Quebecor, Operating Under Bankruptcy Protection, Announces Results

Quebecor World Inc., which is operating under Chapter 11 protection in the United States and creditor protection in Canada, generated $976 million in revenue from continuing operations during its second quarter. The printer’s second-quarter revenue from a year ago was $1.1 billion.

The company recorded a net loss of $77.7 million, compared with a net loss of $10.8 million during second quarter 2007. The quarter ended June 30.

Quebecor’s operating income from the quarter was $27.8 million, compared with $48 million a year ago. Quebecor attributed the falloff in its fortunes in part to decreased volumes and price pressures, as well as costs associated with its reorganization and restructuring.

During the quarter, Quebecor sold its European operations to an investment group based in the Netherlands. The company used the proceeds from the sale to pay a portion of its Debtor-in-Possession financing. The company is currently operating under protection in Canada through Sept. 30, and under Chapter 11 protection in the U.S. through July 2009.

According to Quebecor, since filing for bankruptcy protection it has renewed several contacts with major clients, including Reader’s Digest, Local Insight Media, Dex Media and Canada Wide Publishing.