Fourth-quarter income of $10 million was reported last night by RAM Holdings Ltd., raising its 2006 year total net income to $41.1 million compared to $19.6 million in 2005.

The results are so good that even chief executive officer Vernon Endo is not sure that it will possible to match those financial returns in the coming year.

"We are generally pleased with our financial performance in both the quarter and full year periods and note that our 2006 net income far exceeds earnings during any other year in RAM's history," said Mr. Endo.

"In fact, our retained earnings as of year end 2006 are 36 percent greater than the level of a year ago. As we have pointed out throughout the year and will discuss further within this earnings announcement, our full year financial performance benefited from a combination of atypical incurred loss experience, mainly as a result of significant recoveries on previously paid claims, and a relatively high level of earned premiums from refundings. Beyond financial results we feel we accomplished a good deal during 2006, as RAM completed its IPO and a significant preference share offering to add capital to our operating company while expanding our relationships with ceding companies. We believe these expanded relationships will allow us to achieve business growth in 2007 even without any sort of rebound in aggregate financial guaranty industry production."

Mr Endo added: "However, because we anticipate more typical loss and refunding activity during 2007, we feel that it is likely to be difficult to match our 2006 financial results during the course of 2007."

The fourth quarter net income equates to $0.37 per diluted share, a 85 percent improvement in comparison to the amount achieved in the fourth quarter of 2005, when the net income was $5.1 million and gave a $0.20 per diluted share.

Net income for 2006 equates to $1.53 per diluted share, twice the comparable 2005 figure.