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April 24th, 2018

The RTI Board of Directors and executive has reviewed the Office of the Auditor General’s report dated
21, February 2018. The report raises a number of issues and recommendations for Transport Canada
(TC) and Ridley Terminals to address. While many of the recommendations have been acted upon, the
Board has directed RTI management to develop a plan to address any issues that remain outstanding.

In the past year, Ridley Terminals and Transport Canada have worked closely together in a more
collaborative way than in previous years. Part of the plan that will be developed will include a more
formal governance process for the Board, management and TC to implement. The improved relationship
between RTI and TC will no doubt make it easier to enhance the development and implementation of
these processes.

The recent appointment of a new Chair in September 2017 and three new Board members in
January 2018 will help to ensure the Board can function far more effectively and the
implementation of this plan will be a primary focus going forward.

The Chair and the RTI Board is pleased that RTI operations have been carried out effectively over the
years – notwithstanding the OAG’s recent findings - and that these operations have ensured the long-
term viability of the facility during difficult financial times. RTI is pleased to be able to provide high-
quality customer service in a safe and efficient manner.

Sincerely,

Michael McPhie
Chair, Ridley Terminals Inc.