favorable loss reserve development associated with delinquency notices received in prior years was $ 167 million and $ 231 million , in 2018 and 2017 , respectively , due to a lower estimated claim rate in each year compared to the prior year-end . during 2018 , mgic paid $ 220 million in dividends to our holding company . during 2018 , we repurchased approximately 16.0 million shares of our common stock for approximately $ 175 million . business environment economic conditions current u.s. economic conditions continue to support favorable housing fundamentals , such as low unemployment , strong consumer confidence , increasing household formations , and appreciating home values . we benefit from favorable housing fundamentals that increase home purchase activity and provide borrowers reliable , or increasing , financial resources . as a result of the current and expected economic conditions , mortgage interest rates have been higher on average in 2018 compared to 2017. the increase in mortgage interest rates did not materially impact home purchasing activity in 2018. despite the impact of rising rates on housing affordability , the homeownership rate continued to edge up in 2018. in particular , the homeownership rate of those 35 and younger ( which likely includes many first time homebuyers that require mortgage insurance ) is indicated to be at levels last seen in 2013. the increase in purchase mortgage originations , and first-time homebuyer activity , resulted in a modest increase in our niw in 2018 when compared to 2017. the level of unemployment , interest rates , and home prices may change in the future . for the possible effects of such changes , see our risk factors titled `` if the volume of low down payment home mortgage originations declines , the amount of insurance that we write could decline , ” “ downturns in the domestic economy or declines in the value of borrowers ' homes from their value at the time their loans closed may result in more homeowners defaulting and our losses increasing , with a corresponding decrease in our returns , ” and “ changes in interest rates , house prices or mortgage insurance cancellation requirements may change the length of time that our policies remain in force . `` mortgage lending these recent years of favorable housing fundamentals and in our view , favorable risk characteristics of insured loans , has provided a favorable credit backdrop for the business we have written in recent years . in that regard , we have experienced a declining delinquent inventory , and lower losses incurred and claims paid . our most recent book years continue to experience a low level of losses . although we generally view the risk characteristics of 2018 insured loans to be favorable , lending standards did ease in 2018. the percentage of our niw with dti ratios over 45 % increased significantly in 2018 compared to recent years . the increase was primarily driven by adjustments to gse underwriting guidelines for loans with dti ratios over 45 % . the rising cost of homeownership and a decrease in the percentage of our niw from refinance transactions also resulted in an increasing percentage of our niw with ltv ratios over 95 % . refer to `` mortgage insurance portfolio `` for additional discussion of changes in our niw mix during 2018 and our efforts to mitigate our risk from the increase in niw with dti ratios over 45 % . competition pmi . the private mortgage insurance industry is highly competitive and is expected to remain so . we believe that we currently compete with other private mortgage insurers based on premium rates , underwriting requirements , financial strength ( including based on credit or financial strength ratings ) , customer relationships , name recognition , reputation , the strength of our management team and field organization , the ancillary products and services provided to lenders and the effective use of technology and innovation in the delivery and servicing of our mortgage insurance products . mgic investment corporation 2018 form 10-k | 45 mgic investment corporation and subsidiaries management 's discussion and analysis | glossary of terms and acronyms pricing practices much of the competition in the industry in the last few years has centered on pricing practices which have included : ( i ) reductions in standard filed rates for borrower-paid mortgage insurance policies ( `` bpmi `` ) ; ( ii ) use by competitors of a spectrum of filed rates to allow for formulaic , risk-based pricing that may be adjusted more frequently within certain parameters ( referred to as `` loan level pricing systems `` ) ; and ( iii ) use of customized rates ( discounted from standard rates ) that are made available to lenders that meet certain criteria . in response to industry competition , and changing customer preferences , the delivery of premium rates has continued to migrate from standard rate