Domtar Cuts Staff, Production Capacity

MONTREAL—Domtar will close its Port Edwards, WI, mill and reorganize production at its Dryden, Ontario, facility. The Port Edwards move, which is expected to take place in the second quarter of 2008, will cost 500 employees their jobs.

At Dryden, Ontario, one paper machine and two sheeters will be closed. The actions will impact 125 jobs there.

These moves will permanently trim annual production capacity of uncoated freesheet paper by 342,000 pounds.