A prediction equation for teacher morale was developed from the responses of 236 teachers in a large school system in Mississippi. The Supervisory Conference Rating (SCR) was used to measure teachers' perceptions of the supervisory conference following observation by the principal. The Zones of Indifference of these teachers were measured with the Zones of Indifference Instrument, and the Purdue Teacher Opinionnaire was used as a measure of teacher morale. All correlation coefficients except SCR 1 and total SCR were significant. Higher morale scores were reported by: (1) younger teachers; (2) teachers with wider zones of indifference; (3) teachers receiving the supervisor conference more positively; (4) those who teach at lower levels; (5) teachers with fewer years of experience; (6) teachers with shorter tenure at their present school; and (7) female teachers. (SLD)