8-K

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 8-K

CURRENT REPORT

Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

Date of Report (Date of earliest event reported):  September 1, 2009

ABITIBIBOWATER INC.

(Exact name of Registrant as Specified in Charter)

Delaware	001-33776	98-0526415
(State or other Jurisdiction of Incorporation or Organization)	(Commission File Number)	(I.R.S. Employer Identification Number)

AbitibiBowater Inc. 1155 Metcalfe Street, Suite 800 Montreal, Quebec Canada	H3B 5H2
(Address of principal executive offices)	(Zip Code)
(514) 875-2160
(Registrant's telephone number, including area code)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):  

o Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

o Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

o Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

o Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

 

Item 8.01.	Other Events.
	Monthly Operating Report
	On September 1, 2009, AbitibiBowater Inc. (the "Company") and certain of its U.S. subsidiaries (collectively, the "U.S. Debtors") filed the Monthly Operating Report for the Period July 1, 2009 to July 31, 2009 (the "MOR") with the United States Bankruptcy Court for the District of Delaware (the "U.S. Bankruptcy Court") (In re: AbitibiBowater Inc., et al., Chapter 11, Case No. 09-11296).  A copy of the MOR is attached as Exhibit 99.1 to this report and is incorporated by reference herein.
	The MOR is limited in scope, covers a limited time period, and has been prepared solely for the purpose of the U.S. Debtors' compliance with the monthly reporting requirements of the U.S. Bankruptcy Court. The financial information in the MOR has not been audited, reviewed or otherwise verified for accuracy or completeness by independent accountants.  The financial statements in the MOR are not intended to be prepared in conformity with U.S. GAAP because they do not include all of the information and footnote disclosures required by U.S. GAAP for complete financial statements, and the information contained in the MOR is not intended to reconcile to the consolidated financial statements of the Company in its Annual Report on Form 10-K for the fiscal year ended December 31, 2008 filed with the Securities and Exchange Commission on April 30, 2009, or with consolidated financial statements in subsequently filed Quarterly Reports on Form 10-Q.  The statement of operations and cash flows presented in the MOR for any interim period are not necessarily indicative of the results that may be expected for a full quarter, full year, or any interim period. Readers are cautioned not to place undue reliance on the MOR.  The MOR is in a format required by the U.S. Bankruptcy Court and should not be used for investment purposes.
	Monitor's Report
	On September 2, 2009, Ernst & Young Inc. ("E&Y"), as Monitor, filed a report (the "Monitor's Report") with the Superior Court of Quebec in Canada (the "Canadian Court") in connection with the creditor protection proceedings previously instituted by certain wholly-owned subsidiaries of the Company, namely Abitibi-Consolidated Inc. and certain of its subsidiaries and Bowater Canadian Holdings Incorporated and certain of its subsidiaries (collectively, the "Canadian Petitioners"), under the Companies Creditors Arrangement Act (Canada).  The purpose of the Monitor's Report is to provide the Canadian Court with a report on (A) the four week cash flow results of the Canadian Petitioners for the period from July 27, 2009 to August 23, 2009 as well as to provide details on (i) an update regarding the overview of the current market conditions in the forest products industry provided in the thirteenth report of the Monitor dated August 7, 2009, (ii) the receipts and disbursements of Abitibi-Consolidated Inc. and its subsidiaries and Bowater Canadian Forest Products Inc. for the reporting period with a discussion of the variances from the respective forecasts set forth in the thirteenth report of the Monitor, (iii) the current liquidity and revised cash flow forecasts of Abitibi-Consolidated Inc. and its subsidiaries and Bowater Canadian Forest Products Inc. for the 17-week period ended December 20, 2009 and (iv) an update with respect to certain key performance indicators, (B) the engagement of advisors by certain creditors of Abitibi-Consolidated Inc. and its subsidiaries, (C) the restructuring initiatives undertaken by the Canadian Petitioners since the petition date and (D) the Monitor's recommendation regarding the motion by the Canadian Petitioners to extend the stay period to December 15, 2009.  A copy of the Monitor's Report is attached as Exhibit 99.2 and is incorporated by reference herein.

2

The Monitor's Report is limited in scope, covers a limited time period, and has been prepared solely for the purpose of the Canadian Petitioners' compliance with the monthly reporting requirements of the Canadian Court. The financial information in the Monitor's Report has not been audited, reviewed or otherwise verified for accuracy or completeness by E&Y.  Some of the information referred to in the Monitor's Report consists of forecasts and projections. 

Readers are cautioned that, since these projections are based upon assumptions about future events and conditions, the actual results will vary from the projections, even if the assumptions materialize, and the variations could be significant.  The Monitor's Report is in a format required by the Canadian Court and should not be used for investment purposes.

Item 9.01.	Financial Statements and Exhibits.
	(d)	Exhibits
		99.1	Monthly Operating Report for the Period July 1, 2009 to July 31, 2009, dated August 31, 2009.
		99.2	Fifteenth Report of the Monitor, dated September 2, 2009.

3

Signature

Pursuant to the requirements of the Securities Exchange Act of l934, as amended, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.

	ABITIBIBOWATER INC.
	By:	/s/ Jacques P. Vachon
Dated: September 8, 2009		Name: Jacques P. Vachon
		Title: Senior Vice-President, Corporate Affairs and Chief Legal Officer

4

	Exhibit Index
Exhibit No.	Description of Exhibit
99.1	Monthly Operating Report for the Period July 1, 2009 to July 31, 2009, dated August 31, 2009.
99.2	Fifteenth Report of the Monitor, dated September 2, 2009.

5

EX-99

Exhibit 99.1

UNITED STATES BANKRUPTCY COURT

DISTRICT OF DELAWARE

In re: Abitibibowater Inc., et al.,	Chapter 11
	Case No. 09-11296
Debtor:

Monthly Operating Report

For the Period July 1, 2009 to July 31, 2009

REQUIRED DOCUMENTS	Form No.
Debtors Consolidating Schedule of Receipts and Disbursements	MOR-1
Debtors Consolidating Schedule of Operating Receipts and Disbursements	MOR-1a
Schedule of Cash Disbursements by Debtor Entity	MOR-2
Schedule of Debtors Bank Account Book Balances	MOR-3
Schedule of Professional Fees Paid	MOR-4
Declaration Regarding the Reconciliation of the Debtors Bank Accounts	MOR-5
Debtors Consolidating Balance Sheet	MOR-6
Debtors Consolidating Statement of Operations	MOR-7
Declaration Regarding the Status of Post-Petition Taxes of the Debtors	MOR-8
Combined Listing of Post-Petition Aged Accounts Payable	MOR-9
Combined Listing of Aged Accounts Receivable	MOR-10
Summary of Debtors Post-Petition Inter-Company Receivables and Payables	MOR-11
Debtors Questionnaire	MOR-12
Supplement to Debtors Questionnaire	MOR-12a

I declare under penalty of perjury (28 U.S.C. Section 1746) that this report and the attached documents are true and correct to the best of my knowledge and belief.

	August 31, 2009
Signature of Authorized Individual*	Date
William G. Harvey	Executive Vice President & Chief Financial Officer
Printed Name of Authorized Individual	Title of Authorized Individual

*Authorized Individual must be an officer, director or shareholder if debtor is a corporation; a partner if debtor is a partnership; a manager or member if debtor is a limited liability company.

In re: Abitibibowater Inc., et al.,

NOTES TO THE MONTHLY OPERATING REPORT

1.	Background and Basis of Presentation: On April 16, 2009, Abitibibowater, Inc. ("ABI" or the "Company") and certain of its U.S. and Canadian subsidiaries (collectively, the "Debtor Entities") filed voluntary petitions in the United States Bankruptcy Court for the District of Delaware (the "U.S. Court") seeking relief under Chapter 11 of the United States Bankruptcy Code (the "Bankruptcy Code"). The following day, April 17, 2009, certain of the Company's Canadian subsidiaries also filed to reorganize (the "Canadian Petition") under the Companies' Creditors Arrangement Act ("CCAA") in the Superior Court of Justice in Canada, Province of Quebec, District of Montreal (the "Canadian Court"). Certain U.S. and Canadian legal entities, as well as some operations, ("Non-Debtor Affiliates") were not included in the Chapter 11 filings and will continue to operate outside of the Chapter 11 process.
	The unaudited financial statements included herein include the accounts and results of operations of the U.S. filed debtors.  The information contained in this Monthly Operating Report ("MOR") is provided to fulfill the reporting requirements set forth by the Office of the United States Trustee. All information contained herein is unaudited and subject to future adjustment.
	In accordance with U.S. generally accepted accounting principles (GAAP), the Company has applied American Institute of Certified Public Accountant's Statement of Position ("SOP") 90-7, "Financial Reporting by Entities in Reorganization under the Bankruptcy Code" ("SOP 90-7"), in preparing the financial statements. SOP 90-7 requires that the financial statements, for periods subsequent to the Chapter 11 filing, distinguish transactions and events that are directly associated with the reorganization from the ongoing operations of the business. Accordingly, certain revenues, expenses (including professional fees), realized gains and losses and provisions for losses that are realized or incurred in the bankruptcy proceedings are recorded in reorganization items on the accompanying unaudited statements of operations. In addition, pre-petition obligations that may be impacted by the bankruptcy reorganization process have been classified on the unaudited balance sheet at July 31, 2009 as Liabilities Subject to Compromise.
	These financial statements are not intended to be prepared in conformity with U.S. GAAP, because they do not include all of the information and footnote disclosures required by U.S. GAAP for complete financial statements. The information contained in this MOR: (a) has not been audited or reviewed by independent registered public accountants, (b) is limited to the time period indicated, and (c) is not intended to reconcile to the consolidated financial statements filed by the Company in its Annual Report on Form 1O-K for the Year ended December 31, 2008 ("2008 Form 1O-K") filed with the Securities and Exchange Commission ("SEC") on April 30, 2009, or with consolidated financial statements in subsequently filed Quarterly Reports on Form 10-Q.
	Preparation of the MOR requires management to make estimates and assumptions about future events that affect the reported amounts of assets, liabilities, revenues and expenses and disclosure of contingent assets and liabilities. The Company cannot determine future events and their effects with certainty, particularly while the Chapter 11 cases are proceeding. Therefore, the determination of estimates requires the exercise of judgment based on various assumptions, and other factors such as historical experience, current and expected economic conditions, and in some cases, actuarial calculations. The Company constantly reviews these significant factors and makes adjustments when appropriate.
	The statement of operations and cash flows presented in the MOR for any interim period are not necessarily indicative of the results that may be expected for a full quarter, full year, or any future interim period. While every effort has been made to assure the accuracy and completeness of this MOR, errors or omissions may have inadvertently occurred and the Company reserves the right to amend the MOR as necessary. In particular, the Company is in the process of reconciling its pre-petition and post-petition liabilities, as well as its liabilities subject to compromise and not subject to compromise, and such amounts are subject to reclassification and/or adjustment in the future.

	For the reasons discussed above, the Company cautions readers not to place undue reliance upon information contained in the MOR. For further information, refer to the Company's consolidated financial statements and footnotes included in its 2008 Form 10-K filed with the SEC on April 30, 2009 and other filings with the SEC.
2.	DIP Credit Facility: In connection with the commencement of the Chapter 11 proceedings, on April 16, 2009 the Company and certain of its affiliates filed a motion with the U.S. Court seeking approval to enter into a post petition credit agreement (the "DIP Credit Agreement"). On April 17, 2009, the U.S. Court granted interim approval of the DIP Credit Agreement. Final approval of the DIP Credit Agreement was granted by the U.S. Court on June 4, 2009.
	The DIP Credit Agreement, as amended, provides for a term loan in the aggregate principal amount of up to USD $360,000,000, consisting of  a USD $166,000,000 for term loan borrowings of the US Borrowers, and a USD $40,000,000 term loan for borrowings of Bowater Canada ( the "Initial Loan"), plus subject to further approval from the Bankruptcy Court only after notice and a further hearing, an incremental USD $154,000,000 which may be advanced after the date of this order, (the Incremental Facility).
	The use of proceeds under the DIP Credit Agreement may be used for (a) working capital; (b) other general corporate purposes of the Bowater Debtors; (c) payment of any related transaction costs, fees and expenses; (d) the payment of Adequate Protection Obligations; and (e) the costs of administration of these cases. On April 20th and 21st, the company drew down the current available amount of the DIP agreement.
3 .	MOR-1 and MOR-1a: The detail presented in MOR-1 represents the total receipts and disbursements, taken directly from the debtors' bank statements for the period July 1st, 2009 through July 31st, 2009.  The beginning and ending balances are also reported directly from the bank statements. Due to the nature of the debtor's cash management system, the actual operating receipts and disbursement are captured within the numbers presented.  MOR-1a breaks out the typical operating receipts and disbursements.  Major categories of disbursements have been listed.   The Company continues to refine the process by which items in the "Other" category are identified.   These refinements will appear in subsequent month MORs.
4 .	Significant Accounting Policies: The significant accounting policies are consistent with those listed in the Company's 2008 Form 10-K filed with the SEC on April 30, 2009.
5.	Liabilities Subject to Compromise:  SOP 90-7 requires prepetition liabilities that are subject to compromise, to be reported at the amounts expected to be allowed, even if they may be settled for lesser amounts. The amounts currently classified as liabilities subject to compromise may be subject to future adjustments, depending on court actions, further developments with respect to disputed claims, determinations of the secured status of certain claims, the values of any collateral securing such claims, or other events. Certain accounts included in the liabilities subject to compromise may be entitled to administrative expense priority under section 503(b)(9) of the Bankruptcy Code. As of July 31st, 2009, the components of Liabilities Subject to Compromise consisted of:

Unsecured debt	$ 2,935,313,895
Accounts Payable	82,668,905
OPEB & Pension	615,049,037
Liabilities Subject to Compromise	$ 3,633,031,837

Under the Bankruptcy Code, the Debtors generally must assume or reject pre-petition executory contracts, including but not limited to real property leases, subject to the approval of the Bankruptcy Courts and certain other conditions. In this context, "assumption" means that the company agrees to perform its obligations and cure all existing defaults under the

contract or lease, and "rejection" means that it is relieved from its obligations to perform further under the contract or lease, but is subject to a pre-petition claim for damages for the breach thereof subject to certain limitations. Any damages resulting from rejection of executory contracts that are permitted to be recovered under the Bankruptcy Code will be treated as liabilities subject to compromise unless such claims were secured prior to the Petition Date.

Since the Petition Date, the Company has received Court approval to reject a number of leases and other executory contracts of various types. The Company is reviewing all of its executory contracts and unexpired leases to determine which additional contracts and leases it will reject. The Company expects that additional liabilities subject to compromise will arise due to rejection of executory contracts, including leases, and from the determination of the U.S. Court (or agreement by parties in interest) of allowed claims for contingencies and other disputed amounts. The Company also expects that the assumption of additional executory contracts and unexpired leases will convert certain of the liabilities shown on the accompanying financial statements as subject to compromise to post-petition liabilities. Due to the uncertain nature of many of the potential claims, the Company cannot project the magnitude of such claims with any degree of certainty.

In re: Abitibibowater Inc., et al.,	Chapter 11
	Case No. 09-11296
Debtor

MOR-1

Debtors Consolidating Schedule of Receipts and Disbursements (1)

For the Period July 1, 2009 through July 31, 2009

(Dollars in Thousands)

 

	All Debtor's Grand Totals		AbitibiBowater Inc.		AbitibiBowater US Holding LLC		Donohue Corp.		Abitibi Consolidated Sales Corporation (ASCS)		Abitibi- Consolidated Alabama Corporation		Alabama River Newsprint Company (ARNC)		Abitibi- Consolidated Corporation		Augusta Woodlands, LLC		Tenex Data Inc.		Abitibi- Consolidated Finance LP
			09-11296		09-11297		09-11298		09-11299		09-11300		09-11301		09-11302		09-11303		09-11304		09-11305
			No Accounts		No Accounts						No Accounts								No Accounts
Beginning Cash Balance	$	358,255	$	-	$	-	$	1	$	9,815	$	-	$	1,379	$	814	$	273	$	-	$	51
Total Cash Receipts	$	917,904	$	-	$	-	$	-	$	221,069	$	-	$	762	$	8,170	$	-	$	-	$	-
Total Cash Disbursements	$	(874,120)	$	-	$	-	$	-	$	(223,482)	$	-	$	(1,365)	$	(8,098)	$	-	$	-	$	-
Ending Cash Balance	$	402,039	$	-	$	-	$	1	$	7,402	$	-	$	776	$	886	$	273	$	-	$	51

 

	Bowater Newsprint South LLC		Bowater Newsprint South Operations LLC		Bowater Finance II, LLC		Bowater Alabama LLC		Coosa Pines Golf Club, LLC		Bowater Incorporated		Catawba Property Holdings LLC		Bowater Finance Company Inc.		Bowater South American Holdings, Inc.		Bowater America Inc.		Lake Superior Forest Products Inc.
	09-11306		09-11307		09-11308		09-11309		09-11310		09-11311		09-11312		09-11314		09-11315		09-11316		09-11317
					No Accounts				No Accounts				No Accounts				No Accounts		No Accounts
Beginning Cash Balance	$	1	$	2	$	-	$	16	$	-	$	331,904	$	-	$	3	$	-	$	-	$	2
Total Cash Receipts	$	-	$	9	$	-	$	-	$	-	$	489,792	$	-	$	-	$	-	$	-	$	45
Total Cash Disbursements	$	-	$	(0)	$	-	$	-	$	-	$	(448,563)	$	-	$	-	$	-	$	-	$	(46)
Ending Cash Balance	$	1	$	11	$	-	$	16	$	-	$	373,133	$	-	$	3	$	-	$	-	$	-

 

In re: Abitibibowater Inc., et al.,	Chapter 11
	Case No. 09-11296
Debtor

MOR-1  (Continued)

Debtors Consolidating Schedule of Receipts and Disbursements (1)

For the Period July 1, 2009 through July 31, 2009

(Dollars in Thousands)

 

	Bowater Canada Finance Corporation		Bowater Canadian Holdings Incorporated		AbitibiBowater Canada Inc.		Bowater Canadian Forest Products		Bowater Maritimes Inc.		Bowater LaHave Corporation		Bowater Canadian Limited		Bowater Nuway Inc.		Bowater Nuway Mid-States Inc.		Bowater Ventures Inc.		AbitibiBowater US Holding 1 Corp
	09-11319		09-11320		09-11321		09-11322		09-11324		09-11325		09-11326		09-11328		09-11329		09-11330		09-11331
																	No Accounts
Beginning Cash Balance	$	4	$	12	$	2	$	12,909	$	355	$	45	$	665	$	0	$	-	$	2	$	0
Total Cash Receipts	$	-	$	1	$	-	$	197,482	$	521	$	-	$	52	$	-	$	-	$	-	$	-
Total Cash Disbursements	$	(0)	$	(0)	$	(0)	$	(191,950)	$	(613)	$	(0)	$	(0)	$	-	$	-	$	(0)	$	(0)
Ending Cash Balance	$	3	$	13	$	2	$	18,441	$	263	$	44	$	718	$	0	$	-	$	2	$	0

 

Notes:
(1)	The debtors accounting systems are designed to provide operating reports in accordance with GAAP. The accounting systems are not designed to produce reports that are consistent with the requirements of the U.S. Trustee. As a result, the information presented in this cash flow was prepared using bank account statements as supplied to the debtors from the banks and therefore the ending cash balance on MOR-1 may not agree with the ending cash balance on MOR-6. The numbers presented in the cash flow are subject to change as additional information is made available. The information contained herein is provided to fulfill the requirements of the Office of the United States Trustee. All information contained herein is unaudited and subject to future adjustments.
(2)	Receipts and disbursements include all cash transactions from bank statements including all activity within the accounts of a Debtor, and activity to and from affiliated Debtors.
(3)	All amounts are stated in U.S. Dollars. Accounts normally stated in Canadian Dollars, British Pounds, or Euros have been converted to USD at July 31, 2009 foreign exchange rates.

