M&A Initiative: Key Points Summary: ECC Board of Directors M&A Initiatives Notes – Peter Stephenson, Meridien Consulting Services 1 / 2 M&A Initiative: Key Points No two situations are the same Ensure that the ED and the Board are aligned throughout the process M&A pursuit should be Board-driven, supported by close consultation with the ED Develop guiding principles in advance Develop clear and succinct views on both organization’s Vision, Programs, Services and Clients Primary reasons to pursue include: Improve service/access Improve back office efficiency Improve organizational resilience Realize secondary benefits (leadership succession, more robust systems, etc). Key phases include: Initial Exploration Proposal to Amalgamate Due Diligence and Integration Planning Letter of Intent Integration Planning and Launch See next page…

M&A Initiative: Phases Summary: ECC Board of Directors M&A Initiatives Notes – Peter Stephenson, Meridien Consulting Services 2 / 2 M&A Initiative: Phases Phase Important activities / definitions 1. Initial Exploration Board responsibilities and ownership Explore third party Sign NDA Gather information, conduct impact analysis (financial) Align on fit Define nature of transaction (m, a, takeover, etc.) Define timeline Define rationale ED owned – present to board Conclude with proposal to amalgamate 2. Proposal to Amalgamate Compile phase 1 info/docs MoU approved pending DD Proposal includes next steps (timing, DD, etc) Communications plan developed and approved 3. Due Diligence / Integration Planning Board working groups lead DD and board governance ED leads integration planning Align to DD checklists Align to governance issues Align to planning issues Conclude by drafting letter of intent 3. Letter of Intent Formal, binding agreement to proceed Communication plan developed 3. Launch Any additional planning / coordination activities Go live / kick off date set Board meetings set Management structure and reporting relationships in place