Mortgage Insurer MGIC Lost Almost $1.5B in 4Q As Claims Rise, Looks for More Capital

[El Pinko]

Source: Associated Press

MGIC Swings to $1.5B Loss in 4Q
Wednesday February 13, 8:50 am ET
By Emily Fredrix, AP Business Writer
Mortgage Insurer MGIC Lost Almost $1.5B in 4Q As Claims Rise, Looks for More Capital

MILWAUKEE (AP) -- Mortgage insurer MGIC Investment Corp. said Wednesday it lost almost $1.5 billion for the last three months of 2007 on higher home delinquencies and payouts. It also said it is looking for ways to boost its capital.

Chairman and chief executive Curt S. Culver said the company still doesn't see making money this year, if delinquencies and losses continue to rise and fewer homeowners get back on track with payments.

The Milwaukee-based company said it lost $1.47 billion, or $18.17 per share, in the fourth quarter compared with a profit of $121.5 million or $1.47 per share in the same period a year ago.

A survey by Thomson Financial indicates Wall Street analysts had expected the company to lose, on average, $6.77 per share. Those estimates typically exclude one-time items.

Read more: http://biz.yahoo.com/ap/080213/earns_mgic.html

[Demeter]

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