independent operators of rona stores say 'no, thank you' to lowe's takeover plan

7/31/2019 Independent operators of RONA stores say 'No, thank you' to Lowe's takeover plan

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Press release

For immediate distribution

RONA:

Independent merchants say "No, thank you to the president of Lowes

Montreal, August 22, 2012 Independent merchants of 164 RONA stores from across Canadahave sent the following letter to Robert A. Niblock, Chairman of the Board, President and Chief

Executive Officer, Lowes Companies Inc., to directly inform him that they do not support theLowes unsolicited takeover bid.

August 21, 2012

Mr. Robert A. Niblock

CEO and Chair of the Board

Lowes Companies Inc.1000 Lowes BoulevardMooresville, North Carolina, 28117

USA

Dear Mr. Niblock:

We, the undersigned, are all affiliate or franchisee merchants of RONA Inc., the Canadiancompany that was recently the target of an unsolicited acquisition proposal by your company.We are reacting to your proposal as entrepreneurs who feel strongly about the unique RONA

business model and culture. We want to reinforce your view that it may not be a good idea for

you to buy RONA, after you appeared to state your doubts about the deal on Monday, while you

were announcing your financial results. We respectfully say No, thank you as we feel thatLowes business model is incompatible with the one with which we have individually chosen toengage.

Of course RONA is an attractive company to one like yours, with a firmly established network of

more than 200 corporate stores belonging to the RONA group (approximately 60 of which arebig-box stores like yours). What makes RONA unique, however, is the network of over 400

independent merchants: us. Each of us personally owns our hardware stores and we are very

proud of that. We have strong bonds with our customers in our respective communities in all

the regions of Canada. In many cases, we have done so for several generations. In addition,

franchisees are running 20 other big-box stores. From British Columbia to Newfoundland,

diversity is our hallmark, and embodies the roots of the company with which we have chosen to

affiliate.


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As independent entrepreneurs, we have made several business and financial decisions over the

years; they have been based on our affinity with the RONA brand, business model and veryimportantly the people that make up the RONA culture.

We have chosen to define our business ventures by following the RONA business plana planin which we have a significant say, because of the co-operative spirit that drives the group and

its managers, people to whom we enjoy easy access, and in whom we trust.

We have signed long-term agreements with RONA based on the companys unique businessmodel, which values the co-existence of big-box outlets and neighbourhood stores, with the

diverse needs and values of our customers front of mind.

We have chosen to belong to a structure that enables us to place our trust in hundreds of local

Canadian suppliers we know by their names, that invests heavily in professional development

and that has ethics and the local community at its core.

We are entrepreneurs, motivated by a drive to make our business succeed. We are driven byour very concrete investments in RONA and our belief in its business model. Collectively we

have invested hundreds of millions of dollars in recent years alone, which serves to underscore

our commitment to our licensing agreements and our dedication to the RONA business model

and its future plans.

In short: we are RONA shareholders. We are RONAs clients. We are the retailers who sellRONAs products. We know the retail sector; it is our trade. We know what our customers wantand believe that the RONA product offering reflects that as well as local values across the

country. It is for all these reasons that we decided to become part of RONA - above the other

competitionand why we cannot support your planned hostile takeover.

Signatories:

John Albi (Newcastle)

Richard Allard, Fernande Allard, Jean Allard (Lle-Perrot)Michael Allen (North Vancouver)

Bruce H. Allen (North Vancouver)

Jacques Anctil (Rivire-du-Loup)

Raynald Archambault (Saint-Jean-sur-Richelieu)

Onil Audet, Mario Audet (Qubec, Saint-Marc-des-Carrires)

Jean-Denis Beauchamp (Saint-Roch-de-lAchigan)Lisette Beaulieu, Serge Lemay (Montral)

Andr Bcaud, Gilles Lamoureux, (Montral-Nord)

Claude Blanger (Montral)

Pierre Bellefleur (Montral)

Georges-Henri Berger (La Prairie)

Jean-Claude Bernier (La Malbaie)

Lorenzo Brub, Julien Marc-Aurle (Baie-Comeau)

Daniel Blanchette (Sainte-Camille-de-Bellechasse)


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Andr Blain, Pauline Blain, Serge Blain (Montral)

Frdric Boisvert (Qubec)

Andr Boulais (Marieville)

Daniel Bourque (Lasalle)

Fabien Bouvette, Patrice Bouvette (Saint-Cyrille-de-Wendover)

