Assured Guaranty Ltd (AGO) 2024 Q4 法說會逐字稿

Good morning and welcome to the Assured Guaranty Limited fourth-quarter and full year 2024 earnings conference call. My name is Ezra and I will be the operator for today's call. (Operator Instructions)

早安，歡迎參加 Assured Guaranty Limited 2024 年第四季和全年財報電話會議。我叫埃茲拉，我將擔任今天電話的接線生。（操作員指令）

Please note that this event is being recorded. I would now like to turn the conference over to our host, Robert Tucker, Senior Managing Director, Investor Relations and Corporate Communications. Please go ahead.

請注意，該事件正在被記錄。現在，我想將會議交給主持人、投資者關係和企業傳播部高級董事總經理 Robert Tucker。請繼續。

Thank you, operator, and thank you all for joining Assured Guaranty for our fourth-quarter and year-end 2024 financial results conference call. Today's presentation is made pursuant to the Safe Harbor provisions of the Private Securities Litigation Reform Act of 1995.

謝謝接線員，也謝謝大家參加 Assured Guaranty 的 2024 年第四季和年終財務業績電話會議。今天的演講是根據 1995 年私人證券訴訟改革法案的安全港條款進行的。

The presentation may contain forward-looking statements about our new business and credit outlooks, market conditions, credit spreads, financial ratings, loss reserves, financial results, or other items that may affect our future results.

本簡報可能包含關於我們的新業務和信用前景、市場狀況、信用利差、財務評級、損失準備金、財務結果或其他可能影響我們未來業績的項目的前瞻性陳述。

These statements are subject to change due to new information or future events. Therefore, you should not place undue reliance on them as we do not undertake any obligation to publicly update or revise them, except as required by law.

這些聲明可能會因新資訊或未來事件而發生變化。因此，您不應過度依賴它們，因為我們不承擔公開更新或修改它們的任何義務，除非法律要求。

If you're listening to a replay of this call or if you're reading the transcript of the call, please note that our statements made today may have been updated since this call. Please refer to the investor information section of our website for our most recent presentations and SEC filings, most current financial filings, and for the risk factors.

如果您正在收聽本次通話的重播或閱讀通話記錄，請注意，我們今天的聲明可能已在本次通話後更新。請參閱我們網站的投資者資訊部分，以了解我們最新的簡報和 SEC 文件、最新的財務文件以及風險因素。

This presentation also includes references to non-GAAP financial measures. We present the GAAP financial measures most directly comparable to the non-GAAP financial measures referenced in this presentation, along with a reconciliation between such GAAP and non- GAAP financial measures in our current financial supplement and equity investor presentation which are on our website at assuredguaranty.com.

本簡報也引用了非公認會計準則財務指標。我們在目前財務補充資料和股權投資者報告中列出了與本報告中引用的非 GAAP 財務指標最直接可比較的 GAAP 財務指標，並在我們的網站 sureguaranty.com 上提供了當前財務補充資料和股權投資者報告中此類 GAAP 和非 GAAP 財務指標的對帳表。

Turning to the presentation, our speakers today are Dominic Frederico, President and Chief Executive Officer of Assured Guaranty Limited; Rob Bailenson, our Chief Operating Officer; and Ben Rosenbloom, our Chief Financial Officer.

談到演講，今天的演講者是 Assured Guaranty Limited 總裁兼執行長 Dominic Frederico；我們的營運長 Rob Bailenson；以及我們的財務長 Ben Rosenbloom。

After their remarks, we'll open the call to your questions. As the webcast is not enabled for Q&A, please dial into the call if you'd like to ask a question. I will now turn the call over to Dominic.

在他們發言結束後，我們將開始回答大家的提問。由於網路直播未啟用問答功能，如果您想提問，請撥打電話。現在我將電話轉給多明尼克。

Thank you, Robert, and welcome to everyone enjoying today's call. Assured Guaranty produced many significant achievements in 2024, our 40th year in business, and our 20th year as a publicly traded company. We earned adjusted operating income per share of $7.10, and created significant future earnings from strong financial guarantee originations.

謝謝你，羅伯特，歡迎大家享受今天的電話會議。2024 年是 Assured Guaranty 成立 40 週年，也是我們作為上市公司 20 週年，並取得了許多重大成就。我們的調整後每股營業收入為 7.10 美元，並且透過強大的財務擔保來源創造了可觀的未來收益。

Once again, we reached record year-end highs for adjusted book value per share at $170.12, adjusted operating shareholders' equity per share at $114.75, and shareholders' equity per share at $108.80. We continue to build value for both Assured Guaranty shareholders and policyholders.

我們再次達到了年終調整後每股帳面價值 170.12 美元、調整後每股營運股東權益 114.75 美元和每股股東權益 108.80 美元的歷史新高。我們將繼續為 Assured Guaranty 股東和保單持有人創造價值。

AGL's common stock share price rose 20% for the year to $90.01. And in our capital management program, we repurchased 11% of the common shares that were outstanding at December 31, 2023, while meeting our 2024 target of repurchasing $500 million of our shares, further managing our excess capital.

AGL 普通股股價今年上漲 20%，至 90.01 美元。在我們的資本管理計畫中，我們回購了截至 2023 年 12 月 31 日已發行在外的 11% 的普通股，同時實現了 2024 年回購 5 億美元股票的目標，進一步管理了我們的過剩資本。

In new business production, PVP across our three financial guarantee businesses topped $400 million for the second year in a row. US public finance originated $270 million in PVP, its highest annual total in four years, and both non-US public finance and global structured finance saw strong production and built solid pipelines for 2025 and beyond.

在新業務產出方面，我們三項融資擔保業務的 PVP 連續第二年突破 4 億美元。美國公共財政在 PVP 中發放了 2.7 億美元，創下四年來的最高年度總額，非美國公共財政和全球結構性融資均實現強勁產出，並為 2025 年及以後建立了堅實的儲備。

We insured the winner of the Bond Buyer's overall 2024 Deal of the Year and the healthcare financing Northeast Regional and innovative financing category winners. Bob will tell you more about our participation in these exceptional transactions when he reviews our production results in a few moments.

我們為債券買家 2024 年度最佳交易獎得主以及醫療保健融資東北地區和創新融資類別獎得主提供了保險。稍後 Bob 將在審查我們的生產結果時向您詳細介紹我們參與這些特殊交易的情況。

We expanded our geographic reach and pursued further opportunities in Australia, New Zealand, and Asia by opening an office in Australia and one in Singapore. We made further inroads in Continental Europe and continue to view it as an area of opportunity.

我們在澳洲和新加坡開設了辦事處，擴大了我們的地理覆蓋範圍，並在澳洲、紐西蘭和亞洲尋求更多機會。我們在歐洲大陸取得了進一步的進展，並繼續將其視為一個充滿機會的領域。

As we mentioned on several previous earnings calls, we completed the consolidation of our two primary insurance subsidiaries into one by merging Assured Guaranty Municipal into Assured Guaranty Inc., thereby creating a more efficient capital structure and a larger insurer with a more highly diversified insured portfolio, larger capital base, and greater claims paying resources.

