The line graph below compares, for the period from December 31, 2007 through December 31, 2012, the cumulative total return to stockholders of a $100 investment in (1) Radian’s common stock, (2) the S&P 500 Index and (3) a peer group constructed by Radian consisting of Assured Guaranty, Ltd., MBIA, Inc., MGIC Investment Corporation and Walter Investment Management Corp. (trading began on 4/20/09) (collectively, the “New Peer Group”) and (4) the peer group constructed by Radian for its 2011 Annual Report (the “Old Peer Group”), which consisted of Assured Guaranty, Ltd., MBIA, Inc., MGIC Investment Corporation and PMI Group. In 2012, we changed our peer group to remove PMI Group because PMI Group ceased writing new mortgage guaranty insurance business during 2011. In place of PMI Group, we added Walter Investment Management Corp. to our peer group because the company offers financial services products in the residential mortgage industry in the United States, is traded on the New York Stock Exchange and has a comparable market capitalization to Radian. Total stockholder return is determined by dividing (1) the sum of (a) the cumulative amount of dividends for a given period (assuming dividend reinvestment) and (b) the difference between the share price at the end and the beginning of the period by (2) the share price at the beginning of the period. Total stockholder returns may not be indicative of returns to be achieved in the future or for periods of time longer than the periods shown in the graph. Total Return To Shareholders (Includes reinvestment of dividends) INDEXED RETURNS Total Stockholder Return Graph Dec-07 Dec-08 Dec-09 Dec-10 Dec-11 Dec-12 $0 $50 $100 $150 Radian Group Inc. New Peer Group Old Peer Group S&P 500 Index Comparison of Cumulative Five Year Total Return  Years Ending Company Name / Index Base Period Dec 07 Dec 08 Dec 09 Dec 10 Dec 11 Dec 12 Radian Group Inc. ...................... 100 31.76 63.27 69.94 20.33 53.26 S&P 500 Index ......................... 100 63.00 79.67 91.68 93.61 108.59 New Peer Group ........................ 100 27.27 41.17 52.91 39.23 38.91 Old Peer Group ......................... 100 25.45 37.39 47.79 32.06 28.06