Montreal, Saturday, May 5, 2001 -- Domtar is pleased to announce that it has reached a new five (5) year Collective Agreement with representatives of its employees at its Nairn Centre sawmill. The Memorandum of Settlement will be presented to the employees with a unanimous recommendation for acceptance in the up-coming days. "We are glad that we were able to find creative solutions with representatives of our employees to preserve as many jobs as possible, while proceeding with a significant rationalisation of the mill. We look forward to resuming operations", said Roland Gagnon Senior, Vice-President, Wood Products Division. The Settlement allows for the progressive recall of approximately 170 employees. New extended production schedules and job classification groupings result in the preservation of more jobs than anticipated while reducing the number of days of work for each employee.