Caisse de dépôt et placement du Québec announces the departure of its president and CEO, Henri-Paul Rousseau

The Caisse de dépôt et placement du Québec (“Caisse”) today announced that Henri-Paul Rousseau was stepping down as president and chief executive officer of the Caisse. Mr. Rousseau has been with the Caisse since September 1, 2002. He will be joining a large Canadian company on January 1, 2009.

To ensure a smooth transition, Mr. Rousseau will remain as an advisor to the Caisse’s Board of Directors and officers for a three-month period ending August 31, 2008.

The Board of Directors has asked Chief Investment Officer Richard Guay to assume Mr. Rousseau’s responsibilities on an interim basis until a new president and chief executive officer has been appointed. Mr. Guay joined the Caisse in 1995 and has been chief investment officer since 2006.

A new challenge in the private sector
“The publication of the 2007 results coincided with the end of a first full five-year mandate at the helm of the Caisse, a significant milestone on which I had to reflect. Since the Caisse’s new incorporating act, adopted in 2004, sets the president and chief executive officer’s mandate at five years, the time was also conducive to a change in management, particularly since the next six months will be devoted to drafting the organization’s 2009-2011 strategic plan. As for me, at age 60, this is the right time to take up a new challenge in the private sector,” explained Mr. Rousseau.

Mr. Rousseau expressed his deepest gratitude to all the employees, officers, depositors and directors of the Caisse for their outstanding support during his time with the organization. “Québec can be proud of this extremely competent team,” said Mr. Rousseau.

A lasting legacy
Speaking on behalf of all the Caisse directors, Board Chairman Pierre Brunet lauded Mr. Rousseau. “The Board is very sorry to see Mr. Rousseau go. He has made his mark as a great leader of this institution.”

Mr. Brunet pointed out that the Caisse achieved excellent financial results under Henri Paul Rousseau, ranking, over five years, in the first five percentile of Canada’s major pension fund managers, a remarkable performance. In fact, between 2002 and 2007, depositors’ net assets doubled from $77.7 billion to $155.4 billion. 
 
Mr. Rousseau also spearheaded many reforms that modernized the institution in terms of its management and redefined its relationship with depositors. It was also during his mandate that the National Assembly adopted a new incorporating act clarifying the Caisse’s mission and improving its governance rules. “These reforms will have a lasting impact on our organization,” added Mr. Brunet.

The Chairman of the Board also highlighted Mr. Rousseau’s exceptional leadership during the “critical time” of the ABCP crisis in August 2007. “He played a decisive role in avoiding the disorderly liquidation of quality assets, which would have affected not only the Caisse’s portfolio but the entire Canadian economy as well. Many stakeholders from the Canadian and international financial industry witnessed this leadership first hand,” pointed out Mr. Brunet.

Contractual and other provisions
As per the terms of the 2002 Government decree concerning him, Mr. Rousseau will receive a severance pay equal to one year’s base salary. He is also eligible for pension benefits.

To avoid any apparent or real conflict of interest , Mr. Rousseau indicated that his personal assets will continue to be managed, as they have been since 2002, by a blind trust until December 31, 2008.

Appointment process
As provided for in the Loi sur la Caisse de dépôt et placement du Québec, the Board of Directors is responsible for appointing the president and chief executive officer, subject to the government’s approval.

This task will be handled by a seven-member committee chaired by Pierre Brunet, Chairman of the Board.

About the Caisse de dépôt et placement du Québec
The Caisse de dépôt et placement du Québec is a financial institution that manages funds primarily for public and private pension and insurance plans. As at December 31, 2007, it held $155.4 billion of net assets. One of the leading institutional fund managers in Canada, the Caisse invests in the main financial markets as well as in private equity and real estate. For more information: www.cdpq.com.