Financial- COPS (Insurance Information)

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~~~ 5. Certificates of deposit secured at all times by collateral described in (1) and/or (2) above. CD's must have a one year or less maturity. Such certificates must be issued by commercial banks, savings and loan associations or mutual savings banks whose short term obligations are rated "A-1+" or better by S&P and "Prime-1" by Moody's. The collateral must be held by a third party and the bondholders must have a perfected first security interest in the collateral. 6. Certificates of deposit, savings accounts, deposit accounts or money market deposits which are fully insured by FDIC, including BIF and SAIF. 7. Investment Agreements, including GIC's, acceptable to MBIA (Investment Agreement criteria is available upon request). 8. Commercial paper rated "Prime - 1" by Moody's and "A-1+" or better by S&P. 9. Bonds or notes issued by any state or municipality which are rated by Moody's and S&P in one of the two highest long-term rating categories assigned by such agencies. 10. Federal funds or bankers acceptances with a maximum term of one year of any bank which has an unsecured, uninsured and unguaranteed obligation rating of "Prime - 1" or "A3" or better by Moody's and "A-l+" by S&P. 11. Repurchase agreements that provide for the transfer of securities from a dealer bank or securities firm (seller/borrower) to a municipal entity (buyer/lender), and the transfer of cash from a municipal entity to the dealer bank or securities firm with an agreement that the dealer bank or securities firm will repay the cash plus a yield to the municipal entity in exchange for the securities at a specified date. Repurchase Agreements must satisfy the following criteria: a. Repos must be between the municipal entitv and a dealer bank or securities firm (1) Primary dealers on the Federal Reserve reporting dealer list which fall under the jurisdiction of the SIPC and which are rated A or better by Standard & Poor's Ratings Group and Moody's, or (2) Banks rated "A" or above by Standard & Poor's Ratings Group and Moody's Investor Services. b. The written repo contract must include the followin~: (1) Securities which are acceptable for transfer are: (a) Direct U.S. governments (b) Federal agencies backed by the full faith and credit of the U.S. government (and FNMA & FHLMC) ~ (2) The term of the repo ma ~~be up to 30 da~ (3) The collateral must be delivered to the municipal entity, trustee (if trustee is not supplying the collateral) or third party acting as agent for the trustee (if the trustee is supplying the collateral) before/simultaneous with payment (perfection by possession of certificated securities).