American Family Sponsored Four Lakes Re Ltd. (Series 2024-1) Notes

On December 18, 2024, American Family sponsored a 144A Cat Bond through Four Lakes Ltd.

• The 2024-1 Notes represent the fifth Four Lakes Re Ltd. issuance
• The Class A notes priced at 5.50%, ~10% below the mid-point of the initial price guidance
• The Class B notes priced at 8.25%, ~7% below the mid-point of the initial price guidance
• For each class, the investor spread tightened by 100bps from the wide end of the initial price guidance

The 2024-1 Notes received strong investor support, upsizing from the original target of $175mm to $275mm

• Class A Notes upsized from $125mm to $200mm and the Class B Notes upsized from $50mm to $75mm
• Four Lakes 2024-1 is American Family’s largest Cat Bond transaction to date

The Class A and Class B notes offer per occurrence, indemnity-based coverage for named storm, earthquake, severe thunderstorm, winter storm, and wildfire risks across the U.S.

The issuance consisted of Class A and Class B notes of differing risk profiles

• Class A Expected loss (AIR; WSST): 1.74%
• Class B Expected loss (AIR; WSST): 3.00%

Howden Capital Markets & Advisory (“HCMA”) acted as Joint Bookrunner

• Provided advice through all stages of the process to drive an optimal outcome for American Family
• Identified a variety of institutional investors interested in supporting American Family through this transaction
• Advised in all aspects of placement including, but not limited to:
  • Investor Presentation and narrative development
  • Investor roadshow and marketing efforts
  • Book building process and various distribution activities