Abitibi may soon seek $300 million in NAFTA challenge

The Globe and Mail reports today that, "Abitibi is preparing a challenge to Newfoundland's move (to expropriate their assets) under the NAFTA treaty - since the company is considered to be a U.S. entity. It will soon file a notice of intent, which will begin the process, and in that document the company will detail its exact claims for the value of the assets that are being expropriated."

The article notes, "In a filing with the U.S. Securities and Exchange Commission, the company said it is still evaluating the full financial impact of the expropriation, and exactly what compensation it will ask for when it files a claim under the North American free-trade agreement. But the carrying value of the assets, which may eventually be written down, is about $300-million, the filing said."

The full article is at
http://www.theglobeandmail.com/servlet/story/LAC.20090217.RABITIBI17/TPStory/Business