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Posted by Jan Tewksbury, Winthrop, January 31, 2008: We have some concern about our reserve accounts invested in MBIA, Inc – Class Fund.   Firm has large losses for 2007 – sub-prime mortgage, etc. Any impute about what others are thinking about this would be appreciated.

Responses: I am in Texas, and will be back on Monday.  I will call you then, unless you would like to speak sooner.
Thanks for including me on your message. (John Quartararo, Key Bank)

Newcastle is currently discussing what to do about that same issue. If anyone has wiser thoughts on how to handle this I would love to hear them. (Sandra Blake, Newcastle)

I have received a phone response from JoAnne Klatskin, MBIA North East regional contact.  Her number is 800-477-5258 and she will be glad to talk with anyone who has concerns regarding Class Funds. (Jan Tewksbury)

I had investments with MBIA for a long time with Bob Fernald when he was the rep. for us in Maine. After he left I had hardly no communication from MBIA and they wanted to do everything on the computer which I was not too happy with them at that time. I never lost any funds with them, but found our local banks return to be better. Our investment policy also didn't agree with their "pool" funds so I got out. If your losses are not too great I would suggest getting out and going with the local banks with a collateralization policy or buy insurance (very inexpensive) to cover your deposits. I hope this helps. Call me
anytime if you need anything else. (Diane Gurney, Cumberland County)

CDARS..(Dan L'Heureux, Vassalboro)

I have spoken with her about concerns with the drop  in stock price and she assured me our money was not effected by other company entities. I also had our Chairman of the Budget Committee, a former finance officer, speak with her as well. He was feeling much better about the investment account after his conversation. Perhaps when you call her, you might encourage her to draft a letter to all of us explaining the status of Maine Class. We all need that piece of mind. (Eva Leavitt, Turner)

Great idea.  I have been following your emails today and have to admit I am unsure of what direction to go.  Please do mention a letter. (Lisa Wallace, Phippsburg)

My concern is from experience. In 2003/2004 the market had problems and so did MBIA. The Town I was in actually had some losses so it does concern me. Hopefully they will write a letter and put us at ease. (Sandra Blake, Newcastle)

Amen to what Diane and Dan have to say on the subject.
I never did invest with MBIA, call it sixth sense if you will. I never felt comfortable with the idea. I have stayed local with investments and the CDARS are working fine. (Lynette Eastman, Woolwich)