Bank of America Corp. has stopped doing business with MGIC Investment Corp., the mortgage insurer it sued last month for rejecting $100 million of claims on defaulted loans.

In addition to one of its largest customers, MGIC also lost $280.1 million in the fourth quarter, the Milwaukee company said Tuesday. It was MGIC's tenth straight quarter in the red. Nevertheless, its stock rallied on signs of stabilization in the results.

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