Article: Weyerhaeuser to Combine Fine Paper, Papergrade Pulp, Related Assets With Domtar; Creates Largest North American Fine Paper Company.

FEDERAL WAY, Wash., Aug. 23 /PRNewswire-FirstCall/ -- Weyerhaeuser Company today announced that it has reached a definitive agreement to combine its Fine Paper business and related assets with Domtar Inc. (TSE/NYSE: DTC). The transaction gives Weyerhaeuser shareholders 55 percent ownership in the new company and includes a $1.35 billion cash payment to Weyerhaeuser. The cash payment, plus the stock valued at the closing price of Domtar stock on Aug. 22, 2006, results in a transaction value of $3.3 billion before considering resulting synergies.

 
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