正如我們在之前的幾次財報電話會議上提到的那樣，我們通過將 Assured Guaranty Municipal 合併為 Assured Guaranty Inc.，完成了對兩家主要保險子公司的合併，從而創建了更高效的資本結構和更大的保險公司，擁有更加多樣化的保險組合、更大的資本基礎和更多的索賠支付資源。

This is one of several strategic moves that we made in recent years that better positioned us for growth, profitability, and corporate efficiencies. The inception to date return on our alternative investments, including funds managed by Sound Point and AHP, was approximately 13% through year end.

這是我們近年來採取的幾項策略舉措之一，旨在更好地幫助我們實現成長、獲利和企業效率。截至目前，我們的另類投資（包括由 Sound Point 和 AHP 管理的基金）的回報率約為 13%。

Regarding our one remaining unresolved Puerto Rico exposure, PREPA, the Title III court has ordered the parties to continue mediation. And extended the time for them to resolve their differences. Additionally, the First Circuit has confirmed that bondholders are secured by an unavoidable security interest to PREPA's past, current, and future net revenues, and twice denied rehearing petitions by the FOMB, asking the court to reconsider such rulings.

關於我們尚待解決的波多黎各案件，PREPA，第三章法院已命令雙方繼續調解。並延長他們解決分歧的時間。此外，第一巡迴法院已確認債券持有人對 PREPA 過去、當前和未來的淨收入享有不可避免的擔保權益，併兩次駁回了 FOMB 的重審請求，要求法院重新考慮此類裁決。

We remain committed to a fair and consensual resolution for all PREPA stakeholders and are determined to enforce our rights as a secured creditor. We are well positioned for success in 2025, and the US municipal bond market has started the year with a very strong new issue volume. Some analysts project that 2025 volume will rival or even exceed the annual record volume of 2024.

我們始終致力於為所有 PREPA 利害關係人提供公平、協商的解決方案，並決心執行我們作為有擔保債權人的權利。我們已為 2025 年的成功做好了準備，美國市政債市場今年的新發行量也十分強勁。一些分析師預測，2025 年的產量將與 2024 年的年度最高產量相當，甚至超過這一水準。

Another important achievement and another example of assured defending our legal rights, in early February 2025, we successfully concluded litigation with Lehman Brothers International Europe, who will recognize a pre-tax gain of approximately $103 million in the first quarter of 2025. Ben will discuss this further in a few minutes.

另一個重要成就和堅定捍衛我們合法權利的另一個例子是，2025 年 2 月初，我們成功與雷曼兄弟國際歐洲公司結束了訴訟，雷曼兄弟國際歐洲公司將在 2025 年第一季實現約 1.03 億美元的稅前收益。幾分鐘後本將進一步討論這個問題。

During our 40-year history, we have proven over and over the value and reliability of our guarantee and the resilience of our business model, even through some extraordinarily difficult global economic environments and geopolitical events.

在我們40年的歷史中，即使經歷了一些極其困難的全球經濟環境和地緣政治事件，我們也一次又一次地證明了我們擔保的價值和可靠性以及我們商業模式的彈性。

We believe we have untapped business opportunities around the world, as well as the financial strength and talented people to successfully pursue these opportunities over the coming years and decades.

我們相信，我們在世界各地擁有尚未開發的商業機會，並且擁有在未來幾年和幾十年內成功把握這些機會的財力和人才。

I will now turn the call over to Rob to provide more details about our production results.

現在我將把電話轉給 Rob，讓他提供有關我們生產結果的更多詳細資訊。

Thank you, Dominic. Business production across our three main business lines, US public finance, non-US public finance, and global structured finance continued to perform well in 2024.

謝謝你，多米尼克。2024年，我們三大業務線（美國公共金融、非美國公共金融和全球結構性金融）的業務產出持續​​表現良好。

As Dominic mentioned, PVP across our three financial guarantee businesses topped $400 million for the second year in a row and was appreciably higher than the $375 million in 2022. In US public finance, we had a very strong year, reaching $270 million in PVP.

正如 Dominic 所提到的，我們三個金融擔保業務的 PVP 連續第二年突破 4 億美元，明顯高於 2022 年的 3.75 億美元。在美國公共財政方面，我們度過了非常強勁的一年，PVP 達到了 2.7 億美元。

Results were primarily driven by continued recognition of the value of our guarantee across the credit spectrum, and the use of our insurance on some very large infrastructure transactions, combined with a record year in overall municipal par issued, which exceeded $500 million for the first time.

業績主要得益於我們對整個信貸範圍內擔保價值的持續認可，以及我們的保險在一些非常大的基礎設施交易中的使用，再加上今年市政債券總發行量創下歷史新高，首次超過 5 億美元。

Bond insurance continued to be in strong demand in 2024, with the industry's annual penetration rate at 8.3% of par issued. This was the fourth consecutive year when industry par penetration reached 8% or higher. Assured Guaranty achieved a 14-year high for annual new issue insured par sold, insuring more than $24 billion during 2024, the most since 2010.

2024 年，債券保險的需求持續強勁，該產業的年滲透率為發行票面價值的 8.3%。這是行業平均滲透率連續第四年達到或超過8%。Assured Guaranty 銷售的年度新發行保險面額創下 14 年來新高，2024 年的保險金額超過 240 億美元，為 2010 年以來的最高水準。

Assured Guaranty insured 58% of the total insured par issued in 2024 as we continued our leadership position in the industry. We insured nearly 800 new issue transactions for the year. We finished the year with an excellent 4th quarter, capturing 61% share of par insured in the primary municipal bond market. Total insured municipal par sold reached 10% penetration of the municipal bond market during the fourth quarter.

我們繼續保持行業領先地位，Assured Guaranty 承保了 2024 年發行的總保險額的 58%。我們全年為近 800 筆新發行交易提供了保險。我們以優異的第四季業績結束了這一年度，佔據了一級市政債券市場 61% 的保險份額。第四季度，銷售的市政債券總額達到市政債市場的 10%。

For Assured Guaranty, fourth quarter primary market insured par increased by 37% year over year to $7.4 billion. During the year, Assured Guaranty wrapped par amounts of $100 million or more on each of 48 municipal transactions.

對 Assured Guaranty 而言，第四季一級市場保險面額年增 37%，達到 74 億美元。本年度，Assured Guaranty 在 48 筆市政交易中每筆交易的票面金額均達到或超過 1 億美元。

This tied our 2021 all-time high in this category and included six deals, with more than $500 million of AG insured par as we helped launch several of the market's largest and most high profile transactions. We believe this indicates that institutional investors increasingly place greater value on our guarantee.

