TEXTAINER FINANCIAL SERVICES CORPORATION
                        650 California Street, 16th Floor
                             San Francisco, CA 94108


November 13, 1997


Securities and Exchange Commission
Washington, DC  20549

Gentlemen:

Pursuant to the  requirements  of the  Securities  Exchange Act of 1934,  we are
submitting  herewith for filing on behalf of Textainer Equipment Income Fund IV,
L.P.  (the  "Company")  the  Company's  Quarterly  Report  on Form  10-Q for the
quarterly period ended September 30, 1997.

This filing is being effected by direct  transmission to the Commission's  EDGAR
System.

Sincerely,


Nadine Forsman
Controller




<PAGE>


                                  UNITED STATES
                       SECURITIES AND EXCHANGE COMMISSION
                               Washington DC 20549



                                    FORM 10Q



                 QUARTERLY REPORT UNDER SECTION 13 OR 15 (D) OF
                       THE SECURITIES EXCHANGE ACT OF 1934


                For the quarterly period ended September 30, 1997


                         Commission file number 0-21228


                    TEXTAINER EQUIPMENT INCOME FUND IV, L.P.
             (Exact name of Registrant as specified in its charter)


                              California 94-3147432
                   (State or other jurisdiction (IRS Employer
              of incorporation or organization) Identification No.)

                        650 California Street, 16th Floor
                             San Francisco, CA 94108
               (Address of Principal Executive Offices) (ZIP Code)

                                 (415) 434-0551
              (Registrant's telephone number, including area code)


Indicate by check mark whether the registrant (1) has filed all reports required
to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during
  the preceding 12 months (or for such shorter period that the registrant was
    required to file such reports), and (2) has been subject to such filing
                       requirements for the past 90 days.

                                 Yes [X] No [ ]





<PAGE>



                    TEXTAINER EQUIPMENT INCOME FUND IV, L.P.
                       (a California Limited Partnership)

                      Quarterly Report on Form 10Q for the
                        Quarter Ended September 30, 1997

                                TABLE OF CONTENTS


<TABLE>
<CAPTION>
                                                                                                               Page


Item 1.   Financial Statements

<S>                                                                                                            <C>
          Balance Sheets - September 30, 1997 (unaudited) and December 31, 1996................................  3


          Statements of Earnings for the nine and three months
          ended September 30, 1997 and 1996 (unaudited)........................................................  4


          Statements of Partners' Capital for the nine months
          ended September 30, 1997 and 1996 (unaudited)........................................................  5


          Statements of Cash Flows for the nine months
          ended September 30, 1997 and 1996 (unaudited)........................................................  6


          Notes to Financial Statements (unaudited)............................................................  8


Item 2.   Management's Discussion and Analysis of Financial Condition
          and Results of Operations............................................................................ 12


Item 3.   Quantitative and Qualitative Disclosures about Market Risk

          Not Applicable




</TABLE>
<PAGE>


                    TEXTAINER EQUIPMENT INCOME FUND IV, L.P.
                       (a California Limited Partnership)

                                 Balance Sheets

                    September 30, 1997 and December 31, 1996
                             (Amounts in thousands)
<TABLE>
<CAPTION>

                                                                                1997                    1996
                                                                          -----------------       -----------------
                                                                            (unaudited)
<S>                                                                       <C>                     <C>    
Assets
Container rental equipment, net of accumulated
   depreciation of $34,300 (1996:  $29,128)                                        $91,481                 $95,626
Cash                                                                                   862                   2,694
Accounts receivable, net of allowance
   for doubtful accounts of $1,426 (1996:  $1,391)                                   5,113                   5,647
Organization costs, net of accumulated
   amortization of $236 (1996:  $220)                                                    -                      16
Prepaid expenses                                                                         9                      46
                                                                          -----------------       -----------------
                                                                                   $97,465                $104,029
                                                                          =================       =================

Liabilities and Partners' Capital
Liabilities:
   Accounts payable                                                                   $719                    $544
   Accrued liabilities                                                                  64                       -
   Accrued recovery costs (note 2)                                                     128                      85
   Accrued damage protection plan costs (note 3)                                       391                     520
   Warranty claims (note 4)                                                            552                     599
   Due to affiliates (note 6)                                                          248                     815
   Deferred quarterly distribution                                                     200                     199
   Equipment purchases payable                                                         205                     361
                                                                          -----------------       -----------------
      Total liabilities                                                              2,507                   3,123
                                                                          -----------------       -----------------

Partners' capital:
   General partners                                                                     -                       -
   Limited partners                                                                 94,958                 100,906
                                                                          -----------------       -----------------
      Total partners' capital                                                       94,958                 100,906
                                                                          -----------------       -----------------
                                                                                   $97,465                $104,029
                                                                          =================       =================

See accompanying notes to financial statements



</TABLE>
<PAGE>


                    TEXTAINER EQUIPMENT INCOME FUND IV, L.P.
                       (a California Limited Partnership)

                             Statements of Earnings

                  For the nine and three months ended September
                 30, 1997 and 1996 (Dollar amounts in thousands
                      except for unit and per unit amounts)
                                   (unaudited)

