Fitch Ratings yesterday downgraded bond insurer Financial Security Assurance Inc. to AA-plus from AAA, removing its last triple-A rating from a bond insurer. The rating remains on negative watch.

Fitch said the downgrade "primarily reflects Fitch's view of the residual risks retained by FSA following the transfer of its financial products business to Dexia." Assured plans to acquire FSA parent Financial Security Assurance Holdings Ltd. from Dexia, excluding the financial products business.

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