INDEMNIFICATION AGREEMENT

     THIS INDEMNIFICATION AGREEMENT, made and entered
into this _____ day of ________ , 198_ ("Agreement"),
by and between POTLATCH CORPORATION, a Delaware Company
("Company"), and ______________________________ (the
"Officer"),

                  W I T N E S S E T H:

     Whereas it has been the practice of this Company
to provide officers with adequate protection through insur-
ance or indemnification against inordinate risks of claims
and actions against them arising out of their service to and
activities on behalf of the Company; and

     Whereas the current difficulty of obtaining
significant amounts of insurance at reasonable premiums and
the uncertainties relating to statutory indemnification have
increased the difficulty of adequately protecting such
persons; and

     Whereas the Board of Directors of the Company
(the "Board") has determined that the inability to so
protect such persons is detrimental to the best interests of
the Company's stockholders and that the Company should act
to assure such persons that there will be increased cer-
tainty of such protection in the future:

     N o w, T h e r e f o r e, in consideration of
the premises and the covenants in this Agreement, and
intending to be legally bound, the Company and Officer do
hereby covenant and agree as follows:

     Section 1. Services by Officer. Officer agrees
to serve as an officer so long as he is duly elected by the
Board or appointed by the Chairman of the Board and until
such time as he resigns or is relieved of his
responsibilities. Officer may at any time and for any
reason resign from such position or be relieved of his
responsibilities (subject to any other contractual
obligation or other obligation imposed by operation of law),
in which event the Company shall have no obligation under
this Agreement to continue Officer in any such position.

                                                    Exhibit (10)(k)

<PAGE>
     Section 2. Amendment of Certificate of Incorpora-
tion. The Company shall use its best efforts to amend the
Restated Certificate of Incorporation of the Company to
contain in substance the following provisions:

     A. A director of the corporation shall not be
liable to the corporation or its stockholders for monetary
damages for breach of fiduciary duty as a director except
for liability which, by express provision of the General
Corporation Law of Delaware as in effect from time to time
(hereinafter the "Delaware Law"), cannot be eliminated.

     B. (i) The corporation shall, to the fullest
   extent permitted by Delaware Law, indemnify any
   person (the "Indemnitee") who is or was involved in
   any manner (including, without limitation, as a
   party or a witness) in any threatened, pending or
   completed investigation, claim, action, suit or
   proceeding, whether civil, criminal, administrative
   or investigative (including without limitation, any
   action, suit or proceeding brought by or in the
   right of the corporation to procure a judgment in
   its favor) (a "Proceeding") by reason of the fact
   that Indemnitee is or was a director, officer or
   employee of the corporation, or is or was serving
   another entity in such capacity at the request of
   the corporation, against all expenses and
   liabilities actually and reasonably incurred by
   Indemnitee in connection with such Proceeding.

     (ii) The right to indemnification conferred by
   this Article shall be presumed to have been relied
   upon by the Indemnitee and shall be enforceable as a
   contract right. The corporation may enter into
   contracts to provide individual Indemnitees with
   specific rights of indemnification to the fullest
   extent permitted by Delaware Law and may create
   trust funds, grant security interests, obtain
   letters of credit or use other means to ensure the
   payment of such amounts as may be necessary to
   effect the rights provided in this Article or in any
   such contract.

     (iii) Upon making a request for indemnification,
   Indemnitee shall be presumed to be entitled to
   indemnification under this Article and the
   corporation shall have the burden of proof to
   overcome that presumption in reaching any contrary
   determination. Such indemnification shall include
   the right to receive payment in advance of any
   expenses incurred by the Indemnitee in connection

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<PAGE>
   with any Proceeding, consistent with the
   provisions of Delaware Law.

     C. Any repeal or modification of the foregoing
provisions of this Article shall not adversely affect any
right or protection of any director or any Indemnitee
existing at the time of such repeal or modification.

     D. The amendment or repeal of this Article shall
require the approval of the holders of shares representing at
least eighty percent (80%) of the shares of the corporation
entitled to vote in the election of directors, voting as one
class.

