Dennis Mills resigned from his position as Chief Executive Officer of MI Developments Inc. effective Thursday and will continue in his role as Vice-Chairman and director of MID. The Board of Directors has appointed Frank Stronach as Chief Executive Officer of MID
. Mr. Stronach will continue in his role as Chairman of MID.
“I would like to thank Dennis Mills for his extraordinary efforts during his time as Chief Executive Officer of MID,” stated Frank Stronach. “I look forward to working with Dennis as he continues to assist MID going forward.”
The operations of MID will formally be separated into Real Estate and Racing & Gaming divisions. The Company has appointed Lyle Strachan as Executive Vice-President, Finance of the Racing & Gaming division and Mike Rogers as Vice-President, Operations of the Racing & Gaming division. The Real Estate division will be managed by the management of MID.
MI Developments Inc. also announced Thursday that its third-quarter profit fell by 71 per cent as losses from its horse-racing and gaming business eroded profits from its real-estate operations.
The company, a spinoff from Canadian auto parts giant Magna International Inc., said its net income fell to $8.2 million from $28 million a year ago, before it consolidated results from Magna Entertainment Corp.
On its own, MI Developments — which primarily owns and leases the properties used by Magna International — generated $42.7 million in revenue and had $31.3 million of net income.
However, Magna Entertainment brought with it $48.4 million of revenue and $23.2 million of losses.
On a consolidated basis including both sides of the business, MI Developments had $91.2 million of revenue, up from $57 million a year before, while earnings per share fell to 18 cents from 60 cents.
(with files from CP)