People Corporation
TSX VENTURE : PEO

People Corporation

October 03, 2014 08:30 ET

People Corporation Announces Organizational Changes as a Result of Its Continued Growth

TORONTO, ONTARIO--(Marketwired - Oct. 3, 2014) - People Corporation (TSX VENTURE:PEO) ("People" or the "Company") announced today organizational changes to facilitate the ongoing significant growth in its business. Over the past number of years, People has been among the fastest growing companies in the group benefits, group retirement and HR consulting sectors, and further, is among the fastest growing companies in Canada, having been named to the PROFIT 500 ranking of Canada's fastest growing companies. Consistent with this growth, and as part of its continuing evolution, the Company is making changes to its organizational structure to position the Company for building additional scale.

"We have achieved substantial growth in our business over the past few years as we successfully executed our strategy to create the leading independent provider of group benefits, group retirement and HR consulting solutions to companies across Canada," commented Laurie Goldberg, Chairman and CEO of People. "As we have grown, we have continued to invest in people and technology to ensure that we are delivering innovative solutions and first-class service to our clients. When a company achieves the degree of growth that we have, and as scale increases, organizational structures evolve to position the Company positively for the future."

Bonnie Chwartacki, currently Executive Vice President, will be assuming the role of President of the Company. In her new role, Ms. Chwartacki will be responsible for operations and strategic initiatives and will continue to be responsible for the Shared Services division of the Company, which provides value-added proprietary products and services, as well as access to specialized resources and expertise, to its clients and consultants within the Company's divisions and subsidiaries. "Bonnie has been with the Company since 2009, and during that time has been instrumental in developing our Shared Services model that provides significant value to our partner firms, and ultimately to our clients. With her experience in leadership roles in sales, marketing, and product/service development, coupled with her industry knowledge in the group benefits sector, Bonnie has been a key contributor to our growth, and in her new role has the mandate to continue to take our Company to the next level," commented Mr. Goldberg.

Brevan Canning, currently Vice President Finance, will be taking on increased responsibility as the leader of the Company's third party administration business in the role of Executive Vice President and Group Head - Group Benefit Solutions, which he will assume in addition to his responsibilities as Vice President Finance. As Group Head - Group Benefit Solutions, Brevan will be responsible for all aspects of the Company's third party administration business, including sales and distribution, client service, underwriting and technology. "Brevan has been a strong strategic contributor since 2005 when we embarked on our journey to create a leading company in this sector. Over this period, Brevan's contributions have been critical in growing the Company to where it is today. In addition to his finance-related responsibilities, Brevan has always provided strong operational support, and his knowledge of the third party administration business is among the broadest in the industry. We look forward to Brevan continuing to develop this vital part of our business, as it is a key component of our Company's ongoing growth and unique value proposition," commented Mr. Goldberg.

As part of these changes, and with an objective of expanding People Corporation's market share in the post-secondary student benefits marketplace, John Gallivan has resigned his title of President of the Company, to dedicate more time to his role of President of Gallivan & Associates Student Networks, the Company's subsidiary focused on providing group benefits solutions to students at post-secondary educational institutions across the country. In addition, given his extensive experience in the sector, Mr. Gallivan has been appointed Senior Advisor to the Board of Directors and the corporate management team. In this role, he will continue to provide insight and advice to the Company on strategic matters.

Mr. Gallivan commented, "I am very proud of what has been accomplished in the past five years at People Corporation, and what we have accomplished at Gallivan & Associates as part of the People Corporation family. Given the growth of the Company, it is imperative that we have focused leadership at the parent company level, and at the operating subsidiaries." Mr. Goldberg added, "John has been an extraordinary leader within People Corporation as a senior member of our corporate management team, and has done an excellent job growing Gallivan & Associates into a leader in the student benefits market. At the same time, the Company has benefitted immensely from John's input on strategic matters as we have grown People Corporation. We are grateful to be able to continue to have access to John's extensive industry experience and expertise as our organization continues its evolution and moves forward on our strategic plan in the Canadian benefits market."

About People Corporation

People Corporation is a leading employee benefits, group retirement and human resource consulting firm in Canada. With a growing national footprint and fourteen offices across seven provinces, the Company is bringing together the leading consultants in the industry, offering innovative and customized human resource, benefit and pension solutions to its clients. Additional corporate information is available at www.peoplecorporation.com.

Forward-Looking Information

This news release contains "forward-looking information" within the meaning of applicable securities laws, such as information concerning anticipated future events, results, circumstances, performance or expectations that are not historical facts. Use of words such as "may", "will", "expect", "believe", or other words of similar effect may indicate forward-looking information including the completion of the transaction, the impact of that transaction on our earnings and cash flow, and the anticipated benefits of the transaction. This information is not a guarantee of future performance and is subject to numerous risks and uncertainties, including those described in our publicly filed documents (which are available on SEDAR at www.sedar.com). Those risks and uncertainties include: our ability to maintain profitability and manage growth; strong competition from other consultants and changes in the current legislation could result in significant competition from the banking industry; failure of information systems and technology; dependence on key clients; seasonality of revenues and the resulting possible impairment on working capital; reliance on key professionals; additional financing may be required and may not be available under terms favourable to us; there can be no assurance that any suitable future acquisition will be available to us or that, if available, the terms of the acquisition will be favourable to us; and a change in general economic conditions. Many of these risks and uncertainties can affect our actual results and could cause our actual results to differ materially from those expressed or implied in any forward-looking information made by us or on our behalf. Given these risks and uncertainties, investors should not place undue reliance on forward-looking information as a prediction of actual results. All forward-looking information in this news release is qualified by these cautionary statements. This information is made as of the date of this news release and, except as required by applicable law, we undertake no obligation to publicly update or revise any forward-looking information, whether as a result of new information, future events or otherwise. Additionally, we undertake no obligation to comment on analyses, expectations or statements made by third parties in respect of the Company, its financial or operating results or its securities.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this press release.

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