a question
about how much capital the Rehabilitator would require to
result from AACs efforts, Mr. LeBlanc replied that the
Rehabilitator has not informed the Company of the requirement
but that he thought that the Company would need to achieve a
large increase in its capital position to satisfy the
Rehabilitator. The stockholder then questioned whether the
amount of the required increase was more or less than $500
million, and Mr. LeBlanc responded that he thought it would be
more than $500 million but stressed that the Company was
presently unaware of the requirements of the Rehabilitator. It
was also stressed that the Rehabilitator will determine if and
when it is appropriate to disclose such information, and the
Company does not speak for the Rehabilitator.
The Rehabilitator has publicly stated that any transaction
facilitating the conclusion of the Segregated Account
rehabilitation proceedings will need to provide for an increase
in AACs existing surplus capital, as determined and defined by
OCI in its sole discretion. We cannot provide assurance that
the terms of any possible transaction will satisfy OCI or the
Rehabilitator that AAC has, or will have, sufficient capital to
meet all policy obligations after the conclusion of the
Segregated Account Rehabilitation Proceedings. The terms,
conditions, and timing of a potential conclusion of the
Segregated Account rehabilitation proceedings are in the sole
discretion of OCI, and subject to the approval of the
Rehabilitation Court. Even if the Segregated Account
Rehabilitation Proceedings could be brought to a successful
conclusion, there can be no assurance that any level of capital
deemed sufficient by OCI to permit the conclusion will be
sufficient to cover all future losses, whether currently
anticipated or unanticipated.
facilitating the conclusion of the Segregated Account
rehabilitation proceedings will need to provide for an increase
in AACs existing surplus capital, as determined and defined by
OCI in its sole discretion. We cannot provide assurance that
the terms of any possible transaction will satisfy OCI or the
Rehabilitator that AAC has, or will have, sufficient capital to
meet all policy obligations after the conclusion of the
Segregated Account Rehabilitation Proceedings. The terms,
conditions, and timing of a potential conclusion of the
Segregated Account rehabilitation proceedings are in the sole
discretion of OCI, and subject to the approval of the
Rehabilitation Court. Even if the Segregated Account
Rehabilitation Proceedings could be brought to a successful
conclusion, there can be no assurance that any level of capital
deemed sufficient by OCI to permit the conclusion will be
sufficient to cover all future losses, whether currently
anticipated or unanticipated.
* * * * * * *
Non GAAP Financial Data
In the prepared remarks above, the Company reports two
non-GAAP financial measures: Adjusted Earnings and Adjusted
Book Value. A non-GAAP financial measure is a numerical
measure of financial performance or financial position that
excludes (or includes) amounts that are included in (or
excluded from) the most directly comparable measure
calculated and presented in accordance with GAAP. We are
presenting these non-GAAP financial measures because they
provide greater transparency and enhanced visibility into the
underlying drivers of our business and the impact of certain
items that the Company believes will reverse from GAAP book
value over time through the GAAP statements of comprehensive
income. Adjusted Earnings and Adjusted Book Value are not
substitutes for the Companys GAAP reporting, should not be
viewed in isolation and may differ from similar reporting
provided by other companies, which may define non-GAAP
measures differently.
non-GAAP financial measures: Adjusted Earnings and Adjusted
Book Value. A non-GAAP financial measure is a numerical
measure of financial performance or financial position that
excludes (or includes) amounts that are included in (or
excluded from) the most directly comparable measure
calculated and presented in accordance with GAAP. We are
presenting these non-GAAP financial measures because they
provide greater transparency and enhanced visibility into the
underlying drivers of our business and the impact of certain
items that the Company believes will reverse from GAAP book
value over time through the GAAP statements of comprehensive
income. Adjusted Earnings and Adjusted Book Value are not
substitutes for the Companys GAAP reporting, should not be
viewed in isolation and may differ from similar reporting
provided by other companies, which may define non-GAAP
measures differently.
