Notice of Termination and Delisting of Series 1 Shares and Series 2 Shares of
High Income Preferred Shares Corporation

TORONTO, March 12 /CNW/ - Navina Asset Management Inc. (formerly Lawrence Asset Management Inc.), the Manager of High Income Preferred Shares Corporation ("HI PREFS" or the "Corporation") hereby gives notice that in accordance with a proposal to amend the articles of the Corporation (the "Articles") approved at a Special Meeting of Shareholders held on February 25, 2010, HI PREFS will be terminated as of market close on March 12, 2010 (the "Termination Date") and the Series 1 Shares (TSX:HPF.pr.a) and Series 2 Shares (TSX:HPF.pr.b) will be delisted from the Toronto Stock Exchange.

In accordance with the terms of the amended Articles, HI PREFS will redeem all of the outstanding Series 1 Shares, Series 2 Shares and Equity shares of the Corporation on the Termination Date. Shareholders are not required to take any action to cause their shares to be redeemed. Redemption proceeds calculated in accordance with the Articles will be paid to Computershare on March 12, 2010 for distribution to shareholders.

Each holder of Series 1 Shares will receive an aggregate payment equal to $27.80 for each Series 1 Share held by them, such amount representing (a) the original investment amount of $25.00 paid in respect of each Series 1 Share, plus (b) the amount of all declared but unpaid dividends payable to holders of the Series 1 Shares and any dividends accrued up to the Termination date of March 12, 2010.

Each holder of Series 2 Shares will receive an aggregate payment equal to $16.46 per Series 2 Share, such amount representing (a) the original investment amount of $14.70 paid in respect of each Series 2 Share less $0.28 per share (such amount representing one-half of the costs, on a per share basis, to wind up and terminate the Corporation early), plus (b) the amount of all declared but unpaid dividends payable to holders of the Series 2 Shares and any dividends accrued up to the Termination date of March 12, 2010.

From and after the Termination Date, Shareholders will cease to be entitled to any dividends of HI PREFS and will not be entitled to exercise any of the rights of shareholders of HI PREFS unless payment of the redemption amount in respect of the shares is not duly made by the Corporation. For more information please visit www.lawrenceasset.com.

%SEDAR: 00017798E

For further information: Investor Relations, Catherine Stretch, [phone], [email protected]