SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D. C. 20549
FORM 10-Q
(Mark One)
[X ] Quarterly Report Pursuant to Section 13 or 15(d) of the
Securities Exchange Act of 1934 for the Quarterly Period
Ended July 1, 1995
OR
Transition Report Pursuant to Section 13 or 15(d) of the
[ ] Securities Exchange Act of 1934 for the Transition Period
From ___________________________ to ____________________________
Commission File Number 1-8634
Temple-Inland Inc.
(Exact name of registrant as specified in its charter)
Delaware 75-1903917
(State or other jurisdiction of (I.R.S. Employer
incorporation or organization) Identification Number)
303 South Temple Drive, Diboll, Texas 75941
(Address of principal executive offices) (Zip Code)
(409) 829-2211
(Registrant's telephone number, including area code)
Not Applicable
(Former name, former address and former fiscal year,
if changed since last report.)
Indicate whether the registrant (1) has filed all reports required
to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934
during the preceding 12 months (or for such shorter period that the
registrant was required to file such reports), and (2) has been subject to
the filing requirements for the past 90 days.
Yes X No_____
Indicate the number of shares outstanding of each of the issuer's
classes of common stock, as of the latest practicable date:
Number of common shares outstanding
Class as of July 1, 1995
Common Stock (par
value $1.00 per share) 56,114,437
The Exhibit Index appears on page 19 of this report.
<PAGE>2
PART I. FINANCIAL INFORMATION
FINANCIAL STATEMENTS
Summarized Statements of Income
Parent Company (Temple-Inland Inc.)
Unaudited
Second Quarter First Six Months
1995 1994 1995 1994
(in millions)
Revenues
Net sales $ 697.5 $ 573.5 $ 1,358.3 $ 1,115.3
Financial services earnings 24.0 14.4 38.2 31.4
721.5 587.9 1,396.5 1,146.7
Costs and Expenses
Cost of sales 530.2 483.7 1,040.3 945.7
Selling and administrative 62.6 49.9 122.2 97.3
592.8 533.6 1,162.5 1,043.0
Operating Income 128.7 54.3 234.0 103.7
Interest - net (17.2) (16.3) (33.6) (32.2)
Other .6 1.1 1.4 1.3
Income Before Taxes 112.1 39.1 201.8 72.8
Taxes on income 39.2 12.5 70.6 23.3
Net Income $ 72.9 $ 26.6 $ 131.2 $ 49.5
See notes to consolidated financial statements.
<PAGE>3
Summarized Balance Sheets
Parent Company (Temple-Inland Inc.)
Unaudited
July 1, December 31,
1995 1994
(in millions)
ASSETS
Current Assets
Cash $ 12.3 $ 13.0
Receivables, less allowances of
$8.8 million in 1995 and $8.4
million in 1994 339.1 244.0
Inventories:
Work in process and finished goods 100.4 84.4
Raw materials 223.6 183.8
324.0 268.2
Prepaid expenses 12.3 15.4
Total current assets 687.7 540.6
Investment in Financial Services 617.3 554.8
Property and Equipment
Buildings 393.2 392.0
Machinery and equipment 2,874.6 2,843.8
Less allowances for depreciation and
amortization (1,666.6) (1,593.2)
1,601.2 1,642.6
Construction in progress 629.9 516.1
2,231.1 2,158.7
Timber and timberlands--less depletion 441.3 431.2
Land 29.5 31.1
Total property and equipment 2,701.9 2,621.0
Other Assets 160.6 147.2
Total Assets $ 4,167.5 $ 3,863.6
See notes to consolidated financial statements.
<PAGE>4
Summarized Balance Sheets - Continued
Parent Company (Temple-Inland Inc.)
Unaudited
July 1, December 31,
1995 1994
(in millions)
LIABILITIES AND SHAREHOLDERS' EQUITY
Current Liabilities
Accounts payable and accrued expenses $ 286.3 $ 316.3
Employee compensation and benefits 26.4 25.0
Short-term borrowings 41.2 38.4
Current portion of long-term debt 110.0 14.1
Total current liabilities 463.9 393.8
Long-Term Debt 1,419.3 1,315.8
Deferred Income Taxes 250.3 229.2
Postretirement Benefits 128.9 125.5
Other Liabilities 17.0 16.6
Shareholders' Equity 1,888.1 1,782.7
Total Liabilities and Shareholders' Equity $ 4,167.5 $ 3,863.6
See notes to consolidated financial statements.