<TABLE>
<CAPTION>
                                                       Three months         Three months           Nine months          Nine months
                                                              Ended                Ended                 Ended                Ended
                                                     Sept. 30, 1997       Sept. 30, 1996        Sept. 30, 1997       Sept. 30, 1996
                                                --------------------  -------------------   -------------------  -------------------
<S>                                              <C>                  <C>                  <C>                  <C>    
Rental income                                                $5,340               $5,810               $15,679              $18,026
                                                --------------------  -------------------   -------------------  -------------------

Costs and expenses:
   Direct container expenses                                 1,231                  985                 3,442                2,985
   Bad debt (benefit) expense                                  (14)                  81                   153                  196
   Depreciation and amortization                             1,888                1,892                 5,626                5,698
   Professional fees                                             9                    7                    26                   24
   Management fees to affiliates (note 6)                      510                  556                 1,499                1,707
   General and administrative costs to affiliates (note 6)     296                  315                 1,003                1,059
   Other general and administrative costs                       55                   64                   165                  228
                                                --------------------  -------------------   -------------------  -------------------
                                                             3,975                3,900                11,914               11,897
                                                --------------------  -------------------   -------------------  -------------------
   Income from operations                                    1,365                1,910                 3,765                6,129
                                                --------------------  -------------------   -------------------  -------------------

Other income:
   Interest income                                              16                   14                    55                   61
   Gain on sale of equipment                                    11                  106                   167                  267
                                                --------------------  -------------------   -------------------  -------------------
                                                                27                  120                   222                  328
                                                --------------------  -------------------   -------------------  -------------------
   Net earnings                                             $1,392               $2,030                $3,987               $6,457
                                                ====================  ===================   ===================  ===================

Allocation of net earnings (note 6):
   General partners                                            $34                  $37                  $102                 $113
   Limited partners                                          1,358                1,993                 3,885                6,344
                                                --------------------  -------------------   -------------------  -------------------
                                                            $1,392               $2,030                $3,987               $6,457
                                                ====================  ===================   ===================  ===================
Limited partners' per unit share
   of net earnings                                           $0.20                $0.29                 $0.57                $0.93
                                                ====================  ===================   ===================  ===================
Limited partners' per unit share
   of distributions                                          $0.48                $0.53                 $1.43                $1.58
                                                ====================  ===================   ===================  ===================
Weighted average number of limited
   partnership units outstanding                         6,827,168            6,835,188             6,827,168            6,837,460
                                                ====================  ===================   ===================  ===================

See accompanying notes to financial statements


</TABLE>
<PAGE>


                    TEXTAINER EQUIPMENT INCOME FUND IV, L.P.
                       (a California Limited Partnership)

                         Statements of Partners' Capital

              For the nine months ended September 30, 1997 and 1996
                             (Amounts in thousands)
                                   (unaudited)
<TABLE>
<CAPTION>

                                                                                         Partners' Capital
                                                                   ---------------------------------------------------------------
                                                                      General               Limited                  Total
                                                                   --------------     --------------------    --------------------

<S>                                                                 <C>                <C>                     <C>     
Balances at January 1, 1996                                                   $0                 $106,926                $106,926

Distributions                                                               (113)                 (10,769)                (10,882)

Redemptions (note 8)                                                           -                      (71)                    (71)

Net earnings                                                                 113                    6,344                   6,457
                                                                   --------------     --------------------    --------------------
Balances at September 30, 1996                                                $0                 $102,430                $102,430
                                                                   ==============     ====================    ====================

Balances at January 1, 1997                                                   $0                 $100,906                $100,906

Distributions                                                               (102)                  (9,729)                 (9,831)

Redemptions (note 8)                                                           -                     (104)                   (104)

Net earnings                                                                 102                    3,885                   3,987
                                                                   --------------     --------------------    --------------------
Balances at September 30, 1997                                                $0                  $94,958                 $94,958
                                                                   ==============     ====================    ====================


See accompanying notes to financial statements


</TABLE>
<PAGE>


                    TEXTAINER EQUIPMENT INCOME FUND IV, L.P.
                       (a California Limited Partnership)

                            Statements of Cash Flows

              For the nine months ended September 30, 1997 and 1996
                             (Amounts in thousands)
                                   (unaudited)
<TABLE>
<CAPTION>

                                                                                      1997              1996
                                                                                 ----------------  ----------------

<S>                                                                              <C>               <C>
Cash flows from operating activities:
   Net earnings                                                                           $3,987            $6,457
   Adjustments to reconcile net earnings to
      net cash provided by operating activities:
        Depreciation                                                                       5,610             5,663
        Increase in allowance for doubtful accounts                                           35                87
         Amortization of organization costs                                                   16                35
         Gain on sale of equipment                                                          (167)             (267)
         Changes in assets and liabilities:
            Decrease in accounts receivable                                                  502               837
            Decrease in due to affiliates                                                   (659)           (1,218)
            Increase in accounts payable and accrued liabilities                             239                72
            Increase in accrued recovery costs                                                43                62
            Decrease in accrued damage protection plan costs                                (129)              (13)
            Decrease in warranty claims                                                      (47)               (7)
             Decrease in prepaid expenses                                                     37                46
                                                                                 ----------------  ----------------
              Net cash provided by operating activities                                    9,467            11,754
                                                                                 ----------------  ----------------

Cash flows from investing activities:
   Proceeds from sale of equipment                                                         1,091             1,188
   Equipment purchases                                                                    (2,449)           (2,083)
                                                                                 ----------------  ----------------
              Net cash used in investing activities                                       (1,358)             (895)
                                                                                 ----------------  ----------------

