2012 Minnesota Census of Women in Corporate Leadership

Select Comfort Corporation CEO and Director Shelly Ibach represents the critically important group of women leaders at Minnesota's largest public companies.

Women Leaders I N T H E WOR K P L AC E The 2012 Minnesota Census of Women in Corporate Leadership: How Minnesota’s Top 100 Public Companies Rank

Highlights:

i Minnesota leads the nation in the percent of Fortune 500 company board seats held by women. i Minnesota ranks first in the percentage of women executives. i The overall percentage of seats held by women corporate directors has not noticeably changed over the past five years.

Twin Cities Business and the Women in Corporate Leadership sponsors congratulate this year's Honor Roll companies.

Analysts International Corporation Best Buy Company Christopher & Banks Corporation CyberOptics Corporation Deluxe Corporation HickoryTech Corporation Produced by

Presenting sponsor

HMN Financial Corporation MTS Systems Corporation Select Comfort Corporation Target Corporation UnitedHealth Group The Valspar Corporation Event sponsors

MINNESOTA CENSUS OF WOMEN IN CORPORATE LEADERSHIP

About the Census

The 2012 Minnesota Census of Women in Corporate Leadership examines the percentage of women in leadership roles at the 100 largest publicly held companies headquartered in Minnesota as ranked by 2012 net revenue in the Star Tribune 100: 21st Annual Report (May 2012) and the Minneapolis/ St. Paul Business Journal top 100 list (March 2012).

The report is produced by St. Catherine University and is co-sponsored by the Minnesota Women’s Economic Roundtable. MWER is the Minnesota representative to ION (InterOrganization Network), a national organization that advocates for women’s participation on corporate boards and in top leadership roles in business.

TABLE OF CONTENTS

2 4 6 8

10

Executive Summary Women on Corporate Boards: Slow Progress Women Executive Officers: Role Models Why Women Matter: Top Executives Offer Their Views 2012 Minnesota Census Honor Roll iSpecial Distinction: MTS Systems, Target, CyberOptics, Christopher & Banks and Select Comfort

18 20

Do the Math: The Rise of Women CFOs Call to Action and Research References

ROSTERS: 12 Women Corporate Directors 14 Women Executive Officers 16 Corporate Directors and Executive Officers by Company

ON THE COVER:

Shelly Ibach, CEO and director, Select Comfort Corporation — one of the Minnesota Census' 2012 “Special Distinction” companies. Three of its nine company directors are women, and five of the company's eight executive officers are women.

Photo by Sara Rubinstein

Methodology Data for the 2012 Minnesota Census were collected from company filings with the SEC, including proxy statements (DEF 14A), annual reports (Form 10-K) and current reports (Form 8-K). Accessed online through EDGAR, the most recent SEC filings through June 30, 2012, were reviewed for data collection. Data confirmation sheets were e-mailed or mailed to each company, requesting verification of the information and

notification of any changes occurring before the Census cutoff of June 30, 2012. The company response rate was 62 percent. Changes that occurred in board membership, executive officer appointments, company ownership or bankruptcy filings after the period covered by the June 30, 2012, filings are not reflected in this analysis.

Criteria for inclusion in the “executive officer” category vary by company. To be

consistent, the Census uses only those individuals formally designated as Section 16b executive officers in SEC filings.

Excluded from the list of Minnesota Census companies are closely held companies, cooperatives and fraternal benefits organizations, and companies traded over the counter. Of Minnesota’s Fortune 500 companies, three companies are not represented in the Minnesota Census data sample: Land O’Lakes,

CHS, Inc. and Thrivent Financial for Lutherans. Although the Securities and Exchange Commission (SEC) lists these as public companies with more than 500 shareholders, they are not publicly traded on a stock exchange.

All reasonable steps have been taken to verify the accuracy of the data. Any remaining errors or omissions are the sole responsibility of the researchers at St. Catherine University.

MINNESOTA CENSUS OF WOMEN IN CORPORATE LEADERSHIP APRIL 2013

1

EXECUTIVE SUMMARY

Pathways to Progress As women and minorities gain more education, political influence and economic clout, U.S. companies have a ready talent pipeline.

By Joann Bangs, Ph.D. and Rebecca Hawthorne, Ph.D. St. Catherine University

T

he face of public leadership in Minnesota and throughout the nation shifted in 2012, reflecting the reality of demographic changes — a shrinking of the white male majority and a growing number of women and minorities.

In contrast, the face of corporate leadership remained overwhelmingly male and white.

Women outnumber men in higher education. They’ve ascended in the workforce.

They have more economic clout, and their presence in top leadership positively affects a company’s bottom line.

Still, the state’s top 100 public companies have not increased their representation of women on their boards or in their executive suites, according to the 2012 Minnesota Census of Women in Corporate Leadership.

iPROFESSIONAL EXPERIENCE

Women hold 51.4 percent of managerial and professional jobs, according to the Bureau of Labor Statistics. Yet women hold only 14.5 percent of the corporate board seats and 17.4 percent of the executive officer positions in Minnesota companies. iECONOMIC CLOUT Women control 73 percent of U.S. household spending decisions (Rosen, 2012).

Corporate boards and executive leadership teams with women members gain valuable insight into consumer preferences. iCORPORATE GOVERNANCE IMPACT

Women’s presence in the boardroom has been connected to stronger corporate and social governance metrics, higher returns on equity,

Rebecca Hawthorne, Ph.D.

reduced insolvency risk and better average growth.

According to a recent study of 2,360 companies globally over the past six years, “it would on average have been better to have invested in corporations with women on their management boards than in those without” (Credit Suisse Research Institute, 2012, p. 3). iPUBLIC LEADERSHIP For the first time in history, women have stepped into 20 percent of the seats in the U.S. Senate. And white men no longer are the majority in the U.S. House of Representatives.

What is at stake for Minnesota companies? Progress and economic growth. When assessing a country’s economic future and potential, economists identify ambivalence over women’s roles as a critical factor blocking progress. In the

Consider the following: iQUALIFICATIONS Women earn 60 percent of all master’s degrees, 50 percent of all medical and law degrees and 44 percent of all business degrees in the United States (Rosen, 2012). Companies that seek gender diversity tap into the largest talent pool.

2

CONSIDER THIS:

WOMEN EARN 60% OF ALL MASTER'S DEGREES, 50% OF ALL MEDICAL AND LAW DEGREES AND 44% OF ALL BUSINESS DEGREES IN THE UNITED STATES.

APRIL 2013 MINNESOTA CENSUS OF WOMEN IN CORPORATE LEADERSHIP

Joann Bangs, Ph.D.

words of A.G. Lafley, former chairman, president and CEO of Proctor & Gamble: “A diverse organization will out-think, out-innovate and out-perform a homogeneous organization every time” (Branson, 2010, pg. 127).

Women on Boards: Opportunities to Diversify Publicly held Minnesota companies appointed 56 new independent directors to corporate boards in 2012. Each appointment represented an opportunity to diversify the face of the corporate leadership team by opening ranks to a highly qualified woman.

In 2012, 11 of the 56 (or 20 percent) of the new independent directors appointed were women, an increase of 10 percentage points over the previous year.

Despite this increase, the net increase across all companies was negligible due to company relocation and changes in the corporate landscape in Minnesota. Shifts in the companies represented in the Census reveal that larger companies often leave and smaller ones (which tend to have fewer opportunities for women) come on.

PERCENT OF BOARD SEATS HELD BY WOMEN

21.9%

MINNESOTA (16/100)

MINNESOTA COMPANIES WITH WOMEN AT THE TABLE

14.5% 19.3%

NEW YORK METRO (62/100)

19.0%

39%

No Women Directors One Woman Director

19.1%

OHIO (26/53)

31%

30%

Two or More Women Directors

16.4% 18.9%

MASSACHUSETTS (9/100)

12.7% 18.8%

ALABAMA (1/27)

9.0% 17.1%

WISCONSIN (7/50)

14.4% 17.0%

CALIFORNIA (51/85)

Women held 14.5 percent of the board seats of Minnesota’s 100 largest publicly held companies in 2012. This reflects the highest percentage of seats held by women since the study began in 2008, but an increase of only 0.3 percentage points over 2011.

In hard numbers, women stepped into 12 of the 66 available directorships at Minnesota companies in 2012. Overall, these numbers reflect a drop in the number of board seats, not a change in the number of women advanced to corporate boards.

Most boards rely on traditional nominating practices and tend to replicate themselves when selecting new directors. In the words of one nominating chair: “We find

it beneficial that at least one person on the board knows the potential candidate.”

Women Executive Officers: Good News in a Challenging Economy Women executive officers retained 17.4 percent of the available executive officer (Section 16b) positions in 2012. The number of company positions decreased from 708 positions in 2011 to 665 positions in 2012, with women retaining the same percentage of positions despite the decrease.

Nine companies reported a net increase in women executive officers in 2012 compared with eight companies in 2011.

