Amwest Terminates Discussions With Inc.

January 26, 2001

Amwest Insurance Group Inc. has ended discussions with Inc. with respect to a potential transaction. Amwest’s board of directors and management team continues to work closely with its outside advisers in formulating a reorganization plan and examining various strategic alternatives.

Amwest is a Calabasas-based insurance holding company underwriting surety and property and casualty insurance through Amwest Surety Insurance Co. and Far West Insurance Co.

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