CMG Mortgage Insurance Co.'s operating performance improved materially in 2011. We are affirming our 'BBB' rating on CMG MI. Macroeconomic conditions and a transitioning operational support are notable risks to CMG MI in 2012. On Feb. 2, 2012, Standard&Poor's Rating Services affirmed its 'BBB' rating on CMG Mortgage Insurance Co. (CMG MI). The outlook is negative. The mortgage insurance sector is experiencing high losses amid a struggling economy and very weak job and housing markets. The lack of significant improvement in payroll employment levels helped keep new notices of delinquency (NODs) high. Relative to its peers, however, CMG MI's operating results have improved at a faster and more stable rate. Compared with the same period in 2010, the