     Section 3. Indemnification. The Company shall
indemnify Officer to the fullest extent permitted by
applicable law or the Restated Certificate of Incorporation of
the Company in effect on the date hereof or as such laws or
Restated Certificate of Incorporation may from time to time be
amended (but, in the case of any such amendment, only to the
extent such amendment permits the Company to provide broader
indemnification rights than the law or Restated Certificate of
Incorporation permitted the Company to provide before such
amendment). The right to indemnification conferred in the
Restated Certificate of Incorporation shall be presumed to
have been relied upon by Officer in serving or continuing to
serve the Company and shall be enforceable as a contract
right. Without in any way diminishing the scope of the
indemnification provided by this Section 3, the Company will
indemnify Officer if and whenever he is or was a party or is
threatened to be made a party to any Proceeding, including
without limitation any such Proceeding brought by or in the
right of the Company, by reason of the fact that he is or was
an Agent or by reason of anything done or not done by him in
such capacity, against Expenses and Liabilities actually and
reasonably incurred by Officer or on his behalf in connection
with the investigation, defense, settlement or appeal of such
Proceeding. No initial finding by the Board, its counsel,
Independent Counsel, arbitrators or the stockholders shall be
effective to deprive Officer of the protection of this
indemnity, nor shall a court to which Officer may apply for
enforcement of this indemnity give any weight to any such
adverse finding in deciding any issue before it, as it is
intended that Officer shall be paid promptly by the Company
all amounts necessary to effectuate the foregoing indemnity in
full. In addition to, and not as a limitation of, the
foregoing, the rights of indemnification of Officer provided
under this Agreement shall include those rights set forth in
Sections 4, 7 and 8 below.

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     Section 4. Advancement of Expenses and Costs;
Letter of Credit.

     (a) Advances. All reasonable Expenses incurred by
or on behalf of Officer shall be advanced by the Company to
Officer within 20 days after the receipt by the Company of a
written request for an advance or advances of Expenses from
time to time, whether prior to or after final disposition of
a Proceeding (unless there has been a final determination
that Officer is not entitled to be indemnified for such
Expenses), including without limitation any Proceeding
brought by or in the right of the Company. Officer's
entitlement to advancement of Expenses shall include those
incurred in connection with any Proceeding by Officer seeking
an adjudication or award in arbitration pursuant to this
Agreement. The requests shall reasonably evidence the
Expenses incurred by Officer in connection therewith. If
required by law at the time of such advance, Officer hereby
undertakes to repay the amounts advanced if it shall
ultimately be determined that Officer is not entitled to be
indemnified pursuant to the terms of this Agreement.

     (b) Letter of Credit. In order to secure the
obligations of the Company to indemnify Officer under Section
3 hereof and to advance to Officer certain amounts under
Section 4(a) hereof, the Company shall obtain upon the
occurrence of any Triggering Event, an irrevocable standby
letter of credit naming Officer as the sole beneficiary, in an
appropriate amount not less than $500,000, issued by a
financial institution having assets in excess of $100 million
and containing terms and conditions reasonably acceptable to
Officer (the "Letter of Credit"). The Letter of Credit shall
provide that Officer may from time to time draw certain
amounts thereunder, upon the presentation to the issuer
thereof of a certificate executed by Officer certifying (i)
that Officer has made demand upon the Company for an amount
not less than the amount he is drawing upon under the Letter
of Credit and that the Company has refused to provide Officer
with such amount and (ii) that Officer believes that he is
entitled under the terms of this Agreement to the amount which
he is drawing upon under the Letter of Credit.

     (c) Term of Letter of Credit. Once the Company has
obtained the Letter of Credit required by Section 4(b) hereof,
the Company shall maintain and renew the Letter of Credit or a
substitute letter of credit meeting the criteria of Section
4(b) hereof during the term of this Agreement in a manner such
that the Letter of Credit shall have an initial term of five
years, be renewed for successive five-year terms, and shall
always have at least one year of its term remaining.

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<PAGE>
     Section 5. Procedure for Determination of
Entitlement to Indemnification.

