TORONTO, ONTARIO -- (MARKET WIRE) -- 10/16/07 -- Sentry Select Capital Corp. ("Sentry Select" or "Manager") is pleased to announce the exchange ratios for the Sentry Select Diversified Income Trust (the "Trust") (TSX: SDT.UN) Exchange Offer as announced in the preliminary prospectus of the Trust dated September 18, 2007.

Deposit date and closing

The Exchange Offer was open for acceptance by holders of securities of the Issuers until 4:00 pm (Toronto time) on October 15, 2007 (the "Deposit Date"). Subject to the satisfaction of the conditions of the Exchange Offer, the closing is expected to occur on or about October 26, 2007.

Exchange ratio

The number of Trust Units issuable for the securities of each Issuer (the "Exchange Ratio") was determined by dividing the volume weighted average trading price of such securities on the Toronto Stock Exchange ("TSX") during the period of three consecutive trading days ending on the Deposit Date (the "Pricing Period") by the volume weighted average trading price of the Trust Units on the TSX during the Pricing Period (the "Unit Price").

Unit Price and net asset value

The 3 day Unit Price for the Trust is $4.7471 and the net asset value of the Trust, as of October 11, 2007 was $5.24 per unit.

Reimbursement of expenses

The Manager has agreed to reimburse the Trust for the expenses of the Exchange Offer, including the solicitation and agency fees, incurred by the Trust in 28 equal quarterly instalments (due January 1, April 1, July 1 and October 1), together with interest, beginning on January 1, 2009. This obligation will be evidenced by a promissory note to be issued at the closing of the Exchange Offer, which will bear interest from the date of issue at the prime rate of interest posted from time to time by the Trust's bank.

Acceptance

The following table specifies the weighted average trading price of each eligible security and the Exchange Ratio used to determine the number of units to be issued for each eligible security. The Exchange Ratios and other information disclosed below will be included in the final prospectus to be filed with the securities regulatory authorities across Canada. The Exchange Ratios are rounded down to four decimal places.

------------------------------------------------------------------------
                                                        Volume
                                                      Weighted
                                                       Average
                                         Trading       Trading  Exchange
Issuer                                    Symbol      Price ($)    Ratio
------------------------------------------------------------------------
DIVIDEND PAYING EQUITIES
AGF Management Ltd.                        AGF.B    $  35.8341    7.5486
Agrium Inc.                                  AGU    $  54.2662   11.4314
Atco Ltd.                                  ACO.X    $  56.9387   11.9944
Bank of Montreal                             BMO    $  63.6351   13.4050
Bank of Nova Scotia                          BNS    $  51.7328   10.8977
BCE Inc.                                     BCE    $  40.6417    8.5613
Brookfield Asset Management Inc.           BAM.A    $  39.6013    8.3422
Brookfield Properties Corp.                  BPO    $  25.5735    5.3871
CAE Inc.                                     CAE    $  13.1888    2.7782
Canadian Imperial Bank of Commerce            CM    $ 102.6495   21.6236
Canadian National Railway Company            CNR    $  52.7848   11.1193
Canadian Natural Resources Ltd.              CNQ    $  72.7432   15.3237
Canadian Pacific Railway Ltd.                 CP    $  69.7592   14.6951
Canadian Utilities Ltd.                       CU    $  48.1558   10.1442
Canadian Western Bank                        CWB    $  29.4156    6.1965
Emera Inc.                                   EMA    $  19.7988    4.1707
Enbridge Inc.                                ENB    $  37.7438    7.9509
EnCana Corp.                                 ECA    $  63.1663   13.3062
Finning International Inc.                   FTT    $  31.8381    6.7068
First Capital Realty Inc.                    FCR    $  25.9799    5.4727
Fortis Inc.                                  FTS    $  27.4153    5.7751
Gluskin Sheff + Associates Inc.               GS    $  28.5521    6.0146
Great-West Lifeco Inc.                       GWO    $  36.5892    7.7076
IGM Financial Inc.                           IGM    $  53.3549   11.2394
Imperial Oil Ltd.                            IMO    $  47.2767    9.9590
Industrial Alliance Insurance and
 Financial Services Inc.                     IAG    $  38.7418    8.1611
ING Canada Inc.                              IIC    $  45.6064    9.6072
Inmet Mining Corp.                           IMN    $ 108.3642   22.8274
Manitoba Telecom Services Inc.               MBT    $  48.1067   10.1339
Manulife Financial Corp.                     MFC    $  41.8032    8.8060
National Bank of Canada                       NA    $  55.0027   11.5865
Norbord Inc.                                 NBD    $   8.1246    1.7114
Onex Corp.                                   OCX    $  38.4026    8.0896
Power Corporation Of Canada                  POW    $  40.4014    8.5107
Power Financial Corp.                        PWF    $  41.5960    8.7624
Rogers Communications Inc.                 RCI.B    $  48.2032   10.1542
Royal Bank of Canada                          RY    $  55.3709   11.6641
Sherritt International Corp.                   S    $  16.9772    3.5763
Shoppers Drug Mart Corp.                      SC    $  55.7151   11.7366
SNC-Lavalin Group Inc.                       SNC    $  47.3127    9.9666
Sun Life Financial Inc.                      SLF    $  52.1189   10.9791
Talisman Energy Inc.                         TLM    $  19.6978    4.1494
Teck Cominco Ltd.                          TCK.B    $  51.0826   10.7608
TELUS Corp.                                    T    $  57.3143   12.0735
Tim Hortons Inc.                             THI    $  35.8421    7.5503
Toronto-Dominion Bank                         TD    $  72.7291   15.3207
TransAlta Corp.                               TA    $  30.2191    6.3658
TransCanada Corp.                            TRP    $  38.1178    8.0297
TSX Group Inc.                                 X    $  47.5399   10.0145
West Fraser Timber Co Ltd.                   WFT    $  36.9827    7.7905

