News

Quebecor World has posted a massive $2.2bn (£1.1bn) loss for 2007, and one of the biggest write-downs of goodwill in print history.

The Canadian printer, which has been in Chapter 11 creditor protection since January, posted post-tax charges for the year of $2.1bn, which included impairment of goodwill, a drop in the value of its assets and restructuring costs.

The huge loss compared to a relatively slim net profit of $28.3m in 2006. Turnover dropped year-on-year by $400m to $5.7bn.

The company blamed the fall in turnover on a reduction in volumes in North America, where it has closed a number of plants as part of a three-year restructure.

However, Quebecor World, whose UK plant in Corby closed in February after being placed into administration, has said it is shaping up to rebound from its current weak position.

Speaking as the delayed full-year results were announced, Jacques Mallette, president and chief executive of the company was surprisingly upbeat.

“To date, we have passed several important milestones and we are actively developing our five-year business plan which we expect to be completed in the second quarter.”

Quebecor World also announced the appointment of turnaround specialist Randy Benson as chief restructuring officer.

Benson is widely credited with the successful turnaround of Hollinger International following Lord Conrad Black’s departure from the firm.