Tuesday, January 30, 2007

Abitibi + Bowater = Third Largest N. American Papermaker

The merger of Canadian paper-maker Abitibi and Greenville, South Carolina headquartered Bowater creates a combined company, AbitibiBowater Inc., that would be the third largest paper-maker in North America and have an annual revenue of about $7.9 billion. The companies say they will be able to cut annual costs by $250 million in an industry grappling with overseas competition and a dwindling market.

The combined company's global headquarters will be in Montreal, and Bowater's former corporate home in Greenville will be turned into a regional center.

AbitibiBowater's product lines will include newsprint, uncoated and coated mechanical papers, market pulp and wood products. It also will be one of the world's leading consumers of recycled newspapers and magazines. The combined company will own or operate 32 pulp and paper facilities and 35 wood product facilities located mainly in eastern Canada and the southeastern U.S

Associated Press Article

Local South Carolina Article

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