cards , to use of loan level pricing systems ; and use of customized rates ( discounted from standard rates ) that are made available to lenders that meet certain criteria . loan level pricing systems incorporate more loan attributes than standard rate cards . they are considered more dynamic pricing models that can react faster to changing market conditions , including those conditions that increase or decrease risk , and they assist in managing risk and shaping the insured portfolio . we expect the adoption of mortgage insurers ' loan level pricing systems by lenders to continue to increase . our pricing approach continues to evolve with the industry . in the first quarter of 2019 we introduced miq , our loan level pricing system . we expect adoption of miq to increase during 2019 and the pace of adoption will be driven primarily by customer demand . story_separator_special_tag from 2008 through 2012 , we were notified of modifications that cured delinquencies that , had they become paid claims , would have resulted in a material increase in our incurred losses . nearly all of the reported loan modifications were for loans insured in 2009 and prior . we can not determine the total benefit we may derive from loan modification programs , particularly given the uncertainty around the re-default rates for defaulted loans that have been modified . our loss reserves do not account for potential re-defaults of current loans . the following table shows the percentage of our primary rif that has been modified as of december 31 , 2018 . replace_table_token_13_th ( 1 ) includes proprietary programs that are substantially the same as harp . approximately 12.6 % of our total primary rif has been modified as of december 31 , 2018 . based on loan count at december 31 , 2018 , the loans associated with 97.6 % of all harp modifications and 79.6 % of hamp and other modifications were current . factors affecting our results our results of operations are affected by : premiums written and earned premiums written and earned in a year are influenced by : niw , which increases iif . many factors affect niw , including the volume of low down payment home mortgage originations and competition to provide credit enhancement on those mortgages from the fha , the va , other mortgage insurers , gse programs that may reduce or eliminate the demand for mortgage insurance and other alternatives to mortgage insurance . niw does not include loans previously insured by us that are modified , such as loans modified under harp . cancellations , which reduce iif . cancellations due to refinancings are affected by the level of current mortgage interest rates compared to the mortgage coupon rates throughout the in force book , current home values compared to values when the loans in the in force book were insured and the terms on which mortgage credit is available . home price appreciation can give homeowners the right to cancel mortgage insurance on their loans if sufficient home equity is achieved . cancellations also result from policy rescissions , which require us to return any premiums received on the rescinded policies , and claim payments , which require us to return any premium received on the related policies from the date of default on the insured loans . mgic investment corporation 2018 form 10-k | 49 mgic investment corporation and subsidiaries management 's discussion and analysis | glossary of terms and acronyms cancellations of single premium policies , which are generally non-refundable , result in immediate recognition of any remaining unearned premium . premium rates , which are affected by product type , competitive pressures , the risk characteristics of the insured loans and the percentage of coverage on the insured loans . the substantial majority of our monthly and annual mortgage insurance premiums are under premium plans for which , for the first ten years of the policy , the amount of premium is determined by multiplying the initial premium rate by the original loan balance ; thereafter , the premium rate resets to a lower rate used for the remaining life of the policy . however , for loans that have utilized harp , the initial ten-year period resets as of the date of the harp transaction . the remainder of our monthly and annual premiums are under premium plans for which premiums are determined by a fixed percentage of the loan 's amortizing balance over the life of the policy . premiums ceded , net of a profit commission , under our quota share reinsurance transactions , and premiums ceded under our excess of loss reinsurance transaction . see note 9 – “ reinsurance ” to our consolidated financial statements for a discussion of our reinsurance transactions . premiums earned are generated by the insurance that is in force during all or a portion of the period . a change in the average iif in the current period compared to an earlier period is a factor