NEW YORK, Jan. 31 /PRNewswire/ -- Following its open letter to regulators yesterday (available at http://www.yousendit.com/download/Mmd0UXVuQzMzeUxIRGc9PQ), Pershing Square Capital Management, L.P. released today a series of questions to management of MBIA Inc. (NYSE: MBI) to be addressed on MBIA's conference call scheduled for today at 11:00 a.m. (EST). The questions Pershing Square submitted included the following:

Of the $433 million of "cash and investments" at the holding company, how much is unrestricted cash which is available to pay debt service, operating expenses, and/or dividends? What is the breakdown of cash and investments at 1/31/08 reflecting funding obligations since year end including dividends, interest payments, and any other expenses, excluding any funds received from Warburg Pincus?

Please describe the holding company investments in the $433 million figure in detail. Are the investments in publicly traded securities or are they private investments in subsidiaries, affiliates, or otherwise?

What collateral posting obligations exist at the holding company, investment management, insurance subsidiary, or other subsidiaries? Please schedule the amount of cash, Treasury, Agency collateral required to be posted for each entity at each letter downgrade beginning at AAA. Please describe whether the rating triggers are based on holding company or insurance subsidiary downgrades.

Please describe in detail all of your below investment grade exposure by name of obligor, gross and net exposure outstanding, S&P, Moody's, Fitch, and MBIA internal rating, and risk status, i.e., in default, breach of covenant, etc.

Please describe in detail all of your classified list exposure by name of obligor, gross and net exposure outstanding, S&P, Moody's, Fitch, and MBIA internal rating, and risk status, i.e., in default, breach of covenant, etc.

From the operating supplement, one can determine that $33 billion of CDOs had been reinsured as of 12/31/07. Please identify these CDOs and describe them in detail. Please identify the reinsurers who have reinsured this exposure.

Please identify and describe in detail all exposures reinsured with Channel Re.

We understand that MBIA has been redeeming investors in Global Funding who have requested early redemptions at a discount. What is the total amount of such redemption requests MBIA has received? Did MBIA book any gains on these transactions?

What is the total amount of redemption requests received by MBIA relating to its municipal or non-municipal GIC business? How much of the GIC business relates to structured finance or CDOs including credit enhancement to credit linked notes, ABS, CDO and/or other structures?

The rating agencies have assumed in their models that the full $1 billion from Warburg Pincus will be downstreamed to the insurance subsidiary. Have you committed to do this?

SOURCE Pershing Square Capital Management, L.P.