VANCOUVER and MONTREAL, July 7 /CNW Telbec/ - EACOM Timber Corporation (TSX VENTURE: ETR; "EACOM" or the "Company") is pleased to announce that following its recently announced acquisition of the Forest Products business of Domtar Corporation, it has undertaken a number of changes to its Board. Patrick Loulou, Senior Vice-President Corporate Development of Domtar Corporation has joined the Board as a nominee of Domtar Corporation. Domtar Corporation owns approximately 12% of the issued and outstanding common shares of the Company as a result of the acquisition. Mr. Paul Reynolds and Mr. Frank Giustra, have also joined the Board. Mr. Terry Lyons will take over as Chairman of the Company. Mr. Alan Savage and Mr. Michael Liggett have resigned from the Board to allow new leadership. Mr. Liggett continues as the CFO of the Company.
Mr. Lyons stated "We are very pleased to have each of Mr. Loulou, Mr. Reynolds and Mr. Giustra join our Board. Their combined expertise and experience in forestry, resources and emerging companies will be invaluable as the Company embarks on its vision to be a Global lumber company. These are exciting times for the Company and we will surely benefit from their insight and guidance.
I would also like to thank Mr. Alan Savage, both personally and on behalf of the Company for his guidance over the past few years as the Company developed and implemented its plan to become a leader in the timber sector in Canada" he concluded.
Paul Reynolds is the President and Chief Executive Officer of Canaccord Financial Inc. (TSX). He was previously the Chief Operating Officer of Canaccord Corp., and in that capacity he was responsible for managing Canaccord's office in London, England and is very active in Canaccord's European investment banking operations. Mr. Reynolds was Vice Chair, Head of Global Capital Markets, for the Canaccord group. Mr. Reynolds has over 25 years of experience in the securities industry beginning as a trader on the floor of the Vancouver Stock Exchange. Since starting with Canaccord in 1985, Mr. Reynolds has worked as an Investment Advisor in Vancouver and specialized in financing emerging and developing companies in the technology and biotechnology sectors, with a focus on institutional clients principally in Europe.
Frank Giustra is currently President and CEO of Fiore Financial, an exclusive advisor to Endeavour Financial. As President and later Chairman and CEO of Yorkton Securities in the 1990s, he spearheaded equity investments of more than $3 billion in the international resource sector. Subsequently, he founded Lions Gate Entertainment, now one of the world's largest independent film companies. Recognizing the growing need for merchant banking services in the mining and minerals industries, Mr. Giustra joined Endeavour Financial as Chairman from 2001 to 2007. His vision and leadership led to the launch of numerous successful resource companies, including Wheaton River Minerals and UrAsia Energy.
Mr. Giustra is a member of the board of trustees of the William J. Clinton Foundation, the International Crisis Group and a director of the Radcliffe Foundation. In addition Frank Giustra sits on the board of the Streetohome Foundation, a Vancouver foundation that envisions access to safe, clean and affordable housing for everyone in Vancouver.
In June 2007 Frank Giustra and Former President Bill Clinton launched the Clinton Giustra Sustainable Growth Initiative (CGSGI). The CGSGI will focus on alleviating poverty in the developing world in partnership with the global mining community.
"We welcome our new Board members and look forward to working with Terry, as the new Chair. We also would like to thank Mr. Curnock Cook for his years of service in that position" remarked Mr. Rick, Doman, President and CEO of EACOM. "We look forward to the continued input of all of our Board members as we integrate Domtar's Forest Products division and build our Company.
EACOM is now one of the largest softwood producers in Eastern Canada. We have re-established our head office in Montreal. The Company is a standalone operation dedicated to the manufacturing of solid wood and value-added products", he concluded.
The Company has also granted 9,625,250 stock options to acquire common shares to the new employees (4,192,500), senior officers and directors (5,292,750) and consultants (140,000) at an exercise price of $0.65 per share.
EACOM Timber Corporation is a TSX-V listed company. EACOM owns seven sawmills and an equity interest in an eighth sawmill, all located in Eastern Canada and related tenures. The mills are Timmins, Nairn Centre, Gogama and Ear Falls in Ontario and Val-d'Or, Ste-Marie and Matagami in Quebec. The equity interest is in the Elk Lake sawmill located in Ontario. The sawmills in Ear Falls, Ontario, and Ste-Marie, Quebec, are currently idled. EACOM also owns one idle mill in Big River Saskatchewan.
The TSX Venture Exchange has neither approved nor disapproved the contents of this press release. All directorships are subject to TSX Venture Exchange approval.
All statements in this news release that are not based on historical fact are "forward-looking statements." While management has based any forward-looking statements contained herein on its current expectations, the information on which such expectations were based may change. These forward-looking statements rely on a number of assumptions concerning future events and are subject to a number of risks, uncertainties, and other factors, many of which are outside of our control that could cause actual results to materially differ from such statements. Such risks, uncertainties, and other factors include, but are not necessarily limited to, those set forth under the captions "Risk Factors" of the Filing Statement dated January 8, 2010 and the current MD&A for EACOM Timber Corporation on file with the Canadian Securities Commissions.
SOURCE EACOM TIMBER CORPORATION
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