FEDERAL
WAY, Wash. (March
1,
2007) - Weyerhaeuser
Company (NYSE: WY) today announced further details about its conditional
pro
rata dividend of the shares of Domtar Corporation, created as a part of
the
pending combination of the company’s Fine Paper business and related assets with
Domtar Inc.
The
conditional pro rata dividend, announced Feb. 2, 2007, would be payable
only if
the exchange offer that Weyerhaeuser commenced is undersubscribed. If the
exchange offer is undersubscribed and Weyerhaeuser decides to consummate
the
exchange offer, the dividend will consist of all shares of Domtar Corporation
common stock that Weyerhaeuser continues to own upon completion of the
exchange
offer, taking into account the consummation of the exchange offer.
In
this
event, the record time for determination of holders of common shares of
Weyerhaeuser and exchangeable shares of Weyerhaeuser Company Limited entitled
to
such dividend will be immediately following the acceptance for exchange
of
Weyerhaeuser shares validly tendered pursuant to the exchange
offer.
If
the
exchange offer is undersubscribed and Weyerhaeuser decides to terminate
the
exchange offer and return all Weyerhaeuser shares tendered pursuant to
the
exchange offer without accepting any of such shares for exchange, the dividend
will consist of the 284,067,852 shares of Domtar Corporation common stock
that
will be owned by Weyerhaeuser. In this event, the record time for determination
of holders of common shares of Weyerhaeuser and exchangeable shares of
Weyerhaeuser Company Limited entitled to such dividend will be immediately
following the public announcement by Weyerhaeuser of its decision to terminate
the exchange offer and return all tendered shares.
If
the
exchange offer expires at 12:00 midnight, New York City time, on March
2, 2007,
as currently scheduled, the record time for either dividend is expected
to be
March 5, 2007. If the exchange offer is extended, the record time for either
dividend is expected to be the first business day after the extended expiration
date.
About
Weyerhaeuser
Weyerhaeuser
Company, one of the world’s largest integrated forest products companies, was
incorporated in 1900. In 2006, sales were $21.9 billion. It has offices
or
operations in 18 countries, with customers worldwide. Weyerhaeuser is
principally engaged in the growing and harvesting of timber; the manufacture,
distribution and sale of forest products; and real estate construction,
development and related activities. Additional information about Weyerhaeuser’s
businesses, products and practices is available at
www.weyerhaeuser.com.
Additional
Information
The
terms
and conditions of the exchange offer are more fully described in a
Prospectus-Offer to Exchange included in the Registration Statement on
Forms S-4
and S-1 filed by Domtar Corporation with the Securities and Exchange Commission.
The Prospectus-Offer to Exchange contains important information about the
combination of Weyerhaeuser and Domtar Inc. and related matters.
This
announcement is for informational purposes only and is neither an offer
to sell
nor an offer to buy any securities or a recommendation as to whether you
should
participate in the exchange offer. The offer is made solely by the
Prospectus-Offer to Exchange and related letters of transmittal.
Investors
and shareholders are urged to read the Prospectus-Offer to Exchange, and
any
other relevant documents filed with the Securities and Exchange Commission,
when
they become available and before making any investment decisions. None
of
Weyerhaeuser, Weyerhaeuser Company Limited, Domtar Inc., Domtar Corporation
or
any of their respective directors or officers makes any recommendation
as to
whether you should participate in the exchange offer. You can obtain a
free copy
of the Prospectus-Offer to Exchange and other related documents filed by
Weyerhaeuser or Domtar Corporation with the Securities and Exchange Commission
at www.sec.gov.
Weyerhaeuser
has retained Innisfree M&A Incorporated as the information agent for the
transaction. To obtain copies of the Prospectus-Offer to Exchange and related
documentation, or if you have questions about the terms of the exchange
offer or
how to participate, you may contact the information agent at 877-750-9497
(for
shareholders who speak English), 877-825-8777 (for shareholders who speak
French) and 212-750-5833 (for banks and brokers).
Forward-Looking
Statements
Information
in this communication contains forward-looking statements, which are based
on
the current plans and expectations of management and are subject to certain
risks and uncertainties that could cause actual results to differ materially
from historical results or those anticipated. A list of factors that could
cause
actual results to differ materially from those expressed in, or underlying,
those forward-looking statements is detailed in the filings of Weyerhaeuser
and
Domtar Corporation with the Securities and Exchange Commission, such as
annual
and quarterly reports and the Prospectus-Offer to Exchange. None of
Weyerhaeuser, Domtar Corporation or Domtar Inc. assume any obligation to
update
or revise these forward-looking statements to reflect new events or
circumstances.