ENERGY
Advantage Energy Income Fund              AVN.UN    $  11.9555    2.5184
ARC Energy Trust                          AET.UN    $  20.6100    4.3415
Baytex Energy Trust                       BTE.UN    $  19.4940    4.1065
Bonavista Energy Trust                    BNP.UN    $  29.1815    6.1472
Bonterra Energy Income Trust              BNE.UN    $  27.2435    5.7389
Canadian Oil Sands Trust                  COS.UN    $  32.4972    6.8456
Canetic Resources Trust                   CNE.UN    $  15.1402    3.1893
Crescent Point Energy Trust               CPG.UN    $  22.0406    4.6429
Daylight Resources Trust                  DAY.UN    $   7.2567    1.5286
Enerplus Resources Fund                   ERF.UN    $  45.3617    9.5556
Fairborne Energy Trust                    FEL.UN    $   6.7900    1.4303
Focus Energy Trust                        FET.UN    $  17.4737    3.6809
Freehold Royalty Trust                    FRU.UN    $  14.8759    3.1336
Harvest Energy Trust                      HTE.UN    $  26.7373    5.6323
NAL Oil & Gas Trust                       NAE.UN    $  12.5000    2.6331
Paramount Energy Trust                    PMT.UN    $   7.4331    1.5658
Pengrowth Energy Trust                    PGF.UN    $  17.8547    3.7611
Penn West Energy Trust                    PWT.UN    $  30.9112    6.5115
Peyto Energy Trust                        PEY.UN    $  16.7232    3.5228
PrimeWest Energy Trust                    PWI.UN    $  26.1855    5.5161
Progress Energy Trust                     PGX.UN    $  11.2905    2.3783
Provident Energy Trust                    PVE.UN    $  12.4325    2.6189
Spectra Energy Income Fund                 SP.UN    $   9.7832    2.0608
Vault Energy Trust                        VNG.UN    $   4.3086    0.9076
Vermilion Energy Trust                    VET.UN    $  35.3268    7.4417
Zargon Energy Trust                       ZAR.UN    $  26.5301    5.5886

RESOURCE
Acadian Timber Income Fund                ADN.UN    $  11.3785    2.3969
Canfor Pulp Income Fund                   CFX.UN    $  12.5666    2.6472
Fording Canadian Coal Trust               FDG.UN    $  38.9067    8.1958
Labrador Iron Ore Royalty Income Fund     LIF.UN    $  42.2367    8.8973
Noranda Income Fund                       NIF.UN    $  10.0112    2.1089
SFK Pulp Fund                             SFK.UN    $   3.6521    0.7693
Timberwest Forest Corp.                   TWF.UN    $  14.9554    3.1504

POWER
Algonquin Power Income Fund               APF.UN    $   9.0504    1.9065
Atlantic Power Corporation                ATP.UN    $  10.7669    2.2681
Boralex Power Income Fund                 BPT.UN    $   9.0274    1.9016
Creststreet Power & Income Fund L.P.      CRS.UN    $   5.3922    1.1358
EPCOR Power L.P.                           EP.UN    $  24.5731    5.1764
Great Lakes Hydro Income Fund             GLH.UN    $  20.1638    4.2476
Innergex Power Income Fund                IEF.UN    $  12.5804    2.6501
Macquarie Power & Infrastructure Income
 Fund                                     MPT.UN    $  10.0357    2.1140
Northland Power Income Fund               NPI.UN    $  12.5363    2.6408
Primary Energy Recycling Corporation      PRI.UN    $   5.9982    1.2635
Transalta Power L.P.                      TPW.UN    $   8.3082    1.7501

