Western Financial Group Inc.
TSX : WES

Western Financial Group Inc.

November 14, 2006 09:17 ET

Western Financial Group Announces the Exercise of Underwriters' Option

HIGH RIVER, ALBERTA--(CCNMatthews - Nov. 14, 2006) -

NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES

Western Financial Group Inc. (TSX:WES) ("Western Financial") is pleased to announce, in connection with its previously announced equity financing, that the underwriting syndicate co-led by Desjardins Securities Inc. and Jennings Capital Inc., and including CIBC World Markets Inc., TD Securities Inc. and Acumen Capital Finance Partners Limited, have agreed to purchase an additional 2,025,000 Common Shares of Western Financial at a price of Cdn $3.50 per share pursuant to the exercise of the Underwriters' Option for total gross proceeds to Western Financial of Cdn $23.1 million.

Western Financial has granted the underwriters an over-allotment option exercisable for 30 days following the closing of the offering to purchase up to an additional 990,000 shares at a price of $3.50. The closing date of the offering is expected to be on or about November 28, 2006.

Net proceeds from the proposed offering will be used to fund future acquisitions, and for general corporate purposes.

About Western Financial Group.

Western Financial Group is one of the leading western-based financial service companies in Western Canada. With offices in towns and small cities across the West, the Company provides more than 250,000 customers with insurance, investment and banking products through WFG Agency Network, Western Life and Bank West.

This news release does not constitute an offer to sell or a solicitation of an offer to buy any of the securities in the United States (or any other jurisdiction where it would not be allowed). The securities have not been and will not be registered under the United States Securities Act of 1933, as amended (the "U.S. Securities Act") or any state securities laws and may not be offered or sold within the United States unless registered under the U.S. Securities Act and applicable state securities laws or unless an exemption from such registration is available.

Forward-Looking Statements

Statements contained in this news release that are not historical facts are forward-looking statements that involve various risks and uncertainty affecting the business of Western Financial Group. Actual results realized may vary materially from the information provided in this news release. As a result, there is no representation by Western Financial Group that actual results realized in the future will be the same in whole or in part as those presented herein.

The Toronto Stock Exchange neither approves nor disapproves of the contents of this Press Release.

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