Kingsway Financial Reports 14.95% Stake in Kobex Capital

Kingsway Financial Services Inc.

announces it has pro-rated using a factor of 0.02511 per share tendered and has taken up 37,965 common shares of Kobex Capital Corp. ("Kobex") that were validly deposited to its C$0.65 18% premium offer at the time the offer expired at 5:00 p.m. yesterday and will pay for such shares within three business days. "Based on the response to our offer it is clear Kobex shareholders are demanding the liquidity they have been denied by the current board," said Larry Swets, President and Chief Executive Officer of Kingsway. "It is unfortunate that the current board chose to entrench itself by putting in place an oppressive poison pill that only allows us to take up an extremely limited number of shares. Kobex shareholders should know, as Kingsway's strong track record of value creation has shown, our nominees can be counted on to take immediate action to implement a plan to create value and provide the option for more fulsome liquidity."As outlined in greater detail at www.upgradekobex.com, Kingsway supports a plan to provide shareholders with an option for liquidity by initiating a share repurchase program - a program