Transcontinental Reports Improved Profitability in Fourth Quarter

• The printing and distribution activities for the San Francisco Chronicle, under a 15-year contract worth US$1 billion (excluding paper), started in July at the new plant in Fremont, California. Transcontinental invested about US$230 million in this new plant which is equipped with the latest technologies allowing for maximum use of colour and glossy paper, a first in the United States. Moreover, the modernization of the Transcontinental Transmag plant in Montreal was completed on time and the new presses started rolling in the second half of fiscal 2009. This required an investment of about $60 million.