UTILITIES & INFRASTRUCTURE
AltaGas Income Trust                      ALA.UN    $  25.6180    5.3965
Bell Aliant Regional Communications
 Income Fund                               BA.UN    $  31.9548    6.7314

Enbridge Income Fund                      ENF.UN    $  10.8202    2.2793
Fort Chicago Energy Partners L.P.         FCE.UN    $  10.5637    2.2252
GAZ Metro Limited Partnership             GZM.UN    $  15.7526    3.3183
Inter Pipeline Fund                       IPL.UN    $   9.5986    2.0219
Keyera Facilities Income Fund             KEY.UN    $  18.0175    3.7954
Pembina Pipeline Income Fund              PIF.UN    $  17.6590    3.7199
Royal Utilities Income Fund                RU.UN    $  12.0784    2.5443
Taylor NGL Limited Partnership            TAY.UN    $   9.2519    1.9489

CONSUMER
A&W Revenue Royalties Income Fund          AW.UN    $  13.3919    2.8210
Aeroplan Income Fund                      AER.UN    $  23.5419    4.9592
Arctic Glacier Income Fund                 AG.UN    $  12.4513    2.6229
AutoCanada Income Fund                    ACQ.UN    $  10.6323    2.2397
Big Rock Brewery Income Trust              BR.UN    $  18.0385    3.7998
Boston Pizza Royalties Income Fund        BPF.UN    $  14.5763    3.0705
The Brick Group Income Fund               BRK.UN    $   8.6435    1.8207
Chesswood Income Fund                     CHW.UN    $   5.6090    1.1815
CI Financial Income Fund                  CIX.UN    $  27.1612    5.7216
Cineplex Galaxy Income Fund               CGX.UN    $  18.4136    3.8789
Cinram International Income Fund          CRW.UN    $  17.3940    3.6641
CML Healthcare Income Fund                CLC.UN    $  15.8641    3.3418
Coast Wholesale Appliances Income Fund    CWA.UN    $   9.8261    2.0699
Colabor Income Fund                       CLB.UN    $  10.3504    2.1803
Connors Bros. Income Fund                 CBF.UN    $   8.2343    1.7345
The Consumers' Waterheater Income Fund    CWI.UN    $  15.4616    3.2570
Davis & Henderson Income Fund             DHF.UN    $  19.2231    4.0494
Energy Savings Income Fund                SIF.UN    $  15.7865    3.3255
Firm Capital Mortgage Investment Trust     FC.UN    $  10.1202    2.1318
First National Financial Income Fund       FN.UN    $  16.5690    3.4903
FP Newspapers Income Fund                  FP.UN    $  12.0259    2.5333
Futuremed Healthcare Income Fund          FMD.UN    $  11.7419    2.4734
Gamehost Income Fund                       GH.UN    $  40.8569    8.6067
GMP Capital Trust                         GMP.UN    $  23.0733    4.8605
Golf Town Income Fund                     GLF.UN           N/A       N/A
Home Equity Income Trust                  HEQ.UN    $  12.9773    2.7337
The Keg Royalties Income Fund             KEG.UN    $  13.4665    2.8367
Keystone North America Inc.               KNA.UN    $   7.9262    1.6696
Liquor Stores Income Fund                 LIQ.UN    $  22.1806    4.6724
Medical Facilities Corporation             DR.UN    $  11.0758    2.3331
Medisys Health Group Income Fund          MHG.UN    $   7.7819    1.6392
Newport Partners Income Fund              NPF.UN    $   5.6826    1.1970
North West Company Fund                   NWF.UN    $  20.5454    4.3279
Park Lawn Income Trust                    PLC.UN    $   5.7975    1.2212
PDM Royalties Income Fund                 PDM.UN    $   9.9092    2.0874
Pizza Pizza Royalty Income Fund           PZA.UN    $  10.0171    2.1101
Pollard Banknote Income Fund              PBL.UN    $   9.7899    2.0622
Premium Brands Income Fund                PBI.UN    $  13.8270    2.9127
Prime Restaurants Royalty Income Fund     EAT.UN    $   7.9580    1.6763
Priszm Income Fund                        QSR.UN    $   6.6849    1.4082
Resolve Business Outsourcing Income Fund  RBO.UN    $   8.1558    1.7180
Rogers Sugar Income Fund                  RSI.UN    $   4.7413    0.9987
Royal LePage Franchise Services Fund      RSF.UN    $  13.0035    2.7392
Second Cup Royalty Income Fund            SCU.UN    $   9.9665    2.0994
Sleep Country Canada Income Fund            Z.UN    $  22.0239    4.6394
Sterling Shoes Income Fund                SSI.UN    $  17.3073    3.6458
Sun Gro Horticulture Income Fund          GRO.UN    $   7.6051    1.6020
Swiss Water Decaffeinated Coffee Income
 Fund                                     SWS.UN    $   7.9363    1.6718
Teranet Income Fund                        TF.UN    $   9.9848    2.1033
Village Farms Income Fund                 VFF.UN    $   2.8365    0.5975