16.0% 17.0%

GEORGIA (14/130)

10.4%

PENNSYLVANIA (7/100)

11.0%

16.1%

15.9%

MICHIGAN (19)

15.9% 15.2%

MARYLAND (5/80)

10.7% 14.2%

FLORIDA (15/100)

9.1% 12.9%

TEXAS (49/97)

10.7% 11.1%

TENNESSEE (8/62) KANSAS CITY (3/34)

9.6% 4.0% 8.2%

FORTUNE 500 (497)

16.6%

S&P 1500 (1,485)

14.0%

RUSSELL 3000 (2,865)

11.7%

0%

5%

FORTUNE 500 COMPANIES

Sixty-four of the top 100 public companies in Minnesota have women executive officers (Section 16b). However, 33 of those companies have only one woman — which can be perceived as token status.

10%

15%

20%

25%

ALL COMPANIES IN POOL

The numbers in parentheses refer to the number of companies in the Fortune 500, followed by the total number of companies tracked by the respective ION member organization.

MINNESOTA CENSUS OF WOMEN IN CORPORATE LEADERSHIP APRIL 2013

3

WOMEN CORPORATE DIRECTORS

Minnesota Paves the Way, but Road Ahead Is Long A look at the state’s top 100 public companies

M

innesota is a leader nationally in its percentage of women directors at Fortune 500 public companies. A less satisfying statistic, however, is the lack of growth in the state’s percentage of women directors from 2011 to 2012 — just a 0.3 percentage point rise.

Last year presented growth areas, however. An upsurge in openings for independent directors (meaning directors who aren’t employed by the company on whose board they serve) created opportunities for women.

Women filled twice as many of those openings in 2012 as they did in 2011. Today 16.3 percent of independent directors are women.

Even so, the needle has hardly moved in overall percentage of women directors since 2008, when St. Catherine University professors first began analyzing Minnesota Census data.

Back then, 14.2 percent of directors were women. Five years later, women directors have gained barely one-third of a percentage point, with the greatest number of women directors serving on the boards of Minnesota’s largest companies. iWomen hold 14.5 percent (115) of the 795 available board seats in Minnesota’s 100 largest publicly held companies, a net increase of 0.3 percent from the 2011 Minnesota Census. iThe percentage of seats held by women corporate directors tends to increase with company size. In Fortune 500 companies, 21.9 percent of board seats are held by women; the remaining 84 Minnesota companies have 12.5 percent of their board seats held by women. iA total of 66 board seats became available across Minnesota’s 100 largest publicly

MTS Systems and Target have both earned "Special Distinction" status on the Honor Roll for all five years of the Minnesota Census, meaning they have at least 30 percent women executive officers and 30 percent women directors. held companies in 2012. Twelve of those seats went to women, representing 18 percent of the available seats. In 2011, women were appointed to 10 percent of the available board seats. iOf the 66 new board appointees in 2012, 56 were new independent directors — presenting companies with 56 opportunities to diversify their board by gender. Only 11 of the 56 new independent directors appointed in 2012 were women. iAcross Minnesota’s top 100 public companies, 16.3 percent of all independent directors are women. In Fortune 500 companies, 23.8 percent of independent directors are women; in the remaining 84 Minnesota companies, 14.1 percent of independent directors are women.

Women Corporate Directors by Company iWomen serve on the boards of 69 of Minnesota’s 100 largest publicly held companies.

Three fewer companies had women directors in 2012 than in 2011. iOf the 16 Minnesota Fortune 500 companies, six have three or more women corporate directors, seven have two women directors, two have one woman corporate director and one (Nash Finch) has none. iOf the 84 other Minnesota companies in the top 100, five have three or more women corporate directors, 12 have two women corporate directors, 37 have one and 30 have none.

The overall percentage of seats held by women corporate directors has not noticeably changed over the past five years.

A Holding Pattern In 2012 Among Minnesota’s top 100 public companies: i9 had a net increase of one new woman director i7 had a net decrease of one woman director i79 had no change in total corporate directors Note: Net increases and decreases can be tracked only for the 95 companies that have remained constant in the Census sample between 2011 and 2012.

4

APRIL 2013 MINNESOTA CENSUS OF WOMEN IN CORPORATE LEADERSHIP

Women Doing Well

No Women in Top Leadership

Twelve Minnesota Census companies added women directors in 2012. Nine of those (*) had a net increase: Angeion* Piper Jaffray* Capella Education Rimage* Christopher & Banks* Select Comfort* Ecolab* Two Harbors Investment Mosaic* U.S. Bancorp* New Ulm Telecom Xcel Energy*

(Based on SEC filings as of June 30, 2012) Eighteen Minnesota companies include no women corporate directors or women executive officers (Section 16b) on their corporate leadership teams.

Eleven Minnesota Census companies had three or more women directors, achieving the critical mass that research suggests is essential to impact corporate governance. Five of these companies (*) increased the number of women serving on their boards to three or more in 2012: Piper Jaffray (4) Allete (4) Select Comfort (3)* Christopher & Banks (3)* Target (4) Ecolab (3)* U.S. Bancorp (3)* General Mills (4) Xcel Energy (3)* Hormel Foods (4) MTS Systems (3)

Fewer Women Directors Seven Minnesota Census companies had a net decrease in women directors in 2012: Appliance Recycling Centers of MTS Systems New Ulm Telecom America Regis FICO TCF Financial MakeMusic

COMPANY

CEO

Aetrium, Inc.

Joseph C. Levesque

Broadview Institute, Inc.

Jeffrey D. Myhre

Electromed, Inc

James J. Cassidy*

Electro-Sensors, Inc.

Bradley D. Slye

FICO

William J. Lansing

Image Sensing Systems, Inc.

Kenneth R. Aubrey**

Insignia Systems, Inc.

Scott F. Drill

IntriCon Corporation

Mark S. Gorder

Juhl Wind, Inc.

Daniel J. Juhl (Principle EO)

Lakes Entertainment, Inc.

Lyle Berman

Mocon, Inc.

Robert L. Demorest

Multiband Corporation

James L. Mandel

Northern Technologies International Corporation

G. Patrick Lynch

Rochester Medical Corporation

Anthony J. Conway

Stratasys, Inc.

S. Scott Crump

Winland Electronics, Inc.

Brian D. Lawrence (CFO)***

Wireless Ronin Technologies, Inc.

Scott W. Koller

WSI Industries, Inc.

Benjamin T. Rashleger

*Interim CEO **Interim CEO Kris B. Tufto, effective August 10, 2012 ***CEO David Gagne, effective December 3, 2012

Women of Color Scarce on Corporate Boards For the third year, the Minnesota Census examined directors’ seats held by women of color. No progress was made in 2012. Women of color — as classified and named by the U.S. Census Bureau — include women identified as Black, Hispanic, Asian, Native Hawaiian and other Pacific Islander, and American Indian or Alaskan Native.

Fourteen of Minnesota’s 100 largest publicly held companies had women directors of color in 2012, the same number as in 2011.

Two of the 14 companies have two women of color serving on their boards. The 12 other companies each have one woman director of color. The 86 Minnesota companies with no women directors of color have ample room for improvement. iWomen of color hold 2 percent of the available board seats in Minnesota’s 100 largest publicly held companies. i Sixteen women of color hold board seats. This represents 13.9

percent of the total board seats held by women directors in Minnesota’s 100 largest publicly held companies. iOf the 16 Minnesota Fortune 500 companies, seven companies have one or two women of color on the board; nine companies have none. iOf the new 66 directors added to Minnesota’s largest publicly held companies in 2012, only one was a woman of color.

Comparisons with National Data Women of color are scarce on corporate boards. Nationwide, women of color hold between 0.4 percent and 3.5 percent of the available board seats at companies in the 15 regional samples.

Minnesota, with 2 percent women directors of color, is in the middle of the range.

MINNESOTA CENSUS OF WOMEN IN CORPORATE LEADERSHIP APRIL 2013 5

WOMEN CORPORATE DIRECTORS AND EXECUTIVE OFFICERS

Hormel Foods has long been a champion of creating an environment that fosters female leaders. The Austinbased company has four women in top management. Pictured above: Chairman, President and CEO Jeffrey M. Ettinger and Vice Presidents Julie H. Craven, Lori J. Marco, Deanna T. Brady and Jody H. Feragen.

Building a Pipeline Minnesota is a leader when it comes to women in corporate leadership, but significant work remains to achieve gender equity.

Numbers Tell the Story Fifty-one of Minnesota’s 100 largest publicly held companies have both women corporate directors and women executive officers. On the face of it, that appears to be good news.

But consider: iEighteen of Minnesota’s 100 largest publicly held companies have no women directors or executive officers.

6

iThree companies had a net decrease in both women directors and women executive officers in 2012 (FICO, MTS Systems and MakeMusic). iAnd the number of Minnesota companies with both women corporate directors and women executive officers decreased by eight companies from 2011 to 2012.

Just the Facts

Board positions reflect current leadership roles in corporate governance. Executive officer positions offer a pipeline for future leadership roles in corporate governance.

A strategy for achieving a sustainable, critical mass of women leaders in public companies requires both.

Here’s how it works: Despite net decreases in both women corporate directors and women executive officers in 2012, MTS Systems retained

its Special Distinction status in the Minnesota Census — meaning women represent 30 percent of both its board and its executive suite.

How is that possible? With a critical mass of women in place, the loss of one woman director or one woman executive officer does not eradicate gender diversity in corporate leadership.

A diverse leadership team is sustainable when women have achieved critical mass.

