Tim Hortons Inc. announced that the board of directors has reached an agreement with Don Schroeder, former president and CEO, with respect to his relationship with the company.
The company previously announced that the board had engaged in a comprehensive succession planning and review process parallel with the company's strategic planning work. As the next stage in its process, the board was planning to commence an active CEO search.
"We are pleased to have reached an agreement that acknowledges Don's contributions and leadership over his twenty-year career with us, while also allowing both him and the company to benefit from his continued involvement with our brand," said Paul House, executive chairman and interim president and CEO.
As part of a consulting arrangement, Schroeder, who has resigned as a director of Tim Hortons Inc., will act as an advisor to the Coffee Partnership program, which is focused on sustainable farming for small holder coffee farmers in South and Central America, and will be available to work on other matters at the request of the board for a two-year period, renewable at the board's option. He will also continue to serve as a director on the Tim Horton Children's Foundation Board.
The financial terms relating to the company's agreement with Schroeder, including the ongoing relationship, are being disclosed concurrently in regulatory filings.
"This agreement will result in Don's continued involvement with the brand in areas in which he has been a long-standing advocate and active supporter, helping disadvantaged children through the Foundation and small holder coffee farmers," House says.
"I am pleased that we have reached an agreement and I am proud that I will remain part of the Tim Hortons family. I have always had a tremendous passion for the Tim Horton Children's Foundation and our Coffee Partnership, both of which are making a true difference. As a result, I am excited about having the opportunity to continue to add value in these important areas," Schroeder says.