Domtar reports net earnings of $48 million

Domtar has reported a net earning of $48 million on sales of $1.3 billion in its second quarter. These results can be compared to a net loss of $45 million for the first quarter of 2009.

"From the first quarter, shipments edged higher in paper, pulp and wood businesses with demand for our paper products stabilizing and costs for materials declining. Efforts to reduce working capital are paying off; margin improvements and cash flow remain priorities," said John D. Williams, President and Chief Executive Officer. "Our pulp business had a significant impact on our Papers segment profitability in the past quarters, obscuring a good operating performance in our paper business. Improved business environment in pulp, lean inventories, initiatives on the procurement side and continued cost control are key drivers for margin expansion in the near term," added Mr. Williams.

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Domtar Corporation reports preliminary second quarter 2009 financial results (Domtar)