Minnesota companies reporting larger revenues are more likely than smaller companies to have women represented in both the boardroom and the executive suite. That reflects national trends.

APRIL 2013 MINNESOTA CENSUS OF WOMEN IN CORPORATE LEADERSHIP

Leading the Charge Minnesota companies boast highest percentage of female executive officers, but some experienced a net decrease in 2012.

Minnesota continues to lead the nation in the percentage of executive officers who are women.

Women hold between 5.7 percent and 16.9 percent of all executive officer positions across the 14 regions other than Minnesota represented in the national ION study.

Minnesota, with 17.4 percent, leads the regions.

Even though that percentage remained constant from last year’s report, it is still something to celebrate.

MORE WOMEN EXECUTIVES

Nine Minnesota Census companies had a net increase in women executive officers in 2012: Communications Systems Digi International H.B. Fuller Navarre Nortech Systems Select Comfort Toro Valspar ValueVision Media SECTION 16B OFFICERS

Executive officers of companies nationwide offer an accomplished pool for potential corporate board appointees.

Criteria for inclusion in the “executive officer” category vary by company. To be consistent, the Minnesota Census identifies only those individuals formally designated as Section 16b executive officers in SEC filings.

iTwelve of the top 100 public companies have three or more women executive officers. iNineteen have two women executive officers. iThirty-three have just one woman executive officer; and 36 have none. iAmong the state’s 16 Fortune 500 companies, C.H. Robinson Worldwide and Ecolab have no female executive officers.

Between 26 percent and 73.2 percent of companies included in ION’s sample have no women in their executive offices. Thirty-six percent of Minnesota companies have no women executive officers.

FEWER WOMEN EXECUTIVES

Fourteen Minnesota Census companies had a net decrease in women executive officers in 2012: Capella Education Christopher & Banks Ecolab FICO Hawkins Hormel Foods MakeMusic Medtox Scientific Mosaic MTS Systems Otter Tail St. Jude Medical Supervalu SurModics

WOMEN EXECUTIVE OFFICERS NATIONWIDE

17.4%

MINNESOTA (100)

36.0% 16.9%

NEW YORK METRO (100)

26.0%

OHIO (53)

12.1%

FLORIDA (100)

11.5%

MARYLAND (80)

11.3%

WISCONSIN 50)

11.2%

PHILADELPHIA (100)

11.0%

ALABAMA (27)

10.9%

30.2%

58.0%

56.3%

40.0%

58.0%

66.7%

TENNESSEE 10.1% (62)

54.8%

CALIFORNIA 10.1% (85) GEORGIA (130)

9.9%

MASSACHUSETTS (100)

9.9%

MICHIGAN (19)

53.3%

60.0%

49.0% 8.9%

31.5%

TEXAS 6.1% (97) KANSAS CITY (34)

73.2%

5.7%

67.6%

0 5 10 15 20 25 30 35 40 45 50 55 60 65 70 75%

PERCENTAGE OF EXECUTIVE OFFICERS WHO ARE WOMEN

PERCENTAGE OF COMPANIES WITH NO WOMEN EXECUTIVE OFFICERS

The numbers in parentheses indicate the number of companies in each region's sample.

MINNESOTA CENSUS OF WOMEN IN CORPORATE LEADERSHIP APRIL 2013

7

MINNESOTA VOICES AND VIEWS

Why Women Matter Research shows that one woman has less influence than multiple female views.

O

ne woman on a board is a token.

Two are a presence, and three are a set of diverse views.

That’s what anecdotal evidence tells us.

Based on extensive research nationally and internationally, however, the presence of women on boards does benefit corporations — both financially and in decisionmaking style.

In 2012, the Credit Suisse Research Institute tested the performance of 2,360 companies globally over the past six years.

Companies with one or more women directors outperformed those with no women on the board. A substantial report published in 2006 by the Wellesley Centers for Women — “Critical Mass on Corporate Boards: Why Three or More Women Enhance Governance” — found wide

agreement among CEOs, corporate secretaries and women directors from Fortune 1000 companies that women directors bring a style of leadership that benefits boardroom dynamics.

The report is credited with showing why a minimum of three women on a board substantially changes the dynamics and interactions. Women directors are credited with surfacing tough issues and fostering collaboration to solve them.

Women directors also open channels for women in upper management. According to Matsa and Miller (2011), the number of women executive officers tends to increase

in companies with women CEOs and multiple women board members.

This trend is reflected in the 2012 Minnesota Census Honor Roll, which welcomed Christopher & Banks and Select Comfort to “Special Distinction” status (30 percent women on its board and in its executive suite). Both companies currently are led by women CEOs.

Lessons From Local Leaders

Minnesota executives tout the importance of having gender diversity on corporate boards.

WOMEN’S POINT OF VIEW: “To say we need the ‘woman’s voice’ at the table suggests that women hold a single point of view. If you have more than one woman her voice is recognized for what she says, rather than as ‘the woman’s perspective.’”

—Deborah Amberg, senior vice president, general counsel and secretary, Allete, Inc.; president, board of trustees, Marshall School, Duluth; director, One Roof Community Housing

8

APRIL 2013 MINNESOTA CENSUS OF WOMEN IN CORPORATE LEADERSHIP

DIVERSITY AND DECISIONMAKING: “By the nature of having people of different backgrounds on a board, you are going to have a better conversation. If I can get men and women of different cultures and races focusing on a common issue, I would bet on that team giving me a better solution.”

—Becky Roloff, president and CEO, YWCA of Minneapolis; director, Allina Health and C.H. Robinson Worldwide

WOMEN AS A STRATEGIC IMPERATIVE: “One of the best ways to build diverse management ranks is to have a diverse board. In consumer goods, women make or influence at least 80 percent of the purchasing decisions. From our business perspective at Land O’Lakes, women understand women and bring a great insight.”

WHERE TO FIND FEMALE DIRECTORS: “I was visible and effective in the not-for-profit sector, which led to me being invited to be a director of North American Life Insurance Company back in 1976.

There are many places to look — including academia and the not-for-profit sector — without limiting the search to a CEO or COO of a corporation.”

—Luella Goldberg, former director, Hormel Foods, ReliaStar Financial and TCF Financial

—Chris Policinski, president and CEO, Land O’Lakes; director, Xcel Energy, Hormel Foods and U.S. Global Leadership Campaign

NOMINATING WOMEN DIRECTORS: “It is incumbent upon boards’ nominating committees to cast a wide net. Sometimes boards use their own network or sphere of influence. Sometimes they engage search firms. But to suggest that there aren’t experienced, highly competent women misses the mark.”

— Mark Cohn, chairman and CEO, Third Season, LLC; founder, Second Act and Damark International; director, Christopher & Banks

Minnesota’s Good Fortune

State’s largest corporations are national leaders in gender diversity

Three’s the Charm

The following Minnesota Census companies have three or more women directors: Three Women Directors Christopher & Banks Ecolab MTS Systems Select Comfort U.S. Bancorp Xcel Energy Four Women Directors Allete General Mills Hormel Foods Piper Jaffray Target

Minnesota leads the nation in the percent of Fortune 500 company board seats held by women directors (21.9 percent). When factoring in all 100 of the largest Minnesota public companies, Minnesota’s data on women directors are comparable to the national trends.

The 14.5 percent of board seats held by women directors across the Minnesota Census companies falls in the upper-middle range of the national data reported by ION, a national nonprofit organization dedicated to advancing women in corporate leadership. iIn the 15 regions reported in the national ION data, women hold between 8.2 percent and 19 percent of the available board seats in all companies included in the research. Minnesota weighs in with 14.5 percent. iIn Fortune 500 companies nationwide, women hold 16.6 percent of the available board seats. Minnesota’s 16 Fortune 500 companies have women directors in 21.9 percent of the available board seats.

A recent study by GMI Ratings (July 2012) examining gender diversity on 2,770 corporate boards revealed that the Midwest leads the United States in corporate boardroom gender diversity, followed

by New England and the Mid-Atlantic regions. The West and South follow, with the Mountain region lagging behind.

Minnesota, Ohio and the New York metro area lead the pack nationally due to their strength in consumer products and financial services companies — which, according to GMI Ratings, tend to have multiple women directors and fewer companies with all-male boards.

MINNESOTA CENSUS OF WOMEN IN CORPORATE LEADERSHIP APRIL 2013

9

HONOR ROLL AND SPECIAL DISTINCTION COMPANIES

Moving the Needle

Honor Roll companies make Minnesota a diverse place to do business.

M

innesota consistently ranks at or near the top in women’s corporate leadership among the 15 regions studied by the InterOrganization Network (ION), a nonprofit organization that seeks to advance women’s corporate leadership.

In fiscal year 2012, Minnesota was first in the percentage of women executives and fifth in the percentage of women directors.

Consumer products companies such as Target, Best Buy and Select Comfort understand the need to make gender diversity a priority. They recognize that women make a majority of household spending deci-

sions, and listening to women’s voices is important to their success. So is attracting and retaining women executive officers.

