Quebecor World Inc.
TSX : IQW

Quebecor World Inc.

May 06, 2009 11:51 ET

Quebecor World Announces Filing of Amended Plan of Reorganization and Disclosure Statement With U.S. Bankruptcy Court

A Filing of Motion With Quebec Superior Court Relating to Creditors' Meeting Under Canadian CCAA Proceedings Was Also Deposited

MONTREAL, QUEBEC--(Marketwire - May 6, 2009) - Quebecor World Inc. announces that, as contemplated by its press release of April 20, 2009, Quebecor World has filed an Amended Plan of Reorganization and Disclosure Statement for its U.S. subsidiaries currently subject to Chapter 11 proceedings in the United States (the "Chapter 11 Proceedings") providing further details on the Company's Plan of Reorganization. The U.S. Court hearing on the approval of the Disclosure Statement, which will form the basis on which creditors will vote on the U.S. Plan of Reorganization, is currently scheduled to be held before the U.S. Bankruptcy Court on May 15, 2009.

In furtherance of its reorganization efforts, Quebecor World intends to file shortly with the Quebec Superior Court a motion to authorize the convening of a creditors' meeting relating to the proceedings currently pending in Canada under the Companies' Creditors Arrangement Act (Canada) (the "CCAA Proceedings") as well as to establish certain procedures and rules that will apply to the Canadian creditors' meeting. The motion relating to the Canadian creditors' meeting is currently scheduled to be heard by the Quebec Superior Court on May 14, 2009.

In the event the U.S. Court and the Quebec Superior Court grant the requested orders, Quebecor World expects to distribute to (1) affected creditors under the U.S. Chapter 11 Proceedings the Amended Disclosure Statement, to which will be attached a Plan of Reorganization and Compromise, in order to provide such creditors certain information relating to the creditors' anticipated distributions under the Chapter 11 Proceedings and (2) affected creditors under the CCAA Proceedings an information circular, to which will be attached a Plan of Reorganization and Compromise, in order to provide such creditors certain information relating to the creditors' meeting and their anticipated distributions under the CCAA Proceedings.

If approved by the required majorities of votes and subsequently confirmed or sanctioned by the U.S. Court and the Quebec Superior Court, the U.S. and Canadian Plans of Reorganization would implement the recapitalization and deleveraging of the Company contemplated in the previously announced agreement in principle reached with the Company's major creditor constituencies. Although there can be no assurance as to the ultimate confirmation of the Plans of Reorganization, this plan formulation and confirmation process is anticipated to allow the Company to emerge from creditor protection with a strong balance sheet by mid-July.

As previously disclosed, the plans do not anticipate any recovery for the holders of the Company's existing Multiple Voting Shares, Subordinate Voting Shares and Redeemable First Preferred Shares.

The U.S. Plan of Reorganization and Disclosure Statement will be available on the website of the U.S. claims agent, Donlin, Recano & Company, Inc. The Canadian motion relating to the Creditors' Meeting Order, together with the documents attached (including a draft version of the information circular relating to the CCAA Plan of Reorganization) will be available on the website of Ernst & Young Inc., which acts as Monitor under the CCAA Proceedings at www.ey.com/ca/quebecorworld. These websites are linked from the restructuring section of the Quebecor World website at www.quebecorworld.com.

Forward looking statements

To the extent any statements made in this press release contain information that is not historical, these statements are forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, and are forward-looking information within the meaning of the "safe harbor" provisions of applicable Canadian securities legislation (collectively "forward-looking statements"). These forward-looking statements relate to, among other things, prospects of Quebecor World Inc.'s (the "Company") industry and its objectives, goals, strategies, beliefs, intentions, plans, estimates, projections and outlook, and can generally be identified by the use of words such as "may," "will," "expect," "intend," "estimate," "anticipate," "plan," "foresee," "believe" or "continue" or the negatives of these terms, variations on them and other similar expressions. In addition, any statements that refer to expectations, projections or other characterizations of future events or circumstances are forward-looking statements. The Company has based these forward-looking statements on its current expectations about future events. Forward-looking statements do not take into account the effect of transactions or other items announced or occurring after the statements are made. For example, they do not include the effect of dispositions, acquisitions, other business transactions, asset write-downs or other charges announced or occurring after the forward-looking statements are made.

Although the Company believes that the expectations reflected in such forward-looking statements are reasonable, it can give no assurance that these expectations will prove to have been correct, and forward-looking statements inherently involve risks and uncertainties, and undue reliance should not be placed on such statements. Certain material factors or assumptions are applied in making forward-looking statements, including, but not limited to, factors and assumptions relating to the Company's ability to emerge from the insolvency proceedings, and actual results may differ materially from those expressed or implied in such forward-looking statements.

Important factors and assumptions as well as the Company's ability to anticipate and manage the risks associated therewith that could cause actual results to differ materially from these expectations are detailed from time to time in the Company's filings with the U. S. Securities and Exchange Commission ("SEC") and the securities regulatory authorities in Canada, available at www.sec.gov and www.sedar.com (copies of which are available on www.quebecorworld.com). The Company cautions that any such list of important factors that could affect future results is not exhaustive. Investors and others should carefully consider the factors detailed from time to time in the Company's filings with the SEC and the securities regulatory authorities in Canada and other uncertainties and potential events when relying on its forward-looking statements to make decisions with respect to the Company.

The Company is currently subject to court protection under the Companies' Creditors Arrangement Act in Canada ("CCAA"), and various U.S. subsidiaries have filed petitions under Chapter 11 of the U.S. Bankruptcy Code ("Chapter 11"). In light of the CCAA and Chapter 11 Proceedings, the Company's existing Multiple Voting Shares, Redeemable First Preferred Shares and Subordinate Voting Shares are not anticipated to have any value following the implementation of any plan of reorganization.

Unless mentioned otherwise, the forward-looking statements in this press release reflect the Company's expectations as of May 6, 2009, being the date at which they have been approved, and are subject to change after this date. The Company expressly disclaims any obligation or intention to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, unless required by applicable securities laws.

About Quebecor World

Quebecor World Inc. is a world leader in providing high-value, complete marketing and advertising solutions to leading retailers, catalogers, branded-goods companies and other businesses with marketing and advertising activities, as well as complete, full-service print solutions for publishers. The Company is a market leader in most of its major product categories, which include advertising inserts and circulars, catalogs, direct mail products, magazines, books, directories, digital premedia, logistics, mail list technologies and other value-added services. Quebecor World has approximately 20,000 employees working in approximately 90 printing and related facilities in the United States, Canada, Argentina, Brazil, Chile, Colombia, Mexico, and Peru.

Web address: www.quebecorworld.com

Contact Information

  • Quebecor World Inc.
    Tony Ross
    Vice President, Communications
    514-877-5317
    800-567-7070
    or
    Quebecor World Inc.
    Roland Ribotti
    Vice President, Corporate Finance and Treasurer
    514-877-5143
    800-567-7070