-----BEGIN PRIVACY-ENHANCED MESSAGE-----
Proc-Type: 2001,MIC-CLEAR
Originator-Name: webmaster@www.sec.gov
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MIC-Info: RSA-MD5,RSA,
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<SEC-DOCUMENT>0000019520-03-000042.txt : 20031231
<SEC-HEADER>0000019520-03-000042.hdr.sgml : 20031231
<ACCEPTANCE-DATETIME>20031231152442
ACCESSION NUMBER:		0000019520-03-000042
CONFORMED SUBMISSION TYPE:	4
PUBLIC DOCUMENT COUNT:		1
CONFORMED PERIOD OF REPORT:	20031229
FILED AS OF DATE:		20031231

ISSUER:		

	COMPANY DATA:	
		COMPANY CONFORMED NAME:			CHATTEM INC
		CENTRAL INDEX KEY:			0000019520
		STANDARD INDUSTRIAL CLASSIFICATION:	PHARMACEUTICAL PREPARATIONS [2834]
		IRS NUMBER:				620156300
		STATE OF INCORPORATION:			TN
		FISCAL YEAR END:			1130

	BUSINESS ADDRESS:	
		STREET 1:		1715 W 38TH ST
		CITY:			CHATTANOOGA
		STATE:			TN
		ZIP:			37409
		BUSINESS PHONE:		4238214571

	MAIL ADDRESS:	
		STREET 1:		1715 W 38TH ST
		CITY:			CHATTANOOGA
		STATE:			TN
		ZIP:			37409

	FORMER COMPANY:	
		FORMER CONFORMED NAME:	CHATTEM DRUG & CHEMICAL CO
		DATE OF NAME CHANGE:	19790111

REPORTING-OWNER:	

	OWNER DATA:	
		COMPANY CONFORMED NAME:			TAYLOR A ALEXANDER II
		CENTRAL INDEX KEY:			0001156153

	FILING VALUES:
		FORM TYPE:		4
		SEC ACT:		1934 Act
		SEC FILE NUMBER:	000-05905
		FILM NUMBER:		031080501

	BUSINESS ADDRESS:	
		STREET 1:		4080 JENKINS ROAD
		CITY:			CHATTANGOOGA
		STATE:			TN
		ZIP:			37421
		BUSINESS PHONE:		4235103000

	MAIL ADDRESS:	
		STREET 1:		4080 JENKINS ROAD
		CITY:			CHATTANOOGA
		STATE:			TN
		ZIP:			31421
</SEC-HEADER>
<DOCUMENT>
<TYPE>4
<SEQUENCE>1
<FILENAME>tay110.xml
<TEXT>
<XML>
<?xml version="1.0"?>
<ownershipDocument>
    <schemaVersion>X0201</schemaVersion>