這與我們 2021 年該類別的歷史最高水平持平，包括六筆交易，AG 保險面值超過 5 億美元，我們幫助啟動了市場上幾筆最大、最引人注目的交易。我們認為這顯示機構投資者越來越重視我們的擔保。

Among our largest transactions in 2024, three were honored at the Bond Buyers Deal of the Year ceremony. These included the overall 2024 Deal of the Year, the Brightline Florida passenger rail project issue where we insured $1.1 billion of par. This transaction also won in the innovative financing category.

在我們 2024 年最大的交易中，有三筆交易在年度債券買家交易頒獎典禮上榮獲殊榮。其中包括 2024 年度整體交易、Brightline 佛羅裡達鐵路客運項目，我們為該項目承保了 11 億美元的票面價值。該筆交易也榮獲創新融資類別獎項。

The Northeast Regional Deal of the year was awarded to the JFK International Airport new Terminal 1 project where we insured a total of $1.6 billion, $800 million in June 2024, and $800 million in December 2023. And the healthcare financing winner issued by the Westchester Medical Center Health Network serving Westchester County, New York, where we insured $259 million a par.

年度東北地區最佳交易獎頒給了甘迺迪國際機場新 1 號航站樓項目，我們為該項目投保了總計 16 億美元，其中 2024 年 6 月為 8 億美元，2023 年 12 月為 8 億美元。以及由服務紐約州威斯特徹斯特縣的威斯特徹斯特醫療中心健康網絡發行的醫療保健融資優勝者，我們為每張債券承保了 2.59 億美元。

These transactions were noteworthy for their underlying credit profiles, par amounts, and use of insurance to expand and diversify the bond buyer base and to enhance the overall liquidity of the transaction. Also, in 2024, we saw an increase in the use of our insurance among AA credits, defined as those credits rated in the AA category by S&P and or Moody's on an uninsured basis. Year-over-year we insured 27% more of these policies for 38% more par, reflecting a total of 103 policies and approximately $4.4 billion of insured par.

這些交易因其基礎信用狀況、票面金額以及使用保險來擴大和多樣化債券購買者基礎以及增強交易的整體流動性而引人注目。此外，到 2024 年，我們發現 AA 級信用貸款中使用我們的保險的情況有所增加，AA 級信用貸款是指被標準普爾和穆迪評為 AA 級且未投保的信用貸款。與去年同期相比，我們承保的這些保單增加了 27%，保額增加了 38%，總計 103 份保單和約 44 億美元的承保額。

Non-US public finance contributed $67 million of PVP in 2024, a very solid result. In 2024, non-US public finance PVP included secondary market guarantees of several UK regulated utilities and airport transactions, as well as the annual renewal of certain liquidity guarantees.

2024 年，美國以外公共財政貢獻了 6,700 萬美元的 PVP，這是一個非常可靠的結果。2024 年，非美國公共財政 PVP 包括對幾項英國監管的公用事業和機場交易的二級市場擔保，以及某些流動性擔保的年度續約。

Our strong 2024 production results also included $65 million of PVP generated by our global structured finance business. The transactions were primarily in insurance securitizations, bank balance sheet relief, subscription finance, and the guarantee of a diversified real estate portfolio.

我們強勁的 2024 年生產業績還包括由我們的全球結構化融資業務產生的 6,500 萬美元 PVP。交易主要涉及保險證券化、銀行資產負債表緩解、認購融資以及多元化房地產投資組合的擔保。

As part of our new business growth strategy in Australia, for example, we insured a transaction in 2024 for a bank which provided protection on an approximately $600 million core lending portfolio. We continue to pursue both public finance and structural finance opportunities in Australia.

例如，作為我們在澳洲的新業務成長策略的一部分，我們為一家銀行在 2024 年的一筆交易提供了保險，該銀行為約 6 億美元的核心貸款組合提供了保護。我們將繼續在澳洲尋求公共財政和結構性財政機會。

All three of our major financial guarantee businesses are providing solid contributions to our bottom line, and we continue to look for opportunities by expanding our geographic reach and exploring new product opportunities.

我們所有三大金融擔保業務都為我們的盈利做出了堅實的貢獻，我們將繼續透過擴大我們的地理覆蓋範圍和探索新的產品機會來尋找機會。

In addition to building our business further in our US and UK markets, we are pursuing opportunities in Australia, New Zealand, Continental Europe, and Asia. I will now turn the call over to Ben to discuss our detailed financial results.

除了進一步拓展美國和英國市場的業務外，我們還在澳洲、紐西蘭、歐洲大陸和亞洲尋找機會。現在我將把電話轉給本，討論我們的詳細財務結果。

Thank you, Dominic and Rob, and good morning. I am pleased to report fourth quarter 2024 adjusted operating income of $66 million or $1.27 per share. By comparison, in the fourth quarter of 2023, we reported adjusted operating income of $338 million or $5.75 per share, which included $208 million in non-recurring benefits related to tax law changes in Bermuda and New York State.

謝謝，多明尼克和羅布，早安。我很高興地報告 2024 年第四季調整後營業收入為 6,600 萬美元，即每股 1.27 美元。相較之下，在 2023 年第四季度，我們報告的調整後營業收入為 3.38 億美元或每股 5.75 美元，其中包括與百慕達和紐約州稅法變化相關的 2.08 億美元非經常性收益。

The insurance segment contributed $98 million of adjusted operating income in the fourth quarter of 2024, compared with $339 million in the same period of last year. The most notable item driving the quarter over quarter variance is the prior benefit related to Bermuda tax law changes of $189 million.

保險部門在2024年第四季貢獻了9,800萬美元的調整後營業收入，而去年同期為3.39億美元。造成季度間差異的最顯著因素是與百慕達稅法變化相關的 1.89 億美元先前收益。

In addition, the fourth quarter of 2023 included an after tax fair value gain of $25 million on Puerto Rico contingent value instruments, or CVIs, that we received in 2022 as part of the resolution of most of our Puerto Rico exposures. Comparable amounts in the fourth quarter of 2024 were negligible.

此外，2023 年第四季還包括波多黎各或有價值工具 (CVI) 的 2,500 萬美元稅後公允價值收益，這是我們在 2022 年作為解決大部分波多黎各風險敞口的一部分收到的。2024 年第四季的可比金額微不足道。

Since 2022 we've been strategically reducing our CVI position. And as of December 31, 2024, we held only 21% of the original notional amount we received, or $123 million on a fair value basis. Lastly, loss expense increased from $7 million in the fourth quarter of 2023 to $31 million this quarter, mainly due to lower expected recoveries on certain long dated US public finance transactions, and increased losses on certain insured healthcare transactions.

自 2022 年以來，我們一直在策略性地減少我們的 CVI 職位。截至 2024 年 12 月 31 日，我們僅持有收到的原始名目金額的 21%，或以公允價值計算的 1.23 億美元。最後，損失費用從 2023 年第四季的 700 萬美元增加到本季的 3,100 萬美元，主要原因是某些長期美國公共財政交易的預期回收率較低，以及某些保險醫療保健交易的損失增加。

Loss expense is based on both the amount of economic development in a reporting period and the amortization of the deferred premium revenue. In the fourth quarter of 2024, net economic loss development was $17 million, primarily attributable to certain healthcare and UK regulated utility exposures.

