Carfinco Announces Completion of Conversion to a Corporation »

For Immediate Release - January 3, 2012

CARFINCO INCOME FUND TSX: CFN.UN

Carfinco Announces Completion of Conversion to a Corporation

EDMONTON, ALBERTA /CNW/ - Carfinco Financial Group Inc. (currently TSX: CFN.UN) ("Carfinco") is pleased to announce that the previously announced court supervised plan of arrangement (the "Arrangement") providing for the conversion of Carfinco Income Fund (the "Fund") to a corporation has closed. Pursuant to the Arrangement, Carfinco will carry on the business previously carried on by the Fund and its subsidiaries.
Pending the final approval of the Toronto Stock Exchange (the "TSX"), the common shares of Carfinco will begin trading on the TSX one to two business days following the date hereof under the symbol "CFN". Until such time, the trust units of the Fund will continue trading on the TSX under the symbol "CFN.UN".
About Carfinco Income Fund
Carfinco focuses on providing consumer vehicle loans to borrowers unable to obtain financing through traditional lending sources. A network of select independent and franchise dealerships offer Carfinco's payment plan to their customers who must, along with the vehicle, meet Carfinco's underwriting guidelines. The units of the Fund trade on The Toronto Stock Exchange under the symbol "CFN.UN".
Caution Regarding Forward-Looking Statements - This news release contains certain forward-looking statements, including statements regarding the business and anticipated financial performance of the Fund. These statements are subject to a number of risks and uncertainties. Actual results may differ materially from results contemplated by the forward-looking statements. When relying on forward- looking statements to make decisions, investors and others should carefully consider the foregoing factors and other uncertainties and should not place undue reliance on such forward-looking statements.
For further information, please contact:
Mr. Tracy A. Graf The Howard Group Inc. CEO & Trustee of Carfinco Income Fund Jeff Walker / Dave Burwell Telephone: [phone] Investor Relations
Facsimile: 1-888-486-7456 Telephone: [phone]
E-mail: [e-mail] E-mail: [e-mail]
Web site: www.carfinco.com Web site: www.howardgroupinc.com

Carfinco Income Fund

300, 4245 - 97 Street, Edmonton, Alberta, T6E 5Y7

Phone: [phone] • Toll Free: 1-888-486-4356

Fax: [phone] • Toll Free: 1-888-486-7456

E-mail: [e-mail] • Web site: www.carfinco.com