ROLLOVER OF DISCOVERY 2008 FLOW-THROUGH LIMITED PARTNERSHIP

TORONTO, Oct. 18 /CNW/ - Middlefield Mutual Funds Limited (the "Mutual Fund") is pleased to announce that it has completed the rollover of Discovery 2008 Flow-Through Limited Partnership (the "Partnership") into the Precious Metals Class (MID 170) mutual fund.  The Partnership was dissolved on October 15, 2010 at which time the net asset value was $32.88 per unit.  The after-tax total return on money at risk for the life of the Partnership was therefore approximately 86% for an Ontario investor subject to the highest marginal tax rate.

Partnership investors can determine their Precious Metals Class shareholdings by multiplying the number of units they held in the Partnership by 1.87983819.  Shares of Precious Metals Class have now been credited to the accounts of beneficial holders of Partnership units.  The adjusted cost base of the shares of the Precious Metals Class distributed to Partnership investors is $6.00540518 per share. There are no fees charged on the rollover into the Mutual Fund, nor on redemptions of Mutual Fund shares. For those investors looking for a tax shelter for 2010, please be advised that Discovery 2010 is currently available for investment.

The transfer was a tax-free exchange which means that no disposition occurred and therefore no capital gains tax is payable as a result of the rollover.  Investors can continue to defer the capital gains tax liability that arises upon disposition of their investment by retaining the shares of the Mutual Fund, which currently offers nine asset Classes into which they can switch tax-free. In addition to the Precious Metals Class, also offered are Groppe Tactical Energy, Canadian Growth, Income Plus, Equity Index, Income and Growth, Short-Term Income, Uranium Focused Metals and Global Agriculture.  We are pleased to report that, within the Class funds, the Income Plus Class and the Precious Metals Class have received 5-star ratings from Globefund (August 31, 2010).  

Investors should consult with their advisors to determine the strategy that is most suitable for achievement of their own personal needs and objectives. 

For further information visit our website at www.middlefield.com or contact the undersigned:

For further information:

Nancy Tham
Senior Vice President
416.847.5349
1.888.890.1868