Prospectus & Div Announcement

Glasgow Income Trust PLC
28 February 2006


RNS ANNOUNCEMENT

Glasgow Income Trust PLC

28 February 2006

Publication of a prospectus in connection with a scheme of reconstruction of
COGIT and an offer for subscription, dividend announcement and forecast of
dividends

Prospectus

The Board of Glasgow Income Trust PLC (the "Company") refers to the announcement
made on 10 January 2006 by the Company and announces that it has today published
a prospectus (the "Prospectus") in connection with the issue of up to 50 million
new ordinary shares (the "New Shares") by the Company. The New Shares will be
issued (i) in connection with a scheme of reconstruction (the "Scheme") of The
City of Oxford Geared Income Trust Limited ("COGIT") under which New Shares will
be offered to COGIT shareholders as a rollover option, and (ii) pursuant to an
offer for subscription (the "Offer").

The issue price of the New Shares will not be calculated until close of business
on 27 March 2006, when it will be calculated by applying a premium equal to the
issue costs per New Share (subject to a maximum premium of two per cent.) to the
net asset value per share at that time.

It is expected that the Offer will be open until 11.00 am on 27 March 2006 and
that the issue price will be announced on 28 March 2006. It is expected that the
Scheme will become effective on 31 March 2006 and that the New Shares will be
admitted to the UKLA's Official List and to trading on the main market of the
London Stock Exchange on 3 April 2006.

Copies of the Prospectus will shortly be available for inspection at the
Document Viewing Facility, The Financial Services Authority, 25 The North
Colonnade, Canary Wharf, London E14 5HS and, until the Offer closes, will be
available for collection, free of charge, from the offices of Dickson Minto
W.S., Royal London House, 22/25 Finsbury Square, London EC2A 1DX and 16
Charlotte Square, Edinburgh EH2 4DF.


Dividends

In respect of each of the three financial years ended 30 September 2005, the
Company declared dividends totalling 4.85p per share. In the absence of
unforeseen circumstances and on the basis of the assumptions set out in the
prospectus, the Directors will aim to declare total dividends in respect of the
year to 30 September 2006 of not less than 5.0p per share (this is not a
forecast of profits). In the absence of unforeseen circumstances and assuming a
reasonable level of dividend growth in the equity portfolio, it is the
Directors' intention that the dividend paid by the Company will continue to grow
over the longer term (this is not a forecast of profits).

The Directors intend to pay a second interim dividend of 1.105p (which compares
to a second interim dividend for the previous financial year of 1.03p) (this is
not a forecast of profits) to shareholders on the register of members on 24
March 2006. Such interim dividend will be paid on 28 April 2006.

The New Shares will not rank for the second interim dividend, but will otherwise
rank pari passu in all respects with the existing shares. The Directors intend
that the first dividend paid in respect of the New Shares will be the third
interim dividend (in respect of the period to 30 June 2006), which is expected
to be paid by the end of July 2006.


All enquiries

Mike Balfour
Glasgow Investment Managers Limited
Tel. [phone]

Kenneth Harper
Glasgow Investment Managers Limited
Tel. [phone]



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