Cash flows from financing activities:
    Redemptions of limited partnership units                                                (104)              (71)
    Distributions to partners                                                             (9,837)          (10,984)
                                                                                 ----------------  ----------------
               Net cash used in financing activities                                      (9,941)          (11,055)
                                                                                 ----------------  ----------------

Net decrease in cash                                                                      (1,832)             (196)

Cash at beginning of period                                                                2,694             1,293
                                                                                 ----------------  ----------------
Cash at end of period                                                                       $862            $1,097
                                                                                 ================  ================


See accompanying notes to financial statements


</TABLE>
<PAGE>




                    TEXTAINER EQUIPMENT INCOME FUND IV, L.P.
                       (a California Limited Partnership)


                       Statements Of Cash Flows--Continued

              For the nine months ended September 30, 1997 and 1996
                             (Amounts in thousands)
                                   (unaudited)

Supplemental Disclosures:

Supplemental schedule of non-cash investing and financing activities:

The following table summarizes the amounts of Equipment purchases, distributions
to  partners  and  proceeds  from sale of  Equipment  which had not been paid or
received as of  September  30, 1997 and 1996,  and  December  31, 1996 and 1995,
resulting in  differences  in amounts  recorded and amounts of cash disbursed or
received by the  Partnership,  as shown in the  Statements of Cash Flows for the
nine-month periods ended September 30, 1997 and 1996.
<TABLE>
<CAPTION>

                                                                Sept. 30       Dec. 31       Sept. 30         Dec. 31
                                                                   1997           1996           1996            1995
                                                            ------------    -----------    -----------    ------------
<S>                                                          <C>              <C>             <C>            <C>     
Equipment purchases included in:
     Due to affiliates..............................         $        3       $      5        $     9        $     53
     Equipment purchases payable....................                205            361              -             349

Distributions to partners included in:
     Due to affiliates..............................                 11             18             24             115
     Deferred quarterly distribution................                200            199            223             234

Proceeds from sale of Equipment included in:
     Accounts receivable............................                  -              -              -               2
     Due from affiliates............................                260            361            245             360
</TABLE>

The following table summarizes the amounts of Equipment purchases, distributions
to partners and proceeds from sale of Equipment  recorded by the Partnership and
the amounts  paid or received as shown in the  Statements  of Cash Flows for the
nine-month periods ended September 30, 1997 and 1996.
<TABLE>
<CAPTION>

                                                                                              1997               1996
                                                                                              ----               ----

<S>                                                                                     <C>                <C>       
Equipment purchases recorded......................................................      $    2,291         $    1,690
Equipment purchases paid..........................................................           2,449              2,083

Distributions to partners declared................................................           9,831             10,882
Distributions to partners paid....................................................           9,837             10,984

Proceeds from sale of Equipment recorded..........................................             990              1,071
Proceeds from sale of Equipment received..........................................           1,091              1,188


See accompanying notes to financial statements




</TABLE>
<PAGE>


                    TEXTAINER EQUIPMENT INCOME FUND IV, L.P.
                       (a California Limited Partnership)

                          Notes To Financial Statements

                               September 30, 1997
       (Dollar amounts in thousands except for unit and per unit amounts)
                                   (Unaudited)

Note 1.   General

      Textainer Equipment Income Fund IV, L.P. (the Partnership) is a California
      Limited  Partnership  formed in 1991.  The  Partnership  owns and leases a
      fleet  of  intermodal   marine  cargo   containers   (the   Equipment)  to
      international shipping lines.

      The accompanying  interim comparative  financial  statements have not been
      audited by an independent  public  accountant.  However,  all  adjustments
      (which  were only  normal and  recurring  adjustments)  which are,  in the
      opinion of management,  necessary to fairly present the financial position
      of the Partnership as of September 30, 1997 and December 31, 1996, and the
      results of its operations, changes in partners' capital and cash flows for
      the nine- and three-month  periods ended September 30, 1997 and 1996, have
      been made.

      The financial  information  presented herein should be read in conjunction
      with  the  audited  financial  statements  and  other  accompanying  Notes
      included in the Partnership's  annual audited  financial  statements as of
      December 31, 1996.

      Certain   estimates  and  assumptions  were  made  by  the   Partnership's
      management that affect the reported  amounts of assets and liabilities and
      disclosures  of  contingent  assets  and  liabilities  at the  date of the
      financial  statements  and the  reported  amounts of revenue and  expenses
      during the  reporting  period.  Actual  results  could  differ  from those
      estimates.

      Certain reclassifications of prior year amounts have been made in order to
      conform with the 1997 financial statement presentation.

Note 2.  Recovery Costs

      The  Partnership  accrues an estimate  for  recovery  costs as a result of
      defaults under its leases that it expects to incur, which are in excess of
      estimated insurance proceeds. At September 30, 1997 and December 31, 1996,
      the amounts accrued were $128 and $85, respectively.

Note 3.   Damage Protection Plan

      The  Partnership  offers a Damage  Protection Plan (DPP) to lessees of its
      Equipment.  Under  the  terms of DPP,  the  Partnership  earns  additional
      revenues  on a daily basis and,  as a result,  has agreed to bear  certain
      repair costs.  It is the  Partnership's  policy to recognize  revenue when
      earned  and to  provide a reserve  sufficient  to cover the  Partnership's
      obligation for estimated  repair costs. At September 30, 1997 and December
      31, 1996, this reserve was equal to $391 and $520, respectively.

