Corporate News

A MESSAGE FROM THE CHAIR OF THE BOARD OF DIRECTORS, BC SAFETY AUTHORITY, REGARDING CEO RETIREMENT AND SEARCH PROCESS

8 September 2010: On behalf of the Board of Directors of the British Columbia Safety Authority, I want to let you know of some changes announced yesterday at our organization. Harry Diemer, President and CEO, has announced that he will be retiring at the end of March 2011. This is solely a personal decision by Mr. Diemer and one he has been considering and discussing with the Board for some time now. He will retain his current role and responsibilities until that time next year.

I want to thank Mr. Diemer – both personally and on behalf of the Board of Directors – for his outstanding service to the Safety Authority and safety within the province of B.C. He was the catalyst which led to the initial formation of the organization and has since provided tremendous leadership to all of us. It is not going too far to state that because of his inspiration and efforts, we are all safer today than ever before.

As per our mandate – and to be consistent with good corporate governance – the Board is actively involved in a process to identify and select the next President and CEO of the Safety Authority. This is something we have been working on since Mr. Diemer confidentially informed the Board of Directors earlier this year of his impending decision to retire.

I am pleased to report that we are far along in the CEO search process and it is progressing very well. We intend to complete our final deliberations and due diligence in the next couple of months and expect to formally announce the next President and CEO of BCSA before the end of the year.

I look forward to providing you with the end result of our CEO search in the near future.

Yours truly,
Peter Cook
Chair

BCSA CEO Retirement/Search Q&A

Retirement

Q. Who is retiring?
A. Harry Diemer, President and CEO of the BC Safety Authority, has announced that he is retiring.

Q. Does that take place immediately?
A. Mr. Diemer’s retirement will be effective March 31, 2011.

Q. Why is he waiting that long?
A. The Board needs time to find a replacement and to allow for a smooth transition. In addition, Mr. Diemer is involved in a number of activities that require his continued attention through next year. As well, the time will give him the opportunity to mentor the new President and CEO.

Q. Why is he retiring?
A. The decision is a personal one that he has been considering for some time.

Q. When did he make the decision to retire?
A. Mr. Diemer informed the Board of Directors earlier this year that he was planning to retire. It was only recently that he decided on a firm date.

Q. Did he tell anyone about it before today?
A. He informed the Board of Directors earlier this year but did not give a specific date until recently.

Q. Why wasn’t anything announced or done before now?
A. Since no firm date was given by Mr. Diemer, there was nothing to announce before now. However, the Board of Directors has been actively involved in a search process for a new CEO.

Q. Why didn’t you do a press release announcing the retirement?
A. Mr. Diemer communicated his retirement directly to employees, the Chair of the Board, and to a number of safety stakeholders across the province. That, and information on this website was adequate disclosure.

CEO Search

Q. Who is in charge of the search for a new CEO?
A. As per its mandate and consistent with good corporate governance, the Board of Directors has been leading the search for the new President and CEO.

Q. How long have they been working on it?
A. The Board began deliberations as soon as Mr. Diemer informed them he was thinking of retiring early in 2010.

Q. How have they gone about it?
A. The Board process is confidential in order to protect all of those involved.

Q. What is the status of the search?
A. The Board is far along in the CEO search process and it is progressing very well. The intention is to complete final deliberations and due diligence in the next couple of months and formally announce the next President and CEO of BCSA before the end of the year.

Q. Have you used an external search firm?
A. The Board process is confidential and we will not be releasing any of the details.

Q. Do you have a preferred candidate yet?
A. The Board process is confidential and we will not be releasing any of the details.

Q. Does the provincial government have to approve your final selection?
A. No, the mandate for hiring the President and CEO falls to the Board of Directors.

Q. When will you announce the new President and CEO?
A. The Board expects to announce the next President and CEO before the end of the year.

Q. How much will the new President and CEO make?
A. BCSA openly discloses the salaries of its entire executive team on its external website. While discussions are not yet complete, the compensation package for the new President and CEO will be in the same range as that of the current President and CEO.