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Abitibi-Consolidated and Eureka Recycling Join Forces in Saint Paul, Minnesota

Abitibi-Consolidated and Eureka Recycling Join Forces in Saint Paul, Minnesota

Published 10-23-03

Submitted by Abitibi-Consolidated Inc.

SAINT PAUL, MN - Abitibi-Consolidated Inc. (NYSE: ABY, TSX: A) and Eureka Recycling announced a ten-year agreement today whereby a majority of recycled newspapers in Saint Paul will be sold to Abitibi-Consolidated. This private/non-profit partnership guarantees Eureka Recycling, the nonprofit recycler that manages Saint Paul's recycling program, a long-term, stable end-market for collected newspapers. In exchange,Abitibi-Consolidated, which recycles over three million tons of paper each year, will receive a steady flow of quality materials for their paper recycling mills throughout North America.

"Through our partnership with Abitibi-Consolidated's Recycling Division, we are demonstrating that recycling is a viable, environmentally beneficial enterprise. Our common dedication to the wise use of our resources is resulting in the highest environmental and economic benefit possible for newspaper recycling in Saint Paul," explained Susan Hubbard, CEO, Eureka Recycling. "We see this partnership as a way to ensure that recycling remains sustainable, and profitable," added Tim Brownell, COO, Eureka Recycling.

"Saint Paul has always been a true leader in recycling," according to Kate Krebs, Executive Director, National Recycling Coalition, a coalition that addresses recycling education and advocacy. "The City of Saint Paul should be congratulated for fostering such a unique combination of nonprofit, private and government involvement in the recycling industry's continued success."

Abitibi-Consolidated will work in collaboration to enhance Saint Paul's recycling infrastructure, namely Eureka Recycling's new recycling processing center located midway between the Twin Cities of Minneapolis and Saint Paul. The facility is expected to strengthen the local economics of recycling and ensure that materials are recycled for their highest and best use.

"We are pleased to be in partnership with a community-based recycler that understands the economic, environmental and operational issues of recycling and is taking proactive steps to ensure high-quality materials will be available for years to come," stated Michael Sullivan, Abitibi Consolidated, Recycling Division General Manager.

Abitibi-Consolidated is the world's leading producer of newsprint and value-added paper as well as a major producer of wood products, generating sales of $5.1 billion in 2002. With 16,000 employees, the Company does business in more than 70 countries. Responsible for the forest management of 18 million hectares, Abitibi- Consolidated is committed to the sustainability of the natural resources in its care. The Company is also the world's largest recycler of newspapers and magazines, serving 17 metropolitan areas with more than 10,000 Paper Retriever collection points. Abitibi-Consolidated operates 27 paper mills, 21 sawmills, 3 remanufacturing facilities and 1 engineered wood facility in Canada, the US, the UK, South Korea, China and Thailand.

Eureka Recycling is a mission-driven nonprofit corporation that has managed Saint Paul's recycling program for over fifteen years in partnership with the City of Saint Paul, other community organizations and citizens. Through innovate resource management, Eureka Recycling demonstrates that recycling is more sustainable than wasting and fully invests any proceeds from its services and programs into the community it serves.

Abitibi-Consolidated Inc.

Abitibi-Consolidated Inc.

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