Note 4. Warranty Claims

      During 1996 and 1995, the Partnership  settled warranty claims against two
      equipment  manufacturers.  The  Partnership  is amortizing  the settlement
      amount over the  remaining  estimated  useful life of the  Equipment  (ten
      years), reducing maintenance and repair costs over that time. At September
      30, 1997 and December 31, 1996, the unamortized  portion of the settlement
      amount was $552 and $599, respectively.

Note 5. Acquisition of Equipment

      During the  nine-month  periods  ended  September  30, 1997 and 1996,  the
      Partnership  purchased  Equipment  with  a  cost  of  $2,291  and  $1,690,
      respectively.

Note 6.   Transactions with Affiliates

      Textainer  Financial  Services  Corporation  (TFS) is the managing general
      partner of the Partnership.  TFS is a wholly-owned subsidiary of Textainer
      Capital Corporation (TCC).  Textainer  Equipment  Management Limited (TEM)
      and  Textainer   Limited  (TL)  are  associate  general  partners  of  the
      Partnership.  The  managing  general  partner  and the  associate  general
      partners are collectively referred to as the General Partners. The General
      Partners  manage and control the affairs of the  Partnership.  The General
      Partners  also  act in  this  capacity  for  other  limited  partnerships.
      Textainer  Acquisition  Services  Limited  (TAS)  is an  affiliate  of the
      General  Partners which performs  services  relative to the acquisition of
      Equipment  outside the United  States on behalf of the  Partnership.  TCC,
      TEM, TL and TAS are  subsidiaries  of  Textainer  Group  Holdings  Limited
      (TGH). TCC Securities  Corporation  (TSC), a licensed broker and dealer in
      securities  and an  affiliate  of the General  Partners,  was the managing
      sales agent for the offering of Units for sale.

      In accordance with the Partnership  Agreement,  and subject to the special
      allocations  described  therein,  net earnings or losses,  and partnership
      distributions  are generally  allocated 1% to the General Partners and 99%
      to the limited partners with the exception of gross income,  as defined in
      the  Partnership  Agreement.  Gross  income is  allocated  to the  General
      Partners  to the extent that their  partners'  capital  accounts  deficits
      exceed the portion of syndication and offering costs allocated to them. On
      termination of the  Partnership,  the General  Partners shall be allocated
      gross income equal to their allocations of syndication and offering costs.

      As part of the operation of the Partnership,  the Partnership is to pay to
      the General  Partners or TAS an incentive  management  fee, an acquisition
      fee, an equipment management fee and an equipment  liquidation fee as well
      as reimburse the General Partners for certain  administrative costs. These
      fees  are  for  various   services   provided  in   connection   with  the
      administration   and  management  of  the  Partnership.   The  Partnership
      capitalized  equipment  acquisition  fees  totaling  $117  and  $99  as  a
      component of Equipment costs during the nine-month periods ended September
      30, 1997 and 1996, respectively. The Partnership incurred $410 and $137 of
      incentive  management fees during the nine- and three-month  periods ended
      September 30, 1997 and $453 and $151 of incentive  management fees for the
      comparable  periods in 1996. No equipment  liquidation  fees were incurred
      during either period.

      The Partnership's Equipment is managed by TEM. In its role as manager, TEM
      has authority to acquire,  hold,  manage,  lease,  sell and dispose of the
      Partnership's  Equipment.  Additionally,  TEM holds, for payment of direct
      operating  expenses,  a  reserve  of cash  that  has been  collected  from
      Equipment leasing  operations;  such cash is included in the amount due to
      affiliates at September 30, 1997 and December 31, 1996.

      Subject to certain reductions, TEM receives a monthly Equipment management
      fee equal to 7% of gross revenues  attributable to operating leases and 2%
      of gross  revenues  attributable  to full  payout net  leases.  These fees
      totaled  $1,089  and $373 for the  nine-  and  three-month  periods  ended
      September 30, 1997 and $1,254 and $405 for the comparable periods in 1996.
      The  Partnership's  Equipment  is leased by TEM to third party  lessees on
      operating master leases,  spot leases and term leases. The majority of the
      Equipment is leased under  operating  master leases with limited terms and
      no purchase option.

      Certain  indirect  general  and  administrative  costs  such as  salaries,
      employee  benefits,   taxes  and  insurance  are  incurred  in  performing
      administrative  services  necessary to the  operation of the  Partnership.
      These costs are borne by TFS and TEM.  Total  general  and  administrative
      costs allocated to the Partnership  were $1,003 and $296 for the nine- and
      three-month  periods  ended  September  30,  1997 of which  $552 and $172,
      respectively,  were for salaries.  For the nine- and  three-month  periods
      ended September 30, 1996, total general and administrative costs allocated
      to the  Partnership  were  $1,059  and  $315,  of  which  $546  and  $184,
      respectively were for salaries.

