Seattle, Washington, USA, 14 January 2009 -- Plum Creek Timber Company, Inc., (NYSE: PCL) 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 USD 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 USD 13 million. In addition, in accordance with the terms of the agreement, during 2008, Plum Creek completed the sale of approximately 2100 acres originally included in the agreement to unrelated third parties, which reduced the purchase price by USD 8 million. As a result of these adjustments, Plum Creek expects to receive USD 89 million for the remainder of the transaction scheduled to be completed in December of 2010. The total transaction is valued at USD 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.