SEATTLE--(BUSINESS WIRE)--Oct. 30, 2007--Plum Creek TimberCompany, Inc. (NYSE: PCL) today announced a quarterly cash dividend of$0.42 per share. The dividend is payable on Nov. 30, 2007, toshareholders of record as of Nov. 14, 2007. Plum Creek's dividend isexpected to be characterized as long-term capital gain incomeprimarily because the income generated by the sale of Plum Creek'stimber is considered long-term capital gain. As such, Plum Creek'sdividend is expected to be taxed at a maximum rate of 15 percent formost U.S. taxpayers.

In addition, the company announced that its board of directorsapproved an increase in the company's previously authorized stockrepurchase program. As a result, the company's current authorizationto repurchase stock is an aggregate amount of up to $200 million. Theprogram authorizes the company to buy back shares of its outstandingcommon stock from time to time through open-market and privatelynegotiated purchases, or a combination of the two, as marketconditions warrant.

Plum Creek is the largest and most geographically diverse privatelandowner in the nation with 8.2 million acres of timberlands in majortimber producing regions of the United States and 10 wood productsmanufacturing facilities in the Northwest.

CONTACT: Plum Creek Timber Company, Inc.
Investors:
John Hobbs, 1-800-858-5347
or
Media:
Robin Keegan, 1-888-467-3751

SOURCE: Plum Creek Timber Company, Inc.