損失費用是根據報告期間經濟發展的金額和遞延保費收入的攤提。2024 年第四季度，淨經濟損失發展為 1,700 萬美元，主要歸因於某些醫療保健和英國監管的公用事業風險。

Turning to net earned premiums and credit derivative revenues, in the fourth quarter of 2024, we reported an increase to $107 million from $86 million in the fourth quarter of 2023. This was attributable to both an increase in accelerations due to refundings and an increase in scheduled net earned premiums.

談到淨賺保費和信用衍生性商品收入，我們報告稱，2024 年第四季該收入從 2023 年第四季的 8,600 萬美元增加至 1.07 億美元。這是由於退款導致的加速增加以及預定的淨賺保費增加所致。

Our deferred premium revenue remains strong at $3.9 billion as a result of the new business production. In addition to the insurance segment, our participation in the asset management business is an important strategic initiative in terms of diversifying our stream of earnings.

由於新業務的開展，我們的遞延保費收入仍保持強勁，達到 39 億美元。除保險業務外，參與資產管理業務也是我們實現收入來源多元化的重要策略舉措。

Sound Point has been working steadily towards maximizing the synergies with the assured IM business we contributed to them in July of 2023. In the corporate division, adjusted operating loss was $34 million in the fourth quarter of 2024 compared with $16 million in the prior year, which included a $19 million benefit related to New York State tax law changes.

Sound Point 一直致力於最大限度地發揮與我們於 2023 年 7 月為其提供的保證 IM 業務的協同效應。在企業部門，2024 年第四季的調整後營業虧損為 3,400 萬美元，而去年同期為 1,600 萬美元，其中包括與紐約州稅法變化相關的 1,900 萬美元收益。

In terms of our investment results, the company's portfolio of increasingly diverse assets continues to perform well, with a stable stream of interest income from the fixed maturity portfolio complemented by income from alternative investments.

從投資績效來看，公司日益多元化的資產組合持續表現良好，固定期限投資組合帶來穩定的利息收入，另類投資帶來收入。

On a consolidated basis, net investment income from our available for sale fixed maturity and short term investments was $93 million in the fourth quarter of 2024 compared with $95 million in the fourth quarter of 2023.

從合併基礎來看，2024 年第四季我們可供出售固定期限和短期投資的淨投資收入為 9,300 萬美元，而 2023 年第四季為 9,500 萬美元。

The available for sale, fixed maturity, and short term investment portfolio primarily consists of these three types of investments. The largest component mainly consists of investment grade, long term debt securities, and short term investments. Income from this portfolio is relatively predictable but may vary based on short-term interest rates.

可供出售、固定期限和短期投資組合主要由這三種類型的投資組成。最大的組成部分主要包括投資等級、長期債務證券和短期投資。該投資組合的收入相對可預測，但可能會根據短期利率而變化。

Net investment income from these securities was $71 million in the fourth quarter of 2024, which is in line with the $70 million of income in the fourth quarter of 2023. We also have another portfolio consisting of loss mitigation securities, which are bonds that we insured and later purchased at a discount to mitigate losses and other securities, including those we acquired in the resolution of previously troubled insured exposures such as the 2022 Puerto Rico resolution.

2024 年第四季這些證券的淨投資收入為 7,100 萬美元，與 2023 年第四季的 7,000 萬美元收入持平。我們還有另一個由損失緩解證券組成的投資組合，這些證券是我們承保的債券，後來以折扣價購買以減輕損失和其他證券，包括我們在解決先前陷入困境的承保風險（例如 2022 年波多黎各解決方案）時獲得的證券。

In recent years, we have not been actively purchasing loss mitigation securities and have sold most of our Puerto Rico securities. We expect this portfolio to continue to amortize down. Net investment income on these investments was $11 million in the fourth quarter of 2024 compared with $24 million in the fourth quarter of 2023.

近年來，我們一直沒有積極購買損失緩解證券，並且已經出售了大部分波多黎各證券。我們預計該投資組合將繼續攤提。2024 年第四季這些投資的淨投資收益為 1,100 萬美元，而 2023 年第四季為 2,400 萬美元。

Lastly, in the fourth quarter of 2024, approximately $263 million in CLO equity tranches that we previously held in a consolidated Sound Point fund were transferred to the available for sale fixed maturity security portfolio. Net investment income on CLO securities was $11 million in the fourth quarter of 2024.

最後，在 2024 年第四季度，我們先前在合併的 Sound Point 基金中持有的約 2.63 億美元的 CLO 股票部分被轉移到可供出售的固定期限證券投資組合中。2024 年第四季 CLO 證券的淨投資收益為 1,100 萬美元。

The company considers these Sound Point managed CLO equity tranches to be a component of the alternative investment strategy. Our partnership with Sound Point continues to promote our alternative investment strategy, with the goal of increasing the company's overall investment returns.

該公司認為這些 Sound Point 管理的 CLO 股票部分是另類投資策略的組成部分。我們與 Sound Point 的合作將繼續推動我們的另類投資策略，目標是提高公司的整體投資回報。

In addition to the income from CLO equity tranches in the fixed maturity portfolio, earnings from our alternative investments were $24 million in the fourth quarter of 2024 compared with $22 million in the fourth quarter of 2023. On an inception to day basis, alternative investments have generated an annualized internal rate of return of approximately 13%.

除了固定期限投資組合中 CLO 股票部分的收入外，我們另類投資的收益在 2024 年第四季為 2,400 萬美元，而 2023 年第四季為 2,200 萬美元。從成立至今，另類投資的年化內部報酬率約為 13%。

On a full year basis, 2024 adjusted operating income was $389 million or $7.10 per share compared with $648 million or $10.78 per share in 2023. Our prior results included a $175 million after tax gain associated with the Sound Point and AHP transactions and the $208 million in tax benefits I mentioned earlier. These large non-recurring benefits in 2023 were lower loss expense and increased net earned premiums in 2024.

從全年來看，2024 年調整後營業收入為 3.89 億美元，即每股 7.10 美元，而 2023 年為 6.48 億美元，即每股 10.78 美元。我們先前的表現包括與 Sound Point 和 AHP 交易相關的 1.75 億美元稅後收益和我之前提到的 2.08 億美元的稅收優惠。2023 年的這些大額非經常性福利是 2024 年損失費用的降低和淨收入保費的增加。

Our full year tax rate on adjusted operating income was 19.2%. The effective tax rate is a function of taxable income across jurisdictions and varies from period to period. The strong result in 2024 reflects the cumulative effect of our long standing strategic initiatives across all aspects of the business.

我們全年調整後的營業收入稅率為 19.2%。有效稅率是不同司法管轄區應稅所得的函數，且不同期間有所不同。2024 年的強勁業績反映了我們長期策略舉措在業務各個方面的累積效應。

First, we continued to write new business across all markets in accordance with our strategy to grow our deferred earnings, and we continued to work with troubled issuers to resolve underperforming exposures.