Adjusted Earnings
The following tables reconcile net income attributable to
common stockholders to the non-GAAP measure, adjusted
earnings, for the each period presented and show the post
emergence totals.
common stockholders to the non-GAAP measure, adjusted
earnings, for the each period presented and show the post
emergence totals.
|
|
|
Three Months Ended
|
|
Year Ending December 31,
|
||||||||||||||||||||
|
|
|
March 31, 2017
|
|
|
|
|
||||||||||||||||||
|
($ in millions, other than per share data)
|
|
$ Amount
|
|
Per Diluted Share
|
|
$ Amount
|
|
Per Diluted Share
|
|
$ Amount
|
|
Per Diluted Share
|
||||||||||||
|
Net income (loss) attributable to common
shareholders |
|
$
|
(125.4
|
)
|
|
$
|
(2.77
|
)
|
|
$
|
74.8
|
|
|
$
|
1.64
|
|
|
$
|
493.4
|
|
|
$
|
10.72
|
|
|
Adjustments:
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
|
Non-credit impairment fair value (gain) loss on
credit derivatives |
|
1.7
|
|
|
0.04
|
|
|
(7.5
|
)
|
|
(0.16
|
)
|
|
(36.7
|
)
|
|
(0.80
|
)
|
||||||
|
Insurance intangible amortization
|
|
37.5
|
|
|
0.83
|
|
|
174.6
|
|
|
3.82
|
|
|
169.6
|
|
|
3.69
|
|
||||||
|
Impairment of goodwill
|
|
|
|
|
|
|
|
|
|
|
|
|
|
514.5
|
|
|
11.18
|
|
||||||
|
Foreign exchange (gains) losses
|
|
(7.1
|
)
|
|
(0.16
|
)
|
|
39.1
|
|
|
0.86
|
|
|
27.4
|
|
|
0.60
|
|
||||||
|
Fair value (gain) loss on interest rate
derivatives from Ambac CVA |
|
2.0
|
|
|
0.05
|
|
|
33.8
|
|
|
0.73
|
|
|
(14.2
|
)
|
|
(0.31
|
)
|
||||||
|
Adjusted earnings (loss)
|
|
$
|
(91.2
|
)
|
|
$
|
(2.01
|
)
|
|
$
|
314.8
|
|
|
$
|
6.89
|
|
|
$
|
1,154.0
|
|
|
$
|
25.08
|
|
|
|
|
Year Ended
|
|
Eight Months Ended
|
|
|
||||||||||||||||||
|
|
|
December 31, 2014
|
|
December 31, 2013
|
|
Post Emergence Total
|
||||||||||||||||||
|
($ in millions, other than per share data)
|
|
$ Amount
|
|
Per Diluted Share
|
|
$ Amount
|
|
Per Diluted Share
|
|
$ Amount
|
|
Per Diluted Share
|
||||||||||||
|
Net income (loss) attributable to common
shareholders |
|
$
|
484.1
|
|
|
$
|
10.31
|
|
|
$
|
505.2
|
|
|
$
|
10.91
|
|
|
$
|
1,432.1
|
|
|
$
|
30.81
|
|
|
Adjustments:
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
|
Non-credit impairment fair value (gain) loss on
credit derivatives |
|
(17.1
|
)
|
|
(0.37
|
)
|
|
(165.9
|
)
|
|
(3.58
|
)
|
|
(225.5
|
)
|
|
(4.87
|
)
|
||||||
|
Insurance intangible amortization
|
|
151.8
|
|
|
3.24
|
|
|
99.7
|
|
|
2.15
|
|
|
633.2
|
|
|
13.73
|
|
||||||
|
Impairment of goodwill
|
|
|
|
|
|
|
|
|
|
|
|
|
514.5
|
|
|
11.18
|
|
|||||||
|
Foreign exchange (gains) losses
|
|
34.6
|
|
|
0.74
|
|
|
(23.6
|
)
|
|
(0.51
|
)
|
|
70.3
|
|
|
1.53
|
|
||||||
|
Fair value (gain) loss on interest rate
derivatives from Ambac CVA |
|
(16.1
|
)
|
|
(0.34
|
)
|
|
46.8
|
|
|
1.01
|
|
|
52.3
|
|
|
1.14
|
|
||||||
|
Adjusted earnings (loss)
|
|
$
|
637.2
|
|
|
$
|
13.58
|
|
|
$
|
462.1
|
|
|
$
|
9.98
|
|
|
$
|
2,476.9
|
|
|
$
|
53.52
|
|
Adjusted Book Value
The following tables reconcile Total Ambac Financial Group,
Inc. stockholders equity to the non-GAAP measure Adjusted
Book Value as of each date presented and show the increase
in each measure since emerging from bankruptcy.
