Armonk, NY-based MBIA Inc. is a holding company for one of the nation's biggest bond insurers. It provides financial guarantee insurance and other forms of credit protection and investment management services to public finance and structured finance issuers, investors and capital market participants. Its name is an acronym for Municipal Bond Investors Assurance.
The bond insurer's business was hit hard in 2008 after it lost its AAA credit rating amid the subprime blowup. The company recently separated its business guaranteeing structured finance securities (including subprime-mortgage-backed bonds) from its U.S. municipal bond insurance portfolio, splitting its operating subsidiary, MBIA Insurance Corp., into two entities. The municipal insurance firm is called National Public Finance Guarantee Corp.
MBIA sponsors the Wall Street Challenge Cup sailboat race to benefit Shake-A-Leg Newport, a sailing therapy program for children, adolescents and adults with spinal-cord injuries. MBIA's team is the Cup's two-time defending champion.