SCA Stellus Capital Investment Corporation

Company is Working with Goldman Sachs and Rothschild to Evaluate Strategic Alternatives HAMILTON, Bermuda, March 3 /PRNewswire-FirstCall/ -- Security Capital Assurance (NYSE:SCA) ("SCA" or the "Company") announced today that on Friday, February 29, 2008, the Company filed a Notification of Late Filing on Form 12b-25 with the Securities and Exchange Commission with respect to its Annual Report on Form 10-K for the fiscal year ended December 31, 2007. SCA expects to file its 2007 Form 10-K by March 17, 2008 and expects to host an earnings conference call shortly after the Form 10-K filing. To access the Company's Form 12b-25 filing, please go to SCA's investor relations page at http://www.scafg.com/. The Company continues to work with its financial advisor, Goldman Sachs & Co., and has also engaged Rothschild Inc. to assist with the comprehensive review of all strategic options available to the Company. About Security Capital Assurance Ltd Security Capital Assurance Ltd is a holding company domiciled in Bermuda whose common shares are listed on the New York Stock Exchange (NYSE:SCA). For more information please visit http://www.scafg.com/. Contact: Investors Media Frank Constantinople Michael Gormley +1 441-279-7450 +1 441-279-7450 Michele Loguidice/Cindy Leggett-Flynn +1 212-333-3810 or FORWARD-LOOKING STATEMENTS This release contains statements about future results, plans and events that may constitute "forward-looking" statements within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. You are cautioned that these statements are not guarantees of future results, plans or events and such statements involve risks and uncertainties that may cause actual results to differ materially from those set forth in these statements. Forward-looking statements are subject to a number of risks and uncertainties, many of which are beyond the Company's control. These factors include, but are not limited to: the outcome of the rating assessments for SCA and its subsidiaries and for all bond insurers, generally, that are ongoing by Fitch Ratings ("Fitch"), Moody's Investor Services ("Moody's) and Standard & Poor's ("S&P"), the outcome of the Company's discussions with Fitch, Moody's and S&P, and the company's ability to successfully address any other capital requirements within the required timeframes; the impact of the ratings actions on SCA operating subsidiaries announced on February 25, 2008 by S&P, February 7, 2008 by Moody's, and January 23, 2008 by Fitch; the impact of any adverse changes that may be made to the financial strength or financial enhancement ratings of any or all of the Company's operating subsidiaries; higher risk of loss in connection with obligations guaranteed by the Company due to recent deterioration in the credit markets stemming from the poor performance of subprime residential mortgage loans; developments in the world's financial and capital markets that adversely affect the performance of the Company's investments and its access to such markets; ineffectiveness of Company's business strategy, due to changes in current or future market conditions or other factors; the performance of invested assets, losses on credit derivatives or changes in the fair value of credit default swaps; the availability of capital and liquidity; the timing of claims payments and the receipt of reinsurance recoverables; increased competition; greater frequency or severity of claims and loss activity; changes in Company reinsurance agreements with certain of its subsidiaries; changes in regulation, tax laws, legislation or accounting policies or practices; changes in officers; general economic conditions; changes in the availability, cost or quality of reinsurance or retrocessions; changes that may occur in Company operations and ownership as the Company matures; other additional factors, risks or uncertainties described in Company filings with the Securities and Exchange Commission, including in the Company's Annual Report on Form 10-K for the fiscal year ended December 31, 2006, and also disclosed from time to time in subsequent reports on Form 10-Q and Form 8-K. Readers are cautioned not to place undue reliance on forward-looking statements which speak only as of the date they are made. The Company does not undertake to update forward-looking statements to reflect the impact of circumstances or events that arise after the date the forward-looking statements are made. DATASOURCE: Security Capital Assurance Ltd CONTACT: Investors, Frank Constantinople, +1-441-279-7450, , or Media, Michael Gormley, +1-441-279-7450, , both of Security Capital Assurance; or Michele Loguidice, , or Cindy Leggett-Flynn, , both for Security Capital Assurance, +1-212-333-3810 Web site: http://www.scafg.com/

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