Data Group Inc. announces the completion of the conversion of The Data Group Income Fund to a corporation


BRAMPTON, ON, Jan. 1, 2012 /CNW/ - Data Group Inc. (TSX: DGI) announced that The Data Group Income Fund (the "Fund") has today completed the previously announced plan of arrangement under which the Fund's income trust structure has been reorganized into a dividend paying public corporation named "Data Group Inc."  The Fund's unitholders approved the plan of arrangement on May 17, 2011.

Under the plan of arrangement, holders of units of the Fund received common shares (the "Shares") of Data Group Inc. in exchange for their units, on a one-for-one basis.  Data Group Inc. also assumed all of the covenants and obligations of the Fund under its outstanding 6.00% convertible unsecured subordinated debentures (the "Debentures").  On conversion of the Debentures, debentureholders are now entitled to receive Shares, rather than units, on the basis of one Share in lieu of each unit of the Fund which the debentureholder was previously entitled to receive, subject to adjustment in accordance with the terms of the trust indenture.  Data Group Inc. now has 23,490,592 common shares outstanding.  Common shares of Data Group Inc. will commence trading on the Toronto Stock Exchange (the "TSX") on January 3, 2012 under the symbol "DGI".  The Debentures will commence trading on the TSX on January 3, 2012 under the symbol "DGI.DB.A".

Data Group Inc. now indirectly operates the businesses which were previously operated by the Fund's subsidiaries.  The management and trustees of the Fund are now the management and directors of Data Group Inc.

The cash distribution of the Fund of $0.0542 per unit payable on January 13, 2012 to unitholders of record on December 31, 2011 for the period from December 1, 2011 to December 31, 2011, which was previously announced by the Fund on December 16, 2011, will be paid by Data Group Inc. on behalf of the Fund.

Data Group Inc. also announced that its wholly-owned subsidiary has entered into an amended and restated credit agreement effective January 1, 2012 reflecting the changes in the Fund's corporate structure resulting from the reorganization.  The terms of the amended and restated credit agreement are otherwise substantially similar to those contained in the credit facility previously maintained by the Fund's subsidiary with the same lending syndicate.

Data Group Inc. also announced that the board of directors of Data Group Inc. has adopted a shareholder rights plan as contemplated by the management proxy circular of the Fund dated April 14, 2011, in the form set out in the circular.  The plan was approved by the Fund's unitholders at the annual and special meeting of such unitholders held on May 17, 2011.

About Data Group Inc.

Data Group Inc. is a leading provider of document management and marketing solutions. We provide integrated web and print based communications and information management and associated professional services. We differentiate ourselves and provide value to our customers by focusing on innovative, high value solutions and on exceptional performance at delivering on our promises and commitments. We have over 1,950 employees working from 33 locations across Canada to accomplish this.

Additional information relating to Data Group Inc. is available at our main web site;, our investor web site; and on the System for Electronic Document Analysis and retrieval (SEDAR) at in the disclosure documents filed by Data Group Inc. and the Fund.

SOURCE The DATA Group Income Fund

For further information:

Mr. Michael Suksi
President and CEO
Data Group Inc.
Tel: (905) 791-3151
Mr. Paul O'Shea
Chief Financial Officer
Data Group Inc.
Tel: (905) 791-3151


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