that will increase ( when the average in force is higher ) or reduce ( when it is lower ) premiums earned in the current period , although this effect may be enhanced ( or mitigated ) by differences in the average premium rates between the two periods , as well as by premiums that are returned or expected to be returned in connection with claim payments and rescissions , and premiums ceded under reinsurance transactions . also , niw and cancellations during a period will generally have a greater effect on premiums earned in subsequent periods than in the period in which these events occur . investment income our investment portfolio is composed principally of investment grade fixed income securities . the principal factors that influence investment income are the size of the portfolio and its yield . as measured by amortized cost ( which excludes changes in fair value , such as from changes in interest rates ) , the size of the investment portfolio is mainly a function of cash generated from ( or used in ) operations , such as npw , investment income , net claim payments and expenses , and cash provided by ( or used for ) non-operating activities , such as debt or stock issuances or repurchases . losses incurred losses incurred are the current expense that reflects estimated payments that will ultimately be made as a result of delinquencies on insured loans . as explained under “ critical accounting policies ” below , we recognize an estimate of this expense only for delinquent loans . the level of new delinquencies has historically followed a seasonal pattern , with new delinquencies in the first part of the year lower than new delinquencies in the latter part of the year , though this pattern can be affected by the state of

. cash inflows included $ 220 million of dividends received from mgic and $ 35 million of other inflows , which included intercompany activity . cash outflows included $ 163 million used to repurchase shares of our common stock and $ 60 million of interest payments , of which approximately $ 12 million was paid to mgic for the portion of our 9 % debentures owned by mgic . the net unrealized losses on our holding company investment portfolio were approximately $ 2.2 million at december 31 , 2018 and the portfolio had a modified duration of approximately 1.4 years . scheduled debt maturities beyond the next twelve months include $ 425 million of our 5.75 % notes in 2023 and $ 389.5 million of our 9 % debentures in 2063 , of which mgic owns $ 132.7 million . the principal amount of the 9 % debentures is currently convertible , at the holder 's option , at an initial conversion rate , which is subject to adjustment , of 74.0741 common shares per $ 1,000 principal amount of debentures . this represents an initial conversion price of approximately $ 13.50 per share . we may redeem the 9 % debentures in whole or in part from time to time , at our option , at a redemption price equal to 100 % of the principal amount of the 9 % debentures being redeemed , plus any accrued and unpaid interest , if the closing sale price of our common stock exceeds $ 17.55 for at least 20 of the 30 trading days preceding notice of the redemption .


 Write a concise suspicious activity report of the following text delimited by triple backquotes. Return your response as a formal report which covers the key points highlighting the location,dates,entity names and account holder information in chronological order of the text.
     ```. cash inflows included $ 220 million of dividends received from mgic and $ 35 million of other inflows , which included intercompany activity . cash outflows included $ 163 million used to repurchase shares of our common stock and $ 60 million of interest payments , of which approximately $ 12 million was paid to mgic for the portion of our 9 % debentures owned by mgic . the net unrealized losses on our holding company investment portfolio were approximately $ 2.2 million at december 31 , 2018 and the portfolio had a modified duration of approximately 1.4 years . scheduled debt maturities beyond the next twelve months include $ 425 million of our 5.75 % notes in 2023 and $ 389.5 million of our 9 % debentures in 2063 , of which mgic owns $ 132.7 million . the principal amount of the 9 % debentures is currently convertible , at the holder 's option , at an initial conversion rate , which is subject to adjustment , of 74.0741 common shares per $ 1,000 principal amount of debentures . this represents an initial conversion price of approximately $ 13.50 per share . we may redeem the 9 % debentures in whole or in part from time to time , at our option , at a redemption price equal to 100 % of the principal amount of the 9 % debentures being redeemed , plus any accrued and unpaid interest , if the closing sale price of our common stock exceeds $ 17.55 for at least 20 of the 30 trading days preceding notice of the redemption .
