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PLUM CREEK TIMBER CO., L.P., ANNOUNCES INCREASE IN QUARTERLY DISTRIBUTION TO UNITHOLDERS AND HIGHER FIRST QUARTER EARNINGS

 SEATTLE, April 20 /PRNewswire/ -- Plum Creek Timber Co., L.P., (NYSE: PCL) announced today that the company was increasing its quarterly distribution to unitholders from 90 cents per unit to $1.00 per unit. This represents the fourth increase in the distribution since the company went public in June 1989. The distribution will be paid on May 28 to unitholders of record as of May 17.
 The company also announced a significant increase in first quarter earnings. Earnings for the first quarter of 1993 totaled $25.6 million, or $1.62 per unit, on revenues of $116.4 million, as compared to $9.1 million, or 58 cents per unit, on revenues of $99.2 million for the prior year quarter.
 Commenting on the distribution increase and financial results, David D. Leland, chairman, president and chief executive officer, said, "Plum Creek increased the quarterly distribution to $1.00 per unit as a result of our strong current and anticipated future financial performance and continued focus on maximizing unitholder value.
 "Our financial performance for the first quarter was excellent. The higher earnings are a result of significantly higher prices in most of our product lines and incree?d land sales. With the general surge in commodity lumber prices, Plum Creek saw its own lumber prices up 28 percent in the first quarter of this year, compared to the same quarter in 1992. Plywood prices increased 26 percent, while export and domestic log prices increased 38 percent and 29 percent, respectively, as compared to the same quarter a year ago.
 "Improvement in lumber and plywood pricing is due to higher demand in the housing, repair and remodel, and industrial markets during a period when finished product and raw material inventories were low and production activities were constrained by severe weather conditions. Pricing for logs in both the domestic and export markets continues to rise as a result of the logging restrictions and curtailments in the Pacific Northwest caused in part by legal challenges to federal timber sales.
 "Although we have seen a recent decline in commodity lumber pricing from record levels in the first quarter, we expect to see stable pricing for the balance of the year in the value-added and industrial markets we serve. This, in combination with our continued emphasis on productivity and cost control, should result in financial results significantly above those achieved in 1992," Leland continued.
 Plum Creek is one of the largest private forestland owners in the Pacific Northwest.
 An income statement for Plum Creek follows.
 PLUM CREEK TIMBER CO., L.P.
 COMBINED STATEMENT OF INCOME
 (Unaudited, in thousands, except per unit)
 First Quarter
 1993 1992
 Revenues $116,422 $99,212
 Costs and Expenses:
 Cost of goods sold 72,631 72,764
 Selling, general and administrative 9,052 8,661
 Total costs and expenses 81,683 81,425
 Operating income 34,739 17,787
 Interest expense (8,859) (9,039)
 Interest income 717 543
 Other expense - net (85) (109)
 Income before income taxes 26,512 9,182
 Provision for income taxes 914 71
 Net income $ 25,598 $ 9,111
 General partner interest 1,710 720
 Net income allocable to unitholders $ 23,888 $ 8,391
 Net income per unit $ 1.62 $ 0.58
 -0- 4/20/93
 /CONTACT: Shelley Monfor of Plum Creek Timber, 206-467-3613/
 (PCL)


CO: Plum Creek Timber Co. L.P. ST: Washington IN: PAP SU: ERN DIV

SW-LM -- SE003 -- 8150 04/20/93 13:58 EDT
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Date:Apr 20, 1993
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