Note 20 - Quarterly Financial Data

12 Months Ended

Dec. 31, 2012

Quarterly Financial Data (Unaudited) [Abstract]

Quarterly Financial Information [Text Block]

Quarterly Financial Data (Unaudited)

(In thousands, except per share information)	2012 Quarters
	First			Second			Third			Fourth			Year
Net premiums earned—insurance	$	167,365		$	186,779		$	190,963		$	193,875		$	738,982
Net investment income	34,713			30,877			25,635			23,112			114,337
Net gains on investments (1)	67,459			26,419			84,659			6,351			184,888
Net change in fair value of derivative instruments (2)	(72,757		)	(33,124		)	(41,056		)	2,912			(144,025		)
Net losses on other financial instruments (3)	(17,852		)	(61,862		)	(740		)	(1,815		)	(82,269		)
Provision for losses (4)	266,154			210,868			176,352			305,797			959,171
Policy acquisition and other operating expenses	78,200			50,998			63,356			65,994			258,548
Net (loss) income (5)	(169,232		)	(119,259		)	14,325			(177,302		)	(451,468		)
Diluted net (loss) income per share (6)(7)	$	(1.28	)	$	(0.90	)	$	0.11		$	(1.34	)	$	(3.41	)
Weighted average shares outstanding (6)	132,465			132,346			134,033			132,525			132,533
	2011 Quarters
	First			Second			Third			Fourth			Year
Net premiums earned—insurance	$	203,023		$	188,934		$	179,655		$	184,413		$	756,025
Net investment income	42,240			43,823			38,763			38,694			163,520
Net gains on investments (1)	37,435			44,236			81,640			38,866			202,177
Net change in fair value of derivative instruments (2)	243,892			188,726			126,008			69,769			628,395
Net gains on other financial instruments (3)	75,251			5,047			80,602			32,429			193,329
Provision for losses (4)	427,373			263,566			249,598			355,984			1,296,521
Change in PDR	(1,383		)	(3,102		)	(1,942		)	(665		)	(7,092		)
Policy acquisition and other operating expenses	60,350			60,341			56,689			51,193			228,573
Net income (loss) (5)	103,006			137,115			183,568			(121,539		)	302,150
Diluted net income (loss) per share (6)(7)	$	0.77		$	1.03		$	1.37		$	(0.92	)	$	2.26
Weighted average shares outstanding (6)	133,703			133,614			133,513			133,463			133,863

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(1) The 2012 and 2011 periods reflect realized gains and losses on investments in connection with the continued reallocation of our investment portfolio and unrealized gains and losses on our trading securities.

(2) The change in fair value of derivative instruments for 2012 and 2011 reflects the volatility in the cumulative unrealized (loss) gain attributable to the market’s perception of our non-performance risk as a result of the changes in our CDS spread during both years. There was minimal spread tightening in the fourth quarter of 2012.

(3) The 2012 and 2011 periods primarily reflect fair value gains and losses on our VIE debt.

(4) The results for the fourth quarter of 2012 include the effects of an increase in our IBNR reserve estimate. The provision for losses in the fourth quarter of 2011 was primarily driven by reserves established on new default notices, which increased consistent with seasonal trends.

(5) Net income in the third quarter of 2012 reflects increased gains on investments and a decline in the provision for losses in our mortgage insurance segment. The net loss for the fourth quarter of 2011 was primarily due to an increase in both the mortgage insurance and financial guaranty provision for losses.

(6) Diluted net (loss) income per share and average shares outstanding per the accounting standard regarding earnings per share.

(7) Net (loss) income per share is computed independently for each period presented. Consequently, the sum of the quarters may not equal the total net (loss) income per share for the year.