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 Suspicious Activity Report : favorable loss reserve development associated with delinquency notices received in prior years was $ 167 million and $ 231 million , in 2018 and 2017 , respectively , due to a lower estimated claim rate in each year compared to the prior year-end . during 2018 , mgic paid $ 220 million in dividends to our holding company . during 2018 , we repurchased approximately 16.0 million shares of our common stock for approximately $ 175 million . business environment economic conditions current u.s. economic conditions continue to support favorable housing fundamentals , such as low unemployment , strong consumer confidence , increasing household formations , and appreciating home values . we benefit from favorable housing fundamentals that increase home purchase activity and provide borrowers reliable , or increasing , financial resources . as a result of the current and expected economic conditions , mortgage interest rates have been higher on average in 2018 compared to 2017. the increase in mortgage interest rates did not materially impact home purchasing activity in 2018. despite the impact of rising rates on housing affordability , the homeownership rate continued to edge up in 2018. in particular , the homeownership rate of those 35 and younger ( which likely includes many first time homebuyers that require mortgage insurance ) is indicated to be at levels last seen in 2013. the increase in purchase mortgage originations , and first-time homebuyer activity , resulted in a modest increase in our niw in 2018 when compared to 2017. the level of unemployment , interest rates , and home prices may change in the future . for the possible effects of such changes , see our risk factors titled `` if the volume of low down payment home mortgage originations declines , the amount of insurance that we write could decline , ” “ downturns in the domestic economy or declines in the value of borrowers ' homes from their value at the time their loans closed may result in more homeowners defaulting and our losses increasing , with a corresponding decrease in our returns , ” and “ changes in interest rates , house prices or mortgage insurance cancellation requirements may change the length of time that our policies remain in force . `` mortgage lending these recent years of favorable housing fundamentals and in our view , favorable risk characteristics of insured loans , has provided a favorable credit backdrop for the business we have written in recent years . in that regard , we have experienced a declining delinquent inventory , and lower losses incurred and claims paid . our most recent book years continue to experience a low level of losses . although we generally view the risk characteristics of 2018 insured loans to be favorable , lending standards did ease in 2018. the percentage of our niw with dti ratios over 45 % increased significantly in 2018 compared to recent years . the increase was primarily driven by adjustments to gse underwriting guidelines for loans with dti ratios over 45 % . the rising cost of homeownership and a decrease in the percentage of our niw from refinance transactions also resulted in an increasing percentage of our niw with ltv ratios over 95 % . refer to `` mortgage insurance portfolio `` for additional discussion of changes in our niw mix during 2018 and our efforts to mitigate our risk from the increase in niw with dti ratios over 45 % . competition pmi . the private mortgage insurance industry is highly competitive and is expected to remain so . we believe that we currently compete with other private mortgage insurers based on premium rates , underwriting requirements , financial strength ( including based on credit or financial strength ratings ) , customer relationships , name recognition , reputation , the strength of our management team and field organization , the ancillary products and services provided to lenders and the effective use of technology and innovation in the delivery and servicing of our mortgage insurance products . mgic investment corporation 2018 form 10-k | 45 mgic investment corporation and subsidiaries management 's discussion and analysis | glossary of terms and acronyms pricing practices much of the competition in the industry in the last few years has centered on pricing practices which have included : ( i ) reductions in standard filed rates for borrower-paid mortgage insurance policies ( `` bpmi `` ) ; ( ii ) use by competitors of a spectrum of filed rates to allow for formulaic , risk-based pricing that may be adjusted more frequently within certain parameters ( referred to as `` loan level pricing systems `` ) ; and ( iii ) use of customized rates ( discounted from standard rates ) that are made available to lenders that meet certain criteria . in response to industry competition , and changing customer preferences , the delivery of premium rates has continued to migrate from standard rate cards , to use of loan level pricing systems ; and use of customized rates ( discounted from standard rates ) that are made available to lenders that meet certain criteria . loan level pricing systems incorporate more loan attributes than standard rate cards . they are considered more dynamic pricing models that can react faster to changing market conditions , including those conditions that increase or decrease risk , and they assist in managing risk and shaping the insured portfolio . we expect the adoption of mortgage insurers ' loan level pricing systems by lenders to continue to increase . our pricing approach continues to evolve with the industry . in the first quarter of 2019 we introduced miq , our loan level pricing system . we expect adoption of miq to increase during 2019 and the pace of adoption will be driven