Fitch Ratings has downgraded the Insurer Financial Strength (IFS) ratings of CIFG Guaranty (CIFG) and its affiliates to 'CCC' from 'A-'.

The affected units are: CIFG Guaranty, CIFG Assurance North America and CIFG Europe.  The rating agency has also placed the ratings on Rating Watch Evolving.                                                                                                                                                   The downgrade is partly based, on recent conversations with CIFG's management, in which the company has said that it could be at greater risk of falling below regulatory minimum capital requirements, if the firm's loss provisions rise,which might trigger an insolvency proceeding by regulators.

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