首先，我們依照增加遞延收益的策略，繼續在所有市場開展新業務，並繼續與陷入困境的發行人合作，解決表現不佳的風險敞口。

We have also successfully diversified earnings through our asset management segment and improved investment results via alternative investment strategy where the annualized returns have consistently exceeded returns on the fixed maturity portfolio.

我們也透過資產管理部門成功地實現了收益多元化，並透過另類投資策略提高了投資業績，其中年化回報率一直超過固定期限投資組合的回報率。

And lastly, we have continued to return value to shareholders through our successful capital management strategies. In 2024, we paid $68 million in dividends, and the Board of Directors recently approved a 10% increase to our quarterly dividend per share from $0.31 to $0.34.

最後，我們透過成功的資本管理策略持續為股東帶來價值回報。2024 年，我們支付了 6,800 萬美元的股息，董事會最近批准將每股季度股息增加 10%，從 0.31 美元增加到 0.34 美元。

We also merged our US subsidiaries and paid $400 million in special dividends from these subsidiaries to the holding companies, which is an important step in order to meet our share repurchase goal for the year. This program continues to be one of our most decretive strategies.

我們還合併了美國子公司，並從這些子公司向控股公司支付了 4 億美元的特別股息，這是實現今年股票回購目標的重要一步。該計劃仍然是我們最具保護性的策略之一。

In 2024, we repurchased 6.2 million shares for $502 million at an average price of $81.28 per share. This represents 11% of the shares that are outstanding as of December 31, 2023. Since the beginning of our share repurchase program in 2013 and through December 31, 2024, we have returned $5.4 billion to shareholders under the program, and retired over 150 million shares, ending the year with 50.5 million shares outstanding.

2024 年，我們以每股 81.28 美元的平均價格回購了 620 萬股，價值 5.02 億美元。這佔截至 2023 年 12 月 31 日已發行股份的 11%。自 2013 年啟動股票回購計畫以來，截至 2024 年 12 月 31 日，我們已根據該計畫向股東返還了 54 億美元，並回購了超過 1.5 億股股票，年底流通股數為 5,050 萬股。

As of today, our remaining authorization is approximately $276 million, and our holding company cash and investment balances are approximately $352 million, of which $53 million resides in AGL. Share repurchases, along with adjusted operating income and new business production collectively contributed to new records for adjusted operating shareholders' equity per share of over $114 and adjusted book value per share of over $170.

截至今天，我們的剩餘授權約為 2.76 億美元，我們的控股公司現金和投資餘額約為 3.52 億美元，其中 5,300 萬美元存在於 AGL。股票回購、調整後營業收入和新業務生產共同促成了調整後每股營業股東權益超過 114 美元和調整後每股帳面價值超過 170 美元的新紀錄。

While adjusted operating income varies from period to period, the consistent quarterly increases in these book value metrics reflect how the successful execution of all our strategic key initiatives built shareholder value over the long term.

雖然調整後的營業收入在不同時期有所不同，但這些帳面價值指標的持續季度成長反映了我們所有策略關鍵措施的成功執行如何在長期內創造股東價值。

Looking forward to the first quarter of 2025, I want to highlight the successful conclusion of a long disputed claim brought against us by Lehman Brothers International Europe or LBIE in 2011. Following the exhaustion of LBIE's appeals, we will be recognizing a pre-tax gain of $103 million in the first quarter of 2025, which represents the full satisfaction of the judgment in our favor and includes reimbursement of attorneys, fees and expenses along with the accrued interest.

展望 2025 年第一季度，我想強調雷曼兄弟國際歐洲公司（LBIE）於 2011 年對我們提起的長期有爭議的索賠的成功結束。在 LBIE 上訴用盡之後，我們將在 2025 年第一季確認 1.03 億美元的稅前收益，這代表對我們有利的判決的完全履行，並包括律師費、費用和開支的報銷以及應計利息。

I'll now turn the call over to our operator to give you the instructions for the Q&A period.

我現在將把電話轉給我們的接線員，為您提供問答環節的指示。

(Operator Instructions) Marissa Lobo, UBS.

（操作員指示）瑞銀 (UBS) 的 Marissa Lobo。

Thanks. Good morning. Thanks for taking my question. I was hoping you could review the recent developments on Thames Water, and what near-term developments are you looking for to look at your reserve provisioning. And also any developments on Southern Water as well?

謝謝。早安.感謝您回答我的問題。我希望您能回顧一下泰晤士水務公司近期的發展情況，並了解您希望在近期內取得哪些進展以了解您的儲備供應情況。南部水務還有什麼進展嗎？

Sure. So let's start with Thames Water, and we can take it from there. So obviously, let's start with our -- the UK water sector is an essential service, obviously. And those water utilities are monopolies in their service areas.

當然。那我們就從泰晤士水務公司開始，然後從那裡開始。顯然，讓我們從我們的開始——英國水務行業顯然是一項基本服務。這些水務公司在其服務區域內是壟斷企業。

So that -- it's a good fact to start. The UK government has stated that they really don't plan to nationalize the water utilities. And frankly, they don't really seem to have the room in their budget to do so. And they would like to see additional investments. So I think the macroeconomic background for the UK water sector looks pretty good.

所以 — — 這是一個很好的開始。英國政府已表示，他們確實不打算將水務公司國有化。坦白說，他們的預算中似乎確實沒有足夠的空間來這樣做。他們希望看到更多的投資。因此我認為英國水務業的宏觀經濟背景相當良好。

When you drill down to Thames specifically, our debt is at the senior operating level. So again, it's an area that we feel pretty good about they made progress in their recent -- in the final regulatory determination recently. So again, an improvement in their underlying financials, and they have stated along with some of the other UK water utilities that they're going to go through the competition and market authority and appeal that.

當你深入研究泰晤士河時，你會發現我們的債務處於高級營運層面。因此，我們對這個領域感到非常滿意，他們在最近的最終監管決定中取得了進展。因此，他們的基本財務狀況再次得到改善，並且他們與英國其他一些水務公司一起表示，他們將透過競爭和市場管理部門提出上訴。

And obviously, the past is never predictive of the future. But historically, there's been success when companies have appealed that. So we do feel pretty bullish about that going forward. And frankly, obviously, our reserving means that we have to look at all possible scenarios. So when we look at the scenarios, we do feel really good about this.

顯然，過去並不能預測未來。但從歷史上看，只要公司提出上訴，就會成功。因此，我們對於未來的發展確實非常樂觀。坦白說，顯然，我們的保留意味著我們必須考慮所有可能的情況。因此，當我們看一下這些場景時，我們確實對此感覺很好。

We think that the -- they will come out really well. But obviously, we do have some pessimistic scenarios that result in a loss. We are looking forward to see how the competition market authority plays out and how this plays out, frankly, in the public markets, and we are there to help support any restructuring that needs to be done, but we do feel we're going to get out of here with no loss.

