Press Release

(For Release 4 p.m. EDT, October 24, 2003)

Toronto, October 24, 2003: First Premium Income Trust (the "Trust") today clarified that as part of its proposal to extend its term to January 1, 2014, to be voted on by unitholders at its November 14, 2003 special meeting, unitholders will continue to have the rights they currently enjoy. Specifically, unitholders will still have the right to redeem their units on January 1, 2004 at a redemption price equal to 100% of net asset value per unit at the times required for a normal monthly retraction.

The Trust's investment portfolio is managed by its investment manager, Mulvihill Capital Management Inc. The Trust's Units are listed on the Toronto Stock Exchange under the symbol FPI.UN. The Trust operates under the registered name Mulvihill Premium Canadian Fund.

For further information, please contact:

John Mulvihill, President & CEO
David Middleton,CFO
Mulvihill Structured Products

Mulvihill Premium Canadian
121 King Street West, Suite 2600
Toronto, Ontario M5H 3T9
(416) 681-3966   (800) 725-7172
hybrid@mulvihill.com