SEC FORM 3

SEC Form 3

FORM 3

UNITED STATES SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

INITIAL STATEMENT OF BENEFICIAL OWNERSHIP OF SECURITIES

Filed pursuant to Section 16(a) of the Securities Exchange Act of 1934
or Section 30(h) of the Investment Company Act of 1940

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1. Name and Address of Reporting Person^*

Hester Troy L

(Last)

(First)

(Middle)

1300 SOUTH MOPAC

(Street)

AUSTIN

78746

(City)

(State)

(Zip)

2. Date of Event Requiring Statement (Month/Day/Year)
08/04/2006

3. Issuer Name and Ticker or Trading Symbol
TEMPLE INLAND INC [ TIN ]

4. Relationship of Reporting Person(s) to Issuer
(Check all applicable)

	Director	10% Owner
X	Officer (give title below)	Other (specify below)
	Corporate Controller

5. If Amendment, Date of Original Filed (Month/Day/Year)

6. Individual or Joint/Group Filing (Check Applicable Line)

X	Form filed by One Reporting Person
	Form filed by More than One Reporting Person

Table I - Non-Derivative Securities Beneficially Owned
1. Title of Security (Instr. 4)	2. Amount of Securities Beneficially Owned (Instr. 4)	3. Ownership Form: Direct (D) or Indirect (I) (Instr. 5)	4. Nature of Indirect Beneficial Ownership (Instr. 5)
Common Stock	3,000⁽¹⁾	D
Common Stock	2,462⁽²⁾	I	By Trustee of 401(k) Plan
Common Stock	752⁽²⁾	I	By Trustee of 401(k) Plan

Table II - Derivative Securities Beneficially Owned (e.g., puts, calls, warrants, options, convertible securities)
1. Title of Derivative Security (Instr. 4)	2. Date Exercisable and Expiration Date (Month/Day/Year)		3. Title and Amount of Securities Underlying Derivative Security (Instr. 4)		4. Conversion or Exercise Price of Derivative Security	5. Ownership Form: Direct (D) or Indirect (I) (Instr. 5)	6. Nature of Indirect Beneficial Ownership (Instr. 5)
1. Title of Derivative Security (Instr. 4)	Date Exercisable	Expiration Date	Title	Amount or Number of Shares	4. Conversion or Exercise Price of Derivative Security	5. Ownership Form: Direct (D) or Indirect (I) (Instr. 5)	6. Nature of Indirect Beneficial Ownership (Instr. 5)
Option (right to buy)	02/01/2003	02/01/2012	Common Stock	6,000⁽³⁾	$27.66	D
Option (right to buy)	02/07/2004	02/07/2013	Common Stock	6,000⁽⁴⁾	$21.51	D
Option (right to buy)	02/06/2005	02/06/2014	Common Stock	5,000⁽⁵⁾	$30.02	D
Option (right to buy)	02/04/2006	02/04/2015	Common Stock	5,000⁽⁶⁾	$37.07	D
Option (right to buy)	02/03/2007	02/03/2016	Common Stock	5,125⁽⁷⁾	$46.2	D
Restricted Shares	⁽⁸⁾	⁽⁸⁾	Common Stock	2,100⁽⁸⁾	⁽⁸⁾	D
Phantom Stock	⁽⁹⁾	⁽⁹⁾	Common Stock	2,144⁽⁹⁾	⁽⁹⁾	D

Explanation of Responses:

1. In accordance with the Shareholder Rights Plan adopted by the Company on February 9, 1999, Preferred Stock Purchase Rights are deemed to be attached to the shares of Common Stock.

2. By trustee of the Temple-Inland Salaried Savings Plan according to the latest report of the Plan Administrator. (Note: Trustee uses unit accounting; therefore, share equivalents may fluctuate slightly from month to month.)

3. Options Vesting Schedule: Options Exercisable 1,500 - 02/01/2003; Options Exercisable 1,500 - 02/01/2004; Options Exercisable 1,500 - 02/01/2005; Options Exercisable 1,500 - 02/01/2006

4. Options Vesting Schedule: Options Exercisable 1,500 - 02/07/2004; Options Exercisable 1,500 - 02/07/2005; Options Exercisable 1,500 - 02/07/2006; Options Exercisable 1,500 - 02/07/2007

5. Options Vesting Schedule: Options Exercisable 1,250 - 02/06/2005; Options Exercisable 1,250 - 02/06/2006; Options Exercisable 1,250 - 02/06/2007; and Options Exercisable 1,250 - 02/06/2008;

6. Options Vesting Schedule: Options Exercisable 1,250 - 02/04/2006; Options Exercisable 1,250 - 02/04/2007; Options Exercisable 1,250 - 02/04/2008; and Options Exercisable 1,250 - 02/04/2009.

7. Options Vesting Schedule: Options Exercisable 1,281 - 02/03/2007; Options Exercisable 1,281 - 02/03/2008; Options Exercisable 1,281 - 02/03/2009; and Options Exercisable 1,282 - 02/03/2010.

8. Restricted Shares granted on February 3, 2006 will vest effective February 3, 2009. Restricted Shares will be settled for cash based on the fair market value on the vesting date.

9. Phantom shares accrued under a Company plan, which includes a dividend reinvestment feature, to be settled upon Reporting Person's retirement. 02/06/2004 - 2,000 restricted stock units vest 100% at the end of 3 years if still employed.

Remarks:

	Leslie K. O'Neal signed on behalf of Troy L. Hester	08/07/2006
	** Signature of Reporting Person	Date
Reminder: Report on a separate line for each class of securities beneficially owned directly or indirectly.
* If the form is filed by more than one reporting person, see Instruction 5 (b)(v).
** Intentional misstatements or omissions of facts constitute Federal Criminal Violations See 18 U.S.C. 1001 and 15 U.S.C. 78ff(a).
Note: File three copies of this Form, one of which must be manually signed. If space is insufficient, see Instruction 6 for procedure.
Persons who respond to the collection of information contained in this form are not required to respond unless the form displays a currently valid OMB Number.