<PAGE>5
Summarized Statements of Cash Flows
Parent Company (Temple-Inland Inc.)
Unaudited
First Six Months
1995 1994
(in millions)
Cash Provided by (Used for) Operations
Net income $ 131.2 $ 49.5
Adjustments to reconcile net income to net cash:
Depreciation and depletion 103.5 98.4
Deferred taxes 21.1 6.6
Unremitted earnings of affiliates (24.6) (22.0)
Receivables (94.4) (46.2)
Inventories (55.8) (1.8)
Prepaid expenses 2.9 (9.9)
Accounts payable and accrued expenses (27.9) (22.7)
Other (8.3) (11.7)
47.7 40.2
Cash Provided by (Used for) Investments
Capital expenditures (187.6) (226.0)
Sale of property and equipment, net 6.3 3.2
Acquisitions, net (1.6) (64.1)
Capital contribution to financial services (35.0) -
(217.9) (286.9)
Cash Provided by (Used for) Financing
Change in debt 199.1 269.6
Issuance of common stock for stock plans 1.1 7.9
Purchase of stock for treasury (.2) (.3)
Cash dividends paid to shareholders (30.3) (27.8)
169.7 249.4
Effect of exchange rate changes on cash (.2) -
Net increase (decrease) in cash and cash
equivalents (.7) 2.7
Cash and cash equivalents at beginning
of period 13.0 8.6
Cash and cash equivalents at end of period $ 12.3 $ 11.3
See notes to consolidated financial statements.
<PAGE>6
Summarized Statements of Income
Temple-Inland Financial Services
Unaudited
Second Quarter First Six Months
1995 1994 1995 1994
(in millions)
Interest income
Mortgage-backed and investment
securities $ 52.5 $ 47.3 $ 103.1 $ 96.0
Loans receivable and mortgage
loans held for sale 90.7 55.3 171.5 110.7
Assisted assets 6.1 7.4 12.2 16.0
Other earning assets 6.1 6.0 11.6 20.8
Total interest income 155.4 116.0 298.4 243.5
Interest expense
Deposits 78.7 60.1 152.6 119.4
Borrowed funds 31.2 17.7 60.3 43.3
Total interest expense 109.9 77.8 212.9 162.7
Net interest income 45.5 38.2 85.5 80.8
Provision for loan losses 3.7 .5 9.0 1.4
Net interest income after provision for
loan losses 41.8 37.7 76.5 79.4
Noninterest income
Loan servicing fees 10.6 7.6 20.4 15.4
Loan origination and
marketing 1.6 5.0 2.8 12.9
Other 23.9 23.0 43.8 44.3
36.1 35.6 67.0 72.6
Noninterest expense
Compensation and benefits 23.3 28.2 45.4 58.7
Other 30.6 30.7 59.9 61.9
Total noninterest
expense 53.9 58.9 105.3 120.6
Income before taxes 24.0 14.4 38.2 31.4
Taxes on income 7.9 4.6 13.6 9.4
Net income $ 16.1 $ 9.8 $ 24.6 $ 22.0
See notes to consolidated financial statements.
<PAGE>7
Summarized Balance Sheets
Temple-Inland Financial Services
Unaudited
July 1, December 31,
1995 1994
(in millions)
ASSETS
Cash and cash equivalents $ 331.0 $ 301.8
Mortgage loans held for sale 134.8 130.4
Loans receivable 4,551.6 3,674.8
Mortgage-backed and investment
securities 3,616.7 3,964.2
Covered assets 356.3 418.1
Other assets 543.1 518.4
TOTAL ASSETS $ 9,533.5 $ 9,007.7
LIABILITIES
Deposits $ 6,558.0 $ 6,598.3
Securities sold under repurchase
agreements 1,737.8 1,365.2
Advances from Federal Home Loan Bank 154.7 154.5
Other borrowings 98.4 81.7
Other liabilities 377.9 265.1
TOTAL LIABILITIES 8,926.8 8,464.8
SHAREHOLDER'S EQUITY 606.7 542.9
TOTAL LIABILITIES AND SHAREHOLDERS'
EQUITY $ 9,533.5 $ 9,007.7
See notes to consolidated financial statements.