      TEM allocates the general and  administrative  costs based on the ratio of
      the Partnership's interest in the managed Equipment to the total Equipment
      managed by TEM during the period.  TFS allocates  these costs based on the
      ratio of the Partnership's Equipment to the total Equipment of all limited
      partnerships managed by TFS. General and administrative costs allocated to
      the  Partnership by TEM were $881,  $267,  $932 and $277 for the nine- and
      three-month periods ended September 30, 1997 and 1996,  respectively.  TFS
      allocated $122, $29, $127 and $38 of general and  administrative  costs to
      the Partnership  during the nine- and three-month  periods ended September
      30, 1997 and 1996, respectively.

      The General  Partners or TAS may acquire  Equipment  in their own name and
      hold  title on a  temporary  basis for the  purpose  of  facilitating  the
      acquisition of such Equipment for the Partnership.  The Equipment may then
      be resold to the  Partnership on an all-cash basis at a price equal to the
      actual cost, as defined in the  Partnership  Agreement.  In addition,  the
      General  Partners  or TAS  are  entitled  to an  acquisition  fee  for any
      Equipment resold to the Partnership.

      At  September  30, 1997 and  December  31,  1996,  due to  affiliates  are
      comprised of:

                                                            1997           1996
                                                            ----           ----
      Due to affiliates:
        Due to TFS.....................................    $  52          $  50
        Due to TAS.....................................        1              5
        Due to TCC.....................................        8             36
        Due to TEM.....................................      186            723
        Due to TL......................................        1              1
                                                            ----           ----
                                                           $ 248          $ 815
                                                            ====           ====

      These amounts  payable to affiliates  were incurred in the ordinary course
      of business  between the  Partnership  and its  affiliates  and  represent
      timing  differences  in the  accrual  and  payment  of  expenses  and fees
      described  above or in the accrual and  remittance of net rental  revenues
      from TEM.

      It is the policy of the  Partnership  and the  General  Partners to charge
      interest on intercompany  balances which are outstanding for more than one
      month,  to  the  extent  such  balances  relate  to  loans  for  Equipment
      purchases.  Interest  is charged at a rate not  greater  than the  General
      Partners' or affiliates' own cost of funds.  There was no interest charged
      on  intercompany  balances  for the nine- and  three-month  periods  ended
      September 30, 1997 and 1996.

Note 7.   Rentals Under Operating Leases

      The following is a schedule by year of minimum future  rentals  receivable
      on noncancelable operating leases at September 30, 1997:

      Year ending September 30:

           1998.............................................       $    1,461
           1999.............................................              123
           2000.............................................                3
                                                                     ---------
           Total minimum future rentals receivable..........        $   1,587
                                                                     =========

Note 8.   Redemptions

      The following  redemption  offerings were  consummated by the  Partnership
      during the nine-month period ended September 30, 1997:
<TABLE>
<CAPTION>

                                                           Units                 Average
                                                          Redeemed           Redemption Price        Amount Paid

<S>                                                      <C>                  <C>                   <C>   
            Balance at December 31, 1996                      10,715               $15.49                $  166

            Quarter ended:
                  March 31, 1997....................           8,020               $13.03                   104
                  June 30, 1997.....................               -                 -                        -
                  September 30, 1997................               -                 -                        -
                                                          -----------                                     ------


            Partnership to date.......................        18,735               $14.43                $  270
                                                              ======                                       ====
            
</TABLE>

      The  redemption  price is fixed by  formula  and varies  depending  on the
      length of time the units have been outstanding.



<PAGE>




ITEM 2 - MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS
         OF OPERATIONS

       (Dollar amounts in thousands except for unit and per unit amounts)

The Financial Statements contain information which will assist in evaluating the
financial  condition of the Partnership  for the nine- and  three-month  periods
ended September 30, 1997 and 1996. Please refer to the Financial  Statements and
Notes thereto in connection with the following discussion.

Liquidity and Capital Resources

From April 30,  1992 until April 30, 1994 the  Partnership  was  involved in the
offering of limited partnership  interests to the public. On April 30, 1994, the
Partnership had received a total subscription amount of $136,918.

From time to time,  the  Partnership  redeems units from limited  partners for a
specified  redemption  value.  The redemption price is set by formula and varies
depending  on  length  of  time  the  units  are  outstanding.  Up to 2% of  the
Partnership's outstanding units may be redeemed each year, although the 2% limit
may be exceeded at the Managing General  Partner's  discretion.  All redemptions
are subject to the Managing  General  Partner's  good faith  determination  that
payment for the redeemed units will not (i) cause the Partnership to be taxed as
a  corporation,  (ii) impair the capital or  operations of the  Partnership,  or
(iii) impair the ability of the Partnership to pay  distributions  in accordance
with its distribution  policy. The Partnership  redeemed 8,020 units for a total
dollar amount of $104 during the three-month period ended March 31, 1997. During
the  three-month  periods ended June 30, and September 30, 1997, the Partnership
did not redeem Partnership units.

The Partnership  invests working capital and cash flow from operations  prior to
its  distribution  to  the  partners  in  short-term,  liquid  investments.  The
Partnership's  cash is  affected  by  cash  provided  by or  used in  operating,
investing and financing  activities.  These  activities  are discussed in detail
below.

During the nine-month period ended September 30, 1997, the Partnership  declared
cash  distributions to limited  partners  pertaining to the period from December
1996 through August 1997, in the amount of $9,729. These distributions represent
a return of 9.5% of original capital  (measured on an annualized  basis) on each
unit. On a GAAP basis, $5,844 of these distributions was a return of capital and
the  balance  was  from  net  earnings.   On  a  cash  basis,  $9,467  of  these
distributions was from operations and the balance was from reserves.

