<B>Temple-Inland Taking Downtime, Sees Tough Quarter</B>

Temple-Inland Inc. reported that fourth quarter operating earnings in the building products and paper groups continue to be adversely effected by the slowdown in the domestic economy and rapidly escalating energy costs.

``This is a difficult environment for our building products and paper operations,'' commented Kenneth Jastrow, II, chairman and CEO, Temple-Inland Inc. ``In the building products group, prices and volumes have fallen in the quarter and downtime is being taken in all product lines to balance inventories with customer orders. In response to weakened box shipments, the paper group is curtailing production by an estimated 115,000 tons in the fourth quarter, including a shutdown of our Ontario, California, linerboard mill for the balance of the year. Domestic pricing for linerboard and boxes continues to be stable, although export markets for linerboard have declined. Higher energy costs are impacting all building products and paper operations.''