EPCOR Utilities Inc. Announces New President & CEO

EDMONTON, ALBERTA--(Marketwired - Aug. 5, 2015) - The Board of Directors of EPCOR Utilities Inc. (EPCOR) is pleased to announce the appointment of Stuart Lee as the company's new President & Chief Executive Officer. Mr. Lee brings with him more than two decades of experience as a financial and commercial executive, the majority of which has been in the energy and power sectors. He is currently Senior Vice President, Corporate Development and Commercial Services, at Capital Power Corporation.

"The Board looks to Mr. Lee with confidence. He is a proven leader who will optimize performance in all areas of EPCOR's business, and enable the company to achieve its growth and operational objectives," said Hugh J. Bolton, Chair of EPCOR's Board of Directors.

"Mr. Lee possesses considerable business and industry acumen, a successful track record in creating shareholder value, and an ability to build and motivate effective teams."

Mr. Lee's appointment follows an extensive local, national, and international search conducted by the Board. He will officially assume the duties of EPCOR President & CEO on September 1, 2015. Mr. Lee will be responsible for leading the executive management team and overseeing all strategic, operational, financial, and brand-building facets of EPCOR's interests in Canada and the United States.

"EPCOR is a company in solid standing with a well-earned reputation as an innovator and trusted provider of water and electricity. The opportunity to lead it is tremendous. I have been fortunate to have been associated with EPCOR's growth in the past, and look forward to working with the exceptional team that is behind its many accomplishments," said Mr. Lee.

About EPCOR Utilities Inc.

EPCOR's wholly-owned subsidiaries build, own and operate electrical transmission and distribution networks, water and wastewater treatment facilities and infrastructure in Canada and the United States. The company's subsidiaries also provide electricity and water services and products to residential and commercial customers. EPCOR, headquartered in Edmonton, Alberta, is an Alberta Top 70 employer. EPCOR's website is www.epcor.com.

Stuart Lee - Biography

Stuart Lee is a seasoned business executive with extensive financial and commercial expertise within the energy and power industries. He has over 29 years of experience as a senior executive, manager, and accountant. In the course of his career, Stuart has developed a strong track record of success in building and motivating effective teams, developing and executing successful strategies and increasing value for shareholders.

Prior to accepting the position of President and CEO of EPCOR Utilities Inc., Stuart spent six years with Capital Power Corporation, most recently as the Senior Vice President of Corporate Development and Commercial Services. Prior to this, Stuart was Senior Vice President Finance and CFO, a position he held since the company's initial public offering in 2009. Stuart played a key role in the IPO process and the successful spin-off of Capital Power from EPCOR.

From 2009 to 2011, Stuart acted as the President and Director of Capital Power Income LP, a publicly traded subsidiary of Capital Power Corporation. This was a $2 billion enterprise value business with 20 plants across North America for which Stuart had complete oversight responsibilities. As President, he was responsible for all aspects of the business from operations through to business development and commercial dealings. He worked actively at the Board level and acted as the key public spokesperson with outside shareholders.

Prior to the Capital Power IPO, Stuart worked for EPCOR for six years, joining the company in 2003 as Vice President and Corporate Controller. This background gives Stuart a strong degree of familiarity with EPCOR and its businesses.

Prior to joining EPCOR, Stuart worked for five years for Celanese Canada Inc., a large petro-chemical manufacturer, as Vice President and Controller where he was responsible for financial reporting, treasury, tax, information technology and supply chain for the Canadian operations.

Stuart holds a Bachelor of Commerce from the University of Alberta and is a chartered accountant. He serves on the Board for the Citadel Theatre in Edmonton and the Audit Committee for the University of Alberta.

To view a photo of Stuart Lee, please visit the following link: http://www.marketwire.com/library/20150805-1020363_800.jpg

Search Process Backgrounder

With the retirement announcement of current EPCOR President & Chief Executive Officer David Stevens, EPCOR's Board of Directors triggered an in-depth search for a replacement as part of its emphasis on proactive corporate governance. This process is designed to provide EPCOR with a thorough search of North American markets to recruit a candidate that reflects the needs and ambitions of the company in both the immediate and long term.

The EPCOR CEO Search Committee

The succession process began with the establishment of the EPCOR CEO Search Committee, a special committee made up of six Board members. The members selected for the committee were:

• Allister McPherson, who was also appointed as chair of the CEO Search Committee (Chair of the Board's Human Resources and Compensation Committee);
• Larry Pollock (Chair of the Board's Governance Committee);
• Sheila Weatherill (the Board's Vice Chair);
• Cathy Roozen;
• Robert Foster, and;
• Hugh Bolton (Chair of the Board, voting member of Committee).

The main duties of the CEO Search Committee during this process were to:

• Engage an external search firm to support the selection process;
• Provide input and direction into what a successful candidate would bring to EPCOR;
• Approve a position profile;
• Review the candidates and conduct interviews;
• Conduct background and reference checks;
• Keep the membership of the main Board informed on the status of the search, and;
• Present the final recommended candidate to the Board.

The Recruitment Process

The Search Committee solicited search proposals from a number of national and international executive search firms. Given their extensive track record and the sterling reputation they have built up over 50 years of conducting executive and CEO searches, international firm Korn Ferry was chosen to support the Board in their search for the next President & CEO of EPCOR.

Korn Ferry began its work by developing a position profile for the position. The firm met with the Search Committee to understand the specific competencies and attributes the Committee believed the new CEO would require.

After review and approval by the Search Committee, the position was posted internally and Korn Ferry actively recruited prospective candidates through its American and Canadian offices.

The Selection Process

The Selection Committee met regularly to review the list of evolving candidates, condensing down to a first-round short list that included a cross-section of local, national and international candidates. Interviews and reference checks were conducted on shortlisted candidates, with the committee advancing some candidates to a second round of interviews.

Prior to second interviews, all advancing candidates were required to complete Korn Ferry's executive assessment testing. This assessment was designed to provide the Board with insight into each candidate's level of suitability and how their skills and competencies would be best deployed and developed within EPCOR's structure and culture.

The second round of interviews was conducted by the Search Committee, followed by extensive background and reference checks conducted by both Korn Ferry and members of the CEO Search Committee.

With all interviews and supplementary material and investigation complete, the Search Committee recommended a single candidate. The successful candidate was presented to the full membership of the EPCOR Board of Directors, who ratified the decision.