Quebecor World Inc.
TSX : IQW

Quebecor World Inc.

January 28, 2008 11:41 ET

Quebecor World Inc. Announces that its UK Facility is Being Placed into Administration

MONTREAL, CANADA--(Marketwire - Jan. 28, 2008) - Quebecor World Inc. (TSX:IQW) announced today that its UK subsidiary, Quebecor World PLC, based in Corby is being placed into administration. Quebecor World has made significant investments in this web offset facility in recent years. These investments combined with important employee and management contributions were designed to turn around this business but these efforts have been unsuccessful. The UK facility has been cash negative since the loss of an important contract three years ago. Given the overcapacity in the UK printing industry, challenging market conditions and reduced demand for print in the UK market, the Company does not believe the situation can be improved without further investment and significant restructuring.

As a result the Directors of the Quebecor World PLC having regard to Quebecor World PLC's current financial position, have decided that it would be in the best interests of its , employees and creditors to appoint Ian Best and David Duggins of Ernst & Young LLP as joint administrators of the Company (the "Administrators") effective on January 28, 2008. Following their appointment, the Administrators will consider all options with regard to the way forward including a possible sale of the business. The Administrators will provide a further press release shortly.

The Corby facility is located in the central UK about 70 miles north of London. It currently employs approximately 290 people and produces magazines, catalogs and specialty print products for marketing and advertising campaigns.

This decision is not related to Quebecor World's filing for credit protection in the United States and Canada and has no impact on its other European facilities. The Company's other European facilities continue to operate as usual serving many of Europe leading publishers and retailers.

Forward looking statements

This press release may include "forward-looking statements" that involve risks and uncertainties. All statements other than statements of historical facts included in this press release, including statements regarding the prospects of the industry and prospects, plans, financial position and business strategy of Quebecor World Inc. (the "Company"), may constitute forward-looking statements within the meaning of the U.S. Private Securities Litigation Reform Act of 1995 and Canadian securities legislation and regulations. Forward-looking statements generally can be identified by the use of forward-looking terminology such as "may," "will," "expect," "intend," "estimate," "anticipate," "plan," "foresee," "believe" or "continue" or the negatives of these terms or variations of them or similar terminology. Although the Company believes that the expectations reflected in these forward-looking statements are reasonable, it can give no assurance that these expectations will prove to have been correct. Forward-looking statements do not take into account the effect that transactions or non-recurring or other special items announced or occurring after the statements are made have on the Company's business. For example, they do not include the effect of dispositions, acquisitions, other business transactions, asset writedowns or other charges announced or occurring after forward-looking statements are made.

Investors and others are cautioned that undue reliance should not be placed on any forward-looking statements. For more information on the risks, uncertainties and assumptions that could cause the Company's actual results to differ from current expectations, please refer to the Company's public filings available at www.sedar.com, www.sec.gov and www.quebecorworld.com. In particular, further details and descriptions of these and other factors are disclosed in the "Risks and Uncertainties related to the Company's business" section of the Company's Management's Discussion and Analysis for the year ended December 31, 2006, and the "Risk Factors" section of the Company's Annual Information Form for the year ended December 31, 2006.

The forward-looking statements in this press release reflect the Company's expectations as of January 28, 2008 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 the applicable securities laws.

About Quebecor World

Quebecor World Inc. (TSX:IQW) 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 28,000 employees working in more than 115 printing and related facilities in the United States, Canada, Argentina, Austria, Belgium, Brazil, Chile, Colombia, Finland, France, India, Mexico, Peru, Spain, Sweden, Switzerland and the United Kingdom.

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, Investor Relations
    and Assistant Treasurer
    514-877-5143
    800-567-7070
    or
    Ernst & Young
    Adam Holden
    Media Relations Manager
    0121 535 2128
    Mobile: 07917 000028