In re: Abitibibowater Inc., et al.,	Chapter 11
	Case No. 09-11296
Debtor

MOR-1a

Debtors Consolidated Schedule of Receipts and Disbursements (1)

For the Period July 1, 2009 through July 31, 2009

(Dollars in Thousands)

 

	All Debtor's Grand Totals		AbitibiBowater Inc.		AbitibiBowater US Holding LLC		Donohue Corp.		Abitibi Consolidated Sales Corporation (ASCS)		Abitibi- Consolidated Alabama Corporation		Alabama River Newsprint Company (ARNC)		Abitibi- Consolidated Corporation		Augusta Woodlands, LLC		Tenex Data Inc.		Abitibi- Consolidated Finance LP
			09-11296		09-11297		09-11298		09-11299		09-11300		09-11301		09-11302		09-11303		09-11304		09-11305
			No Accounts		No Accounts						No Accounts								No Accounts
Beginning Cash Balance	$	301,878	$	-	$	-	$	1	$	2,690	$	-	$	88	$	765	$	273	$	-	$	51
Total Cash Receipts	$	332,925	$	-	$	-	$	-	$	123,533	$	-	$	62	$	3,124	$	-	$	-	$	-
Disbursements:
Payroll & Payroll Taxes	$	(30,742)								-
Non-Payroll Labor	$	(10,291)											$	(36)
Raw Materials	$	(56,758)	$	-	$	-	$	-	$	-					$	(5,048)
Utilities	$	(27,561)											$	(3)
Freight	$	(17,517)							$	(1,326)			$	(4)	$	(2)
SG&A	$	(17,099)							$	(545)			$	(5)
Supplies	$	(15,025)											$	(39)
Rent	$	(251)							$	(29)
Customer Rebates	$	(3,271)							$	(968)
Interest	$	(15,607)							$	(12,429)
Security Deposits	$	(363)							$	(27,809)
Taxes	$	(165)							$	(27,809)
Other	$	(5,505)	$	(165)	$	(165)	$	(165)	$	(165)	$	-	$	(10)	$	-	$	-	$	-	$	-
Total Cash Disbursements	$	(200,155)	$	-	$	-	$	-	$	(15,297)	$	-	$	(96)	$	(5,050)	$	-	$	-	$	-
Ending Cash Balance	$	434,648	$	-	$	-	$	1	$	110,925	$	-	$	54	$	(1,161)	$	273	$	-	$	51

 

Notes:
(1)	MOR 1-a represents the cash flow of the current operating accounts used by the debtors.
(2)	MOR 1-a excludes $1.26 billion of intercompany cash settlements, and $45.2 million of currency exchange transactions.
(3)	The debtors accounting systems are designed to provide operating reports in accordance with GAAP. The accounting systems are not designed to produce reports that are consistent with the requirements of the U.S. Trustee. As a result, the information presented in this cash flow was prepared using bank account statements as supplied to the debtors from the banks. The numbers presented in the cash flow are subject to change as additional information is made available. The information contained herein is provided to fulfill the requirements of the Office of the United States Trustee. All information contained herein is unaudited and subject to future adjustments.
(4)	All amounts are stated in U.S. Dollars. Accounts normally stated in Canadian Dollars, British Pounds, or Euros have been converted to USD at July 31, 2009 foreign exchange rates.
(5)	The amounts listed in Other are in the process of still being identified so in the future they can be accurately shown in one of the existing disbursement categories.

In re: Abitibibowater Inc., et al.,	Chapter 11
	Case No. 09-11296
Debtor

MOR-1a (continued)

Debtors Consolidating Schedule of Receipts and Disbursements (1)

For the Period July 1, 2009 through July 31, 2009

(Dollars in Thousands)

 

	Bowater Newsprint South LLC		Bowater Newsprint South Operations LLC		Bowater Finance II, LLC		Bowater Alabama LLC		Coosa Pines Golf Club, LLC		Bowater Incorporated		Catawba Property Holdings LLC		Bowater Finance Company Inc.		Bowater South American Holdings, Inc.		Bowater America Inc. (BAI)
	09-11306		09-11307		09-11308		09-11309		09-11310		09-11311		09-11312		09-11314		09-11315		09-11316
					No Accounts				No Accounts				No Accounts				No Accounts		No Accounts
Beginning Cash Balance	$	1	$	2	$	-	$	16	$	-	$	290,147	$	-	$	3	$	-	$	-
Total Cash Receipts	$	-	$	9	$	-	$	-	$	-	$	182,145	$	-	$	-	$	-	$	-
Disbursements:
Payroll & Payroll Taxes											$	(19,067)
Non-Payroll Labor											$	(9,167)
Raw Materials											$	(36,028)
Utilities											$	(17,931)
Freight											$	(11,366)
SG&A			$	(0)							$	(11,200)
Supplies											$	(12,225)
Rent											$	(218)
Customer Rebates											$	(2,121)
Interest											$	(1,470)
Security Deposits											$	(75)
Taxes											$	(5,241)
Other	$	-	$	-	$	-	$	(55)	$	-	$	(1,160)	$	-	$	-	$	-	$	-
Total Cash Disbursements	$	-	$	-	$	-	$	-	$	-	$	(120,869)	$	-	$	-	$	-	$	-
Ending Cash Balance	$	1	$	11	$	-	$	16	$	-	$	351,423	$	-	$	3	$	-	$	-

Notes:
(1)	MOR 1-a represents the cash flow of the current operating accounts used by the debtors.
(2)	MOR 1-a excludes $1.26 billion of intercompany cash settlements, and $45.2 million of currency exchange transactions.
(3)	The debtors accounting systems are designed to provide operating reports in accordance with GAAP. The accounting systems are not designed to produce reports that are consistent with the requirements of the U.S. Trustee. As a result, the information presented in this cash flow was prepared using bank account statements as supplied to the debtors from the banks. The numbers presented in the cash flow are subject to change as additional information is made available. The information contained herein is provided to fulfill the requirements of the Office of the United States Trustee. All information contained herein is unaudited and subject to future adjustments.
(4)	All amounts are stated in U.S. Dollars. Accounts normally stated in Canadian Dollars, British Pounds, or Euros have been converted to USD at July 31, 2009 foreign exchange rates.
(5)	The amounts listed in Other are in the process of still being identified so in the future they can be accurately shown in one of the existing disbursement categories.

In re: Abitibibowater Inc., et al.,	Chapter 11
	Case No. 09-11296
Debtor

MOR-1a (continued)

Debtors Consolidating Schedule of Receipts and Disbursements (1)

For the Period July 1, 2009 through July 31, 2009

(Dollars in Thousands)

 

	Lake Superior Forest Products Inc.		Bowater Canada Finance Corporation		Bowater Canadian Holdings Incorporated		AbitibiBowater Canada Inc.		Bowater Canadian Forest Products Inc.		Bowater Maritimes Inc.		Bowater LaHave Corporation		Bowater Canadian Limited		Bowater Nuway Inc.		Bowater Nuway Mid-States Inc.		Bowater Ventures Inc.		AbitibiBowater US Holding 1 Corp
	09-11317		09-11319		09-11320		09-11321		09-11322		09-11324		09-11325		09-11326		09-11328		09-11329		09-11330		09-11331
																			No Accounts
Beginning Cash Balance	$	2	$	4	$	12	$	2	$	6,755	$	355	$	45	$	665	$	0	$	-	$	2	$	0
Total Cash Receipts	$	-	$	-	$	-	$	-	$	24,052	$	0	$	-	$	-	$	-	$	-	$	-	$	-
Disbursements:
Payroll & Payroll Taxes									$	(11,675)
Non-Payroll Labor									$	(1,073)	$	(16)
Raw Materials									$	(15,681)
Utilities									$	(9,583)	$	(44)
Freight									$	(4,818)	$	(0)
SG&A			$	(0)	$	(0)	$	(0)	$	(5,318)	$	(32)	$	(0)	$	(0)					$	(0)	$	(0)
Supplies									$	(2,761)
Rent									$	(4)
Customer Rebates									$	(182)
Interest									$	(1,707)
Security Deposits									$	(288)
Taxes									$	(165)
Other	$	(152)	$	-	$	(1)	$	-	$	(5,495)	$	(1)	$	-	$	(43)	$	-	$	-	$	-	$	-
Total Cash Disbursements	$	-	$	-	$	-	$	-	$	(58,750)	$	(92)	$	-	$	-	$	-	$	-	$	-	$	-
Ending Cash Balance	$	2	$	4	$	12	$	2	$	(27,944)	$	264	$	45	$	665	$	0	$	-	$	2	$	0

 

Notes:
(1)	MOR 1-a represents the cash flow of the current operating accounts used by the debtors.
(2)	MOR 1-a excludes $1.26 billion of intercompany cash settlements, and $45.2 million of currency exchange transactions.
(3)	The debtors accounting systems are designed to provide operating reports in accordance with GAAP. The accounting systems are not designed to produce reports that are consistent with the requirements of the U.S. Trustee. As a result, the information presented in this cash flow was prepared using bank account statements as supplied to the debtors from the banks. The numbers presented in the cash flow are subject to change as additional information is made available. The information contained herein is provided to fulfill the requirements of the Office of the United States Trustee. All information contained herein is unaudited and subject to future adjustments.
(4)	All amounts are stated in U.S. Dollars. Accounts normally stated in Canadian Dollars, British Pounds, or Euros have been converted to USD at July 31, 2009 foreign exchange rates.
(5)	The amounts listed in Other are in the process of still being identified so in the future they can be accurately shown in one of the existing disbursement categories.

 

In re: Abitibibowater Inc., et al.,	Chapter 11
	Case No. 09-11296
Debtor

MOR-2

Schedule of Cash Disbursements by Debtor Entity

(Dollars in Thousands)

Debtor Entity	Notes	Bankruptcy Case Number		Disbursements for the Period June 1, 2009 to June 30, 2009 (1)
AbitibiBowater Inc.	(2)	09-11296	$	-
AbitibiBowater US Holding LLC	(2)	09-11297	$	-
Donohue Corp.	(2)	09-11298	$	-
Abitibi Consolidated Sales Corporation (ASCS)		09-11299	$	15,297
Abitibi-Consolidated Alabama Corporation	(2)	09-11300	$	-
Alabama River Newsprint Company (ARNC)		09-11301	$	97
Abitibi-Consolidated Corporation		09-11302	$	5,050
Augusta Woodlands, LLC	(2)	09-11303	$	-
Tenex Data Inc.	(2)	09-11304	$	-
Abitibi-Consolidated Finance LP	(2)	09-11305	$	-
Bowater Newsprint South LLC	(2)	09-11306	$	-
Bowater Newsprint South Operations LLC	(2)	09-11307	$	-
Bowater Finance II, LLC	(2)	09-11308	$	-
Bowater Alabama LLC	(2)	09-11309	$	-
Coosa Pines Golf Club, LLC	(2)	09-11310	$	-
Bowater Incorporated		09-11311	$	120,869
Catawba Property Holdings LLC	(2)	09-11312	$	-
Bowater Finance Company, Inc.	(2)	09-11314	$	-
Bowater South American Holdings, Inc.	(2)	09-11315	$	-
Bowater America Inc. (BAI)	(2)	09-11316	$	-
Lake Superior Forest Products Inc.	(2)	09-11317	$	-
Bowater Canada Finance Corporation	(2)	09-11319	$	-
Bowater Canadian Holdings Incorporated	(2)	09-11320	$	-
AbitibiBowater Canada Inc.	(2)	09-11321	$	-
Bowater Canadian Forest Products Inc.		09-11322	$	58,750
Bowater Maritimes Inc.		09-11324	$	92
Bowater LaHave Corporation	(2)	09-11325	$	-
Bowater Canadian Limited	(2)	09-11326	$	-
Bowater Nuway Inc.	(2)	09-11328	$	-
Bowater Nuway Mid-States Inc.	(2)	09-11329	$	-
Bowater Ventures Inc.	(2)	09-11330	$	-
AbitibiBowater US Holding 1 Corp	(2)	09-11331	$	-
	Total Disbursements		$	200,155

Notes:
(1)	Disbursement amounts in the bank accounts include all payments issued during the period, excluding inter-company cash settlements and transfers between accounts of $1.26 billion, and $45.2 million in currency exchange.  Any disbursements made in Canadian Dollars have been converted to USD at month-end exchange rates.
(2)	Indicates Debtor entities that have no disbursements or have disbursements of $500 or less to report during the period.

In re: Abitibibowater Inc., et al.,	Chapter 11
	Case No. 09-11296
Debtor

MOR-3

Schedule of Debtors Bank Account Balances

(Dollars in Thousands)

Case #		Debtor Entity	Bank Name	Bank Account Ending In:	Curr $		Bank Balance @ July 31, 2009
09	11298	Donohue Corp (DNC)	Bank of America	6296	USD	$	1
09	11299	Abitibi Cons Sales Corp (ACSC)	Bank of America	1568	USD	$	7,400
09	11299	Abitibi Cons Sales Corp (ACSC)	Bank of America	1576	USD	$	-
09	11299	Abitibi Cons Sales Corp (ACSC)	Bank of America	6171	USD	$	2
09	11299	Abitibi Cons Sales Corp (ACSC)	Bank of America	2316	USD	$	0
09	11299	Abitibi Cons Sales Corp (ACSC)	Bank of America	2696	USD	$	-
09	11299	Abitibi Cons Sales Corp (ACSC)	Bank of America	0862	USD	$	-
09	11299	Abitibi Cons Sales Corp (ACSC)	Bank of America	0870	USD	$	-
09	11299	Abitibi Cons Sales Corp (ACSC)	Bank of America	3463	USD	$	-
09	11299	Abitibi Cons Sales Corp (ACSC)	Bank of America	6598	USD	$	-
09	11301	Alabama River Newsprint Company	Regions	8852	USD	$	31
09	11301	Alabama River Newsprint Company	Regions	8852-I	USD	$	711
09	11301	Alabama River Newsprint Company	Regions	6609	USD	$	31
09	11301	Alabama River Newsprint Company	Regions	2789	USD	$	3
09	11301	Alabama River Newsprint Company	Regions	5391	USD	$	1
09	11302	Abitibi-Consolidated Corporation	Bank of America	6482	USD	$	78
09	11302	Abitibi-Consolidated Corporation	Bank of America	9128	USD	$	0
09	11302	Abitibi-Consolidated Corporation	Bank of America	2704	USD	$	-
09	11302	Abitibi-Consolidated Corporation	Bank of America	8511	USD	$	653
09	11302	Abitibi-Consolidated Corporation	Bank of America	0430	USD	$	73
09	11302	Abitibi-Consolidated Corporation	Bank of America	0429	USD	$	8
09	11302	Abitibi-Consolidated Corporation	Bank of America	7832	USD	$	56
09	11302	Abitibi-Consolidated Corporation	Bank of America	9656	USD	$	0
09	11302	Abitibi-Consolidated Corporation	Bank of America	2388	USD	$	18
09	11303	Augusta Woodlands LLC	Wachovia	7669	USD	$	273
09	11303	Augusta Woodlands LLC	Bank of America	3020	USD	$	-
9	11305	Abitibi-Consolidated Finance LP	CIBC	4615	USD	$	51
09	11306	Bowater Newsprint South LLC	Wachovia	7229	USD	$	1
09	11307	Bowater Newsprint South Ops (BNSO)	Regions Bank	9429	USD	$	11
09	11309	Bowater Alabama (BALI)	Coosa Pines Federal Credit Union	2022	USD	$	16
09	11309	Bowater Alabama (BALI)	Coosa Pines Federal Credit Union	2006	USD	$	-
09	11309	Bowater Alabama (BALI)	Bank of America	3447	USD	$	-
09	11311	Bowater Incorporated (BI)	Wachovia	9066	USD	$	334,767
09	11311	Bowater Incorporated (BI)	Wachovia	3394	USD	$	-
09	11311	Bowater Incorporated (BI)	Wachovia	0783	USD	$	-
09	11311	Bowater Incorporated (BI)	Wachovia	7224	USD	$	2
09	11311	Bowater Incorporated (BI)	Wachovia London	8026	USD	$	0
09	11311	Bowater Incorporated (BI)	Wachovia London	8036	GBP	$	4,681
09	11311	Bowater Incorporated (BI)	Wachovia London	8166	EUR	$	3,378
09	11311	Bowater Incorporated (BI)	Bank of America	2618	USD	$	1,367
09	11311	Bowater Incorporated (BI)	Bank of America	5097	USD	$	13
09	11311	Bowater Incorporated (BI)	Wells Fargo	0687	USD	$	191
09	11311	Bowater Incorporated (BI)	Wells Fargo	3255	USD	$	-
09	11311	Bowater Incorporated (BI)	Wells Fargo	3274	USD	$	-
09	11311	Bowater Incorporated (BI)	Wells Fargo	3289	USD	$	-
09	11311	Bowater Incorporated (BI)	Wells Fargo	3293	USD	$	-
09	11311	Bowater Incorporated (BI)	Bank of New York	3002	USD	$	-
09	11311	Bowater Incorporated (BI)	Bank of New York	3950	USD	$	-
09	11311	Bowater Incorporated (BI)	Bank of New York	5679	USD	$	-
09	11311	Bowater Incorporated (BI)	Bank of New York	5229	USD	$	-
09	11311	Bowater Incorporated (BI)	Bank of New York	6153	USD	$	1,280
09	11311	Bowater Incorporated (BI)	Regions Bank	3536	USD	$	49
09	11311	Bowater Incorporated (BI)	BB&T	1324	USD	$	170
09	11311	Bowater Incorporated (BI)	BB&T	6446	USD	$	44
09	11311	Bowater Incorporated (BI)	SunTrust	1261	USD	$	90
09	11311	Bowater Incorporated (BI)	SunTrust	4394	USD	$	-
09	11311	Bowater Incorporated (BI)	JPMorgan Chase	4478	USD	$	708
09	11311	Bowater Incorporated (BI)	Arrowpoint Fed CU	2195	USD	$	0
09	11311	Bowater Incorporated (BI)	Carolina First Investment	3946	USD	$	-
09	11311	Bowater Incorporated (BI)	Carolina First	2882	USD	$	6,813
09	11311	Bowater Incorporated (BI)	Wachovia	9438	USD	$	15,000

In re: Abitibibowater Inc., et al.,	Chapter 11
	Case No. 09-11296
Debtor

MOR-3

Schedule of Debtors Bank Account Balances

(Dollars in Thousands)