    <documentType>4</documentType>
	<periodOfReport>2003-12-29</periodOfReport>
	<notSubjectToSection16>0</notSubjectToSection16>
    <issuer>
        <issuerCik>0000019520</issuerCik>
        <issuerName>CHATTEM INC</issuerName>
        <issuerTradingSymbol>CHTT</issuerTradingSymbol>
	</issuer>
	<reportingOwner>
        <reportingOwnerId>
            <rptOwnerCik>0001156153</rptOwnerCik>
            <rptOwnerName>TAYLOR A ALEXANDER II</rptOwnerName>
        </reportingOwnerId>
        <reportingOwnerAddress>
            <rptOwnerStreet1>4080 JENKINS ROAD</rptOwnerStreet1>
            <rptOwnerStreet2></rptOwnerStreet2>
            <rptOwnerCity>CHATTANOOGA</rptOwnerCity>
            <rptOwnerState>TN</rptOwnerState>
            <rptOwnerZipCode>31421</rptOwnerZipCode>
            <rptOwnerStateDescription></rptOwnerStateDescription>
        </reportingOwnerAddress>
            <reportingOwnerRelationship>
			<isDirector>1</isDirector>
			<isOfficer>1</isOfficer>
			<isTenPercentOwner>0</isTenPercentOwner>
			<isOther>0</isOther>
			<officerTitle>President and COO</officerTitle>
		</reportingOwnerRelationship>
	</reportingOwner>
	<nonDerivativeTable>
		<nonDerivativeTransaction>
			<securityTitle>
				<value>Common Shares</value>
			</securityTitle>
			<transactionDate>
				<value>2003-12-29</value>
			</transactionDate>
			<deemedExecutionDate>
			</deemedExecutionDate>
			<transactionCoding>
				<transactionFormType>4</transactionFormType>
				<transactionCode>G</transactionCode>
				<equitySwapInvolved>0</equitySwapInvolved>
			</transactionCoding>
			<transactionAmounts>
				<transactionShares>
					<value>6250</value>
				</transactionShares>
				<transactionPricePerShare>
					<value>0</value>
				</transactionPricePerShare>
				<transactionAcquiredDisposedCode>
					<value>D</value>
				</transactionAcquiredDisposedCode>
			</transactionAmounts>
			<postTransactionAmounts>
				<sharesOwnedFollowingTransaction>
					<value>151350.000</value>
				</sharesOwnedFollowingTransaction>
			</postTransactionAmounts>
			<ownershipNature>
				<directOrIndirectOwnership>
					<value>D</value>
				</directOrIndirectOwnership>
				<natureOfOwnership>
					<value/>
				</natureOfOwnership>
			</ownershipNature>
		</nonDerivativeTransaction>
		<nonDerivativeHolding>
			<securityTitle>
				<value>Common Shares</value>
			</securityTitle>
			<postTransactionAmounts>
				<sharesOwnedFollowingTransaction>
					<value>2216.000</value>
				</sharesOwnedFollowingTransaction>
			</postTransactionAmounts>
			<ownershipNature>
				<directOrIndirectOwnership>
					<value>I</value>
				</directOrIndirectOwnership>
				<natureOfOwnership>
					<value>By 401(k)</value>
				</natureOfOwnership>
			</ownershipNature>
		</nonDerivativeHolding>
		<nonDerivativeHolding>
			<securityTitle>
				<value>Common Shares</value>
			</securityTitle>
			<postTransactionAmounts>
				<sharesOwnedFollowingTransaction>
					<value>420.000</value>
				</sharesOwnedFollowingTransaction>
			</postTransactionAmounts>
			<ownershipNature>
				<directOrIndirectOwnership>
					<value>I</value>
				</directOrIndirectOwnership>
				<natureOfOwnership>
					<value>By Daughter</value>
					<footnoteId id="F1"/>
				</natureOfOwnership>
			</ownershipNature>
		</nonDerivativeHolding>
		<nonDerivativeHolding>
			<securityTitle>
				<value>Common Shares</value>
			</securityTitle>
			<postTransactionAmounts>
				<sharesOwnedFollowingTransaction>
					<value>12000.000</value>
				</sharesOwnedFollowingTransaction>
			</postTransactionAmounts>
			<ownershipNature>
				<directOrIndirectOwnership>
					<value>I</value>
				</directOrIndirectOwnership>
				<natureOfOwnership>
					<value>By IRA</value>
				</natureOfOwnership>
			</ownershipNature>
		</nonDerivativeHolding>
		<nonDerivativeHolding>
			<securityTitle>
				<value>Common Shares</value>
			</securityTitle>
			<postTransactionAmounts>
				<sharesOwnedFollowingTransaction>
					<value>1830.000</value>
				</sharesOwnedFollowingTransaction>
			</postTransactionAmounts>
			<ownershipNature>
				<directOrIndirectOwnership>
					<value>I</value>
				</directOrIndirectOwnership>
				<natureOfOwnership>
					<value>By Son</value>
					<footnoteId id="F1"/>
				</natureOfOwnership>
			</ownershipNature>
		</nonDerivativeHolding>
		<nonDerivativeHolding>
			<securityTitle>
				<value>Common Shares</value>
			</securityTitle>
			<postTransactionAmounts>
				<sharesOwnedFollowingTransaction>
					<value>3000.000</value>
				</sharesOwnedFollowingTransaction>
			</postTransactionAmounts>
			<ownershipNature>
				<directOrIndirectOwnership>
					<value>I</value>
				</directOrIndirectOwnership>
				<natureOfOwnership>
					<value>By Wife</value>
				</natureOfOwnership>
			</ownershipNature>
		</nonDerivativeHolding>
	</nonDerivativeTable>
	<derivativeTable>
		<derivativeHolding>
			<securityTitle>