<PAGE>8
Summarized Statements of Cash Flows
Temple-Inland Financial Services
Unaudited
First Six Months
1995 1994
(in millions)
Cash Provided by (Used for) Operations
Net income $ 24.6 $ 22.0
Adjustments to reconcile net income
to net cash:
Amortization, accretion and depreciation 11.9 8.8
Provision for loan losses 9.0 1.4
Receivable from FDIC 9.3 39.1
Mortgage loans held for sale (4.4) 384.3
Gain on sales of mortgage-backed and
Investment securities available-for-sale (2.1) (.4)
Other 11.6 (120.2)
59.9 335.0
Cash Provided by (Used for) Investments
Purchases of mortgage-backed and investment
securities held-to-maturity - (235.3)
Purchases of mortgage-backed and investment
securities available-for-sale (53.7) -
Maturities of mortgage-backed and investment
securities held-to-maturity 198.1 468.3
Maturities of mortgage-backed and investment
securities available-for-sale 11.0 -
Proceeds from sales of loans and mortgage-
backed and investment securities available-
for-sale 192.6 .5
Loans originated net of principal collected (889.0) (58.7)
Reduction in covered assets 88.3 141.3
Savings bank acquisition - 200.2
Other (37.4) 9.2
(490.1) 525.5
Cash Provided by (Used for) Financing
Net increase (decrease) in deposits (37.6) (47.1)
Net increase (decrease) in securities sold
under repurchase agreements and short-term
borrowings 372.7 (346.4)
Change in debt 16.6 (15.5)
Capital contribution from parent 35.0 -
Other 72.7 70.0
459.4 (339.0)
Net increase in cash and cash equivalents 29.2 521.5
Cash and cash equivalents at beginning of period 301.8 156.3
Cash and cash equivalents at end of period $ 331.0 $ 677.8
See notes to consolidated financial statements.
<PAGE>9
Consolidated Statements of Income
Temple-Inland Inc. and Subsidiaries
Unaudited
Second Quarter First Six Months
1995 1994 1995 1994
(In millions, except for per share data)
Revenues
Manufacturing net sales $ 697.5 $ 573.5 $ 1,358.3 $ 1,115.3
Financial Services revenues 191.5 151.6 365.4 316.1
889.0 725.1 1,723.7 1,431.4
Costs and Expenses
Manufacturing costs and
expenses 592.8 533.6 1,162.5 1,043.0
Financial Services expenses 167.5 137.2 327.2 284.7
760.3 670.8 1,489.7 1,327.7
Operating Income 128.7 54.3 234.0 103.7
Parent Company Interest
- net (17.2) (16.3) (33.6) (32.2)
Other .6 1.1 1.4 1.3
Income Before Taxes 112.1 39.1 201.8 72.8
Taxes on Income 39.2 12.5 70.6 23.3
Net Income $ 72.9 $ 26.6 $ 131.2 $ 49.5
Earnings per share $1.30 $ .48 $2.34 $ .89
Dividends Paid Per Share of
Common Stock $ .27 $ .25 $ .54 $ .50
Weighted Average Shares
Outstanding 56.1 55.8 56.1 55.8
See notes to consolidated financial statements.
