Pioneer Announces the Pricing of Common Stock Offering

Pioneer Announces the Pricing of Common Stock Offering 


HOUSTON, Dec. 1  /PRNewswire-FirstCall/ -- Pioneer Companies, Inc. (OTC:PONR)
(BULLETIN BOARD: PONR)  today reported that it entered into an underwriting
agreement with CRT Capital Group LLC in connection with the sale to CRT of
1,000,000 shares of Pioneer's common stock.  Pioneer also granted to CRT an
option to purchase up to an additional 100,000 shares to cover over-
allotments, if any.

Pioneer estimates that it will receive net proceeds of approximately $20.3
million from the offering (or $22.4 million if CRT exercises its over-
allotment option in full), after deducting estimated expenses.  Pioneer intends
to use all of the net proceeds to redeem a portion of its outstanding Senior
Secured Floating Rate Guaranteed Notes due 2006 and Senior Floating Rate Term
Notes due 2006.

A copy of the final prospectus relating to the offering may be obtained from
CRT Capital Group LLC, Attention: Prospectus Department, 262 Harbor Drive,
Stamford, CT 06902.

A registration statement relating to these securities has been filed with the
Securities and Exchange Commission and has become effective.  This press
release shall not constitute an offer to sell or the solicitation of an offer
to buy, nor shall there be any sale of these securities in any jurisdiction in
which such offer, solicitation or sale would be unlawful prior to the
registration or qualification under the securities laws of any such
jurisdiction.

Pioneer, based in Houston, manufactures chlorine, caustic soda, bleach,
hydrochloric acid and related products used in a variety of applications,
including water treatment, plastics, pulp and paper, detergents, agricultural
chemicals, pharmaceuticals and medical disinfectants.  Pioneer owns and
operates four chlor-alkali plants and several downstream manufacturing
facilities in North America.

Certain statements in this news release are "forward-looking statements" within
the meaning of the Private Securities Litigation Reform Act.  Forward- looking
statements relate to matters that are not historical facts.  Such statements
involve risks and uncertainties.  Actual outcomes may vary materially from
those indicated by the forward-looking statements. 

DATASOURCE: Pioneer Companies, Inc.



CONTACT:  Kent Stephenson of Pioneer Companies, Inc., [phone]



Web site:  http://www.piona.com/ 

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