WALNUT CREEK, Calif., July 30 /PRNewswire-FirstCall/ -- The PMI Group, Inc.'s (the "Company") primary subsidiary, PMI Mortgage Insurance Co., announced the sale of its equity ownership in FGIC Corporation ("FGIC"), the holding company of Financial Guaranty Insurance Company. The financial terms of the sale were not disclosed. The Company had impaired its investment in FGIC in the first quarter of 2008 and, consequently, did not recognize any losses from FGIC in 2009 or 2010. While the proceeds from the sale of FGIC were not significant, PMI Mortgage Insurance Co. could potentially realize certain tax benefits in future periods from the disposition of FGIC. Any potential tax benefits could be limited or delayed, and there can be no assurance whether or when any such tax benefits will be realized. The Company's ability to recognize any such tax benefits will depend on, among other things, estimated future taxable income at the end of future financial reporting periods.
About The PMI Group, Inc.
The PMI Group, Inc. , headquartered in Walnut Creek, CA, provides credit enhancement solutions that expand homeownership while supporting our customers and the communities they serve. Through its wholly and partially owned subsidiaries, PMI offers residential mortgage insurance and credit enhancement products. For more information: http://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. 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. Risks and uncertainties related to PMI and its business are discussed in our SEC filings, including in Item 1A of our Annual Report on Form 10-K for the year ended December 31, 2009, and our Quarterly Report on Form 10-Q for the quarter ended March 31, 2010. We undertake no obligation to update forward-looking statements.
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The PMI Group, Inc.
CONTACT: Investors and Media, Bill Horning of The PMI Group,
+1-925-658-6193, Inc., or Kosta Karmaniolas of The PMI Group, Inc.,
+1-925-658-6137
Web Site: http://www.pmigroup.com/
