James A. McIntyre

Exhibit 99.1

Xxxxx X. XxXxxxxx

0000 Xxxxxx Xxxx

Carpinteria, CA 93013

December 7, 2011

Master Fund

000 Xxxx Xxxxxx

New York, N.Y. 10017

Attn:  Xxxxxxx Xxxxxxx

Dear Xxxxxxx:

I have decided to exercise my rights, under paragraph 10 of the Solicitation Agreement of July 14, 2011, to terminate all of my obligations under that Agreement, including, but not limited to, my agreement to (1) be a director nominee of the Group described therein; and (2) participate in the solicitation of proxies by or for the Group for the election of directors at shareholder meetings of Signature Group Holdings, Inc.

Sincerely,

Xxxxx X. XxXxxxxx

cc:	Xxxxxx Xxxxxxx via fax 000-000-0000 and electronic mail
	Xxxxxx Xxxxxxx via electronic mail
	Xxxx Xxxx via electronic mail