(OTTAWA) – May 8, 2009 – Export Development Canada (EDC) today announced that it undertook two transactions with Abitibi Bowater in March of 2009 to assist them in their efforts to internally restructure their operations and avoid bankruptcy protection.
EDC provided an $18 million short term loan facility to provide operational liquidity during Abitibi’s internal restructuring process.
As made public on EDC’s Disclosure site, EDC also offered up to $100 million in financing solutions to help Abitibi improve its credit structure, which would have been utilized had Abitibi been successful in restructuring its operations outside of bankruptcy protection.
These funds were never required.
The $100 million offered to Abitibi by EDC was in no way related to the same amount offered by Investissement Quebec. The two are separate transactions.
EDC is Canada’s export credit agency, offering innovative commercial solutions to help Canadian exporters and investors expand their international business. EDC’s knowledge and partnerships are used by more than 8,300 Canadian companies and their global customers in up to 200 markets worldwide each year. EDC is financially self-sustaining, a recognized leader in financial reporting and economic analysis, and has been recognized as one of Canada’s Top 100 Employers for eight consecutive years.
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Media contact:
Phil Taylor
Export Development Canada
Tel: (613) 598-2904
Blackberry: ptaylor@edc.ca
