Sentry Select Focused 50 Income Fund Completes Merger with Sentry Select Canadian Income Fund

TORONTO, ONTARIO–(EMWNews – Aug. 21, 2008) – Sentry Select Capital Corp. (“Sentry Select” or the “Manager”) is pleased to announce that a merger of Sentry Select Focused 50 Income Fund (the “Terminating Fund”) with Sentry Select Canadian Income Fund (“Canadian Income Fund”), each a closed-end mutual fund (the “Merger”), was completed effective August 20, 2008.

The Terminating Fund transferred all of its assets to Canadian Income Fund in exchange for units of Canadian Income Fund and the assumption by Canadian Income Fund of all the liabilities of the Terminating Fund. Each unitholder of the Terminating Fund received units of Canadian Income Fund having the same aggregate net asset value as their units of the Terminating Fund.

Each Series A unitholder of the Terminating Fund received 0.7030 Series A units of Canadian Income Fund and each Series F unitholder of the Terminating Fund received 0.6959 Series F units of Canadian Income Fund in exchange for each unit of the Terminating Fund.

The Merger

The Manager believes that the Merger will result in significant benefits to unitholders of the Terminating Fund for the following reasons:

– The potential for portfolio diversification should improve through the management of a larger Canadian Income Fund.

– The investment objectives of the Terminating Fund limit the fund to investing only in income funds with specified rating requirements, while the broader investment objectives of Canadian Income Fund provide additional flexibility to the Manager, which the Manager believes may be beneficial to unitholders of the Terminating Fund.

– Changes to the tax treatment of income trusts announced by the Minister of Finance on October 31, 2006 have resulted in a reduction in the number of income trusts due to take-overs and conversions into corporations. It is anticipated that this trend will continue. The Manager believes that the interests of the unitholders are better served by being invested in a larger Canadian Income Fund with a more flexible mandate, which is better suited to the changing investment environment.

Tax consequences of the Merger

The Merger was effected on a tax-deferred basis.

Costs of the Merger

All costs and expenses associated with the Merger are borne by the Manager.

Sentry Select Capital Corp.

Sentry Select Capital Corp. is a Canadian wealth management company that manages over $6 billion in assets as of June 30, 2008. The company offers a diverse range of investment products including closed-end trusts, mutual funds, principal-protected notes and flow-through limited partnerships, covering a variety of domestic and global mandates.

Certain statements included in this news release constitute forward-looking statements, including, but not limited to, those identified by the expressions ”expect”, ”intend”, “will” and similar expressions to the extent they relate to Sentry Select. The forward-looking statements are not historical facts but reflect Sentry Select’s current expectations regarding future results or events. These forward-looking statements are subject to a number of risks and uncertainties that could cause actual results or events to differ materially from current expectations. Although Sentry Select believes that the assumptions inherent in the forward-looking statements are reasonable, forward-looking statements are not guarantees of future performance and, accordingly, readers are cautioned not to place undue reliance on such statements due to the inherent uncertainty therein. Sentry Select undertakes no obligation to update publicly or otherwise revise any forward-looking statement or information whether as a result of new information, future events or other such factors which affect this information, except as required by law.

Sentry Select Capital Corp.
The Exchange Tower
130 King Street West
Suite 2850, P.O. Box 104
Toronto, Ontario M5X 1A4
Telephone: (416) 861-8729
Fax: (416) 364-5615