Inc. stockholders equity to the non-GAAP measure Adjusted
Book Value as of each date presented and show the increase
in each measure since emerging from bankruptcy.
|
|
|
March 31, 2017
|
|
June 30, 2013
|
|
Change
|
||||||||||||||||||
|
($ in millions, other than per share data)
|
|
$ Amount
|
|
Per Share
|
|
$ Amount
|
|
Per Share
|
|
$ Amount
|
|
Per Share
|
||||||||||||
|
Total AFGI Shareholders’ Equity
|
|
$
|
1,624.8
|
|
|
$
|
35.92
|
|
|
$
|
287.2
|
|
|
$
|
6.38
|
|
|
$
|
1,337.6
|
|
|
$
|
29.54
|
|
|
Adjustments:
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
|
Non-credit impairment fair value losses on
credit derivatives |
|
13.2
|
|
|
0.29
|
|
|
188.5
|
|
|
4.19
|
|
|
$
|
(175.4
|
)
|
|
(3.90
|
)
|
|||||
|
Insurance intangible asset
|
|
(931.2
|
)
|
|
(20.58
|
)
|
|
(1,621.6
|
)
|
|
(36.03
|
)
|
|
690.5
|
|
|
15.45
|
|
||||||
|
Goodwill
|
|
|
|
|
|
|
|
(514.5
|
)
|
|
(11.43
|
)
|
|
514.5
|
|
|
11.43
|
|
||||||
|
Ambac CVA on interest rate derivative
liabilities |
|
(42.9
|
)
|
|
(0.95
|
)
|
|
(64.6
|
)
|
|
(1.44
|
)
|
|
21.8
|
|
|
0.49
|
|
||||||
|
Net unearned premiums and fees in excess of
expected losses |
|
701.4
|
|
|
15.51
|
|
|
1,803.8
|
|
|
40.08
|
|
|
(1,102.4
|
)
|
|
(24.57
|
)
|
||||||
|
Net unrealized investment (gains) losses in
Accumulated Other Comprehensive Income |
|
(140.2
|
)
|
|
(3.10
|
)
|
|
91.0
|
|
|
2.02
|
|
|
(231.2
|
)
|
|
(5.12
|
)
|
||||||
|
Adjusted book value
|
|
$
|
1,225.2
|
|
|
$
|
27.09
|
|
|
$
|
169.8
|
|
|
$
|
3.77
|
|
|
$
|
1,055.4
|
|
|
$
|
23.32
|
|
* * * * * * *
The information furnished to this Item 7.01, shall not be
deemed filed for purposes of Section 18 of the Securities
Exchange Act of 1934 (the Exchange Act) or otherwise
subject to the liabilities under that Section and shall not
be deemed to be incorporated by reference into any filing
of the Company under the Securities Act of 1933, as amended
or the Exchange Act.
deemed filed for purposes of Section 18 of the Securities
Exchange Act of 1934 (the Exchange Act) or otherwise
subject to the liabilities under that Section and shall not
be deemed to be incorporated by reference into any filing
of the Company under the Securities Act of 1933, as amended
or the Exchange Act.
Ambac Financial Group, Inc. (NASDAQ:AMBC) Recent Trading Information
Ambac Financial Group, Inc. (NASDAQ:AMBC) closed its last trading session 00.00 at 16.49 with 516,331 shares trading hands.