INDUSTRIALS
Ag Growth Income Fund                     AFN.UN    $  25.8949    5.4548
Agtech Income Fund                        AGT.UN    $   9.6185    2.0261
Altus Group Income Fund                   AIF.UN    $  14.3759    3.0283
Armtec Infrastructure Income Fund         ARF.UN    $  17.6000    3.7075
ATS Andlauer Income Fund                  ATS.UN    $  12.1849    2.5668
Avenir Diversified Income Trust           AVF.UN    $   8.2533    1.7385
Badger Income Fund                        BAD.UN    $  16.6148    3.4999
BFI Canada Income Fund                    BFC.UN    $  26.9166    5.6701
Bird Construction Income Fund             BDT.UN    $  27.2908    5.7489
Builders Energy Services Trust            BET.UN    $   4.8816    1.0283
Canadian Helicopters Income Fund          CHL.UN    $  10.9995    2.3170
Canexus Income Fund                       CUS.UN    $   4.8710    1.0261
CanWel Building Materials Income Fund     CWX.UN    $   4.3788    0.9224
Cargojet Income Fund                      CJT.UN    $  14.0603    2.9618
Cathedral Energy Services Income Trust    CET.UN    $   7.8831    1.6606
Chemtrade Logistics Income Fund           CHE.UN    $   7.9484    1.6743
Contrans Income Fund                      CSS.UN    $   9.3549    1.9706
The Data Group Income Fund                DGI.UN    $  10.9145    2.2991
DirectCash Income Fund                    DCI.UN    $  13.7443    2.8953
Drive Products Income Fund                DPI.UN    $   4.1590    0.8761
Eveready Income Fund                      EIS.UN    $   4.6268    0.9746
Foremost Income Fund                      FMO.UN    $  12.8386    2.7045
General Donlee Income Fund                GDI.UN    $   9.9957    2.1056
GENIVAR Income Fund                       GNV.UN    $  21.8478    4.6023
IAT Air Cargo Facilities Income Fund      ACF.UN    $   8.9976    1.8953
IBI Income Fund                           IBG.UN    $  20.4685    4.3117
Jazz Air Income Fund                      JAZ.UN    $   7.8609    1.6559
K-Bro Linen Income Fund                   KBL.UN    $  13.4898    2.8416
Livingston International Income Fund      LIV.UN    $  15.5180    3.2689
Morneau Sobeco Income Fund                MSI.UN    $  12.9995    2.7384
Mullen Group Income Fund                  MTL.UN    $  18.4676    3.8902
New Flyer Industries Inc.                 NFI.UN    $  11.2589    2.3717
Newalta Income Fund                       NAL.UN    $  19.5604    4.1204
Oceanex Income Fund                       OAX.UN    $  18.9701    3.9961
OFI Income Fund                           OFB.UN    $   5.0019    1.0536
Parkland Income Fund                      PKI.UN    $  17.4629    3.6786
Peak Energy Services Trust                PES.UN    $   3.1582    0.6652
Phoenix Technology Income Fund            PHX.UN    $   8.3411    1.7570
Precision Drilling Trust                   PD.UN    $  17.5498    3.6969
PRT Forest Regeneration Income Fund       PRT.UN    $   7.6530    1.6121
Richards Packaging Income Fund            RPI.UN    $   9.0916    1.9151
Stoneham Drilling Trust                   SDG.UN    $  12.8729    2.7117
Strongco Income Fund                      SQP.UN    $   6.4771    1.3644
Student Transportation of America Ltd.    STB.UN    $  11.1670    2.3523
Superior Plus Income Fund                 SPF.UN    $  12.9092    2.7193
Supremex Income Fund                      SXP.UN    $   5.7042    1.2016
Total Energy Services Trust               TOT.UN    $   6.7175    1.4150
TransForce Income Fund                    TIF.UN    $  11.0852    2.3351
Tree Island Wire Income Fund              TIL.UN    $   6.0167    1.2674
Trilogy Energy Trust                      TET.UN    $   7.7405    1.6305
Trimac Income Fund                        TMA.UN    $   7.9759    1.6801
Trinidad Energy Services Income Trust     TDG.UN    $  12.0597    2.5404
Vicwest Income Fund                       VIC.UN    $  10.8328    2.2819
Wajax Income Fund                         WJX.UN    $  36.1870    7.6229
Wellco Energy Services Trust              WLL.UN    $   3.3648    0.7088
Westshore Terminals Income Fund           WTE.UN    $  15.3057    3.2242
Yellow Pages Income Fund                  YLO.UN    $  14.1643    2.9837