For the nine-month  periods ended  September 30, 1997 and 1996, the  Partnership
had  net  cash   provided  by  operating   activities  of  $9,467  and  $11,754,
respectively.  This  decrease in net cash provided by operating  activities  was
primarily  attributable to decreases in net earnings and accounts  receivable of
$2,470 and $502,  respectively,  offset by the decrease in due to  affiliates of
$659.  Accounts  receivable  from  operations  decreased  primarily  due  to the
decrease in rental income. Due to affiliates decreased due to timing differences
in the accrual and payment of expenses and fees or in the accrual and remittance
of net rental  revenues.  The 38% decrease in net earnings  from the  nine-month
period ended  September 30, 1996 compared to the equivalent  period in 1997, was
primarily due to a decrease in rental  revenues of $2,347,  or 13%. The decrease
in rental  revenues  between  periods  was due to a decline in  utilization  and
rental rates.  These  decreases are discussed more fully below under "Results of
Operations". As explained below under "Results of Operations", demand for leased
containers  has  declined  compared to the prior  period,  and this  decline has
affected the Partnership's financial condition.

Net  cash  used in  investing  activities  (the  purchase  and  sale  of  rental
equipment)  for the  nine-month  periods  ended  September 30, 1997 and 1996 was
$1,358  and $895,  respectively.  The  increase  in net cash  used in  investing
activities is primarily due to the fact that, on a cash basis,  the  Partnership
purchased  more  Equipment in 1997 than in the same period in 1996.  The General
Partners believe that these differences reflect normal fluctuations in equipment
sales and purchases.  Moreover, the Partnership has Equipment that was purchased
used in its portfolio and expects to sell this  Equipment  periodically  when it
reaches  the end of its  useful  marine  life.  Consistent  with its  investment
objectives  and  the  General  Partners'  determination  that  Equipment  can be
profitably sold or bought at any time, the  Partnership  intends to reinvest all
or a significant  amount of proceeds from future  Equipment  sales in additional
Equipment.  Such additional units of Equipment purchased may not, however, equal
the number of units sold.

Results of Operations

The  Partnership's  operations,   which  consist  of  rental  income,  Equipment
depreciation,  direct operating expenses,  management fees, and reimbursement of
administrative  expenses,  were  directly  related to the size of the  Equipment
fleet  (inventory)  during the nine-month  periods ended  September 30, 1997 and
1996, as well as certain other  factors as discussed  below.  The following is a
summary of the  container  fleet (in units)  available  for lease  during  those
periods:

                                                               1997        1996
                                                               ----        ----

                   Opening inventory.......................   35,931      36,297
                   Closing inventory.......................   36,321      35,998
                   Average.................................   36,126      36,148

Rental  income  and  direct  container  expenses  are  also  affected  by  lease
utilization percentages for the Equipment, which averaged 79% and 84% during the
nine-month periods ended September 30, 1997 and 1996, respectively. In addition,
rental income is affected by daily rental rates, which have declined.

The  following is a comparative  analysis of the results of  operations  for the
nine-month periods ended September 30, 1997 and 1996.

The  Partnership's  income  from  operations  for the  nine-month  period  ended
September  30, 1997 was $3,765 on gross  rental  income of $15,679,  compared to
$6,129 on gross rental income for $18,026 for the equivalent period in 1996. The
largest component of total rental income is income from container rentals, which
decreased $2,132, or 13%, from the nine-month period ended September 30, 1996 to
the comparable period in 1997. As noted above,  income from container rentals is
largely  dependent  upon three factors:  equipment  available for lease (average
inventory),  average on-hire  (utilization)  percentage and average daily rental
rates. Average utilization decreased 6% and average daily rental rates decreased
6%, while average inventory remained fairly constant.

Container  utilization  began to decline in late 1995 and that decline persisted
throughout 1996 and into the first quarter of 1997. The General Partners believe
that this  decrease  in demand  for leased  containers  is the result of adverse
changes in the business of its shipping line  customers.  These changes  consist
principally  of: (i) a general  slowdown  in the  growth of world  containerized
cargo  trade,  particularly  in the  Asia-North  America and  Asia-Europe  trade
routes;  (ii)  over-capacity  resulting from the 1996 and 1997 additions of new,
larger  ships to the  existing  container  ship fleet at a rate in excess of the
growth rate in containerized  cargo trade; and (iii) shipping line alliances and
other  operational  consolidations  that have allowed  shipping lines to operate
with fewer containers,  thereby decreasing the demand for leased containers. The
container  ship  over-capacity  in  particular  led  to  lower  shipping  rates,
resulting in shipping lines' need to reduce operating costs. The drive to reduce
costs,  coupled  with  the  availability  of  inexpensive  financing  and  lower
container prices,  encouraged  shipping lines to purchase,  rather than lease, a
greater  number of new containers in 1996 than in previous  years.  All of these
factors  have led to downward  pressure on container  lease rates,  a decline in
utilization  of leased  containers,  and an increase in leasing  incentives  and
other  discounts being granted to shipping lines by container  lessors,  further
eroding Partnership  profitability.  The decline in demand for leased containers
has been accompanied by a drop in the purchase price of new containers.

