<ARTICLE> 5
<LEGEND>
THIS SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION EXTRACTED FROM CHATTEM,
INC.'S UNAUDITED FINANCIAL STATEMENTS AND IS QUALIFIED IN ITS ENTIRETY BY
REFERENCE TO SUCH FINANCIAL STATEMENTS.
</LEGEND>
<MULTIPLIER> 1,000
       
                             
<PERIOD-TYPE>                   3-MOS
<FISCAL-YEAR-END>                          NOV-30-1996
<PERIOD-START>                             DEC-01-1995
<PERIOD-END>                               FEB-29-1996
<CASH>                                           3,746
<SECURITIES>                                         0
<RECEIVABLES>                                   16,995
<ALLOWANCES>                                       222
<INVENTORY>                                     10,203
<CURRENT-ASSETS>                                33,773
<PP&E>                                          24,707
<DEPRECIATION>                                  15,451
<TOTAL-ASSETS>                                  85,240
<CURRENT-LIABILITIES>                           14,136
<BONDS>                                         86,636
<PREFERRED-MANDATORY>                                0
<PREFERRED>                                          0
<COMMON>                                         1,519
<OTHER-SE>                                    (19,182)
<TOTAL-LIABILITY-AND-EQUITY>                    85,240
<SALES>                                         18,697
<TOTAL-REVENUES>                                18,697
<CGS>                                            5,749
<TOTAL-COSTS>                                   16,973
<OTHER-EXPENSES>                                     0
<LOSS-PROVISION>                                     0
<INTEREST-EXPENSE>                               2,618
<INCOME-PRETAX>                                  (241)
<INCOME-TAX>                                     (203)
<INCOME-CONTINUING>                               (38)
<DISCONTINUED>                                       0
<EXTRAORDINARY>                                      0
<CHANGES>                                            0
<NET-INCOME>                                      (38)
<EPS-PRIMARY>                                    (.01)
<EPS-DILUTED>                                    (.01)