Domtar and City of Dryden discussions productive

DRYDEN, ON, Oct. 9, 2014 /CNW Telbec/ - The Corporation of the City of Dryden and Domtar Inc. are pleased with the progress being made to resolve outstanding matters related to industrial taxation.

"We are encouraged by the tone of discussions and we are pleased to have received a substantive payment from Domtar on outstanding taxes," said André Larabie, Chief Administrative Officer/Acting Treasurer of the City of Dryden. "We are hopeful that our ability to work together will ultimately result in an agreement that meets the needs of the City and the company."

"We appreciate the effort and candor brought to these discussions by the City," said Bonny Skene, Domtar's regional Public Affairs Manager. "We believe that it is in our mutual interest to ensure a sustainable mill operation in Dryden and contribute to a sustainable community. We are putting forward every effort to achieve these objectives."

The current priority is the development of a memorandum of understanding between the City and the company which would be brought forward to the incoming City Council at the earliest opportunity.

About the City of Dryden
Dryden is located in the Kenora District of Northwestern Ontario on Wabigoon Lake midway between Thunder Bay, Ontario and Winnipeg, Manitoba. The City has a diversified economic base, with a large retail and service sector, a growing mining sector and a thriving tourism base. Dryden is well connected by highway and air, and first class health care, educational and recreational facilities. Dryden is surrounded by the unspoiled, rugged beauty of a pristine wilderness, freshwater lakes and spectacular vistas, which is why Dryden is called "The Wilderness City". Dryden offers something for everyone – the perfect blend of opportunities to raise a family, launch a business or enjoy retirement. For more information see www.dryden.ca

About Domtar
Domtar Corporation (NYSE: UFS) (TSX: UFS) designs, manufactures, markets and distributes a wide variety of fiber-based products including communication papers, specialty and packaging papers and absorbent hygiene products. The foundation of its business is a network of world class wood fiber converting assets that produce papergrade, fluff and specialty pulps. The majority of its pulp production is consumed internally to manufacture paper and consumer products. Domtar is the largest integrated marketer of uncoated freesheet paper in North America with recognized brands such as Cougar^®, Lynx^® Opaque Ultra, Husky^® Opaque Offset, First Choice^® and Domtar EarthChoice^®. Domtar is also a leading marketer and producer of a broad line of incontinence care products marketed primarily under the Attends^®, IncoPack and Indasec^® brand names as well as baby diapers. In 2013, Domtar had sales of US$5.4 billion from some 50 countries. The Company employs approximately 10,000 people. To learn more, visit www.domtar.com.

SOURCE: Domtar Corporation

MEDIA RELATIONS : Bonny Skene, Regional Manager, Public Affairs, Domtar, 807-223-9035, [email protected] ; André Larabie, Chief Administrative Officer/Acting, City of Dryden, 807-223-1194