INDEPENDENT AUDITORS' REPORT



To the Partners of PLM Equipment Growth Fund IV:

Under date of March 17, 2000, we reported on the balance sheets of PLM Equipment
Growth Fund IV (the  "Partnership")  as of December  31, 1999 and 1998,  and the
related statements of operations,  changes in partners' capital,  and cash flows
for each of the years in the three-year  period ended  December 31, 1999,  which
are included in Form 10K. In  connection  with our audits of the  aforementioned
financial  statements,  we also audited the related financial statement schedule
in Form 10K. This  financial  statement  schedule is the  responsibility  of the
Partnership's  management.  Our  responsibility is to express an opinion on this
financial statement schedule based on our audits.

In our opinion,  such financial statement schedule,  when considered in relation
to the basic financial  statements  taken as a whole,  presents  fairly,  in all
material respects, the information set forth therein.





/s/ KPMG

SAN FRANCISCO, CALIFORNIA
March 17, 2000