Entertainment One announces closing of the sale of all operations

    TORONTO, March 29 /CNW/ - Entertainment One Income Fund (TSX: EOF.UN)
("Entertainment One"), a major distributor of home entertainment products,
announced today that it completed the sale of Entertainment One's Canadian and
US operations to Entertainment One Ltd. (formerly, Earl Street Capital Ltd.)
("EO Ltd."), a publicly traded company listed on AIM that was established by
Marwyn Investment Management LLP, a London, UK based equity firm.
    Immediately prior to the closing of the transaction, all of the existing
trustees of Entertainment One resigned as trustees and directors of
Entertainment One and its subsidiaries and a corporate entity, of which
certain former trustees of Entertainment One have been appointed as directors,
was appointed as the sole agent of the reserve held for unitholders of
Entertainment One.
    As soon as practical, the agent intends to satisfy all remaining
obligations of Entertainment One and its subsidiaries not sold in the
transaction. As soon as practical thereafter, the agent intends to redeem all
the units of Entertainment One, in one or more tranches, for aggregate cash
payments of approximately $3.60 per unit. The units of Entertainment One will
be delisted from the TSX shortly thereafter. The agent currently plans to
redeem all of the issued and outstanding units of Entertainment One on Monday,
April 2, 2007 (the "Redemption Date"), for consideration of $3.57 cash per
unit of Entertainment One.
    The trustees of Entertainment One intend to establish a reserve for the
remaining $0.03 per unit to be held until all liabilities and obligations have
been satisfied and all necessary tax and regulatory processes have been
completed. Once such matters have been completed and any associated expenses
are paid, the remaining amounts of the reserve, if any, will be paid to
unitholders of the Fund who received the $3.57 cash per unit of Entertainment

    About Entertainment One Income Fund

    Entertainment One Income Fund (formerly ROW Entertainment) is Canada's
largest wholesale distributor of DVDs, CDs, video games, and accessories to
small and large retail chains and independent retailers across the country. In
addition to wholesaling and Internet fulfillment, Entertainment One owns and
operates more than 90 CD Plus retail outlets, making it the largest specialty
retailer of movies and pre-recorded music in "secondary" markets (areas
underserved by other retailers). Entertainment One also operates a retail
Internet sales division, cdplus.com, and it recently purchased Koch
Entertainment, one of the largest U.S. independent record labels and
independent distributors of music and video content in the United States. To
find out more about Entertainment One (TSX: EOF.UN), visit our website at

    Forward-Looking Statements

    Certain forward-looking statements are made in this news release,
including statements regarding possible future business. Investors are
cautioned that such forward-looking statements involve risks and uncertainties
detailed from time to time in the Fund's periodic reports filed with Canadian
regulatory authorities. Many factors could cause actual results, performance,
or achievements to be materially different from any future results,
performance, or achievements that may be expressed or implied by such
forward-looking statements. Entertainment One Income Fund does not undertake
to update any forward-looking statements, oral or written, made by itself or
on its behalf.

For further information:

For further information: Pete Pigott, Chief Financial Officer, (905)
282-7877, ppigott@entertainmentone.ca; For Investor and Media Relations,
contact Wertheim + Co., (416) 594-1600, Richard Wertheim (ext. 223) or

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