我們認為——它們將會取得非常好的結果。但顯然，我們確實存在一些導致損失的悲觀情況。我們期待看到競爭市場管理局如何發揮作用，以及坦率地說，這在公開市場上如何發揮作用，我們會幫助支持任何需要進行的重組，但我們確實覺得我們會毫不損失地離開這裡。

So to emphasize we're at the operating company level and not at the holdco level. Number two, rates are adequate to pay debt service to be (inaudible) provide for additional capital improvement. So it's a capital issue, not an operating issue.

因此，需要強調的是，我們處於營運公司層面，而不是控股公司層面。第二，利率足以償還債務，並（聽不清楚）提供額外的資本改善。所以這是一個資本問題，而不是營運問題。

Three, they're going to appeal the rate that was granted to them and the appeal process has been fairly successful for the water companies in terms of succeeding in the appeal process. And they're not that far off between the requested rate and with the current rate or the challenge rate could be. So when you look at it all in, in fact, there's included, it looks like a pretty good situation for us.

第三，他們將對授予他們的費率提出上訴，從上訴過程的成功率來看，水務公司上訴過程是相當成功的。請求利率與當前利率或挑戰利率之間的差距並不大。因此，當你把這一切都考慮進去的時候，實際上，這對我們來說似乎是一個非常好的情況。

Got it, thank for that. And the timeline to the CMA process? When are you expecting?

明白了，謝謝。CMA 流程的時間表是怎樣的？您預計什麼時候出生？

Yeah, I would say that probably best guess would be in 2025, maybe beginning of 2026.

是的，我認為最好的猜測可能是在 2025 年，也許是 2026 年初。

Remember, in terms we did sign the liquidity agreement so that we've been able to take away the short term issue of them running out of cash or having invested in a cash position even with the capital expenditures. So that really puts a lot of relief into the system as well.

請記住，我們確實簽署了流動性協議，這樣我們就能夠解決他們短期內現金耗盡或即使有資本支出也投資現金的問題。所以這確實也為系統帶來了很大的緩解。

Got it. Thank you. And could you discuss it the California wildfires had any impact on your exposure?

知道了。謝謝。您能談談加州野火對您的影響嗎？

So we're going through the portfolio more times than I can count, and we don't see really any exposure to the California wildfires. The mean stocks we have are kind of in a good position went is the debt service plans. I'm missing a debt service payment. So at the end of the day, it's a tract without question, but it doesn't seem to have any effect on the municipal performance.

我們已經無數次地審查了投資組合，但我們並沒有發現它受到加州山火的任何影響。我們擁有的股票處於良好狀態，這意味著我們的債務償還計劃。我漏掉了一筆債務償還款項。所以最終，這毫無疑問是一個問題，但它似乎對市政績效沒有任何影響。

Okay. And finally, just looking at the level of non-US structured finance par written this quarter, $2.1 billion came in well ahead of our expectations. Could you give us more color on the geographies that drove it and expected returns for these new exposures?

好的。最後，僅從本季非美國結構性融資的水平來看，21 億美元遠遠超出了我們的預期。您能否向我們詳細介紹推動這項舉措的地理位置以及這些新風險的預期回報？

The geography is still dominated pretty much by the UK. However, because of our geographic expansion, we're seeing opportunities now and we've actually recorded transactions at that Continental Europe as well as Australia. We're looking all around in Asia in the Far East or other opportunities.

地理位置上，英國依然佔據主導地位。然而，由於我們的地理擴張，我們現在看到了機遇，我們實際上已經在歐洲大陸和澳洲記錄了交易。我們正在亞洲、遠東地區以及其他地區尋找機會。

Yeah, we're seeing a lot of opportunity in Australia. A lot of the non-US global structured finance is going to be in Australia as we see going forward, we did a very large transaction for a core loan portfolio. We're an Australian bank on an excess position that's in the non-US structured finance sector, and we feel really -- we're very excited about it.

是的，我們在澳洲看到很多機會。正如我們所看到的，許多非美國全球結構性融資將會在澳洲進行，我們對核心貸款組合進行了一筆非常大的交易。我們是一家在非美國結構性融資領域擁有超額部位的澳洲銀行，我們對此感到非常興奮。

And just to give you a little color on that structured finance business that we're shifting to is more shorter dated, we'll earn more quickly. So when you're looking at PVP totals, we have other -- this business is more repeatable.

為了讓您稍微了解我們正在轉向的結構化融資業務，該業務期限更短，我們可以更快地賺錢。因此，當您查看 PVP 總數時，我們還有其他——這項業務更具可重複性。

And so you'll have this is rolling into the next years as opposed to these large life insurance capital relief transactions, which have to be constantly renegotiated. So you'll see a more repeatable performance in structured finance.

因此，這將持續到未來幾年，而不是像這些大型人壽保險資本減免交易那樣，必須不斷重新談判。因此，你會看到結構化融資的表現更加可重複。

And much like our public finance and has a steady stream of flow of business. We're trying to create flow business in the other areas of the company as well. And the fund finance represents a flow business for us in the structured area.

和我們的公共財政很像，有源源不絕的業務流。我們也在嘗試在公司的其他領域創造流程業務。基金融資對我們來說，是結構化領域的流動業務。

And as Rob said, you can't record PVP on the same basis you would on the municipal side based on an expected life of the program, you can only record it on the years you've got actual contracted agreement, but these things tend to automate, not automatically, but renew annually. So you're understanding PVP, but you're building up a stronger earnings portfolio and a quick earnings profile.

正如羅布所說，您不能像在市政方面那樣根據計劃的預期壽命來記錄 PVP，您只能根據實際簽訂合約的年份來記錄，但這些事情往往會自動化，不是自動的，而是每年更新。因此，您了解 PVP，但您正在建立更強大的收益組合和快速收益狀況。

Got it. Thanks for that. That's it for me.

知道了。謝謝。對我來說就是這樣了。

You're welcome.

不客氣。

Jordan Hymowitz, Philadelphia Eagles Capital Management.

喬丹海莫維茨 (Jordan Hymowitz)，費城老鷹資本管理公司。

Thanks guys. The only thing that makes me happier to following you guys for 19 years at this point is being the Eagles won the Super Bowl twice in my lifetime. I have a couple of questions. First of all, you see the average premium written was 1.26%, and that's up from 1.23%.

謝謝大家。到目前為止，我已經關注你們 19 年了，唯一讓我更高興的事情是老鷹隊在我有生之年兩次贏得超級碗。我有幾個問題。首先，您會看到平均保費為 1.26%，高於 1.23%。

And I believe it was below 1.2% a year or so ago. So hypothetically, if everything would be put on at this rate, what would your return on equity be? I mean it would be like 11%, 12%. Is that reasonable?

我認為，大約一年前這一比例低於1.2%。那麼假設，如果一切都以這樣的速度進行，你的股本回報率是多少？我的意思是它會是 11%、12%。這樣合理嗎？

On the business rate, yes. The ROE or the return on the business is really based on mix, right?

