Overview

On January 1, 2011, Vicwest Income Fund (the "Fund") converted from an income trust to a corporation named Vicwest Inc. ("Vicwest" or the "Company").

Dividends

Beginning in 2011, the Board of Directors established a practice of paying a dividend on its common shares on a quarterly basis. Dividends in the amount of $0.27 per share ($1.08 annualized) are intended to be paid quarterly to shareholders of record on the last business day of such month with actual payment to be made during the thirty days following the end of such month. The Board of Directors will determine dividend amounts paid from period to period at its discretion taking into account, among other things, business performance, financial condition, growth plans and expected capital requirements, as well as any contractual restrictions on such dividends, including any agreements entered into with lenders to Vicwest or its subsidiaries. There can be no assurance that dividends will be paid at the intended rate or at any rate in the future.

Distribution Policy (Pre-conversion)

Prior to converting to a corporation, the Fund was obligated under its Declaration of Trust to distribute all of its taxable income to Unitholders. Distributions of income that were not satisfied in cash generally would be distributed to Unitholders in the form of additional Fund units to the extent necessary to ensure that the Fund would not be liable for income taxes.

Tax Information

It is intended that dividends declared in 2011 will be designated as eligible dividends for Canadian income tax purposes. Distributions declared in 2010 were comprised of return of capital and other taxable income, as described below. From 2005 to 2009, 100% of distributions declared by the Fund (cash and non-cash) were subject to income tax in the hands of Unitholders.

In respect of 2010, of the $1.56 per unit distribution declared and paid in the year, $1.17588 per unit is taxable in the hands of the Unitholder and $0.38412 per unit represents a return of capital The Company's shares are qualified investments for registered retirement savings plans (RRSPs), registered education savings plans (RESPs), deferred profit sharing plans (DPSPs), registered disability savings plans (RDSPs), registered retirement income funds (RRIFs) and tax-free savings accounts (TFSAs) under the Income Tax Act (Canada) (collectively, "Plans").

Following conversion, distributions from Vicwest will be characterized as dividends for Canadian income tax purposes. Canadian individual investors who hold shares outside of Plans and receive dividends from Vicwest generally should be entitled to dividend tax credits, thereby reducing the after-tax impact of such distributions.

Distribution Summary

	20101	2009	2008
Cash distributions	$1.56	$1.76	$1.76
Special non-cash distributions	$0.00	$0.26	$0.25
Total distributions	$1.56	$2.02	$2.01
1The tax allocation of 2010 distributions was $1.17585 per unit Other Taxable Income and $0.38416 Return of Capital

2010 Distributions List

Month	Record Date	Payment Date	$ per unit
January	Jan. 29, 2010	Feb. 22, 2010	$0.13
February	Feb. 26, 2010	Mar. 22, 2010	$0.13
March	Mar. 31, 2010	Apr. 20, 2010	$0.13
April	Apr. 30, 2010	May 20, 2010	$0.13
May	May 31, 2010	Jun. 21, 2010	$0.13
June	Jun. 30, 2010	Jul. 20, 2010	$0.13
July	Jul. 30, 2010	Aug. 20, 2010	$0.13
August	Aug. 31, 2010	Sep. 20, 2010	$0.13
September	Sep. 30, 2010	Oct. 20, 2010	$0.13
October	Oct. 29, 2010	Nov. 22, 2010	$0.13
November	Nov. 30, 2010	Dec. 20, 2010	$0.13
December	Dec. 31, 2010	Dec. 31, 2010	$0.13

2009 Distributions List

Month	Record Date	Payment Date	$ per unit
January	Jan. 30, 2009	Feb. 20, 2009	$0.13
February	Feb. 27, 2009	Mar. 20, 2009	$0.13
March	Mar. 31, 2009	Apr. 20, 2009	$0.13
April	Apr. 30, 2009	May 20, 2009	$0.13
May	May 29, 2009	Jun. 22, 2009	$0.13
June	Jun. 30, 2009	Jul. 20, 2009	$0.13
July	Jul. 31, 2009	Aug. 20, 2009	$0.13
August	Aug. 31, 2009	Sept. 21, 2009	$0.13
September	Sept. 30, 2009	Oct. 20, 2009	$0.13
October	Oct. 30, 2009	Nov. 20, 2009	$0.13
November	Nov. 30, 2009	Dec. 21, 2009	$0.13
December	Dec. 31, 2009	Jan. 20, 2009	$0.13
December1	Dec. 31, 2009	Jan. 20, 2009	$0.20
December2	Dec. 31, 2009	Dec. 31, 2009	$0.26

¹On December 17, 2009, the Fund declared a special cash distribution of $0.20 per unit, payable on January 20, 2010 to Unitholders of record on December 31, 2009 and is in addition to the normal monthly distribution of $0.13 for December.

²On December 17, 2009, the Fund declared a special non-cash distribution paid to Unitholders of record on December 31, 2009 of $0.26 per unit and is in addition to the normal monthly distribution of $0.13 for December. These Fund units are distributed on a pro rata basis and included in the Untiholder’s taxable income for the 2009 calendar year.

2008 Distributions List

Month	Record Date	Payment Date	$ per unit
January	Jan. 31, 2008	Feb. 20, 2008	$0.13
February	Feb. 29, 2008	Mar. 20, 2008	$0.13
March	Mar. 31, 2008	Apr. 12, 2008	$0.13
April	Apr. 30, 2008	May 20, 2008	$0.13
May	May 30, 2008	Jun. 20, 2008	$0.13
June	Jun. 30, 2008	Jul. 21, 2008	$0.13
July	Jul. 31, 2008	Aug. 20, 2008	$0.13
August	Aug. 29, 2008	Sep. 19, 2008	$0.13
September	Sep. 30, 2008	Oct. 20, 2008	$0.13
October	Oct. 31, 2008	Nov. 20, 2008	$0.13
November	Nov. 28, 2008	Dec. 22,2008	$0.13
December	Dec. 31, 2008	Jan. 20, 2009	$0.13
December1	Dec. 31, 2008	Jan. 20, 2009	$0.20
December2	Dec. 31, 2008	Jan. 20, 2009	$0.25

¹On December 19, 2008, the Fund declared a special one-time, cash distribution of $0.20 per unit to Unitholders of record of December 31, 2008, paid on January 20, 2009 and was in addition to the normal monthly distribution of $0.13 for December. By declaring the special cash distribution, the Fund did not report any taxable income in 2008.

²On December 19, 2008, the Fund declared a special one-time, non-cash distribution with estimated value of $0.25 per unit to Unitholders of record on December 31, 2008, paid on January 20, 2009 and was in addition to the normal monthly distribution of $0.13 for December. These Fund units were distributed on a pro rata basis and included in the Unitholder’s taxable income for the 2008 calendar year.