News Releases

CALGARY, ALBERTA - Aug. 31, 2006 /CNW/ - Newalta Income Fund (TSX:NAL.UN) ("Newalta") today announced it has acquired the operating assets of Island Waste Management Inc. ("IWM") for a purchase price of $5.6 million.

IWM and its 17 people operate a waste transfer facility in St. John's, Newfoundland that provides services to various industries in Newfoundland and Labrador, including offshore oil and gas companies. The waste transfer facility is the only one permitted by the Province to handle a broad range of industrial wastes.

"This business provides an excellent entry into the Maritimes with consistent profitable performance and a strong organization. We look forward to expanding our services and market coverage in Atlantic Canada," said Al Cadotte, President and Chief Executive Officer of Newalta.

Newalta Income Fund has delivered dynamic profitable growth and generated compound annual revenue growth of 30% since 1993. Newalta, one of Canada's largest industrial waste management companies, focuses on maximizing the value inherent in industrial waste through the recovery of saleable products and recycling. Newalta also provides environmentally sound disposal of solid, non-hazardous industrial waste. With 1,600 talented people and a network of more than 60 facilities from coast to coast, Newalta serves customers in the automotive, forestry, manufacturing, mining, oil and gas, petrochemical, pulp and paper, steel and transportation service industries. Providing solid investor returns, exceptional customer service, safe operations and environmental stewardship has enabled Newalta to expand into new service sectors and geographic markets. For more information, visit www.newalta.com.