Domtar's CEO Hosts 2012 Annual Stockholders Meeting Conference (Transcript)

Domtar Corporation (UFS)

2012 Annual Stockholders Meeting Conference Call

May 2, 2012 9:00 pm ET

Executives

Harold H. MacKay – Chairman

John D. Williams – President and Chief Executive Officer

Robert J. Steacy – Corporate Director

Paola Farnesi – Vice President and Treasurer

Brendan Murphy – Director, IT Security

Presentation

Harold H. MacKay

Good morning. My name is Harold MacKay, I’m the non-Executive Chairman of Board of Directors of Domtar Corporation; and I’ll be acting as Chairman of the meeting. We’ll be conducting this meeting in both English and French, simultaneous translation is provided.

And should you wish to use the service, please ask the attendant at the entrance of the room for a receiving unit. In order to not to stray the flow of this meeting, I do ask that you turn off your cellphones, your BlackBerrys. If you haven’t done it yet, please reach in your pocket, and do that.

Paola Farnesi

I would like to welcome you to Domtar Annual Stock Meeting.

Harold H. MacKay

On behalf of Domtar, I’d also like to welcome all stockholders and the individuals who have decided to join this meeting by Internet.

The archived webcast of the meeting will be available in the next 24 hours or so on our website. I’ll now call this annual meeting, two others. First I’m going to introduce the persons who are sitting at the table beside me to my left, Mr. John Williams, our President and Chief Executive Officer; and to his left Razvan Theodoru, the Vice President of Corporate Law and Secretary of Domtar who will act as Secretary of the meeting.

I’d like to introduce to you our Board of Directors in attendance, who are sitting in front row. I’d ask that each Director stand as I call his or her name, and remain standing until I introduce all of them. Unfortunately, one of our Directors, Mr. Jack Bingleman, who is the retired President of Staples International couldn’t be here today because of a scheduling conflict.

So I’ll introduce your Directors too. Mr. Louis Gignac, Former President and CEO of Cambior Incorporated. Mr. Brian Levitt, Counsel at Osler Hoskin & Harcourt; Mr. Dave Maffucci, Former Senior Executive of Bowater, Mr. Henson Moore, Retired President and CEO of the American Forest & Paper Association; Mr. Mick Onustock, Retired Senior VP Pulp and White Paper Weyerhaeuser Company; Mr. Robert Steacy, Former Executive VP and Chief Financial Officer of Torstar Corporation; Ms. Pamela Strobel, Retired Executive Vice President and Chief Administrative Officer of Exelon Corporation and Mr. Denis Turcotte, formerly the President and CEO of Algoma Steel Inc.

And standing for the first time this year for election to your Board, Giannella Alvarez, the Group President of Barilla America, Inc. and you’ll notice, I told them to stay standing and they followed me perfectly, as you can see.

I want to say a special word about our Directors, Henson Moore and Mick Onustock, who will be retiring today in accordance with the Board’s retirement policy. Both Henson and Mick joined our Board in March of 2007 when new Domtar was formed. Both brought extensive experience in our business to the Board table.

Mick, who in prior life had been Senior Executive of Weyerhaeuser; and Henson, who have been the Chief Executive Officer of our industry association in United States. They’ve contributed greatly to the smooth business transition and integration, which followed the creation of new Domtar. They’ve been forthright in their guidance and collegial in their approach. They have in short been excellent Directors. We want to thank both of you on behalf of your colleagues on the Board, and this morning on behalf of all Domtar’s stockholders for all that you’ve done, and we certainly wish you well in the future.

I’d now like to turn the microphone over to Mr. Williams to introduce his Senior Management team.

John D. Williams

Thank you, Harold, and good morning, ladies and gentlemen. It’s with great pleasure that I’d like to introduce the members of our Senior Management, who are sitting here in the first row. I will ask that each Executive to stand when I call his or her name, and remain standing until all are introduced.

Maybe I have more control over this side of the room, but that on another issue; so Melissa Anderson, Daniel Buron, Mike Edward, [Mike Fager], Zygmunt Jablonski, Patrick Loulou, Dick Thomas, and Mark Ushpol, your management committee.

Harold H. MacKay

Thank you, John. Also present at the meeting are the Corporation’s independent registered public accounting firm, PricewaterhouseCoopers LLP, who are represented this morning by [Ms. Walter Hillman], [Martin Fully] and [Michael Punn].

Before we turn to the formal business of the meeting, I want to say a few words to stockholders on behalf of your Board. This is an Anniversary year for Domtar Corporation. It’s five years since our formation, and it’s been an important journey with many accomplishments.

As we look to the future, it’s helpful to remember what we’ve been able to achieve to this point. At the outset, our leadership team completed an extremely successful integration of two businesses, domiciled in different countries and with very different business cultures. This was done very effectively, and we will have all the synergies that we first predicted, and then some. Regarding integration phase behind us, we turned our eyes to the future. And as a first important step, we engaged John Williams to lead the Company.

Since that time, Domtar has formally entrenched itself as a leading paper company in North America. The company has built impressively upon the sustainability focus of our predecessor companies. Of great importance, the company has delivered excellent returns and generated substantial free cash flow. We now have a very strong balance sheet. In the past year, we’ve built on the strength with important new business initiatives. And we have taken concrete steps to build on our commitment to return cash to our stockholders.

Read the rest of this transcript for free on seekingalpha.com

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