During the second and third quarters  there was an  improvement in  utilization,
however lease rates  declined and leasing  incentives  remained high due to high
levels of off-lease  inventory in low demand locations.  The General Partners do
not foresee material changes in current market  conditions and caution that both
utilization and lease rates could decline further,  and leasing incentives could
remain high, adversely affecting the Partnership's results.

Substantially  all of the  Partnership's  rental income was  generated  from the
leasing of the Equipment under short-term operating leases.

The balance of rental income consists of other  lease-related  items,  primarily
income for handling and returning containers, income from charges to lessees for
a damage  protection  plan (DPP) and income  from  charges  to the  lessees  for
pick-up of containers  from prime  locations less credits granted to lessees for
leasing containers from surplus locations (location income).  For the nine-month
period  ended  September  30,  1997,  the total of these other  income items was
$1,275,  a decrease  of $215  compared  to the  equivalent  period in 1996.  The
primary  components of this net decrease  were a decrease in location  income of
$346,  offset by an increase in handling income of $188. The decline in location
income is primarily due to lower demand,  which  required an increase in credits
given to lessees for  picking up units from  surplus  locations.  An increase in
container  movement offset by lower average handling charges to lessees resulted
in increased  handling  income for the  nine-months  ending  September  30, 1997
compared to the equivalent period in 1996.

Direct  container  expenses,  excluding bad debt expense,  increased by $457, or
15%, from the nine-month  period ended September 30, 1996, to the same period in
1997.  The primary  components of this  increase  were  increases in storage and
repositioning expenses of $332 and $361,  respectively,  offset by a decrease in
DPP expense of $264.  The increase in storage  expense was  primarily due to the
decline in utilization.  Repositioning expense increased due a greater number of
units being transported from surplus locations to higher demand locations during
the nine-month period ending September 30, 1997 than in the comparable period in
1996. The decrease in DPP expense was primarily due to a decrease in the average
per container  repair cost from September 30, 1996 to the  equivalent  period in
1997.

Bad debt expense  decreased from $196 in the nine-month  period ended  September
30, 1996 to $153 in the same period of 1997,  due to lower reserve requirements.

Depreciation expense was comparable between periods.

Management  fees to  affiliates  decreased by $208,  or 12%, for the  nine-month
period ended  September 30, 1997 compared to the equivalent  period in 1996, due
to a decrease in Equipment and incentive  management fees.  Equipment management
fees,  which are based primarily of gross revenue,  decreased as a result of the
decrease  in  rental  income  and were 7% of  gross  revenue  for both  periods.
Incentive  management  fees,  which are based on the  Partnership's  limited and
general partner distribution percentage and partners' capital, decreased $43, or
9%, primarily due to a decrease in the limited partners distribution  percentage
from 10.5% in the  nine-month  period ended  September  30, 1996 to 9.5% for the
equivalent period in 1997.

General and administrative costs to affiliates decreased by 5%, or $56, from the
nine-month period ended September 30, 1996 to the equivalent period in 1997, due
to a decline in overhead costs allocable from TEM and TFS during these periods.

Other  income was $222 for the  nine-month  period  ended  September  30,  1997,
representing  a decrease of $106,  or 32%, from the  equivalent  period in 1996.
This decrease was primarily due to a decrease in gain on sale of Equipment.

Net earnings per limited  partnership unit decreased to $0.57 for the nine-month
period  ended  September  30, 1997 from $0.93 for the  nine-month  period  ended
September 30, 1996,  reflecting the decrease in net earnings from $6,344 for the
nine-month  period  ended  September  30,  1996 to $3,885 for the same period in
1997.

The  following is a comparative  analysis of the results of  operations  for the
three-month periods ended September 30, 1997 and 1996.

The  Partnership's  income from  operations  for the  three-month  period  ended
September  30,  1997 was $1,365 on gross  rental  income of $5,340,  compared to
$1,910 on gross  rental  income  for  $5,810  for the same  period in 1996.  The
largest component of total rental income is income from container rentals, which
decreased by $375 or 7%, from the three-month period ended September 30, 1996 to
the  equivalent  period in 1997.  This  decline was due to a decrease in average
daily rental rates of 9%.

The balance of rental income for the three-month period ended September 30, 1997
was $382, a decrease of $95, or 20%,  compared to the equivalent period in 1996.
The primary  component  of this  decrease  was a decrease in location  income of
$210,  offset by an increase in handling income of $108. The decline in location
income is primarily due to lower demand,  which  required an increase in credits
given to lessees for  picking up units from  surplus  locations.  An increase in
container  movement offset by lower average handling charges to lessees resulted
in increased  handling  income for the  three-months  ending  September 30, 1997
compared to the equivalent period in 1996.

Direct  container  expenses,  excluding bad debt expense,  increased by $246, or
25%, from the  three-month  period ended  September  30, 1996 to the  comparable
period in 1997.  The primary  components  of this  increase  were  increases  in
repositioning and handling expenses.  Repositioning expenses increased primarily
due to an  increase  in  the  number  of  units  transported  to  higher  demand
locations.  Handling  expense  increased  due to an increase in the  movement of
containers at a higher average cost.

Bad debt  expense  decreased  from an expense of $81 in the  three-month  period
ended  September 30, 1996 to a benefit of $14 in the equivalent  period of 1997.
This decrease is due to lower reserve requirements.

