News Releases

CALGARY, ALBERTA - May 17, 2004 /CNW/ - Newalta Income
Fund ("Newalta") today announced that it has declared a cash
distribution of 12.5 cents per trust unit for the month of May,
2004 payable on June 15, 2004 to all unitholders of record on May
31, 2004. The ex-distribution date is May 27, 2004.

Based on the May 17, 2004 closing price of $18.05 per trust unit,
the May distribution represents an annualized cash-on-cash yield
of approximately 8.3%.

Newalta Income Fund is an open-ended trust that maximizes the
inherent value in certain industrial wastes through recovery of
saleable products and recycling, rather than disposal. Through an
integrated network of 39 state-of-the-art facilities, Newalta
delivers world-class solutions to a broad customer base of
national and international corporations, in a range of
industries, including the automotive, forestry, pulp and paper,
manufacturing, mining, oil and gas, petrochemical, and
transportation services industries. With a strong track record of
profitable growth and environmental stewardship, Newalta is
focused on leveraging its proven competencies in new service
sectors and geographic markets from coast to coast.