MBI Financial Secures $5 Million Loan.

Loan Agreement Retires Existing Debt and Provides Flexibility to Close Additional Acquisitions and Fund Growing Mortgage Loan Volume

DALLAS -- MBI Financial, Inc. (OTCBB:MBIFE), a national financial services holding company that is consolidating regional mortgage brokerage companies into MBI Mortgage, Inc., its wholly owned subsidiary and mortgage banking operation, confirmed today that the company entered into an agreement to borrow $5,000,000 as of December 27, 2006.

Under the terms of the agreement, the loan has quarterly interest and principal payment requirements over eight quarters and the final payment is due on January 1, 2009. As additional consideration, the lender is to receive 1,720,595 warrants, expiring on December 27, 2013, for the purchase of MBI's common stock at an exercise price of $0.27. The proceeds of the loan will be used to pay previous note holders, further the company's acquisition strategy, and provide for operating capital and reserves for warehousing lines of credit used in funding mortgage loans.

"The completion of this transaction speaks to the support of our business strategy and the steady progress MBI has been making," commented Patrick A. McGeeney, President and Chief Executive Officer of MBI Financial, Inc. "With a portion of the proceeds of this financing, we have now completed the acquisition of six mortgage brokerage firms, providing for thirteen locations throughout the country. Our pipeline of potential acquisition candidates continues to grow and as a result, we have had to increase our mortgage funding capacity. The additional reserve capital provided from the proceeds of this loan will permit us to arrange the appropriate warehouse lines of credit agreements required to fund our growing mortgage loan volume. We expect to announce the completion of these agreements within the next thirty days," McGeeney concluded.

About MBI Financial, Inc.

MBI Financial, Inc. is a national financial services holding company that is in the process of consolidating regional mortgage brokerage companies into its wholly owned subsidiary and mortgage banking operation, MBI Mortgage, Inc. The company's strategy is to expand the acquired mortgage brokerage firms by setting up and receiving mortgage brokers' loans into its mortgage banking operation and to also grow these businesses with proven marketing programs, better and faster loan approvals, and the introduction of new and expanded loan programs. The company also believes that it can access untapped revenue potential within the mortgage origination process by creating significant cross selling opportunities and introducing a variety of financial services products at different levels of the mortgage origination and funding chain. Through initial acquisitions, MBI Mortgage, Inc. currently owns thirteen locations with offices in Dallas TX, Austin TX, Houston TX, Conroe TX, San Antonio TX, El Paso TX, Flower Mound, TX, Bedford TX, Laredo TX, Palantine IL, San Diego CA, Anaheim CA, Miami, FL and is expected to be licensed to operate in twenty four additional states by June 30, 2007. For additional information, please visit the company's website at www.mbifinancial.com

This press release may contain statements deemed to be "forward-looking statements" within the meaning of Section 27A of the Securities Act or Section 21E of the Exchange Act. Any statements that are not statements of historical fact may be deemed forward-looking statements. Forward-looking statements are not meant to predict or guarantee actual results, performance, events, or circumstances and may not be realized because they are based upon our current projections, plans, objectives, beliefs, expectations, estimates, and assumptions and are subject to a number of risks and uncertainties, many of which are beyond our control. Actual results and the timing of certain events and circumstances may differ materially from those described by the forward-looking statements as a result of these risks and uncertainties. Forward-looking statements may include, without limitation, statements concerning business, financial and growth strategies and objectives, revenues, costs and earnings projections, acquisitions, capital, liquidity, and assumptions relating to any of these statements. Factors that may influence forward-looking statements or cause actual results to differ materially from those described or anticipated by the forward-looking statements may include, without limitation:

* changes in interest rates;

* the Company's ability to get additional financing or arrange suitable warehouse loan facilities;

* the Company's ability to find, integrate, and improve suitable acquisition companies;

* other federal and state laws and regulations;

* general economic conditions;

* competitive factors and pricing pressures;

* our dependence on key producers, and services of key personnel;

* risks associated with acquisitions;

* changes in income taxes;

* significant intangible assets; and

* our dependence on information processing systems and risk of errors or omissions.

Because of the risks and uncertainties related to these factors and the forward-looking statements, readers are cautioned not to place undue reliance on the forward-looking statements. There can be no assurance that any events or results described in any forward-looking statement will actually occur or be achieved. We undertake no obligation to publicly revise the forward-looking statements to reflect events or circumstances that arise after the date hereof or to reflect the occurrence of unanticipated events or circumstances. Readers should carefully review the risk factors described above and in other documents filed by the Company with the SEC. Readers are specifically directed to the discussion under "Risk Factors" in the Company's most recent annual report.