Note 5 - VIEs Level 3 (Tables)

6 Months Ended

Jun. 30, 2012

VIEs [Abstract]

Financial Guaranty Insurance Contracts VIEs [Table Text Block]

The following tables provide a summary of our maximum exposure to losses, and the financial impact on our condensed consolidated balance sheets, our condensed consolidated statements of operations and our condensed consolidated statements of cash flows as of and for the periods indicated, as it relates to our consolidated and unconsolidated financial guaranty insurance contracts and credit derivative VIEs:

	Consolidated				Unconsolidated
(In millions)	June 30, 2012		December 31, 2011		June 30, 2012		December 31, 2011
Balance Sheet:
Trading securities	$	—	$	94.5	$	—	$	—
Other invested assets	75.4		—		—		—
Derivative assets	—		—		2.9		4.1
Premiums receivable	—		—		3.2		3.6
Other assets	100.7		105.9		—		—
Unearned premiums	—		—		3.3		3.8
Reserve for losses and LAE	—		—		14.5		7.9
Derivative liabilities	75.4		19.5		119.3		79.5
VIE debt—at fair value	100.3		218.8		—		—
Accounts payable and accrued expenses	0.4		0.5		—		—
Maximum exposure (1)	125.8		580.0		5,224.5		6,126.3

_______________

(1) The difference between the carrying amounts of the net asset/liability position and maximum exposure related to VIEs is primarily due to the difference between the face amount of the obligation and the recorded fair values, which include an adjustment for our non-performance risk, as applicable. For those VIEs that have recourse to our general credit, the maximum exposure is based on the net par amount of our insured obligation. For any VIEs that do not have recourse to our general credit, the maximum exposure is generally based on the recorded net assets of the VIE, as of the reporting date.

	Consolidated						Unconsolidated
	Six Months Ended June 30,						Six Months Ended June 30,
(In millions)	2012			2011			2012			2011
Statement of Operations:
Premiums earned	$	—		$	—		$	0.9		$	1.6
Net investment income	2.4			4.1			—			—
Net (loss) gain on investments	(2.9		)	20.0			—			—
Change in fair value of derivative        instruments—(loss) gain	(2.4		)	(4.9		)	(114.4		)	330.0
Net (loss) gain on other financial        instruments	(92.5		)	45.3			—			—
Provision for losses—increase	—			—			5.7			(0.1		)
Other operating expenses	1.3			1.5			—			—
Net Cash (Outflow) Inflow	(134.8		)	0.4			(71.8		)	3.8

Net Interest Margin Securities VIES [Table Text Block]

The following tables provide a summary of our maximum exposure to losses, and the financial impact on our condensed consolidated balance sheets, our condensed consolidated statements of operations and our condensed consolidated statements of cash flows as of and for the periods indicated, as it relates to our consolidated NIMS VIEs:

(In millions)	June 30, 2012		December 31, 2011
Balance Sheet:
Derivative assets	$	1.7	$	1.6
VIE debt—at fair value	7.5		9.4
Maximum exposure (1)	14.1		18.5

_______________

(1) The difference between the carrying amounts of the net asset/liability position and maximum exposure related to VIEs is primarily due to the difference between the face amount of the obligation and the recorded fair values, which include an adjustment for our non-performance risk. The maximum exposure is based on the net par amount of our insured obligation as of the reporting date.

	Six Months Ended June 30,
(In millions)	2012			2011
Statement of Operations:
Net investment income	$	0.3		$	0.3
Change in fair value of derivative instruments—loss	—			(1.5		)
Net (loss) gain on other financial instruments	(2.5		)	1.8
Net Cash Outflow	4.4			78.1