Clearwater Finance Inc. - Decisions of extraordinary general meeting

Clearwater Seafoods Income Fund Announces Debentureholder Approval of amendments to debenture trust indenture

Attention Business/Financial Editors:

Clearwater Seafoods Income Fund Announces Debentureholder Approval of

amendments to debenture trust indenture

/NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR

FOR DISSEMINATION IN THE UNITED STATES/

HALIFAX, October 6, 2008 /CNW/ - Clearwater Seafoods Income Fund (the "Fund")

(TSX: CLR.UN. CLR.DB, CLR.DB.A) announced that, earlier today in Halifax, Nova

Scotia, the holders of each series of the Fund's convertible debentures passed  
an                                                                              

extraordinary resolution approving certain amendments to the trust indenture    
governing                                                                       

the            The amendments provide for the redemption of all of the          
debentures.    outstanding                                                      

debentures by the Fund for a cash amount equal to 101% of the principal amount  
of each                                                                         

debenture plus accrued and unpaid interest to but excluding the closing date of 
the                                                                             

previously announced transaction pursuant to which CS Acquisition Limited       
Partnership,                                                                    

a partnership owned by a consortium led by Clearwater Fine Foods Inc., will     
acquire the                                                                     

business of the Fund. The meeting was originally convened on September 22, 2008,
in                                                                              

Halifax Nova Scotia, but was adjourned, due to a lack of quorum, until this     
morning in                                                                      

accordance with the provisions of the trust indenture.

The transaction also provides for the redemption by the Fund of all of its      
outstanding                                                                     

trust units, other than certain trust units beneficially owned by members of the

consortium, for cash consideration of $4.50 per trust unit. The transaction was 
approved                                                                        

by the Fund's unitholders at a meeting held on September 22, 2008.

The redemption price for the trust units and debentures will be paid to         
unitholders and                                                                 

debentureholders, respectively, without any further action on their part, upon  
the closing                                                                     

of the transaction, which remains subject to the satisfaction or waiver of      
various                                                                         

conditions, which are set forth in the transaction agreement between the parties
entered                                                                         

into on August 14, 2008 (a copy of which can be obtained at www.sedar.com). The

transaction is currently expected to close on or around October 17, 2008.

Commentary regarding forward-looking statements

This news release may contain forward-looking statements, including in          
connection with                                                                 

the transactions contemplated by the transaction agreement. Such statements are 
subject                                                                         

to known and unknown risks, uncertainties, and other factors outside            
management's                                                                    

control that could cause actual results to differ materially from those         
expressed in the                                                                

forward looking statements, including, but not limited to, that the parties will
not satisfy                                                                     

(or waive) the closing conditions of the transaction and/or that the            
transactions                                                                    

contemplated by the transaction agreement will not be successfully completed for
any                                                                             

reason. These statements are also based on various assumptions, including that  
        the                                                                     

various closing co-     forth  in       the    transaction   agreement   will  
  or 
                di- 
                io- 
                s 
waived  andthat thet-  will         close.  The  Fund  does   not   assume    
for 
                   a- 
                   s- 
                   c- 
                   i- 
                   n                                                            

the accuracy and completeness of the forward-looking statements and does not    
undertake                                                                       

any obligation to publicly revise these forwar-        statements to reflect
subsequent 
                                        -looki- 
                                        g                                       

events or circumstances, other than as required by applicable laws.

About Clearwater

Clearwater is recognized for its consistent quality, wide diversity and reliable
delivery of                 

premium seafood, including scallops, lobster, clams, coldwater shrimp, crab and 
ground                                                                          

fish.

Since its founding in 1976, Clearwater has invested in science, people,         
technology,                                                                     

resource ownership and resource management to preserve and grow its seafood     
resource.                                                                       

This commitment has allowed it to remain a leader in the global seafood market.

For further information: Robert Wight, Chief Financial Officer, Clearwater,     
(902) 457-                                                                      

2369; Tyrone Cotie, Director of Corporate Finance and Investor Relations,       
Clearwater,                                                                     

(902) 457-8181

Attachments:

clearwater news release for convertible debentureholder meeting.pdf