To: Michael Flannery Date: April 13, 2007 From: Board of Directors Subject: Retirement and Severance Agreement Birth Date: 1/23/44 Age: 63 years, 5 months Hire Date: 4/15/86 Years of Service 21 years, 3 months Termination Date: 6/30/07 Annual Salary:...Retirement and Severance Agreement • April 17th, 2007 • Pope & Talbot Inc /De/ • Pulp mills
• Resignation and Retirement Dates: Effective immediately upon execution of this agreement on April 13, 2007, you hereby resign as Chairman of the Board, President and Chief Executive Officer of Pope & Talbot, Inc. (the “Company”), as a director of the Company, and as an officer and/or director of any and all subsidiaries of the Company for which you serve as an officer or director. You also hereby withdraw as a candidate for re-election as a director at the 2007 annual meeting of the Company’s shareholders, and acknowledge and agree that you will not be nominated for re-election as a director at that meeting. You will remain as an employee of the Company with no reduction in salary or benefits through June 30, 2007, and will retire effective July 1, 2007. For the period from April 13, 2007 to June 30, 2007, your duties will be to consult with and assist the new CEO with transition issues.