Case #		Debtor Entity	Bank Name	Bank Account Ending In:	Curr $		Bank Balance @ July 31, 2009
09	11314	Bowater Finance Company	Wachovia	7062	USD	$	3
09	11317	Lake Superior Forest Products Inc.	Bank of America	1105	USD	$	-
09	11319	Bowater Canada Finance Corporation	Wachovia	7892	USD	$	2
09	11319	Bowater Canada Finance Corporation	Wachovia	9074	USD	$	1
09	11319	Bowater Canada Finance Corporation	Wachovia	7143	USD	$	1
09	11320	Bowater Canadian Holdings Incorporated	Wachovia	9382	USD	$	1
09	11320	Bowater Canadian Holdings Incorporated	Toronto Dominion	5387	CAD	$	12
09	11321	AbitibiBowater Canada Inc.	Wachovia	7711	USD	$	2
09	11322	Bowater Canadian Forest Products Inc. (BCFPI)	Bank of Montreal	0135	USD	$	7,507
09	11322	Bowater Canadian Forest Products Inc. (BCFPI)	Bank of Montreal	2181	CAD	$	2,793
09	11322	Bowater Canadian Forest Products Inc. (BCFPI)	Bank of Montreal	0811	CAD	$	12
09	11322	Bowater Canadian Forest Products Inc. (BCFPI)	Bank of Montreal	5945	CAD	$	(157)
09	11322	Bowater Canadian Forest Products Inc. (BCFPI)	Bank of Montreal	8611	CAD	$	-
09	11322	Bowater Canadian Forest Products Inc. (BCFPI)	Bank of Montreal	5990	USD	$	547
09	11322	Bowater Canadian Forest Products Inc. (BCFPI)	Bank of Montreal	9511	CAD	$	1,074
09	11322	Bowater Canadian Forest Products Inc. (BCFPI)	Bank of Montreal	7609	CAD	$	127
09	11322	Bowater Canadian Forest Products Inc. (BCFPI)	Bank of Montreal	1445	USD	$	540
09	11322	Bowater Canadian Forest Products Inc. (BCFPI)	Bank of Montreal	2392	USD	$	31
09	11322	Bowater Canadian Forest Products Inc. (BCFPI)	Bank of Montreal	5942	CAD	$	-
09	11322	Bowater Canadian Forest Products Inc. (BCFPI)	Toronto Dominion	4845	USD	$	320
09	11322	Bowater Canadian Forest Products Inc. (BCFPI)	Toronto Dominion	6782	CAD	$	2,828
09	11322	Bowater Canadian Forest Products Inc. (BCFPI)	Toronto Dominion	9460	CAD	$	-
09	11322	Bowater Canadian Forest Products Inc. (BCFPI)	Toronto Dominion	9428	CAD	$	-
09	11322	Bowater Canadian Forest Products Inc. (BCFPI)	Toronto Dominion	9444	CAD	$	-
09	11322	Bowater Canadian Forest Products Inc. (BCFPI)	Toronto Dominion	7762	CAD	$	-
09	11322	Bowater Canadian Forest Products Inc. (BCFPI)	Toronto Dominion	8039	CAD	$	-
09	11322	Bowater Canadian Forest Products Inc. (BCFPI)	Toronto Dominion	3089	CAD	$	327
09	11322	Bowater Canadian Forest Products Inc. (BCFPI)	Toronto Dominion	7746	CAD	$	-
09	11322	Bowater Canadian Forest Products Inc. (BCFPI)	Toronto Dominion	7754	CAD	$	-
09	11322	Bowater Canadian Forest Products Inc. (BCFPI)	Toronto Dominion	7800	CAD	$	-
09	11322	Bowater Canadian Forest Products Inc. (BCFPI)	Toronto Dominion	8513	CAD	$	-
09	11322	Bowater Canadian Forest Products Inc. (BCFPI)	Toronto Dominion	9418	CAD	$	-
09	11322	Bowater Canadian Forest Products Inc. (BCFPI)	Bank of America	0351	USD	$	614
09	11322	Bowater Canadian Forest Products Inc. (BCFPI)	Bank of America	3801	USD	$	-
09	11322	Bowater Canadian Forest Products Inc. (BCFPI)	Bank of America	0364	USD	$	35
09	11322	Bowater Canadian Forest Products Inc. (BCFPI)	CIBC	1015	CAD	$	-
09	11322	Bowater Canadian Forest Products Inc. (BCFPI)	CIBC	4414	CAD	$	-
09	11322	Bowater Canadian Forest Products Inc. (BCFPI)	CIBC	8218	CAD	$	-
09	11322	Bowater Canadian Forest Products Inc. (BCFPI)	CIBC	1713	CAD	$	-
09	11322	Bowater Canadian Forest Products Inc. (BCFPI)	CIBC	1811	CAD	$	-
09	11322	Bowater Canadian Forest Products Inc. (BCFPI)	Banque Nationale du Canada	0027	CAD	$	168
09	11322	Bowater Canadian Forest Products Inc. (BCFPI)	Bank of Nova Scotia	5412	CAD	$	0
09	11322	Bowater Canadian Forest Products Inc. (BCFPI)	Bank of Nova Scotia	4114	CAD	$	425
09	11322	Bowater Canadian Forest Products Inc. (BCFPI)	Wachovia	9531	USD	$	2
09	11322	Bowater Canadian Forest Products Inc. (BCFPI)	Wachovia London	8036	GBP	$	705
09	11322	Bowater Canadian Forest Products Inc. (BCFPI)	Lloyds of London	2394	GBP	$	364
09	11322	Bowater Canadian Forest Products Inc. (BCFPI)	Lloyds of London	9992	GBP	$	5
09	11324	Bowater Maritimes Inc. (DAL)	Bank of Montreal	5982	USD	$	41
09	11324	Bowater Maritimes Inc. (DAL)	Bank of Montreal	5889	CAD	$	239
09	11324	Bowater Maritimes Inc. (DAL)	Bank of Montreal	6531	CAD	$	-
09	11324	Bowater Maritimes Inc. (DAL)	Bank of Montreal	8603	CAD	$	-
09	11325	Bowater LaHave Corporation	Wachovia	6638	USD	$	44
09	11326	Bowater Canadian Limited	CIBC	5917	CAD	$	20
09	11326	Bowater Canadian Limited	CIBC	6918	CAD	$	753
09	11328	Bowater Nuway Inc. (BEN)	Wachovia	6806	USD	$	0
09	11330	Bowater Ventures Inc.	Wachovia	9612	USD	$	0
09	11330	Bowater Ventures Inc.	Wachovia	7148	USD	$	2
09	11331	AbitibiBowater US Holding 1 Corp.	Wachovia	9155	USD	$	0

In re: Abitibibowater Inc., et al.,	Chapter 11
	Case No. 09-11296
Debtor:

MOR-4

Schedule of Professional Fees and Expenses Paid

For the Period July 1, 2009 to July 31, 2009

NONE

In re: Abitibibowater Inc., et al.,	Chapter 11
	Case No. 09-11296
Debtor:

MOR-5

Declaration Regarding the Reconciliation of the Debtors' Bank Accounts

                As of July 31, 2009                    

William G. Harvey hereby declares under penalty of perjury:  

1. I am the Senior Vice President and Chief Financial Officer for Abitibibowater Inc, et at., the above-captioned debtors and debtors in possession (collectively, the "Debtors").  I am familiar with the Debtors' day-to-day operations, business, affairs and books and records.  

2. I am authorized to submit this Declaration of behalf of the Debtors.  

3. I hereby certify that the Debtor and all affiliated Debtors are reconciled on a regular and timely basis.  

Dated:  August 31, 2009                     Respectfully submitted, 

                                                               /s/ William G. Harvey                                                         

                                                               By:  William G. Harvey

                                                               Title:  Executive Vice President Chief Financial Officer

In re: Abitibibowater Inc., et al.,	Chapter 11
	Case No. 09-11296
Debtor:

MOR-6

Debtor Consolidating Balance Sheet

As of July 31, 2009

	AbitibiBowater Inc. 09-11296			AbitibiBowater US Holding LLC 09-11297		Donohue Corp. 09-11298		Abitibi Consolidated Sales Corporation 09-11299		Abitibi-Consolidated Alabama Corporation 09-11300		Alabama River Newsprint Company 09-11301		Abitibi-Consolidated Corporation 09-11302		Augusta Woodlands, LLC 09-11303		Tenex Data Inc. 09-11304		Abitibi-Consolidated Finance LP 09-11305
ASSETS
Cash and Cash Equivalents	$	-	$	-	$	568	$	6,579,529	$	-	$	1,340,031	$	(1,101,658)	$	273,430	$	-	$	51,120
Receivables - Net	$	-	$	-	$	-	$	(15,459,539)	$	4,495,764	$	704,059	$	8,465,281	$	-	$	-	$	-
Inventories	$	-	$	-	$	-	$	45,545,084	$	-	$	1,138,417	$	2,273,416	$	-	$	-	$	-
Prepaid Expense and Other	$	183,570	$	-	$	-	$	(467,825)	$	-	$	281,026	$	(114,094)	$	-	$	-	$	-
Notes Receivable from Affiliates	$	391,153,618	$	-	$	504,283,518	$	270,908,471	$	-	$	-	$	92,000,000	$	-	$	-	$	36,311,690
Income Tax Receivable	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-
Deferred Income Taxes	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-
Total Current Assets	$	391,337,188	$	-	$	504,284,086	$	307,105,720	$	4,495,764	$	3,463,533	$	101,522,945	$	273,430	$	-	$	36,362,810
Plant and Equipment	$	-	$	-	$	-	$	12,893,386	$	898,483	$	92,202,521	$	89,669,118	$	24,877	$	-	$	-
Less Accumulated Depreciation	$	-	$	-	$	-	$	(6,887,073)	$	(898,483)	$	(9,463,906)	$	(9,763,412)	$	-	$	-	$	-
Plant and Equipment	$	-	$	-	$	-	$	6,006,313	$	-	$	82,738,615	$	79,905,706	$	24,877	$	-	$	-
Goodwill/Intangible Assets	$	-	$	-	$	-	$	45,251	$	-	$	-	$	54,087	$	-	$	-	$	-
Investment in Subsidiaries	$	3,151,095,198	$	688,900,001	$	1,257,832,309	$	353,900,997	$	221,189,750	$	-	$	31,483,052	$	-	$	-	$	-
Other Assets	$	12,758,957	$	-	$	-	$	16,518,064	$	-	$	-	$	(5,830,966)	$	-	$	-	$	-
Total Assets	$	3,555,191,343	$	688,900,001	$	1,762,116,395	$	683,576,345	$	225,685,514	$	86,202,148	$	207,134,824	$	298,307	$	-	$	36,362,810
LIABILITIES AND SHAREHOLDERS' EQUITY
Trade Accounts Payable	$	-	$	-	$	-	$	12,871,343	$	(4,260,860)	$	7,858	$	4,125,166	$	(2)	$	-	$	-
Accrued Liabilities	$	2,943,689	$	-	$	(40,990,408)	$	55,903,357	$	2,741	$	4,963,294	$	4,306,165	$	-	$	-	$	-
Current Portion of Long Term Debt	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-
Due to Affiliates	$	73,629,075	$	-	$	35,671,017	$	(66,330,010)	$	(12,464,038)	$	1,129,194	$	316,750,538	$	(4,371,680)	$	-	$	(14,169,284)
Income Tax Payable	$	(30,739,868)	$	(11,987,501)	$	8,568,264	$	14,105,093	$	(3,999,490)	$	-	$	(29,724,923)	$	(17,890)	$	-	$	-
Total Current Liabilities	$	45,832,896	$	(11,987,501)	$	3,248,873	$	16,549,783	$	(20,721,647)	$	6,100,346	$	295,456,946	$	(4,389,572)	$	-	$	(14,169,284)
Long Term Debt	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-
Reclassification to Current Portion	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-
Long Term Debt Net of Current Installments	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-
Loans from Affiliates	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-
Other Liabilities	$	(2)	$	-	$	1	$	19,759,428	$	1	$	(481,747)	$	123,754,609	$	-	$	-	$	(1)
Deferred Income Taxes	$	(1,670,339)	$	(11,797,935)	$	(8,927,186)	$	(41,114,383)	$	26,782,890	$	-	$	(202,989,475)	$	-	$	-	$	-
Liabilities Subject to Compromise
Debt	$	296,279,094	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	7,819,827
Debt - Affiliate	$	742,083,383	$	816,110,220	$	-	$	457,588,908	$	255,872,310	$	-	$	-	$	-	$	-	$	331,059
Accounts payable	$	-	$	-	$	-	$	869,488	$	-	$	1,711,939	$	4,862,619	$	-	$	-	$	-
Other	$	1,999,504	$	-	$	-	$	16,677,920	$	(1)	$	13,493,679	$	20,581,915	$	-	$	-	$	-
Total Liabilities	$	1,084,524,536	$	792,324,784	$	(5,678,312)	$	470,331,144	$	261,933,553	$	20,824,217	$	241,666,614	$	(4,389,572)	$	-	$	(6,018,399)
Shareholder Equity - Net	$	2,470,666,807	$	(103,424,783)	$	1,767,794,707	$	213,245,201	$	(36,248,039)	$	65,377,931	$	(34,531,790)	$	4,687,879	$	-	$	42,381,209
Total Liabilities and Shareholder' Equity	$	3,555,191,343	$	688,900,001	$	1,762,116,395	$	683,576,345	$	225,685,514	$	86,202,148	$	207,134,824	$	298,307	$	-	$	36,362,810

NOTE: The information contained herein is provided to fulfill the requirements of the Office of the U. S Trustee.  All information is unaudited and subject to further adjustment.

In re: Abitibibowater Inc., et al.,	Chapter 11
	Case No. 09-11296
Debtor:

MOR-6 (continued)

Debtor Consolidating Balance Sheet

As of July 31, 2009

	Bowater Newsprint South LLC 09-11306			Bowater Newsprint South Operations LLC 09-11307		Bowater Finance II LLC 09-11308		Bowater Alabama LLC 09-11309		Coosa Pines Golf Club LLC 09-11310		Bowater Incorporated 09-11311		Catawba Property Holdings LLC 09-11312		Bowater Finance Company Inc. 09-11314		Bowater South American Holdings Inc. 09-11315		Bowater America Inc. 09-11316		Lake Superior Forest Products Inc. 09-11317
ASSETS
Cash and Cash Equivalents	$	-	$	13,683	$	-	$	1,225,551	$	-	$	358,798,640	$	-	$	2,714	$	-	$	-	$	46,457
Receivables - Net	$	-	$	4,943,168	$	-	$	4,783,430	$	-	$	102,751,983	$	-	$	-	$	-	$	76,266,040	$	-
Inventories	$	-	$	11,401,301	$	-	$	45,601,040	$	-	$	103,059,701	$	-	$	-	$	-	$	3,211,543	$	-
Prepaid Expense and Other	$	-	$	1,600,520	$	-	$	6,272,024	$	-	$	49,332,896	$	-	$	-	$	-	$	-	$	-
Notes Receivable from Affiliates	$	-	$	-	$	-	$	-	$	-	$	1,228,806,430	$	-	$	30,060,355	$	-	$	-	$	-
Income Tax Receivable	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-
Deferred Income Taxes	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-
Total Current Assets	$	-	$	17,958,672	$	-	$	57,882,045	$	-	$	1,842,749,650	$	-	$	30,063,069	$	-	$	79,477,583	$	46,457
Plant and Equipment	$	-	$	376,233,682	$	-	$	466,460,416	$	1,792,022	$	2,734,408,695	$	-	$	-	$	-	$	3,403,000	$	-
Less Accumulated Depreciation	$	-	$	(183,705,334)	$	-	$	(200,081,376)	$	(1,536,645)	$	(2,006,622,742)	$	-	$	-	$	-	$	(3,403,000)	$	-
Plant and Equipment - Net	$	-	$	192,528,348	$	-	$	266,379,040	$	255,377	$	727,785,953	$	-	$	-	$	-	$	-	$	-
Goodwill/Intangible Assets	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	9,100,000	$	-
Investment in Subsidiaries	$	-	$	-	$	-	$	-	$	-	$	2,644,377,686	$	-	$	(3,010,119)	$	-	$	10,092,497	$	92,674,861
Other Assets	$	-	$	1,716	$	-	$	-	$	-	$	68,687,452	$	-	$	-	$	-	$	-	$	-
Total Assets	$		$	210,488,736	$	-	$	324,261,085	$	255,377	$	5,283,600,741	$	-	$	27,052,950	$	-	$	98,670,080	$	92,721,318
LIABILITIES AND SHAREHOLDERS' EQUITY
Trade Accounts Payable	$	-	$	1,362,530	$	-	$	6,130,923	$	-	$	29,535,087	$	-	$	-	$	-	$	-	$	-
Accrued Liabilities	$	-	$	4,085,167	$	-	$	12,109,205	$	14,500	$	48,094,901	$	-	$	-	$	-	$	4,538,202	$	(11,980,000)
Current Portion of Long Term Debt	$	-	$	-	$	-	$	-	$	-	$	163,940,000	$	-	$	-	$	-	$	-	$	-
Due to Affiliates	$	21,600,000	$	21,732,539	$	-	$	(139,047,680)	$	(243,094)	$	(499,591,985)	$	-	$	(11,188)	$	-	$	685,007,215	$	77,452,521
Income Tax Payable	$	-	$	-	$	-	$	-	$	-	$	45,267,851	$	-	$	-	$	-	$	-	$	-
Total Current Liabilities	$	21,600,000	$	27,180,236	$	-	$	(120,807,552)	$	(228,594)	$	(212,754,146)	$	-	$	(11,188)	$	-	$	689,545,417	$	65,472,521
Long Term Debt	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-
Reclassification to Current Portion	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-
Long Term Debt Net of Current Installments	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-
Loans from Affiliates	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-
Other Liabilities	$	2,000,000	$	96,524	$	-	$	589,398	$	(1)	$	10,234,167	$	-	$	(1)	$	-	$	(2)	$	1
Deferred Income Taxes	$	77,447,000	$	(5,396,946)	$	-	$	57,051,055	$	(55,865)	$	4,547,631	$	-	$	-	$	-	$	3,645,065	$	10,063,421
Liabilities Subject to Compromise																						-
Debt	$	-	$	4,583,540	$	-	$	-	$	-	$	1,608,160,866	$	-	$	-	$	-	$	-	$	-
Debt - Affiliate	$	-	$	-	$	-	$	-	$	-	$	511,595,137	$	-	$	-	$	-	$	-	$	-
Accounts payable	$	-	$	1,853,376	$	-	$	13,095,165	$	-	$	29,552,946	$	-	$	-	$	-	$	-	$	-
Other	$	-	$	9,926,350	$	-	$	64,847,135	$	7	$	344,213,656	$	-	$	-	$	-	$	(1)	$	-
Total Liabilities	$	101,047,000	$	38,243,080	$	-	$	14,775,201	$	(284,453)	$	2,295,550,257	$	-	$	(11,189)	$	-	$	693,190,479	$	75,535,943
Shareholder Equity - Net	$	(101,047,000)	$	172,245,656	$	-	$	309,485,884	$	539,830	$	2,988,050,484	$	-	$	27,064,139	$	-	$	(594,520,399)	$	17,185,375
Total Liabilities and Shareholder' Equity	$	-	$	210,488,736	$	-	$	324,261,085	$	255,377	$	5,283,600,741	$	-	$	27,052,950	$	-	$	98,670,080	$	92,721,318

NOTE: The information contained herein is provided to fulfill the requirements of the Office of the U. S Trustee.  All information is unaudited and subject to further adjustment.

