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Noranda Income Fund announced today that the Quebec Superior Court has authorized the motion to institute a class action against the CEZinc processing facility following an incident that occurred at the processing facility on August 9, 2004.

In August 2004, the CEZinc processing facility was served with a class action motion to institute a class action presentable before the Quebec Superior Court, subsequent to an accidental discharge of sulphur trioxide. The original motion to form a class action was dismissed in June 2008. The plaintiff appealed the decision. In August 2009, the Quebec Court of appeal dismissed the motion. In December 2009, the Processing Facility was served with a new motion for leave to institute a class action.

The Fund intends to vigorously contest the proceedings and will not comment on this matter while the proceedings are pending before the Court.

Noranda Income Fund is an income trust whose units trade on the Toronto Stock Exchange under the symbol "NIF.UN". Noranda Income Fund was created to acquire Noranda Inc.'s CEZ processing facility and ancillary assets located in Salaberry-de-Valleyfield, Quebec. The CEZ processing facility is the second-largest zinc processing facility in North America and the largest zinc processing facility in eastern North America, where the majority of zinc customers are located. It produces refined zinc metal and various by-products from zinc concentrates purchased from mining operations. The CEZ processing facility is operated and managed by Canadian Electrolytic Zinc Limited.

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