<PAGE>10
Consolidated Balance Sheets
Temple-Inland Inc. and Subsidiaries
July 1, 1995
Unaudited
Parent Financial
Company Services Consolidated
(in millions)
ASSETS
Cash and cash equivalents $ 12.3 $ 331.0 $ 343.3
Mortgage loans held for sale - 134.8 134.8
Loans receivable - 4,551.6 4,551.6
Investments - 3,616.7 3,616.7
Covered assets - 356.3 356.3
Trade and other receivables 339.1 - 339.1
Inventories 324.0 - 324.0
Property & equipment 2,701.9 64.3 2,766.2
Other assets 172.9 478.8 597.1
Investment in affiliates 617.3 - -
TOTAL ASSETS $ 4,167.5 $ 9,533.5 $13,029.1
LIABILITIES
Deposits $ - $ 6,558.0 $ 6,558.0
Securities sold under repurchase
agreements and Federal Home
Loan Bank advances - 1,892.5 1,892.5
Other liabilities 480.9 377.9 848.3
Long-term debt 1,419.3 98.4 1,517.7
Deferred income taxes 250.3 - 195.6
Postretirement benefits 128.9 - 128.9
TOTAL LIABILITIES $ 2,279.4 $ 8,926.8 11,141.0
SHAREHOLDERS' EQUITY
Preferred stock - par value $1 per share:
authorized 25,000,000 shares; none issued -
Common stock - par value $1 per share:
authorized 200,000,000 shares; issued
61,389,552 shares including shares held
in the treasury 61.4
Additional paid-in capital 304.4
Translation and other adjustments (8.1)
Retained earnings 1,657.6
2,015.3
Cost of shares held in the treasury:
5,275,115 shares (127.2)
TOTAL SHAREHOLDERS' EQUITY 1,888.1
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY $13,029.1
See the notes to the consolidated financial statements.
<PAGE>11
Consolidated Balance Sheets
Temple-Inland Inc. and Subsidiaries
December 31, 1994
Unaudited
Parent Financial
Company Services Consolidated
(in millions)
ASSETS
Cash and cash equivalents $ 13.0 $ 301.8 $ 314.8
Mortgage loans held for sale - 130.4 130.4
Loans receivable - 3,674.8 3,674.8
Investments - 3,964.2 3,964.2
Covered assets - 418.1 418.1
Trade and other receivables 244.0 - 244.0
Inventories 268.2 - 268.2
Property & equipment 2,621.0 49.7 2,670.7
Other assets 162.6 468.7 565.5
Investment in affiliates 554.8 - -
TOTAL ASSETS $ 3,863.6 $ 9,007.7 $12,250.7
LIABILITIES
Deposits $ - $ 6,598.3 $ 6,598.3
Securities sold under repurchase
agreements and Federal Home
Loan Bank advances - 1,519.7 1,519.7
Other liabilities 410.4 265.1 663.5
Long-term debt 1,315.8 81.7 1,397.5
Deferred income taxes 229.2 - 163.5
Postretirement benefits 125.5 - 125.5
TOTAL LIABILITIES $ 2,080.9 $ 8,464.8 10,468.0
SHAREHOLDERS' EQUITY
Preferred stock - par value $1 per share:
authorized 25,000,000 shares; none issued -
Common stock - par value $1 per share:
authorized 200,000,000 shares; issued
61,389,552 shares including shares held
in the treasury 61.4
Additional paid-in capital 304.3
Translation and other adjustments (10.6)
Retained earnings 1,556.6
1,911.7
Cost of shares held in the treasury:
5,370,976 shares (129.0)
TOTAL SHAREHOLDERS' EQUITY 1,782.7
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY $12,250.7
See the notes to the consolidated financial statements.
<PAGE>12
Consolidated Statements of Cash Flows
Temple-Inland Inc. and Subsidiaries
Unaudited
First Six Months
1995 1994
(in millions)
Cash Provided by (Used for) Operations
Net income $ 131.2 $ 49.5
Adjustments to reconcile net income to
net cash:
Depreciation and depletion 107.4 102.3
Amortization and accretion 8.0 4.9
Deferred taxes 32.1 15.9
Receivable from FDIC 9.3 39.1
Trade and other receivables (94.4) (46.2)
Inventories (55.8) (1.8)
Mortgage loans held for sale (4.4) 384.3
Other (25.8) (172.8)
107.6 375.2
Cash Provided by (Used for) Investments
Capital expenditures (205.4) (233.5)
Proceeds from sale of property and equipment 7.3 3.4
Purchase of mortgage-backed and investment
securities held-to-maturity - (235.3)
Purchases of mortgage-backed and investment
securities available-for-sale (53.7) -
Maturities of mortgage-backed and investment
securities held-to-maturity 198.1 468.3
Maturities of mortgage-backed and investment
securities available-for-sale 11.0 -
Proceeds from sales of mortgage-backed and
investment securities available-for-sale 192.6 .5
Loans originated net of principal collected (889.0) (58.7)
Reduction in covered assets 88.3 141.3
Savings bank acquisition - 200.2
Manufacturing acquisitions, net (1.6) (64.1)
Other (20.6) 16.5
(673.0) 238.6
Cash Provided by (Used for) Financing
Additions to debt 252.6 272.3
Payments of debt (36.9) (18.2)
Net increase (decrease) in short-term
borrowings and repurchase agreements 372.7 (346.4)
Cash dividends paid to shareholders (30.3) (27.8)
Net increase (decrease) in deposits (37.6) (47.1)
Other 73.6 77.6
594.1 (89.6)
Effect of exchange rate changes on cash and
cash equivalents (.2) -
Net increase (decrease) in cash and
cash equivalents 28.5 524.2
Cash and cash equivalents at beginning of period 314.8 164.9
Cash and cash equivalents at end of period $ 343.3 $ 689.1
See notes to consolidated financial statements.
