PAYLESS CASHWAYS &lt;PCI> SEES BETTER FIRST QTR

  Payless Cashways Inc chairman David
  Stanley told analysts the company's first quarter results to be
  reported March 17 will be better than the seven cts per share
  reported in the year ago quarter.
      "It was not a wonderful sales quarter, but it only
  represents 14 pct of the year's total results," Stanley said.
      Stanley also said that 1987 full year sales will be in
  excess of 1.8 billion dlrs as compared to the 1.5 billion dlrs
  reported in 1986. He also said that analysts' estimates of 1.55
  dlr per shr for 1987 "are not crazy."
      Payless reported net income of 1.22 dlr per share in 1986.
      "The economy may not get a lot better, but we expect our
  advantages in the lumber industry and cost cutting measures to
  keep us competitive," Larry Kunz, chief financial officer,
  said.
       The company acquired Knox Lumber Co for about 24.3 mln
  dlrs in October 1986.
      Stanley said the company's stronger-than-optimal balance
  sheet will enable it to make further acquisitions but no
  negotiations are going on at the current time.
      He said some benefits of a new management information
  system will be felt in 1987 and more substantially in 1988.
     
  REUTER...^M
  