Depreciation  expense remained fairly constant from the three-month period ended
September 30, 1996 to the comparable period in 1997.

Management  fees to  affiliates  decreased  by $46,  or 8%, for the  three-month
periods  ended  September 30, 1997 from the  equivalent  period in 1996 due to a
decrease in Equipment and incentive  management fees.  Equipment management fees
decreased  by $32,  or 8%, due to the  decrease in rental  income and  incentive
management  fees  decreased  by $14,  or 9%,  due to a decrease  in the  limited
partners' distribution percentage.

General and administrative costs to affiliates decreased by 6%, or $19, from the
three-month  period ended  September 30, 1996 to the comparable  period in 1997,
due to a decrease  in overhead  costs  allocable  from TFS and TEM during  these
periods.

Other  income was $27 for the  three-month  period  ended  September  30,  1997,
representing  a decrease of $93, or 78% over the  equivalent  period in 1996 and
was primarily due to a $95 decrease in gain from sales of Equipment.

Net  earnings  per  limited  partnership  unit  decreased  from  $0.29  for  the
three-month  period ended September 30, 1996 to $0.20 for the three-month period
ended  September 30, 1997,  reflecting  the decrease in net earnings from $1,993
for the  three-month  period  ended  September  30,  1996 to $1,358 for the same
period in 1997.

Although  substantially  all of the  Partnership's  income  from  operations  is
derived from assets employed in foreign operations, virtually all of this income
is  denominated  in United  States  dollars.  The  Partnership's  customers  are
international  shipping  lines  which  transport  goods on  international  trade
routes.  The  domicile  of the lessee is not  indicative  of where the lessee is
transporting  the  Equipment.  The  Partnership's  business  risk in its foreign
operations lies with the  creditworthiness of the lessees, and the Partnership's
ability to keep the Equipment under lease at profitable  rates,  rather than the
geographic  location  of the  Equipment  or the  domicile  of the  lessees.  The
Equipment is generally  operated on the  international  high seas rather than on
domestic  waterways.  The  Equipment  is  subject  to the  risk of war or  other
political,  economic or social occurrence where the Equipment is used, which may
result in the loss of Equipment,  which,  in turn, may have a material impact on
the  Partnership's  results of operations and financial  condition.  The General
Partners are not aware of any  conditions  as of September  30, 1997 which would
result in such risk materializing.

Other risks of the Partnership's  leasing  operations include  competition,  the
cost of  repositioning  Equipment  after  it  comes  off-lease,  the  risk of an
uninsured  loss,  increases in maintenance  expenses or other costs of operating
the  Equipment,  and the effect of world trade,  industry  trends and/or general
business and economic cycles on the Partnership's operations. See "Risk Factors"
in the Partnership's Prospectus, as supplemented,  for additional information on
risks of the Partnership's business.



<PAGE>



                                   SIGNATURES


Pursuant  to the  requirements  of the  Securities  Exchange  Act of  1934,  the
Registrant  has duly  caused  this  report  to be  signed  on its  behalf by the
undersigned, thereunto duly authorized.


                                     TEXTAINER EQUIPMENT INCOME FUND IV, L.P.
                                     (A California Limited Partnership)

                                     By Textainer Financial Services Corporation
                                     The Managing General Partner



                                     By _______________________________
                                         John R. Rhodes
                                         Executive Vice President


Date:  November 13, 1997

Pursuant to the requirements of the Securities Exchange Act of 1934, this report
has been signed below by the following persons on behalf of Textainer  Financial
Services  Corporation,  the Managing  General Partner of the Registrant,  in the
capacities and on the dates indicated:


<TABLE>
<CAPTION>
Signature                                      Title                                          Date




<S>                                            <C>                                            <C>
-----------------------------------------      Executive Vice President,                      November 13, 1997
John R. Rhodes                                 (Principal Financial and
                                               Accounting Officer) and
                                               Secretary


-----------------------------------------      President (Principal Executive                 November 13, 1997
James E. Hoelter                               Officer) and Director

</TABLE>
<PAGE>




                                   SIGNATURES


Pursuant  to the  requirements  of the  Securities  Exchange  Act of  1934,  the
Registrant  has duly  caused  this  report  to be  signed  on its  behalf by the
undersigned, thereunto duly authorized.


                                     TEXTAINER EQUIPMENT INCOME FUND IV, L.P.
                                     (A California Limited Partnership)

                                     By Textainer Financial Services Corporation
                                     The Managing General Partner



                                     By /s/John R. Rhodes
                                        ----------------------------------------
                                        John R. Rhodes
                                        Executive Vice President


Date:  November 13, 1997


Pursuant to the requirements of the Securities Exchange Act of 1934, this report
has been signed below by the following persons on behalf of Textainer  Financial
Services  Corporation,  the Managing  General Partner of the Registrant,  in the
capacities and on the dates indicated:


<TABLE>
<CAPTION>
Signature                                          Title                                            Date



<S>                                                <C>                                              <C> 
/s/John R. Rhodes                                  Executive Vice President,                        November 13, 1997
-----------------------------------------          (Principal Financial and
John R. Rhodes                                     Accounting Officer) and
                                                   Secretary

/s/James E. Hoelter                                President (Principal Executive                   November 13, 1997
-----------------------------------------          Officer) and Director
James E. Hoelter                                   


</TABLE>