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On the basis of the Gaussian vertical backscatter (GVB) model, this paper proposes a new method for extracting pine forest height and forest underlying digital elevation model (FUDEM) from multi-baseline (MB) P-band polarimetric-interferometric radar (PolInSAR) data. Considering the linear ground-to-volume relationship, the GVB is linked to the interferometric coherences of different polarizations. Subsequently, an inversion algorithm, weighted complex least squares adjustment (WCLSA), is formulated, including the mathematical model, the stochastic model and the parameter estimation method. The WCLSA method can take full advantage of the redundant observations, adjust the contributions of different observations and avoid null ground-to-volume ratio (GVR) assumption. The simulated experiment demonstrates that the WCLSA method is feasible to estimate the pure ground and volume scattering contributions. Finally, the WCLSA method is applied to E-SAR P-band data acquired over Krycklan Catchment covered with mixed pine forest. It is shown that the FUDEM highly agrees with those derived by LiDAR, with a root mean square error (RMSE) of 3.45 m, improved by 23.0% in comparison to the three-stage method. The difference between the extracted forest height and LiDAR forest height is assessed with a RMSE of 1.45 m, improved by 37.5% and 26.0%, respectively, for model and inversion aspects in comparison to three-stage inversion based on random volume over ground (RVoG) model. [ABSTRACT FROM AUTHOR]