X0202 4 2006-12-06 0000874501 AMBAC FINANCIAL GROUP INC ABK 0001175992 UNGER LAURA S AMBAC FINANCIAL GROUP, INC. ONE STATE STREET PLAZA NEW YORK NY 10004 1 0 0 0 Common Stock 2006-12-06 4 A 0 10 85.43 A 5584 D Phantom Stock Units 2006-12-06 4 A 0 2 85.43 A Common Stock 1 941 D Phantom Stock Units 2006-12-06 4 A 0 117 85.43 A Common Stock 117 1058 D Represents dividends on Restricted Stock Units ("RSUs") granted to the Reporting Person under the Issuer's 1997 Non-Employee Directors Equity Plan, as amended, which dividends are paid in the form of additional RSUs. Represents dividends on Phantom Stock Units acquired under the Issuer's Deferred Compensation Plan and are to be settled 100% in cash upon the Reporting Person's retirement or resignation from the Issuer's Board of Directors or on an earlier dated previously selected by the Reporting Person. These Phantom Stock Units ("PSU") were acquired under the Issuer's Deferred Compensation Plan and represent 25% of the Reporting Person's Annual Retainer Fees for serving as a director during the third quarter of 2006. These PSUs are to be settled 100% in cash upon the Reporting Person's retirement or resignation from the Issuer's Board of Directors or on an earlier date previously selected by the Reporting Person. Each Phantom Stock Unit converts to common stock on a one to one basis. Stacey Spain, Attorney-in-fact for Laura S. Unger 2006-12-08