Top executives at many leading Minnesota companies share these common beliefs cited by executives in national ION research: iGender diversity at the boardroom and executive levels is a strategic business imperative, not just a feel-good or politically correct initiative. iThe boardroom and executive suite must reflect the environment in which the company operates and competes.

iAdding women directors will naturally result from identifying a board’s strategic needs and seeking the best-qualified candidates to fill those gaps. iPlenty of talented women with experience in the business and nonprofit sectors are qualified to serve on corporate boards across all industries and sectors. i A diverse board often results in better corporate governance and financial performance.

Learn more at ionwomen.org.

“We strive to build high-performance teams that celebrate the power of individuality and collaboration.”

—SHELLY IBACH, PRESIDENT AND CEO, SELECT COMFORT

About the Honor Roll

Minnesota companies in the 2012 Minnesota Census have boards ranging from four to 15 seats and list from one to 18 Section 16b executive officers. Therefore, Honor Roll criteria focus on the percentage, rather than the number, of women corporate directors and women executive officers.

Six Minnesota companies have retained Honor Roll status over the past five years: Christopher & Banks, CyberOptics, Deluxe, HMN Financial, MTS Systems and Target.

These companies maintain a diverse corporate leadership team despite director and executive officer turnover.

10

2012 HONOR ROLL DEPARTURES:

iAlliant Techsystems relocated its headquarters. iNew Ulm Telecom lost one woman director. iOtter Tail lost one woman executive officer. iPiper Jaffray added five executive officers, all of them men. iSt. Jude Medical lost one woman executive officer and added an executive officer position filled by a man.

2012 HONOR ROLL ADDITIONS:

iBest Buy decreased the size of its board of directors. No additional women joined the board, but the percentage of women increased. iUnitedHealth Group reduced the number of executive officer positions. No women were added, but the percentage of women increased.

APRIL 2013 MINNESOTA CENSUS OF WOMEN IN CORPORATE LEADERSHIP

The 2012 Honor Roll

Companies with 30 percent women executive officers and 30 percent women directors are granted “Special Distinction” status in the Minnesota Census of Women in Corporate Leadership Honor Roll.

This is the first time since the initial analysis in 2008 that the Minnesota Census has featured more than three Special Distinction companies. MTS and Target have been Special Distinction companies for all five years of the Census. CyberOptics has retained that distinction since 2009, and Christopher & Banks and Select Comfort made the Special Distinction ranks for the first time this year.

Special Distinction Companies the surface mount electronics industry. Two of its six directors are women and one in three executive officers is a woman.

Companies with both 20 percent or more women corporate directors and 20 percent or more women executive officers receive Honor Roll distinction in the Minnesota Census of Women in Corporate Leadership.

MTS Systems Corporation One of two companies to earn Special Distinction status for each of the past five years, MTS Systems provides testing and sensing solutions to measure accuracy, durability and reliability in sectors that range from energy to aerospace and civil engineering. In 2012, three of eight directors were women and two of six executive officers were women.

Target Corporation Target has received Special Distinction status for all five years of the Census. Four of 11 directors are women and five of 12 executive officers are women.

“We believe diversity is vital in understanding and serving our guests and in making Target a great place to work,” says Gregg Steinhafel, Target chairman, president and CEO.

CyberOptics Corporation “A diverse culture is a rewarding culture in which to work,” says Board Chair, CEO and President Kitty Iverson. “So we have very little turnover at CyberOptics — and that clearly helps the bottom line.” A Special Distinction company since 2009, CyberOptics is a leader in

Christopher & Banks Corporation Christopher & Banks joins the Special Distinction companies on the Honor Roll for the first time. “The company has made a concerted effort to expand the experience, background, skills and viewpoints, as well as the overall make-up, of the board,” says Paul Snyder, chairman of the board. Three of eight directors are women and two of five executive officers are women. In November 2012, the company hired a female president and CEO.

“As a women’s specialty retailer, we believe that having women on the board and in the C-suite helps us more fully understand our customer base.”

—Paul Snyder, chairman of the board, Christopher & Banks

FORTUNE 500: Best Buy Company, Inc. (2012 addition) CEO George L. Mikan III*

Target Corporation CEO Gregg W. Steinhafel

UnitedHealth Group, Inc. (2012 addition) CEO Stephen J. Hemsley

OTHER COMPANIES: Analysts International Corporation CEO Brittany B. McKinney

Christopher & Banks Corporation CEO Joel N. Waller**

CyberOptics Corporation CEO Kathleen P. Iverson

Deluxe Corporation CEO Lee L. Schram

HickoryTech Corporation CEO John W. Finke

HMN Financial, Inc.

Select Comfort Corporation

President Bradley C. Krehbiel

Having moved up the Honor Roll to Special Distinction status, Select Comfort — maker of Sleep Number beds — regards individualism as part of its DNA. Half of the senior leadership team is female, including President and CEO Shelly Ibach, who was promoted from vice president in June 2012. Three of nine directors at the company are women and five of eight executive officers are women.

CEO Jeffrey A. Graves

MTS Systems Corporation Select Comfort Corporation CEO Shelly R. Ibach

The Valspar Corporation CEO Gary E. Hendrickson *Hubert Joly announced August 20, 2012, as new CEO **LuAnn Via announced November 26, 2012, as new CEO

MINNESOTA CENSUS OF WOMEN IN CORPORATE LEADERSHIP APRIL 2013

11

ROSTER OF WOMEN CORPORATE DIRECTORS (AS LISTED IN SEC FILINGS AS OF JUNE 30, 2012 ) COMPANY NAME 3M Company Allete, Inc.

Ameriprise Financial, Inc. Analysts International Corporation Angeion Corporation Apogee Enterprises, Inc. Arctic Cat, Inc. Best Buy Company, Inc. Buffalo Wild Wings, Inc. C.H. Robinson Worldwide, Inc. Canterbury Park Holding Corporation Capella Education Company

Cardiovascular Systems, Inc. Caribou Coffee Company, Inc. Christopher & Banks Corporation

Clearfield, Inc. Communications Systems, Inc. CyberOptics Corporation

Datalink Corporation Deluxe Corporation Digital River, Inc. The Dolan Company Donaldson Company, Inc. Ecolab, Inc.

Famous Dave's of America, Inc. Fastenal Company G&K Services, Inc.

General Mills, Inc.

Graco, Inc. H.B. Fuller Company HickoryTech Corporation HMN Financial, Inc.

Hormel Foods Corporation

Hutchinson Technology, Inc. Ikonics Corporation Imation Corporation Life Time Fitness, Inc.

12

CORPORATE DIRECTORS

Linda G. Alvarado Aulana L. Peters Kathleen A. Brekken Kathryn W. Dindo Heidi J. Eddins Madeleine W. Ludlow Siri S. Marshall Brigid A. Bonner Brittany B. McKinney Wendy D. Lynch, Ph.D. Sara L. Hays Susan E. Lester Lisa M. Caputo Kathy J. Higgins Victor Sally J. Smith Rebecca Koenig Roloff Carin J. Offerman Jody G. Miller Hilary C. Pennington Leslie L. Trigg Sarah Palisi Chapin Anne L. Jones Patricia A. Stensrud Lisa W. Wardell Cheryl P. Beranek Luella G. Goldberg Kathleen P. Iverson Irene M. Qualters Margaret A. Loftus Cheryl E. Mayberry McKissack Mary Ann O’Dwyer Cheryl F. Rosner Lauren Rich Fine Janet M. Dolan Barbara J. Beck Victoria J. Reich Mary M. VanDeWeghe Lisa A. Kro Reyne K. Wisecup Lynn Crump-Caine Alice M. Richter Judith Richards Hope Heidi G. Miller Hilda Ochoa-Brillembourg Dorothy A. Terrell Martha (Marti) A. Morfitt Juliana L. Chugg Myrita P. Craig Diane L. Dewbrey Karen L. Himle Susan K. Kolling Jody H. Feragen Susan I. Marvin Elsa A. Murano, Ph.D. Susan K. Nestegard Martha Goldberg Aronson Rondi C. Erickson Trudy A. Rautio Martha (Marti) A. Morfitt

