TERRAVEST INCOME FUND

TERRAVEST INCOME FUND

March 14, 2005 07:00 ET

TerraVest Income Fund Announces Increase to Exchangeable Share Ratio


NEWS RELEASE TRANSMITTED BY CCNMatthews

FOR: TERRAVEST INCOME FUND

TSX SYMBOL: TI.UN

MARCH 14, 2005 - 07:00 ET

TerraVest Income Fund Announces Increase to
Exchangeable Share Ratio

EDMONTON, ALBERTA and VEGREVILLE, ALBERTA--(CCNMatthews - March 14,
2005) - TerraVest Income Fund (TSX:TI.UN) today announced an increase to
the Exchange Ratio of the Exchangeable Shares of TerraVest Exchangeco.
Inc. from 1.06213 to 1.06923. This increase will be effective March, 15,
2005.



The following are the details of the calculation of the Exchange Ratio:

------------------------------------------------------------------------
Record Effective
Date of TerraVest Current Date of Exchange
TerraVest Income Market Increase Increase Ratio
Income Opening Fund Price in in as of
Fund Exchange Distribution of Unit Exchange Exchange Effective
Distribution Ratio per Unit (note 1) Ratio Ratio Date
------------------------------------------------------------------------
February March
28, 2005 1.006213 $0.09667 $14.46 0.00710 15, 2005 1.06923
------------------------------------------------------------------------

Note 1 The increase in the Exchange Ratio is calculated by multiplying
the TerraVest Income Fund Distribution per Unit by the Exchange
Ratio immediately prior to the Record Date and dividing by the
weighted average trading price for the 20 trading day period
ending on the Record Date.


A holder of Exchangeable Shares, Series 1 can exchange all or a portion
of their holdings into TerraVest Income Fund Units, at any time, by
giving notice and a retraction request to TerraVest Industries Inc. or
CIBC Mellon Trust Company at its principal transfer office at 600 The
Dome Tower, 333 - 7th Ave SW, Calgary, AB T2P 2Z1.

A holder of Exchangeable Shares, Series 2 will remain subordinated to
ordinary units and cannot exchange their holdings until the
subordination expires.

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. The Fund currently has three operating
divisions, R.J.V. Gas Field Services, Stylus Made to Order Sofas and
Ezee-On Manufacturing. R.J.V. is one of the largest providers of
wellhead processing equipment for the Canadian natural gas industry.
Stylus is one of Canada's leading made-to-order upholstered furniture
manufacturers. Ezee-On manufactures heavy duty equipment for large
acreage grain farms and livestock operations.

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Contact Information

  • FOR FURTHER INFORMATION PLEASE CONTACT:
    TerraVest Income Fund
    Thomas S. Kileen
    Chief Financial Officer
    (612) 215-6132
    (612) 215-6139 (FAX)
    or
    TerraVest Income Fund
    J. Patrick Howe
    Investor Relations
    (416) 929-0512
    (416) 929-2609 (FAX)
    Email: ir@terravestindustries.com
    Website: www.terravestindustries.com