就營業稅而言，是的。ROE 或者說業務回報率實際上是基於組合的，對嗎？

Yeah, it's Dominic saying return or ROE is based on business. I just want to give you some numbers, Jordan. So looking at ROE, public finance is generally in the 8% to 10% range. Structured finance is going to be somewhere between 12% and 18%, and international infrastructure is somewhere between 15% and 20%.So that mix of business changes. That's where the ROE is going to be coming from that mix.

是的，Dominic 說回報或 ROE 取決於業務。我只是想給你一些數字，喬丹。所以從ROE來看，公共財政一般在8%到10%的範圍內。結構性融資佔比在 12% 至 18% 之間，國際基礎建設佔比介於 15% 至 20% 之間。業務組合發生變化。這就是 ROE 從該組合中得出的。

And remember (multiple speakers)

記住（多位發言者）

So what used to be an 8 to 10% business four years ago because it was all domestic is now with the current mix probably a low double digit mix on average fare?

那麼，四年前由於全是國內航班，業務增長率為 8% 到 10%，而現在按照目前的組合，平均票價可能只有低兩位數？

Yeah, as you shift into more structured finance and international infrastructure that's correct. But remember, public finance is always going to be a significant portion of your business mix.

是的，當你轉向更結構化的金融和國際基礎設施時，這是正確的。但請記住，公共財政始終會成為您的業務組合的重要組成部分。

So looking at a different way, if it was say 11%, 12% versus 8% to 9% five years ago, and what another way of saying is once your rates as the capital, you could be earning $10 plus per share.

因此，從另一個角度來看，如果利率是 11%、12%，而五年前是 8% 到 9%，換句話說，一旦你的利率成為資本，你每股就可以賺取 10 美元以上。

Yeah, probably in that range. But again, you have to I think you got to separate two things. You got to separate out the amount of business being written and the amount of business being earned, right? So it does take a while for the business to come in the ROE.

是的，可能在那個範圍內。但是我再說一遍，我認為你必須將兩件事分開。你必須把正在寫的業務量和正在賺的業務量區分開來，對嗎？因此，企業實現 ROE 確實需要一段時間。

And the what I'd say is, I think if we rightsized our capital, we'd probably be a low double-digit return company, right? So that would make sense. And then you got to look at how much business you're writing to achieve that low double digit return to know exactly what your dollars per share earning is going to come out of that.

我想說的是，如果我們調整資本規模，我們可能會成為一家回報率低於兩位數的公司，對嗎？所以這是有道理的。然後，你要看看你正在寫多少業務來實現那低兩位數的回報，才能確切地知道你的每股收益將從中產生多少。

It's really important question to all of you remember, we were writing business in today's current market, which means that as current interest rates and today's current credit spread. Those things do change. So there's favorable markets in some cases in less favorable markets in other cases, and therefore, you got to remember, it's only one year's contribution.

這是一個非常重要的問題，大家要記住，我們是在今天的市場上開展業務，這意味著當前的利率和今天的當前信用利差。這些事情確實會改變。因此，在某些情況下存在有利的市場，在其他情況下存在不太有利的市場，因此，你必須記住，這只是一年的貢獻。

Our earned premium is made up of 20 years of contribution of different rates, different returns, et cetera, so the mix of business. but you're looking at the current market yields of today's business, which doesn't mean necessarily it's the same market you're going to see trough the rest of 2025.

我們的保費收入是由20年來的不同費率、不同回報等的貢獻構成的，所以這是業務的組合。但您正在關注當今業務的當前市場收益率，這並不一定意味著它與您在 2025 年剩餘時間內將看到的市場相同。

And it's also important to note that in public finance, we're still capturing like average like 70% -- 60% to 70% of that spread savings. So you're still provide significant value. And the other lines of business, structural finance and international infrastructure are less sensitive to changes in credit spreads.

還要注意的是，在公共財政中，我們仍然平均能獲得 70%——60% 到 70% 的利差節省。所以你仍然可以提供重要的價值。其他業務線、結構性融資和國際基礎設施對信用利差變化的敏感度較低。

I understand all that, but I remember in 2019 and '20 arguing with people that you could make $7 a share and people said that will take forever and now you're there. And I'm just looking with the next leg up since we plan to be here for a long time.

我理解這一切，但我記得在 2019 年和 2020 年，我和人們爭論說你可以賺每股 7 美元，人們說這將需要很長時間，而現在你已經實現了。我只是在尋找下一步的計劃，因為我們計劃在這裡待很長時間。

My second question is interest rates have fallen a lot in the past month, and there's a $6 difference between stated book and operating book, which I believe is all AOCI. So won't a fair amount of that AOCI be reversed plus you'll get the $2 from Lehman this quarter. So could it the gap between adjusted book or operating book, I'm sorry, and stated book be much closer this quarter if the quarter ended today?

我的第二個問題是，過去一個月利率下降了很多，帳面餘額和營業餘額之間有 6 美元的差額，我認為這都是 AOCI。因此，AOCI 的相當一部分金額不會被逆轉，另外你還會在本季從雷曼那裡得到 2 美元。那麼，如果本季今天結束，調整後的帳面餘額或營業帳面餘額，抱歉，與本季報告的帳面餘額之間的差距會不會更接近？

First of all, interest rates are going to bounce around quite a bit. So a lot of this is unrealized gains and losses that come through on securities that we have. So it's not really tangible. I mean you can move it up and down. It doesn't really matter.

首先，利率將會大幅波動。所以其中很多都是我們持有的證券所產生的未實現收益和損失。所以它其實並不是有形的。我的意思是你可以上下移動它。這沒什麼關係。

Obviously, you're right about the Lehman Brothers to get $100 million in, and let's was just under 50 million shares outstanding right now. So that is $2 a share. So you would pick up the pre-tax, right? You'd pick up $2 per share for doing that.

顯然，您關於雷曼兄弟將獲得 1 億美元資金的說法是正確的，而目前我們的流通股數略低於 5,000 萬股。所以每股價格是2美元。所以你會領稅前金額，對嗎？這樣一來，您每股可獲得 2 美元的收益。

Okay. Thank you very much. I'm looking forward to see if you might be interested in dying some of the Della River Green for next season.

好的。非常感謝。我很期待看到您是否有興趣在下個季節染一些 Della River Green。

We're always looking at sporting the Eagles.

我們一直關注著老鷹隊的比賽。

Thanks Jordan.

謝謝喬丹。

(Operator Instructions) Tommy McJoynt, KBW.

(操作員指示) Tommy McJoynt，KBW。

Thanks, tough to follow up some good Eagle banter. But a couple of questions have been on various on various specific credits. So we had the UK Water, California wildfire. I'll ask about another one.

謝謝，很難跟進一些好的 Eagle 玩笑。但有幾個問題涉及各種具體的信用。因此，我們經歷了英國水務公司和加州野火。我會詢問另外一個。

With the Department of Government Efficiency, really going after and perhaps disrupting the DC market. Can you talk about your exposure there, whether it's any public works projects or municipalities around there that might be impacted?

