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NEWS
RELEASE------------------------------------------------------

FOR IMMEDIATE RELEASE
CONTACT: Chris L. Nines
         (512) 434-5587


    TEMPLE-INLAND INC. TO SELL THIRD PARTY MORTGAGE SERVICING

     AUSTIN, TEXAS, September 17, 2004-As a part of the
previously announced repositioning of the mortgage origination
activities conducted by its wholly-owned subsidiary Guaranty
Residential Lending (GRL), Temple-Inland announced today that GRL
plans to sell its third party mortgage servicing portfolio.  The
sale of this asset will further reduce costs, earnings
volatility, and exposure to changing market conditions.

     On an ongoing basis, these actions are not expected to have
a significant affect on Temple-Inland earnings.  The sale of the
third party mortgage servicing portfolio is expected to be
completed by first half 2005.

     Temple-Inland Inc. is a major manufacturer of corrugated
packaging and building products, with a diversified financial
services operation.  The Company's 2.0 million acres of
forestland are certified as managed in compliance with ISO 14001
and in accordance with the Sustainable Forestry Initiativer (SFI)
program of the American Forest & Paper Association to ensure
forest management is conducted in a scientifically sound and
environmentally sensitive manner.  Temple-Inland's common stock
(TIN) is traded on the New York Stock Exchange and the Pacific
Exchange.  Temple-Inland's address on the World Wide Web is
www.templeinland.com.

     This release contains forward-looking statements that
     involve risks and uncertainties.  The actual results of
     Temple-Inland may differ significantly from the results
     discussed in the forward-looking statements.  Factors
     that might cause such differences include general
     economic, market, or business conditions; the
     opportunities (or lack thereof) that may be presented
     to and pursued by Temple-Inland; the availability and
     price of raw materials; competitive actions by other
     companies; changes in laws or regulations; the accuracy
     of judgments and estimates concerning the integration
     of acquired operations and Temple-Inland's
     consolidation and supply chain initiatives; and other
     factors, many of which are beyond the control of Temple-
     Inland.