Ambac new business limited given rating view -exec

NEW YORK, June 4 (Reuters) - Ambac Financial Group's (ABK.N) new bond insurance business outlook is limited due to the potential rating downgrade by Moody's Investors Service, an Ambac executive said on Wednesday.

"Clearly we are not doing a lot of new business, and given Moody's announcement I don't expect us to do a lot of new business in the near term," Douglas Renfield-Miller, an Ambac executive vice president, said at the Keefe, Bruyette and Woods Diversified Financial Services Conference in New York.

Moody's earlier on Wednesday placed the "Aaa" insurance financial strength ratings of Ambac's bond insurance units on review for downgrade, citing the company's credit profile, constrained new business prospects and financial flexibility.

Renfield-Miller said Ambac would continue to reassure Moody's about its prospects. But he conceded that the bond insurer could be downgraded to the "Aa" category as Moody's has indicated.

"We are not giving up," he said. "We will continue dialogue, and will continue to try and convince them that they have erred." (Reporting by Anastasija Johnson and Al Yoon; Editing by Leslie Adler)