K. Andrew White

July 30, 2009 15:09 ET

Directors Named to Renew Board of Route1 Inc.

TORONTO, ONTARIO--(Marketwire - July 30, 2009) - K. Andrew White, Founder, Director, and an owner of approximately 8.5% of the common stock of Route1 Inc. ("Route1" or the "Company") (TSX VENTURE:ROI) announced today individuals who will be nominated as independent directors to replace existing directors of Route1 at the Company's Annual General and Special Meeting of Shareholders ("AGM") scheduled now for September 24, 2009.

Michael D. Harris will lead a new board of directors that will include Tony P. Busseri and James W. McCutcheon, as well as two current directors of Route1, Michael F. Doolan (Chairman of the Audit Committee) and K. Andrew White. Mr. Doolan and Mr. White have informed the current board of directors of Route1 that they will stand for re-election as directors for the new board to be led by Mr. Harris.

AGM Date Change

The Annual General and Special Meeting of Shareholders previously called for August 19, 2009 has been deferred to September 24, 2009 without reason, immediately after the board of directors was informed on July 20, 2009 that new directors would be proposed for election at the AGM.

Need for Change

Since May 2009 discussions have taken place with Mr. Currie, Chairman of the Board, proposing some changed members for the board of directors to strengthen board guidance and support for Route1 and capitalize upon rapid revenue growth and expansion of its customer base through major new government and institutional adoption of its patented security and identity management network solutions technology. Now is a critical opportunity for Route1 to create significant sustainable shareholder value in a strong and growing enterprise with excellent prospects for long-term financial success.

The board declined any change and dismissed Mr. White as President and CEO on July 20, 2009.

Proposed New Directors

Mr. Harris is a senior business adviser at Goodmans LLP and acts as a consultant and adviser to several Canadian companies. Prior to joining Goodmans, Mr. Harris was the Premier of Ontario from 1995 to 2002. Mr. Harris also serves on the boards of several public companies including Magna International Inc. (Lead Director and Chairman of the Corporate Governance and Compensation Committee), Chartwell Seniors Housing REIT (Chairman of the Board of Trustees and member of the Compensation, Governance and Nominating Committee), and Canaccord Capital Inc. (Chairman of the Corporate Governance and Compensation Committee).

Mr. Busseri is a principal of Growth Equity Partners, an advisory services firm and private equity fund. His focus is supporting companies in the sourcing of growth capital, the execution of mergers and acquisitions, and in capital markets management. Previously, Mr. Busseri served as a member of the Board of Directors, President and Chief Executive Officer of EnGlobe Corp. from 2004 to 2008, and as Chairman of the Board of Directors, President and Chief Executive Officer of Waste Services Inc. from 1997 to 2000. Mr. Busseri currently serves on the board of directors of Augen Capital Corp. (Chairman of the Audit Committee). Mr. Busseri is a graduate of the honours business administration program at the Richard Ivey School of Business at the University of Western Ontario and holds a Certified Management Accountant designation.

James McCutcheon, Q.C., practises law as Counsel and is a Corporate Director, in Toronto. He was called to the Ontario Bar in 1962, was a founding partner of his own law firm, Shibley, Righton & McCutcheon, from 1964 to 1990 and of Counsel to McCarthy Tetrault LLP 1990 to 2005. Throughout his career, Mr. McCutcheon has Chaired Boards and Committees and been a member of Boards of a wide range of business and community organizations. He currently serves on the Boards of public companies Canadian Satellite Radio Holdings (Chairman of the Governance Committee), Guardian Capital Group Limited (Lead Director), and San Gold Corporation. Mr. McCutcheon has served on Boards of the Art Gallery of Ontario Foundation, Canadian Institute of International Affairs, Royal Agricultural Winter Fair, Royal Ontario Museum, University Health Network Toronto, Victoria University in the University of Toronto and World Wildlife Fund (Canada).

Spinnaker Capital Markets Inc. has been engaged as communications counsel.

Note

This press release is not, and is not to be construed to be, a solicitation of proxies. Solicitation of proxies will be made only by a proxy solicitation circular sent to all Route1 Shareholders, which will contain important detailed information about the solicitation of proxies, the upcoming shareholder meeting, the proposed slate of directors, and Route1. Route1 shareholders should read the information circular before making any voting decision.

Forward Looking Statements

Except for historical information provided herein, this press release may contain information and statements of a forward-looking nature concerning the future performance of Route1. These statements are based on suppositions and uncertainties as well as on the best possible evaluation of future events. As a result, readers are advised that actual results may differ from expected results.

Contact Information

  • K. Andrew White
    (647) 990-8921
    or
    Spinnaker Capital Markets Inc.
    Ali Mahdavi
    (416) 962-3300
    am@spinnakercmi.com