11/18/2009-Shares of Ambac Financial (NYSE:ABK) are trading over 40% higher Wednesday after the company disclosed that its bond insurance unit almost tripled its regulatory capital surplus, fending off delinquency proceedings.

As of September 30, the company said its surplus was at $856 million, up from $305.6 million reported at the end of June.

Since June of '08, Ambac's Assurance has been downgraded 17 levels by Moody's Investors Service, currently at Caa2 from Aaa, as the company has suffered from mounting losses caused by the credit crisis.

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