Income Portfolio September 15, 2006 :

There have been a couple of changes to the income portfolio for September the two short term Farm Credit Corporation bonds due April 2007 and August 2008 have been sold. The proceeds have been reinvested in the following longer term bonds.

Bell Canada 5% February 15, 2017 purchased at $100.60 to yield 4.98% and

Province of Ontario Mid Term Note (MTN) 4.85% June 2, 2020 purchased at $104.21 to yield 4.48%.

The change is in anticipation of lower interest rates in Canada in the next year or so. These bonds should offer some potential for capital appreciation and offer higher yields than currently available on shorter term instruments.

Income Portfolio as at September 15, 2006 :

Original Cost: April 15, 2004: $200,663.00

Bond holdings:

Bell Canada 5% February 15, 2017 , purchased September 15, 2006 at $100.60 to yield 4.98%

Province of Ontario Mid Term Note 4.85% June 2, 2020 purchased September 15, 2006 at 4104.21 to yield 4.48%

Canadian Housing Trust 3.55% March 15, 2009 , purchased April 15, 2005 at $100.66 to yield 3.40%

Government of Canada 4.25% September 24, 2009 , 5.25 year bond issued by the Government of Canada. Original cost $101.80 to yield 3.91%

Preferred Shares:

BCE.PR.C: BCE Inc preferred series AC, callable March 2008 may be exchanged for a floating rate preferred or rolled to a new fixed rate preferred at that time. Original cost $26.65 to Yield: 5.20%

NRD.PR.G: Noranda Inc preferred series G, callable November 1, 2006 can be exchanged for a floating rate preferred or a new fixed rate preferred at that time. Original cost $25.75 to Yield: 5.90%

NRD.PR.H: Noranda Inc Preferred series H, retractable June 30, 2008 @ $25.00, issuer has the right to settle retraction obligation with common shares. Original cost $26.50 to Yield: 6.12%

ENB.PR.A: Enbridge preferred series A, straight preferred callable @ $25.00 on 30days notice. Original cost $25.05 to Yield: 5.49%

Income Trust:

AW.UN: A&W Revenue Royalties Income Fund. Units receive 3% of the revenue for A&W restaurants. Original cost $11.60 to Yield: 9.3%

NPI.UN: Northland Power Income Fund owns a cogeneration power plant at Iroquois Falls Ontario . Sell power to Ontario Hydro. Original cost $11.70 to Yield: 8.62%

NIF.UN: Noranda Income Fund owns and operates a Zinc processing facility, Original cost $11.60 to Yield: 8.88%

PIF.UN: Pembina Pipeline Income Fund operates an OIL & Gas pipeline transporting from Western Canada to Eastern markets. Original cost $12.27 to Yield: 8.56%