AbitibiBowater CCAA Plan of Reorganization Sanctioned by Quebec Superior Court

The Quebec Superior Court sanctioned AbitibiBowater's plan of reorganization today.

As previously announced, on September 14 and 21, 2010, respectively, AbitibiBowater received approvals for its plans of reorganization from affected creditors under the Canadian Companies' Creditors Arrangement Act (CCAA) in Canada and chapter 11 of the U.S. Bankruptcy Code in the United States, except with respect to Bowater Canada Finance Corporation (BCFC), a special purpose company subsidiary with no operating assets, which has been excluded from the company's plans of reorganization.

"We are pleased to have received an order from the Quebec Superior Court sanctioning our CCAA plan," stated David J. Paterson, President and Chief Executive Officer. "The rendering of this court order represents a major milestone in the successful restructuring of our Company."

The confirmation hearing under the Chapter 11 process is scheduled to start on September 24, 2010, in the U.S. Bankruptcy Court in Delaware. Subject to the satisfaction of certain conditions provided for in the plans of reorganization, AbitibiBowater continues to expect emergence from creditor protection this fall.

Source: AbitibiBowater