Feb 06, 2007. /Lesprom Network/. Bowater Incorporated reported on February 6 net income for the fourth quarter of 2006 of $107.2 million, or $1.86 per diluted share, on sales of $861.3 million. These results compare with a net loss of $101.9 million, or $1.78 per diluted share, on sales of $876.4 million for the fourth quarter of 2005. For the full year 2006, the company reported a net loss of $138.3 million, or $2.41 per diluted share. This compares with a net loss of $120.6 million, or $2.10 per diluted share, for 2005. Sales in 2006 totalled $3.53 billion, up slightly from 2005 sales of $3.48 billion. "During 2006, we realigned our organization to focus on operational excellence," said David J. Paterson, chairman, president and chief executive officer. "This realignment, combined with the addition of several key manufacturing leaders, has resulted in the beginnings of meaningful operational improvements. In addition, we made substantial progress in debt reduction, reducing net debt by $280 million in 2006. Our fourth quarter results were impacted by significant curtailments in paper production. However, I am confident with the changes we have made to our manufacturing base; we have laid the groundwork for a better 2007. While we continue to improve our operations as a standalone company, our recently announced agreement to merge with Abitibi is a transformational move that will allow us to generate even greater efficiencies and compete more effectively." Bowater Incorporated, headquartered in Greenville, South Carolina, is a leading producer of coated and specialty papers and newsprint. In addition, the company sells bleached market pulp and lumber products. Bowater employs approximately 7 400 people and has 12 pulp and paper mills in the United States, Canada and South Korea. In North America, it also operates a converting facility and owns 10 sawmills. Bowater's operations are supported by approximately 815 700 acres of timberlands owned or leased in the United States and Canada and 28 million acres of timber cutting rights in Canada. Bowater operates six recycling plants and is one of the world's largest consumers of recycled newspapers and magazines. Bowater common stock is listed on the New York Stock Exchange. A special class of stock exchangeable into Bowater common stock is listed on the Toronto Stock Exchange.