SOURCE: Kamakura Corporation

March 09, 2005 06:07 ET

Kamakura Reports Corporate Credit Quality Continues to Be Very Good in February

Kamakura Index of Troubled Companies Remains at Low Levels

HONOLULU, HI -- (MARKET WIRE) -- March 9, 2005 -- Kamakura Corporation reported today that its monthly index of troubled companies in the United States remained strong in February, rising very slightly to 13.0% of the public company universe. The Kamakura troubled company index was up from 12.9% in January. Kamakura classifies any company with a default probability of more than one percent as troubled.

"The Kamakura troubled company index remained at low levels typical of the best part of the credit cycle again in February," commented Dr. Donald R. van Deventer, Kamakura Chairman and Chief Executive Officer. "The number of companies with default probabilities between 1% and 5% was 7.8% of the public company universe, down slightly from 7.8% in January. Companies with default probabilities between 5 and 10% were unchanged at 1.9% of the universe. Companies with default probabilities between 10% and 20% were up 0.2% to 1.5% of the universe. The riskiest firms in the universe, those with default probabilities over 20%, were unchanged at 1.8% of the universe in February."

Kamakura is offering free trials of its KRIS default probability service to qualified institutions. For more information on Kamakura's free trial offer, please contact Kamakura at info@kamakuraco.com. More information can also be found on the Kamakura Corporation web site, www.kamakuraco.com, and in "Advanced Financial Risk Management" (John Wiley & Sons, 2004) by Kamakura's van Deventer, Kenji Imai, and Mark Mesler (available on www.amazon.com). "Advanced Financial Risk Management" was recently named "best finance book of 2004" on www.riskbook.com.

About Kamakura Corporation

Kamakura Corporation is a leading provider of risk management information, processing and software. Kamakura has been a provider of daily default probabilities for listed companies since November, 2002. Kamakura launched its business mortality model for unlisted companies in January 2004. Kamakura is also the first company in the world to develop and install a fully integrated credit risk, market risk, asset and liability management, and transfer pricing system. Kamakura has clients ranging in size from $3 billion in assets to $1 trillion in assets. Kamakura's risk management software is currently used in the United States, Germany, Canada, the United Kingdom, Australia, the Middle East, Africa, Japan, China, Korea and many other countries in Asia.

Kamakura's research effort is led by Professor Robert Jarrow, who was named Financial Engineer of the Year in 1997 by the International Association of Financial Engineers. Professor Jarrow and Dr. van Deventer were both named to the 50-member RISK Hall of Fame in December 2002. Kamakura management has published twenty-one books and more than 100 publications on credit risk, market risk, and asset and liability management. Kamakura has worldwide distribution alliances with IPS-Sendero (www.ips-sendero.com) and Unisys (www.unisys.com), making Kamakura products available in almost every major city around the globe.

For more information contact:

Kamakura Corporation
2800 Woodlawn Drive, Suite 138, Honolulu, Hawaii  96822
Telephone: 1-808-539-3830
Facsimile: 1-808-539-3748
Information: info@kamakuraco.com
Web site: www.kamakuraco.com

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