Toronto Stock Exchange Symbol: CLC.UN MISSISSAUGA, ON, May 10 /CNW/ - CML Healthcare Income Fund (the "Fund"), (TSX: CLC.UN) today announced a 5.6% increase in annualized unitholder distributions from $0.9468 per unit to $1.00 per unit. The increase in distributions will become effective beginning with the Fund's May 2006 distribution, which will be declared shortly and payable in June 2006. The Fund's wholly-owned subsidiary, CML Healthcare Inc., will also increase annualized dividends on its exchangeable shares by 5.6% from $0.6312 to $0.6667. About CML Healthcare Income Fund CML Healthcare Income Fund is an unincorporated open-ended trust that owns CML Healthcare Inc., one of Canada's largest healthcare services businesses. CML is a leading provider of laboratory testing services in Ontario and the largest private provider of medical imaging services in Canada. CML Healthcare Income Fund is publicly traded on the Toronto Stock Exchange under the symbol "CLC.UN" and has approximately 86.6 million units outstanding (assuming the exchange for units of all of the outstanding exchangeable shares of CML Healthcare Inc., excluding those held by the Fund or its affiliates). To reach CML Healthcare Income Fund via the worldwide web log on to www.cmlhealthcare.com. Caution concerning forward-looking statements --------------------------------------------- Statements made in this news release, other than those concerning historical financial information, should be considered forward-looking and subject to various risks and uncertainties. Such forward-looking statements are based on management's beliefs and assumptions regarding the information currently available. The Company's actual results could differ materially from those expressed in the forward-looking statements. Factors that could cause results to vary include, among other things, those expressed in the Company's filings with Canadian securities regulatory authorities. All information presented herein should be read in conjunction with such filings. %SEDAR: 00020333E