Macquarie Power and Infrastructure Corporation Completes Acquisition of Interest in European District Heating Business

TORONTO, ONTARIO--(Marketwire - March 31, 2011) - Macquarie Power and Infrastructure Corporation (TSX:MPT)(TSX:MPT.DB.A) – ("MPIC" or the "Corporation") today announced it has completed its previously announced acquisition of a 33.3% ownership interest in a district heating business centrally located in Sweden from Fortum Corporation. The purchase price was approximately $109 million, including transaction costs, and was funded using cash on hand. The remaining 66.7% ownership interest in the district heating business was acquired by Macquarie European Infrastructure Fund II ("MEIF II"), a private unlisted infrastructure fund managed by a subsidiary of Macquarie Group Limited.

"This district heating portfolio is an established core infrastructure business with proven cash flow," said Michael Bernstein, President and Chief Executive Officer of MPIC. "This investment provides an attractive return within our targeted range, diversifies our portfolio internationally and by infrastructure category, and contributes to the long-term sustainability of our dividends to shareholders."

The district heating business, which has been re-branded as Varmevarden AB ("Varmevarden"), consists of 11 regional facilities that include both heat production and distribution. Varmevarden has 84 employees, including a seasoned management team with extensive experience in the Swedish district heating market.

About Macquarie Power and Infrastructure Corporation

Macquarie Power and Infrastructure Corporation's mission is to build and responsibly manage a high quality portfolio of infrastructure businesses in Canada and internationally in order to deliver a superior total return to shareholders through a combination of stable dividends and capital appreciation. MPIC's portfolio currently includes investments in gas cogeneration, wind, hydro and biomass power generating facilities, representing approximately 350 MW of installed capacity, and a 33.3% interest in a district heating business in Sweden. MPIC is also currently developing a 20 MW solar power facility in Ontario. MPIC is managed by an affiliate of Macquarie Group Limited. Please visit www.macquarie.com/mpic for additional information.

Notice to Readers

This news release is not an offer or invitation for subscription or purchase of or a recommendation of securities. It does not take into account the investment objectives, financial situation and particular needs of the investor. Before making an investment in the Corporation, the investor or prospective investor should consider whether such an investment is appropriate to their particular investment needs, objectives and financial circumstances and consult our investment adviser if necessary.

None of the entities noted in this news release is an authorized deposit-taking institution for the purposes of the Banking Act 1959 (Commonwealth of Australia). The obligations of these entities do not represent deposits or other liabilities of Macquarie Bank Limited ABN 46 008 583 542. Macquarie Bank Limited does not guarantee or otherwise provide assurance in respect of the obligations of these entities.

Certain of the statements contained in this news release are forward-looking and reflect management's expectations regarding the Corporation's future growth, results of operations, performance and business based on information currently available to the Corporation. Forward-looking statements are provided for the purpose of presenting information about management's current expectations and plans relating to the future and readers are cautioned that such statements may not be appropriate for other purposes. These statements use forward-looking words, such as "anticipate", "continue", "could", "expect", "may", "will", "estimate", "believe" or other similar words. These statements are subject to significant known and unknown risks and uncertainties that may cause actual results or events to differ materially from those expressed or implied by such statements and, accordingly, should not be read as guarantees of future performance or results. The forward-looking statements in this news release are based on information currently available and what the Corporation currently believes are reasonable assumptions, including the material assumptions for each of the Corporation's assets set out in its fiscal 2010 Annual Report under the heading "Asset Performance" as updated in subsequently filed Quarterly Financial Reports of the Corporation and other filings made by the Corporation with the Canadian securities regulatory authorities (such documents are available on the Canadian Securities Administrators' System for Electronic Document Analysis and Retrieval ("SEDAR") at www.sedar.com). Other material factors or assumptions that were applied in formulating the forward-looking statements contained herein include the assumption that the business and economic conditions affecting the Corporation's operations will continue substantially in their current state, including, with respect to industry conditions, general levels of economic activity, regulations, weather, taxes and interest rates, that there will be no unplanned material changes to the Corporation's facilities, equipment or contractual arrangements.

Although the Corporation believes that it has a reasonable basis for the expectations reflected in these forward-looking statements, actual results may differ from those suggested by the forward-looking statements for various reasons, including risks related to: power infrastructure (operational performance; power purchase agreements; fuel costs and supply; contract performance; development risk; technology risk; default under credit agreements; land tenure and related rights; regulatory regime and permits; and force majeure) and the Corporation (variability and payment of dividends, which are not guaranteed; geographic concentration and non-diversification; dependence on the manager of the Corporation and potential conflicts of interest; insurance; environmental, health and safety regime; availability of financing; shareholder dilution; the volatile market price for common shares of the Corporation; changes in legislation and administrative policy; and International Financial Reporting Standards). There are also a number of risks related to the Corporation's investment in the DH Business, including: general business risks inherent in the district heating business; geographic concentration; minority interest; government regulation; termination of supply and customer contracts; enforcement of indemnities against the vendors of the district heating business; environmental health and safety liabilities; liability and insurance; and reliance on key personnel. There is also a risk that the district heating business may not achieve expected results.

For a more comprehensive description of these and other possible risks, please see the Corporation's Annual Information Form dated March 24, 2011 for the year ended December 31, 2010 as updated in subsequently filed Quarterly Financial Reports and other filings made by the Corporation with the Canadian securities regulatory authorities. These filings are available on SEDAR. The assumptions, risks and uncertainties described above are not exhaustive and other events and risk factors could cause actual results to differ materially from the results and events discussed in the forward-looking statements. These forward-looking statements reflect current expectations of the Corporation as at the date of this news release and speak only as at the date of this news release. Except as may be required by applicable law, the Corporation does not undertake any obligation to publicly update or revise any forward-looking statements.