     (a) Whenever Officer believes that he is entitled
to indemnification pursuant to this Agreement, Officer shall
submit a written request for indemnification to the Company to
the attention of the Chairman of the Board and Chief Executive
Officer or the Vice Chairman of the Board with a copy to the
Secretary. This request shall include documentation or
information which is necessary for the determination of
entitlement to indemnification and which is reasonably
available to Officer. Determination of Officer's entitlement
to indemnification shall be made not later than 60 days after
any judgment, order, settlement, dismissal, arbitration award,
conviction, acceptance of a plea of nolo contendere or its
equivalent, or other disposition or partial disposition of any
Proceeding or any other event which could enable the Company
to determine Officer's entitlement to indemnification. The
Chairman of the Board and Chief Executive Officer, the Vice
Chairman of the Board or the Secretary shall, promptly upon
receipt of Officer's request for indemnification, advise the
Board in writing that Officer has made such request for
indemnification.

     (b) The Company shall be entitled to select the
forum in which Officer's entitlement to indemnification will
be heard unless a Triggering Event has occurred, in which case
Officer shall be entitled to select the forum. The Company or
Officer, as the case may be, shall notify the other party in
writing as to the forum selected, which selection shall be
from among the following:

     (i) The stockholders of the Company;

     (ii) A quorum of the Board consisting of
   Disinterested Directors;

     (iii) Independent Counsel selected by Officer,
   and reasonably approved by the Board, which counsel
   shall make the determination in a written opinion; or

     (iv) A panel of three arbitrators, one of whom
   is selected by the Company, another of whom is
   selected by Officer and the last of whom is
   selected by the first two arbitrators so selected;
   or if for any reason three arbitrators are not
   selected within thirty days after the appointment
   of the first arbitrator, then selection of
   additional arbitrators to complete the three
   person panel shall be made by the American

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<PAGE>
   Arbitration Association under its commercial
   arbitration rules now in effect.
    
      Section 6. Presumptions and Effect of Certain 
Proceedings. Upon making a request for indemnification,
Officer shall be presumed to be entitled to indemnification
under this Agreement and the Company shall have the burden
of proof to overcome that presumption in reaching any
contrary determination. If the person or persons so empow-
ered to make the determination shall have failed to make the
requested indemnification within 60 days after any judgment,
order, settlement, dismissal, arbitration award, conviction,
acceptance of a plea of nolo contendere or its equivalent,
or other disposition or partial disposition of any Proceed-
ing or any other event which could enable the Company to
determine Officer's entitlement to indemnification, the
requisite determination of entitlement to indemnification
shall be deemed to have been made and Officer shall be abso-
lutely entitled to indemnification under this Agreement,
absent (i) misrepresentation by Officer of a material fact
in the request for indemnification or (ii) a specific
finding that all or any part of such indemnification is
expressly prohibited by law. The termination of any Pro-
ceeding by judgment, order, settlement, arbitration award or
conviction, or upon a plea of nolo contendere or its equi-
valent, shall not of itself (a) adversely affect the rights
of Officer to indemnification except as may be provided
herein, (b) create a presumption that Officer did not act in
good faith and in a manner which he reasonably believed to
be in or not opposed to the best interests of the Company,
or (c) with respect to any criminal action or proceeding,
create a presumption that Officer had reasonable cause to
believe that his conduct was unlawful.
     Section 7. Remedies of Officer in Cases of
Determination not to Indemnify or to Advance Expenses.

     (a) In the event that (i) an initial determina-
tion is made that Officer is not entitled to indemnifica-
tion, (ii) advances are not made pursuant to this Agreement,
(iii) payment has not been timely made following a deter-
mination of entitlement to indemnification pursuant to this
Agreement or (iv) Officer otherwise seeks enforcement of
this Agreement, Officer shall be entitled to a final adjudi-
cation in an appropriate court of the State of Delaware of
his entitlement to such indemnification or advance. Alter-
natively, Officer at his option may seek an award in arbi-
tration to be conducted by a single arbitrator pursuant to
the commercial arbitration rules of the American Arbitration
Association now in effect, which award is to be made within
ninety (90) days following the filing of the demand for
arbitration. The Company shall not oppose Officer's right

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<PAGE>
to seek any such adjudication or arbitration award. In any
such proceeding or arbitration Officer shall be presumed to
be entitled to indemnification under this Agreement and the
Company shall have the burden of proof to overcome that
presumption.