APRIL 2013 MINNESOTA CENSUS OF WOMEN IN CORPORATE LEADERSHIP

TITLE President and CEO, Alvarado Construction, Inc. Retired Partner, Gibson, Dunn & Crutcher, LLP Retired President and CEO, Midwest of Cannon Falls, Inc. Retired VP and Chief Risk Officer, FirstEnergy Corporation Former EVP, Secretary and General Counsel, Florida East Coast Railway, LLC Former Principal, Market Capital Partners, LLC Former SVP, General Counsel and Secretary, and Chief Governance and Compliance Officer, General Mills, Inc. VP of Digital Marketing, Home Service Division, The Schwan Food Company Director, President and CEO, Analysts International Corporation Co-Director, Center for Consumer Choice in Health Care, Altarum Institute Principal, SLH Advisors Private investor; CFO, Homeside Lending, Inc. EVP, Marketing and Communications, Travelers Companies, Inc. President and Founder, Centera Corporation CEO and President, Buffalo Wild Wings, Inc. CEO, Minneapolis YWCA Private investor; Principal, Puppy Good Start CEO and President, Business Talent Group Former Director, U.S. Education – Postsecondary Success and Special Initiatives, Bill and Melinda Gates Foundation EVP, Marketing and Commercial Strategy, Lutonix CEO, Hail Merry Snacks; Co-founder, The Chain Gang CEO, Jones Consulting Group, Inc. President, A&H Manufacturing EVP and COO, The RLJ Companies President and CEO, Clearfield, Inc. Member, Board of Overseers, University of Minnesota Carlson School of Management Chairman of the Board of Directors, President and CEO, CyberOptics Corporation Lead Director, CyberOptics Corporation; Program Director – Office of Cyberinfrastructure, National Science Foundation Independent Consultant President and CEO, Nia Enterprises, LLC SVP, Finance and Operations, and CFO, Wheels, Inc. Consultant and advisor to various companies Executive Search Consultant, Howard & O’Brien Associates President, Act 3 Enterprises CEO, Learning Care Group, Inc. Former SVP and CFO, United Stationers, Inc. CEO and President, Forte Consulting, Inc. Founding Partner, CFO and Managing Director, Mill City Capital, L.P. EVP, Human Resources, Fastenal Company Founder and CEO, Outsidein Consulting; Retired EVP, Worldwide Operations and Restaurant Systems, McDonald's Corporation Retired CPA, KPMG, LLP Distinguished Visitor from Practice and Professor of Law, Georgetown University Retired President, JPMorgan International, a Division of JPMorgan Chase & Company Founder, President and CEO, Strategic Investment Group; Director, Emerging Markets Investment Corporation Managing Partner, FirstCap Advisors CEO, Airborne, Inc. SVP and President, Meals Division, General Mills, Inc. President, Blackbook Experience Management Group CEO and Director, Foundation Bank Director, Minnesota Orchestral Association; Director, University of Nebraska Foundation; Director, Himle Rapp and Company, Inc. SVP, HMN Financial, Inc. EVP and CFO, Hormel Foods Corporation President, Marvin Windows and Doors Professor, Nutrition and Food Science, and President Emerita, Texas A&M University Former President, Global Healthcare Sector, Ecolab, Inc. EVP, Strategic Planning, Ecolab, Inc. Co-owner, Nokomis Restaurant & Bar CEO, Carlson CEO, Airborne, Inc.

COMPANY NAME Medtronic, Inc. MTS Systems Corporation

The Mosaic Company Navarre Corporation New Ulm Telecom, Inc. Northern Oil and Gas, Inc. NVE Corporation Otter Tail Corporation Patterson Companies, Inc. Pentair, Inc. Piper Jaffray Companies

Polaris Industries, Inc. Proto Labs, Inc. Rimage Corporation Select Comfort Corporation

Supervalu, Inc. SurModics, Inc. Target Corporation

TCF Financial Corporation Techne Corporation Tennant Company The Toro Company Two Harbors Investment Corporation U.S. Bancorp

UnitedHealth Group, Inc. Uroplasty, Inc. The Valspar Corporation ValueVision Media, Inc. Winmark Corporation Xata Corporation Xcel Energy, Inc.

CORPORATE DIRECTORS

TITLE

Shirley Ann Jackson, Ph.D. Denise M. O’Leary Emily M. Liggett Barb J. Samardzich Gail P. Steinel Phyllis E. Cochran Nancy E. Cooper Kathleen P. Iverson

President, Rensselaer Polytechnic Institute Private venture capital investor President and CEO, Novatorque, Inc. VP, Product Development, Ford of Europe, Ford Motor Company Owner, Executive Advisors President, Parts Group, Navistar, Inc. EVP and CFO, CA Technologies President and CEO, CyberOptics Corporation

Suzanne M. Spellacy Lisa Meier Patricia M. Hollister Karen M. Bohn Joyce Nelson Schuette Ellen A. Rudnick Leslie Abi-Karam Glynis A. Bryan B. Kristine Johnson Lisa K. Polsky Jean M. Taylor Hope B. Woodhouse Annette K. Clayton

VP and General Counsel, Taylor Corporation Executive Financial and Accounting Consulting Services, SolomonEdwards Group, LLC CFO, FSI International, Inc. President, Galeo Group, LLC Retired Managing Director and Investment Banker, Piper Jaffray Companies Executive Director and Clinical Professor, University of Chicago Booth School of Business EVP and President, Mailing Solutions Management, Pitney Bowes, Inc. CFO, Insight Enterprises, Inc. President, Affinity Capital Management EVP and Chief Risk Officer, CIT Group, Inc. President, Life is Now, Inc. COO, Bridgewater Associates, LP EVP, Global Supply Chain, Schneider Electric

Margaret A. Loftus Kimberly K. Nelson Shelly R. Ibach Brenda J. Lauderback Kathy Nedorostek Susan E. Engel Kathi P. Seifert Mary K. Brainerd Susan E. Knight Roxanne S. Austin Mary N. Dillon Mary E. Minnick Anne M. Mulcahy Karen L. Grandstrand Karen A. Holbrook, Ph.D. Carol S. Eicher Janet K. Cooper Katherine J. Harless Hope B. Woodhouse Victoria Buyniski Gluckman Doreen Woo Ho Olivia F. Kirtley Michele J. Hooper Gail R. Wilensky, Ph.D. Lee A. Jones Janel S. Haugarth Mae C. Jemison, M.D. Catherine Dunleavy Jenele C. Grassle Karen T. Van Lith Gail Koziara Boudreaux A. Patricia Sampson Kim Williams

Director, Datalink Corporation EVP and CFO, SPS Commerce, Inc. President and CEO, Select Comfort Corporation Former President, Retail and Wholesale Group, Nine West Group, Inc. President, U.S. Wholesale Division, Coach, Inc. CEO and President, PorteroLuxury, Inc. Retired EVP, Kimberly-Clark Corporation President and CEO, HealthPartners, Inc. VP and CFO, MTS Systems Corporation President, Austin Investment Advisors President, CEO and Director, United States Cellular Corporation Partner, Lion Capital Chairman of the Board of Trustees, Save the Children Federation, Inc. Shareholder, Fredrikson & Byron, P.A. VP, Research and Innovation, University of South Florida Business Group VP, Building and Construction, The Dow Chemical Company Former SVP and Treasurer, Qwest Communications International, Inc. Former President and CEO, Idearc, Inc. Former COO, Bridgewater Associates, Inc. Retired Chairman and CEO, United Medical Resources, Inc. President, San Francisco Port Commission CPA; business consultant President and CEO, The Directors’ Council Senior Fellow, Project HOPE President and CEO, MikrobEX, Inc. EVP, Merchandising and Logistics, Supervalu, Inc. President, The Jemison Group, Inc. EVP and CFO, NBC Universal Cable Entertainment and Cable Studios VP, Bluestem Brands, Inc. Former CEO, MakeMusic, Inc. CEO, UnitedHealthcare, and EVP, UnitedHealth Group CEO and President, The Sampson Group, Inc. Retired Partner, Wellington Management Company, LLP

No Women

The following 31 companies have only men on their boards: Aetrium, Inc.; Appliance Recycling Centers of America; Broadview Institute, Inc.; Digi International, Inc.; Electromed, Inc.; Electro-Sensors, Inc.; FICO; FSI International, Inc.; Granite City Food & Brewery, Ltd.; Hawkins, Inc.; Image Sensing Systems, Inc.; Insignia Systems, Inc.; IntriCon Corporation; Juhl Wind, Inc.; Lakes Entertainment, Inc.; MakeMusic, Inc.; Medtox Scientific, Inc.; Mocon, Inc.; Multiband Corporation; Nash Finch Company; Nortech Systems, Inc.; Northern Technologies International Corporation; Regis Corporation; Rochester Medical Corporation; SPS Commerce, Inc.; Stratasys, Inc.; Urologix, Inc.; Vascular Solutions, Inc.; Winland Electronics, Inc.; Wireless Ronin Technologies, Inc.; WSI Industries, Inc. MINNESOTA CENSUS OF WOMEN IN CORPORATE LEADERSHIP APRIL 2013

13

ROSTER OF WOMEN EXECUTIVE OFFICERS (SECTION 16B, AS LISTED IN SEC FILINGS AS OF JUNE 30, 2012 ) COMPANY NAME

3M Company

Allete, Inc. Ameriprise Financial, Inc.

Analysts International Corporation Apogee Enterprises, Inc. Appliance Recycling Centers of America, Inc. Arctic Cat, Inc. Best Buy Company, Inc.

Buffalo Wild Wings, Inc.

Capella Education Company Caribou Coffee Company, Inc. Christopher & Banks Corporation Clearfield, Inc. Communications Systems, Inc. CyberOptics Corporation Deluxe Corporation

Digi International, Inc. The Dolan Company Donaldson Company, Inc.

