DOMTAR LAUNCHES "THE PAPER TRAIL," A RESOURCE CALCULATOR WITH UNMATCHED TRANSPARENCY

New Tool Shares Environmental and Social Impacts of Making Domtar Paper, Discloses Successes and Challenges

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(NYSE: UFS) (TSX: UFS)

MONTREAL, June 14, 2011 /PRNewswire/ - A new environmental tool from Domtar Corporation (NYSE: UFS) (TSX: UFS) offers customers the ability to view the environmental impacts of specific paper grades, providing unmatched transparency among today's industry calculators.
The online tool that we call the "Paper Trail" discloses what it takes to manufacture Domtar paper and assists businesses and consumers to measure their impact on the environment while also providing guidance in their choice of product.

The Paper Trail (www.domtarpapertrail.com) develops personalized reports that measure Domtar products across five categories: water usage, the distance fiber travels to a paper mill, greenhouse gas (GHG) emissions, waste sent to landfills and renewable energy usage. The data is displayed in real-world equivalents, with comparisons to issues such as the amount of water the average household uses or the amount of waste it generates. The Paper Trail will also illustrate how Domtar compares to the rest of the industry in these particular categories.

"We know consumers are increasingly aware of their effect on the environment and want to know where their paper comes from.  We think we have a good story to tell, and part of that story is being transparent," said Lewis Fix, Domtar Vice President of Sustainable Business and Brand Management.

"Other paper calculators often give only part of the story," Fix said. "They usually compare recycled and non-recycled grades and the differences in resources used, and they estimate savings based only on industry averages. The Paper Trail will show Domtar mill-specific data, and since no company is environmentally perfect, it indicates what we are doing well and what needs to be improved. We think it's crucial to share all the information, and then let the customers make their own decisions."

The Paper Trail is Domtar's most recent project indicating its leadership as a sustainable paper company and highlighting its environmentally preferable paper products, which have earned the support of well-known environmental organizations such the Rainforest Alliance.

Initially, the Paper Trail will measure the impact of two Domtar products: EarthChoice® Office Paper and Cougar®, both of which have been certified to the standards of the Forest Stewardship Council™ (FSC®), which is recognized by the Rainforest Alliance as the world's most comprehensive certification for responsible forest management.  As part of the EarthChoice product line, they help form the broadest and most flexible collection of environmentally responsible papers available in the marketplace. More products and mills will likely be added to this new and exciting online tool in the future.

The Paper Trail will also provide users with a look at Domtar's mills - all of which are in North America - with additional information about each facility's environmental impact and the social and economic benefits the mills have in their communities. In areas where the environmental impact can be improved, Domtar will voluntarily disclose the information, as well as provide efforts for improvement.

"Transparency means sharing everything, not just the highlights, and just as we are committed to developing responsible products, we are committed to transparency," Fix said. "Realizing our paper comes from sustainable sources and is easily recycled, Domtar customers can see the differences and use our products with greater confidence."

About Domtar

Domtar Corporation (NYSE: UFS) (TSX: UFS) is the largest integrated manufacturer and marketer of uncoated freesheet paper in North America and the second largest in the world based on production capacity, and is also a manufacturer of papergrade, fluff and specialty pulp. The Company designs, manufactures, markets and distributes a wide range of business, commercial printing and publishing as well as converting and specialty papers including recognized brands such as Cougar^®, Lynx^® Opaque Ultra, Husky^® Opaque Offset, First Choice^® and Domtar EarthChoice^® Office Paper, part of a family of environmentally and socially responsible papers. Domtar owns and operates Ariva^TM, an extensive network of strategically located paper distribution facilities. The Company employs approximately 8,500 people. To learn more, visit www.domtar.com.

SOURCE DOMTAR CORPORATION