     (b) In the event an initial determination has been
made, in whole or in part, that Officer is not entitled to
indemnification, the decision in the judicial proceeding or
arbitration provided in paragraph (a) of this Section 7 shall
be made de novo and Officer shall not be prejudiced by reason
of a determination that he is not entitled to indemnification.

     (c) If an initial determination is made or deemed
to have been made pursuant to the terms of this Agreement that
Officer is entitled to indemnification, the Company shall be
bound by such determination in the absence of (i) a
misrepresentation of a material fact by Officer or (ii) a
specific finding (which has become final) that all or any part
of such indemnification is expressly prohibited by law.

     (d) The Company shall be precluded from asserting
that the procedures and presumptions of this Agreement are not
valid, binding and enforceable. The Company shall stipulate in
any such court or before any such arbitrator that the Company
is bound by all the provisions of this Agreement and is
precluded from making any assertion to the contrary.

     (e) Expenses incurred by Officer in connection with
his request for indemnification under, seeking enforcement of
or to recover damages for breach of this Agreement shall be
borne by the Company.

     Section 8. Other Rights to Indemnification.
Officer's rights of indemnification and advancement of
expenses provided by this Agreement shall not be deemed
exclusive of any other rights to which Officer may now or in
the future be entitled under applicable law, the Restated
Certificate of Incorporation, By-laws, agreement, vote of
stockholders, resolution of directors, or otherwise.

     Section 9. Limitations on Indemnity. The Company
shall not be liable under this Agreement to make any payment
to Officer to the extent that Officer has already been
reimbursed pursuant to such D & O Insurance as the Company may
maintain for Officer's benefit. Notwithstanding the
availability of such insurance, Officer may also claim
indemnification from the Company pursuant to this Agreement by
assigning to the Company any claims under such insurance to
the extent Officer is paid by the Company.

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<PAGE>
     Section 10. Duration and Scope of Agreement; Binding
Effect. This Agreement shall continue so long as Officer
shall be subject to any possible Proceeding by reason of the
fact that he is or was an Agent and shall be applicable to
Proceedings commenced or continued after execution of this
Agreement, whether arising from acts or omissions occurring
before or after such execution. This Agreement shall be
binding upon the Company and its successors and assigns and
shall inure to the benefit of Officer and his spouse,
assigns, heirs, devisees, executors, administrators and other
legal representatives.

     Section 11. Severability. If any provision or
provisions of this Agreement (or any portion thereof) shall
be held to be invalid, illegal or unenforceable for any
reason whatsoever: (a) the validity, legality and
enforceability of the remaining provisions of this Agreement
shall not in any way be affected or impaired thereby; and (b)
to the fullest extent possible, the provisions of this
Agreement shall be construed so as to give effect to the
intent manifested by the provision held invalid, illegal or
unenforceable.

     Section 12. Identical Counterparts. This Agreement
may be executed in one or more counterparts, each of which
shall for all purposes be deemed to be an original but all of
which together shall constitute one and the same Agreement.
Only one such counterpart signed by the party against whom
enforceability is sought needs to be produced to evidence the
existence of this Agreement.

     Section 13. Interpretation of Agreement. It is
understood that the parties hereto intend this Agreement to be
interpreted and enforced so as to provide indemnification to
Officer to the fullest extent now or hereafter permitted by
law.

     Section 14. Headings. The headings of the Sections
and paragraphs of this Agreement are inserted for convenience
only and shall not be deemed to constitute part of this
Agreement or to affect the construction thereof.

