1. Prime Restaurants Royalty Income Fund Income Trust Investor Symposium January 29, 2003

2. John Rothschild Chairman & CEO Nick Perpick President & COO

4. Prime Restaurants Royalty Income Fund  Launched July 22, 2002  Distributions with annualized yield of 11.25%  Launched July 22, 2002  Distributions with annualized yield of 11.25%

5. LAUNCH NOW  125 Royalty Pooled Restaurants  130 Royalty Pooled Restaurants  $278 million System Revenue  $290 million System Revenue Prime Restaurants Royalty Income Fund

8.  Royalty of 3.25% of gross revenues  food and beverage sales  now generated by pool of 130 restaurants  Royalty of 3.25% of gross revenues  food and beverage sales  now generated by pool of 130 restaurants Prime Restaurants Royalty Income Fund

9.  Distributions not based on:  operating performance  earnings  capital expenditures  Distributions not based on:  operating performance  earnings  capital expenditures Prime Restaurants Royalty Income Fund

12. East Side Mario’s Revenues 52-week Period Ended Feb 23, 2003 64%  88 locations  $193 million sales

13. Steady Growth Locations 47% Sales 68%

15. Restaurant/Bar “Hybrid”

16. Casey’s Bar & Grill  Since 1980  35 locations  Since 1980  35 locations  $75 million sales 25% 52-week Period Ended Feb 23, 2003 Revenues

17. Prime Irish Pubs

18. Esplanade Bier Markt

19. Prime Pubs  Since 1996  12 locations  $24 million sales  Since 1996  12 locations  $24 million sales 52-week Period Ended Feb 23, 2003 Revenues 8%

20. Prime Restaurants of Canada Geographic Distribution 139 Locations Across Canada ONTARIOONTARIO ATLANTICATLANTIC 61 30 11 3 3 OtherOther 6 6 12 5 5 QUEBECQUEBEC WESTWEST 9 9 1 1 1 1 OtherOther

21. Casual Dining Pioneer

22. Nick Perpick President & COO

23. Commercial Foodservice Industry 49% Full Service 36% Quick Serve

24. Casual Dining Segment Family Dining Fine Dining Source: CRFA Casual Dining  $6.52 Billion  5.4% annual growth last 5 years  $6.52 Billion  5.4% annual growth last 5 years

25. Pub Segment 7% Pubs  $2.3 Billion  11% annual growth last 5 years  $2.3 Billion  11% annual growth last 5 years Source: CRFA

26. Casual Dining Segment Continued Growth Demographic Lifestyle Drivers

27. Growth in Sales 1996-97 1999-00 1998-99 2000-01 1997-98 6.5% 5.3% 21.0% 8.2% 14.0% 5.0% 10.1% 6.3% 12.0% 5.0% Prime Restaurants Casual Dining Industry Source: CRFA 2001-02 4.9% 2.9%

28. 1. Multi-brand diversification Success Drivers

29. Concept Positioning Adults Family Inexpensive Expensive

30. 1. Multi-brand diversification 2. “Just Right Pricing” Success Drivers

31. Average Cheque Prime Brands QUICK SERVICE CASUAL FAST CASUAL FINE DINING POTENTIAL # OF GUESTS “Just Right Pricing” Prime Pubs $18.00 Casey’s $16.50 East Side Mario’s $14.00 East Side Mario’s Too $10.00 PRICE

32. Success Drivers 4. Attractiveness of Franchises 5. Dedicated Concept Development 6. Management Excellence 1. Multi-brand Diversification 2. “Just Right Pricing” 3. Chain Operations Excellence

33. Market Share 12 Months Ended August 2002 Market share measured by Eater Occasions Source: CREST Boston Pizza Kelsey’s Moxie’s Montana’s Earl’s Casey’s Other PRC Concepts Red Lobster The Keg East Side Mario’s 12.0% 7.6% 5.1% 4.4% 2.7% 3.9% 2.4% 7.8% 3.4% 0.5% Canada Total Prime 11.7% Mandarin 3.4% Kelsey’s Red Lobster Mandarin Montana’s The Keg Boston Pizza East Side Mario’s Casey’s Other PRC Concepts 10.4% 12.1% 8.0% 5.3% 6.4% 5.0% 4.4% 0.9% Ontario Total Prime 19.4% Jack Astor’s 1.8% Outback 1.1%

34. Profitable Growth

35. Target 3 – 5 % Increase Same Restaurant Sales Growth

36.  Menu engineering/Bar programs  Innovative marketing programs  Branded merchandise  Training programs/People development  Take-out program  Renovations  Menu engineering/Bar programs  Innovative marketing programs  Branded merchandise  Training programs/People development  Take-out program  Renovations

37. Same Restaurant Sales Growth  15% of restaurants in renovations program  No cost to Fund  Increased revenue  15% of restaurants in renovations program  No cost to Fund  Increased revenue

38.  10 - 15 new restaurants per year  14 net to open next fiscal  10 - 15 new restaurants per year  14 net to open next fiscal New Restaurant Growth

39. East Side Mario’s An American Italian Eatery

41. Geographic Expansion

43. Distributable Cash Summary System revenue Royalty income Period from July 22 to September 30, 2002 (71 days of operation) Distributable cash available to public unitholders Distributable cash available to public unitholders Distributable cash per unit $58,000,000 $1,900,000 $1,400,000 $0.229

44. Paid Distributions  August$0.126  September $0.093  October$0.095  November$0.093  December$0.095  January$0.0938  August$0.126  September $0.093  October$0.095  November$0.093  December$0.095  January$0.0938 Annualized Yield = 11.25%

45. Royalty Pool  New restaurants - accretive to fund  Net five restaurants added to pool  Pool increased from 125 to 130  New restaurants - accretive to fund  Net five restaurants added to pool  Pool increased from 125 to 130

46. Highlights Managements interests aligned Revenue growth www.primeincomefund.ca Compelling investment Fund has delivered as promised Exciting and recognized concepts