SEC FORM 4

SEC Form 4

FORM 4

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

STATEMENT OF CHANGES IN BENEFICIAL OWNERSHIP

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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Check this box if no longer subject to Section 16. Form 4 or Form 5 obligations may continue. See Instruction 1(b).

1. Name and Address of Reporting Person^*

KEYSER RICHARD L

(Last)

(First)

(Middle)

100 GRAINGER PARKWAY

(Street)

LAKE FOREST

60045-5201

(City)

(State)

(Zip)

2. Issuer Name and Ticker or Trading Symbol
GRAINGER W W INC [ GWW ]

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

	Director	10% Owner
X	Officer (give title below)	Other (specify below)
	Chairman and CEO

3. Date of Earliest Transaction (Month/Day/Year)
05/15/2008

4. 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 Acquired, Disposed of, or Beneficially Owned
1. Title of Security (Instr. 3)	2. Transaction Date (Month/Day/Year)	2A. Deemed Execution Date, if any (Month/Day/Year)	3. Transaction Code (Instr. 8)		4. Securities Acquired (A) or Disposed Of (D) (Instr. 3, 4 and 5)			5. Amount of Securities Beneficially Owned Following Reported Transaction(s) (Instr. 3 and 4)	6. Ownership Form: Direct (D) or Indirect (I) (Instr. 4)	7. Nature of Indirect Beneficial Ownership (Instr. 4)
1. Title of Security (Instr. 3)	2. Transaction Date (Month/Day/Year)	2A. Deemed Execution Date, if any (Month/Day/Year)	Code	V	Amount	(A) or (D)	Price		6. Ownership Form: Direct (D) or Indirect (I) (Instr. 4)	7. Nature of Indirect Beneficial Ownership (Instr. 4)
Common Stock	05/15/2008		M		27,860	A	$43.5	250,225	D
Common Stock	05/15/2008		M		12,140	A	$43.5	262,365	D
Common Stock	05/15/2008		S		100	D	$89.5	262,265	D
Common Stock	05/15/2008		S		100	D	$89.505	262,165	D
Common Stock	05/15/2008		S		100	D	$89.51	262,065	D
Common Stock	05/15/2008		S		200	D	$89.54	261,865	D
Common Stock	05/15/2008		S		845	D	$89.55	261,020	D
Common Stock	05/15/2008		S		400	D	$89.555	260,620	D
Common Stock	05/15/2008		S		300	D	$89.5575	260,320	D
Common Stock	05/15/2008		S		3,100	D	$89.56	257,220	D
Common Stock	05/15/2008		S		300	D	$89.565	256,920	D
Common Stock	05/15/2008		S		100	D	$89.5675	256,820	D
Common Stock	05/15/2008		S		600	D	$89.57	256,220	D
Common Stock	05/15/2008		S		100	D	$89.575	256,120	D
Common Stock	05/15/2008		S		1,100	D	$89.58	255,020	D
Common Stock	05/15/2008		S		100	D	$89.59	254,920	D
Common Stock	05/15/2008		S		800	D	$89.6	254,120	D
Common Stock	05/15/2008		S		300	D	$89.62	253,820	D
Common Stock	05/15/2008		S		200	D	$89.63	253,620	D
Common Stock	05/15/2008		S		300	D	$89.6325	253,320	D
Common Stock	05/15/2008		S		400	D	$89.64	252,920	D
Common Stock	05/15/2008		S		400	D	$89.645	252,520	D
Common Stock	05/15/2008		S		960	D	$89.65	251,560	D
Common Stock	05/15/2008		S		200	D	$89.6525	251,360	D
Common Stock	05/15/2008		S		100	D	$89.655	251,260	D
Common Stock	05/15/2008		S		200	D	$89.66	251,060	D
Common Stock	05/15/2008		S		100	D	$89.6625	250,960	D
Common Stock	05/15/2008		S		1,000	D	$89.67	249,960	D
Common Stock	05/15/2008		S		100	D	$89.675	249,860	D
Common Stock	05/15/2008		S		200	D	$89.68	249,660	D

Table II - Derivative Securities Acquired, Disposed of, or Beneficially Owned (e.g., puts, calls, warrants, options, convertible securities)
1. Title of Derivative Security (Instr. 3)	2. Conversion or Exercise Price of Derivative Security	3. Transaction Date (Month/Day/Year)	3A. Deemed Execution Date, if any (Month/Day/Year)	4. Transaction Code (Instr. 8)		5. Number of Derivative Securities Acquired (A) or Disposed of (D) (Instr. 3, 4 and 5)		6. Date Exercisable and Expiration Date (Month/Day/Year)		7. Title and Amount of Securities Underlying Derivative Security (Instr. 3 and 4)		8. Price of Derivative Security (Instr. 5)	9. Number of derivative Securities Beneficially Owned Following Reported Transaction(s) (Instr. 4)	10. Ownership Form: Direct (D) or Indirect (I) (Instr. 4)	11. Nature of Indirect Beneficial Ownership (Instr. 4)
1. Title of Derivative Security (Instr. 3)	2. Conversion or Exercise Price of Derivative Security	3. Transaction Date (Month/Day/Year)	3A. Deemed Execution Date, if any (Month/Day/Year)	Code	V	(A)	(D)	Date Exercisable	Expiration Date	Title	Amount or Number of Shares	8. Price of Derivative Security (Instr. 5)		10. Ownership Form: Direct (D) or Indirect (I) (Instr. 4)	11. Nature of Indirect Beneficial Ownership (Instr. 4)
Option	$43.5	05/15/2008		M			27,860	04/26/2003	04/25/2010	Common Stock	27,860	$0	0	D
Option	$43.5	05/15/2008		M			12,140	⁽¹⁾	04/25/2010	Common Stock	12,140	$0	0	D
Option	$54.61							04/24/2005	04/23/2012	Common Stock	175,000		175,000	D
Option	$45.5							04/30/2006	04/29/2013	Common Stock	174,000		174,000	D
Option	$54.14							04/28/2007	04/27/2014	Common Stock	81,000		81,000	D
Option	$52.29							04/27/2008	04/26/2015	Common Stock	90,000		90,000	D
Option	$76.61							04/26/2009	04/25/2016	Common Stock	80,000		80,000	D
Option	$83.08							04/25/2010	04/24/2017	Common Stock	80,000		80,000	D
Option	$85.82							04/30/2011	04/29/2018	Common Stock	150,000		150,000	D

Explanation of Responses:

1. Exercisable in four equal annual installments beginning 4/26/2001.

Remarks:

This is the first of three Forms 4 to report all May 15, 2008 transactions for the reporting person.

	J. L. Howard, as attorney-in-fact	05/19/2008
	** 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 4 (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.