TICKER SYMBOL
(NYSE: UFS) (TSX: UFS)

(All financial information is in U.S. dollars, unless otherwise noted.)

MONTREAL, July 1, 2013 /PRNewswire/ – Domtar Corporation (NYSE: UFS)
(TSX: UFS) today dramatically increased its Personal Care segment’s
footprint and product range with the completion of the acquisition of
Associated Hygienic Products (“AHP”) from DSG International, pursuant
to a definitive agreement announced on May 28, 2013.

AHP is the largest supplier of store brand infant diapers in the United
States, with manufacturing facilities in Delaware, Ohio and Waco,
Texas, along with administrative offices and a distribution center in
Duluth, Georgia. The acquired business will be presented as part of the
Personal Care reportable segment in Domtar’s financial statements.

About Domtar
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 as well as baby diapers. Domtar owns and operates Ariva, a network of strategically located paper and printing supplies
distribution facilities. In 2012, Domtar had sales of US$5.5 billion
from some 50 countries. The Company employs approximately 9,300 people.
To learn more, visit www.domtar.com.

SOURCE Domtar Corporation