				<value>1998 Stock Option (Right to Buy)</value>
			</securityTitle>
			<conversionOrExercisePrice>
				<value>4.9350</value>
			</conversionOrExercisePrice>
			<exerciseDate>
				<value>2002-04-26</value>
				<footnoteId id="F2"/>
			</exerciseDate>
			<expirationDate>
				<value>2011-04-26</value>
			</expirationDate>
			<underlyingSecurity>
				<underlyingSecurityTitle>
					<value>Common Shares</value>
				</underlyingSecurityTitle>
				<underlyingSecurityShares>
					<value>217600.00</value>
				</underlyingSecurityShares>
			</underlyingSecurity>
			<postTransactionAmounts>
				<sharesOwnedFollowingTransaction>
					<value>217600.00</value>
				</sharesOwnedFollowingTransaction>
			</postTransactionAmounts>
			<ownershipNature>
				<directOrIndirectOwnership>
					<value>D</value>
				</directOrIndirectOwnership>
				<natureOfOwnership>
					<value/>
				</natureOfOwnership>
			</ownershipNature>
		</derivativeHolding>
		<derivativeHolding>
			<securityTitle>
				<value>2003 Stock Option Plan  (right to buy)</value>
			</securityTitle>
			<conversionOrExercisePrice>
				<value>14.5000</value>
			</conversionOrExercisePrice>
			<exerciseDate>
				<value>2004-05-29</value>
				<footnoteId id="F2"/>
			</exerciseDate>
			<expirationDate>
				<value>2013-05-29</value>
			</expirationDate>
			<underlyingSecurity>
				<underlyingSecurityTitle>
					<value>Common Shares</value>
				</underlyingSecurityTitle>
				<underlyingSecurityShares>
					<value>125000.00</value>
				</underlyingSecurityShares>
			</underlyingSecurity>
			<postTransactionAmounts>
				<sharesOwnedFollowingTransaction>
					<value>125000.00</value>
				</sharesOwnedFollowingTransaction>
			</postTransactionAmounts>
			<ownershipNature>
				<directOrIndirectOwnership>
					<value>D</value>
				</directOrIndirectOwnership>
				<natureOfOwnership>
					<value/>
				</natureOfOwnership>
			</ownershipNature>
		</derivativeHolding>
		<derivativeHolding>
			<securityTitle>
				<value>Call option (obligation to sell)</value>
				<footnoteId id="F3"/>
			</securityTitle>
			<conversionOrExercisePrice>
				<value>28.9355</value>
			</conversionOrExercisePrice>
			<exerciseDate>
				<value>2003-10-03</value>
			</exerciseDate>
			<expirationDate>
				<value>2003-10-03</value>
			</expirationDate>
			<underlyingSecurity>
				<underlyingSecurityTitle>
					<value>Common Shares</value>
				</underlyingSecurityTitle>
				<underlyingSecurityShares>
					<value>25000.00</value>
				</underlyingSecurityShares>
			</underlyingSecurity>
			<postTransactionAmounts>
				<sharesOwnedFollowingTransaction>
					<value>2.00</value>
				</sharesOwnedFollowingTransaction>
			</postTransactionAmounts>
			<ownershipNature>
				<directOrIndirectOwnership>
					<value>D</value>
				</directOrIndirectOwnership>
				<natureOfOwnership>
					<value/>
				</natureOfOwnership>
			</ownershipNature>
		</derivativeHolding>
		<derivativeHolding>
			<securityTitle>
				<value>Put option (right to sell)</value>
				<footnoteId id="F3"/>
			</securityTitle>
			<conversionOrExercisePrice>
				<value>12.0565</value>
			</conversionOrExercisePrice>
			<exerciseDate>
				<value>2003-10-03</value>
			</exerciseDate>
			<expirationDate>
				<value>2003-10-03</value>
			</expirationDate>
			<underlyingSecurity>
				<underlyingSecurityTitle>
					<value>Common Shares</value>
				</underlyingSecurityTitle>
				<underlyingSecurityShares>
					<value>25000.00</value>
				</underlyingSecurityShares>
			</underlyingSecurity>
			<postTransactionAmounts>
				<sharesOwnedFollowingTransaction>
					<value>2.00</value>
				</sharesOwnedFollowingTransaction>
			</postTransactionAmounts>
			<ownershipNature>
				<directOrIndirectOwnership>
					<value>D</value>
				</directOrIndirectOwnership>
				<natureOfOwnership>
					<value/>
				</natureOfOwnership>
			</ownershipNature>
		</derivativeHolding>
	</derivativeTable>
	<footnotes>
		<footnote id="F1">Shares held by reporting person as custodian under the Tennessee Uniform Transfers to Minors Act.

</footnote>
		<footnote id="F2">Options vest in four equal annual installments beginning on the first exercise date.

</footnote>
		<footnote id="F3">The reporting person entered into a zero-cost collar arrangement pursuant to which he wrote a covered call option and purchased a put option.  Only one of the options can be in the money on the expiration date, at which time the in-the-money option will be exercised, and the other option will expire.  If neither option is in the money on the expiration date, both options will expire.</footnote>
	</footnotes>
	<remarks>
	</remarks>
	<ownerSignature>
		<signatureName>/s/ Taylor  II, A. Alexander</signatureName>
		<signatureDate>2003-12-31</signatureDate>
	</ownerSignature>
</ownershipDocument>

</XML>
</TEXT>
</DOCUMENT>
</SEC-DOCUMENT>
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