AbitibiBowater Emerges from Bankruptcy
“Our continuing investments in sustainable forest management, renewable energy projects and reducing our environmental footprint reflect AbitibiBowater’s commitment to be an environmental supplier of choice,” added Yves Laflamme, Senior Vice President, Wood Products. “Moving forward, we remain committed to providing exceptional value to our customers by delivering diversified, innovative products and services that support our customer needs.”
The path for AbitibiBowater to emerge from creditor protection was set in motion following the entry of a confirmation order for the Company's chapter 11 plan of reorganization by the U.S. Bankruptcy Court for the District of Delaware and the sanction of the company’s CCAA plan of reorganization by the Quebec Superior Court on November 23 and Sept. 23, 2010, respectively. AbitibiBowater has closed $1,450 million in exit financing facilities that will be used to repay remaining debtor-in-possession credit facilities, honor obligations to secured creditors, make other payments required upon exit from creditor protection, and increase its already strong liquidity position.
On or about Dec. 17, 2010, the company will make certain initial distributions to unsecured creditors in the form of new shares of AbitibiBowater common stock in payment of allowed creditor claims. Subject to official notice of issuance, the new shares will be listed on the New York Stock Exchange (the “NYSE”) and the Toronto Stock Exchange (the “TSX”). Trading on the NYSE and TSX is expected to begin on Dec. 10, 2010 on a "when issued" basis under the symbol "ABH WI", and "regular way" trading is anticipated to begin on Dec. 20, 2010, the date of the initial distribution to unsecured creditors, under the symbol “ABH.”
“Our emergence from creditor protection marks the beginning of a new AbitibiBowater. We are committed to building on our sound foundation by improving our business mix, reducing costs and providing high-quality products. I am confident that the financial and operating restructuring we have completed provides the framework for future success,” added William G. Harvey, Executive Vice President and Chief Financial Officer.