primarily by customer demand . story_separator_special_tag from 2008 through 2012 , we were notified of modifications that cured delinquencies that , had they become paid claims , would have resulted in a material increase in our incurred losses . nearly all of the reported loan modifications were for loans insured in 2009 and prior . we can not determine the total benefit we may derive from loan modification programs , particularly given the uncertainty around the re-default rates for defaulted loans that have been modified . our loss reserves do not account for potential re-defaults of current loans . the following table shows the percentage of our primary rif that has been modified as of december 31 , 2018 . replace_table_token_13_th ( 1 ) includes proprietary programs that are substantially the same as harp . approximately 12.6 % of our total primary rif has been modified as of december 31 , 2018 . based on loan count at december 31 , 2018 , the loans associated with 97.6 % of all harp modifications and 79.6 % of hamp and other modifications were current . factors affecting our results our results of operations are affected by : premiums written and earned premiums written and earned in a year are influenced by : niw , which increases iif . many factors affect niw , including the volume of low down payment home mortgage originations and competition to provide credit enhancement on those mortgages from the fha , the va , other mortgage insurers , gse programs that may reduce or eliminate the demand for mortgage insurance and other alternatives to mortgage insurance . niw does not include loans previously insured by us that are modified , such as loans modified under harp . cancellations , which reduce iif . cancellations due to refinancings are affected by the level of current mortgage interest rates compared to the mortgage coupon rates throughout the in force book , current home values compared to values when the loans in the in force book were insured and the terms on which mortgage credit is available . home price appreciation can give homeowners the right to cancel mortgage insurance on their loans if sufficient home equity is achieved . cancellations also result from policy rescissions , which require us to return any premiums received on the rescinded policies , and claim payments , which require us to return any premium received on the related policies from the date of default on the insured loans . mgic investment corporation 2018 form 10-k | 49 mgic investment corporation and subsidiaries management 's discussion and analysis | glossary of terms and acronyms cancellations of single premium policies , which are generally non-refundable , result in immediate recognition of any remaining unearned premium . premium rates , which are affected by product type , competitive pressures , the risk characteristics of the insured loans and the percentage of coverage on the insured loans . the substantial majority of our monthly and annual mortgage insurance premiums are under premium plans for which , for the first ten years of the policy , the amount of premium is determined by multiplying the initial premium rate by the original loan balance ; thereafter , the premium rate resets to a lower rate used for the remaining life of the policy . however , for loans that have utilized harp , the initial ten-year period resets as of the date of the harp transaction . the remainder of our monthly and annual premiums are under premium plans for which premiums are determined by a fixed percentage of the loan 's amortizing balance over the life of the policy . premiums ceded , net of a profit commission , under our quota share reinsurance transactions , and premiums ceded under our excess of loss reinsurance transaction . see note 9 – “ reinsurance ” to our consolidated financial statements for a discussion of our reinsurance transactions . premiums earned are generated by the insurance that is in force during all or a portion of the period . a change in the average iif in the current period compared to an earlier period is a factor that will increase ( when the average in force is higher ) or reduce ( when it is lower ) premiums earned in the current period , although this effect may be enhanced ( or mitigated ) by differences in the average premium rates between the two periods , as well as by premiums that are returned or expected to be returned in connection with claim payments and rescissions , and premiums ceded under reinsurance transactions . also , niw and cancellations during a period will generally have a greater effect on premiums earned in subsequent periods than in the period in which these events occur . investment income our investment portfolio is composed principally of investment grade fixed income securities . the principal factors that influence investment income are the size of the portfolio and its yield . as measured by amortized cost ( which excludes changes in fair value , such as from changes in interest rates ) , the size of the investment portfolio is mainly a function of cash generated from ( or used in ) operations , such as npw , investment income , net claim payments and expenses , and cash provided by ( or used for ) non-operating activities , such as debt or stock issuances or repurchases . losses incurred losses incurred are the current expense that reflects estimated payments that will ultimately be made as a result of delinquencies on insured loans . as explained under “ critical accounting policies ” below , we recognize an estimate of this expense only for delinquent loans . the level of new delinquencies has historically followed a seasonal pattern , with new delinquencies in the first part of the year lower than new delinquencies in the latter part of the year , though this pattern can be affected by the state of