In re: Abitibibowater Inc., et al.,	Chapter 11
	Case No. 09-11296
Debtor:

MOR-6 (continued)

Debtor Consolidating Balance Sheet

As of July 31, 2009

	Bowater Canada Finance Corporation 09-11319			Bowater Canadian Holdings Incorporated 09-11320		AbitibiBowater Canada Inc. 09-11321		Bowater Canadian Forest Products Inc. 09-11322		Bowater Maritimes Inc. 09-11324		Bowater LaHave Corporation 09-11325		Bowater Canadian Limited 09-11326		Bowater Nuway Inc. 09-11328		Bowater Nuway Mid-States Inc. 09-11328		Bowater Ventures Inc. 09-11330		Abitibi Bowater US Holding 1 Corp. 09-11331		Grand Total
ASSETS
Cash and Cash Equivalents	$	1,773	$	13,153	$	2,134	$	15,078,063	$	262,512	$	44,648	$	717,776	$	176	$	-	$	1,569	$	-	$	383,351,869
Receivables - Net	$	-	$	-	$	-	$	80,053,161	$	101,431	$	-	$	-	$	-	$	(14,590)	$	-	$	-	$	267,090,188
Inventories	$	-	$	-	$	-	$	100,906,148	$	229,530	$	-	$	-	$	37,097	$	341,578	$	-	$	-	$	313,744,855
Prepaid Expense and Other	$	-	$	-	$	-	$	15,248,139	$	385,147	$	-	$	-	$	(47,500)	$	89,149	$	-	$	-	$	72,763,052
Notes Receivable from Affiliates	$	-	$	47,377,956	$	-	$	473,260,144	$	-	$	-	$	-	$	483,851,085	$	-	$	-	$	-	$	3,558,013,267
Income Tax Receivable	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-
Deferred Income Taxes	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-
Total Current Assets	$	1,773	$	47,391,109	$	2,134	$	684,545,655	$	978,620	$	44,648	$	717,776	$	483,840,858	$	416,137	$	1,569	$	-	$	4,594,963,231
Plant and Equipment	$	-	$	-	$	-	$	1,689,077,605	$	6,824,929	$	-	$	-	$	363,434	$	23,243,694	$	-	$	-	$	5,497,495,862
Less Accumulated Depreciation	$	-	$	-	$	-	$	(1,029,614,093)	$	(1,746,740)	$	-	$	-	$	(169,921)	$	(18,352,465)	$	-	$	-	$	(3,472,245,190)
Plant and Equipment - Net	$	-	$	-	$	-	$	659,463,512	$	5,078,189	$	-	$	-	$	193,513	$	4,891,229	$	-	$	-	$	2,025,250,672
Goodwill/Intangible Assets	$	-	$	-	$	-	$	46,899,000	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	56,098,338
Investment in Subsidiaries	$	818,915,952	$	2,789,294,792	$	1,641,734,410	$	967,647,168	$	-	$	79,809,309	$	7,223,552	$	5,100,000	$	-	$	820,283	$	-	$	14,759,081,698
Other Assets	$	1,225,459	$	-	$	-	$	88,625,392	$	9,799,262	$	-	$	-	$	-	$	-	$	-	$	-	$	191,785,336
Total Assets	$	820,143,184	$	2,836,685,901	$	1,641,736,544	$	2,447,180,727	$	15,856,071	$	79,853,957	$	7,941,328	$	489,134,371	$	5,307,366	$	821,852	$	-	$	21,627,179,275
LIABILITIES AND SHAREHOLDERS' EQUITY
Trade Accounts Payable	$	-	$	-	$	-	$	10,767,313	$	2,819	$	-	$	-	$	56,857	$	(109,823)	$	-	$	-	$	60,489,211
Accrued Liabilities	$	-	$	(353,339)	$	5,656	$	60,481,640	$	57,401	$	-	$	-	$	(8,081)	$	180,436	$	-	$	-	$	144,354,526
Current Portion of Long Term Debt	$	-	$	-	$	-	$	42,060,000	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	206,000,000
Due to Affiliates	$	463,631	$	907,057	$	5,746,554	$	(351,338,770)	$	51,195,738	$	-	$	13,919	$	(2,642,759)	$	73,129,522	$	128,110	$	-	$	274,346,142
Income Tax Payable	$	-	$	(1)	$	-	$	176,593	$	10,409	$	-	$	112,058	$	-	$	-	$	-	$	-	$	(8,229,405)
Total Current Liabilities	$	463,631	$	553,717	$	5,752,210	$	(237,853,224)	$	51,266,367	$	-	$	125,977	$	(2,593,983)	$	73,200,135	$	128,110	$	-	$	676,960,474
Long Term Debt	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-
Reclassification to Current Portion	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-
Long Term Debt Net of Current Installments	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-
Loans from Affiliates	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-
Other Liabilities	$	(2)	$	2	$	-	$	(7,894,560)	$	35,517,855	$	-	$	(1)	$	(5)	$	100,003	$	-	$	-	$	183,675,667
Deferred Income Taxes	$	14,503,682	$	-	$	16,110,902	$	33,446	$	129,603	$	-	$	(109,734)	$	(794,126)	$	8,388,413	$	-	$	-	$	(54,152,881)
Liabilities Subject to Compromise
Debt	$	633,318,221	$	-	$	-	$	385,152,347	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	2,935,313,895
Debt - Affiliate	$	-	$	102,932,075	$	329,334,714	$	521,251,232	$	143,920,862	$	-	$	-	$	-	$	-	$	-	$	-	$	3,881,019,900
Accounts payable	$	-	$	-	$	-	$	29,358,739	$	1,259,528	$	-	$	-	$	6,944	$	98,161	$	-	$	-	$	82,668,905
Other	$	2	$	(1)	$	-	$	128,429,762	$	11,670,256	$	-	$	-	$	2,996,736	$	212,119	$	(1)	$	-	$	615,049,037
Total Liabilities	$	648,285,534	$	103,485,793	$	351,197,826	$	818,477,742	$	243,764,471	$	-	$	16,242	$	(384,434)	$	81,998,831	$	128,109	$	-	$	8,320,534,997
Shareholder Equity - Net	$	171,857,650	$	2,733,200,108	$	1,290,538,718	$	1,628,702,985	$	(227,908,400)	$	79,853,957	$	7,925,086	$	489,518,805	$	(76,691,465)	$	693,743	$	-	$	13,306,644,278
Total Liabilities and Shareholder' Equity	$	820,143,184	$	2,836,685,901	$	1,641,736,544	$	2,447,180,727	$	15,856,071	$	79,853,957	$	7,941,328	$	489,134,371	$	5,307,366	$	821,852	$	-	$	21,627,179,275

NOTE: The information contained herein is provided to fulfill the requirements of the Office of the U. S Trustee.  All information is unaudited and subject to further adjustments.

In re: Abitibibowater Inc., et al.,	Chapter 11
	Case No. 09-11296
Debtor:

MOR-7

Debtor Consolidating Statement of Operations

For the Period July 1, 2009 to July 31, 2009

	AbitibiBowater Inc.	AbitibiBowater US Holding LLC	Donohue Corp.	Abitibi Consolidated Sales Corporation	Abitibi-Consolidated Alabama Corporation	Alabama River Newsprint Company	Abitibi-Consolidated Corporation	Augusta Woodlands, LLC	Tenex Data Inc.	Abitibi-Consolidated Finance LP
Case No.	09-11296	09-11297	09-11298	09-11299	09-11300	09-11301	09-11302	09-11303	09-11304	09-11305
Statement of Operations
Sales - Net	-	-	-	95,339,937	(28,584)	(28,310)	(20,560)	-	-	-
Cost of Sales	-	-	-	89,741,833	(28,309)	44,037	1,415,042	-	-	-
Gross Profit (Loss)	-	-	-	5,598,104	(275)	(72,347)	(1,435,602)	-	-	-
Operating Expenses
Selling, General and Administrative	159,500	-	-	548,608	-	-	-	-	-	-
Research and Development	-	-	-	-	-	-	-	-	-	-
Restructuring and Other Costs	-	-	-	707,427	-	85,307,204	(251,060)	-	-	-
Total Operating Expenses	159,500	-	-	1,256,035	-	85,307,204	(251,060)	-	-	-
Operating Income (Loss)	(159,500)	-	-	4,342,069	(275)	(85,379,551)	(1,184,542)	-	-	-
Interest Income (Expense)	3,798,614	(7,919,501)	1,476,992	(103,528)	(1,337,331)	251	(7,767)	-	-	(51,466)
Other Income (Expense) Net	(809,414)	-	-	(3,753,153)	(5,223)	-	(1,584)	-	-	(605)
Equity in Earnings of Subs	-	-	-	-	-	-	-	-	-	-
Income Before Taxes	2,829,700	(7,919,501)	1,476,992	485,388	(1,342,829)	(85,379,300)	(1,193,893)	-	-	(52,071)
Income Tax Expense	-	-	-	-	-	-	-	-	-	-
Net Income before Discontinued Operations	2,829,700	(7,919,501)	1,476,992	485,388	(1,342,829)	(85,379,300)	(1,193,893)	-	-	(52,071)
Discontinued Operations	-	-	-	-	-	-	-	-	-	-
Net Income (Loss)	2,829,700	(7,919,501)	1,476,992	485,388	(1,342,829)	(85,379,300)	(1,193,893)	-	-	(52,071)

NOTE: The information contained herein is provided to fulfill the requirements of the Office of the U. S Trustee.  All information is unaudited and subject to further adjustments.

In re: Abitibibowater Inc., et al.,	Chapter 11
	Case No. 09-11296
Debtor:

MOR-7 (continued)

Debtor Consolidating Statement of Operations

For the Period July 1, 2009 to July 31, 2009

	Bowater Newsprint South LLC	Bowater Newsprint South Operations LLC	Bowater Finance II LLC	Bowater Alabama LLC	Coosa Pines Golf Club LLC	Bowater Incorporated	Catawba Property Holdings LLC	Bowater Finance Company Inc.	Bowater South American Holdings Inc.	Bowater America Inc.	Lake Superior Forest Products Inc.
Case No.	09-11306	09-11307	09-11308	09-11309	09-11310	09-11311	09-11312	09-11314	09-11315	09-11316	09-11317
Statement of Operations
Sales - Net	-	7,120,957	-	20,840,824	-	62,720,672	-	-	-	80,888,774	-
Cost of Sales	-	8,376,451	-	24,474,686	(774)	36,246,652	-	-	-	83,313,140	-
Gross Profit (Loss)	-	(1,255,494)	-	(3,633,862)	774	26,474,020	-	-	-	(2,424,366)	-
Operating Expenses
Selling, General and Administrative	-	53,498	-	299,755	-	2,958,461	-	-	-	6,944	-
Research and Development	-	-	-	-	-	-	-	-	-	-	-
Restructuring and Other Costs	-	-	-	(1,500)	-	1,617,518	-	-	-	-	-
Total Operating Expenses	-	53,498	-	298,255	-	4,575,979	-	-	-	6,944	-
Operating Income (Loss)	-	(1,308,992)	-	(3,932,117)	774	21,898,041	-	-	-	(2,431,310)	-
Interest Income (Expense)	-	80,730	-	(134)	-	(3,560,915)	-	-	-	(30)	(14)
Other Income (Expense) Net	-	(5,733)	-	(221,570)	-	2,820,340	-	-	-	(2,043,156)	34,498
Equity in Earnings of Subs	-	-	-	-	-	-	-	-	-	-	(630,400)
Income Before Taxes	-	(1,233,995)	-	(4,153,821)	774	21,157,466	-	-	-	(4,474,496)	(595,916)
Income Tax Expense	-	-	-	-	-	123,207	-	-	-	31,667	-
Net Income before Discontinued Operations	-	(1,233,995)	-	(4,153,821)	774	21,280,673	-	-	-	(4,442,829)	(595,916)
Discontinued Operations	-	-	-	-	-	-	-	-	-	-	-
Net Income (Loss)	-	(1,233,995)	-	(4,153,821)	774	21,280,673	-	-	-	(4,442,829)	(595,916)

NOTE: The information contained herein is provided to fulfill the requirements of the Office of the U. S Trustee.  All information is unaudited and subject to further adjustments.

In re: Abitibibowater Inc., et al.,	Chapter 11
	Case No. 09-11296
Debtor:

MOR-7 (continued)

Debtor Consolidating Statement of Operations

For the Period July 1, 2009 to July 31, 2009

	Bowater Canada Finance Corporation	Bowater Canadian Holdings Incorporated	AbitibiBowater Canada Inc.	Bowater Canadian Forest Products Inc.	Bowater Maritimes Inc.	Bowater LaHave Corporation	Bowater Canadian Limited	Bowater Nuway Inc.	Bowater Nuway Mid-States Inc.	Bowater Ventures Inc.	AbitibiBowater US Holding 1 Corp.	Grand Total
Case No.	09-11319	09-11320	09-11321	09-11322	09-11324	09-11325	09-11326	09-11328	09-11328	09-11330	09-11331
Statement of Operations
Sales - Net	-	-	-	45,838,137	(26,697)	-	-	-	(13,524)	-	-	312,631,626
Cost of Sales	-	-	-	57,446,092	180,824	-	-	51,747	88,173	-	-	301,349,594
Gross Profit (Loss)	-	-	-	(11,607,955)	(207,521)	-	-	(51,747)	(101,697)	-	-	11,282,032
Operating Expenses
Selling, General and Administrative	-	-	-	1,127,152	-	-	-	-	-	-	-	5,153,918
Research and Development	-	-	-	-	-	-	-	-	-	-	-	-
Restructuring and Other Costs	-	-	-	549,532	(41)	-	-	-	-	-	-	87,929,080
Total Operating Expenses	-	-	-	1,676,684	(41)	-	-	-	-	-	-	93,082,998
Operating Income (Loss)	-	-	-	(13,284,639)	(207,480)	-	-	(51,747)	(101,697)		-	(81,800,966)
Interest Income (Expense)	(3,975,000)	(552,362)	(31)	(2,332,314)	(383,210)	(441)	-	237,483	-	(31)	-	(14,630,005)
Other Income (Expense) Net	(1,091,495)	(627,273)	(1,585,316)	(4,009,224)	(12,686,250)	-	-	(18,585)	3,098	-	-	(24,000,645)
Equity in Earnings of Subs	-	-	-	27,067	-	-	-	-	-	-	-	(603,333)
Income Before Taxes	(5,066,495)	(1,179,635)	(1,585,347)	(19,599,110)	(13,276,940)	(441)	-	167,151	(98,599)	(31)	-	(121,034,949)
Income Tax Expense	-	-	-	-	-	-	-	-	-	-	-	154,874
Net Income before Discontinued Operations	(5,066,495)	(1,179,635)	(1,585,347)	(19,599,110)	(13,276,940)	(441)	-	167,151	(98,599)	(31)	-	(120,880,075)
Discontinued Operations	-	-	-	-	-	-	-	-	-	-	-	-
Net Income (Loss)	(5,066,495)	(1,179,635)	(1,585,347)	(19,599,110)	(13,276,940)	(441)	-	167,151	(98,599)	(31)	-	(120,880,075)

NOTE: The information contained herein is provided to fulfill the requirements of the Office of the U. S Trustee.  All information is unaudited and subject to further adjustments.

 

In re: Abitibibowater Inc., et al.,	Chapter 11
	Case No. 09-11296
Debtor:

MOR-8

Declaration Regarding the Status of Post-Petition Taxes of the Debtors

As of July 31, 2009

Joel P. Ihrig hereby declares under penalty of perjury:  

1.	I am the Vice President of Taxation for Abitibibowater Inc, et at., the above-captioned debtors and debtors in possession (collectively, the "Debtors").  I am familiar with the Debtors' day-to-day operations, business, affairs and books and records.
2.	I am authorized to submit this Declaration of behalf of the Debtors.
3.	To the best of my knowledge, I certify that the Debtor and all affiliated Debtors have paid all taxes from April 16, 2009, the petition date, through May 31, 2009, the end of this reporting period.

Dated:  August 31, 2009                    Respectfully submitted,  

                                                               /s/ Joel P. Ihrig                                                     

                                                               By:  Joel P. Ihrig

                                                               Title:  Vice President Taxation

In re: Abitibibowater Inc., et al.,	Chapter 11
	Case No. 09-11296
Debtor:

MOR-9

Combined Listing of Post-Petition Aged Accounts Payable

As of July 31, 2009

(Dollars in Thousands)

		Number of Days Outstanding
	Notes		0-30		31-60		61-90		Over 90		Totals
Accounts Payable	(1)	$	47,264,073	$	8,568,933	$	2,366,956	$	2,289,249	$	60,489,211
											0
											0
Total Post-Petition payables		$	47,264,073	$	8,568,933	$	2,366,956	$	2,289,249	$	60,489,211
Notes:
(1)  The post-petition accounts payable reported represents open and outstanding trade vendor invoices, based on invoice date, that have been entered into the Debtors' accounts payable system. These amounts do not include any payables based on accruals for which invoices have not been received nor services performed.

In re: Abitibibowater Inc., et al.,	Chapter 11
	Case No. 09-11296
Debtor:

MOR-10

Combined Listing of Aged Accounts Receivable

As of July 31, 2009

(Dollars in Thousands)

Number of Days Outstanding

	Notes	Current	0-30	31-60	61-90	Over 90	Totals
Accounts Receivable	(1)	148,769,228	26,858,196	9,442,335	6,924,378	17,625,901	209,620,038
Other Receivables	(2)	43,500,299				25,252,361	68,752,660
							0
							0
Totals	(3)	192,269,527	26,858,196	9,442,335	6,924,378	42,878,262	278,372,698
		69.1%	9.6%	3.4%	2.5%	15.4%	100.0%

Notes:

(1)  All amounts have been converted to U.S. Dollars.

(2)  Other receivables primarily include:

          - A/R Excise/Commodity Taxes $9.4 million

          - A/R Black Liquid Fuel Credit Program $11.1 million

          - A/R Roads/Land Refurb Credit $25.3 million

          - Other A/R miscellaneous items $23.0 million

(3)  The accounts receivable stated above does not include any provisions for bad debt. The allowance for bad debt is

approximately $11.3 million.

In re: Abitibibowater Inc., et al.,	Chapter 11
	Case No. 09-11296
Debtor:

MOR-11

Summary of Debtors Post-Petition Intercompany Receivables and Payables

 

		June 30, 2009						July 31, 2009						Change
Case #	Debtor Entity	Inter company Balances		Inter company Notes		Total		Inter company Balances		Inter company Notes		Total		Inter company Balances		Inter company Notes		Total
09-11296	AbitibiBowater Incorporated	$	(72,908)	$	(354,728)	$	(427,636)	$	(73,629)	$	(350,930)	$	(424,559)	$	(722)	$	3,799	$	3,077
09-11297	AbitibiBowater US Holding LLC	$	-	$	(808,191)	$	(808,191)	$	-	$	(816,110)	$	(816,110)	$	-	$	(7,920)	$	(7,920)
09-11298	Donohue Corp.	$	(35,671)	$	523,001	$	487,330	$	(35,671)	$	529,711	$	494,040	$	-	$	6,709	$	6,709
09-11299	Abitibi Consolidated Sales Corporation	$	(1,987)	$	(182,898)	$	(184,885)	$	(22,551)	$	(186,680)	$	(209,231)	$	(20,564)	$	(3,782)	$	(24,346)
09-11300	Abitibi-Consolidated Alabama Corporation	$	11,580	$	(254,535)	$	(242,955)	$	11,335	$	(255,872)	$	(244,537)	$	(245)	$	(1,337)	$	(1,583)
09-11301	Alabama River Newsprint Company	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-
09-11302	Abitibi-Consolidated Corporation	$	(278,302)	$	52,000	$	(226,302)	$	(276,751)	$	52,000	$	(224,751)	$	1,551	$	-	$	1,551
09-11303	Augusta Woodlands, LLC	$	4,372	$	40,000	$	44,372	$	4,372	$	40,000	$	44,372	$	-	$	-	$	-
09-11304	Tenex Data Inc.	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-
09-11305	Abitibi-Consolidated Finance LP	$	14,169	$	36,443	$	50,612	$	14,169	$	36,643	$	50,812	$	(0)	$	200	$	200
09-11306	Bowater Newsprint South LLC	$	(21,600)	$	-	$	(21,600)	$	(21,600)	$	-	$	(21,600)	$	-	$	-	$	-
09-11307	Bowater Newsprint South Operations LLC	$	(25,735)	$	-	$	(25,735)	$	(21,733)	$	-	$	(21,733)	$	4,003	$	-	$	4,003
09-11308	Bowater Finance II LLC	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-
09-11309	Bowater Alabama LLC	$	138,430	$	-	$	138,430	$	139,048	$	-	$	139,048	$	617	$	-	$	617
09-11310	Coosa Pines Golf Club LLC	$	238	$	-	$	238	$	243	$	-	$	243	$	5	$	-	$	5
09-11311	Bowater Incorporated	$	523,110	$	713,886	$	1,236,996	$	499,624	$	714,686	$	1,214,310	$	(23,487)	$	800	$	(22,686)
09-11312	Catawba Property Holdings LLC	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-
09-11314	Bowater Finance Company Inc.	$	11	$	30,060	$	30,072	$	11	$	30,060	$	30,072	$	-	$	-	$	-
09-11315	Bowater South American Holdings Inc.	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-
09-11316	Bowater America Inc.	$	(698,709)	$	-	$	(698,709)	$	(685,007)	$	-	$	(685,007)	$	13,702	$	-	$	13,702
09-11317	Lake Superior Forest Products Inc.	$	(77,442)	$	-	$	(77,442)	$	(77,453)	$	-	$	(77,453)	$	(10)	$	-	$	(10)
09-11319	Bowater Canada Finance Corporation	$	(430)	$	-	$	(430)	$	(464)	$	-	$	(464)	$	(34)	$	-	$	(34)
09-11320	Bowater Canadian Holdings Incorporated	$	(254)	$	(52,855)	$	(53,109)	$	(907)	$	(53,334)	$	(54,241)	$	(653)	$	(479)	$	(1,132)
09-11321	AbitibiBowater Canada Inc.	$	(5,337)	$	(329,335)	$	(334,672)	$	(5,747)	$	(329,335)	$	(335,081)	$	(410)	$	-	$	(410)
09-11322	Bowater Canadian Forest Products Inc.	$	376,076	$	(59,566)	$	316,510	$	363,975	$	(50,020)	$	313,954	$	(12,101)	$	9,545	$	(2,556)
09-11324	Bowater Maritimes Inc.	$	(51,459)	$	(133,066)	$	(184,525)	$	(51,196)	$	(143,921)	$	(195,117)	$	263	$	(10,855)	$	(10,592)
09-11325	Bowater LaHave Corporation	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-
09-11326	Bowater Canadian Limited	$	(13)	$	-	$	(13)	$	(14)	$	-	$	(14)	$	(1)	$	-	$	(1)
09-11328	Bowater Nuway Inc.	$	2,572	$	483,614	$	486,185	$	2,643	$	483,851	$	486,494	$	71	$	237	$	308
09-11329	Bowater Mid-States Inc.	$	(73,070)	$	-	$	(73,070)	$	(73,130)	$	-	$	(73,130)	$	(59)	$	-	$	(59)
09-11330	Bowater Ventures Inc.	$	(128)	$	-	$	(128)	$	(128)	$	-	$	(128)	$	-	$	-	$	-
09-11331	AbitibiBowater US Holding 1 Corp.	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-
	CCAA Filing Companies	$	312,649	$	367,802	$	680,452	$	353,216	$	371,863	$	725,078	$	40,567	$	4,060	$	44,627
									-
	Non-Filing Companies	$	(40,164)	$	(71,632)	$	(111,796)	$	(42,656)	$	(72,610)	$	(115,267)	$	(2,492)	$	(978)	$	(3,471)
	Total	$	0	$	-	$	0	$	0	$	-	$	0	$	(0)	$	0	$	(0)

