RAM Holdings Ltd Announces Q2 2011 Net Loss (Excerpt)

HAMILTON, Bermuda – 04 October, 2011 - RAM Holdings Ltd. (the “Company”; BSX: RAMR.BH; Pink Sheets: RAMR.PK) reported second quarter 2011 net loss available to common shareholders of $1.5 million, or a net loss of $0.06 per diluted share. This compares to net income of $26.3 million, or net income of $1.00 per diluted share, for the second quarter 2010. Net income available to common shareholders for the first six months of 2011 was $4.5 million, or net income of $0.17 per diluted share, compared to net income of $28.1 million, or $1.06 per diluted share, for the first six months of 2010.

Commenting on the financial results, RAM's Chief Executive Officer, David Steel, noted that, "Our second quarter net loss was largely the result of our strengthening our reserves on our financial guaranty reinsurance exposures, particularly on residential mortgage backed securities, and a $1.4 million loss on credit derivative policies commuted in the period. The commutation of the credit derivative policies was viewed as desirable in order to settle an arbitration and avoid potentially higher losses."

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 has posted the entire text of this release and its second quarter 2011 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