UPDATE 1-Insurer Genworth posts Q3 loss, suspends buyback

* Q3 loss $0.60/shr vs profit of $0.76/shr year ago

* Q3 operating shr $0.51 vs $0.83, miss Street by 2 cents

* Suspends outlook for 2008 results

* Co looking at capital-raising alternatives

NEW YORK, Nov 6 (Reuters) - Genworth Financial Inc (GNW.N), the U.S. life and mortgage insurer, reported a third-quarter loss on Thursday, hurt by investment losses.

The company missed Wall Street expectations, and suspended its share buyback program and previously issued outlook for 2008 operating earnings.

It also said it is looking at ways to bolster capital.

Richmond, Virginia-based Genworth posted a net loss of $258 million, or 60 cents a share, compared with profit of $339 million, or 76 cents a share, in the year-ago period.

Net operating income, excluding investment gains or losses, fell to $220 million, or 51 cents per share, from $368 million, or 83 cents per diluted share.

On that basis, analysts expected earnings of 53 cents a share. The measure is commonly used by analysts to measure performance.

Genworth suspended its outlook for operating earnings per share for 2008. Previously, it expected earnings in the range of $2.25 to $2.65 per share.

Genworth recorded net investment losses of $478 million in the period, including impairments of $153 million related to subprime and Alt-A residential mortgage and asset-backed securities, and $145 million related to corporate bonds from large financial services issuers.

The company said it will contribute $500 million in cash to its life insurance operations to boost capital.

"We are also looking at other avenues -- including the potential for asset sales, debt refinancing or a possible capital raise," said Chief Executive Michael Frazier. (Reporting by Lilla Zuill; editing by Jeffrey Benkoe)