Noront CEO Nemis Becomes 'Chairman Emeritus For Life' In Rosseau Deal

By Canadian Press
27 Oct 2008 at 07:38 AM GMT-04:00

Noront Resources Ltd. (NOT), under pressure from Rosseau Asset Management Ltd., has agreed to a board shakeup.

TORONTO (CP) -- In the agreement outlined Monday, chief executive officer Richard Nemis will "stand down" and be given the title chairman emeritus for life.

Rosseau, a Toronto-based hedge fund operator which owns about nine per cent of Noront's common stock, had filed a dissident proxy circular on Oct. 8, proposing a new slate of directors.

Noront and Rosseau said Monday they have "have agreed to a jointly determined single slate of directors" for the Oct. 28 meeting of shareholders.

"In the view of the current board and management of Noront, as well as Rosseau, the new board will be well positioned to take Noront forward into the future drawing on considerable new industry expertise," the joint statement said.

"In order to achieve this compromise and to facilitate a resolution that is in the best interests of all Noront's shareholders, Noront's current president and chief executive officer, Richard Nemis, has agreed to stand down as president, CEO and director."

He will be given the chairman emeritus title and serve as a special adviser to the board "in recognition of his outstanding and pivotal contribution to the success of the company to date."

The president-CEO function will be filled on an interim basis by Joseph Hamilton and Paul Parisotto.

Parisotto, who chaired Noront's special committee, said Noront will have "a balanced joint slate of directors representing the interests of all shareholders," and the management team "which was largely responsible for our discoveries in the Ring of Fire will remain with Noront."

© The Canadian Press