In re: Abitibibowater Inc., et al.,	Chapter 11
	Case No. 09-11296
Debtor:

MOR-12

Debtors' Questionnaire

For the Period July 1, 2009 to July 31, 2009

	Yes	No
1.        Have any assets been sold or transferred outside the normal course of business		X
this period? If yes, provide an explanation below.
2.        Have any funds been disbursed from any account other than a debtor in		X
possession account this reporting period? If yes, provide an explanation below.
3.        Have all post-petition tax returns been timely filed? If no, provide an explanation	X
below.
4.        Are workers compensation, general liability and other necessary Insurance	X
coverage in effect? If no, provide an explanation below.
5.        Has any bank account been opened during the reporting period? If yes, provide		X
documentation identifying the opened account(s). If an investment account has
been opened provide the required documentation pursuant to the Delaware Local
Rule 4001-3.

See MOR-12a for new account listing.

In re: Abitibibowater Inc., et al.,	Chapter 11
	Case No. 09-11296
Debtor:

MOR-12a

Supplement to Debtors' Questionnaire

For Period July 1, 2009 to July 31, 2009

Listing of bank accounts opened during the reporting period.

Debtor	Bank Name	Date Opened
(none)

EX-99

Exhibit 99.2

CANADA	SUPERIOR COURT
PROVINCE OF QUÉBEC DISTRICT OF MONTRÉAL No.: 500-11-036133-094	Commercial Division Sitting as a court designated pursuant to the Companies' Creditors Arrangement Act, R.S.C., c. C-36, as amended
	IN THE MATTER OF THE PLAN OF COMPROMISE OR ARRANGEMENT OF:
	ABITIBIBOWATER INC. , a legal person incorporated under the laws of the State of Delaware, having its principal executive offices at 1155 Metcalfe Street, in the City and District of Montréal, Province of Quebec, H3B 5H2;
	And
	ABITIBI-CONSOLIDATED INC. , a legal person incorporated under the laws of Canada, having its principal executive offices at 1155 Metcalfe Street, in the City and District of Montréal, Province of Quebec, H3B 5H2;
	And
	BOWATER CANADIAN HOLDINGS INC. , a legal person incorporated under the laws of the Province of Nova Scotia, having its principal executive offices at 1155 Metcalfe Street, in the City and District of Montréal, Province of Quebec, H3B 5H2;
	And
	the other Petitioners listed on Appendices "A", "B" and "C";
	Petitioners
	And
	ERNST & YOUNG INC. , a legal person under the laws of Canada, having a place of business at 800 René-Lévesque Blvd. West, Suite 1900, in the City and District of Montréal, Province of Quebec, H3B 1X9;
	Monitor

FIFTEENTH REPORT OF THE MONITOR

SEPTEMBER 2, 2009

 

INTRODUCTION

1.               On April 17, 2009, Abitibi-Consolidated Inc. ("ACI") and its subsidiaries listed in Appendix "A" hereto (collectively with ACI, the "ACI Petitioners") and Bowater Canadian Holdings Incorporated ("BCHI") and its subsidiaries listed in Appendix "B" hereto (collectively with BCHI, the "Bowater Petitioners") (the ACI Petitioners and the Bowater Petitioners are collectively referred to herein as the "Petitioners") filed for and obtained protection from their creditors under the Companies' Creditors Arrangement Act (the "CCAA" and the "CCAA Proceedings") pursuant to an Order of this Honourable Court (the "Initial Order").

2.              Pursuant to the Initial Order, Ernst & Young Inc. (" EYI ") was appointed as monitor of the Petitioners (the "Monitor") under the CCAA and a stay of proceedings in favour of the Petitioners was granted until May 14, 2009 (the "Stay Period").  On May 14, 2009, the Stay Period was extended until September 4, 2009 pursuant to an Order of this Honourable Court (the "First Stay Extension Order").  The Petitioners are seeking an extension of the Stay Period until December 15, 2009 as discussed later herein.

3.              On April 16, 2009, AbitibiBowater Inc. ("ABH"), Bowater Inc. ("BI"), and certain of their direct and indirect U.S. and Canadian subsidiaries, including BCHI and Bowater Canadian Forest Products Inc. ("BCFPI") (collectively referred to herein as "U.S. Debtors"), filed voluntary petitions (collectively, the "Chapter 11 Proceedings") for relief under Chapter 11 of the U.S. Bankruptcy Code, 11 U.S.C. §§ 101 et seq. (the "U.S. Bankruptcy Code") in the United States Bankruptcy Court for the District of Delaware (the "U.S. Bankruptcy Court").  On April 17, 2009, the U.S. Bankruptcy Court granted certain interim and final orders (the "First Day Orders") and set dates for the final hearing of the motions for which the U.S. Bankruptcy Court granted the interim orders.

4.              The Petitioners are all subsidiaries of ABH (ABH, collectively with its subsidiaries, are referred to as the "ABH Group").

-2-

5.              On April 17, 2009, ABH and the petitioners listed on Appendix "C" hereto (collectively with ABH, the " 18.6 Petitioners ") obtained Orders under Section 18.6 of the CCAA in respect of voluntary proceedings initiated under Chapter 11 and EYI was appointed as the information officer in respect of the 18.6 Petitioners.

6.              On April 16, 2009, ACI and ACCC filed petitions for recognition under Chapter 15 of the U.S. Bankruptcy Code. On April 21, 2009, the U.S. Bankruptcy Court granted the recognition orders under Chapter 15 of the U.S. Bankruptcy Code.

7.              On April 22, 2009, the Court amended the Initial Order to extend the stay of proceedings to the partnerships listed in Appendix "D" hereto.

BACKGROUND

8.              ABH is one of the world's largest publicly traded paper and forest product companies.  It produces a wide range of newsprint and commercial printing papers, market pulp and wood products . As at December 31, 2008, the ABH Group employed approximately 15,800 people, approximately 11,300 of which work in ACI's and BI's Canadian operations.  The ABH Group owns interests in or operates 24 pulp and paper mills, 24 sawmills (others have been permanently closed), 5 wood products facilities and 32 recycling facilities located in Canada, the United States, the United Kingdom and South Korea.

9.              Incorporated in Delaware and headquartered in Montreal, Quebec, ABH functions as a holding company and its business is conducted principally through four direct subsidiaries: BI, Bowater Newsprint South LLC ("Newsprint South") (BI, Newsprint South and their respective subsidiaries are collectively referred to as the "BI Group"), ACI (ACI and its subsidiaries are collectively referred to as the " ACI Group ") and AbitibiBowater US Holding LLC ("ABUSH") (ABUSH and its respective subsidiaries are collectively referred to as the "DCorp Group").

-3-

10.           ACI is a direct and indirect wholly-owned subsidiary of ABH.  ABH wholly owns BI which in turn, wholly owns BCHI which, in turn, indirectly owns BCFPI which carries on the main Canadian operations of BI.

11.            ACCC, a wholly-owned subsidiary of ACI, and BCFPI hold the majority of ABH's Canadian assets and operations.

PURPOSE

12.             This is the fifteenth report of the Monitor (the "Fifteenth Report") in the CCAA Proceedings, the purpose of which is to report to this Honourable Court with respect to the following:

(i)             the Petitioners' four-week cash flow results for the period from July 27, 2009 to August 23, 2009 (the "Reporting Period"), in accordance with the First Stay Extension Order, and to provide details with respect to the following:

(a) an update regarding the overview of the current market conditions in the forest products industry provided in the thirteenth report of the Monitor dated August 7, 2009 (the "Thirteenth Report");

(b) the receipts and disbursements of the ACI Group and BCFPI for the Reporting Period with a discussion of the variances from the respective forecasts (the "ACI Forecast" and the "BCFPI Forecast") set forth in the Thirteenth Report;

(c) the current liquidity and revised cash flow forecasts of the ACI Group and BCFPI for the 17-week period ending December 20, 2009; and

(d) an update with respect to certain key performance indicators ("KPIs") ;

(ii)            the engagement of advisors by certain creditors of the ACI Group;

-4-

(iii)           the restructuring initiatives undertaken by the Petitioners since the date of the Initial Order; and

(iv)          the Monitor's recommendation regarding the motion by the Petitioners to extend the Stay Period to December 15, 2009.

TERMS OF REFERENCE

13.            In preparing this Fifteenth Report, the Monitor has been provided with and, in making comments herein, has relied upon unaudited financial information, the ABH Group's books and records, financial information and projections prepared by the ABH Group and discussions with management of the ABH Group (the " Management ").  The Monitor has not audited, reviewed or otherwise attempted to verify the accuracy or completeness of such information and, accordingly, the Monitor expresses no opinion or other form of assurance in respect of such information contained in this Fifteenth Report.  Some of the information referred to in this Fifteenth Report consists of forecasts and projections.  An examination or review of the financial forecast and projections, as outlined in the Canadian Institute of Chartered Accountants Handbook, has not been performed.  Future-oriented financial information referred to in this Fifteenth Report was prepared by the ABH Group based on Management's estimates and assumptions.  Readers are cautioned that, since these projections are based upon assumptions about future events and conditions, the actual results will vary from the projections, even if the assumptions materialize, and the variations could be significant.

14.           Capitalized terms not defined in this Fifteenth Report are as defined in the previous reports of the Monitor and the Initial Order.  All references to dollars are in U.S. currency unless otherwise noted.

15.           Copies of all of the Monitor's Reports, in both English and French, including a copy of this Fifteenth Report, and all motion records and Orders in the CCAA Proceedings will be available on the Monitor's website at www.ey.com/ca/abitibibowater.  The Monitor has also established a bilingual toll-free telephone number that is referenced on the Monitor's website so that parties may contact the Monitor if they have questions with respect to the CCAA Proceedings.

-5-

16.           Copies of all of the U.S. Bankruptcy Court's orders are posted on the website for Epiq Bankruptcy Solutions LCC ("Epiq") at http://chapter11.epiqsystems.com/abitibibowater.  The Monitor has included a link to Epiq's website from the Monitor's website.

CURRENT MARKET CONDITIONS IN THE FOREST PRODUCTS INDUSTRY

17.            Pursuant to the First Stay Extension Order, the Monitor has provided this Honourable Court with regular reports on the Petitioners' cash flows for each four week period following the date of the First Stay Extension Order.  These regular reports have included details with respect to the market conditions in the forest products industry.

18.            As indicated in the Seventh, Ninth and Thirteenth Reports of the Monitor, the forest products industry continues to face significant challenges with respect to pricing and demand.  A significant contributing factor to these issues is the continuing overcapacity in the newsprint market and ongoing weakness in the U.S. housing market.

19.            The Monitor has noted in prior Reports that prices for newsprint have been falling over recent months.  The RISI PPI Pulp & Paper Week Report of August 21, 2009 (the "Pulp & Paper Week Report") notes that the year over year price of newsprint has fallen from approximately $785 per tonne in July of 2008 to $465 per tonne in July of 2009.  The Pulp & Paper Week Report notes, however, that the pace of price decreases has slowed due to increased downtime taken by newsprint producers.  The following graph illustrates the decline in newsprint prices since January, 2009 (per RISI.com on August 21, 2009):

-6-

20.            To put in context the effect that declining newsprint prices have had on the Petitioners' business, the Monitor notes that the ACI Group is currently selling approximately 100,000 MT (both North American and international) of newsprint per month.

21.            The Petitioners have recently announced price increases for newsprint of $35 per tonne effective September 1 and October 1, 2009 for North American customers.  Such price increases will be in the amount of $35 per tonne, each month.  As such, the total increase per tonne will be $70 over the next two months.

22.            As set forth in the Thirteenth Report, pulp prices have been rising against historically low prices.  The Pulp & Paper Week Report notes that this trend is continuing and that many producers have raised prices for the fourth consecutive month based on estimates of September pricing.  While neither the ACI Group nor BCFPI produce significant amounts of pulp, it does form a small portion of the business of each entity.

-7-

RECEIPTS AND DISBURSEMENTS FROM JULY 27, 2009 TO AUGUST 23, 2009 FOR THE ACI GROUP AND BCFPI

The ACI Group

23.            The table below summarizes the ACI Group's (including DCorp) actual receipts and disbursements for the Reporting Period, which is detailed in Appendix "E" of this Fifteenth Report, with a comparison to the ACI Forecast amounts provided in the Thirteenth Report.

			US$000
			Actual		Forecast		Variance	Variance %
Receipts			209,366		201,680		7,686	4%
Disbursements			(227,163)		(175,117)		(52,046)	(30%)
Financing
	Securitization Inflows / (Outflows)		(2,889)		(3,858)		969	25%
	Adequate Protection by DCorp to ACCC Team Lenders		(3,287)		(3,537)		250	7%
	DIP Interest & Fees		(197)		(193)		(4)	(2%)
	Restructuring & Other Items		(2,307)		(6,100)		3,793	62%
	Foreign Exchange Translation		(1,978)		-		(1,978)	N/A
	Net Financing		(10,658)		(13,688)		3,030	22%
Net Cash Flow		$	(28,455)	$	12,875	$	(41,330)	(321%)
Opening Cash			64,864		64,864		-
Ending Cash		$	36,409	$	77,739	$	(41,330)	(53%)
DIP Availability (net of minimum undrawn balance)			42,700		42,700		-
Available Liquidity		$	79,109	$	120,439	$	(41,330)	(34%)

24.            As demonstrated in the table above, the ACI Group's total receipts for the Reporting Period were approximately $7.7 million (4%) higher than projected in the ACI Forecast and disbursements were $52.0 million (30%) higher than projected in the ACI Forecast.  Overall, the ending cash balance and liquidity availability are each approximately $41.3 million lower than the ACI Forecast.

-8-

Receipts

25.            A breakdown of the receipts for the Reporting Period are outlined in the table below:

			US$000
Receipts	Para.		Actual		Forecast		Variance	Variance %
A/R Collections	26(i)	$	131,992	$	176,096	$	(44,104)	(25%)
Intercompany A/R Settlement	26(i)		27,861		-		27,861	N/A
Total A/R Collections			159,853		176,096		(16,243)	(9%)
Collections on Behalf of Joint Ventures	26(ii)		397		13,276		(12,879)	(97%)
A/R Collections - Affiliates	26(iii)		18,158		-		18,158	N/A
Intercompany A/P Settlement	26(iv)		11,539		-		11,539	N/A
Other Inflows	26(v)		19,419		12,309		7,110	58%
Total Receipts		$	209,366	$	201,680	$	7,686	4%

26.            The variance analysis has been compiled based on discussions with Management and the following represents the more significant reasons for the variances:

(i)            A/R Collections, inclusive of receipts related to Intercompany A/R Settlements, were approximately $159.9 million during the Reporting Period compared to a forecast amount of $176.1 million.  This variance is primarily due to an increase in accounts receivable aging.

Intercompany A/R Settlements represent payments to the ACI Group from an affiliated ABH Group entity for ACI Group accounts receivable that were collected by the affiliated entity, such as BI or BCFPI.

(ii)             Collections on Behalf of Joint Ventures totalled approximately $0.4 million during the Reporting Period.  This amount represents amounts collected by the ACI Group for accounts receivable that belong to a joint venture partner .  Such amounts will be paid to the joint venture partner on a monthly basis or in accordance with the joint venture agreement.  The amount of $0.4 million is compared to a forecast amount of $13.3 million and results in a negative variance of $12.8 million. 

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This variance is partly due to the fact that certain portions of amounts collected on behalf of joint ventures are also included in the "A/R Collections" line and have not yet been specifically allocated to "Collections on Behalf of Joint Ventures".

(iii)             A/R Collections - Affiliates totalled approximately $18.2 million during the Reporting Period.  As part of its normal Cash Management System, the ACI Group regularly collects accounts receivable on behalf of other ABH Group entities.  As it is not possible to forecast which customers will incorrectly pay the ACI Group on behalf of the other entities, collections on behalf of affiliates is not forecast by the Petitioners.  The funds are paid on a regular basis by the ACI Group to the appropriate ABH Group entity, which payments are reflected in the Intercompany A/R Settlements line of the disbursements section of the cash flow statement.  As discussed later in this Fifteenth Report, an amount of approximately $24.7 million was paid out to affiliates during the Reporting Period by the ACI Group to reimburse affiliates for collections made on their behalf by the ACI Group.

(iv)             Receipts related to Intercompany A/P Settlements totalled approximately $11.5 million during the Reporting Period.  Such receipts represent other ABH Group entities reimbursing the ACI Group for payments made on their behalf in the normal course pursuant to the operation of the Cash Management System.  In order to determine the quantum of funds to be transferred between entities, the Petitioners reconcile amounts paid on behalf of other entities on a regular basis.  Such amounts would have originally been included as a disbursement in the Trade Payables line.

(v)             Other Inflows, which includes tax refunds and other miscellaneous receipts, totalled $19.4 million during the Reporting Period.  The ACI Forecast included receipts of $12.3 million.  The difference is primarily due to higher than forecast collections in respect of wood chips.

