Mortgage Insurer PMI Dumps Australian Subsidiary



You may have been wondering: how, after a $246.3 million quarterly loss, will Walnut Creek's mortgage insurance company PMI dig itself out of its hole? How about dumping its Australian subsidiaries for a fortune in liquid cash? The East Bay Business Times reports that PMI has sold its Australian mortgage insurance arm for a tidy $920 million, 80 percent of which is cash up front. That takes care of their money problems. Apparently, PMI's investors approved of the move, as its stock jumped 62 percent after news of the sale broke.