Assured Guaranty has reported a net loss of $125.4m, or $0.67 per share, for the first quarter of 2011, compared to a net income of $322m, or $1.69 per share, recorded in the same quarter last year.

The operating income for the first quarter of 2011 was $249m, compared to $117m for the same period in 2010.

Total revenues of $254m for the first quarter of 2011, compared to $667m for the same quarter in 2010.

In the first quarter of 2011, net earned premiums were $254m, compared to $319m for the same quarter in 2010.

Assured Guaranty president and CEO Dominic Frederico said reaching an agreement with Bank of America was a major accomplishment and a significant contributor to the financial results for the quarter.

"This agreement, accomplished without litigation, confirms our loan-by-loan approach to our R&W claims and allows us to focus more intently on others who have not fulfilled their contractual obligations.

"It is also a major accomplishment in our strategy of enhancing our capital position, and puts us in a better position to address any potential changes in rating agency capital requirements,"Frederico said .