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CALGARY, Oct. 24, 2012 /CNW/ - Veresen Inc. ("Veresen") (TSX: VSN) today announced that Stephen White, President and Chief Executive Officer has decided to retire, effective upon the appointment of his replacement, Don Althoff. Mr. White will remain on the Board of Directors of Alliance Pipeline and Aux Sable, but will be leaving the Board of Directors of Veresen.
"On behalf of my fellow directors I would like to recognize Stephen for his valuable contributions to Veresen - and his service to its employees and shareholders during his 15 years with the company, including the past 10 years as President and Chief Executive Officer," said Steve Mulherin, Chair of Veresen's Board of Directors. "Under Stephen's leadership we have experienced significant growth and success, and he has positioned Veresen for a strong future. The Board respects Stephen's decision to retire - he has earned our utmost respect and appreciation for all of his accomplishments at Veresen."
In 1997, as President and Chief Financial Officer, Mr. White was instrumental in co-creating Fort Chicago Energy Partners L.P, the predecessor to Veresen Inc. In late 2002, he was appointed Chief Executive Officer of the company. Over the past 15 years, Veresen has grown from a market capitalization of $380 million to $2.6 billion today, and an investment of $5.95 per share at the company's initial public offering price, assuming reinvestment of dividends, would be worth $34.60 per share today. Since its inception, Veresen has generated an average compounded annual total return of 12.7% and has made $1.3 billion in dividend payments to investors.
"I've been fortunate to work with some exceptional people during my time here," said Mr. White. "My thanks go to the Board of Directors for their wise counsel and support, and the entire Veresen team for their hard work and dedication in building an organization focused on creating long-term value for our shareholders. We have a committed and talented team of employees who are building a leading energy infrastructure company. Everything Veresen has achieved - and will continue to achieve as I turn over the reins - is due to the collective efforts of this team. I'm proud of what we've accomplished together and Veresen's future rests in very capable hands."
Veresen's Board of Directors also announced the appointment of Don Althoff as President and Chief Executive Officer and a Director of Veresen - each appointment to be effective once appropriate approvals from Human Resources Skills Development Canada and Citizenship and Immigration Canada have been obtained.
"We are pleased to welcome Don as our new President and Chief Executive Officer," said Mr. Mulherin. "He is a proven leader of large energy businesses with a deep knowledge of the fuels supply chain marketplace. Don brings experience and a passion for leading sustainable, high-performing organizations. Critical in the delivery of his accomplishments is Don's ability to harness a powerful vision, strategy and operating plan that optimizes the business across its entire supply chain. The Board is confident Don will bring the necessary expertise and vision to capitalize on current strengths to create long-term value for our shareholders."
Mr. Althoff has had an extensive career in the energy industry, most recently as Chief Executive Officer of Flex Fuel US, a company based in Chicago, Illinois. Prior to 2008, he was with BP P.L.C. and Amoco Corporation for 27 years. Mr. Althoff's experience includes leading a fuels retail and supply chain operation with US$8 billion in annual revenue and US$65 billion in capital employed. Mr. Althoff held P&L accountability for an operation with 6,000 employees, 7,000 retail outlets, 40 product terminals and 4,800 kilometres of pipeline. He also has extensive operations experience at two world-scale refineries.
"I'm pleased to be joining Veresen and look forward to building on the remarkable track record that Stephen and the team have created," said Mr. Althoff. "We're entering an exciting era for the company and we will continue to advance our strategy of high-quality, accretive growth. In addition to a strong portfolio of low-risk, contracted assets within each of our business segments, we have several excellent projects in construction or under development that offer near-term growth. I'm confident that we possess the expertise and drive necessary to ensure our success moving forward."
About Veresen Inc.
Veresen is a publicly-traded dividend paying corporation based in Calgary, Alberta, that owns and operates energy infrastructure assets across North America. Veresen is engaged in three principal businesses: a pipeline transportation business comprised of interests in two pipeline systems, the Alliance Pipeline and the Alberta Ethane Gathering System; a midstream business which includes ownership interests in a world-class natural gas liquids extraction facility near Chicago, the Hythe/Steeprock gas gathering and processing complex, and other natural gas and NGL processing energy infrastructure; and a power business with renewable and gas-fired facilities and development projects in Canada and the United States, and district energy systems in Ontario and Prince Edward Island. Veresen and each of its pipeline, midstream and power businesses are also actively developing a number of greenfield projects. In the normal course of its business, Veresen and each of its businesses regularly evaluate and pursue acquisition and development opportunities.
Veresen's common shares, Series A preferred shares, and 5.75% convertible unsecured subordinated debentures, Series C due July 31, 2017 are listed on the Toronto Stock Exchange under the symbols "VSN", "VSN.PR.A" and VSN.DB.C", respectively. For further information, please visit www.vereseninc.com.
Note to Analysts and Editors
A conference call and webcast will be held today at 10:00 am MT / 12:00 pm ET
A question and answer period will follow brief remarks from Steve Mulherin, Stephen White and Don Althoff.
The conference will be broadcast via teleconference.
To listen to the news conference:
Dial-in: 1 (888) 231-8191 or 1 (647) 427-7450 Conference ID 55355345
The link to the conference call webcast is: http://event.on24.com/r.htm?e=534162&s=1&k=3D31D905211F7DC7266FA2D8BC6E3FBF
A replay of the call will be available at approximately 12:00 pm MT (2:00 pm ET) on October 24, 2012 by dialing 1-855-859-2056 and 1-416-849-0833. The access code is 55355345, followed by the pound sign. The replay will expire at midnight (ET) on October 31, 2012.
SOURCE: Veresen Inc.
For further information:
Dorreen Miller, Director Investor Relations
Phone: (403) 213-3633
Email: [email protected]