Assured Guaranty Presentation June 2013

ASSURED GUARANTY MUNICIPALASSURED GUARANTY CORP. 1 Introduction  Assured Guaranty Ltd. (“AGL” and together with its subsidiaries “Assured Guaranty” or “the Company”) is the leading financial guaranty franchise  Publicly traded holding company (NYSE: AGO) with extensive quarterly financial disclosures providing transparency to all investors  More than a quarter-century of experience in financial guaranty market  We are the only long-standing financial guaranty company writing new business today  Strong capital base  Consolidated claims-paying resources of $12.0 billion as of March 31, 2013  Consolidated investment portfolio of $10.9 billion as of March 31, 2013  Committed to maintaining strong financial strength ratings from Moody’s and S&P  AA- rating with a Stable Outlook from Standard & Poor’s  We are focused on building demand for our guaranties in the market  Assured Guaranty insured 1,160 transactions in Full Year 2012 in the primary market, representing $13.2 billion in Par  Assured Guaranty insured 230 transactions in 2013 YTD (through 5/31) in the primary market, representing $2.7 billion in Par  Currently insure nearly 11,000 unique municipal credits and nearly $500mm of our insured bonds trade each day on average

ASSURED GUARANTY MUNICIPALASSURED GUARANTY CORP. Texas Activity 2  Assured wrapped $1.8 bn of Texas municipal bonds in 2012 across 287 transactions.  23% of new issue transactions within the State of Texas, nearly 1 in 4, came with Assured’s insurance in 2012  Assured’s activity within Texas in 2012 included more than 200 Municipal Utility District transactions for $1.1 bn of par.  These MUDs ranged in underlying rating from A+ to BBB-.  Estimated spread savings of bps on “A” rated MUDs and bps on “BBB” rated MUDs  Assured insures the bonds of 380 separate and distinct MUDs with par outstanding of approximately $4.28 billion.

ASSURED GUARANTY MUNICIPALASSURED GUARANTY CORP. Our Approach to Municipal Utility Districts 3 Our analysis of perspective municipal utility districts for bond insurance primarily focuses on credit factors within the following five areas: Legal Structure Debt Characteristics Local Economic Profile District Composition Financial Strength

ASSURED GUARANTY MUNICIPALASSURED GUARANTY CORP. Legal Structure and Debt Profile 4  Bonds are voter approved and secured by district’s general obligation, unlimited tax pledge.  Necessary bonding approvals are in place from State agencies and local municipalities responsible for oversight.  Debt load should be affordable for tax base – debt / assessed value should be manageable.  Capital improvement plan and borrowing capacity are considered, and should remain commensurate with district needs.  Debt service tax rates typically remain below $1.50 per $100 of assessed value.

ASSURED GUARANTY MUNICIPALASSURED GUARANTY CORP. Local Economic Conditions Insured districts are often located within relatively healthy economic regions characterized by: Ample nearby employment opportunities (i.e. Houston MSA). A tax base that is capable of supporting local tax rates. Tax collection rates are typically high. Property tax rates that are competitive with neighboring communities. Tax base continues to grow as a result of recent development as well as demand for district housing. Low foreclosure rates. 5

ASSURED GUARANTY MUNICIPALASSURED GUARANTY CORP. District Composition 6 Insurable districts typically are fairly well developed. There is substantial residential development, and growth in assessed valuation. Residential development with owner occupied homes is preferred. Given the need for substantial development and investment grade ratings, Assured is not typically involved in a district’s first bond financing, but rather subsequent financings as district becomes built out. Depending upon status of district development, assessed values will be either stable or growing from additional development or demand. District tax base should be relatively diverse, with little concentration to a limited number of leading taxpayers.

ASSURED GUARANTY MUNICIPALASSURED GUARANTY CORP. Financial Operations Analysis of the General Fund and Debt Service Fund is conducted for perspective districts to determine financial strength and dependability. Typically like to see the last three to five years of audited financial statements. Both the General Fund and the Debt Service Fund should consistently exhibit healthy reserve levels and liquidity (unrestricted cash on hand). This provides for cushion against unexpected expenses. Consistent trend of balanced operations or surpluses without reliance on developer contributions is viewed favorably. Monthly water charges should be competitive with neighboring districts. 7

ASSURED GUARANTY MUNICIPALASSURED GUARANTY CORP. Conclusion We are the only-long standing financial guaranty company continuing to insure bonds today. We have insured municipal utility districts in Texas for close to 20 years, and insured more than 200 district transactions in 2012 alone. Our experienced underwriting team understands the various nuances in analyzing municipal utility districts. District credit factors are analyzed in their entirety. Deficiencies in one area may be offset by positive credit attributes in another area. 8