Xerox Sells U.S. And Canadian Paper Business To Domtar

By Frank Edmonds, senior vice president, Global Paper and Supplies Distribution Group, Xerox

You have probably heard by now that Xerox is selling its branded paper business in the U.S. and Canada to Domtar Corporation, one of the largest manufacturers and distributors of paper in North America. What you may not have heard yet is why and how this is an across-the-board win.

While we have never manufactured paper, Xerox has long distributed through its brand name a broad range of coated and uncoated papers and specialty print media including business forms as well as carbonless and wide-format paper. Effective June 1, 2013, Domtar will hold exclusive rights to market and distribute Xerox-branded paper and print media products in the U.S. and Canada.Xerox Sells U.S. & Canadian Paper Business to Domtar

So why do I say this is a win for all sides?  This agreement brings together the well-respected Xerox brand with the scale and efficiency from Domtar’s manufacturing capacity, broad portfolio of products and extensive distribution network.  As a result, the paper-purchasing process and access to Xerox-branded paper products will be more streamlined – a simpler way for our customers to work. Our respective clients get a simplified, one-stop experience.

It’s also important to note that this transaction has no impact on customer relationships with Xerox for our document technology and related consumables, like toner and ink.  Xerox will continue to provide direct support for consumables and Xerox Replacement Cartridges.

We will be working with Domtar to ensure a smooth transition of the business and no disruption to our customers.

As we broaden our business to focus more on services and innovative document technology, we saw an opportunity for our paper business clients to be better served by a leader in the industry.

This begs the question then that as Xerox scales it Services business, should we expect to see more divestitures in our Document Technology business? The answer is that acquisitions and divestitures are part of our ongoing business strategy.  For example, we recently announced the acquisition of Impika, a manufacturer of digital production presses that helps us expand our business in production inkjet printing.

For now, it’s business as usual.  Until the close, Xerox customers may continue to order paper and media through Xerox Supplies sales representatives or on line to keep their MFDs and production printers printing.

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15 Comments

  1. chris March 22, 2013 - Reply

    sounds great, but what does this mean for people who have jobs with this division of Xerox? I don’t work there, but seems pretty insensitive that this announcement would be made without communicating to the employees.

  2. Karen Arena, Xerox Corporation March 23, 2013 - Reply

    Hi Chris,
    Employees are always a priority, and we indeed share news with them immediately, as we did in this case. There are currently about 75 people across the US and Canada who work in Xerox’s paper distribution business. We expect that a number of these individuals will transfer to Domtar. With the agreement now in place, Domtar will begin engaging with our teams to determine employee opportunities going forward. – Karen Arena, Xerox Corporation

  3. STEPHEN MADLENER March 28, 2013 - Reply

    WHERE DO WE BUY THE PAPER FROM?
    DOMTAR DIRECT OR FROM THIER DISTRIBUTORS LIKE INDEPENDANT OFFICE SUPPY DEALERS?

  4. Frank Edmonds, Xerox Corporation March 28, 2013 - Reply

    Hi Stephen – For the time being, continue to order paper and media through your Xerox supplies sales representative or through Xerox.com. We expect the sale to be final on May 31. The Xerox team will work closely with Domtar to assure a smooth transition of the business and no disruption to you. In May, Domtar will share with you information on how to purchase Xerox paper and media products through its multiple channels of distribution.
    Thanks – Frank Edmonds, Xerox

  5. Frank Edmonds, Xerox Corporation March 28, 2013 - Reply

    Hi Stephen – One more note – You may also contact us for sales and support of Xerox paper, print media products and consumables by phone at at:
    U.S. customers 1-800-822-2200
    Canadian customers 1-800-668-0199
    Thanks, Frank Edmonds, Xerox

  6. Max April 11, 2013 - Reply

    There are plenty of Domtar paper products in the market. What will make the “Xerox” branded wrap Domtar paper any different.

  7. Frank Edmonds, Xerox Corporation April 11, 2013 - Reply

    Thanks for the note Max, as you know, while we have never manufactured paper, Xerox has long distributed a broad range of coated and uncoated papers and specialty print media including business forms as well as carbonless and wide-format paper. For the next step, effective June 1, Domtar will hold exclusive rights to market and distribute Xerox-branded paper and print media products in the U.S. and Canada. We feel it’s an across-the-board win for Xerox and our customers. Stay tuned to see how Domtar approaches the Xerox brand and how it unfolds in the marketplace.

  8. Erik June 4, 2013 - Reply

    Hi, a late question but what are Xerox strategy for this in the european market? Will we see the same?

  9. Frank Edmonds, Xerox June 4, 2013 - Reply

    Hi Erik – Just this week, Domtar Corporation announced the completion of its acquisition of Xerox’s paper and print media products business in the United States and Canada, pursuant to the agreement of March 21, 2013. This agreement was specific to the U.S. and Canada and does not include Europe.

  10. Dan September 12, 2013 - Reply

    We just attempted to order a couple of pallets of paper from Xerox and man were we surprised at the extra $265 delivery charges being applied to our order by DOMTAR. We’ll be looking elesewhere for our paper.

  11. Kathy September 13, 2013 - Reply

    Hi Dan – this is Kathy from Domtar. We value all of our customers and I am sorry you are frustrated. I wanted to let you know that Domtar’s distribution model is reflective of current market costs. You can contact your local Domtar account manager to discuss the most efficient way to deliver products to you. You can also visit egpaper.com for more information.

  12. Laura September 19, 2013 - Reply

    Is Domtar still packaging Xerox paper as ‘Xerox’? Or are they calling it something else? Every supplier I have spoken with says we have ‘the same thing as’ but how do I know that it’s the same? I have always used ‘Xerox’ on the label.

  13. Frank Edmonds, Xerox Corporation September 23, 2013 - Reply

    There have been no changes to the packaging of Xerox paper and print media products. With the exception of several discontinued items, customers can get the same Xerox quality products that they have come to expect, guaranteed to be defect-free. For a complete list of current items, please visit http://www.egpaper.com. Best, Frank Edmonds, Xerox

  14. Steve Satterlee December 5, 2013 - Reply

    We have used Xerox brand paper for over 30 years because of it’s non-jamming high quality. Domtar does not currently produce the same quality paper as Xerox. Will Xerox high quality paper no longer be available as Domtar simply puts the Xerox name on their lower quality paper?

    • kenericson December 10, 2013 - Reply

      Xerox branded paper will continue to manufactured to the most stringent specifications in the industry. As in the past, Domtar will work closely with Xerox to ensure that the paper inside the Xerox wrapper provides the customer with the performance standard they have come to expect. If you have other questions, or would like to discuss further, feel free to contact Rob Melton, Domtar’s Vice President of Business Papers. His email address is rob.melton@domtar.com.”

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