Is It Safe? MBIA's Breakup Is Hard to Do

"Is It Safe?" is a daily feature by TheStreet.com Ratings that looks at a company's risk-and-reward potential. Find out if your stocks are safe each morning at 4.

MBIA(MBI Quote), after losing $2.7 billion in 2008, was rescued from itself by splitting off credit default swap obligations. In the first quarter, the largest U.S. bond insurer posted a profit of $697 million.

Despite the lack of failures among bond insurers, unless you include American International Group(AIG Quote), this business is not for the faint of heart. (TheStreet.com Ratings gives MBIA a D, or "sell," rating.)

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