PMI Canada Receives Government Guarantee

    Guarantee Provides Capital Relief for Customers

    TORONTO, and WALNUT CREEK, Calif., July 16 /CNW/ -- PMI Mortgage
Insurance Company Canada (PMI Canada), a subsidiary of The PMI Group, Inc.
(NYSE: PMI), today announced it has received a government guarantee that will
benefit PMI Canada customers by providing them with capital relief afforded by
mortgage insurance.
    The Canadian government has guaranteed payments on 90 percent of PMI
Canada's conforming mortgage insurance obligations in the unlikely event of
insolvency.  The government guarantee allows PMI Canada policyholders that are
federally regulated financial institutions to receive regulatory capital
relief under current capital standards administered by the Office of the
Superintendent of Financial Institutions.
    Based in Toronto, PMI Canada offers loan-level primary mortgage insurance
for residential mortgages and portfolio insurance applied to pools of mortgage
loans.  PMI Canada has a financial strength rating of AA from DBRS.

    PMI Canada

    PMI Mortgage Insurance Company Canada (PMI Canada), a subsidiary of The
PMI Group, Inc. (NYSE: PMI), serves the needs of residential mortgage lenders
and investors in Canada.  PMI Canada offers loan-level primary mortgage
insurance for residential mortgages as well as portfolio insurance, which is
mortgage insurance applied to a specific group of loans. PMI's products
protect lenders and investors against losses associated with borrower default
on residential mortgage loans. PMI Canada is rated AA by Dominion Bond Rating
Service. For more information: http://www.pmicanada.ca.

For further information: Investors, Bill Horning of The PMI Group, Inc.,
 +1-925-658-6193, or Media - US, Stephanie Corns of The PMI Group, Inc., 
+1-925-658-6357, or Media - Canada, Caroline Spivak of The PMI Group, Inc., 
+1-416-645-8185 Web Site: http://www.pmigroup.com                 
http://www.pmicanada.ca