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Domtar Inc. Sends Notices of Redemption for its Series A and Series B Preferred Shares
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Montreal, Quebec, Canada, 22 November 2007 -– Domtar Inc., a wholly owned subsidiary of Domtar Corporation, announced today that it sent on 21 November 2007, notices of redemption to the registered holders of all of its Series A Preferred Shares and Series B Preferred Shares.

In accordance with the share provisions applicable to such Preferred Shares and the notices of redemption, the Series A Preferred Shares will be redeemed on 21 December 2007, at CAD 25.4932 per Series A Preferred Share, representing the redemption price of CAD 25.00 plus accrued dividends of CAD 0.4932, accruing as of and from 02 October 2007 (being the last dividend payment date). The Series B Preferred Shares will be redeemed on 21 December 2007, at CAD 25.2466 per Series B Preferred Share, representing the redemption price of CAD 25.00 plus accrued dividends of CAD 0.2466, accruing as of and from 02 October 2007 (being the last dividend payment date).

Holders of the Series A or Series B Preferred Shares should direct any questions regarding surrender of their certificate(s) to Computershare Trust Company of Canada at 1-866-245-4053, or send an email to corporateactions@computershare.com.

Domtar Corporation (NYSE/TSX: UFS) is the largest integrated producer of uncoated freesheet paper in North America and the second largest in the world based on production capacity, and is a manufacturer of papergrade pulp. The company designs, manufactures, markets, and distributes a wide range of business, commercial printing, publication, technical, and specialty papers, as well as its full line of environmentally and socially responsible papers. Domtar owns and operates Domtar Distribution Group, an extensive network of strategically-located paper distribution facilities. Domtar also produces lumber and other specialty and industrial wood products. The company employs nearly 14,000 people. To learn more, visit www.domtar.com.


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