Famous Dave's of America, Inc. Fastenal Company FSI International, Inc. General Mills, Inc. Graco, Inc. Granite City Food & Brewery, Ltd. H.B. Fuller Company

Hawkins, Inc. HickoryTech Corporation HMN Financial, Inc. Hormel Foods Corporation Hutchinson Technology, Inc. MakeMusic, Inc. Medtox Scientific, Inc. Medtronic, Inc. The Mosaic Company MTS Systems Corporation Nash Finch Company Navarre Corporation

14

EXECUTIVE OFFICERS

TITLE

Julie Bushman Marlene M. McGrath Deborah A. Amberg Kelli A. Hunter Deirdre Davey McGraw Kim M. Sharan Brittany B. McKinney

EVP, Safety, Security and Protection Services Business SVP, Human Resources SVP, General Counsel and Secretary EVP, Human Resources EVP, Corporate Communications and Community Relations President, Financial Planning and Wealth Strategies, and Chief Marketing Officer President and CEO

Patricia A. Beithon Rachel L. Holmes

General Counsel and Corporate Secretary VP, Business Development, and Chief of Staff

Mary Ellen Walker Shari L. Ballard Susan S. Grafton Carol A. Surface Kathleen M. Benning Emily Decker Judith A. Shoulak Sally J. Smith Mary J. Twinem Sally B. Chial Karen E. McBride-Raffel Monica L. Dahl Michelle L. Rice

VP and General Manager, Parts, Garments and Accessories EVP and President, International SVP, Controller and Chief Accounting Officer EVP, Chief Human Resources Officer EVP, Global Brand and Business Development VP, General Counsel and Secretary EVP, North American Operations CEO, President and Director EVP, CFO and Treasurer SVP, Human Resources SVP, Human Resources SVP, Multi- Channel Marketing, Investor Relations and Business Strategy SVP, Store Operations

Cheryl P. Beranek Karen Nesburg Bleick Kristin A. Hlavka Kathleen P. Iverson Lynn Koldenhoven Julie Loosbrock Laura Radewald Tracy L. Roberts Vicki J. Duncomb Renee L. Jackson Sandra N. Joppa Mary Lynne Perushek Debra L. Wilfong Diana G. Purcel Reyne K. Wisecup Patricia M. Hollister Kimberly A. Nelson Caroline M. Chambers Karen Park Gallivan Monica A. Underwood Traci L. Jensen Ann B. Parriott Joan A. Schuller Theresa R. Moran Kathleen P. Pepski Mary T. Jacobs Carol Wirsbinski Susan K. Kolling Jody H. Feragen Lori J. Marco Connie L. Pautz Karen L. VanDerBosch Angela M. Lacis Susan E. Puskas Caroline Stockdale Cindy C. Redding Susan E. Knight Kristin Trecker Kathleen M. Mahoney Joyce Fleck Diane D. Lapp

President and CEO VP, Human Resources Corporate Controller Chairman of the Board of Directors, President and CEO SVP, Sales and Marketing Direct-to-Consumer SVP, Human Resources VP, Enterprise Brand, Customer Experience and Media Relations VP, Human Resources and Information Technology VP, CFO and Corporate Secretary VP and General Counsel VP, Human Resources VP and Chief Information Officer VP and CTO CFO and Secretary EVP, Human Resources and Director CFO and Assistant Secretary SVP, External Relations, and President, General Mills Foundation VP and Controller VP, General Counsel and Secretary VP, Finance and Corporate Secretary VP, Americas Adhesives VP, Human Resources VP, Asia Pacific VP, Quality and Support VP, CFO and Treasurer VP and VP, Human Resources VP and COO SVP, HMN Financial and Home Federal Savings Bank EVP and CFO VP, External Affairs and General Counsel VP, Human Resources and Corporate Communications COO, Treasurer, CFO and Interim CEO Corporate Controller and Principal Accounting Officer VP, Quality Assurance and Regulatory Affairs, and COO, Clinical Laboratory Operations SVP and Chief Human Resources Officer VP, Human Resources SVP and CFO SVP and Chief Human Resources Officer EVP, General Counsel and Secretary President, Business and Logistics Services CFO

APRIL 2013 MINNESOTA CENSUS OF WOMEN IN CORPORATE LEADERSHIP

COMPANY NAME

New Ulm Telecom, Inc. Nortech Systems, Inc.

Patterson Companies, Inc. Pentair, Inc. Piper Jaffray Companies Polaris Industries, Inc. Proto Labs, Inc. Regis Corporation Select Comfort Corporation

SPS Commerce, Inc. Supervalu, Inc. Target Corporation

TCF Financial Corporation Tennant Company The Toro Company Two Harbors Investment Corporation U.S. Bancorp UnitedHealth Group, Inc. Urologix, Inc. Uroplasty, Inc. The Valspar Corporation ValueVision Media, Inc.

Vascular Solutions, Inc.

Winmark Corporation Xcel Energy, Inc.

EXECUTIVE OFFICERS

Barbara A.J. Bornhoft Jill D. Hesselroth Christine Meidinger Shari J. Yantes Ranell Hamm Angela D. Lageson Debbra L. Schoneman Stacy L. Bogart Jacqueline D. Schneider Norma Knudsen Annie Bloomquist Shelly R. Ibach Karen R. Richard Kathryn V. Roedel Wendy L. Schoppert Kimberly K. Nelson Janel S. Haugarth Sherry M. Smith Beth Jacob Jodeen A. Kozlak Tina M. Schiel Kathryn A. Tesija Laysha L. Ward Barbara E. Shaw Heidi M. Wilson Judy L. Altmaier Renee J. Peterson Rebecca B. Sandberg Jennie P. Carlson Pamela A. Joseph Gail K. Boudreaux Lori K. Sweere Lisa Ackermann Susan Hartjes Holman Nancy A. Kolb Cynthia A. Arnold Lori A. Walker Teresa Dery Nancy Kunkle Beth McCartan Annette Repasch Carol Steinberg Kelly Thorp Susan Christian Carrie Powers Charmaine Sutton Leah A. Goff Merry Beth Hovey Cathy J. Hart Teresa S. Madden Judy M. Poferl

TITLE

VP, COO and Corporate Secretary VP, Global Supply Chain Management and Electronic and Medical Products Managing Director, Wire and Cable Operations VP, Human Resources Chief Information Officer SVP, General Counsel and Secretary CFO VP, General Counsel, Compliance Officer and Secretary VP, Sales and Customer Service EVP, Merchandising SVP and Chief Marketing Officer President and CEO SVP and Chief Human Capital Officer EVP and Chief Services and Fulfillment Officer EVP and CFO EVP and CFO EVP, Merchandising and Logistics EVP and CFO EVP, Target Technology Services, and Chief Information Officer EVP, Human Resources EVP, Stores EVP, Merchandising President, Community Relations and Target Foundation SVP, Director, Corporate Human Resources, TCF Financial Corporation, and EVP, Corporate Human Resources, TCF Bank VP, General Counsel and Secretary VP, Operations and Quality Management VP, Finance and CFO Secretary and Deputy General Counsel EVP, Human Resources Vice Chairman, Payment Services EVP, UnitedHealth Group, and CEO, UnitedHealthcare EVP, Human Capital EVP, Sales and Marketing COO and Secretary VP, Global Marketing SVP and CTO SVP and CFO SVP and General Counsel SVP, Customer Experience and Business Process Engineering VP, Financial Planning and Analysis Chief Merchandising Officer and SVP EVP, Internet, Marketing and Human Resources SVP, Human Resources VP, Sales Operations VP, Marketing SVP, Operations VP, Human Resources VP, Marketing VP and Corporate Secretary SVP and CFO President, Director and CEO, NSP-Minnesota

No Women

The following 36 companies have only men as executive officers (Section 16b): Aetrium, Inc.; Angeion Corporation; Broadview Institute, Inc.; C.H. Robinson Worldwide, Inc.; Canterbury Park Holding Corporation; Cardiovascular Systems, Inc.; Datalink Corporation; Digital River, Inc.; Ecolab, Inc.; Electromed, Inc.; Electro-Sensors, Inc.; FICO; G&K Services, Inc.; Ikonics Corporation; Image Sensing Systems, Inc.; Imation Corporation; Insignia Systems, Inc.; IntriCon Corporation; Juhl Wind, Inc.; Lakes Entertainment, Inc.; Life Time Fitness, Inc.; Mocon, Inc.; Multiband Corporation; Northern Oil and Gas, Inc.; Northern Technologies International Corporation; NVE Corporation; Otter Tail Corporation; Rimage Corporation; Rochester Medical Corporation; Stratasys, Inc.; SurModics, Inc.; Techne Corporation; Winland Electronics, Inc.; Wireless Ronin Technologies, Inc.; WSI Industries, Inc.; Xata Corporation MINNESOTA CENSUS OF WOMEN IN CORPORATE LEADERSHIP APRIL 2013

15

WOMEN CORPORATE DIRECTORS AND EXECUTIVE OFFICERS

(AS LISTED IN SEC FILINGS AS OF JUNE 30, 2012)/(SECTION 16B)

RANKED BY 2011 REVENUE

CORPORATE DIRECTORS 2012 Rank

1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 47 48 49 50 51

16

Company Name

UnitedHealth Group, Inc. Target Corporation Best Buy Company, Inc. Supervalu, Inc. 3M Company U.S. Bancorp Medtronic, Inc. General Mills, Inc. The Mosaic Company Xcel Energy, Inc. C.H. Robinson Worldwide, Inc. Ameriprise Financial, Inc. Hormel Foods Corporation Ecolab, Inc. St. Jude Medical, Inc. Nash Finch Company The Valspar Corporation Patterson Companies, Inc. Pentair, Inc. Fastenal Company Polaris Industries, Inc. Donaldson Company, Inc. Regis Corporation The Toro Company H.B. Fuller Company Deluxe Corporation TCF Financial Corporation Imation Corporation Otter Tail Corporation Life Time Fitness, Inc. Allete, Inc. Graco, Inc. G&K Services, Inc. Buffalo Wild Wings, Inc. Tennant Company Select Comfort Corporation Apogee Enterprises, Inc. FICO Arctic Cat, Inc. ValueVision Media, Inc. MTS Systems Corporation Piper Jaffray Companies Navarre Corporation Christopher & Banks Corporation Capella Education Company Digital River, Inc. Datalink Corporation Hawkins, Inc. Caribou Coffee Company, Inc. Techne Corporation Multiband Corporation

