1. Western Financial Group Q3 2007 Financial Results Conference Call
November 19, 2007

2. Forward-Looking Statements
This presentation contains certain forward-looking statements. Forward-looking statements include, without limitation, statements regarding the future financial position, business strategy, budgets, litigation, projected costs, capital expenditures, financial results, taxes and plans and objectives of or involving Western Financial Group Inc. (the “Company”) or its subsidiaries. Many of these statements can be identified by looking for words such as ‘‘believe’’, ‘‘expects’’, ‘‘expected’’, ‘‘will’’, ‘‘intends’’, ‘‘projects’’, ‘‘anticipates’’, ‘‘estimates’’, ‘‘continues’’ or similar words. The Company believes the expectations reflected in such forward-looking statements are reasonable but no assurance can be given that these expectations will prove to be correct and such forward-looking statements should not be unduly relied upon. Forward-looking statements are not guarantees of future performance and involve a number of risks and uncertainties only some of which are described herein. Many factors could cause the Company’s actual results, performance or achievements to, or future events or developments to, differ materially from those expressed or implied by the forward-looking statements, including, without limitation, the risk factors, which are discussed in greater detail in the ‘‘Risk Factors’’ section of the prospectus. Any forward-looking statements are made as of the date hereof and the Company does not assume any obligation to publicly update or revise such statements to reflect new information, subsequent events or otherwise.
Non-GAAP Measures
Throughout this presentation, the Company may use the term ‘‘operating income’’ to refer to earnings, including investment income, before interest expense, taxes, depreciation and amortization of intangible and capital assets, excluding gain (loss) from the sale of assets and income (loss) from equity investments. The Company uses ‘‘operating income’’ to assist it in measuring corporate performance before the costs of capital and amortization of capital and intangible assets. Operating income is not a measure recognized by GAAP and does not have a standardized meaning prescribed by GAAP. Therefore, this measure may not be comparable to similar measures presented by other issuers and investors are cautioned that it should not be used as an alternative to ‘‘net income’’ or other measures of financial performance calculated in accordance with GAAP.

3. Today’s Remarks Operational Progress in Q3 Strategic Events in Q3
Financial Update
Priorities for Q4

4. Operational Progress in Q3 2007

5. WFG Agency Network Same store customer count 4.8%
Same store sales 7.1%
Soft pricing market continues
“Insurance to Value” initiatives helping build revenue.
Acquisitions of Baxter, Younger & Holmes and Fimac - 20 locations total in first 9 months

6. Western Life Assurance
Sales and production in Creditor Life
Certificate count and growth highest ever 24.9% over Q3/06
Bolt-on product for network is at policies. Target is 20,000 by Q2/08

7. Bank West Strong loan portfolio growth in Q3
Very low specific provisions in Q1 and Q2 – “catch-up” in Q3
Active pre-acquisition integration planning

8. Strategic Events in Q3

9. Q3 Strategic Events Ubiquity Bank acquisition approval
$100 million in assets
Business development partnership with Prospera through life insurance sales and loan syndications
Flat pricing environ at Network – causing heavier priority on growth through acquisition. It’s a good time b/c targets will also be experiencing flat growth.
Increased focus on sales to current customers. Moving the PPCA number. Always a priority. Incr the # of products exposed to customers in back half of the year.
Early call of conv deb. Puts strength in balance sheet. Low level on company well below peer group. Additional incentive to get out and make acquisitions.
CFGs – learned re-affirmed openness to cross-selling. Challenged us to bring more value added products. Bring something new and different. Similar to what we are current launching with WFG Owners Endors. Critical illness. Not something competition is offering. CFGs showed this is exactly what customer wants from us. Don’t want blanket offerings. Want something specific that is of value to them.
These priorities will continue our focus to stay on plan.

10. Financial Update

11. Total Revenue
CAGR 26.6%

12. Earnings Per Share
CAGR 35.4%

13. Overall
2007
2006
Revenue ($)
80,758
59,839
Income from Equity Investments ($)
1,850
1,890
Net Income ($)
8,979
5,010
Earnings per share ($)
Basic
Diluted
0.19
0. 17
0.16
0.13

14. The Network 2007 2006 Commission & other customer revenue ($) 49,290
34,072
Operating expenses ($)
33,210
23,466
Operating income ($)
16,080
10,606

15. Bank West
2007
2006
Interest & investment income ($)
8,632
5,759
Net interest & investment income ($)
2,953
2,103
Operating & provision expenses ($)
2,704
2,087
Operating income/loss ($)
249 16

16. Western Life Assurance
2007
2006
Premium income ($)
20,044
16,869
Investment income ($)
396
2,057
Policyholder benefits ($)
9,168
10,114
Operating expenses ($)
8,758
6,752
Operating income ($)
2,514
2,060

17. Corporate & All Other 2007 2006 2,396 1,082 6,828 5,283 (4,432)
Other revenues ($)
2,396
1,082
Operating expenses ($)
6,828
5,283
Operating loss ($)
(4,432)
(4,201)

18. Western Financial Group Historical Consolidated ROE
CAGR 27.8%

19. Western Financial Group Debt to Equity Ratio

20. Priorities for Q4

21. Q4 Priorities (Same as Q3)
Agency acquisitions – pipeline is filling
Ubiquity Bank integration
Direct marketing initiative – Network/Life

22. Questions

23. …because we live here.