MONTRÉAL—AbitibiBowater recently announced it has emerged from creditor protection and appointed  a new president.

The company successfully completed its reorganization and has emerged from creditor protection under the Companies’ Creditors Protection Act in Canada and chapter 11 in the U.S. AbitibiBowater’s restructuring efforts, which have been underway since 2007 have changed the company financially and operationally to lower its breakeven point, according to a news release.  These changes include closing or idling 3.4 million metric tons of paper capacity per year since 2007, developing a mix of Canadian, U.S. and international mills and eliminating $880 million of annual fixed costs.

AbitibiBowater also announced David J. Paterson is stepping down as president and CEO of the company on January 1, 2011. Paterson, who has been in the position for three years will be replaced by Richard Garneau, who currently sits as a member of the Board of Directors. Garneau is also the former president and CEO of Catalyst Paper Corporation. Paterson will stay on in an executive advisory role through January and a non-executive advistory role through July to ensure a smooth transition.