EXECUTIVE OFFICERS

Total Directors

Women Directors

Percent Women Directors

Net Change from 2011

Total Officers

Women Officers

Percent Women Officers

Net Change from 2011

10 11 8 11 10 14 12 13 11 11 9 9 11 14 8 7 9 10 10 9 9 11 6 9 8 9 15 8 9 8 11 9 9 8 10 9 9 7 7 8 8 9 8 8 11 7 7 7 7 9 7

2 4 2 2 2 3 2 4 2 3 1 1 4 3 2 0 2 1 2 1 1 1 0 2 1 2 1 1 2 1 4 1 2 1 1 3 1 0 1 1 3 4 1 3 2 1 1 0 1 1 0

20.0% 36.4% 25.0% 18.2% 20.0% 21.4% 16.7% 30.8% 18.2% 27.3% 11.1% 11.1% 36.4% 21.4% 25.0% 0.0% 22.2% 10.0% 20.0% 11.1% 11.1% 9.1% 0.0% 22.2% 12.5% 22.2% 6.7% 12.5% 22.2% 12.5% 36.4% 11.1% 22.2% 12.5% 10.0% 33.3% 11.1% 0.0% 14.3% 12.5% 37.5% 44.4% 12.5% 37.5% 18.2% 14.3% 14.3% 0.0% 14.3% 11.1% 0.0%

0 0 0 0 0 1 0 0 1 1 0 0 0 1 0 0 0 0 0 0 0 0 -1 0 0 0 -1 0 0 0 0 0 0 0 0 1 0 -1 0 0 -1 1 0 1 0 0 0 0 0 0 0

7 12 10 10 15 13 8 12 8 16 7 13 17 14 14 7 5 8 7 9 14 11 3 12 10 9 18 5 5 4 7 13 5 9 8 8 5 6 9 13 6 10 6 5 5 4 3 7 6 3 6

2 5 3 2 2 2 1 1 1 3 0 3 2 0 2 1 2 1 1 1 1 3 1 2 3 3 1 0 0 0 1 2 0 5 1 5 1 0 1 6 2 1 2 2 1 0 0 2 1 0 0

28.6% 41.7% 30.0% 20.0% 13.3% 15.4% 12.5% 8.3% 12.5% 18.8% 0.0% 23.1% 11.8% 0.0% 14.3% 14.3% 40.0% 12.5% 14.3% 11.1% 7.1% 27.3% 33.3% 16.7% 30.0% 33.3% 5.6% 0.0% 0.0% 0.0% 14.3% 15.4% 0.0% 55.6% 12.5% 62.5% 20.0% 0.0% 11.1% 46.2% 33.3% 10.0% 33.3% 40.0% 20.0% 0.0% 0.0% 28.6% 16.7% 0.0% 0.0%

0 0 0 -1 0 0 0 0 -1 0 0 0 -3 -1 -1 0 1 0 0 0 0 0 0 1 2 0 0 0 -1 0 0 0 0 0 0 1 0 -1 0 2 -1 0 1 -1 -1 0 0 -1 0 0 0

APRIL 2013 MINNESOTA CENSUS OF WOMEN IN CORPORATE LEADERSHIP

CORPORATE DIRECTORS 2012 Rank

52 53 54 55 56 57 58 59 60 61

Company Name

The Dolan Company Hutchinson Technology, Inc. Digi International, Inc. Two Harbors Investment Corporation HickoryTech Corporation Northern Oil and Gas, Inc. Stratasys, Inc. Famous Dave's of America, Inc. Communications Systems, Inc. Appliance Recycling Centers of America, Inc. 62 Nortech Systems, Inc. 63 Analysts International Corporation 64 Medtox Scientific, Inc. 65 FSI International, Inc. 66 Proto Labs, Inc. 67 Granite City Food & Brewery, Ltd. 68 Vascular Solutions, Inc. 69 Rimage Corporation 70 Cardiovascular Systems, Inc. 71 SurModics, Inc. 72 Xata Corporation 73 CyberOptics Corporation 74 SPS Commerce, Inc. 75 IntriCon Corporation 76 Rochester Medical Corporation 77 Winmark Corporation 78 HMN Financial, Inc. 79 Canterbury Park Holding Corporation 80 Mocon, Inc. 81 Clearfield, Inc. 82 Lakes Entertainment, Inc. 83 New Ulm Telecom, Inc. 84 Image Sensing Systems, Inc. 85 NVE Corporation 86 Angeion Corporation 87 WSI Industries, Inc. 88 Electromed, Inc. 89 Northern Technologies International Corporation 90 Uroplasty, Inc. 91 Broadview Institute, Inc. 92 Insignia Systems, Inc. 93 MakeMusic, Inc. 94 Ikonics Corporation 95 Juhl Wind, Inc. 96 Urologix, Inc. 97 Wireless Ronin Technologies, Inc. 98 Aetrium, Inc. 99 Electro-Sensors, Inc. 100 Winland Electronics, Inc.

EXECUTIVE OFFICERS

Total Directors

Women Directors

Percent Women Directors

Net Change from 2011

Total Officers

Women Officers

Percent Women Officers

Net Change from 2011

8 8 6 8 9 7 6 6 8 5

1 1 0 1 2 1 0 1 1 0

12.5% 12.5% 0.0% 12.5% 22.2% 14.3% 0.0% 16.7% 12.5% 0.0%

0 0 0 NA 0 0 0 0 0 -1

6 6 7 6 6 4 3 2 8 7

2 1 1 1 2 0 0 1 2 1

33.3% 16.7% 14.3% 16.7% 33.3% 0.0% 0.0% 50.0% 25.0% 14.3%

0 0 1 NA 0 0 0 0 1 0

5 7 5 5 9 8 7 7 8 10 9 6 6 5 5 8 9 6 6 6 6 7 7 5 6 5 6 7

0 2 0 0 1 0 0 1 1 2 1 2 0 0 0 1 2 1 0 1 0 1 0 1 1 0 0 0

0.0% 28.6% 0.0% 0.0% 11.1% 0.0% 0.0% 14.3% 12.5% 20.0% 11.1% 33.3% 0.0% 0.0% 0.0% 12.5% 22.2% 16.7% 0.0% 16.7% 0.0% 14.3% 0.0% 20.0% 16.7% 0.0% 0.0% 0.0%

0 0 0 0 NA 0 0 1 0 0 0 0 0 0 0 0 0 0 0 0 0 -1 0 0 1 0 0 0

7 1 6 4 11 5 9 4 6 5 3 3 5 6 6 7 5 4 5 3 2 3 3 2 3 2 2 2

3 1 2 1 1 1 3 0 0 0 0 1 1 0 0 2 1 0 0 1 0 1 0 0 0 0 0 0

42.9% 100.0% 33.3% 25.0% 9.1% 20.0% 33.3% 0.0% 0.0% 0.0% 0.0% 33.3% 20.0% 0.0% 0.0% 28.6% 20.0% 0.0% 0.0% 33.3% 0.0% 33.3% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0%

3 0 -1 0 NA 0 0 0 0 -1 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0

7 5 6 5 9 5 5 7 6 5 4

1 0 0 0 1 0 0 0 0 0 0

14.3% 0.0% 0.0% 0.0% 11.1% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0%

0 0 0 -1 0 NA 0 NA 0 NA 0

7 2 5 2 5 3 4 2 6 2 1

2 0 0 1 0 0 1 0 0 0 0

28.6% 0.0% 0.0% 50.0% 0.0% 0.0% 25.0% 0.0% 0.0% 0.0% 0.0%

0 0 0 -1 0 NA 0 NA 0 NA 0

MINNESOTA CENSUS OF WOMEN IN CORPORATE LEADERSHIP APRIL 2013

17

WOMEN CHIEF FINANCIAL OFFICERS

Do the Math

CFOs are unequaled among women in the C-suite.

R

emember when girls were saddled with the stereotype that they were bad at math? Today, 60 percent of accountants and auditors are women, positions on the career path to chief financial officer (CFO). And among the relatively few women who have made it to the C-suite — whether as chief executive officer, chief operating officer, chief technology officer, chief financial officer or president — most are CFOs. Sixteen of Minnesota’s top 100 public companies have

women CFOs, compared with six female CEOs and only two women CTOs. The role of CFO is gaining currency as a strategic position.

“The ability to influence people to drive change, the courage to do something unfamiliar and the determination to persevere are qualities that I believe helped me achieve this role,” says Diane Lapp, CFO of Navarre.

Similarly Kim Nelson, CFO of SPS Commerce, says, “I enjoy how data and strategy come together to create a plan for growth.”

