::The Center for Paper Business and Industry Studies::

071214 Deutsche Bank Report - Dr. Paper's Weekly Wrap Up (12/14/07)

Deutsche Bank - Equity Research

Domtar announced the closure of an additional 342K tons/yr of uncoated free sheet capacity. For 2007, this makes over 550K tons for Domtar and over 1.4MM tons for the industry (more than 10% of the industry total) in announced closures.

Weyerhaeuser will promote Dan Fulton, President of its Real Estate business, to President of the overall company. Our concern is that the elevation of a career Weyerhaeuser executive might feed fears that the firm remains wedded to gradual change. We hope those fears are misplaced.

The "when issued" shares of (the residual) Temple-Inland, Forestar, and Guaranty began to trade this week.