WALNUT CREEK, Calif., Nov. 3 /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 $850 million to $900 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 $900
       million to $975 million.

A conference call to discuss the Company's results will be held at 12:00 pm ET on November 3, 2008. The conference call will be available by telephone or on the Internet. On the Internet, the conference call webcast can be accessed at PMI's website: http://www.pmigroup.com/shareholders/. The dial-in number for the conference call is (888) 790-9746 (U.S.) or 1-210-234-7030 (International). The passcode "PMI" is required to access the call. For those individuals who cannot listen to the call 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. A telephonic audio replay will be available approximately one hour after the call and can be accessed until December 4, 2008 by dialing 800-308-7816 or 203-369-3243 (International). The passcode "5000" is required to access the audio replay.

About The PMI Group, Inc.

The PMI Group, Inc. (NYSE: PMI), headquartered in Walnut Creek, CA, provides innovative credit, capital, and risk transfer solutions that expand homeownership and fund essential services for 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. 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 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 June 30, 2008. We undertake no obligation to update forward- looking statements.

SOURCE The PMI Group, Inc.