RDN Radian Group Inc

RadianExpress to Cease Operations PHILADELPHIA, Dec. 30 /PRNewswire-FirstCall/ -- Radian Group Inc. will cease operations of its mortgage services subsidiary, RadianExpress.com Inc., in a phased shutdown that is expected to be completed on or about March 1, 2004. RadianExpress is an Internet-based settlement company that provides real estate information products and services to the first and second mortgage industry, and was acquired by Radian in October of 2000. The cessation of operations will result in a pre-tax charge in the fourth quarter of 2003 of approximately $13.0 million, which includes the write-off of the investment carrying cost of $11.0 million and provisions for severance, leasehold commitments and other charges of $2.0 million. The net impact to Radian is approximately $0.09 per share after-tax. Any income and expense from RadianExpress operations in 2004 will be recorded during that period and should be immaterial. For the nine months ended September 30, 2003, RadianExpress had revenues of $16.1 million and expenses of $20.3 million, compared to $13.2 million and $17.2 million, respectively, in 2002. Radian Group Inc. is a leading credit enhancement provider to the global financial and capital markets, headquartered in Philadelphia. Radian's subsidiaries provide products and services through three business lines: financial guaranty, mortgage insurance and mortgage services. Additional information may be found at http://www.radiangroupinc.com/. DATASOURCE: Radian Group Inc. CONTACT: Investors: Mona Zeehandelaar, +1-215-231-1674, , or Media: Elizabeth Emmons, +1-215-231-1334, , both of Radian Group Web site: http://www.radiangroupinc.com/

Copyright