Arctic Glacier To Raise Additional Equity For Acquisitions
Unit Offering of $50 Million

Winnipeg, Manitoba, September 1, 2005 – Arctic Glacier Income Fund (TSX:AG.UN) announced today that it has entered into an agreement with a syndicate of investment dealers led by TD Securities Inc. and Wellington West Capital Inc. under which the syndicate has agreed to purchase 4,450,000 Units of the Fund at a price of $11.25 per Unit, for gross proceeds of $50,062,500. In addition, the syndicate has the option, exercisable in whole or in part at any time prior to 30 days after closing, to purchase up to an additional 445,000 Units of the Fund which, if exercised, would increase the gross proceeds of the offering to $55,068,750. The offering is scheduled to close on or about September 20, 2005, subject to regulatory approval.

The net proceeds of the offering will be used to finance potential strategic acquisitions and/or capital projects and for general corporate purposes.

The offered securities will not be registered under the U.S. Securities Act of 1933, as amended, (the “Securities Act”) and may not be offered or sold within the United States or to, or for the account or benefit of, U.S. persons except in certain transactions exempt from the registration requirements of the Securities Act.

Arctic Glacier Income Fund, through its operating company, Arctic Glacier Inc., is a leading producer, marketer and distributor of high-quality packaged ice in North America under the brand name of Arctic Glacier® Premium Ice. Arctic Glacier operates 23 production plants and 40 distribution facilities across Canada and the central, midwest and northeastern United States servicing more than 50,000 retail accounts.

Arctic Glacier Income Fund trust units are listed on the Toronto Stock Exchange under the trading symbol AG.UN. There are 23.4 million trust units outstanding.

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NOT FOR DISTRIBUTION TO U.S. NEWS WIRE SERVICES OR DISSEMINATION IN THE U.S.

Contact Information

For further information please contact Robert Nagy, President & CEO or Keith McMahon, Executive VP & Chief Financial Officer at Arctic Glacier Inc.

Phone: Toll free: 1-888-573-9237 or log on at www.arcticglacierinc.com

The Toronto Stock Exchange does not approve or disapprove of the adequacy or accuracy of this release.