Mr. John Varnell reports

FAIRFAX COMPLETES C$300 MILLION SENIOR NOTES OFFERING

Fairfax Financial Holdings Ltd. has completed its previously announced offering of an additional $300-million aggregate principal amount of its 4.40 per cent senior notes due 2036. Together with the previously issued $400-million aggregate principal amount 4.40 per cent senior notes due 2036, there is $700-million aggregate principal amount of notes of this series outstanding.

The senior notes were offered through a syndicate of dealers led by BMO Nesbitt Burns Inc., as sole bookrunner, and included Scotia Capital Inc., CIBC World Markets Inc., Merrill Lynch Canada Inc., National Bank Financial Inc., RBC Dominion Securities Inc., TD Securities Inc., Citigroup Global Markets Canada Inc., Desjardins Securities Inc., J.P. Morgan Securities Canada Inc., Mizuho Securities Canada Inc. and Morgan Stanley Canada Ltd., as agents. The senior notes are unsecured obligations of Fairfax.

Fairfax intends to use the net proceeds from the offering for general corporate purposes, which may include the refinancing, repayment or redemption of outstanding debt, equity or other corporate obligations of Fairfax, and its subsidiaries and/or to pursue potential acquisition or investment opportunities.

Fairfax is a holding company which, through its subsidiaries, is primarily engaged in property and casualty insurance and reinsurance and the associated investment management.

We seek Safe Harbor.