Genworth Financial Inc.

The stable outlook reflects our expectations that Genworth will sustain its underwriting performance and capital adequacy redundant at the 'BBB' level. We expect the company risk profile will not change materially. We could lower our ratings in the next two years if: Genworth's consolidated capitalization deteriorates significantly at the 'BBB' level, Its risk profile worsens materially, or Financial leverage increases to 40% or the coverage ratio deteriorates sustainably below 4x. We do not anticipate raising our ratings in the next two years. However, we could raise the ratings if the U.S. economic and housing fundamentals are supportive and if: Genworth's consolidated capitalization sustainably strengthens to a level that is sufficiently redundant at 'A' stress level; or Enact's stand-alone credit profile

...Genworth Financial Inc. has meaningfully decreased its leverage, alleviating liquidity pressure. Genworth's strategic and capital actions in the past two years have meaningfully reduced the group's financial difficulties and alleviated liquidity pressure, with the next significant debt maturity in 2034. The company's strategic actions--including the sale of its Australian mortgage insurance business; an 18.4% IPO of its U.S. mortgage insurance operations, Enact Holdings Inc.; and regular dividends from Enact--have helped the company lower its leverage. We expect the company's earnings accrual, partly offset by shareholder returns, will help reduce financial leverage below 30% through 2024. Genworth's capitalization has strengthened, led by improvement in mortgage insurance operations. Genworth's capitalization as of year-end 2021 had strengthened at the '###' confidence level under our risk-based capital adequacy model, anchored by its mortgage insurance operations. A reduction in delinquent...

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