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Disbursements

27.           A breakdown of the disbursements for the Reporting Period is outlined below:

			US$000
Disbursements	Para.		Actual		Forecast		Variance	Variance %
Trade Payables	28(i)	$	(134,321)	$	(93,677)	$	(40,644)	(43%)
Capital Expenditures	28(ii)		-		(5,984)		5,984	100%
Marine Freight Payments			(5,190)		(4,200)		(990)	(24%)
Utility Payments	28(iii)		(17,018)		(22,467)		5,449	24%
Payroll & Benefits	28(iv)		(34,299)		(35,085)		786	2%
Intercompany A/R Settlements	28(v)		(24,733)		-		(24,733)	N/A
Joint Venture Remittances, Net			(11,602)		(13,704)		2,102	15%
Payment on behalf of Affiliates			-		-		-	N/A
Total Disbursements		$	(227,163)	$	(175,117)	$	(52,046)	(30%)

28.           The variance analysis with respect to the disbursements for the more significant variances has been compiled based on discussions with Management and the following represents a summary of the reasons for the variances:

(i)             Disbursements related to Trade Payables were approximately $134.3 million during the Reporting Period, which was $40.6 million greater than the ACI Forecast.  Management has advised that the variance is primarily due to the following:

(a)            Capital Expenditures have been included in the actual amount for Trade Payables disbursements until such time as the ACI Group identifies and allocates the disbursements which are capital in nature.  Such an amount would reduce the negative variance by approximately $6.0 million;

(b)            the ACI Group regularly disburses amounts on behalf of other affiliated entities which are included in Trade Payables (as noted above, the ACI Group was reimbursed by affiliates for $11.5 million of such amounts during the Reporting Period).  The quantum of amounts disbursed on behalf of other entities is not known until such time as the Petitioners reconcile their intercompany accounts, which is done on a regular basis.  In addition to transactions between the ACI Group and the BI Group, the ACI Group has disbursed approximately $6 million on behalf of the Manicouagan Power Company, which reimbursement will occur after the Reporting Period;

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(c)            the level of sales tax forecast in the ACI Forecast was less than was actually paid when the ACI Group disbursed funds to suppliers.  As such, actual disbursements were approximately $7.0 million greater than forecast; and

(d)            one settlement for Intercompany A/P Settlements was delayed by one week.  Such settlement occurred after the Reporting Period in the amount of approximately $3.3 million.

(ii)            As noted above, Capital Expenditures are not tracked on a weekly basis.  The disbursements related to capital disbursements have been included in the Trade Payables disbursement line.  Management has advised the Monitor that capital expenditures for the month of July, 2009 totalled approximately $5.5 million.

(iii)          Utility Payments were approximately $5.4 million less than forecast.  Due to the agreement the ACI Group has with its various power suppliers, it is required to pay a certain fixed amount on a weekly basis.  Negotiations are ongoing to adjust the payment amount to a level that reflects current power usage.

(iv)           Total payments for Payroll & Benefits were $34.3 million during the Reporting Period compared to an amount of approximately $35.1 million in the ACI Forecast. 

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(v)           The ACI Group does not forecast the disbursement of Intercompany A/R Settlements as it is not possible to predict which customers will pay the incorrect ABH Group entity for accounts receivable.  The corresponding receipt of these amounts collected from affiliate customers is included in the A/R Collections - Affiliates line included in the Receipts section of the cash flow statement.

Financing

29.           Details regarding the ACI Group's financing activities are summarized in the following table:

			US$000
Financing	Para.		Actual		Forecast		Variance	Variance %
Securitization Inflows / (Outflows)	30(i)	$	(2,889)	$	(3,858)	$	969	25%
Adequate Protection by DCorp to ACCC Term Lenders			(3,287)		(3,537)		250	7%
DIP Interest & Fees			(197)		(193)		(4)	(2%)
Restructuring & Other Items	30(iii)		(2,307)		(6,100)		3,793	62%
Foreign Exchange Translation	30(iv)		(1,978)		-		(1,978)	N/A
		$	(10,658)	$	(13,688)	$	3,030	22%

30.           The variance analysis with respect to the ACI Group's financing activities has been compiled based on discussions with Management and the following represents a summary of the reasons for the variances:

(i)             Securitization Inflows/(Outflows) totalled an outflow of approximately $2.9 million compared to a projected outflow of $3.9 million during the Reporting Period.

(ii)             DIP Drawings/(Repayments) were nil during the Reporting Period as the ACI Group neither forecast nor actually drew on the DIP.  The Monitor notes, however, that an amount of $10.0 million was drawn on the DIP in the week ended August 30, 2009, which is outside the Reporting Period.

(iii)             Payments for Restructuring & Other Items totalled approximately $2.3 million during the Reporting Period.  This compares to an amount of $6.1 million in the ACI Forecast.

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(iv)             Amounts on the Foreign Exchange Translation line represent the difference between the actual exchange rate between Canadian and U.S. dollars at the time of conversion as compared to the forecast rate of CDN$1.00=US$0.90.  During the Reporting Period the value of the Canadian dollar fluctuated between US$0.9076 and US$0.9344.

BCFPI

31.           The following table summarizes the receipts and disbursements of BCFPI from July 27, 2009 to August 23, 2009, which is detailed in Appendix "F" of this Fifteenth Report:

		US$000
		Actual		Forecast		Variance	Variance %
Receipts	$	61,083	$	67,934	$	(6,851)	(10%)
Disbursements		(60,787)		(61,666)		879	1%
Financing		(3,745)		(4,434)		689	16%
Net Cash Flows		(3,449)		1,834		(5,283)	(288%)
Opening Cash		2,636		2,636		-	0%
Ending Cash	$	(813)	$	4,470	$	(5,283)	(118%)

32.           As detailed in the table above, BCFPI's total receipts for the Reporting Period were approximately $6.9 million (10%) lower than the BCFPI Forecast and disbursements (including financing disbursements) were $1.6 million (2%) higher than the BCFPI Forecast.  Overall, the ending cash balance was $5.3 million lower than the BCFPI Forecast.

33.           BCFPI had cash on hand of negative $0.8 million at August 23, 2009.  Due to a late cheque run which was issued on Friday, August 21, 2009, the amount of outstanding cheques as at August 23, 2009 was greater than the amount of cash in BCFPI's bank accounts, assuming that all outstanding cheques would have cleared that day; however, such clearings did not occur.  Funds to cover these outstanding cheques were transferred to BCFPI's bank accounts on Monday, August 24, 2009.

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Receipts

34.            A breakdown of the BCFPI receipts are summarized in the table below:

			US$000
Receipts	Para.		Actual		Forecast		Variance	Variance %
A/R Collections	35(i)	$	12,643	$	57,934	$	(45,291)	(78%)
Intercompany A/R Settlements	35(i)		22,441		-		22,441	N/A
Total A/R Collections			35,084		57,934		(22,850)	(39%)
Intercompany A/P Settlements	35(ii)		19,387		10,000		9,387	94%
A/R Collections - Affiliates			3,834		-		3,834	N/A
Other Inflows	35(iii)		2,778		-		2,778	N/A
Total Receipts		$	61,083	$	67,934	$	(6,851)	(10%)

35.           The variance analysis with respect to the receipts has been compiled based on discussions with Management and the following represents a summary of the reasons for the significant variances:

(i)              Total A/R Collections were approximately $35.1 million resulting in a negative variance of approximately $22.9 million.  This variance is primarily due to:

(a)            lower than forecast sales;

(b)            an increase in the aging of accounts receivable; and

(c)            a delay in settlement of receivables from pulp sales collected by BI from BCFPI customers.  Such amounts will be settled in upcoming weeks.

Pursuant to BCFPI's normal practice and the Cash Management System, sales which are made to customers domiciled in the United States are sold through an affiliate, Bowater America Inc. ("BAI").  BAI, which is a subsidiary of BI, collects the accounts receivable from the third party customers and then remits these funds via an Intercompany A/R Settlement to BCFPI.  BCFPI continues to reconcile its intercompany trade receivables on a regular basis.

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(ii)             Receipts related to Intercompany A/P Settlements were approximately $19.4 million compared to an amount of $10.0 million in the BCFPI Forecast.  While BCFPI does not typically forecast this line item, the BCFPI Forecast contained an estimate of $10.0 million in respect of repayments for amounts disbursed on behalf of the Bowater Mersey Paper Company Ltd. ("Mersey").  During the Reporting Period, additional reconciliations were carried out to enable the settlement of the majority of post-filing disbursements made by BCFPI on behalf of Mersey.

(iii)             Amounts received related to Other Inflows were approximately $2.8 million during the Reporting Period.  Such receipts primarily represent various tax refunds and deposits made at the mill level.  BCFPI does not forecast such amounts.

Disbursements

36.           Details regarding disbursements are summarized in the following table:

			US$000
Disbursements	Para.		Actual		Forecast		Variance	Variance %
Trade Payables	37(i)	$	(33,015)	$	(42,733)	$	9,718	23%
Intercompany SG&A Allocation	37(ii)		-		(400)		400	100%
Intercompany A/R Settlements	37(iii)		(2,855)		-		(2,855)	N/A
Intercompany A/P Settlements	37(iv)		(1,517)		-		(1,517)	N/A
Payments on Behalf of Affiliates	37(v)		(8,214)		-		(8,214)	N/A
Freight	37(vi)		(2,584)		(4,411)		1,827	41%
Payroll and Benefits	37(vii)		(12,602)		(12,315)		(287)	(2%)
Capital Expenditures	37(viii)		-		(1,808)		1,808	100%
Total Disbursements		$	(60,787)	$	(61,666)	$	879	1%

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37.           The variance analysis with respect to BCFPI's disbursements has been compiled based on discussions with Management and the following represents a summary of the reasons provided for these variances:

(i)             Disbursements related to Trade Payables totalled approximately $9.7 million less than projected during the Reporting Period.  The reason for this variance is the greater than forecast downtime at the Dolbeau mill, which was idled for the entire Reporting Period.

(ii)            During the Reporting Period, BCFPI did not pay any amounts in respect of the Intercompany SG&A Allocation as the Q1 allocation and subsequent allocations have not been settled on a cash basis.  This resulted in a positive cash flow variance, which should reverse when intercompany SG&A allocations are settled on a cash basis.

(iii)           Payments for Intercompany A/R Settlements totalled approximately $2.9 million during the Reporting Period.  Intercompany A/R Settlements represent payments made by BCFPI to reimburse related entities for accounts receivable incorrectly paid to BCFPI by ABH- affiliated customers.

(iv)          Intercompany A/P Settlements represent BCFPI reimbursing related entities for payments made on its behalf.  During the Reporting Period, such payments totalled approximately $1.5 million and are primarily reimbursements to the ACI Group for freight costs.

(v)           Payments on Behalf of Affiliates were $8.2 million during the Reporting Period.  These payments primarily represent disbursements made by BCFPI on behalf of Mersey, which is a joint venture partially owned by BI.  Due to the integrated nature of the operations of the Petitioners and the Cash Management System, such payments occur on a regular basis.  BCFPI does not forecast such payments, nor does it forecast the repayment of these items.

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(vi)          Disbursements for Freight totalled $2.6 million during the Reporting Period.  This compares to an amount of approximately $4.4 million in the BCFPI Forecast.  The positive variance is in part due to lower than anticipated sales and the fact the certain amounts are still payable to the ACI Group for freight that it has paid on BCFPI's behalf.

(vii)          During the Reporting Period, payments in respect of Payroll and Benefits totalled $12.6 million.  The BCFPI Forecast projected disbursements in the amount of $12.3 million.

(viii)        Capital Expenditures are not tracked on a weekly basis.  As such, disbursements for this line item have been included in Trade Payables.    Capital expenditures for July, 2009 were $0.8 million.

Financing

38.           Details regarding financing are summarized in the following table:

			US$000
Financing	Para.		Actual		Forecast		Variance	Variance %
Interest		$	(1,147)	$	(1,534)	$	387	25%
Restructuring Costs	39(i)		(1,809)		(2,900)		1,091	38%
Foreign Exchange Translation	39(ii)		(789)		-		(789)	N/A
Cash Flow from Financing/Restructuring		$	(3,745)	$	(4,434)	$	689	16%

39.            The variance analysis with respect to BCFPI's disbursements has been compiled based on discussions with Management and the following represents a summary of the reasons for the variances:

(i)               Restructuring Costs were $1.8 million during the Reporting Period as compared with the forecast amount of $2.9 million.  This variance is primarily due to timing and is expected to reverse as various professional service firms submit their invoices for payment.

(ii)            Amounts on the Foreign Exchange Translation line represent the difference between the actual exchange rate at the time of conversion between Canadian and U.S. dollars as compared to the forecast rate of CDN$1=US$0.90.

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CURRENT LIQUIDITY POSITION AND THE 17 WEEK CASH FLOW FORECASTS

40.            Attached as Appendices "G" and "H", respectively, are the updated 17-week cash flow forecasts of the ACI Group (including DCorp) and BCFPI through December 20, 2009.

41.            The major variations from the cash flow forecasts contained in the Thirteenth Report are primarily due to lower newsprint prices, which are offset by the projected receipt of certain tax refunds and the proceeds from asset sales.

42.            As at August 23, 2009, the ACI Group had cash on hand of $36.4 million.  In addition to this amount, the undrawn portion of the ACI DIP Facility was $55.2 million.  However, pursuant to the ACI DIP Facility, $12.5 million of this amount must remain undrawn, thereby resulting in net available liquidity under the ACI DIP Facility of $42.7 million.  Accordingly, the total liquidity of the ACI Group was $79.1 million ($36.4 million cash plus $42.7 million of the ACI DIP Facility) as at August 23, 2009.

43.            The ACI Group's actual liquidity to August 23, 2009 and forecast liquidity for the 17 weeks ending December 20, 2009 is set forth in Appendix "G" and is summarized in the graph below:

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The graph above includes the receipt of approximately $47.7 million in respect of proceeds from the sale of timberlands in the province of Quebec (the "Quebec Timberlands").  Such proceeds were received on September 2, 2009.  The above graph also includes the receipt of an annual refund for the construction of roads in the province of Quebec in the amount of $36.0 million.  Excluding these two items, the ACI Group's projected negative cash flow for the 17 weeks ended December 20, 2009 would be approximately $51.7 million.

44.           The ACI Group's liquidity at December 20, 2009 is projected to be $101.1 million.  This is compared to an amount of approximately $195.3 million at the end of 13 weeks as detailed in the Thirteenth Report.  The reason for the decrease in projected liquidity is due to the following:

(i)             lower newsprint prices being reflected in the latest cash flow forecast;

(ii)            an increase in the amount of sales taxes included in the cash flow forecast (approximately $15 million);

(iii)           less favourable assumptions with respect to availability under the ACI Group's Securitization Program due to the concentration of certain accounts receivable (approximately $2.6 million); and

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(iv)          the negative variances in cash flow realized during the Reporting Period (approximately $41 million).

45.           The ACI Group cash flow forecast included in Appendix "G" does not reflect the repayment of the ACI DIP Facility on November 1, 2009 which is the date by which the ACI DIP Facility must be repaid, in accordance with its terms.  The ACI Group has indicated that it anticipates that amounts outstanding under the ACI DIP Facility will be repaid with proceeds of the sale of the ACI Group's 60% interest in the Manicouagan Power Company ("MPCo").  The cash flow projections contained Appendix "G" do not as of yet reflect this anticipated transaction, nor do they reflect the repayment of the ACI DIP Facility.

46.           From the date of the issuance of the Initial Order to August 23, 2009, the net cash flow for the ACI Group was approximately negative $102.3 million, exclusive of DIP draws.  Of this amount, $50.7 million represents non-operating items such as Securitization Program closing fees, Adequate Protection Payments to ACCC Term Lenders, DIP closing fees and restructuring costs.

47.           Actual results since the date of the issuance of the Initial Order and BCFPI's forecast liquidity for the 17 weeks ended December 20, 2009, which includes projected intercompany funding from BI in the amount of $19.0 million, is set forth in Appendix "H" and is summarized in the graph below.  The estimate of liquidity in the following graph assumes that a minimum cash balance of $10.0 million will be maintained and funds are transferred from BI, as necessary, on that basis.

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48.          On August 26, 2009 and September 1, 2009, this Honourable Court and the U.S. Bankruptcy Court, respectively, approved certain agreements between the ACI Group, BCFPI and Smurfit-Stone Container Canada Inc. ("Smurfit") relating to the sale of certain timberlands by Smurfit, which will result in BCFPI receiving net proceeds in the amount of approximately $25.6 million (the "Smurfit Timberland Proceeds").  Once received by BCFPI, the Smurfit Timberland Proceeds are to be held in trust by the Monitor pending further order of this Honourable Court.  For purposes of the forecast, the proceeds are reflected as being held in trust by the Monitor and are not used for operating purposes due to the uncertainty regarding the timing of the release of these funds.

49.           BCFPI's liquidity as at December 20, 2009 is projected to be approximately $10.2 million, not including the Smurfit Timberland Proceeds.

50.           From the date of the issuance of the Initial Order to August 23, 2009, the net cash flow for BCFPI was approximately negative $53.4 million, exclusive of DIP draws.  This negative cash flow is forecast to be offset somewhat over the next several weeks when the settlement of funds related to pulp sales occurs, as pulp sales from BCFPI are collected by BI.    Such proceeds have not yet been paid to BCFPI as Management only recently completed the reconciliation that would allow such a transfer to occur.

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51.           Management has informed the Monitor that BCFPI's forecast cash requirements will be supported by BI through intercompany advances, if necessary.

52.           As set forth in the Thirteenth Report, in light of the declining market conditions and the further strengthening of Canadian currency and the resultant impact on the ACI Group's and BCFPI's projected liquidity, the ABH Group is reviewing its alternatives to reduce costs and to better balance its mill  production to current market demand.

KEY PERFORMANCE INDICATORS

53.           As first reported in the Seventh Report the Petitioners track certain key performance indicators in the course of managing their business.  Appendix "I" contains certain key performance indicators which have been updated through July, 2009.

ENGAGEMENT LETTERS

54.           The Petitioners have advised the Monitor that the ACI Group has entered into engagement letters with advisors for the ACI ad hoc committee of bondholders (the "ACI Ad Hoc Bondholder Committee").  These advisors include counsel in the U.S. and Canada, Broadpoint Capital Inc. and Genuity Capital Markets, each of which has been retained to advise and perform various services for the ACI Ad Hoc Bondholder Committee.  The Monitor has reviewed the engagement letters and has no objection to the terms contained therein.

-23-

PENSION PLANS PAYMENTS

55.           As set forth in previous reports of the Monitor, there are substantial solvency deficits under the Petitioners' pension plans and any solvency deficiency payments have been suspended by order of this Honourable Court.

56.           The Monitor has been advised by the Petitioners that payments due to the beneficiaries under such pension plans have not been altered as a result of the CCAA Proceedings and are being paid in full while negotiations concerning the future of the pension plans are ongoing.  As a result, the Monitor understands that current retirees are receiving the full value of amounts due to them under the relevant pension plans and there has been no adjustment to current service payments, regardless of the deficits in the relevant plans.

SUMMARY OF RESTRUCTURING ACTIVITIES

57.           Since the date of the Initial Order, the Petitioners have progressed on a number of restructuring initiatives.  Below is a summary of a number of key activities to date:

(i)             the Petitioners have engaged a chief restructuring officer to assist with the restructuring process;

(ii)            on August 4, 2009, the ACI Group received Court approval for the sale of the Quebec Timberlands for proceeds of approximately $47.7 million.  This amount was received on September 2, 2009;

(iii)           BCFPI executed agreements which have allowed it to monetize its interest in a first right of refusal with respect to timberland assets owned by Smurfit, which is expected to generate proceeds of approximately $25.6 million;

(iv)           both the ACI Group and BCFPI, with the consent of the Monitor, have repudiated a number of unfavourable contracts which will assist them in making their cost structures more viable;

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(v)             as reported in the Thirteenth Report, BCFPI indefinitely idled two paper machines at its Thunder Bay facility in order to reduce costs;

(vi)            the Petitioners have implemented initiatives to reduce selling, general and administrative expenses;

(vii)           the Petitioners have obtained an order from this Honourable Court that authorizes the Petitioners to begin to call for certain claims of their creditors (the "Claims Process").  The U.S. Debtors are seeking a similar order from the U.S. Bankruptcy Court;

(viii)           the Petitioners have continued work on a process to reconcile both pre and post-filing intercompany account balances within the ABH Group and have shared this information with the stakeholders' advisors;

(ix)             electronic data rooms have been created and are regularly updated with information to allow stakeholder advisors to assess the ongoing condition of the Petitioners' business; and

(x)              the ACI Group has continued discussions with respect to the sale of its 60% ownership interest MPCo.

