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SPO PARTNERS ACQUIRES INTEREST IN PLUM CREEK TIMBER CO., L.P. FROM BURLINGTON RESOURCES INC.

 SEATTLE, Jan. 4 /PRNewswire/ -- Plum Creek Timber Co., L.P. (NYSE: PCL) announced today that SPO Partners & Co. (SPO) has acquired Burlington Resources Inc.'s (BR) (NYSE: BR) remaining interest in Plum Creek for approximately $70 million. BR's interest in Plum Creek includes the General Partner Interest and 1.25 million Deferred Participation Interests.
 SPO Partners & Co. is a private investment firm based in San Francisco. John H. Scully, William E. Oberndorf and William J. Patterson, SPO's principals, have acted as advisors to and co-investors with a select group of limited partners for over 23 years. The principals established SPO as a source of patient capital for public and private companies with significant potential for long-term appreciation. Messers. Scully, Oberndorf and Patterson and entities they control, hold significant ownership interests in a number of public and private companies, including several on whose boards they sit.
 "We are very pleased to have this opportunity to increase the level of our commitment to Plum Creek," said a spokesman for SPO. "As its largest unitholder for the past two years, we have come to know Plum Creek as one of the best managed companies in the industry, committed to providing long-term value to unitholders while pursuing environmentally sensitive and sound business practices.
 "We are acquiring BR's interest with a significant equity investment, including major commitments of personal capital from SPO's principals," the SPO spokesman continued. "Plum Creek's balance sheet will be unaffected by the transaction, and all of Plum Creek's constituencies can be assured that we intend to be a stable, supportive General Partner."
 "Plum Creek management and employees welcome SPO as the new General Partner," said David D. Leland, president and chief executive officer of Plum Creek. "We already enjoy a strong working relationship with SPO's principals. We are particularly pleased that SPO supports Plum Creeks efforts in pioneering Environmental Forestry techniques and our emphasis on a high-quality, market-driven philosophy throughout our business."
 The board of directors of the new General Partner will initially consist of Ian Davidson and David Leland, who are current Plum Creek directors, as well as the three principals of SPO.
 Plum Creek has 13.5 million publicly traded units which are owned by approximately 30,000 limited partners. The 1.25 million Deferred Participation Interests acquired by SPO are not entitled to receive distributions and are not tradable until June of 1994.
 The publicly traded units currently pay a quarterly distribution of 90 cents per unit. BR's obligation to support a minimum quarterly distribution of 60 cents per unit through June 1994 is not affected by the transaction. Since Plum Creek's initial public offering in June 1989, BR has never been called upon to provide distribution support. Under the terms of the transaction, any distribution support that might be provided by BR in the future would be reimbursed by the General Partner.
 Plum Creek is one of the largest private timberland owners in the Pacific Northwest. The company was formed as a Master Limited Partnership in June of 1989 to acquire, own and operate substantially all of the timber business and wood products manufacturing operations formerly owned by BR.
 -0- 1/4/93
 /CONTACT: Shelley Monfor, 206-467-3613, or Sharon Kanareff, 206-467-3667, both of Plum Creek Timber Co., L.P.; or Lissa Perlman of Kekst & Co., 212-593-2655, for SPO Partners & Co./
 (PCL BR)


CO: Plum Creek Timber Co., L.P.; SPO Partners & Co.; Burlington
 Resources Inc. ST: Washington; California IN: PAP SU: TNM


LM-TM -- SE001 -- 1183 01/04/93 09:05 EST
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Date:Jan 4, 1993
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