Date Closed

July 16, 2010

Lead Office

Montréal

Value

193.00 Million CAD

On July 16, 2010, Fibrek Inc., a leading producer and marketer of high-quality virgin and recycled kraft pulp, completed financing a series of refinancing transactions to refinance Fibrek's existing revolving credit facility maturing on October 30, 2010 and existing term loan facility maturing on October 30, 2012 in the aggregate principal amount of approximately C$143 million as at March 31, 2010. The refinancing transactions included: (i) a 5-year secured loan with a subsidiary of the Société générale de financement du Québec ("SGF") for an amount of C$78 million, (ii) a C$75 million 3-year asset-based revolving facility with GE Capital in Canada, and (iii) a rights offering for gross proceeds of approximately C$40 million pursuant to which Fibrek issued an aggregate of 39,602,848 common shares and Fairfax Financial Holdings Limited acted as standby purchaser.

McCarthy Tétrault LLP Société générale de financement du Québec, the lender, with a team led by Richard O'Doherty.