Genworth Financial, Inc. (NYSE: GNW) issued a statement after a UK Court of Appeal ruled against AXA in a case involving payment protection insurance (PPI) mis-selling liabilities tied to Santander companies.

The Court of Appeal granted Santander's appeal, setting aside the trial court's judgment that had favored AXA for the majority of an indemnity claim. The appellate court also denied AXA's appeal of the trial court's rejection of its contribution claim. The combined effect of the ruling is that Santander was found not liable for the vast majority of AXA's losses stemming from the PPI mis-selling.

The case centers on losses from PPI mis-selling complaints tied to policies underwritten by two companies that AXA acquired from Genworth in 2015. Those policies were sold by a company that Santander acquired in 2009.

Tom McInerney, Genworth's president and CEO, said the company is "very disappointed" and is working with AXA to evaluate next steps, including further appeals. "Since we have not factored any recoveries from the case into our capital allocation plans, we remain focused on our three strategic priorities: creating shareholder value through Enact, driving growth through CareScout, and maintaining self-sustainability in our Closed Block," McInerney said.

Genworth is headquartered in Richmond, Virginia, and is the majority owner of Enact Holdings, Inc. (Nasdaq: ACT).