MONTREAL, July 15 - Abitibi-Consolidated Inc. announced today that Institutional Shareholder Services Inc. (ISS) has recommended that Abitibi-Consolidated shareholders vote "FOR" the proposed combination with Bowater Incorporated. ISS is the world's leading provider of corporate governance and proxy voting solutions.
In light of this recommendation, John Weaver, President and CEO of Abitibi-Consolidated said: "We are very pleased that, after completing an independent and comprehensive review, ISS has recommended to support the proposed combination. In my view, this represents another confirmation of the strategic and economic benefits the proposed combination will create for our shareholders, in particular with the US$250 million synergies. It is good to see ISS confirming what the Board of directors has recommended in a unanimous vote. We encourage shareholders to vote "FOR" the proposed combination with Bowater."
As previously announced, the special meeting of Abitibi-Consolidated shareholders will be held at the Windsor, Salon Windsor, 1170 Peel Street, Montreal, Quebec, at 10:00 a.m., Eastern Time on July 26, 2007.
The combined company, which will be called AbitibiBowater Inc., will be the 3rd largest publicly traded paper and forest products company in North America and the 8th largest in the world. AbitibiBowater will own or operate 32 pulp and paper facilities and 35 wood product facilities located mainly in Eastern Canada and the Southeastern U.S. It will also be among the world's largest recyclers of newspapers and magazines.