TORONTO, ONTARIO--(Marketwire - Jan. 19, 2012) - Premium Income Corporation (TSX:PIC.A) (TSX:PIC.PR.A) (the "Fund") has filed a Notice of Intention to renew its previous normal course issuer bid to purchase up to 951,755 Class A Shares and 951,755 Preferred Shares representing approximately 10% of the public float of 9,517,553 Class A Shares and 9,517,553 Preferred Shares, as of January 10, 2012. The Fund may purchase up to 190,351 of each respective class of shares in any 30 day period which is 2% of the 9,517,553 shares issued and outstanding of each respective class as at January 10, 2012.

The Fund has not purchased any Class A Shares or Preferred Shares during the previous year pursuant to any issuer bid.

The shares may be purchased for cancellation from January 23, 2012 to January 22, 2013 through the facilities of the TSX or other eligible alternative market and may only be purchased at a price per share not exceeding the last net asset value per share. The Directors of the Fund believe that such purchases are in the best interest of the Fund and are a desirable use of its available funds.

For further information, please contact Investor Relations at 416.681.3966, toll free at 1.800.725.7172 or visit

Contact Information:

David Roode
President, Fund Services