SEATTLE, Jan 14, 2009 (BUSINESS WIRE) -- Plum Creek Timber Company, Inc., (NYSE: PCL) announced that the company and its conservation partners, The Nature Conservancy and The Trust for Public Land, expect to complete the second phase of their conservation transaction during February of 2009. Phase II of the Montana Legacy Project was originally scheduled to close during December of 2009. Plum Creek expects to receive $250 million in cash for approximately 112,000 acres of western Montana forestlands in this second phase of the transaction.

In consideration of the early closing, the transaction value has been reduced by approximately $13 million. In addition, in accordance with the terms of the agreement, during 2008 Plum Creek completed the sale of approximately 2,100 acres originally included in the agreement to unrelated third parties which reduced the purchase price by $8 million. As a result of these adjustments, Plum Creek expects to receive $89 million for the remainder of the transaction scheduled to be completed in December of 2010. The total transaction is valued at $489 million.

Plum Creek is the largest and most geographically diverse private landowner in the nation with more than 7 million acres of timberlands in major timber producing regions of the United States and 10 wood products manufacturing facilities in the Northwest.

Forward-Looking Statements

This press release contains forward-looking statements within the meaning of the Private Litigation Reform Act of 1995 as amended. These forward-looking statements can be identified by the use of forward-looking words such as "expect," or "expects," "will," or "approximately," or the negative of those words or other comparable terminology. The accuracy of such statements is subject to a number of risks, uncertainties and assumptions including, but not limited to, the purchasers' ability to obtain funding. It is likely that if one or more of the risks materializes, the current expectations of Plum Creek and its management will not be realized. Forward-looking statements are not guarantees of performance, and speak only as of the date made, and neither Plum Creek nor its management undertakes any obligation to update or revise any forward-looking statements.

SOURCE: Plum Creek Timber Company, Inc.

Plum Creek Timber Company, Inc.
Investors:
John Hobbs, 1-800-858-5347
or
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Kathy Budinick, 1-888-467-3751