News
March 28, 2004
ARMONK, N.Y.--(BUSINESS WIRE)--March 29, 2004--MBIA Inc. (NYSE: MBI) announced today that it has agreed to sell the assets of 1838 Investment Advisors, LLC, an asset management firm focusing primarily on equities, to the management of 1838 together with an investor group led by Orca Bay Partners. The sale is expected to result in a small gain for MBIA.
MBIA president, Gary Dunton, said, "Over the past five years, we have been pleased with our ownership of 1838, but have decided to concentrate on fixed-income asset management. Our fixed-income operations are consistent with our core competency of credit analysis, are a natural extension of our financial guarantee business, and have demonstrated continued strong performance. This sale will allow the management of 1838 to again directly participate in the ownership of their business, and we wish them success."
MBIA acquired 1838 Investment Advisors in 1998 and it became part of MBIA Asset Management, LLC. At year-end 2003, MBIA's investment management division had $37.5 billion in ending assets under management, of which 1838 accounted for $3.6 billion.
MBIA Inc., through its subsidiaries, is a leading financial guarantor and provider of specialized financial services. MBIA's innovative and cost-effective products and services meet the credit enhancement, financial and investment needs of its public and private sector clients, domestically and internationally. MBIA Inc.'s principal operating subsidiary, MBIA Insurance Corporation, has a financial strength rating of Triple-A from Moody's Investors Service, Standard & Poor's Ratings Services, Fitch Ratings, and Rating and Investment Information, Inc. Please visit MBIA's Web site at http://www.mbia.com .
Preceding press release obtained from MBIA Inc. at www.mbia.com . Berkshire Capital has reprinted this press release substantially in its entirety.
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