Oct 31, 2011. /Lesprom Network/. AbitibiBowater Inc. reported a net loss of $44 million for the 3Q 2011 on sales of $1.2 billion. This compares with a net loss of $829 million on sales of $1.2 billion in the 3Q 2010, as the company said in a press release received by Lesprom Network. Excluding $96 million of special items, net income in the quarter was $52 million compared with a net loss excluding special items of $95 million in the 3Q 2010. "Our operating earnings improved for the third consecutive quarter following emergence at the end of last year," said Richard Garneau, president and CEO. "Overall shipments increased and, with the exception of pulp, pricing in each of our segments was stable or better in this quarter. We continue to make progress in spite of an economy that continues to prove challenging." Net loss in the 3Q included a $69 million non-cash charge mainly on translation of Canadian dollar net monetary assets as a result of the significantly weaker Canadian dollar relative to the U.S. dollar when compared to the previous quarter. The newsprint segment generated operating income of $18 million in the 3Q, an $8 million decrease from the 2Q. Quarter over quarter sales increased by 9,100 metric tons and the average transaction price remained the same, but average operating costs increased by $13 per metric ton, primarily as a result of a $9 million energy benefit that was recorded in the second quarter on the implementation of an Ontario power program. The coated papers segment generated operating income of $18 million in the 3Q, $5 million lower than the previous quarter. The benefit of a $15 per short ton increase in average transaction price and higher sales volume was more than offset by an increase of average operating costs of $48 per short ton, mainly on higher chemicals and power costs. The specialty papers segment generated operating income of $27 million in the 3Q, $16 million higher than the previous quarter despite lower shipment volume. Quarter over quarter average transaction price increased $23 per short ton, reflecting the continued implementation of previously-reported third quarter price increases, while average operating costs decreased $16 per short ton, as all annual maintenance was completed in the previous quarters. The market pulp segment generated operating income of $36 million in the 3Q, an increase of $22 million over the 2Q The average market pulp transaction price decreased $26 in the quarter, reflecting general pricing pressure in the pulp market. This was more than offset by a 13,000 metric ton increase in shipment volumes and a $116 per metric ton reduction in average operating costs, as all annual plant maintenance was completed in the second quarter. The wood products segment reported an operating loss of $3 million in the 3Q, an $11 million improvement compared to the 2Q. The average lumber transaction price for the Company increased $8 per thousand board feet, primarily as a result of the lapse of the 10% lumber export tax on shipments from Canada to the U.S. The average costs decreased by $20 per thousand board feet, due primarily to lower manufacturing costs and a 5% increase in shipments. The Company's operating rate is still very low, with approximately 22% of capacity idled. AbitibiBowater is a global leader in the forest products industry, producing a diverse range of products, including newsprint, commercial printing papers, market pulp and wood products. The Company owns or operates 18 pulp and paper mills and 24 wood products facilities located in the United States, Canada and South Korea.