Citadel Premium Income Fund 2008 Income Tax Information

• Press Release
• Source: Citadel Premium Income Fund
• On 6:00 pm EST, Thursday March 5, 2009

CALGARY, ALBERTA--(Marketwire - March 5, 2009) - The following information is intended to assist holders of units of Citadel Premium Income Fund (the "Trust") (TSX:CPF.UN - News) in the preparation of their 2008 Income Tax Return. This summary table below is directed to a unitholder who, for the purposes of the Income Tax Act (Canada) is a resident of Canada and holds the units as capital property.

Related Quotes

Symbol	Price	Change
CPF-UN.TO	5.82	+0.03

{"s" : "cpf-un.to","k" : "c10,l10,p20,t10","o" : "","j" : ""}

                                            Non-            Return
Record                        Eligible  Eligible Capital        of
 Date      Pay Date   Income Dividends Dividends    Gain   Capital    Total

31-Jan-08 15-Feb-08 $0.06386 $ 0.00223 $ 0.00009 $     - $ 0.01882 $0.08500
29-Feb-08 14-Mar-08 $0.06386 $ 0.00223 $ 0.00009 $     - $ 0.01882 $0.08500
31-Mar-08 15-Apr-08 $0.06386 $ 0.00223 $ 0.00009 $     - $ 0.01882 $0.08500
30-Apr-08 15-May-08 $0.06386 $ 0.00223 $ 0.00009 $     - $ 0.01882 $0.08500
31-May-08 16-Jun-08 $0.06386 $ 0.00223 $ 0.00009 $     - $ 0.01882 $0.08500
30-Jun-08 15-Jul-08 $0.06386 $ 0.00223 $ 0.00009 $     - $ 0.01882 $0.08500
31-Jul-08 15-Aug-08 $0.06386 $ 0.00223 $ 0.00009 $     - $ 0.01882 $0.08500
31-Aug-08 15-Sep-08 $0.06386 $ 0.00223 $ 0.00009 $     - $ 0.01882 $0.08500
30-Sep-08 15-Oct-08 $0.06386 $ 0.00223 $ 0.00009 $     - $ 0.01882 $0.08500
31-Oct-08 14-Nov-08 $0.06386 $ 0.00223 $ 0.00009 $     - $ 0.01882 $0.08500
30-Nov-08 15-Dec-08 $0.06386 $ 0.00223 $ 0.00009 $     - $ 0.01882 $0.08500
31-Dec-08 15-Jan-09 $0.06386 $ 0.00223 $ 0.00009 $     - $ 0.01882 $0.08500
                   ---------------------------------------------------------
                    $0.76632 $ 0.02676 $ 0.00108 $     - $ 0.22584 $1.02000
                   ---------------------------------------------------------
                   ---------------------------------------------------------

Each Unitholder will receive a T3 supplementary slip for 2008 that will indicate the amount of "Other Income" - Box 26 ,"Eligible Dividends" - Box 49, "Non-Eligible Dividends" - Box 23, and "Capital Gains" - Box 21 that are to be included in their tax return. The dividends will be subject to the gross-up and federal dividend tax credit rules. The T3 supplementary slips are prepared by Computershare Trust Company of Canada and/or investment dealers.

The "Return of Capital" (Box 42) is a non-taxable amount and will reduce the Adjusted Cost Base of the Unitholder's Units.

If the Units were held within a RRSP, DPSP, or RRIF, then no T3 slip will be received and no amount would be required to be reported on the unitholder's personal tax return.

Joe MacDonald
Citadel Premium Income Fund
Executive Vice President, Sales and Marketing
1-877-261-9674

Andrea Kladar
Citadel Premium Income Fund
Vice President, Sales and Marketing Western Region
1-866-936-7880
Website: www.citadelfunds.com