Alberta Oilsands board receives Glass Lewis endors
Alberta Oilsands board receives Glass Lewis endorsement
2012-06-20 09:30 ET - News Release
Mr. Michael Lee reports
ANOTHER INDEPENDENT PROXY ADVISER RECOMMENDS ALBERTA OILSANDS SHAREHOLDERS SUPPORT MANAGEMENT'S BOARD NOMINEES
Glass Lewis & Co., a leading independent proxy advisory firm, has recommended that shareholders of Alberta Oilsands Inc. vote in favour of the management slate of board nominees at AOS's coming annual and special meeting.
Glass Lewis concludes in its report: "We don't believe (a group of dissident shareholders) have articulated a convincing case that they would be more successful in managing AOS than the current board. We also don't believe the experience of the dissidents' nominees is as relevant as the experience of the current board to address AOS's challenges."
Further, the report adds, "We have our reservations regarding the dissidents' ultimate motivations and plans for AOS."
The Glass Lewis report follows similar findings by Institutional Shareholder Services, another independent proxy adviser.
"The ISS and Glass Lewis reports are a validation of the current board's business strategy, especially the development of AOS's flagship Clearwater project near Fort McMurray," Jack Crawford, AOS chairman, said.
"The recommendations confirm what we have been saying all along, namely, that the current board represents integrity, stability and patient progress. The report also confirms that the dissidents, if elected, would bring upheaval, dubious knowledge of the oil sands industry and heightened risk."
While voicing some concerns about Clearwater, Glass Lewis says, "We defer to management's judgment that the regulatory issues surrounding the Clearwater project are more or less out of its control."
It adds: "We believe the current board is more suited to lead AOS through these challenging times. ... Our opinion that shareholders should not support the dissidents' slate of nominees is bolstered by our perception that the leaders of the dissident group may have plans for AOS that they have not fully revealed to shareholders.
"We're also left with the impression that the dissidents have been less forthcoming with their ultimate motives and plans for the company. ... We believe continued support at this time of the current board and management is warranted."