Argo Group Mails Letter to Shareholders Setting the Record Straight on Capital Returns’ Many Naïve and False Claims

Argo Group International Holdings, Ltd. (NYSE: ARGO) (“Argo” or “the Company”) today announced that it is mailing a letter to shareholders in connection with its 2022 Annual Meeting of Shareholders urging all Argo shareholders to vote the BLUE proxy card “FOR” ALL seven of Argo’s highly qualified director nominees. The Annual Meeting will be held on December 15, 2022, and shareholders of record as of October 26, 2022 are entitled to vote at the meeting.

The full text of the letter follows and can be found at the investor relations section of the Company’s website.

November 29, 2022

Dear Fellow Shareholders,

As we approach our 2022 Annual Meeting of Shareholders on December 15, 2022, you face an important and time sensitive decision regarding your investment in Argo.

Your Board of Directors has undertaken actions to successfully transform Argo into a leading U.S. specialty insurer, and as a result of these actions:

• Our stock has outperformed our insurance peers since we announced the sale of our Lloyd’s Syndicate 1200 in September 2022, which we believe indicates the stability of our reshaped business and confidence in our improved operating model.
• We have progressed into the later stages of our ongoing strategic review process to evaluate a range of alternatives, including a potential sale of the whole Company.
• The Board remains open to considering any and all credible proposals to maximize shareholder value, and Argo’s financial advisor has conducted exhaustive outreach to more than 80 parties.
• The Board has ensured shareholder alignment in the boardroom with our appointment of J. Daniel Plants, Chief Investment Officer of Voce Capital Management LLC, Argo’s largest shareholder with approximately 9.5% of the Company’s shares, to the Board and as Chair of the Strategic Review Committee.

Despite these actions, one of our shareholders, Capital Returns Master, Ltd., has initiated a proxy contest to replace two of Argo’s directors – Bernard Bailey and Al-Noor Ramji – with its own candidates, Ronald Bobman and David Michelson. Over the past year of interactions between Argo and Capital Returns, Capital Returns has only proposed that Argo commence a strategic review process and appoint its nominees to the Board. As Argo shareholders are well aware, the Board is already undertaking a strategic review, and we are continuing to explore other value maximizing alternatives, including a sale of the whole Company.