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BOWATER REPORTS REDUCED LOSS

 BOWATER REPORTS REDUCED LOSS
 DARIEN, Conn., Oct. 15 /PRNewswire/ -- Bowater Incorporated


(NYSE: BOW) today reported a net loss for both the third quarter and the first nine months of 1992.
 For the third quarter of 1992 the company incurred a net loss of $17.9 million ($.51 per share) on sales of $366.2 million, compared to income of $7.1 million ($.17 per share) on sales of $312.0 million for the same period of 1991.
 The net loss for the first nine months of 1992 totaled $60.0 million ($1.72 per share) on sales of $1095.0 million. This compared to net income of $44.0 million ($1.14 per share) on sales of $962.6 million for the comparable 1991 period. Results for 1992 include the operations of Great Northern Paper, Inc., acquired by Bowater at the end of 1991, and cannot be compared directly with those for 1991.
 Included in 1992's net loss for the nine months were non-recurring first quarter charges for an equipment write-off and a corporate restructuring and relocation. Also included was the effect of adopting two new accounting standards covering post-retirement benefits and income taxes.
 "While our third quarter loss of $.51 per share is still unsatisfactory, it does represent an improvement over the second quarter loss of $.70 per share", said A. P. Gammie, Chairman and Chief Executive Officer. "I believe we are past the worst and have finally begun to see improvement. Newsprint prices have firmed, mainly as a result of a reduction in discounts as of August 1. We are still some way from profitability in newsprint, but we are heading in the right direction."
 Gammie also noted encouraging results from the company's export business, due in part to the competitively priced U.S. dollar. Selling prices for export market pulp have been increasing all year and exports of newsprint in particular are running at a high level.
 "This recession is not yet finished", Gammie said, "but we believe that the economic recovery finally is starting to pick up steam and that our results for the fourth quarter should continue to show improvement."
 Bowater Incorporated is a major manufacturer of newsprint, coated and uncoated groundwood publication papers and bleached kraft market pulp, and a converter of communication papers for computer forms and other business applications.
 Summary financial information follows in 000's (except per share information):
 BOWATER INCORPORATED
 Quarter Ended Nine Months Ended
 Sept. 26, Sept. 28, Sept. 26, Sept. 28,
 1992 (A) 1991 1992 (A) 1991
 Sales
 $ 366,236 $ 311,954 $1,095,019 $ 962,638
 Operating income
 (loss) $ (12,713) $ 18,469 $ (61,640) $ 94,064
 Income (loss) before
 taxes, minority
 interests and cumu-
 lative effect of
 changes in accounting
 principles
 $ (35,806) $ 9,455 $ (133,692) $ 69,423
 Cumulative effect of
 changes in accounting
 principles
 $ - $ - $ 11,930 $ -
 Net income (loss)
 $ (17,904) $ 7,052 $ (60,047) $ 44,033
 Earnings (loss) per
 share -(2)
 Before cumulative
 effect of changes
 in accounting
 principles
 $ (0.51) $ 0.17 $ (2.05)(3) $ 1.14
 Cumulative effect of
 changes in accounting
 principle - - .33 -
 $ (0.51) $ 0.17 $ (1.72) $ 1.14
 Average shares
 outstanding
 36,152 35,897 36,099 35,842
 Segment information:
 Sales -
 Pulp and Paper and
 related products
 $ 320,214 $ 249,731 $ 947,156 $ 769,491
 Communication papers
 49,679 62,223 155,250 193,147
 Eliminations
 (3,657) - (7,387) -
 $ 366,236 $ 311,954 $1,095,019 $ 962,638
 Operating income (loss) -
 Pulp and Paper and
 related products
 $ (4,545) $ 20,242 $ (38,964) $ 96,863
 Communication papers
 (2,578) 3,070 (2,299) 12,284
 Corporate expenses
 (5,590) (4,843) (15,377) (15,083)
 Restructuring charge
 - - (5,000) -
 $ (12,713) $ 18,469 $ (61,640) $ 94,064
 (A) 1992 results include Great Northern Paper, Inc., acquired on Dec. 31, 1991.
 (B) Net income used in the calculation of earnings per share has been reduced by the dividend requirement of the LIBOR preferred stock.
 (C) Includes $(.30) in non-recurring charges for an equipment write off $(.21) and the corporate restructuring $(.09).
 -0- 10/15/92
 /CONTACT: Arthur H. King, vice president - corporate relations, 203-656-7200, or home, 203-655-4807, or SuAnne B. Aune, director - investor relations, 203-656-7253, or home, 203-327-7558, both of Bowater/
 (BOW) CO: Bowater Incorporated ST: Connecticut IN: PAP SU: ERN


PS -- NY001 -- 0206 10/15/92 08:24 EDT
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Date:Oct 15, 1992
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