Article: GE Mortgage Insurance Issues Statement on S&P Credit Watch Action.

Business Editors

RALEIGH, N.C.--(BUSINESS WIRE)--June 27, 2003

GE Mortgage Insurance today released the following statement in response to the decision by Standard and Poor's to put GE Mortgage Insurance on CreditWatch:

S&P made its decision despite the fact that our capital position has never been stronger.

The S&P action is based on a change in S&P's rating methodology, not on any change in the financial condition of GE Mortgage Insurance. S&P noted that changes within its rating criteria "now limit the rating support for a strategically important subsidiary to one notch below the parent's rating" unless there is a significant ...

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