Pope & Talbot Announces Continued Operation of the Midway Sawmill

Pope & Talbot, Inc. (NYSE:POP) today announced that it
would be operating the Midway sawmill and dry kilns on a one-shift
basis beyond the previously announced closure date of March 31, 2006.
   The Company is continuing with its plan to expand and modernize
its Grand Forks sawmill, which is expected to produce 255 million
board feet of lumber, as well as plane an additional 95 million board
feet of lumber produced at Midway. The logs to support the additional
Midway production will come from purchases outside the region,
consistent with the Company's past practices.
   "Higher lumber prices and lower duty rates have allowed us to
reconsider our Midway closure plans," stated Michael Flannery,
Chairman and Chief Executive Officer. "We are hopeful that these plans
will lessen the impact on our employees, the Village of Midway and
provide additional lumber for our customers."
   Pope & Talbot is dedicated to the pulp and wood products
businesses. The Company is based in Portland, Oregon and traded on the
New York Stock Exchange under the symbol POP. Pope & Talbot was
founded in 1849 and produces pulp and softwood lumber in the U.S. and
Canada. Markets for the Company's products include: the U.S.; Europe;
Canada; South America; Japan; and other Pacific Rim countries. For
more information on Pope & Talbot, please check the website
www.poptal.com.