<PAGE>13
TEMPLE-INLAND INC. AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
NOTE A - BASIS OF PRESENTATION
The accompanying unaudited interim consolidated financial statements have
been prepared in accordance with generally accepted accounting principles
for interim financial information and with the instructions to Form 10-Q and
Article 10 of Regulation S-X. Accordingly, they do not include all of the
information and footnotes required by generally accepted accounting
principles for complete financial statements. However, because certain
assets and liabilities are in separate corporate entities, the consolidated
assets are not available to satisfy all consolidated liabilities. In the
opinion of management, all adjustments (consisting only of normal accruals)
considered necessary for a fair presentation have been included. For
further information, refer to the consolidated financial statements and
footnotes included in, or incorporated into, Temple-Inland Inc.'s (the
"Company") Annual Report on Form 10-K for the fiscal year ended December 31,
1994.
The consolidated financial statements include the accounts of Temple-Inland
Inc. and all subsidiaries in which the Company has more than a 50 percent
equity ownership. All material intercompany amounts and transactions have
been eliminated. Certain amounts have been reclassified to conform with
current year s classification.
Included as an integral part of the consolidated financial statements are
separate summarized financial statements for the Company's primary business
groups.
The Parent Company (Temple-Inland Inc.) summarized financial statements
include the accounts of Temple-Inland Inc. and its manufacturing
subsidiaries with the Financial Services subsidiaries and the 20 percent to
50 percent owned companies being reflected in the financial statements on
the equity basis.
The Temple-Inland Financial Services Group summarized financial statements
include savings bank, mortgage banking and real estate development
activities and insurance operations.
NOTE B - CONTINGENCIES
There are pending against the Company and its subsidiaries lawsuits and
claims arising in the regular course of business.
In the opinion of management, recoveries, if any, by plaintiffs or claimants
that may result from the foregoing litigation and claims will not be
material in relation to the consolidated financial position of the Company
and its subsidiaries.
<PAGE>14
MANAGEMENT'S DISCUSSION AND ANALYSIS
Results of Operations
Results of operations, including information regarding the Company's
principal business segments, are shown below:
Second Quarter First Six Months
1995 1994 1995 1994
(in millions)
Revenues
Corrugated container $ 476.4 $ 353.8 $ 909.8 $ 680.7
Bleached paperboard 92.3 76.0 187.0 145.7
Building products 128.8 137.6 261.5 277.2
Other activities - 6.1 - 11.7
Manufacturing net sales 697.5 573.5 1,358.3 1,115.3
Financial services 191.5 151.6 365.4 316.1
Total revenues $ 889.0 $ 725.1 $ 1,723.7 $ 1,431.4
Income
Corrugated container $ 87.1 $ 17.2 $ 151.9 $ 26.3
Bleached paperboard 8.1 (8.2) 15.6 (18.4)
Building products 15.3 33.4 39.0 69.6
Other activities - .8 - 1.2
Manufacturing profit 110.5 43.2 206.5 78.7
Financial services 24.0 14.4 38.2 31.4
134.5 57.6 244.7 110.1
Corporate expenses (5.8) (3.3) (10.7) (6.4)
Parent company interest - net (17.2) (16.3) (33.6) (32.2)
Other - net .6 1.1 1.4 1.3
Income before taxes 112.1 39.1 201.8 72.8
Taxes on income (39.2) (12.5) (70.6) (23.3)
Net income $ 72.9 $ 26.6 $ 131.2 $ 49.5
<PAGE>15
Second Quarter 1995 vs. Second Quarter 1994
Second quarter earnings for 1995 totaled $72.9 million, or $1.30 per share,
a 174 percent increase over 1994 second quarter earnings of $26.6 million,
or $.48 per share. Revenues for the period were $889 million, an increase
of 23 percent over the second quarter of last year.
