ABH (NYSE, TSX)
AXB (TSX)
MONTREAL, March 23 /CNW Telbec/ - AbitibiBowater confirmed today that its
common shares (TSX: ABH) and the exchangeable shares of AbitibiBowater Canada
Inc. (TSX: AXB) are under delisting review by the Toronto Stock Exchange (the
"TSX").
In connection with the Company's previously announced recapitalization
proposal for its Abitibi-Consolidated Inc. subsidiary, the New York Stock
Exchange (the "NYSE") accepted the Company's application to utilize an
exception from the NYSE's shareholder approval requirements based on the
Company's determination that the time necessary to seek shareholder approval
prior to the commencement of the recapitalization would seriously jeopardize
the Company's financial viability. AbitibiBowater intends to rely on a similar
exemption from the TSX shareholder approval requirements. AbitibiBowater
understands that such a delisting review by the TSX is customary when a listed
company relies on such an exemption.
AbitibiBowater expects that its common shares and the exchangeable shares
of AbitibiBowater Canada Inc. will continue to trade in the ordinary course
during the TSX's review process.
AbitibiBowater produces a wide range of newsprint, commercial printing
papers, market pulp and wood products. It is the eighth largest publicly
traded pulp and paper manufacturer in the world. AbitibiBowater owns or
operates 24 pulp and paper facilities and 30 wood products facilities located
in the United States, Canada, the United Kingdom and South Korea. Marketing
its products in more than 90 countries, the Company is also among the world's
largest recyclers of old newspapers and magazines, and has third-party
certified 100% of its managed woodlands to sustainable forest management
standards. AbitibiBowater's shares trade under the stock symbol ABH on both
the New York Stock Exchange and the Toronto Stock Exchange.
Forward-Looking Statements
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Statements in this press release that are not reported financial results
or other historical information are "forward-looking statements" within the
meaning of the Private Securities Litigation Reform Act of 1995. They include,
for example, statements about AbitibiBowater's proposed recapitalization and
the continued trading of AbitibiBowater's common shares and AbitibiBowater
Canada's exchangeable shares on the Toronto Stock Exchange. Forward-looking
statements may be identified by the use of forward-looking terminology such as
the words "expect," "plan," "intend," "may," "will," and other terms with
similar meaning indicating possible future events or potential impact on the
business or other stakeholders of AbitibiBowater and its subsidiaries.
The reader is cautioned not to place undue reliance on these
forward-looking statements, which are not guarantees of future performance.
These statements are based on management's current assumptions, beliefs and
expectations, all of which involve a number of business risks and
uncertainties that could cause actual results to differ materially. These
risks and uncertainties include, but are not limited to, approval of the
Company's application to rely on an exemption from the TSX shareholder
approval requirements, the successful completion of the proposed
recapitalization, the outcome of the TSX delisting review process regarding
both AbitibiBowater's common shares and AbitibiBowater Canada's exchangeable
shares, the ability to obtain additional new financing on terms satisfactory
to AbitibiBowater or at all, the condition of the credit markets generally and
worsening economic and industry conditions. Additional factors are detailed
from time to time in AbitibiBowater's filings with the Securities and Exchange
Commission (SEC), including those factors contained in AbitibiBowater's
Current Report on Form 8-K filed on February 9, 2009. All forward-looking
statements in this news release are expressly qualified by information
contained in AbitibiBowater's filings with the SEC. AbitibiBowater disclaims
any obligation to update or revise any forward-looking information except as
required by law.
