Dean Tai will be retiring as CEO of Coventree Inc. as part of ongoing workforce reductions during the orderly wind down of operations, the company said Friday.

Tai has also resigned as a director of Coventree and decided not to stand for re-election as director at the company’s next annual meeting.

Coventree has agreed to pay Tai $1 million in two equal instalments, one payable now and the other payable on the winding up of the company, in connection with his departure. This amount is included in the restructuring activities charge recorded by Coventree during the fourth quarter of fiscal 2008.

With its most recent workforce reductions, the number of full-time employees at Coventree is currently 15, down from a peak of about 80 prior to the August 2007 disruption in the Canadian asset-backed commercial paper (ABCP) market.

Coventree’s board of directors appointed Geoffrey Cornish, currently president of Coventree, as the new CEO. It is expected that, after May 21, Coventree’s management team will be comprised of Cornish and Ani Hotoyan-Joly, as the new CFO.

IE