ABH (NYSE, TSX)
MONTREAL, Feb. 20 /CNW Telbec/ - AbitibiBowater announced today that it
has completed the sale of approximately 76,724 hectares (189,508 acres) of
private timberlands in Québec, Canada, for CDN$70 million in cash.
AbitibiBowater plans to use the proceeds from this sale for general corporate
The Seigneurie of Perthuis, located in the Mauricie region, was sold to a
newly formed limited partnership composed of Société de gestion d'actifs
forestiers Solifor, s.e.c. and the principal shareholder of Scierie Dion &
Fils inc., a local sawmill operator. The Seigneuries of Nicolas Riou and Lac
Métis, both located in the Bas-Saint-Laurent region, were sold to two newly
formed limited partnerships created by Société de gestion d'actifs forestiers
Solifor, s.e.c. Scotia Capital Inc. acted as exclusive financial advisor to
AbitibiBowater for this sale 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.
Statements in this news release that are not reported financial results
or other historical information are "forward-looking statements" within the
meaning of the U.S. Private Securities Litigation Reform Act of 1995. They
include, for example, statements about our intention to divest three forest
units. 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. These risks and uncertainties include, but are not limited to,
the ability to divest the forest units on terms satisfactory to AbitibiBowater
and its subsidiaries or at all, industry conditions generally impacting the
attractiveness of these timberlands to potential purchasers, and the ability
of potential purchasers to obtain any needed financing to complete a purchase
of these units. All forward-looking statements in this news release are
expressly qualified by information contained in AbitibiBowater's filings with
the U.S. Securities and Exchange Commission and the Canadian securities
regulatory authorities. AbitibiBowater disclaims any obligation to update or
revise any forward-looking information.