Douglas Dunsmuir has resigned from the board of Royal Group Technologies Ltd. of Woodbridge.
Dunsmuir was the firm's president and chief executive officer until Royal's board fired him in late November. He and two other executives were terminated because a company they owned profited from selling a parcel of land to Royal Group.
Royal Group also asked founder and former Chairman Vic De Zen and former Chief Financial Officer Ron Goegan to resign from the board, but as of Dec. 30 they had not.
Royal Group also announced Dec. 23 that it negotiated a new, major bank loan worth C$312.5 million (US$258.1 million) with a syndicate composed of Bank of Nova Scotia, Royal Bank of Canada and Deutsche Bank of Canada. The loan will mature April 30, 2006, and will be secured by substantially all of Royal Group's assets.
The firm said another loan worth C$27.5 million (US$22.7 million) might be available from an undisclosed bank if certain conditions can be met by Jan. 31.
Royal's existing bank loan, worth about C$325 million (US$268.5 million), expires in April. The company said it has about C$147 million (US$121.4 million) in cash and commercial paper investments on hand.
The loan agreement will allow Royal Group to focus on cost improvements, profitability and productivity, noted interim CFO Robert Lamoureux.