(All financial information is in U.S. dollars, unless otherwise noted.)
(NYSE: UFS) (TSX: UFS)
MONTREAL, March 7, 2012 /PRNewswire/ - Domtar Corporation (NYSE: UFS) (TSX: UFS) today announced an offering of $250 million aggregate principal amount of fixed-rate senior notes. The notes are being offered pursuant to the Company's registration statement on Form S-3 filed with the Securities and Exchange Commission (the "SEC") on March 7, 2012.
The Company intends to use the net proceeds from the offering to fund the purchase price of the 10.75% Notes due 2017, 9.5% Notes due 2016, 7.125% Notes due 2015 and 5.375% Notes due 2013 tendered and accepted by the Company for purchase pursuant to its previously announced tender offer and, to the extent there are remaining proceeds, for general corporate purposes.
J.P. Morgan Securities LLC, Deutsche Bank Securities Inc. and Goldman, Sachs & Co. are acting as the joint book-running managers of the offering. The proposed offering is being made only by means of a prospectus. The preliminary prospectus may be obtained on the SEC website at www.sec.gov. Alternatively, a copy of the prospectus for the offering can be obtained from J.P. Morgan Securities LLC, 383 Madison Avenue, New York, NY 10179, telephone at 1-212-834-4533; from Deutsche Bank Securities Inc., 100 Plaza One, Jersey City, New Jersey 07311, telephone at 1-800-503-4611; or from Goldman, Sachs & Co., 200 West Street, New York, NY, 10282, telephone at 1-866-471-2526.
This press release shall not constitute an offer to sell or the solicitation of an offer to buy, nor shall there be any offer or sale of the senior notes in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to the registration or qualification under the securities laws of any jurisdiction. Any offer, solicitation or sale will be made only by means of the prospectus.
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 adult incontinence 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 complete line of incontinence care products marketed primarily under the Attends® brand name. Domtar owns and operates ArivaTM, an extensive network of strategically located paper and printing supplies distribution facilities. In 2011, Domtar had sales of US$5.6 billion from nearly 50 countries. The Company employs approximately 9,100 people.
All statements in this news release that are not based on historical fact are "forward-looking statements." While management has based any forward-looking statements contained herein on its current expectations, the information on which such expectations were based may change. The Company is under no obligation, and expressly disclaims such obligation, to update, alter or revise these forward-looking statements, whether as a result of new information, future events, or otherwise. These forward-looking statements rely on a number of assumptions concerning future events and are subject to a number of risks, uncertainties, and other factors, many of which are outside of our control that could cause actual results to materially differ from such statements. Such risks, uncertainties, and other factors include, but are not necessarily limited to, those set forth under the captions "Forward-Looking Statements" and "Risk Factors" of the latest Annual Report on Form 10-K filed with the Securities and Exchange Commission as periodically updated by subsequently filed Form 10-Q's.
SOURCE DOMTAR CORPORATION