PMI Europe Opens Brussels Office with Roundtable Discussion of ``Housing Affordability in Europe''

The roundtable brought together a distinguished panel of expertsto address the latest thinking, themes and trends regarding thebarriers to growth and development of housing affordability in Europeand to suggest practical solutions to these issues. Participantsincluding Peter Skinner, Member of the European Parliament, Jan H0stSchmidt, Director, Directorate Economic and Financial Affairs,European Commission, Annik Lambert, Secretary General of the EuropeanMortgage Federation, Don Haszczyn, Vice President Habitat forHumanity, and Tony Porter, PMI Europe's Managing Director. SteveSmith, Chief Executive Officer of The PMI Group, Inc., made thewelcoming speech.

Tony Porter, Executive Vice President and Managing Director ofInternational Markets for PMI Europe commented, "Our experience showsthat the European market is not only one of the fastest growingmarkets worldwide, it exhibits untapped potential. PMI has been warmlywelcomed in Europe. We now have offices in five countries, includingour headquarters office in Dublin. Through our new office in Brusselswe hope to contribute to the formation of public policy on housing andhousing finance in Europe, and to see that housing and homeownershipget the attention they deserve."

PMI Europe announced the opening of its first German office,located in Frankfurt, Germany's financial center, and the appointmentof Claudia Schneider as its Country Manager for Germany, in April. Inaddition to Brussels and Frankfurt, PMI Europe has offices in London,Dublin, and Milan.

About PMI Europe

PMI Mortgage Insurance Company Limited ("PMI Europe") serves thespecial needs of European residential mortgage lenders and itsinvestors by offering a variety of mortgage credit enhancementsolutions tailored to accomplish regulatory capital relief, riskmanagement, product/lending expansion and secondary market access. PMIEurope offers products custom designed to the EU mortgage markets thatreduce risks for lenders and investors against losses associated withborrower default on residential mortgage loans. Domiciled in Dublin,Ireland, and holding a passport under the EC Freedom of ServicesDirective, PMI Europe has offices in London, Milan, Frankfurt andBrussels. It is rated AA by Standard & Poor's and Fitch Ratings, andAa3 by Moody's Investors Service.

PMI Europe's global parent, The PMI Group, Inc. (NYSE:PMI),headquartered in Walnut Creek, CA, is an international provider ofcredit enhancement products that promote homeownership and facilitatemortgage transactions in the capital markets. Through its wholly ownedsubsidiaries and unconsolidated strategic investments, the companyoffers residential mortgage insurance and credit enhancement productsdomestically and internationally, financial guaranty insurance, andfinancial guaranty reinsurance. Through its subsidiaries, The PMIGroup, Inc. is one of the world's largest providers of privatemortgage insurance with operations in the United States, Australia,New Zealand, and the European Union, as well as one of the largestproviders of mortgage guaranty reinsurance in Hong Kong. For moreinformation: pmigroup.com.

Cautionary Statement: Statements in this news release that are nothistorical facts or that relate to future plans, events or performanceare "forward-looking" statements within the meaning of the US PrivateSecurities Litigation Reform Act of 1995. These forward-lookingstatements include PMI's expectations with respect to PMI Europe. Manyfactors could cause actual results and developments to differmaterially from those expressed or implied by forward-lookingstatements including, among others, conditions affecting the mortgageinsurance and credit enhancement industries and general economicconditions. Other risks and uncertainties are discussed in PMI's SECfilings, including its Form 10-K for the year ended December 31, 2005and Form 10-Q for the quarter ended March 31, 2006. We undertake noobligation to update forward-looking statements.