Article: United States : Judge Rules for Paper-maker Abitibi in Augusta Newsprint Buyout/Sale.

Byline: pinto03

NEW YORK A U.S. bankruptcy court judge has allowed Montreal-based paper-maker AbitibiBowater Inc. to cancel an agreement with Woodbridge Co. that might have required it either to buy out its partner's share in the Augusta Newsprint Co. or allow Woodbridge to sell the joint venture.

In Wilmington, Del., Judge Kevin J. Carey ruled in favor of the North American newsprint giant, which sought Chapter 11 bankruptcy protection in spring.

The forest products company formed Augusta Newsprint in 1981 with Canada's Thomson Corp., which exited the newspaper business 20 years later (and since has merged with Reuters). At the same time, ...

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