RIM Co-CEOs Have Six Months to Prove They Should Remain Co-Chairmen as Well
Northwest & Ethical may have withdrawn its proposal to force a split between the board chairman and CEO roles at Research In Motion ahead of the company’s shareholder meeting Tuesday, but it hasn’t abandoned it.
Turns out, the firm has put RIM and its leadership on probation, giving it six months to make the case that its unusual co-chair/co-CEO structure should be maintained. “We wanted to give them a chance to prove that there is an actual business necessity,” Northwest & Ethical’s Jennifer Coulson told Bloomberg.
If RIM’s able to do that by January 31 of next year, co-CEOs Jim Balsillie and Mike Lazaridis will retain their roles unchallenged. If not, Northwest & Ethical may reintroduce its original proposal. Said Coulson, “We wanted to secure the potential for filing again next year. So if we’re not satisfied, we have that opportunity.”