Ambac rejects Buffett's reinsurance offer: report

NEW YORK (Reuters) - Ambac Financial Group Inc (ABK.N: Quote, Profile, Research) has rejected an offer from billionaire investor Warren Buffett to be part of a plan where his company would reinsure $800 billion in municipal debt covered by the top three bond insurers, CNBC television said on Tuesday.

Buffett, the chief executive of Berkshire Hathaway Inc (BRKa.N: Quote, Profile, Research), had told CNBC television earlier in the day that he had extended the offer to MBIA Inc (MBI.N: Quote, Profile, Research), Ambac Financial Group Inc (ABK.N: Quote, Profile, Research) and FGIC Corp.

(Editing by Leslie Adler)