Cinram International Enters Into Mobile Phone Fulfillment Services Agreement with Motorola

June 2007

TORONTO, June 18 /CNW/ - Cinram International Income Fund (TSX: CRW.UN - News) today announced that its indirect wholly-owned subsidiary, Cinram Wireless LLC, has entered into a multi-year agreement with Motorola, Inc. (NYSE: MOT - News), a global leader in mobile communications and seamless mobility solutions, to provide fulfillment services for mobile phones and accessories in North America.

"We are very excited about the opportunity to work with such a well-respected company as Motorola to streamline, automate and add value to their supply chain," said Cinram chief executive officer Dave Rubenstein.

Under the agreement, Cinram will begin transitioning fulfillment operations at Motorola's Fort Worth, Texas, facility in June 2007, and will provide picking, packing, programming, packaging and reverse logistics for Motorola mobile phones and accessories. Cinram will also transfer the existing operations from Motorola's current facility to an expanded, custom-built Cinram greenfield site in the Fort Worth area. Financial terms of the agreement were not disclosed.

"We looked at a number of third-party logistics providers and selected Cinram because its world-class supply chain infrastructure is geared toward meeting the complex and dynamic requirements of our industry," said Tim Cawley, senior vice president of logistics for Motorola's Integrated Supply Chain. "By consolidating our North America mobile handset supply chain operations with Cinram, Motorola will be able to offer expanded, state-of-the-art logistic services, bringing further value to our wireless partners and customers."

This fulfillment services agreement marks Cinram's entry into the telecommunications industry. Cinram is already a leading provider of logistics services in the theatrical home entertainment and video game industry, reaching in excess of 240,000 points of distribution worldwide, making its customers some of the best-rated suppliers to retail stores throughout North America and Europe.

"This agreement is an integral part of Cinram's long-term strategy of leveraging our core competencies in other industries to diversify our business," concluded Rubenstein.

Conference call

Cinram's management team will host a conference call to discuss the announcement on June 19, 2007, at 10:00 a.m. (ET). To participate, dial (416) 644-3417 or 1-866-249-2157. The call will also be webcast live at:

- http://investors.cinram.com/, and
- http://w.on24.com/r.htm?e(equal sign)56953&s(equal sign)1&k(equal sign)
D97292CA27111EDFBFC1CA794BE011EE.

About Cinram

Cinram International Inc., an indirect, wholly-owned subsidiary of the Fund, is the world's largest provider of pre-recorded multimedia products and related logistics services. With facilities in North America and Europe, Cinram International Inc. manufactures and distributes pre-recorded DVDs, audio CDs, and CD-ROMs for motion picture studios, music labels, publishers and computer software companies around the world. The Fund's units are listed on the Toronto Stock Exchange under the symbol CRW.UN and are included in the S&P/TSX Composite Index. For more information, visit our website at www.cinram.com.

About Motorola

Motorola is known around the world for innovation and leadership in wireless and broadband communications. Inspired by our vision of seamless mobility, the people of Motorola are committed to helping you connect simply and seamlessly to the people, information and entertainment that you want and need. We do this by designing and delivering "must have" products, "must do" experiences and powerful networks - along with a full complement of support services. A Fortune 100 company with global presence and impact, Motorola has sales of US$42.9 billion in 2006. For more information about our company, our people and our innovations please visit www.motorola.com.

Certain statements included in this release constitute "forward-looking statements" within the meaning of the U.S. Private Securities Litigation Reform Act of 1995. Such forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Fund, or results of the multimedia duplication/replication industry, to be materially different from any future results, performance or achievements expressed or implied by such forward looking statements. Such factors include, among others, the following: general economic and business conditions, which will, among other things, impact the demand for the Fund's products and services; multimedia duplication/replication industry conditions and capacity; the ability of the Fund to implement its business strategy; the Fund's ability to retain major customers; the Fund's ability to invest successfully in new technologies and other factors which are described in the Fund's filings with applicable securities commissions. Due to the potential impact of these factors, the Fund disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, unless required by applicable law.

For further information

Lyne Beauregard Fisher, Cinram International Inc., Tel: (416) 321-7930, lynefisher@cinram.com.