在政府效率部的努力下，華盛頓特區市場可能會遭到破壞。您能談談您在那裡的經歷嗎，是否有任何公共工程項目或周圍的市政當局會受到影響？

Yeah, I can't think of any significant exposure we have in the DC market. That will be subject to any potential issue relative to the government programs currently going on. When you look at the portfolio pretty clearly, we have a toll road maybe, but about usage, so I'm not concerned about that. And we probably have the airport as well.

是的，我想不出我們在 DC 市場有什麼重大的曝光。這將取決於目前正在進行的政府計劃所產生的任何潛在問題。當你清楚地看一下投資組合時，你會發現我們可能有一條收費公路，但至於使用情況，所以我並不擔心這一點。我們可能也有機場。

I think Dominic's broadly saying we don't have a ton of exposure we're concerned about. We obviously, there's some tangential exposure that's maybe there, but we're not sitting here really spending a lot of time at this point worrying about that right now.

我認為多米尼克大致表示我們不必擔心太多的曝光。顯然，可能存在一些間接風險，但我們現在不會花很多時間擔心這個問題。

Okay. Got it. And you also called out the healthcare side. Can you remind me what's going on with like healthcare facilities in terms of like why some are seeing the financial troubles. I guess I think about some of the voluntary care procedures coming back that, that would help the healthcare facilities. Can you remind me what's going on there?

好的。知道了。您也提到了醫療保健方面的問題。您能否提醒我醫療機構的情況以及為什麼有些人會遇到財務困難。我想我認為一些自願護理程序的回歸將有助於醫療設施。你能提醒我那裡發生了什麼事嗎？

Healthcare remember is an operating risk, not really a financial risk. And you take the operating risk for a number of years, as we knew through COVID, there was a lot of pressure on all healthcare facilities in terms of loss of revenue that seems to recover substantially once all the COVID restrictions were lifted, and they started to get back healthy than the government through a ton of money at it as well.

請記住，醫療保健是一種營運風險，而不是財務風險。而且你要承擔多年的營運風險，正如我們透過新冠疫情了解到的，所有醫療機構在收入損失方面都面臨著很大的壓力，但一旦所有新冠限制解除，這些收入似乎就會大幅恢復，他們開始恢復健康，而政府也通過大量資金進行了恢復。

That also made it a little bit better. They've been facing high labor costs, which really put some pressure on it. But once again, these are operating risk type of things that get managed pretty expertly to bring in consultants.

這也讓情況變得更好了一點。他們一直面臨著高昂的勞動成本，這確實給他們帶來了一些壓力。但再次強調，這些都是營運風險類型的事情，需要透過聘請顧問來非常專業地進行管理。

We get involved in detail with any troubled credit in our experience has been exceptional in the healthcare area. But like anything else, when we downgraded credit, we got to take you through the reserve model. We have to do our possible scenario analysis and allocate probabilities. And you wind up booking some losses that you never really realized.

我們詳細了解任何信貸問題，我們在醫療保健領域的經驗非常豐富。但就像其他事情一樣，當我們降低信用評級時，我們必須帶您了解儲備模型。我們必須進行可能的情況分析並分配機率。最後你將會記入一些你從未真正意識到的損失。

Got it. And then just last question, just on somewhat around the PREPA side of things. I guess my question is really focused on the political side. I mean the US has seen a change in the White House. Puerto Rico saw a change in leadership.

知道了。最後一個問題，是關於 PREPA 方面的事情。我想我的問題實際上集中在政治方面。我的意思是美國白宮已經改變了。波多黎各的領導層發生了變化。

In your view, has this changed political landscape have been helpful to what might ultimately be necessary to get the backing to push PREPA toward a resolution? Or should we not read too much into the change in the political landscape.

您認為，這種政治格局的改變是否有助於最終獲得支持，推動 PREPA 達成解決方案？或者說我們不應該過度解讀政治格局的變化。

Well, it could. But at the end of the day, they've got a lot on their plate that they're trying to address. So I'm not expecting Puerto Rico to be one of their high priorities. They could put some pressure on the F&B, which would be very helpful for us. But as we said, we're more than happy to play the litigation game.

嗯，有可能。但到頭來，他們還有很多事情要解決。所以我並不認為波多黎各是他們的首要任務之一。他們可以對餐飲部門施加一些壓力，這對我們非常有幫助。但正如我們所說，我們非常樂意參與訴訟遊戲。

LBIE is a great example. That was a claim that they, I think, owed us back in the day. We claimed $26 million of turning to $103 million. So if you want to play the long game, we're happy to play the long game. We've had our rights in terms of the revenue stream affirmed by the court.

LBIE 就是一個很好的例子。我認為，那是他們當年欠我們的。我們的預期收益為 2,600 萬美元，而實際收益已達 1.03 億美元。所以如果你想打長線遊戲，我們也很樂意打長線遊戲。我們在收入來源方面的權利已得到法院的確認。

They challenge it twice, they lost twice. So someday, they're going to have to come to the table and pay the bill. And however long it takes, could the government help absolutely. Are we trying to get some help, sure we are. That's the nature of how we look at the business.

他們挑戰了兩次，都失敗了。所以有一天，他們將不得不坐下來付帳。無論需要多長時間，政府絕對能夠提供協助。我們是否正在嘗試尋求協助？當然了。這就是我們看待業務的本質。

We feel good about the new administration. We think the government is going to try to get involved, make PREPA a credit that can actually go into the market at some point in time. So therefore, that should help our cause as well.

我們對新政府感到滿意。我們認為政府將嘗試參與其中，使 PREPA 成為一項可以在某個時間點真正進入市場的信貸。因此，這也應該對我們的事業有幫助。

And as I said, the courts have backed us up 100%, the appeals court may not be, the local court of course has backed us up 100%. So we're very comfortable with our legal rights, and we're going to continue to pursue them as we did in LBIE and let the chips fall where they may.

正如我所說，法院 100% 支持我們，上訴法院也許不會，但地方法院當然 100% 支持我們。因此，我們對自己的合法權利非常滿意，並且會繼續像在 LBIE 案中所做的那樣去爭取這些權利，聽天由命。

Sounds good. Thanks Dominic.

聽起來不錯。謝謝多米尼克。

This concludes the question-and-answer session. I would now like to turn the conference back over to our host, Robert Tucker, for closing remarks.

問答環節到此結束。現在，我想將會議交還給主持人羅伯特·塔克 (Robert Tucker)，請他致最後總結。

Thank you, operator. I'd like to thank everyone for joining us on today's call. If you have additional questions, please feel free to give us a call. Thank you very much.

謝謝您，接線生。我想感謝大家參加今天的電話會議。如果您還有其他問題，請隨時致電我們。非常感謝。

This concludes today's conference call. Thank you all for attending. You may now disconnect your lines. Have a great day.

今天的電話會議到此結束。感謝大家的參加。現在您可以斷開線路了。祝你有美好的一天。