Nunasi Corp. announces major restructuring move
"It was time for us to review what was working and what needed to be changed”
Nunasi Corp. will undergo a makeover of its organization, the corporation said in a Nov. 9 news release.
The goal: to restore profitability and “ensure Inuit benefit from the economic boom Nunavut will see in the coming years.”
The Kitikmeot Inuit Association, Kivalliq Inuit Association, Qikiqtani Inuit Association, Nunavut Tunngavik Inc., Kitikmeot Corp., Sakku Investments Corp., Qikiqtaaluk Corp. and Nunasi Corp. have all agreed to restructure Nunasi’s governance, the news release said.
“Nunasi’s priority has always been to serve the three regions of Nunavut. As our companies have gained assets and capacity, change has always been required to ensure continued growth. It was time for us to review what was working and what needed to be changed,” said Wilfred Wilcox, chair of the Nunasi’s board of directors.
The chair and president of each of the three regional development corporations along with one appointee from each of the three regional Inuit associations will form the Nunasi board of directors.
“As Inuit owned companies we want to make sure we are united. We want to work together for the benefit of our shareholders. We want to be prepared to ensure Inuit benefit from the economic boom Nunavut will see in the coming years,” said Wilcox.
Speaking at last month’s Kitikmeot Inuit Association’s annual general meeting in Cambridge Bay, Wilcox said Nunasi wanted to transfer its ownership over to the three regional Inuit development corporations.
He also said Nunasi had been financially weakened by losses suffered by the Norterra group of companies, one of its most important subsidiaries.
The Norterra group of companies, owned by the Inuit of Nunavut through Nunasi and the Inuvialuit of the NWT through the Inuvialuit Development Corp., include firms like Canadian North and NTCL, the shipping company that has been losing contracts in the Baffin and Kivalliq regions for many years.
“As a result, significant cash calls have been requested by Norterra to fund these operating losses,” Wilcox said at the meeting.
Nunasi didn’t distribute any dividends to Nunavut’s regional Inuit organizations this year, and won’t be distributing any money at least for two more years, he said.
To oversee Nunasi’s reorganization, there’s a new management team in place: Archie Angnakak, who was hired as chief executive officer earlier this year, and Greg Cayen, the president and chief executive officer of NCC Investment Group Inc., who took over from Tim Zehr, who resigned as president and chief operating officer of Nunasi last June.