Route1 Inc.
TSX VENTURE : ROI

Route1 Inc.

July 22, 2009 10:20 ET

Route1 Official Statement Regarding Removal of Former President and CEO

TORONTO, ONTARIO--(Marketwire - July 22, 2009) - Route1 Inc. ("Route1") (TSX VENTURE:ROI) has issued the following official statement regarding the removal of Mr. Andrew White as President and CEO.

Mr. White chose to inappropriately issue a press release on behalf of Route1, and misrepresented himself as President and CEO following his dismissal on Monday, July 20, 2009 at 12 Noon Eastern Time. That release does not reflect the position and, or views of Route1 and its Board of Directors.

"It is always a difficult decision when a Board has to step in and replace the CEO," said Mr. Ian Currie, Chairman of the Board of Directors, Route1. "The decision to replace Mr. White came after many months of his failure to meet the job requirements of the CEO and the Board's directions. This impaired the Board's ability to meet its fiduciary responsibilities to shareholders. Ultimately, the Board was compelled to act."

The Board, recognizing Mr. White's entrepreneurial spirit, offered to transition him to a role as Vice Chairman and Chief Architect, where his true strengths could be better utilized. This opportunity was summarily declined and further met with a demand by Mr. White that the Board resign en masse at the upcoming Annual General Meeting in favour of a new slate of directors. Clearly, the Board could not accept this demand and meet its responsibilities to shareholders. At that point, Mr. White was removed.

"Mr. Dean Peloso has tremendous experience and capability to manage the business effectively as interim President and CEO," added Mr. Currie. "Shareholders should be assured that all measures are being taken to ensure there are no disruption to Route1's customers and business operations".

ABOUT ROUTE1 INC.

Route1 delivers award-winning security and identity management solutions to customers world-wide. These solutions provide universal, secure access to all digital resources and sensitive data. At the heart of Route1's solutions is MobiNET, a communications and service delivery platform focused on identity management and entitlement-based access to resources. Route1's patent-pending solutions are based on FIPS-140-2 cryptographic modules, and simplify the process of meeting increasingly stringent regulatory requirements around privacy and security. Headquartered in Toronto, Route1 is listed on the TSX Venture Exchange (symbol: ROI). For more information, visit www.route1.com.

This news release is required by applicable Canadian laws and does not constitute an offer to sell or a solicitation of an offer to buy any of the securities in the United States. The securities have not been and will not be registered under the United States Securities Act of 1933, as amended (the "U.S. Securities Act") or any state securities laws and may not be offered or sold within the United States or to U.S. Persons unless registered under the U.S. Securities Act and applicable state securities laws or an exemption from such registration is available.

Certain statements in this press release may contain words such as "could", "expects", "may", "anticipates", "believes", "intends", "estimates", "targets", "envisions", "seeks" and other similar language and are considered forward-looking statements or information under applicable securities legislation. These statements are based on Route1's current expectations, estimates, forecasts and projections about the operating environment, legal environment, economies and markets in which Route1 operates. These statements are subject to important assumptions, risks and uncertainties, which are difficult to predict and the actual outcome may be materially different from those contemplated in forward-looking statements. Unless otherwise required by applicable securities laws, Route1 disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

(C)2009 All rights reserved. Route1, the Route1 Logo, Mobi, Route1 MobiKEY, Route1 TruOFFICE, Route1 PurLINK, Route1 EnterpriseLIVE, and Route1 MobiNET are either registered Trademarks or Trademarks of Route1 Inc. in the United States and or Canada. All other trademarks and trade names are the property of their respective owners.

The TSX Venture Exchange has not reviewed or approved the contents of this press release and does not accept responsibility for its adequacy or accuracy.

Contact Information

  • Investor Relations:
    Spinnaker Capital Markets Inc.
    Ali Mahdavi
    +1 416-962-3300
    am@spinnakercmi.com
    or
    Route1 Inc.
    Anthony Rzepka
    Executive Vice President and CFO
    +1 416-848-8391
    ir@route1.com
    or
    Media Contact:
    Route1 Inc.
    Tanieu Tan, Director, Marketing and Communications
    +1 416-814-2615
    tanieu.tan@route1.com