Exhibit 10.03

AMBAC FINANCIAL GROUP, INC.

2008
DIRECTORS COMPENSATION TABLE

EFFECTIVE AS
OF APRIL 1, 2008



|                                                                                                                 |  |                           |  |                                                                                        
|---------------------------------------------------------------------------------------------------------------- |  | ------------------------- |  | ---------------------------------------------------------------------------------------
|TYPE OF FEE                                                                                                      |  | AMOUNT                    |  | MANNER OF PAYMENT                                                                      
|                                                                                                                 |  |                          
|Annual Fees/Awards                                                                                               |  |                           |  |                                                                                        
|                                                                                                                 |  |                          
|¡      Annual fee for serving as a director of Ambac Financial Group, Inc.                                       |  | $50,000**                 |  | $50,000 payable quarterly in arrears in cash                                           
|                                                                                                                 |  |                          
|¡      Annual fee for serving as a director of Ambac Assurance Corporation                                       |  | None                      |  |                                                                                        
|                                                                                                                 |  |                          
|¡      Annual fee for chairing the Audit and Risk Assessment Committee of Ambac Financial Group, Inc.            |  | $20,000                   |  | Payable quarterly in arrears in cash                                                   
|                                                                                                                 |  |                          
|¡      Annual fee for chairing the Compensation Committee or Governance Committee of Ambac Financial Group, Inc. |  | $10,000                   |  | Payable quarterly in arrears in cash                                                   
|                                                                                                                 |  |                          
|¡      Annual fee for serving as Presiding Director of Ambac Financial Group, Inc.                               |  | $75,000                   |  | Payable quarterly in arrears in cash                                                   
|                                                                                                                 |  |                          
|Meeting Fees                                                                                                     |  |                           |  |                                                                                        
|                                                                                                                 |  |                          
|¡      Annual or special meeting of Ambac Financial Group, Inc. stockholders                                     |  | $1,000                    |  | Payable quarterly in arrears in cash                                                   
|                                                                                                                 |  |                          
|¡      Ambac Financial Group, Inc. Board meeting                                                                 |  | $2,000                    |  | Payable quarterly in arrears in cash                                                   
|                                                                                                                 |  |                          
|¡      Ambac Assurance Corporation Board meeting                                                                 |  | $2,000                    |  | Payable quarterly in arrears in cash                                                   
|                                                                                                                 |  |                          
|¡      Standing or special committee meeting held in conjunction with a stockholder or board meeting             |  | $1,000                    |  | Payable quarterly in arrears in cash                                                   
|                                                                                                                 |  |                          
|¡      Standing or special committee meeting not held in conjunction with a stockholder or board meeting         |  | $1,000                    |  | Payable quarterly in arrears in cash                                                   
|                                                                                                                 |  |                          
|Travel and Related Expenses                                                                                      |  |                           |  |                                                                                        
|                                                                                                                 |  |                          
|¡      Travel and related expenses incurred in attending a stockholder, board or committee meeting               |  | 100% of expenses incurred |  | Payable in cash promptly upon submission of receipts to the Ambac Financial Group,
Inc.



|** | The cash portion of the annual fee is prorated to reflect service on the Board of less than one full year prior to the relevant annual meeting of stockholders.
|-- | ---------------------------------------------------------------------------------------------------------------------------------------------------------------



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AMBAC FINANCIAL GROUP, INC.

2008 DIRECTORS COMPENSATION TABLE

EFFECTIVE AS OF APRIL 1, 2008

(CONTINUED PAGE 2 OF 2)



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|-------------------------------------------------------------- |  | ------------------------------------------------------------------------ |  |  |  | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|TYPE OF FEE                                                    |  | AMOUNT                                                                   |  |  |  | MANNER OF PAYMENT                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      
|                                                               |  |                                                                          | 
|Stock Awards                                                   |  |                                                                          |  |  |  |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        
|                                                               |  |                                                                          | 
|¡      Annual Award of Restricted Units of Common Stock (RSUs) |  | Value of$100,000RSUs ondate oftheAnnualMeeting                           |  |  |  | ¡      The value of $100,000 of RSUs will be awarded annually on the date of the annual meeting of stockholders. The number of RSUs shall be equal to $100,000 divided by the closing price
of Ambacs Common Stock on the NYSE on the date of the Annual Meeting.  ¡      The RSUs vest on the first anniversary of the grant                                                                                                                                                                                                                                                                                                                                                         
|¡      Five-year Award of RSUs                                 |  | Value of$210,000RSUs ondate ofAnnualMeeting(onlygrantedonceevery 5years) |  |  |  | ¡      The value of $210,000 of RSUs are awarded on the date of the annual meeting of stockholders coincident with, or first succeeding the directors election to the Ambac Financial
Group, Inc. Board. The number of RSUs shall be equal to $210,000 divided by the closing price of Ambacs Common Stock on the NYSE on the date of the Annual Meeting. 
¡      These RSUs vest on the date of the annual meeting
held in the fifth year following the date of grant  ¡      Assuming the director remains on the Board following vesting, he or she will be awarded an additional $210,000 in RSUs  ¡      RSUs are awarded under the 1997 Non-Employee Directors Plan, as amended



|* | Effective June 3, 2008 the Annual Award of Restricted Units of Common Stock (RSUs): increased to $100,000 from $60,000.
|- | -----------------------------------------------------------------------------------------------------------------------



|                             |  |                                                                                                                                                                                                                                            
|---------------------------- |  | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|OTHER BENEFITS               |  | DESCRIPTION                                                                                                                                                                                                                                
|                             | 
|¡      Deferred compensation |  | Under the Deferred Compensation Plan for Outside Directors and Eligible Senior Officers, non-employee directors may elect to
defer all or part of their director compensation (including both annual and meeting fees) that is paid in cash
|                             | 
|¡      Health and welfare    |  | Each non-employee director is permitted to enroll (without paying any premium) in the Ambac
Financial Group, Inc. medical and dental plan and is eligible to receive a $50,000 term life insurance policy (without paying any premium)