The Consumers' Waterheater Income Fund
TSX : CWI.UN

The Consumers' Waterheater Income Fund

January 28, 2008 06:00 ET

The Consumers' Waterheater Income Fund Extends Current Billing Arrangements to March

TORONTO, ONTARIO--(Marketwire - Jan. 28, 2008) -

NOT FOR RELEASE IN THE UNITED STATES OR OVER UNITED STATES WIRE SERVICES.

The Consumers' Waterheater Income Fund ("Fund") (TSX:CWI.UN) and its wholly-owned trust, The Consumers' Waterheater Operating Trust ("Trust"), today announced that the Fund, Enbridge Gas Distribution Inc. ("EGD") and Direct Energy Marketing Limited ("Direct Energy"), the Fund's servicer, among other relevant parties, entered into an agreement to extend the date of termination of the existing trust arrangements relating to the Fund's billing and collecting activities that are undertaken on the EGD bill from February 1, 2008 to March 1, 2008.

"The additional one month extension of the existing trust arrangements lets us continue with the full confidence and security of the current arrangements while we finalize the new agreements governing our billing relationships with EGD and Direct Energy," said John Macdonald, President & CEO.

Although the Fund expects such definitive agreements to be entered into, there can be no assurance that they will be entered into and that replacement trust arrangements will be retained. Any failure to maintain such trust arrangements may have an adverse impact on the credit rating of the Trust's outstanding senior secured notes and its ability to refinance its debt obligations.

About The Consumers' Waterheater Income Fund

The Fund owns a portfolio of 1.4 million installed water heaters and other assets, leased primarily to residential customers in Ontario. The asset base has been generating stable and growing cash flows since its inception in the late 1950s.

Additional information regarding The Consumers' Waterheater Income Fund is available on SEDAR at www.sedar.com.

Forward-looking Statements

This press release contains forward-looking statements relating to expected future events which reflect management's expectations regarding the Fund's growth, financial results and operating performance. Such forward-looking statements reflect management's current beliefs and are based on information available to them. Many factors could cause results to differ from the results discussed or implied in the forward-looking statements and these differences may be material. Although the forward-looking statements are based on what management believes to be reasonable assumptions, there are many risks and uncertainties that could affect the results discussed or implied in the forward-looking statement. The Fund therefore cannot assure investors that actual results will be consistent with these forward-looking statements. The assumptions include, but are not limited to: terminations, replacements, rental rates and service costs. The risks and uncertainties include, but are not limited to: billing arrangements, social or technical changes, regulatory changes, product faults, geographic concentration, competition, lack of written contracts and income tax matters. A summary of these risks and uncertainties can be found in the Fund's MD&A and AIF, both of which can be found at www.sedar.com. Except as required by applicable securities laws, the Fund does not intend and does not assume any obligation to update or revise the forward-looking statements, whether as a result of new information, future events or otherwise.

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