A (TSX) ABY (NYSE) MONTREAL, Dec. 2 /PRNewswire-FirstCall/ -- Abitibi-Consolidated Inc. (TSX:A; NYSE: ABY) and its subsidiaries, Abitibi-Consolidated Company of Canada and Abitibi-Consolidated Finance L.P. (collectively, "Abitibi"), today announced that, in connection with their cash tender offer for certain series of their outstanding notes listed on the table below (collectively, the "Notes"), they have increased the aggregate principal amount (the "New Principal Purchase Amount") of each series of Notes to be purchased in the tender offer. The table below shows, among other things, the series of Notes subject to the tender offer, the New Principal Purchase Amount of each series of Notes and the principal amount of Notes tendered to date: Principal Amount Title of Principal Amount New Principal Purchase Tendered to Security Outstanding(1) Amount Date -------- -------------- ------ ---- 6.95% Notes due 12/15/2006 $200,000,000 $184,814,000 $184,814,000 7.625% Notes due 05/15/2007 $200,000,000 $138,888,000 $138,888,000 6.95% Notes due 04/01/2008 $250,000,000 $ 50,000,000 $209,103,000 7.875% Notes due 08/01/2009 $250,000,000 $100,000,000 $204,019,000 8.55% Notes due 08/01/2010 $500,000,000 $105,000,000 $326,557,000 _______________________ 1. Aggregate principal amount outstanding as at November 16, 2005. Holders that validly tendered and did not withdraw their Notes on or prior to 5:00 p.m., New York City time, on December 1, 2005 (the "Early Tender Time"), will receive the total consideration, which includes an early tender premium of $20.00 per $1,000 principal amount of Notes purchased. Holders that tender their Notes after the Early Tender Time but prior to 12:00 Midnight, New York City time, on December 15, 2005, unless extended or earlier terminated (the "Expiration Time"), will receive the tender consideration, which is equal to the total consideration less the early tender premium. In addition, in all cases, Holders will receive accrued and unpaid interest from the last interest payment date for such series of Notes to, but not including, the date the Notes are purchased. Payment for tendered Notes will be made in same day funds as soon as practicable after they are accepted for payment. The total consideration and tender consideration for each series of notes will be determined at 2:00 p.m. New York City Time today. Because the aggregate principal amount of Notes of each series validly tendered and not withdrawn exceeds the applicable Principal Purchase Amount of such series, Abitibi (subject to the terms and conditions of the Offer) will accept Notes of such series for purchase on a pro rata basis. Except as set forth in the Offer to Purchase or as required by applicable law, withdrawal rights with respect to the tendered Notes have expired. Accordingly, any Notes previously or hereafter tendered may not be withdrawn. The tender offer is conditioned on the satisfaction of certain conditions. If any of the conditions are not satisfied, Abitibi is not obligated to accept for payment, purchase or pay for, and may delay the acceptance for payment of, any tendered Notes, in each event, subject to applicable laws, and may even terminate the tender offer. Full details of the terms and conditions of the tender offer are included in Abitibi's Offer to Purchase dated November 17, 2005. Citigroup Corporate and Investment Banking, Goldman, Sachs & Co. and Credit Suisse First Boston LLC will act as Dealer Managers for the tender offer. Requests for documents may be directed to Global Bondholder Services Corporation, the Information Agent, at 212-430-3774 or 866-470-3700. This press release is neither an offer to purchase nor a solicitation of an offer to sell the Notes or any other security. The offer is made only by an Offer to Purchase dated November 17, 2005. Persons with questions regarding the offer should contact the Dealer Managers: (i) Citigroup, toll-free at (800) 558-3745, Goldman, Sachs & Co., toll-free at (800) 828-3182 or Credit Suisse First Boston LLC, toll free at (800) 820-1653, or (ii) the Information Agent, toll-free at 866-470-3700. Abitibi-Consolidated is a leading producer of newsprint and commercial printing papers as well as a major supplier of wood products, serving 70 countries from close to 50 operating facilities. Committed to the sustainable forest management of more than 40 million acres through third- party certification, the Company is the largest recycler of newspapers and magazines in North America. DATASOURCE: ABITIBI-CONSOLIDATED INC. CONTACT: Investors & Financial Media: Allen Dea, Vice President and Treasurer, (514) 394-2375, ; Seth Kursman, Vice President, Communications and Government Affairs, (514) 394-2398,

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