TERRAVEST INCOME FUND
TSX : TI.UN

TERRAVEST INCOME FUND

December 15, 2006 16:35 ET

TerraVest Income Fund Announces December 2006 Distribution

EDMONTON, ALBERTA--(CCNMatthews - Dec. 15, 2006) - TerraVest Income Fund (TSX:TI.UN) announced today that it has declared a cash distribution of $0.115 per Unit, effective with the distribution to be paid on January 15, 2007 to Unitholders of record on December 29, 2006. The ex-distribution date is December 27, 2006.

TerraVest also announced that the Exchange Ratio for the Exchangeable Shares of TerraVest Industries Inc. has increased from 1.31170 to 1.33651, effective December 29, 2006. Further information about TerraVest's exchangeable shares and the calculation of the Exchange Ratio can be found at http://www.terravestindustries.com/invinfo_cash.htm. There are currently 1,411,112 Exchangeable Shares outstanding.

TerraVest Income Fund is an income trust whose Units trade on the Toronto Stock Exchange. Its mandate is to invest in a diversified group of income producing businesses to provide its Unitholders with stable and increasing cash returns. TerraVest has made six investments:

- RJV is one of the largest providers of wellhead processing equipment for the natural gas industry in western Canada.

- Stylus is one of Canada's leading made-to-order upholstered furniture manufacturers.

- Don Park is one of Canada's largest manufacturers and suppliers of heating, ventilation and air conditioning (HVAC) products.

- Diamond is a market leader in providing well servicing to the oil and natural gas sector in south-western Saskatchewan, with a growing presence in Alberta.

- Beco is one of Canada's largest designers, manufacturers and importers of home textile products.

- Ezee-On manufactures heavy-duty equipment for large acreage grain farms and livestock operations.

Visit us at: www.terravestincomefund.com

Contact Information