The New Year is kicking off with some hefty changes for Catalyst Paper.
The New Year is kicking off with some hefty changes for Catalyst Paper.
CEO Russell J. Horner and vice president, finance and CFO Ralph Leverton have announced their resignations.
The announcement is being read as a sign of mounting tension between the company’s management and Third Avenue Management LLC, the company’s largest shareholder, the Globe and Mail reported. The report further confirmed that when Third Avenue effectively took control of 38% of Catalyst, a purchase the papermaker starkly opposed, the two top executives invoked ‘change-of-control’ provisions.
In December, Third Avenue named four directors to the 12-person Catalyst board.
Horner and Leverton have both said they will stay on with the company until the next annual shareholder’s meeting on March 28, 2007.
Horner will collect a severance and pension package worth $4.8 million, while Leverton will receive a $1.6 million package, the Globe reported.
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