Bernard Breton, Jean-Pierre Breton (Saint-Narcisse-de-Beaurivage)

Jean-Pierre Breton, Marie-Pierre Breton (Saint-Augustin-de-Desmaures)

Louise Breton (Waterville)

Lyman Brewster (High Level)

Patrice Brochu (Saint-Henri-de-Lvis, Saint-Lambert-de-Lauzon)

Steven Brown (Lone Butte)

Romeo Bruno (Cranbrook)

Roger Card, Brenda Card (Bancroft)

Jacques Caya, Louise Caya, Roger Caya (Notre-Dame-du-Bon-Conseil)

Dianne Clarke Dwight (Fort St. John)

Andr Champagne, Guy Champagne (Saint-Honor-de-Shenley)

Michel Charbonneau, Roland Charbonneau (Mirabel)

Yves Chartier (Lachine)Robert James Cobbledick (Coboconk)

Conde, Gauvin (Saint-Quentin)

Andr Dagenais, Lise Dagenais (Saint-Sauveur)

Benoit Daigle, Guy Daigle (Dunham)

Kevin P. Davies, Kimberly E. Davies (Grand Ben)

Romuald Derrible (Saint-Pierre et Saint-Pierre-et-Miquelon)

Philippe Desjardins (Longueuil)

Brad Dick (Portage La Prairie)

Marc-Andr Drouin, Nathalie Lagrange (Sainte-Marie, Saint-Elzar)

Nancy Dubreuil, Stphane Dubreuil (Lebel-sur-Quvillon)

Gilles Dubois, Marc Dubois (La Dor)Edwin Dueck (Rosenort)

Gatan Dumais, Ren Dumais (Saint-Pascal)

Leonard Earl, McLeod George, Donna Mae, Fletcher George (Langley)

Louise Faubert, Marc Faubert (Chteauguay)

Eric Fitzpatrick, Rhonda Fitzpatrick, Stephen Fitzpatrick (Wabush)

Michel Fournier, Benoit Fournier, Denis Murray (Lacolle)

Benoit Forget (Mont-Tremblant)

Camil Fortin (LAscension-de-Notre-Seigneur)Mack Foster (Richmond)

Bertrand Fradet (Dolbeau-Mistassini, Saint-Flicien)

E.James Fulford (Owen Sound)

Louis Gagn (Montral)

Andr Gagnon (Granby, Saint-Hyacinthe, Beloeil, Saint-Bruno)

Claude Gauthier (Shawinigan, Grand-Mre, St-Tite, Nicolet, Trois-Rivires, Bcancour, Joliette)

Sylvain Gauthier, Richard Gauthier, Dominique Gauhtier (Les Cdres, Saint-Polycarpe)

Mario Glineau (Saint-Hubert)

Liette Genest (Saint-Apolinaire)

Daniel Giroux (Mansonville)

Raymond Girardot (Roxton Falls)


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Jenny Roy (Gasp)

Robin Roy Cosh (Macklin)

Gary Seamone, Laura Lee Seamone (New Germany)

Kenneth Robert Selby (Russell)

Norman Scott, Debra Scott (Lac du Bonnet)

Jacques St-Cyr (Notre-Dame-du-Mont-Carmel)

Jean-Pierre St-Gelais (Chicoutimi)

Michelle St-Martin (Saint-Jean-sur-Richelieu)

Jean-Sbastien St-Pierre (Matagami)

Sherry Taylor (Scotch Creek)

Jocelyn Trahan (La Tuque)

Jacques Tremblay (Baie-Comeau)

Diane Turcotte, Sylvie Turcotte (Amos, Val-dOr, Malartic)Louis Turcotte (Boucherville, Montral, Pointe-aux-Trembles)

Louis Turcotte (Nepaen, Gloucester)

Serge Viger, Manon Leblanc (Laval)

Jeannot Vigneault (Cap-aux-Meules)

The independent RONA merchants have also started a Facebook group, nous RONA Ourown, which Canadians can use to express their support for their position.

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Source:

Independent merchants of 164 RONA stores from across Canada

For further information and interviews with regional spokespersons:

All the provinces but Quebec:

Laurie Griffin

Corpen Group

[email protected]

403 827-6425

Quebec:

Marie-Christine Ethier

TACT Intelligence-conseil

[email protected]

514 346-6572
mailto:[email protected]:[email protected]:[email protected]:[email protected]:[email protected]

independent operators of rona stores say 'no, thank you' to lowe's takeover plan

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