Below is transcript of the MGIC Investment Corp. (NYSE:MTG)’s Fourth Quarter Earnings Call, held on January 20, 2015, at 10:00 a.m. EST. Claren Road Asset Management, Monarch Alternative Capital and Avenue Capital was among MGIC Investment Corp. (NYSE:MTG) shareholders at the end of the third quarter.
MGIC Investment Corp. (NYSE:MTG) is a holding company and through wholly owned subsidiaries is a private mortgage insurer in the United States. As of December 31, 2012, its principal mortgage insurance subsidiaries, Mortgage Guaranty Insurance Corporation (MGIC) and MGIC Indemnity Corporation (MIC), were each licensed in all 50 states of the United States, the District of Columbia and Puerto Rico.
Curt S. Culver, Chairman & CEO
Timothy J. Mattke, EVP & CFO
Patrick Sinks, President and COO
Michael J. Zimmerman, IR
Bose George – Keefe, Bruyette & Woods
Eric Beardsley, Goldman Sachs
Mark Devries, Barclays Capital
Jack Micenko, Susquehanna Financial Group
Sean Dargan, Macquarie Group
Douglas Harter, Credit Suisse
Chris Gamaitoni, Autonomous Research.
Good day, ladies and gentlemen, and welcome to the MGIC Investment Corporation Fourth Quarter Earnings Call. At this time all participants are in a listen-only mode. Later we will conduct a question and answer session and instructions will follow at that time. If anyone should require assistance please press * and 0 on your phone. As a reminder this conference is being recorded. I will now turn the call over to your host, Mike Zimmerman. Please go ahead.
Michael J. Zimmerman – IR
Thanks, Stephanie. Good morning and thank you for joining us this morning and for your interest in MGIC Investment Corporation. Joining me on the call today to discuss the results for both the full year and fourth quarter of 2014 are Chairman and CEO, Curt Culver; President and COO, Pat Sinks; Executive Vice President and CFO, Tim Mattke; and Executive Vice President of Risk Management, Larry Pierzchalski.
I want to remind all participants that our earnings release of this morning, which may be accessed on MGIC’s website, which is located at mtg.mgic.com under Investor Information, includes additional information about the company’s quarterly results that we will refer to during the call and includes certain non-GAAP financial measures. As we have indicated in this morning’s press release, which we posted on the website a presentation that contains additional information pertaining to our primary risk in force, new insurance written and other information which we think you’ll find valuable are enclosed within.
As a remainder when there is net income we must transfer [inaudible] dilution for each of our convertible securities. For this quarter, in the fourth quarter of 2014 all the shares that could be converted relative to the 2017 and 2020 securities were included and the associated interest from those securities were excluded for purposes of calculating the diluted EPS that was reported in the press release.
During the course of this call we may make comments about our expectations of the future, which in this call also include statements regarding the potential impact of the draft GSE mortgage insurance eligibility requirements or alternatives MGIC could pursue for these draft mortgage insurance eligibility requirements implemented in their current form. Actual results could differ materially from those contained in these forward-looking statements. Additional information about those factors that could cause actual results to differ materially from those discussed on the call are contained in the Form 8-K that was filed earlier this morning.
If the company makes any forward-looking statements we are not undertaking any obligation to update those statements in the future in light of subsequent developments. Further, no interested parties should rely on the fact that such guidance or forward-looking statements are current at any time other than the time of this call or the issuance of the Form 8-K. So, with that said it’s been my privilege since 2003 and again today for the final time to turn the call over to our CEO and Chairman, Curt Culver.