Domtar Halts production at Lebel-sur-Quevillon pulp mill due to unfavorable economic factors
25 November 2005 - 9:13AM
PR Newswire (US)
TICKER SYMBOL DTC (TSX, NYSE) MONTREAL, Nov. 24
/PRNewswire-FirstCall/ -- Domtar Inc. announced the shut down of
the Lebel-sur-Quevillon pulp mill at 5:00 p.m. on November 24, due
to unfavorable economic factors. "Domtar is taking measures to
mitigate the negative impacts of a combination of economic factors:
downward pressure on prices, growing fiber supply costs, rising
energy and transportation costs, the strengthening of the Canadian
dollar and labor costs that exceed those of competitors. The pulp
mill at Lebel-sur-Quevillon will be up and running as soon as
economic factors allow the mill to operate profitably," stated
Raymond Royer, President and Chief Executive Officer of Domtar. The
Lebel-sur-Quevillon pulp mill employs 425 workers and produces
annually 300,000 tonnes of kraft pulp. 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: Christian
Tardif, Manager, Corporate and Financial Communications, (514)
848-5515, Email: ; SOURCE Raymond Royer, President and Chief
Executive Officer, (514) 848-5382, Email: ; To request a free copy
of this organization's annual report, please go to
http://www.newswire.ca/ and click on reports@cnw.
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