 |
 |
|
GREENSBORO, NC — AIG United Guaranty1 has finalized an agreement with Sociedad Hipotecaria Federal (SHF) to provide mortgage guaranty products and services to the Mexican housing finance market. The introduction of a mortgage guaranty product will allow increased home ownership opportunities for Mexico’s citizens through greater borrower access to low downpayment mortgages. Mortgage guaranty products provide loss protection to lenders and investors in case of borrower default on residential mortgage loans. Home ownership studies show that loans with limited down payments have an increased likelihood of default, particularly in periods of severe or prolonged economic distress. As housing finance systems develop around the world, credit risk for low downpayment mortgages is a major challenge in expanding home ownership. In Mexico, AIG United Guaranty will provide insurance protection to SHF in support of its broad-based mortgage guaranty program. Developing the residential mortgage market has been a high priority for the Mexican government. AIG United Guaranty’s entry into Mexico is part of a global expansion effort, which includes new businesses in Asia, Europe, and the Americas. Guillermo Babatz, Director General of SHF, "We are delighted to have AIG United Guaranty enter the Mexican market. Their global expertise in mortgage guaranty insurance combined with the worldwide reputation and strength of American International Group will be crucial in supporting the rapid expansion of the Mexican mortgage market." According to Doug Rivenburgh, senior vice president and international group executive at AIG United Guaranty, "We are extremely pleased to play a role in home ownership expansion in Mexico. This development is the result of much hard work on the part of SHF and our team in Mexico, and we look forward to this partnership." About AIG United Guaranty United Guaranty Corporation (AIG United Guaranty) and its subsidiaries are member companies of American International Group, Inc. (AIG). The company has been headquartered in Greensboro, North Carolina, since it was established in 1963. Subsidiaries of AIG United Guaranty provide mortgage guaranty insurance for first and second mortgages that protects against mortgage credit losses. In addition, AIG United Guaranty’s comprehensive range of financial products and services to lenders and investors includes mortgage fraud recovery services and student loan default insurance. AIG United Guaranty’s international locations include offices in Jerusalem, Hong Kong, Taipei, Tokyo, Beijing, Seoul, London, Dublin, Milan, Madrid, Budapest, Mexico City, Toronto, and Sydney. American International Group, Inc. (AIG), world leaders in insurance and financial services, is the leading international insurance organization with operations in more than 130 countries and jurisdictions. AIG companies serve commercial, institutional and individual customers through the most extensive worldwide property-casualty and life insurance networks of any insurer. In addition, AIG companies are leading providers of retirement services, financial services and asset management around the world. AIG’s common stock is listed in the U.S. on the New York Stock Exchange and ArcaEx, as well as the stock exchanges in London, Paris, Switzerland and Tokyo. AIG United Guaranty media releases may be viewed on our Web site at www.ugcorp.com. 1 AIG United Guaranty is a marketing term for United Guaranty Corporation and its subsidiaries. |