EXTENSION OF STAY PROCEEDINGS

58.           As noted in the materials filed with this Honourable Court, the Petitioners have filed a motion to extend the Stay Period to December 15, 2009.

59.           The extension of the Stay Period to December 15, 2009 will allow the Petitioners to continue to develop their restructuring plan and will also allow the Petitioners to continue activities under the Claims Process to quantify certain claims of creditors.

60.           As noted above, each of the ACI Group and BCFPI has prepared 17-week forecasts to December 20, 2009.  Both forecasts indicate that the Petitioners will have sufficient liquidity to enable them to sustain ordinary course operations through the proposed extension of the Stay Period.

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RECOMMENDATIONS

61.           It is the Monitor's view that the Petitioners have acted in good faith and with due diligence in their efforts to develop a restructuring plan for the benefit of all stakeholders.  The Monitor is also of the view that an extension of the Stay Period to December 15, 2009, is in the best interest of all stakeholders.

62.           Accordingly, the Monitor recommends that this Honourable Court grant the Petitioners' motion for an extension of the Stay Period to December 15, 2009.

All of which is respectfully submitted.

ERNST & YOUNG INC.
in its capacity as the Court Appointed Monitor
of the Petitioners

Per:        /s/ Alex Morrison

Alex Morrison, CA, CIRP      
Senior Vice President

Greg Adams, CA, CIRP

Senior Vice President

John Barrett, CA, CIRP      
Vice President

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APPENDIX "A"

ABITIBI PETITIONERS

1.	Abitibi-Consolidated Company of Canada
2.	Abitibi-Consolidated Inc.
3.	3224112 Nova Scotia Limited
4.	Marketing Donohue Inc.
5.	Abitibi-Consolidated Canadian Office Products Holding Inc.
6.	3834328 Canada Inc.
7.	6169678 Canada Inc.
8.	4042140 Canada Inc.
9.	Donohue Recycling Inc.
10.	1508756 Ontario Inc.
11.	3217925 Nova Scotia Company
12.	La Tuque Forest Products Inc.
13.	Abitibi-Consolidated Nova Scotia Incorporated
14.	Saguenay Forest Products Inc.
15.	Terra Nova Explorations Ltd.
16.	The Jonquière Pulp Company
17.	The International Bridge and Terminal Company
18.	Scramble Mining Ltd.
19.	9150-3383 Québec Inc.

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APPENDIX "B"

BOWATER PETITIONERS

1.	Bowater Canada Finance Corporation
2.	Bowater Canadian Limited
3.	Bowater Canadian Holdings. Inc.
4.	3231378 Nova Scotia Company
5.	AbitibiBowater Canada Inc.
6.	Bowater Canada Treasury Corporation
7.	Bowater Canadian Forest Products Inc.
8.	Bowater Shelburne Corporation
9.	Bowater LaHave Corporation
10.	St-Maurice River Drive Company Limited
11.	Bowater Treated Wood Inc.
12.	Canexel Hardboard Inc.
13.	9068-9050 Québec Inc.
14.	Alliance Forest Products Inc. (2001)
15.	Bowater Belledune Sawmill Inc.
16.	Bowater Maritimes Inc.
17.	Bowater Mitis Inc.
18.	Bowater Guérette Inc.
19.	Bowater Couturier Inc.

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APPENDIX "C"

18.6 PETITIONERS

1.	AbitibiBowater US Holding 1 Corp.
2.	AbitibiBowater Inc.
3.	Bowater Ventures Inc.
4.	Bowater Incorporated
5.	Bowater Nuway Inc.
6.	Bowater Nuway Mid-States Inc.
7.	Catawba Property Holdings LLC
8.	Bowater Finance Company Inc.
9.	Bowater South American Holdings Incorporated
10.	Bowater America Inc.
11.	Lake Superior Forest Products Inc.
12.	Bowater Newsprint South LLC
13.	Bowater Newsprint South Operations LLC
14.	Bowater Finance II, LLC
15.	Bowater Alabama LLC
16.	Coosa Pines Golf Club Holdings, LLC

-29-

APPENDIX "D"

PARTNERSHIPS

1.	Bowater Canada Finance Limited Partnership
2.	Bowater Pulp and Paper Canada Holdings Limited Partnership
3.	Abitibi-Consolidated Finance LP

-30-

APPENDIX "E"

ACI GROUP ACTUAL RECEIPTS AND DISBURSEMENTS

Abitibi-Consolidated Inc. and its Subsidiaries (the "ACI Group")
Actual to Forecast Comparison
4 Weeks Ended August 23, 2009
US$000
	Actual					Forecast					Variance
Week Ended	2-Aug-09	9-Aug-09	16-Aug-09	23-Aug-09	Total	2-Aug-09	9-Aug-09	16-Aug-09	23-Aug-09	Total	2-Aug-09	9-Aug-09	16-Aug-09	23-Aug-09	Total
Opening Cash	64,864	73,450	67,395	39,573	64,864	64,864	77,742	84,701	64,563	64,864	-	(4,292)	(17,306)	(24,990)	-
Receipts
A/R Collections	45,666	29,616	24,884	31,826	131,992	43,741	35,589	38,843	57,923	176,096	1,925	(5,973)	(13,959)	(26,097)	(44,104)
Intercompany A/R  Settlement	6,520	5,559	12,501	3,281	27,861	-	-	-	-	-	6,520	5,559	12,501	3,281	27,861
Total A/R Collections	52,186	35,175	37,385	35,107	159,853	43,741	35,589	38,843	57,923	176,096	8,445	(414)	(1,458)	(22,816)	(16,243)
Collections on Behalf of Joint Ventures	-	-	-	397	397	3,202	3,358	3,358	3,358	13,276	(3,202)	(3,358)	(3,358)	(2,961)	(12,879)
A/R Collections - Affiliates	9,096	2,102	3,245	3,715	18,158	-	-	-	-	-	9,096	2,102	3,245	3,715	18,158
Intercompany A/P Settlement	3,627	-	7,912	-	11,539	-	-	-	-	-	3,627	-	7,912	-	11,539
Other Inflows	5,643	5,403	3,470	4,903	19,419	5,784	2,175	2,175	2,175	12,309	(141)	3,228	1,295	2,728	7,110
Total Receipts	70,552	42,680	52,012	44,122	209,366	52,727	41,122	44,375	63,456	201,680	17,825	1,558	7,637	(19,334)	7,686
Disbursements
Trade Payables	(33,172)	(31,132)	(35,582)	(34,435)	(134,321)	(22,034)	(23,281)	(25,081)	(23,281)	(93,677)	(11,138)	(7,851)	(10,501)	(11,154)	(40,644)
Capital Expenditures	-	-	-	-	-	(1,496)	(1,496)	(1,496)	(1,496)	(5,984)	1,496	1,496	1,496	1,496	5,984
Marine Freight Payments	(2,472)	(1,749)	(256)	(713)	(5,190)	(1,050)	(1,050)	(1,050)	(1,050)	(4,200)	(1,422)	(699)	794	337	(990)
Utility Payments	(1,974)	(4,111)	(3,736)	(7,197)	(17,018)	(2,857)	(3,870)	(7,870)	(7,870)	(22,467)	883	(241)	4,134	673	5,449
Payroll & Benefits	(10,672)	(7,757)	(10,115)	(5,755)	(34,299)	(14,073)	(5,015)	(10,982)	(5,015)	(35,085)	3,401	(2,742)	867	(740)	786
Intercompany A/R Settlements	(15,562)	-	(9,171)	-	(24,733)	-	-	-	-	-	(15,562)	-	(9,171)	-	(24,733)
Intercompany A/P Settlements	-	-	-	-	-	-	-	-	-	-	-	-	-	-	-
Joint Venture Remittances, Net	-	-	(11,602)	-	(11,602)	48	50	(13,852)	50	(13,704)	(48)	(50)	2,250	(50)	2,102
Payment on Behalf of Affliates	-	-	-	-	-	-	-	-	-	-	-	-	-	-	-
Total Disbursements	(63,852)	(44,749)	(70,462)	(48,100)	(227,163)	(41,462)	(34,662)	(60,331)	(38,662)	(175,117)	(22,390)	(10,087)	(10,131)	(9,438)	(52,046)
Financing
Securitization Inflows / (Outflows)	6,344	(3,151)	(7,593)	1,511	(2,889)	6,343	3,599	(3,182)	(10,618)	(3,858)	1	(6,750)	(4,411)	12,129	969
Securitization Closing Fees	-	-	-	-	-		-	-	-	-	-	-	-	-	-
Adequate Protection by DCorp to ACCC Term Lenders	(3,287)	-	-	-	(3,287)	(3,537)	-	-	-	(3,537)	250	-	-	-	250
DIP Drawings / (Repayments)	-	-	-	-	-		-	-	-	-	-	-	-	-	-
DIP Interest & Fees	-	(197)	-	-	(197)	(193)	-	-	-	(193)	193	(197)	-	-	(4)
Restructuring & Other Items	(525)	(109)	(1,396)	(277)	(2,307)	(1,000)	(3,100)	(1,000)	(1,000)	(6,100)	475	2,991	(396)	723	3,793
Foreign Exchange Translation	(646)	(529)	(383)	(420)	(1,978)	-				-	(646)	(529)	(383)	(420)	(1,978)
	1,886	(3,986)	(9,372)	814	(10,658)	1,613	499	(4,182)	(11,618)	(13,688)	273	(4,485)	(5,190)	12,432	3,030
Cash Flow From Operations	8,586	(6,055)	(27,822)	(3,164)	(28,455)	12,878	6,959	(20,138)	13,176	12,875	(4,292)	(13,014)	(7,684)	(16,340)	(41,330)
Opening Cash Balance	64,864	73,450	67,395	39,573	64,864	64,864	77,742	84,701	64,563	64,864	-	(4,292)	(17,306)	(24,990)	-
Cash Flow From Operations	8,586	(6,055)	(27,822)	(3,164)	(28,455)	12,878	6,959	(20,138)	13,175	12,874	(4,292)	(13,014)	(7,684)	(16,340)	(41,330)
Ending Cash Balance	73,450	67,395	39,573	36,409	36,409	77,742	84,701	64,563	77,738	77,738	(4,292)	(17,306)	(24,990)	(41,330)	(41,330)
Note: The above totals are subject to rounding adjustments

-31-

    APPENDIX "F"

BCFPI ACTUAL RECEIPTS AND DISBURSEMENTS

Bowater Canadian Forest Products Inc. ("BCFPI")
Actual to Forecast Comparison
4 Weeks Ended August 23, 2009
US$000
	Actual					Forecast					Variance
Week Ended	2-Aug-09	9-Aug-09	16-Aug-09	23-Aug-09	Total	2-Aug-09	9-Aug-09	16-Aug-09	23-Aug-09	Total	2-Aug-09	9-Aug-09	16-Aug-09	23-Aug-09	Total
Opening Cash	2,636	9,601	8,452	870	2,636	2,636	13,224	8,182	4,133	2,636	-	(3,623)	270	(3,263)	-
Receipts
A/R Collections	2,510	5,862	2,262	2,009	12,643	17,593	10,931	12,853	16,557	57,934	(15,083)	(5,069)	(10,591)	(14,548)	(45,291)
Intercompany A/R Settlements	7,914	6,415	4,629	3,483	22,441	-	-	-		-	7,914	6,415	4,629	3,483	22,441
Total A/R Collections	10,424	12,277	6,891	5,492	35,084	17,593	10,931	12,853	16,557	57,934	(7,169)	1,346	(5,962)	(11,065)	(22,850)
Intercompany A/P Settlements	9,387	-	-	10,000	19,387	10,000	-	-	-	10,000	(613)	-	-	10,000	9,387
A/R Collections - Affiliates	1,302	379	1,878	275	3,834	-	-	-	-	-	1,302	379	1,878	275	3,834
Other Inflows	1,039	586	475	678	2,778	-	-	-	-	-	1,039	586	475	678	2,778
Total Receipts	22,152	13,242	9,244	16,445	61,083	27,593	10,931	12,853	16,557	67,934	(5,441)	2,311	(3,609)	(112)	(6,851)
Disbursements
Trade Payables	(6,828)	(7,499)	(8,687)	(10,001)	(33,015)	(8,905)	(11,276)	(11,276)	(11,276)	(42,733)	2,077	3,777	2,589	1,275	9,718
Intercompany SG&A Allocation	-	-	-	-	-	-	-	(400)	-	(400)	-	-	400	-	400
Intercompany A/R Settlements	(1,175)	-	(1,680)	-	(2,855)	-	-	-	-	-	(1,175)	-	(1,680)	-	(2,855)
Intercompany A/P Settlements	(548)	-	(969)	-	(1,517)	-	-	-	-	-	(548)	-	(969)	-	(1,517)
Payments on Behalf of Affiliates	(1,533)	(1,153)	(1,985)	(3,543)	(8,214)	-	-	-	-	-	(1,533)	(1,153)	(1,985)	(3,543)	(8,214)
Freight	(675)	(691)	(624)	(594)	(2,584)	(1,183)	(1,076)	(1,076)	(1,076)	(4,411)	508	385	452	482	1,827
Payroll and Benefits	(3,010)	(3,426)	(2,749)	(3,417)	(12,602)	(4,014)	(2,448)	(3,405)	(2,448)	(12,315)	1,004	(978)	656	(969)	(287)
Capital Expenditures	-	-	-	-	-	(452)	(452)	(452)	(452)	(1,808)	452	452	452	452	1,808
Total Disbursements	(13,769)	(12,769)	(16,694)	(17,555)	(60,787)	(14,553)	(15,252)	(16,609)	(15,252)	(61,666)	784	2,483	(85)	(2,303)	879
Cash Flow From Operations	8,383	473	(7,450)	(1,110)	296	13,040	(4,321)	(3,756)	1,305	6,268	(4,657)	4,794	(3,694)	(2,415)	(5,972)
Financing
Interest	-	(748)	-	(399)	(1,147)	(859)	-	-	(675)	(1,534)	859	(748)	-	276	387
Restructuring Costs	(1,214)	(568)	(27)	-	(1,809)	(1,593)	(721)	(293)	(293)	(2,900)	379	153	266	293	1,091
Foreign Exchange Translation	(204)	(306)	(105)	(174)	(789)	-	-	-		-	(204)	(306)	(105)	(174)	(789)
Cash Flow from Financing/Restructuring	(1,418)	(1,622)	(132)	(573)	(3,745)	(2,452)	(721)	(293)	(968)	(4,434)	1,034	(901)	161	395	689
Net Cash Flows	6,965	(1,149)	(7,582)	(1,683)	(3,449)	10,588	(5,042)	(4,049)	337	1,834	(3,623)	3,893	(3,533)	(2,020)	(5,283)
Opening Cash Balance	2,636	9,601	8,452	870	2,636	2,636	13,224	8,182	4,133	2,636	-	(3,623)	270	(3,263)	-
Cash Flow From Operations	6,965	(1,149)	(7,582)	(1,683)	(3,449)	10,588	(5,042)	(4,049)	337	1,834	(3,623)	3,893	(3,533)	(2,020)	(5,283)
Ending Cash Balance	9,601	8,452	870	(813)	(813)	13,224	8,182	4,133	4,470	4,470	(3,623)	270	(3,263)	(5,283)	(5,283)
Note: The above totals are subject to rounding adjustments

-32-

APPENDIX "G"

ACI GROUP CASH FLOW FORECAST

Abitibi Consolidated Inc. and its subsidiaries (the "ACI Group")
Weekly Cash Flow Forecast
17 Weeks Ended December 20, 2009
US$000s
Week ended	Notes	30-Aug-09	6-Sep-09	13-Sep-09	20-Sep-09	27-Sep-09	4-Oct-09	11-Oct-09	18-Oct-09
Opening Cash	1	36,407	41,240	90,091	94,440	131,906	124,989	132,664	142,706
Receipts
Total A/R Collections	3	34,350	39,734	40,573	51,763	39,968	46,958	36,589	32,206
Collections on Behalf of Joint Ventures	4	2,786	3,864	4,044	4,044	4,044	3,880	3,757	3,757
Other Inflows	5	2,175	5,784	8,135	45,604	4,311	5,497	5,061	2,175
Total Receipts		39,311	49,383	52,752	101,411	48,323	56,334	45,407	38,138
Disbursements
Trade Payables	6	(23,991)	(25,464)	(26,059)	(26,059)	(27,949)	(24,250)	(22,894)	(22,894)
Capital Expenditures	7	(1,496)	(1,539)	(1,546)	(1,546)	(1,546)	(1,517)	(1,496)	(1,496)
Marine Freight Payments	8	(1,050)	(1,050)	(1,050)	(1,050)	(1,050)	(1,050)	(1,050)	(1,050)
Utility Payments	9	(7,870)	(4,441)	(3,870)	(7,870)	(7,870)	(5,584)	(3,870)	(7,870)
Payroll & Benefits	10	(11,180)	(8,457)	(11,657)	(5,797)	(11,657)	(8,388)	(5,257)	(11,613)
Joint Venture Remittances, Net	11	(858)	58	61	(12,276)	(839)	2,308	56	(14,276)
Restructuring & Other Items	12	(1,000)	(1,000)	(1,000)	(1,000)	(1,000)	(1,000)	(1,000)	(1,000)
Total Disbursements		(47,445)	(41,893)	(45,121)	(55,598)	(51,911)	(39,482)	(35,510)	(60,199)
Financing
Securitization Inflows / (Outflows)	13	2,968	(2,589)	(3,282)	(8,346)	(3,328)	(5,509)	145	1,484
Adequate Protection and fees by DCorp to ACCC Term Lenders	14	-	(3,537)	-	-	-	(3,431)	-	-
DIP Drawings / (Repayments)	15	10,000	-	-	-	-	-	-	-
DIP Interest & Fees	15	-	(213)	-	-	-	(237)	-	-
Asset Sales	16	-	47,700	-	-	-	-	-	-
Total Change in Cash		4,833	48,851	4,348	37,467	(6,917)	7,675	10,042	(20,578)
Ending Cash Balance (with ACI DIP Facility Draws)		41,240	90,091	94,440	131,906	124,989	132,664	142,706	122,129
Available Liquidity (Cash and Undrawn DIP)	17	73,940	122,791	127,140	164,606	157,689	165,364	175,406	154,829
Securitization Schedule	18
Allowable Receivable Pool Balance		117,196	114,607	112,094	103,747	100,419	94,910	95,055	97,249
Interest, Fees and Adjustments	19	-	-	(769)	-	-	-	-	(710)
Amount Drawn Under Facility		114,228	117,196	114,607	112,094	103,747	100,419	94,910	95,055
Availability / (Required Repayment)		2,968	(2,589)	(3,282)	(8,346)	(3,328)	(5,509)	145	1,484
The above forecast uses an exchange rate of CDN$1.00=US$0.90.
Note: The above totals are subject to rounding adjustments in the underlying balances.
The information and analysis in this document have not been audited or reviewed and, according, no assurances are provided thereon.  In addition, because forecasts are dependent upon numerous assumptions regarding future events, actual results will be different than forecast, and such differences may be material.