REAL ESTATE
Allied Properties Real Estate Investment
 Trust                                     AP.UN    $  22.5301    4.7460
Artis Real Estate Investment Trust         AX.UN    $  17.6031    3.7081
Boardwalk Real Estate Investment Trust    BEI.UN    $  45.5136    9.5876
Calloway Real Estate Investment Trust     CWT.UN    $  25.5273    5.3774
Canadian Apartment Properties Real
 Estate Investment Trust                  CAR.UN    $  19.1580    4.0357
Canadian Real Estate Investment Trust     REF.UN    $  29.3325    6.1790
Chartwell Seniors Housing Real Estate
 Investment Trust                         CSH.UN    $  12.0720    2.5430
Cominar Real Estate Investment Trust      CUF.UN    $  21.9953    4.6334
Crombie Real Estate Investment Trust      CRR.UN    $  13.1469    2.7694
Dundee Real Estate Investment Trust         D.UN    $  37.6382    7.9286
Extendicare Real Estate Investment Trust  EXE.UN    $  14.9442    3.1480
H&R Real Estate Investment Trust           HR.UN    $  23.6108    4.9737
Huntingdon Real Estate Investment Trust   HNT.UN    $   2.2263    0.4689
InnVest Real Estate Investment Trust      INN.UN    $  11.9052    2.5078
InterRent Real Estate Investment Trust    IIP.UN    $   4.2199    0.8889
Lanesborough Real Estate Investment
 Trust                                    LRT.UN    $   5.3472    1.1264
Morguard Real Estate Investment Trust     MRT.UN    $  13.9714    2.9431
Northern Property Real Estate Investment
 Trust                                    NPR.UN    $  22.9406    4.8325

Primaris Retail Real Estate Investment
 Trust                                    PMZ.UN    $  19.0114    4.0048
Public Storage Canadian Properties           PUB    $  20.4515    4.3082
Retrocom Mid-Market Real Estate           RMM.UN
 Investment Trust                                   $   5.0218    1.0578
RioCan Real Estate Investment Trust       REI.UN    $  25.0423    5.2752
Royal Host Real Estate Investment Trust   RYL.UN    $   6.9631    1.4668
Scott's Real Estate Investment Trust      SRQ.UN    $   8.7026    1.8332

Dealer manager

National Bank Financial has been engaged as the dealer manager for the Exchange Offer.

Sentry Select Diversified Income Trust

Sentry Select Diversified Income Trust is a closed-end investment trust that aims to maximize distributions to unitholders by investing primarily in high income securities issued by a broad range of royalty and income trusts, real estate investment trusts, and limited partnerships and, to a lesser extent, fixed-income securities and high-yielding common stocks.

Sentry Select Capital Corp.

Sentry Select is a Canadian wealth management company that manages approximately $8 billion in gross assets as of September 30, 2007. 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. With 29 reporting issuers, Sentry Select is the manager and/or advisor to more Toronto Stock Exchange-listed entities than any other investment manager. In addition, Sentry Select manages and/or provides advisory services to four reporting issuers listed on the TSX Venture Exchange.

Restrictions

The Exchange Offer is not a take-over bid for any of the Issuers and is not, and under no circumstances is to be construed as, an offering of any Trust Units for sale in the U.S. or to any resident thereof.

The Exchange Tower
130 King Street West
Suite 2850, P.O. Box 104
Toronto, Ontario M5X 1A4

Contacts:
Sentry Select Capital Corp.
Investor Services
(broker/investor inquiries)
1-888-246-6656
(416) 364-1197 (FAX)

Sentry Select Capital Corp.
Kinga Lam
(media inquiries)
1-888-246-6656
(416) 364-1197 (FAX)
Email: info@sentryselect.com
Website: www.sentryselect.com