Western Financial Group Announces Filing of Preliminary Prospectus

Western Financial Group Inc. (the “Company”) (TSX: WES) is pleased to announce that it has filed a short form preliminary prospectus in respect of an offering of common shares on an overnight marketed basis with Canadian securities regulatory authorities in each of the Provinces of Canada. The offering will be co-led by Desjardins Securities Inc. and Jennings Capital Inc., together with a syndicate of underwriters to be determined in consultation with the Company.

The exact number of common shares and the price per common share will be determined in the context of the market with final terms to be determined at the time of pricing. The maximum size of the proposed offering is $25 million including an underwriters’ option, exercisable by the underwriters at any time prior to the close of business on November 13, 2006. In addition, the Company has granted to the underwriters an over-allotment option, exercisable at any time until 30 days following the closing, to purchase an additional 15% of the common shares issued under the offering to cover over-allotments, if any, and for market stabilization purposes.

Net proceeds from the proposed offering will be used to fund future acquisitions, and for general corporate purposes. The offering is expected to close on November 28, 2006.

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.

For more information on Western Financial Group, please contact:
Jodi Greig, Corporate Communications Manager,
Western Financial Group,
(403) 652-2663