Bond insurer Financial Security Assurance Inc. last week reported a fourth-quarter 2008 net loss of $476 million, compared to a net loss of $89.3 million for the same quarter in 2007.

FSA attributed the quarter and annual results to loss expenses related to guarantees of residential mortgage-backed securities and negative fair-value adjustments on credit derivatives in the insured portfolio. It reported a net operating loss of $365.2 million for the fourth quarter 2008, compared to a net operating income of $87.9 million for the fourth quarter of 2007.

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