“The ability to influence people to drive change, the courage to do something unfamiliar and the determination to persevere are qualities that . . . helped me achieve this role.”

—DIANE LAPP, CFO, NAVARRE Being a CFO is “extremely satisfying, but it is demanding,” says Tevera Consulting’s Kay O’Leary, former CFO of Caribou Coffee and Buca.

She says numbers-oriented women who believe they’ll find more life balance as a CFO than as head of a profit-and-loss

center may be disappointed.

CFOs have held the lead among women in the C-suite in Minnesota’s top 100 public companies since St. Catherine University researchers began tracking the data last year.

In Minnesota, 18.8% of the state’s Fortune 500 companies have women CFOs compared with 8.7% of Fortune 500 companies nationwide.

Women at the Helm For the second year, the Minnesota Census identified women in top executive officer positions who hold the following titles: CEO, President, COO, CFO or CTO. Twenty-six women hold these executive officer positions across the Minnesota Census companies, up from 25 in 2011. The distribution of top women executives reveals more than twice the number of CFOs to CEOs across Minnesota’s 100 largest publicly held companies.

Four additional women joined the CFO ranks in 2012.

18

APRIL 2013 MINNESOTA CENSUS OF WOMEN IN CORPORATE LEADERSHIP

EXECUTIVE POSITIONS Chief Executive Officer President Chief Operating Officer Chief Financial Officer Chief Technology Officer

PERCENTAGE MINNESOTA WOMEN 6% 5% 4% 16% 2%

Women CFOs in Minnesota’s Top Companies

1. Buffalo Wild Wings, Inc. Mary J. Twinem, executive vice president, chief financial officer and treasurer

2. Famous Dave’s of America, Inc. Diana G. Purcel, chief financial officer and secretary

3. FSI International, Inc. Patricia M. Hollister, chief financial officer and assistant secretary

4. Hawkins, Inc. Kathleen P. Pepski, vice president, chief financial officer and treasurer

5. Hormel Foods Corporation Jody H. Feragen, executive vice president and chief financial officer

6. MakeMusic, Inc. Karen L. VanDerBosch, chief operating officer, treasurer, chief financial officer and interim chief executive officer

7. MTS Systems Corporation Susan E. Knight, senior vice president and chief financial officer

8. Navarre Corporation Diane D. Lapp, chief financial officer

9. Piper Jaffray Companies Debbra L. Schoneman, chief financial officer

10. Select Comfort Corporation Wendy L. Schoppert, executive vice president and chief financial officer

11. Supervalu, Inc. Sherry M. Smith, executive vice president and chief financial officer

12. SPS Commerce, Inc. Kimberly K. Nelson, executive vice president and chief financial officer

13. The Dolan Company Vicki J. Duncomb, vice president, chief financial officer and corporate secretary

14. The Toro Company Renee J. Peterson, vice president, finance, and chief financial officer

15. The Valspar Corporation Lori A. Walker, senior vice president and chief financial officer

16. Xcel Energy, Inc. Teresa S. Madden, senior vice president and chief financial officer

MINNESOTA CENSUS OF WOMEN IN CORPORATE LEADERSHIP APRIL 2013

19

CALL TO ACTION

U.S. Businesses Lag in Gender Diversity

By Joann Bangs, Ph.D. and Rebecca Hawthorne, Ph.D. The holding pattern of predominantly white, male leadership in most Minnesota public companies places our state’s economic growth at risk. Diversifying the face of corporate leadership in Minnesota is a competitive imperative.

The rest of the world — from Australia and Malaysia to Norway and the United Kingdom — continues to set the pace for a more balanced gender composition of corporate leadership, in response to efforts led by stock exchanges, governments and the business communities themselves. Action is required. iSHAREHOLDERS: Encourage CEOs and board members to develop a goal for board and executive suite diversity, including moving toward the optimum number of three or more women on the board and in executive leadership positions. iCEOS AND BOARD CHAIRS: Engage current board members and executive officers in identifying and removing barriers to the advancement of qualified women into corporate leadership roles within your companies. Conduct an annual skills assessment of all sitting board members. Request a nominating slate inclusive of male and female candidates for each board vacancy as well as each executive position. iNOMINATING CHAIRS: Engage all sitting board members in identifying prospective women directors who have the potential to add value to the board.

Contact executive search firms, such as SpencerStuart, with a proven track record of identifying highly qualified women executives and placing women on corporate boards.

Other sources of qualified candidates include the Diverse Director Datasource (gmi3d.com), ION, Catalyst, Women Corporate Directors and the National Association of Corporate Directors (NACD).

Commit to interview both male and female candidates for each vacancy. Consider expanding the board size to add an exemplary female director when she is identified and becomes available as opposed to waiting for a board vacancy. iEXECUTIVE RECRUITERS: Expand your network of qualified women candidates. Advocate for gender diversity when helping clients identify board candidates and executive officers. Commit to supplying slates that include both male and female candidates.

20

Digital Extra:

Resources for Information Branson, D. (2012). “The Last Male Bastion: Gender and the CEO Suite in America’s Public Companies.” Routledge: New York, New York.

Catalyst (2007). “The Bottom Line: Corporate Performance and Women’s Representation on Boards.” catalyst.org Curtis, M., Schmid, C. & Struber, M. (2012). “Gender Diversity and Corporate Performance,” ZURICH, Switzerland: Credit Suisse Research Institute. credit-suisse.com Deloitte (2010). “Diversifying the American Board: Thought Leaders Collaborate on Current Challenges and Practical Solutions.” deloitte.com (Board Diversity Report, a PDF) Ernst and Young (2009). “Groundbreakers: Using the Strength of Women to Rebuild the World Economy.” ey.com/groundbreakers Kramer, V.W., Konrad, A.M. & Erkut, S. (2006). “Critical Mass on Corporate Boards: Why Three or More Women Enhance Governance.” Wellesley Centers for Women, Report No. WCW 11. wcwonline.org/pubs/title.php?id=487 Matsa, D. and Miller, A. (2011). “Chipping Away at the Glass Ceiling: Gender Spillovers in Corporate Leadership,” The American Economic Review, 101 (3), 635-639.

Rosen, H. (2012). “The End of Men and the Rise of Women.”

Penguin Group: New York, New York.

Torchia, M., Calabro, A. and Huse, M. (2011). “Women Directors on Corporate Boards: From Tokenism to Critical Mass.” Journal of Business Ethics 102:299-317.

Credits

The Minnesota Census of Women in Corporate Leadership is produced by St. Catherine University.

RESEARCHERS: Joann Bangs, Ph.D., interim dean, School of

Business and Professional Studies, associate professor of economics and department chair; and Rebecca Hawthorne, Ph.D., associate professor and program director, Master of Arts in Organizational Leadership RESEARCH ASSISTANTS: Lisa Dahle and Laura Randgaard EDITORS: Elizabeth Child and Amy Gage EDITORIAL COORDINATOR: Laura Reidell

View the current edition and the past four editions of the Minnesota Census of Corporate Leadership online: mncensus.stkate.edu. Learn more about ION, a national organization that advocates for women on corporate boards, at ionwomen.org.

APRIL 2013 MINNESOTA CENSUS OF WOMEN IN CORPORATE LEADERSHIP

LEAD. INFLUENCE.

Women mean business.

School of Business and Professional Studies Home to top-tier graduate programs for women and men, and more than 30 bachelor’s degrees for career-focused women in day, evening and weekend formats.

Master of Arts in Organizational Leadership This innovative, interdisciplinary graduate program prepares women and men to lead with vision and values in a globally connected, changing world.

Coming in 2014!

Master of Business Administration With concentrations in healthcare and management, the new St. Kate’s MBA will prepare emerging business leaders to anticipate and lead change, master advanced business concepts and explore a broader worldview.

Research on Women’s Corporate Leadership Fifth annual Minnesota Census of Women in Corporate Leadership, conducted by graduate faculty, examines the percentage of women directors and executive officers in the state’s top 100 public companies.

Leadership Institute Offering leadership and networking opportunities to help women of color and emerging and mid-career professionals become effective, ethical and influential leaders.

Learn more at stkate.edu/sbps Sarah Nelson ’12 (left) and Kaitlyn Nielson ’12 were selected for an intensive research project with MAOL and biology professors and a leading healthcare organization.

PRACTICE-READY GRADUATES

INNOVATIVE SPIRIT

GLOBAL/SOCIAL RESPONSIBILITY

“What’s good for women is good for business, current and future employees, communities, and the world.”

—CATALYST (CATALYST.ORG)

St. Catherine University is proud to acknowledge these sponsors of the 2012 Minnesota Census of Women in Corporate Leadership:

REPORT PRODUCED BY:

ST. CATHERINE UNIVERSITY A dynamic university educating students to lead and influence, St. Catherine prepares students to make a difference in their professions, their communities and the world. At the University's heart is the largest, most innovative college for women in the nation. St. Kate’s also offers a range of graduate and associate programs for women and men.

MINNESOTA WOMEN’S ECONOMIC ROUNDTABLE Founded in 1979, the Minnesota Women’s Economic Roundtable (MWER) is a forum for high-profile women leaders to become more knowledgeable about cutting-edge economic issues, to discuss the implications of the economy on professional and personal lives, and to contribute to the formation of economic policies.