Warren Buffett tells CNBC this morning that he has a plan to help the troubled bond insurance situation, but so far it's not getting a very warm reception.In a live telephone call to Squawk Box, Buffett offered to reinsure $800 billion in municipal bonds now insured by Ambac, MBIA and FGIC, effectively giving them a AAA credit rating.
Those insurers are in danger of losing their AAA credit ratings due to problems with subprime mortgages and other loans.
Buffett tells us he sent that offer to the bond insurers last week, and that he's giving them 30 days to find a better deal.
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Tuesday, February 12, 2008
Warren Buffett to CNBC: I Will Reinsure $800B in Municipal Bonds
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