-33-

Abitibi Consolidated Inc. and its subsidiaries (the "ACI Group")
Weekly Cash Flow Forecast
17 Weeks Ended December 20, 2009
US$000s
Week ended	Notes	25-Oct-09	1-Nov-09	8-Nov-09	15-Nov-09	22-Nov-09	29-Nov-09	6-Dec-09	13-Dec-09	20-Dec-09	Total
Opening Cash	1	122,129	121,943	110,084	114,762	108,293	92,838	87,234	86,415	85,773	36,407
Receipts
Total A/R Collections	3	42,715	31,247	31,142	30,730	39,039	32,281	33,071	31,720	31,399	625,484
Collections on Behalf of Joint Ventures	4	3,757	3,849	4,402	4,402	4,402	4,402	4,128	4,082	4,082	67,682
Other Inflows	5	2,175	2,175	2,175	2,175	2,175	2,175	2,175	2,175	2,175	98,315
Total Receipts		48,647	37,270	37,719	37,306	45,616	38,858	39,373	37,977	37,656	791,481
Disbursements
Trade Payables	6	(22,894)	(22,885)	(22,833)	(22,833)	(22,833)	(22,833)	(19,989)	(19,515)	(19,515)	(395,689)
Capital Expenditures	7	(1,496)	(1,503)	(1,546)	(1,546)	(1,546)	(1,546)	(1,503)	(1,496)	(1,496)	(25,860)
Marine Freight Payments	8	(1,050)	(1,050)	(1,050)	(1,050)	(1,050)	(1,050)	(1,050)	(1,050)	(1,050)	(17,850)
Utility Payments	9	(7,870)	(7,299)	(3,870)	(7,870)	(7,870)	(7,870)	(4,441)	(3,870)	(7,870)	(108,076)
Payroll & Benefits	10	(5,257)	(14,315)	(5,268)	(11,539)	(5,268)	(11,189)	(8,178)	(11,051)	(5,454)	(151,526)
Joint Venture Remittances, Net	11	(844)	58	66	66	(16,571)	(834)	62	61	(18,804)	(62,506)
Restructuring & Other Items	12	(1,000)	(1,000)	(1,000)	(1,000)	(1,000)	(1,000)	(1,000)	(1,000)	(1,000)	(17,000)
Total Disbursements		(40,410)	(47,994)	(35,501)	(45,772)	(56,139)	(46,322)	(36,099)	(37,920)	(55,189)	(778,507)
Financing
Securitization Inflows / (Outflows)	13	(8,422)	2,647	2,461	1,996	(4,932)	1,859	(425)	(699)	135	(23,839)
Adequate Protection and fees by DCorp to ACCC Term Lenders	14	-	(3,537)	-	-	-	-	(3,431)	-	-	(13,935)
DIP Drawings / (Repayments)	15	-	-	-	-	-	-	-	-	-	10,000
DIP Interest & Fees	15	-	(245)	-	-	-	-	(237)	-	-	(932)
Asset Sales	16	-	-	-	-	-	-	-	-	-	47,700
Total Change in Cash		(186)	(11,859)	4,678	(6,469)	(15,455)	(5,604)	(819)	(642)	(17,398)	31,968
Ending Cash Balance (with ACI DIP Facility Draws)		121,943	110,084	114,762	108,293	92,838	87,234	86,415	85,773	68,375	68,375
Available Liquidity (Cash and Undrawn DIP)	17	154,643	142,784	147,462	140,993	125,538	119,934	119,115	118,473	101,075	101,075
Securitization Schedule	18
Allowable Receivable Pool Balance		88,827	91,474	93,934	96,610	91,679	93,538	93,113	93,080	93,215	93,215
Interest, Fees and Adjustments	19	-	-	-	(680)	-	-	-	(666)	-	(2,825)
Amount Drawn Under Facility		97,249	88,827	91,474	93,934	96,610	91,679	93,538	93,113	93,080	114,228
Availability / (Required Repayment)		(8,422)	2,647	2,461	1,996	(4,932)	1,859	(425)	(699)	135	(23,839)
The above forecast uses an exchange rate of CDN$1.00=US$0.90.
Note: The above totals are subject to rounding adjustments in the underlying balances.
The information and analysis in this document have not been audited or reviewed and, according, no assurances are provided thereon.  In addition, because forecasts are dependent upon numerous assumptions regarding future events, actual results will be different than forecast, and such differences may be material.

Abitibi Consolidated Inc. and its subsidiaries (the "ACI Group")

Notes to Weekly Cash Flow Forecast

17 Weeks Ended December 20, 2009

US$000s

1.	Opening Cash in the forecast includes cash on hand.
2.	The cash flow forecast includes mills owned by the ACI Group and its subsidiaries and includes the operations of the DCorp Group.
3.	Total A/R Collections represent amounts estimated to be collected from the ACI Group's customers.   The timing of collections is based on the ACI Group's collection terms with its customers and the latest sales forecast.
4.	Collections on Behalf of Joint Ventures represent amounts estimated to be collected by the ACI Group on behalf of its joint venture partners.   The ACI Group has agreements with its joint venture partners whereby the ACI Group collects the joint venture partners' accounts receivable (for a fee) and remits these funds to the joint venture in accordance with their agreement.
5.	Other Inflows represent miscellaneous receipts including, but not limited to, such items as tax refunds or insurance proceeds, as estimated by the ACI Group.   Included in Other Inflows for the week ended September 20, 2009, is $36 million representing the receipt of refunds related to tax credits from the Quebec provincial government.
6.	Trade Payables represent amounts estimated to be paid to suppliers for the purchase of the ACI Group's raw materials, repairs and maintenance and other goods and services related to production.   This line also includes amounts necessary to fund the DCorp Group's recycling operations and a disbursement of $1.8 million in the week ended September 27, 2009 representing the settlement of intercompany SG&A.
7.	Capital Expenditures represent amounts estimated to be paid pursuant to the ACI Group's most recent capital expenditure budget.
8.	Marine Freight Payments represent amounts estimated to be paid to the ACI Group's outbound marine freight suppliers.
9.	Utility Payments represent amounts estimated to be payable to the ACI Group's hydroelectricity suppliers.
10.	Payroll and Benefits represent estimated amounts for salaries, wages and current service pension costs.
11.	Joint Venture Remittances, Net represent the estimated payment of accounts receivable funds collected by the ACI Group on behalf of the respective joint venture, net of any collection/management fees.
12.	Restructuring and Other Items represent amounts estimated by the ACI Group for restructuring costs and other miscellaneous payments.
13.	Securitization Inflows/(Outflows) represent the estimated net availability or repayment (including interest) of funds under the ACI Group's Amended Securitization Program.
14.	Adequate Protection and fees by DCorp to ACCC Term Lenders represents an estimate of payments pursuant to the adequate protection order issued by the U.S. Bankruptcy Court.
15.	The DIP Interest & Fees represent cash flows related to the ACI Group's $100 million DIP term loan.   This term loan may be drawn in increments to enable the ACI Group to maintain a adequate amount of working capital.
16.	Asset Sales represent proceeds from the sale of Quebec timberlands.   This transaction is subject to court approval, which was obtained on August 4, 2009.   As such, the timing of this receipt is not yet certain, but the cash flow forecast represents the ACI Group's best estimate regarding the closing of this transaction, during the week of September 6, 2009.
17.	Available Liquidity is calculated as cash on hand plus the undrawn portion of the ACI DIP Facility.   Drawings on the ACI DIP Facility are limited to $87.5 million per the terms of the ACI DIP Agreement.
18.	The Securitization Summary represents the ACI Group's estimated calculation of amounts owing or available under the Amended Securitization Program based on the eligible accounts receivable (net of any fees, interest or allowances).
19.	The Interest, Fees and Adjustments represent interest and fees related to the Amended Securitization Program.

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  APPENDIX "H"

BCFPI CASH FLOW FORECAST

Bowater Canadian Forest Products Inc.
Chapter 11/CCAA Cash Flow
17 Week Period Ended December 20, 2009
US$000s
Week Ended		30-Aug-09	6-Sep-09	13-Sep-09	20-Sep-09	27-Sep-09	4-Oct-09	11-Oct-09	18-Oct-09
Receipts	Notes
Trade Receipts	1, 2	12,051	9,452	12,596	15,019	9,378	14,280	8,454	10,355
Settlement Proceeds	3	-	-	-	-	25,585	-	-	-
Intercompany A/R Settlements	4	13,000	10,000	8,000	-	-	-	-	-
Advances from Bowater Inc.	5	-	-	-	-	-	-	-	-
Other Receipts	6	-	-	-	11,700	-	-	-	-
Total Receipts		25,051	19,452	20,596	26,719	34,963	14,280	8,454	10,355
Disbursements
Trade Payables	7	(8,835)	(7,422)	(6,961)	(6,961)	(6,961)	(10,089)	(12,435)	(12,435)
Intercompany SG&A Allocation	8	-	-	-	-	(400)	-	-	-
Freight	9	(797)	(681)	(662)	(662)	(662)	(1,130)	(1,480)	(1,480)
Payroll and Benefits	10	(3,106)	(3,019)	(1,736)	(3,782)	(1,736)	(4,390)	(1,733)	(3,780)
Capital Expenditures	11	(452)	(465)	(467)	(467)	(467)	(458)	(452)	(452)
Interest	12	(798)	-	-	-	(723)	(1,028)	-	-
Restructuring Costs	13	(293)	(293)	(293)	(293)	(293)	(293)	(293)	(293)
Settlement Disbursements to Trust	3	-	-	-	-	(25,585)	-	-	-
Total Disbursements		(14,279)	(11,879)	(10,118)	(12,165)	(36,827)	(17,388)	(16,393)	(18,440)
Cash Flow from Operations		10,772	7,573	10,477	14,554	(1,863)	(3,107)	(7,940)	(8,085)
Opening Bank Balance		(813)	9,959	17,532	28,009	42,563	40,700	37,593	29,653
Cash Flow		10,772	7,573	10,477	14,554	(1,863)	(3,107)	(7,940)	(8,085)
Closing Bank Balance	2	9,959	17,532	28,009	42,563	40,700	37,593	29,653	21,568
Settlement Proceeds Held in Trust by Monitor	14	-	-	-	-	25,585	25,585	25,585	25,585
Closing Bank Balance including Settlement Proceeds		9,959	17,532	28,009	42,563	66,285	63,178	55,238	47,154
Current Revolving Credit Facility
Current Credit Facility Balance, Opening		94,576	94,576	94,576	94,576	94,576	94,576	94,576	94,576
Current Credit Facility Drawings / (Repayments)		-	-	-	-	-	-	-	-
Current Balance, Closing		94,576	94,576	94,576	94,576	94,576	94,576	94,576	94,576
Intercompany A/R Balance	15
Ending Balance		44,143	45,665	45,698	44,087	44,657	45,087	49,785	53,538
The above forecast uses an exchange rate of CDN$1.00=US$0.90
Amounts in the above table are subject to rounding adjustments from the underlying balances
The information and analysis in this document have not been audited or reviewed and, according, no assurances are provided thereon.  In addition, because forecasts are dependent upon numerous assumptions regarding future events, actual results
will be different than forecast, and such difference may be material.

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Bowater Canadian Forest Products Inc.
Chapter 11/CCAA Cash Flow
17 Week Period Ended December 20, 2009
US$000s
Week Ended		25-Oct-09	1-Nov-09	8-Nov-09	15-Nov-09	22-Nov-09	29-Nov-09	6-Dec-09	13-Dec-09	20-Dec-09	Total
Receipts	Notes
Trade Receipts	1, 2	10,804	14,656	13,087	14,226	14,091	15,028	15,013	15,358	14,736	218,583
Settlement Proceeds	3	-	-	-	-	-					25,585
Intercompany A/R Settlements	4	-	-	-	-	-					31,000
Advances from Bowater Inc.	5	-	-	4,000	4,000	3,000	3,000	3,000	-	2,000	19,000
Other Receipts	6	-	-	-	-	-	-	-	-	-	11,700
Total Receipts		10,804	14,656	17,087	18,226	17,091	18,028	18,013	15,358	16,736	305,868
Disbursements
Trade Payables	7	(12,435)	(12,479)	(12,741)	(12,741)	(12,741)	(12,741)	(11,054)	(10,772)	(10,772)	(180,577)
Intercompany SG&A Allocation	8	-	-	-	-	-	(489)	(492)	(493)	(493)	(2,366)
Freight	9	(1,480)	(1,476)	(1,452)	(1,452)	(1,452)	(1,452)	(1,285)	(1,257)	(1,257)	(20,117)
Payroll and Benefits	10	(1,733)	(4,390)	(1,736)	(3,782)	(1,736)	(2,410)	(3,715)	(2,408)	(3,106)	(48,297)
Capital Expenditures	11	(452)	(454)	(467)	(467)	(467)	(467)	(454)	(452)	(452)	(7,806)
Interest	12	(338)	(881)	-	-	(338)	-	(1,028)	-	-	(5,133)
Restructuring Costs	13	(293)	(293)	(293)	(293)	(293)	(293)	(293)	(293)	(293)	(4,973)
Settlement Disbursements to Trust	3	-	-	-	-	-					(25,585)
Total Disbursements		(16,731)	(19,972)	(16,687)	(18,734)	(17,025)	(17,851)	(18,320)	(15,674)	(16,372)	(294,854)
Cash Flow from Operations		(5,926)	(5,317)	400	(508)	66	177	(307)	(316)	364	11,014
Opening Bank Balance		21,568	15,642	10,325	10,725	10,217	10,282	10,460	10,153	9,837	(813)
Cash Flow		(5,926)	(5,317)	400	(508)	66	177	(307)	(316)	364	11,014
Closing Bank Balance	2	15,642	10,325	10,725	10,217	10,282	10,460	10,153	9,837	10,201	10,201
Settlement Proceeds Held in Trust by Monitor	14	25,585	25,585	25,585	25,585	25,585	25,585	25,585	25,585	25,585	25,585
Closing Bank Balance including Settlement Proceeds		41,227	35,910	36,310	35,802	35,868	36,045	35,738	35,422	35,786	35,786
Current Revolving Credit Facility
Current Credit Facility Balance, Opening		94,576	94,576	94,576	94,576	94,576	94,576	94,576	94,576	94,576	94,576
Current Credit Facility Drawings / (Repayments)		-	-	-	-	-	-	-	-	-	-
Current Balance, Closing		94,576	94,576	94,576	94,576	94,576	94,576	94,576	94,576	94,576	94,576
Intercompany A/R Balance	15
Ending Balance		56,854	58,167	60,044	61,296	62,579	63,275	63,155	62,724	62,558	62,558
The above forecast uses an exchange rate of CDN$1.00=US$0.90
Amounts in the above table are subject to rounding adjustments from the underlying balances
The information and analysis in this document have not been audited or reviewed and, according, no assurances are provided thereon.  In addition, because forecasts are dependent upon numerous assumptions regarding future events, actual results
will be different than forecast, and such difference may be material.

Bowater Canadian Forest Products Inc. ("BCFPI")

Notes to CCAA Cash Flow

17 Week Period Ended December 20, 2009

US$000s

1.	Trade Receipts are based on BCFPI's estimate of collection terms and BCFPI's latest sales forecast.
2.	The cash flows included in the forecast include only those BCFPI mills in Canada.   No funding or dividends from foreign subsidiaries are included in the forecast.
3.	Settlement Proceeds represent funds to due BCFPI pursuant   to an agreement it has with Smurfit-Stone Container Canada Inc. ("Smurfit").   The agreement between BCFPI and Smurfit has been approved by courts in both Canada and the U.S. in both BCFPI's and Smurfit's respective insolvency proceedings.   The ultimate timing of this receipt is not yet known, but an amount has been reflected in the week ended September 27, 2009.   Pursuant to an order issued in BCFPI's CCAA proceeding by the Superior Court of Quebec, BCFPI's CCAA Monitor will hold the funds in trust until such time as there is certainty with respect to the disposition of such funds pursuant to an order of the court.
4.	Although not typically forecast, Intercompany A/R Settlements represents the settlement of BCFPI pulp sales collected by BI for the past several months.   In the future this amount will be settled on a monthly basis.
5.	Advances from Bowater Inc. represents amounts received pursuant to the BI/BCFPI DIP Facility.
6.	Other Receipts include amounts received   for refunds in respect of road tax credits from the Quebec provincial government.
7.	Trade Payables represent payments for raw materials, repairs and maintenance, utilities and other production items.
8.	Intercompany SG&A Allocation represents expenses incurred by BCFPI's parent company on behalf of BCFPI which are charged to BCFPI in the week ended August 16, 2009, pursuant to its normal process for the allocation of such costs.
9.	Freight represents disbursements in respect of costs to deliver product to customers.
10.	Payroll and Benefits represent amounts paid to employees for salaries and wages (including the related withholdings), pension payments and other benefits due under employee benefit programs. The forecast assumes that only those pension payments in respect of current service costs will be paid.
11.	Capital Expenditures are costs scheduled to be made in accordance with agreements with BCFPI's various capital equipment suppliers and reflect requirements pursuant to BCFPI's most recent capital expenditure budget.
12.	Interest represents interest costs for the company's senior secured revolving facility, the existing secured term loan and the new DIP facility.
13.	Restructuring Costs represent costs related to the restructuring including transaction fees related to the new DIP facility.
14.	Settlement Proceeds Held in Trust do not form part in the Total Ending Cash Balance.
15.	The intercompany accounts receivable balance represents pre-filing and post-filing sales to customers in the United States by BCFPI through Bowater America Inc. This amount is assumed not to be stayed and is collected by BCFPI from Bowater America Inc. in the normal course.   This balance represents trade A/R only and does not represent any amounts funded from BI to BCFPI pursuant to the BI/BCFPI DIP Facility.

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APPENDIX "I"

KEY PERFORMANCE INDICATORS

ACI Group
KPI Analysis
Newsprint, Specialty Paper & Pulp
Sales tonnage (MT)	January	February	March	April	May	June	July	Total
Newsprint	95,561	109,805	115,877	96,250	99,548	107,024	98,331	722,395
Specialty Paper	99,378	84,047	91,929	82,694	84,284	91,139	103,444	636,913
Pulp	2,573	4,364	2,645	3,332	4,392	3,882	4,619	25,806
	197,512	198,215	210,450	182,276	188,223	202,044	206,393	1,385,114
Net sales (US$000)	January	February	March	April	May	June	July	Total
	154,055	153,360	161,003	127,136	127,879	139,103	133,736	996,271
Net selling price per tonne (US$)	January	February	March	April	May	June	July	Total
	780	774	765	697	679	688	648	719
Mill Uptime (%)	January	February	March	April	May	June	July	Total
	70	78	76	78	78	76	77	76
Lumber
Sales  (Million mbf)	January	February	March	April	May	June	July	Total
	58	60	68	61	62	64	62	435
Net sales (US$000)	January	February	March	April	May	June	July	Total
	15,153	14,356	16,868	16,161	16,893	18,261	18,933	116,624
Sales per Million mbf (US$)	January	February	March	April	May	June	July	Total
	260	241	249	265	271	285	306	268
Mill Uptime (%) - Sawing	January	February	March	April	May	June	July	Total
	64	65	63	66	65	60	64	64
Mill Uptime (%) - Planing	January	February	March	April	May	June	July	Total
	69	69	72	76	72	75	76	80

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Bowater Canadian Forest Products Inc.
KPI Analysis
Newsprint, Specialty Paper & Pulp
Sales tonnage (MT)	January	February	March	April	May	June	July	Total
Newsprint	40,281	16,277	37,216	35,685	37,851	32,488	39,356	239,154
Specialty Paper	19,605	17,960	18,644	20,608	20,242	12,758	6,081	115,898
Pulp	23,816	17,478	18,914	20,083	24,923	20,243	36,817	162,274
	83,703	51,715	74,774	76,376	83,016	65,489	82,254	517,325
Net sales (US$000)	January	February	March	April	May	June	July	Total
	57,535	34,757	49,972	47,329	48,904	37,331	45,046	320,874
Net selling price per tonne (US$)	January	February	March	April	May	June	July	Total
	687	672	668	620	589	570	548	620
Mill Uptime (%)	January	February	March	April	May	June	July	Total
	83	80	84	84	84	85	56	80
Lumber
Sales  (Million mbf)	January	February	March	April	May	June	July	Total
	27	30	34	27	35	34	32	220
Net sales (US$000)	January	February	March	April	May	June	July	Total
	5,514	6,049	7,095	5,694	7,621	7,997	8,020	47,990
Sales per Million mbf (US$)	January	February	March	April	May	June	July	Total
	206	199	206	207	221	235	250	218
Mill Uptime (%) - Sawing	January	February	March	April	May	June	July	Total
	66	70	69	71	60	53	66	70
Mill Uptime (%) - Planing	January	February	March	April	May	June	July	Total
	71	75	74	79	76	79	78	76

-38-