The corrugated container group earned $87.1 million in the quarter, up $69.9
million from the second quarter of 1994. Although the weakening of the U.S.
economy curbed the momentum in corrugated box volume growth, the corrugated
container group reported record earnings in the quarter. Selling prices for
containerboard and corrugated boxes continued to improve in the second
quarter, and the mills achieved record volumes of production. The increase
in earnings for the corrugated container group resulted despite
unprecedented increases in the cost of old corrugated containers (OCC), the
principal raw material used in the Company s recycle operations. Prices for
OCC reached new record levels early in the second quarter, before declining
in June. As a result, this group incurred $30 million in net additional
costs over the 1994 second quarter and $10 million over first quarter
levels.
The bleached paperboard group earned $8.1 million in the second quarter
compared with an $8.2 million loss in the second quarter of 1994. Demand
for most bleached paperboard products remained strong, and selling prices
continued to improve in the second quarter.
The building products group earned $15.3 million in the quarter, down from
the $33.4 million earned in the second quarter last year. Lower demand and
record high fiber costs contributed to the decline in earnings. Solid wood
products were particularly affected by declining prices and high timber
costs.
Temple-Inland Financial Services earned $24.0 million in the quarter, up
$9.6 million from the second quarter last year. This increase in earnings
reflects the group s continuing emphasis on its long-term strategy of
improving the efficiencies within the banking operation, as well as the
positive impact of the current interest rate environment.
<PAGE>16
First Half of 1995 vs. First Half of 1994
Earnings for the first six months of 1995 were $131.2 million, or $2.34 per
share compared with $49.5 million, or $.89 per share for the first half of
last year. Revenues of $1,723.7 billion were up from the 1994 first half of
$1,431.4 billion.
The corrugated container group's earnings of $151.9 million were up 478
percent from last year. Demand for the group s product declined slightly
compared with the same period in 1994. The increase in average selling
prices for containerboard and corrugated boxes contributed to the increase
in earnings with the cost of OCC still at higher prices than in the prior
year.
The bleached paperboard group earned $15.6 million compared with a loss of
$18.4 million in the first half of 1994. Demand for paperboard products
strengthened allowing the group to achieve pricing improvements.
The building products group earned $39.0 million in the first half of 1995
compared with $69.6 million last year. Weakened demand and record high
fiber cost contributed to the decline in earnings.
Earnings for the financial services group were $38.2 million for the period
compared with $31.4 million for last year's comparable period. This
increase was due to the group s long-term strategy of improving the
efficiencies within the banking operations and favorable impact of the
current interest rate environment. The mortgage banking unit also increased
earnings during this period compared with last year, due in part to the
adoption of FASB No. 122 requiring capitalization of certain costs incurred
in acquiring loan servicing that historically had been expensed.
Financial Condition
The Company's financial condition continues to be sound. Internally
generated funds, existing credit facilities and the capacity to issue long-
term debt are sufficient to fund projected capital expenditures, to service
existing debt, to pay dividends and to meet normal working capital
requirements. During the first half of 1995, the Company's debt increased
$199.1 million mainly through issuance of commercial paper and bank debt.
This was used to fund planned capital expenditures in the business units and
contribute additional capital to financial services.
On August 4, 1995, the Board of Directors of the Company announced a
repurchase program pursuant to which the Company is authorized to repurchase
up to 2.5 million shares of its common stock. The repurchase will be
accomplished from time to time through open market or privately negotiated
transactions.
Our savings bank continues to meet all three regulatory requirement formulae
set out under the Financial Institution Reform, Recovery and Enforcement Act
of 1989 ("FIRREA").
