Fairfax Completes $250 Million Re-Opening of 5.84% Senior Notes Due 2022

Mon Jan 21, 2013 9:13am EST

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Fairfax Financial Holdings Limited

January 21, 2013 - 09:12:33 AM

Fairfax Completes $250 Million Re-Opening of 5.84% Senior Notes Due 2022

TORONTO, ONTARIO--(Marketwire - Jan. 21, 2013) - 

(Note: All dollar amounts in this press release are expressed in Canadian

Fairfax Financial Holdings Limited (TSX:FFH)(TSX:FFH.U) has completed its
previously announced offering of $250 million in aggregate principal amount of
a re-opening of 5.84% Senior Notes due 2022 at a price of $103.854 per $100
principal amount, plus accrued interest, for an effective yield to maturity of
5.326%. The original issuance of the Senior Notes was completed in October
2012. An aggregate of $450 million of such Senior Notes remains outstanding
after giving effect to this offering. Net proceeds of the issue, after
commissions and expenses of the issue, are approximately $259 million.

The Senior Notes were offered through a syndicate of dealers led by BMO
Capital Markets, Bank of America Merrill Lynch, CIBC, RBC Capital Markets and
Scotiabank Global Banking and Markets, that included TD Securities, Citi
Global Markets Canada, Cormark Securities, Canaccord Genuity, GMP Securities,
HSBC Securities and National Bank Financial. The Senior Notes are unsecured
obligations of Fairfax and pay a fixed rate of interest of 5.84% per annum.
Fairfax intends to use the net proceeds of the offering to augment its cash
position, to increase short term investments and marketable securities held at
the holding company level, to retire outstanding debt and other corporate
obligations from time to time, and for general corporate purposes. 

This press release shall not constitute an offer to sell or the solicitation
of an offer to buy nor shall there be any sale of these securities in any
jurisdiction in which such offer, solicitation or sale would be unlawful prior
to registration or qualification under the securities laws of any such
jurisdiction. This press release is not an offer of securities for sale in the
United States, and the securities may not be offered or sold in the United
States absent registration or an exemption from registration. The securities
have not been and will not be registered under the United States Securities
Act of 1933. 

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

Fairfax Financial Holdings Limited
John Varnell
Vice President, Corporate Development
(416) 367-4941

Media Contact
Fairfax Financial Holdings Limited
Paul Rivett
Vice President, Operations
(416) 367-4941