Domtar

Domtar Inc. is a Montreal-based pulp, paper and forest products company with operations in four segments: papers, paper merchants, wood and packaging. It is the third largest integrated manufacturer of uncoated freesheet paper in North America. It operates six pulp and paper facilities in Canada and five in the United States, with an annual production capacity of 2. 7 million tons, complemented by strategically located warehouses and sales offices. Over 50 % of its paper production capacity is located in the United States and approximately 90 % of its paper sales are made to customers in the United States.   A leading producer of forest products in Eastern Canada, Domtar also owns 50% of Norampac Inc., the largest Canadian producer of containerboard and corrugated containers. Domtar has annual net sales of more than $5 billion, mostly in the United States, and counts on 10,600   employees across North America.

Pulp--In Ontario, Domtar produces bleached kraft pulp at the Espanola mill. The pulp is made from wood chips, produced by the Domtar Wood Products sawmills as a byproduct of the lumber making process. Domtar also produces kraft pulp at its Lebel-sur-Quévillon mill in the Abitibi region of Québec.

Paper--From its manufacturing facilities in Ontario and Québec and the United States, Domtar markets business papers, commercial and printing and publications papers and technical and specialty papers throughout North America. The company's Ontario operations include paper mills in Cornwall, and specialty mills in Ottawa and Espanola.

Paper Merchants--Its paper merchants business comprises the purchasing, warehousing, sales and distribution of various products made by Domtar and other manufacturers.

Wood Products--Domtar's Wood Products business comprises the manufacturing and marketing of lumber and wood-based value added products and the management of forest resources. It operates 10 sawmills, six in Québec and four in Ontario: White River, Elk Lake, Nairn Centre and Timmins.

Forest Management--Domtar is directly responsible for the sustainable forest management of more than 44.4 million hectares of private and Crown lands across North America and of some 2.5 million hectares throughout the province. The company's forest operations are managed according to the principles of sustained yield and sustainable development, outlined in its forest and environmental policies.

For more information, visit the company website at www.domtar.com, or contact:

Domtar Inc.
395 de Maisonneuve Boul. W.
Post Office Box 7211
Montreal, PQ H3A 1L6

Tel: (514) 848-5213