Amendment to Employment Agreement Between Bowater Canada Division and Pierre Monahan (June 2003)

Summary

This letter amends the employment agreement and offer letter between Bowater Canada Division and Pierre Monahan to update retirement benefit calculations following a change in the company's pension plan for Canadian salaried employees. Retirement benefits for service before January 1, 2003, will follow the old plan, while benefits for service after that date will use the new plan, with annual incentive awards still counted as pensionable income. Pierre Monahan must sign and return the letter to confirm his agreement to these changes.

EX-10.44.1 8 g87588kexv10w44w1.txt LETTER OF AMENDMENT TO EMPLOYEE AGREEMENT Exhibit 10.44.1 June 3, 2003 Mr. Pierre Monahan 184, Deschamps Repentigny, Quebec J6A 2X9 Dear Pierre: As a result of the recent Pension Integration for all Canadian Salaried Personnel, there is a need to amend your offer letter and employment agreement. The first paragraph of the section titled "Retirement Plan, Welfare Plans and Other Benefits" of your offer letter dated July 19, 2001, is hereby amended as follows (changes are italicized): "As of the Effective Date, you would be eligible to participate in the retirement plan and benefit plans provided by Bowater Canada Division to similarly situated executive employees, in effect and as modified from time to time. For benefits administration purposes, your entire service with AFP and its predecessor would be recognized. Your retirement benefits would be computed based upon the present terms of the AFP supplemental plan for all credited service earned through December 31, 2002. For all credited service earned after January 1, 2003, your retirement benefits would be computed in accordance with the new provisions described in a memorandum dated February 10, 2003, entitled "Pension Plan Redesign" except that the entire amount of the annual incentive awards you receive would continue to be treated as pensionable income for all credited service under the applicable supplemental plan." Similarly, Section 5(d) of your employment agreement dated September 24, 2001, is hereby amended as follows (changes are italicized): "Retirement Benefits. The Executive's retirement benefits shall be computed based upon the terms of the AFP supplemental pension plan as in effect on the date hereof for all credited service earned through December 31, 2002. For all credited service earned after January 1, 2003 retirement benefits would be computed in accordance with the new provisions described in a memorandum dated February 10, 2003, entitled "Pension Plan Redesign" except that the entire amount of the annual incentive awards would continue to be treated as pensionable income for all credited service under the applicable supplemental plan." Would you please signify your agreement to these amendments by returning a signed copy of this letter to Carol Hinton in the Greenville office at your earliest convenience. Best regards, /s/ James T. Wright cc: Ms. Carol Hinton, Assistant General Counsel ACCEPTED AND AGREED TO BY: - -------------------------- /s/ Pierre Monahan June 10, 2003 - ----------------------------- ------------------------------------- (name) (date)