December 16, 2008

ACA Financial Guaranty Corporation ("ACA") announced the addition of Steven Berkowitz as its new general counsel. Mr. Berkowitz brings more than 20 years of industry experience to the company and a broad knowledge in the public finance and corporate fields.This follows the Maryland Insurance Administration's approval of a restructuring plan for ACA, which took effect August 8, 2008. In September, an entirely new Board of Directors and CEO were announced as part of the Company's restructuring, and Mr. Berkowitz is the latest addition to this transitional management team.

"We are excited to welcome such a seasoned professional to our executive team," said Raymond J. Brooks, Jr., Chief Executive Officer of ACA. "With Steven's extensive industry background and knowledge of the specific legal matters affecting financial guarantors, we are well positioned to move forward in this new phase for the Company."

Mr. Berkowitz spent the past 16 years with Financial Security Assurance Inc. ("FSA"), where he most recently was a Managing Director in the Asset Finance Group. Prior to this position at FSA, he served as Managing Director of the Municipal Structured Finance Group and in the Legal Department as Managing Director and Associate General Counsel.