<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>                   9-MOS
<FISCAL-YEAR-END>                          NOV-30-1996
<PERIOD-START>                             DEC-01-1995
<PERIOD-END>                               AUG-31-1996
<CASH>                                           7,075
<SECURITIES>                                         0
<RECEIVABLES>                                   29,670
<ALLOWANCES>                                       400
<INVENTORY>                                     10,358
<CURRENT-ASSETS>                                49,244
<PP&E>                                          25,494
<DEPRECIATION>                                  16,154
<TOTAL-ASSETS>                                 146,191
<CURRENT-LIABILITIES>                           22,974
<BONDS>                                        128,322
<PREFERRED-MANDATORY>                                0
<PREFERRED>                                          0
<COMMON>                                         1,836
<OTHER-SE>                                     (8,912)
<TOTAL-LIABILITY-AND-EQUITY>                   146,191
<SALES>                                         87,968
<TOTAL-REVENUES>                                87,968
<CGS>                                           26,466
<TOTAL-COSTS>                                   74,469
<OTHER-EXPENSES>                                     0
<LOSS-PROVISION>                                     0
<INTEREST-EXPENSE>                               9,533
<INCOME-PRETAX>                                  6,035
<INCOME-TAX>                                     1,931
<INCOME-CONTINUING>                              4,104
<DISCONTINUED>                                       0
<EXTRAORDINARY>                                  (532)
<CHANGES>                                            0
<NET-INCOME>                                     3,572
<EPS-PRIMARY>                                     0.45
<EPS-DILUTED>                                     0.45