Coastal Value Fund Inc.

Coastal Value Fund Inc.

January 05, 2007 17:18 ET

Coastal Value Fund: Redemption of Senior Preferred Shares

HAMILTON, BERMUDA--(CCNMatthews - Jan. 5, 2007) - Coastal Value Fund (TSX:CVF.PR.A) announced today that it will redeem all of its issued Senior Preferred shares on February 21, 2007 to holders of record on February 20, 2007. The redemption will be made in accordance with the Fund's articles and results from a retraction of the Capital shares. Shareholders need not take any action relating to the redemption; the Fund's transfer agent CIBC Mellon will automatically redeem the shares on February 21, 2007 and deposit cash proceeds directly into shareholder's accounts equal to $25.4125, representing $25.20 per share plus $0.2125 per share representing accrued and unpaid dividends. Post the redemption, the Senior Preferred shares will no long be listed on the TSX.

Contact Information

    Gordon Flatt
    (441) 799-2928
    (914) 509-1913 (FAX)