<PAGE>17
PART II. OTHER INFORMATION
Item 1. Legal Proceedings.
The information set forth in Note B to Notes to Consolidated
Financial Statements in Part I of this report is incorporated
by reference thereto.
Item 2. Changes in Securities.
Not Applicable.
Item 3. Defaults Upon Senior Securities.
Not Applicable.
Item 4. Submission of Matters to a Vote of Security Holders.
Not Applicable
Item 5. Other Information.
Not Applicable.
Item 6. Exhibits and Reports on Form 8-K.
(a) Exhibits.
Regulation S-K
Exhibit Number
(11) Statement re computation of per share earnings
(b) Reports on Form 8-K. During the six months ended
July 1, 1995, the Company did not file any reports on
Form 8-K.
(27) Financial Data Schedule
<PAGE>18
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned thereunto duly authorized.
TEMPLE-INLAND INC.
(Registrant)
Date: August 9, 1995 By /s/ David H. Dolben
David H. Dolben
Vice President and
Chief Accounting Officer
<PAGE>19
EXHIBIT INDEX
The following is an index of the exhibits filed herewith. The page
reference set forth opposite the description of exhibits included in such
index refer to the pages under the sequential numbering system prescribed by
Rule 0-3(b) under the Securities Exchange Act of 1934.
Regulation S-K
Sequential
Number Exhibit Name Page Number
(11) Statement re computation of 20
per share earnings.
(27) Financial Data Schedule 21
<PAGE>20
EXHIBIT (11)
TEMPLE-INLAND INC. AND SUBSIDIARIES
STATEMENT RE: COMPUTATION OF PER SHARE EARNINGS
(in thousands, except for per share data)
Second Quarter First Six Months
1995 1994 1995 1994
Primary
Average common shares
outstanding 56,098 55,692 56,081 55,639
Net effect of dilutive stock
options based on treasury stock
method using average market
price 12 145 43 175
Weighted average shares
outstanding 56,110 55,837 56,124 55,814
Net income $ 72,936 $ 26,618 $131,226 $ 49,532
Earnings per share $ 1.30 $ .48 $ 2.34 $ .89
Fully Diluted
Average common shares
outstanding 56,098 55,692 56,081 55,639
Net effect of dilutive stock
options based on treasury stock
method using the closing market
price, if higher than average
market price 72 145 73 175
Weighted average shares
outstanding 56,170 55,837 56,154 55,814
Net income $ 72,936 $ 26,618 $131,226 $ 49,532
Earnings per share $ 1.30 $ .48 $ 2.34 $ .89
<TABLE> <S> <C>
<ARTICLE> 5
<LEGEND>
THIS SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION EXTRACTED FROM
CONSOLIDATED BALANCE SHEETS AND CONSOLIDATED INCOME STATEMENTS FOR
TEMPLE-INLAND INC. AND SUBSIDIARIES AND IS QUALIFIED IN ITS ENTIRETY
BY REFERENCE TO SUCH FINANCIAL STATEMENTS.
</LEGEND>
<MULTIPLIER> 1,000,000
<S> <C>
<PERIOD-TYPE> 6-MOS
<FISCAL-YEAR-END> DEC-30-1995
<PERIOD-END> JUL-01-1995
<CASH> 343
<SECURITIES> 0
<RECEIVABLES> 339
<ALLOWANCES> 0
<INVENTORY> 324
<CURRENT-ASSETS> 0
<PP&E> 2766
<DEPRECIATION> 0
<TOTAL-ASSETS> 13029
<CURRENT-LIABILITIES> 0
<BONDS> 1518
<COMMON> 61
0
0
<OTHER-SE> 1827
<TOTAL-LIABILITY-AND-EQUITY> 13029
<SALES> 1358
<TOTAL-REVENUES> 1724
<CGS> 1163
<TOTAL-COSTS> 1490
<OTHER-EXPENSES> 0
<LOSS-PROVISION> 0
<INTEREST-EXPENSE> 34
<INCOME-PRETAX> 202
<INCOME-TAX> 71
<INCOME-CONTINUING> 131
<DISCONTINUED> 0
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> 131
<EPS-PRIMARY> 2.34
<EPS-DILUTED> 2.34
</TABLE>