     Section 15. Definitions. For purposes of this
Agreement:

     (a) "Agent" shall mean any person who (i) is or was
a director, officer or employee of the Company or a subsidiary
of the Company whether serving in such capacity or as a
director, officer, employee, agent, fiduciary or other
official of another entity at the request of, for the
convenience of, or to represent the interests of the Company
or a subsidiary of the Company or (ii) was a director,

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<PAGE>
officer or employee of a corporation which was a predecessor
corporation of the Company or a subsidiary of the Company
whether serving in such capacity or as a director, officer,
employee, agent, fiduciary or other official of another entity
at the request of, for the convenience of, or to represent the
interests of such predecessor corporation.

     (b) "Disinterested Director" shall mean a director
of the Company who is not or was not a party to the
Proceeding in respect of which indemnification is being
sought by Officer.

     (c) "Expenses" shall include all direct and indirect
costs (including, without limitation, attorneys' fees,
retainers, court costs, transcripts, fees of experts, witness
fees, travel expenses, duplicating costs, printing and binding
costs, telephone charges, postage, delivery service fees, all
other disbursements or out-of-pocket expenses and reasonable
compensation for time spent by Officer for which he is
otherwise not compensated by the Company or any third party)
actually and reasonably incurred in connection with either the
investigation, defense, settlement or appeal of a Proceeding
or establishing or enforcing a right to indemnification under
this Agreement, applicable law or otherwise; provided,
however, that "Expenses" shall not include any judgments,
fines or ERISA excise taxes or penalties.

     (d) "Independent Counsel" shall mean a law firm or a
member of a law firm that neither is presently nor in the past
five years has been retained to represent: (i) the Company or
Officer in any matter material to either party, or (ii) any
other party to the Proceeding giving rise to a claim for
indemnification hereunder. Notwithstanding the foregoing, the
term "Independent Counsel" shall not include any person who,
under the applicable standards of professional conduct then
prevailing, would have a conflict of interest in representing
either the Company or Officer in an action to determine
Officer's right to indemnification under this Agreement.

     (e) "Liabilities" shall mean liabilities of any
type whatsoever, including, but not limited to, judgments,
fines, ERISA excise taxes and penalties, and amounts paid in
settlement.

     (f) "Proceeding" shall mean any action, suit,
arbitration, alternate dispute resolution mechanism,
investigation, administrative hearing or any other proceeding
whether civil, criminal, administrative or investigative.

                               -9-

<PAGE>
     (g) "Triggering Event" shall mean the acquisition
by any person (other than the Company) of 30% or more of the
outstanding shares of common stock of the Company unless a
majority of the entire Board, which shall include the
affirmative vote of at least one director from each class of
the Board, shall have earlier approved such acquisition.

     Section 16. Pronouns. Use of the masculine
pronoun shall be deemed to include usage of the feminine
pronoun where appropriate.

     Section 17. Modification and Waiver. No supplement,
modification or amendment of this Agreement shall be binding
unless executed in writing by both of the parties to this
Agreement. No waiver of any provision of this Agreement shall
be deemed to constitute a waiver of any other provision hereof
(whether or not similar) nor shall such waiver constitute a
continuing waiver.

     Section 18. Notice by Officer and Defense of Claims.
Officer agrees promptly to notify the Company in writing upon
being served with any summons, citation, subpoena, complaint,
indictment, information or other document relating to any
matter which may be subject to indemnification hereunder,
whether civil, criminal, administrative or investigative; but
the omission so to notify the Company will not relieve it from
any liability which it may have to Officer if such omission
does not prejudice the Company's rights and if such omission
does prejudice the Company's rights, it will relieve the
Company from liability only to the extent of such prejudice;
nor will such omission relieve the Company from any liability
which it may have to Officer otherwise than under this
Agreement. With respect to any Proceeding as to which Officer
notifies the Company of the commencement thereof:

     (a) The Company will be entitled to participate
therein at its own expense; and

     (b) Except as otherwise provided below, to the
extent that it may wish, the Company jointly with any other
indemnifying party similarly notified will be entitled to
assume the defense thereof, with counsel reasonably
satisfactory to Officer. After notice from the Company to
Officer of its election so to assume the defense thereof, the
Company will not be liable to Officer under this Agreement
for any Expenses subsequently incurred by Officer in
connection with the defense thereof other than reasonable
costs of investigation or as otherwise provided below.
Officer shall have the right to employ his counsel in such
Proceeding but the fees and expenses of such counsel incurred
after notice from the Company of its assumption of

