RAM Holdings Ltd Announces Q4 2010 Net Loss (Excerpt)

HAMILTON, Bermuda – 06 May, 2011 - RAM Holdings Ltd. (the “Company”; BSX: RAMR.BH; Pink Sheets: RAMR.PK) reported fourth quarter 2010 net loss available to common shareholders of $(13.5) million, or a net loss of $(0.51) per diluted share. This compares to net income of $6.0 million, or net income of $0.23 per diluted share, for the fourth quarter 2009. Net income available to common shareholders for the full year 2010 was $11.8 million, or net income of $0.45 per diluted share, compared to net income of $26.3 million, or $0.98 per diluted share, for the full year 2009.

Commenting on the financial results, RAM’s Chief Executive Officer David Steel noted that, “Our fourth quarter net loss was largely driven by an increase in the realized and unrealized losses on our reinsured credit derivative portfolio. For the full year 2010, our net income was largely driven by gains on the previously announced repurchases of the Company’s unsecured senior notes and a portion of the Company’s Series A preference shares. In our view, the Company’s operating income for the fourth quarter and full year 2010, which is a non-GAAP financial measure that is defined later in this earnings release, reflects a useful measure of the core financial performance of the Company. RAM’s operating income was $5.9 million in 2010, the first year it has been positive since 2006, and was primarily attributable to our successful expense reduction efforts and moderating loss development on our financial guaranty reinsurance exposures.”

Mr. Steel also stated that, “RAM is entering 2011 with what we expect will be a less volatile insured portfolio due to commutation efforts over the past three years, stabilizing and more moderate loss development, adequate capital and liquidity, and a long term portfolio run-off. Accordingly, we are evaluating the adequacy and availability of our capital to support writing a limited amount of short-term, non-catastrophe, property/casualty reinsurance business in order to enhance overall shareholder value. Any new business undertaken would be subject to Board and regulatory approval.”

RAM Holdings Ltd. is a Bermuda-based holding company. Its operating subsidiary, RAM Reinsurance Company Ltd., provides financial guaranty reinsurance for U.S. and international public finance and structured finance transactions. More information can be found at www.ramre.com.

RAM will post the full text of this announcement and its full year 2010 financial results to its website at www.ramre.com under "Investor Information". If you are a shareholder of RAM Holdings Ltd. and wish to receive a hard copy of the financial statements by mail, please contact:

RAM Holdings Ltd.

RAM Re House

46 Reid Street

Hamilton, HM 12

Bermuda

Attention: David Steel

Telephone: 441-296-6501

Email: info@ramre.bm