WALNUT CREEK, Calif., Dec. 4 /PRNewswire-FirstCall/ -- The PMI Group, Inc.
(NYSE: PMI) (the "Company") today reduced its paid claims guidance for 2008:
-- The Company expects paid claims, net of captive reinsurance trust
account recoveries, for its U.S. Mortgage Insurance Operations to be
between $810 million to $835 million for the full year 2008. This is
a reduction from the Company's previous expectation for full year 2008
paid clams in its U.S. Mortgage Insurance Operations of between $850
million to $900 million, announced on November 3, 2008.
-- The Company will hold an investor conference today, December 4, 2008
from 9:00 am to 12:30 pm EST. A live broadcast will be available on
the Internet and can be accessed at PMI's website:
http://www.pmigroup.com/shareholders/. For those individuals who
cannot listen to the presentation live, there will be a replay of the
webcast available at this site approximately two hours after the call
ends, which will be posted for one month.
About The PMI Group, Inc.
The PMI Group, Inc. (NYSE: PMI), headquartered in Walnut Creek, CA,
provides credit enhancement solutions that expand homeownership opportunities.
Through its wholly and partially owned subsidiaries, PMI offers residential
mortgage insurance and credit enhancement products. For more information:
www.pmigroup.com.
CAUTIONARY STATEMENT
Statements in this press release that are not historical facts, or that
relate to future plans, events or performance are "forward-looking" statements
within the meaning of the Private Securities Litigation Reform Act of 1995.
Forward-looking statements in this release include our expectations with
respect to U.S. Mortgage Insurance Operations' paid claims in 2008. Readers
are cautioned that forward-looking statements by their nature involve risk and
uncertainty because they relate to events and depend on circumstances that
will occur in the future. Many factors could cause actual results and
developments to differ materially from those expressed or implied by
forward-looking statements. Such factors include, among others, national or
regional recessions, and further deterioration in the housing, mortgage and
related credit markets. In particular, declines in housing values and/or
housing demand, deterioration of borrower credit, higher unemployment rates,
changes in interest rates, higher levels of consumer credit, higher mortgage
default and claim rates, lower cure rates, higher claim sizes, the aging of
our mortgage insurance portfolios, adverse changes in liquidity in the capital
markets, the inability of loans servicers to process higher volumes of
delinquent loans, the further contraction of credit markets and the failure of
conditions relating to any of these factors to improve, could negatively
affect our losses. Readers should not infer that the lowering of our paid
claims guidance for 2008 represents any particular trend for paid claims in
2008 and 2009. Readers are cautioned that paid claims is only one component
of U.S. Mortgage Insurance Operations' total losses. Other components include
loss reserve increases and loss adjustment expenses and such components have
significantly increased in 2008 and could continue to increase significantly
in the future, thereby causing U.S. Mortgage Insurance Operations' total
losses to continue to increase. Other risks and uncertainties are discussed
in our SEC filings, including our Annual Report Form 10-K for the year ended
December 31, 2007 (in Item 1A) and our Quarterly Report on Form 10-Q for the
quarter ended September 30, 2008. We undertake no obligation to update
forward-looking statements.
SOURCE The PMI Group, Inc.
12/04/2008
CONTACT: Investors, Bill Horning of The PMI Group, Inc.,
+1-925-658-6193, or Media, Thomas Taggart, +1-925-658-6511, of The PMI Group,
Inc.
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Web Site: http://www.pmigroup.com
