IA Clarington Adds Series T Securities to its Cash Distribution Line-Up

Provides investors with additional tax-efficient cash distribution options within IA Clarington's lineup

Toronto, Ontario, July 10, 2007 - IA Clarington Investments Inc. (IA Clarington) today announced it has augmented its existing line-up of cash distribution funds by adding Series T securities on a select number of its funds, and reclassifying a number of existing series of securities of its cash distribution funds as Series T securities.

"IA Clarington was one of the first to recognize the increasing need for flexible income options and responded with a broad offering of cash distribution funds," said Eric Frape, Senior Vice President, Product & Business Development at IA Clarington. "The changes we have made further enhance our existing line-up by recognizing that clients have different income needs and by providing investment advisors with even more choice for their clients."

IA Clarington's Series T securities aim to provide a target distribution rate per annum paid monthly, based on the respective fund's net asset value at the end of each calendar year. Each Series T security will be reviewed annually to adjust its annual payout within a target range. Series FT securities are also being introduced for the clients of fee-based advisors.

As with IA Clarington's existing cash distribution funds, Series T securities combine the benefits of regular monthly distributions with the potential to defer tax. A portion of the monthly distribution is expected to include a return of capital component, which is generally non-taxable to Canadian investors in the year the distribution is received, unless the investor sells his or her securities in that year.

IA Clarington is maintaining the existing distribution policy for Series A securities of several cash distribution funds, including the IA Clarington (formerly Clarington) Canadian Dividend Fund, IA Clarington (formerly Clarington) Global Income Fund and IA Clarington (formerly R) Monthly Income Balanced Fund. Investors in a fund that offers both Series A and T securities may switch between those series of the fund on a tax-deferred basis.

IA Clarington Cash Distribution Funds

* also available in U.S. dollar version

"Cash distribution funds offer a tax-advantaged alternative for investors who are seeking monthly cash flow from their investments" said Mr. Frape. "The new Series T securities provide advisors even more flexibility and choice when evaluating tax-efficient income options in our cash distribution fund line-up."

The discussion of tax implications in this press release is not exhaustive and is not intended to constitute legal or tax advice to any investor or possible investor. Any such person should seek independent advice regarding the tax consequences of investing in securities based on his or her own circumstances.

About IA Clarington Investments Inc.

IA Clarington Investments Inc., a subsidiary of Industrial Alliance Insurance and Financial Services Inc., markets a wide range of investment products, including mutual funds, segregated funds, principal protected notes and closed end funds managed by leading Canadian and international portfolio managers. IA Clarington and its subsidiaries managed over $7 billion in assets as at May 31, 2007.