News

AltaGas Closes Trust Unit Offering

June 10, 2008

CALGARY, ALBERTA--(Marketwire - June 10, 2008) - AltaGas Income Trust (AltaGas or the Trust) (TSX:ALA.UN) today announced that it has closed its previously announced offering of 3,825,000 trust units (Trust Units) at a price of $26.20 per Trust Unit. The underwriters also exercised in full their over-allotment option to acquire an additional 573,750 Trust Units at a price of $26.20 per Trust Unit. The total offering of 4,398,750 Trust Units resulted in the Trust receiving gross proceeds of approximately $115 million. The offering was completed through a syndicate of underwriters, co-led by Clarus Securities Inc. and Scotia Capital Inc and including BMO Nesbitt Burns Inc., CIBC World Markets Inc., RBC Dominion Securities Inc., HSBC Securities (Canada) Inc., National Bank Financial Inc. and TD Securities Inc. AltaGas intends to use the net proceeds from the offering to repay indebtedness, fund ongoing capital programs and for general Trust purposes. Purchasers under the offering who continue to hold their Trust Units as of the record date for the July distribution will be entitled to receive cash distributions in July 2008. The record date for this distribution is expected to be June 25, 2008 and the payment date is expected to be July 15, 2008. This news release does not constitute an offer to sell securities, nor is it a solicitation of an offer to buy securities, in any jurisdiction. All sales will be made through registered securities dealers in jurisdictions where the offering has been qualified for distribution. The Trust Units offered are not, and will not be, registered under the securities laws of the United States of America, nor any State thereof, and may not be sold in the United States of America absent registration in the United States or the availability of an exemption from such registration. AltaGas Income Trust is one of Canada's largest and fastest growing energy infrastructure organizations. The Trust creates value by acquiring, growing and optimizing gas and power infrastructure, including a focus on renewable energy sources. AltaGas Income Trust's units are listed on the Toronto Stock Exchange under the symbol ALA.UN. The Trust is included in the S&P/TSX Composite Index, the S&P/TSX Income Trust Index and the S&P/TSX Capped Energy Trust Index. This news release contains forward-looking statements. When used in this news release, the words "may", "would", "could", "will", "intend", "plan", "anticipate", "believe", "seek", "propose", "estimate", "expect", and similar expressions, as they relate to the Trust or an affiliate of the Trust, are intended to identify forward-looking statements. In particular, this news release contains forward-looking statements with respect to, among other things, business objectives, expected growth, results of operations, performance, business projects and opportunities and financial results. These statements involve known and unknown risks, uncertainties and other factors that may cause actual results or events to differ materially from those anticipated in such forward-looking statements. Such statements reflect the Trust's current views with respect to future events based on certain material factors and assumptions and are subject to certain risks and uncertainties, including without limitation, changes in market, competition, governmental or regulatory developments, general economic conditions and other factors set out in the Trust's public disclosure documents. Many factors could cause the Trust's actual results, performance or achievements to vary from those described in this news release, including without limitation those listed above. These factors should not be construed as exhaustive. Should one or more of these risks or uncertainties materialize, or should assumptions underlying forward-looking statements prove incorrect, actual results may vary materially from those described in this news release as intended, planned, anticipated, believed, sought, proposed, estimated or expected, and such forward-looking statements included in, or incorporated by reference in this news release, should not be unduly relied upon. Such statements speak only as of the date of this news release. The Trust does not intend, and does not assume any obligation, to update these forward-looking statements. The forward-looking statements contained in this news release are expressly qualified by this cautionary statement.

Media: AltaGas Income Trust Todd Hurman (403) 691-7139 Email: todd.hurman@altagas.ca or Investment Community: AltaGas Income Trust Sheena McKellar (403) 691-9855 Email: sheena.mckellar@altagas.ca or AltaGas Income Trust Investor Relations 1-877-691-7199 Email: investor.relations@altagas.ca Website: www.altagas.ca