1

Third Quarter 2005 Summary

Volumes mixed

Pricing pressures on containerboard,

corrugated boxes, uncoated papers and pulp

Mill operations continued to improve

Energy costs increased due to Hurricanes

Katrina and Rita

Favorable impact from higher land sales

Volumes mixed

Pricing pressures on containerboard,

corrugated boxes, uncoated papers and pulp

Mill operations continued to improve

Energy costs increased due to Hurricanes

Katrina and Rita

Favorable impact from higher land sales

Exhibit 99.2

2

Diluted EPS from Continuing Operations

and Before Special Items

*

A

reconciliation

to

GAAP

EPS

is

available

at

www.internationalpaper.com

under

Investors

.04

.12

.13

.15

.13

.33

.27

.29

.14

.20

.21

.14

.12

.41

.32

.42

.36

2001

2002

2003

2004

2005

1Q

1Q

3Q

1Q

3Q

2Q

4Q

2Q

4Q

2Q

3Q

4Q

1Q

2Q

3Q

4Q

1Q

2Q

.31

.29

3Q

3

3Q’05 vs. 2Q’05

$0.00

$0.10

$0.20

$0.30

$0.40

2Q'05

Price

Volume /

Downtime

Cost/Mix

Raw

Material

Land

Sales

Real

Estate

Tax

Other

3Q'05

$.01

EPS $ / Share

$.31

($.04)

Wood Costs     $.01     

Energy            ($.05)  

Packaging      ($.05)           

Uncoated       ($.02) 

Wood Prod.    ($.01) 

Coated            $.02

EPS from cont. ops before special items

($.06)

$.29

$.02

$.08

2Q05 Tax rate 31%  

3Q05 Tax rate 33%

($.01)

($.06)

$.04

Cost –

US Mills   $.04     

Cost –

Other      ($.01)

Mix                      ($.02) 

4

9M’05 vs. 9M’04

$0.00

$0.20

$0.40

$0.60

$0.80

$1.00

$1.20

$1.40

$1.60

9M'04

Price

Volume

Cost/Mix

Raw

Material

Land

Sales

Real

Estate

Corp.

Interest

Tax

Other

9M'05

$.02

EPS $ / Share

$.84

($.29)

($.57)

EPS from cont. ops before special items

$.70

$.96

$.02

$.26

($.17)

($.04)

$.06

$.13

Wood Costs      ($.21)

Energy               ($.20)  

Caustic Soda    ($.11)

Other                 ($.05)

Paper             $.49                   

Packaging      $.25 

Other            ($.04)

2004 Tax rate 30%  

2005 Tax rate 28%

Downtime ($.28)                   

Volume     ($.01)

Pension         ($.14)                  

Supply Chain ($.07)      

Other              $.04

5

Carter Holt Harvey

•

Operations

3

--

•

Tax Reserve Adjustment

for Audit Settlement                       (83)        (0.16)

•

Pre-Tax Gain on Sale                     29

0.06

•

Tax Benefit on Sale

332           0.65

Total

281

$0.55

Carter Holt Harvey

•

Operations

3

--

•

Tax Reserve Adjustment

for Audit Settlement                       (83)        (0.16)

•

Pre-Tax Gain on Sale                     29

0.06

•

Tax Benefit on Sale

332           0.65

Total

281

$0.55

$MM

Diluted EPS

Discontinued Operations 3Q’05

6

Earnings from Continuing Operations

and Before Special Items

$0.29

Special Items

1.19

Earnings from Continuing Operations

1.48

Discontinued Operations

0.55

Net Earnings

$2.03

Earnings from Continuing Operations

and Before Special Items

$0.29

Special Items

1.19

Earnings from Continuing Operations

1.48

Discontinued Operations

0.55

Net Earnings

$2.03

Reconciliation to 3Q’05

Diluted

Earnings Per Share

Diluted EPS

7

Before Special Items

Q1

223

(46)

(2)

175

21%

488.9

0.36

Q2

225

(70)

(3)

152

31%

487.4

0.31

Q3

213

(71)

(3)

139³

33%

507.1

0.29

Special Items

Q1

(103)

36

-

(67)

35%

488.9

(0.14)

Q2

34

(95)

-

(61)

NM

487.4

(0.12)

Q3

159

444

-

603

NM

507.1

1.19

Earnings from Continuing Operations

Q1

120

(10)

(2)

108

8%

488.9

0.22

Q2

259

(165)

(3)

91

64%

487.4

0.19

Q3

372

373

(3)

742³

NM

507.1

1.48

2005 Earnings from Continuing

Operations

Pre-Tax 

Tax

MI

Net

ETR         Average

Diluted

Shares²

EPS¹

$ MM

MM Shares

$/Share

$ MM

$ MM

$ MM

MI –

Minority Interest;  Net –

Net Income;  ETR –

Effective Tax Rate; EPS –

Earnings per Share; NM –

Not Meaningful

1

A reconciliation to GAAP EPS is available at www.internationalpaper.com

under Investor Information

2

Assuming dilution

3

Does not include impact of additional $7 million of income related to dilutive securities