Distribution of Units

Avenir Diversified Income Trust spun out their Energy Services Division to Avenir unitholders of record May 31, 2006 in the form of new units of Essential Energy Services Trust. Unitholders of Avenir received one unit of Essential Energy Services Trust for every two units of Avenir held. Avenir has determined that the finalized fair market value of the Essential Energy Services Trust was $9.58, and that this becomes the cost base of each ESN.UN unit received in the spin-out. Each Avenir unitholder therefore received a capital distribution of $4.79, of which $1.973 was reported as return of capital.