Note 3 - Discontinued Operations (Tables)

12 Months Ended

Dec. 31, 2014

Discontinued Operations and Disposal Groups [Abstract]

Schedule of Disposal Groups, Including Discontinued Operations, Income Statement, Balance Sheet and Additional Disclosures [Table Text Block]

The loss from discontinued operations consisted of the following components for the periods indicated:

	Year Ended December 31,
(In thousands)	2014			2013			2012
Net premiums earned	$	37,194		$	49,474		$	36,598
Net investment income	35,633			39,966			41,657
Net gains (losses) on investments	51,409			(50,775		)	70,606
Impairment losses on investments	—			(3		)	(3		)
Change in fair value of derivative instruments	130,617			(32,406		)	(143,834		)
Net gains (losses) on other financial instruments	3,903			2,845			(90,071		)
Gain on sale of affiliate	—			—			7,708
Other income	88			(20		)	2
Total revenues	258,844			9,081			(77,337		)
Provision for losses	2,853			2,486			37,664
Policy acquisition costs	6,340			13,178			27,745
Other operating expense	23,726			27,127			29,010
Total expenses	32,919			42,791			94,419
Equity in net (loss) income of affiliates	(13		)	1			(13		)
Income (loss) from operations of businesses held for sale	225,912			(33,709		)	(171,769		)
Loss on classification as held for sale	(467,527		)	—			—
Income tax provision	58,442			21,425			55,594
Loss from discontinued operations, net of tax	$	(300,057	)	$	(55,134	)	$	(227,363	)

The assets and liabilities associated with the discontinued operations have been segregated in the consolidated balance sheets. The following table summarizes the major components of Radian Asset Assurance’s assets and liabilities held for sale on the Consolidated Balance Sheets as of December 31, 2014 and 2013:

	December 31,
(In thousands)	2014		2013
Fixed-maturity investments	$	224,552	$	85,408
Equity securities	3,749		—
Trading securities	689,887		884,696
Short-term investments	435,413		493,376
Other invested assets	108,206		106,000
Other assets	274,637		198,581
Total assets held for sale	$	1,736,444	$	1,768,061
Unearned premiums	$	158,921	$	201,798
Reserve for losses and LAE	31,558		21,069
VIE debt	85,016		91,800
Derivative liabilities	183,370		307,185
Other liabilities	488,143		20,767
Total liabilities held for sale	$	947,008	$	642,619

The following table provides highlights of financial guaranty derivative contracts as of the dates indicated:

	December 31,
($ in thousands)	2014		2013
Number of contracts	74		93
Par/notional amount	$	8,755,457	$	12,269,421
Total net liability	$	159,335	$	290,543

The following table provides financial guaranty gross and net claim liability details by internal surveillance category as of December 31, 2014:

($ in thousands)	Number of Policies	Remaining weighted-average contract period (years)	Gross Claim Liability		Gross Potential Recoveries		Net Claim Liability (Asset) (1)
Performing	5	21	$	1	$	—	$	—
Special Mention	166	15	14,803		1,733		4,540
Intensified Surveillance	85	18	219,594		269,442		37,328
Case Reserves	91	19	35,467		47,000		(12,302		)
Total	347	17	$	269,865	$	318,175	$	29,566

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(1)    Net of discount and unearned premium reserves.