Fairfax Financial arranges $700-million note offering

Mr. John Varnell reports FAIRFAX LAUNCHES C$700 MILLION SENIOR NOTES OFFERING Fairfax Financial Holdings Ltd. intends to offer: (i) $400-million in aggregate principal amount of senior notes due 2035 to be priced at $99.824 per $100 principal amount; and (ii) $300-million in aggregate principal amount of senior notes due 2055 to be priced at $99.619 per $100 principal amount. The senior notes will be offered through a syndicate of dealers to be led by National Bank Financial Inc., RBC Dominion Securities Inc., Scotia Capital Inc. and TD Securities Inc. as joint bookrunners, and including BMO Nesbitt Burns Inc., CIBC World Markets Inc., Merrill Lynch Canada 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 2035 notes will pay a fixed rate of interest of 4.45 per cent per annum, and the 2055 notes will pay a fixed rate of interest of 5.10 per cent per annum. The senior notes will be unsecured obligations of Fairfax. Fairfax intends to use the net proceeds of the offering to refinance, repay or redeem outstanding debt, equity or other corporate obligations of Fairfax and its subsidiaries, to pursue potential acquisition or investment opportunities (which may include acquisitions of minority interests in its subsidiaries), and for general corporate purposes. This may include the redemption or repurchase of certain of Fairfax's previously issued debt or equity securities. As of the date of this press release, Fairfax has not made any determination as to the specific debt, equity or other corporate obligations to be repaid or redeemed, nor the amount, timing or method of such repurchase or redemption. Similarly, as of the date of this press release, Fairfax has not made any determination as to the specific acquisitions or investment opportunities to be pursued, nor the cost, timing or method of such acquisitions or investments. Any such repurchase, redemption, acquisition or investment will be subject to market conditions. Any proceeds not used to refinance, repay or redeem outstanding debt, equity or other corporate obligations or to pursue potential acquisition or investment opportunities will be used for general corporate purposes, which may include augmenting Fairfax's cash position or increasing short-term investments and marketable securities held at the holding company level. The offering is expected to close on or about Aug. 14, 2025, subject to the satisfaction of customary conditions. The senior notes will be offered in all provinces and territories of Canada pursuant to Fairfax's base shelf prospectus dated Oct. 11, 2023, as supplemented by a prospectus supplement to be filed with the Canadian securities regulators in all of the provinces and territories of Canada. Access to the shelf prospectus supplement, the corresponding base shelf prospectus and any amendment to such documents is provided in accordance with securities legislation relating to procedures for providing access to a shelf prospectus supplement, a base shelf prospectus and any amendment. The base shelf prospectus is accessible, and the shelf prospectus supplement will be accessible within two business days from the date hereof through SEDAR+. The senior notes are offered under the shelf prospectus supplement. An electronic or paper copy of the shelf prospectus supplement, the base shelf prospectus and any amendment to the documents may be obtained, without charge, from: National Bank Financial at [email protected], RBC Dominion Securities at [email protected], Scotia Capital at [email protected] or TD Securities at [email protected] by providing the contact with an e-mail address or address, as applicable. The base shelf prospectus and shelf prospectus supplement contain important, detailed information about Fairfax and the proposed offering. Prospective investors should read the base shelf prospectus and shelf prospectus supplement (when filed) before making an investment decision. 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.