                               -10-

<PAGE>
the defense thereof shall be at the expense of Officer unless
(i) the employment of counsel by Officer has been authorized
by the Company, (ii) Officer shall have reasonably concluded
that there may be a conflict of interest between the Company
and Officer in the conduct of the defense of such action or
that counsel may not be adequately representing Officer, (iii)
a Triggering Event shall have occurred or (iv) the Company
shall not in fact have employed counsel to assume the defense
of such action, in each of which cases the fees and expenses
of counsel shall be at the expense of the Company. The Company
shall not be entitled to assume the defense of any Proceeding
as to which Officer shall have made the conclusion provided
for in (ii) above or if an event specified in (iii) above
shall have occurred.

     (c) The Company shall not be liable to indemnify
Officer under this Agreement for any amounts paid in
settlement of any action or claim effected without its written
consent. The Company shall not settle any action or claim in
any manner which would impose any penalty or limitation on
Officer without Officer's written consent. Neither the Company
nor Officer will unreasonably withhold their consent to any
proposed settlement.

     Section 19. Notices. All notices, requests, demands
and other communications hereunder shall be in writing and
shall be deemed to have been duly given if (i) delivered by
hand and receipted for by the party to whom said notice or
other communication shall have been directed or (ii) mailed by
certified or registered mail with postage prepaid, on the
third business day after the date on which it is so mailed:

      (a) If to Officer, to:

                ____________________
                ____________________
                ____________________

      (b) If to the Company, to:

                Potlatch Corporation 
                P.O. Box 3591 
                San Francisco, CA 94119 
                Attn: Chairman of the Board and 
                Chief Executive Officer
                or Vice Chairman of the Board

          With a copy to:

                      Secretary

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<PAGE>
or to such other address as may have been furnished to
Officer by the Company or to the Company by Officer, as the
case may be.

     Section 20. Governing Law. The parties agree that
this Agreement shall be governed by, and construed and
enforced in accordance with, the laws of the State of
Delaware, as applied to contracts between Delaware residents
entered into and to be performed entirely within Delaware.

     Section 21. Consent to Jurisdiction. The Company and
Officer each hereby irrevocably consent to the jurisdiction
of the courts of the State of Delaware for all purposes in
connection with any action or proceeding which arises out of
or relates to this Agreement and agree that any action
instituted under this Agreement shall be brought only in the
state courts of the State of Delaware.

     IN WITNESS WHEREOF, the parties hereto have
executed this Agreement on the day and year first above
written.

ATTEST:
                                POTLATCH CORPORATION

 By ______________________      By _________________________

                                Officer

                                ____________________________

                       Address: ____________________________


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<PAGE>
                    Schedule A to Exhibit (10)(k)
                         February 1, 1997

     Form of Indemnification Agreement dated as of:

         (i)  December 11, 1986, with the following officers:

              John M. Richards, Chairman and Chief Executive 
                Officer

              L. Pendleton Siegel, President and Chief Operating \
                Officer

              Sandra T. Powell, Vice President

        (ii)  October 1, 1989, with George E. Pfautsch, Senior
                Vice President

       (iii)  April 1, 1990, Ralph M. Davisson, Vice
                President

        (iv)  March 14, 1991, with Charles R. Pottenger, Group
                Vice President

         (v)  March 1, 1992, with Thomas J. Smrekar, Group
                Vice President

        (vi)  January 1, 1993, with Richard L. Paulson, Vice
                President

       (vii)  April 10, 1995, with Gerald L. Zuehlke, Treasurer

      (viii)  April 10, 1995, with Kenneth L. Clark, Vice 
                President

        (ix)  June 14, 1995, with John W. Bacon, Vice President
                and Betty R. Fleshman, Secretary

         (x)  May 29, 1996, with Craig H. Nelson, Vice President