Domtar notes redemption

TICKER SYMBOL DTC (TSX, NYSE) 


MONTREAL, Sept. 7  /PRNewswire-FirstCall/ -- Domtar announces today the redemption pricing in respect to previously announced redemption of debt:

  Issuer:            Domtar Inc.
  Coupon:            8.75 percent
  Maturity:          August 1, 2006
  CUSIP No.          257561AS9
  Redemption Amount: $155.882 Million
  Redemption Price:  103.921 percent
  Redemption Date:   September 9, 2005



DOMTAR IS THE THIRD LARGEST PRODUCER OF UNCOATED FREESHEET PAPER IN NORTH AMERICA. IT IS ALSO A LEADING MANUFACTURER OF BUSINESS PAPERS, COMMERCIAL PRINTING AND PUBLICATION PAPERS, AND TECHNICAL AND SPECIALTY PAPERS. DOMTAR MANAGES ACCORDING TO INTERNATIONALLY RECOGNIZED STANDARDS 18 MILLION ACRES OF FORESTLAND IN CANADA AND THE UNITED STATES, AND PRODUCES LUMBER AND OTHER WOOD PRODUCTS. DOMTAR HAS 10,000 EMPLOYEES ACROSS NORTH AMERICA. THE COMPANY ALSO HAS A 50% INVESTMENT INTEREST IN NORAMPAC INC., THE LARGEST CANADIAN PRODUCER OF CONTAINERBOARD. 

DATASOURCE: DOMTAR INC.



CONTACT: Richard Descarries, Senior Communications Advisor, (514) 848

5600,  , http://www.domtar.com/ ; Source: Daniel

Buron, Senior Vice President and Chief Financial Officer,

[phone], 

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