A word from the president: Passing the baton

By: Margie Brown, CIRI president and chief executive officer

Dear Fellow Shareholders:

In just a few days, the baton will pass from me to Sophie Minich – as I retire from CIRI and Sophie becomes CIRI’s President and CEO. The official passing of the baton follows six months of smooth transition as we make plans for the changes that will occur at CIRI. Change itself can be unsettling, but the CIRI Board, Sophie and I have all worked to assure CIRI’s stakeholders that this change is a natural progression and is part of a seamless transition.

Being in transition mode has not slowed down the business happening at CIRI.

The year of 2012 was one of the most productive years that I have experienced in my long career at CIRI. This year’s accomplishments include acquisition of Cruz Energy Services, Cruz Marine and Weldin Construction, fine additions to the CIRI family of companies.

In the energy sector, we now hold interests in fully-contracted wind farms in the Lower 48 states through our Capistrano partnership and our investment in Palouse Wind in Central Washington. Closer to home, we completed the first phase of CIRI Energy’s Fire Island Wind development. Our commitment to our renewable energy portfolio represents roughly 20 percent of the company’s assets, a comfortable proportion of our overall business portfolio.

We made strides in advancing our traditional oil and gas interests and we look forward to more exploration on CIRI land and more production from leases held by NordAq, Apache and Hilcorp – all new explorers in the Cook Inlet oil and gas basin.

We made good progress in our real estate developments in 2012, with construction at Tikahtnu Commons so brisk that when the newly constructed shops are open in 2013, Tikahtnu will be nearly complete. Our Texas residential developments are moving again and the Hyatt Lost Pines Resort has now reached stabilization.

As the year winds down, I have braced myself for the range of emotions that I know I will experience as I leave the company. Working at CIRI has been a big part of my adult life. In fact, I feel as if I have grown up here in the offices of CIRI. The work continues to inspire me, the people of CIRI inspire me and I will greatly miss both the work and the people. I will remain forever grateful for the opportunity CIRI has provided me: to learn, lead and advance the mission of CIRI as it strives to serve its shareholders well.

As the leadership baton is passed at CIRI, I want you to know that Sophie has my full support. I am confident that her progression through the ranks of CIRI during her nearly 20 years with the company has prepared her for this next role. She will have the benefit of a well-functioning board of directors to guide her and a talented executive team to assist her in leading the company. She will have the accomplished staff of CIRI and of our partners to help her. And she will have the shareholders of our great company, CIRI, to support her – just as you have supported me.

It has been my privilege and honor to serve as CIRI’s President and CEO for the past eight years. Thank you for your support and kindness.

Photo by Chris Arend.
Photo by Chris Arend.

By: Sophie Minich, CIRI chief operating officer

Dear Fellow Shareholders:

Nearly 20 years ago I walked off the elevator and into the CIRI offices to begin what has been an incredible journey. For me, from that moment it has been about the people at CIRI. The employees I work with, the leaders I have worked for and the shareholders I work on behalf of have made this journey incredibly rewarding, inspiring, challenging and engaging. I am proud to be a CIRI shareholder and I am honored to have been selected by the CIRI Board of Directors to continue this journey as CIRI’s next President and Chief Executive Officer.

As the next phase of my journey begins, I extend my sincere appreciation to the past leaders of CIRI for their wisdom and dedication. Each in his or her own way has immensely contributed to CIRI’s 40 years of success and has helped to shape our company into what it is today. To Margie, I would like to say it has been a true honor to work for you and beside you. Your leadership, unwavering support and belief in your executive team will resonate with each of us for years to come. Your passion for CIRI, its mission and your fellow shareholders has been instilled in each of us and we will carry that passion with us into the future.

To my fellow CIRI shareholders, I look forward to seeing you and visiting with you at future CIRI events. Your friendship, kindness and respect over the years is appreciated and I will work hard to continue to earn your support. I wish you and your families a New Year full of many blessings.