FOR IMMEDIATE RELEASE

Investor / Media Contact
Maria Duey
Vice President – Investor Relations
313.792.5500
maria_duey@mascohq.com

MASCO CORPORATION REPORTS SECOND QUARTER RESULTS

     Second Quarter 2009

• Net sales from continuing operations declined 23 percent to $2.0 billion.

• Income from continuing operations, as reported, was $.15 per common share.

• The Company had over $900 million of cash at June 30, 2009.

Taylor, Mich., (July 27, 2009) — Masco Corporation (NYSE: MAS) today reported that net sales from continuing operations for the quarter ended June 30, 2009 declined 23 percent to $2.0 billion compared with $2.6 billion for the second quarter of 2008. North American sales declined 21 percent and International sales declined 30 percent. In local currencies, International sales declined 17 percent compared with the second quarter of 2008.

The second quarter of 2009 results were adversely affected by significantly lower sales volume of new home construction products and services, as well as a continued decline in consumer spending for home improvement products in both North American and International markets, as well as a less favorable product mix. The negative market conditions were partially offset by increased sales volume of paints and stains, improved relationship between selling prices and commodity costs and the benefits associated with business rationalizations and other cost savings initiatives.

Income from continuing operations was $.15 per common share in the second quarter of 2009 compared to income from continuing operations of $.20 per common share in the second quarter of 2008.

“While market conditions remain very difficult, our second quarter operating performance was better than anticipated. Sales benefitted from new product introductions and market share gains, and we continue to see the positive impact on our cost structure of the rationalization initiatives that we have implemented across the Company. We very much appreciate the efforts of our employees, world-wide, who are making it all happen in an incredibly tough environment” said Masco’s CEO Tim Wadhams.

The Company continues to focus on the rationalization of its businesses, including business consolidations, plant closures, headcount reductions, system implementations and other initiatives. During the second quarters of 2009 and 2008, the Company incurred costs and charges of $22 million pre-tax ($.04 per common share, after tax) and $15 million pre-tax ($.03 per common share, after tax), respectively, related to these initiatives.

1

Outlook 2009

Business conditions remain difficult in the Company’s markets. The Company continues to estimate that 2009 housing starts will decline 40 percent to approximately 550,000 units. The Company also anticipates that consumer spending for home improvement products in North American and International markets will continue at depressed levels in the near-term.

While the unprecedented changes in the global economic and financial market environment make forecasting future business conditions extremely difficult, the Company currently estimates that its 2009 sales will decline approximately 18 to 22 percent compared to 2008. The Company’s previous guidance estimated that its full-year 2009 sales decline would be 20 to 25 percent compared to 2008.

The Company currently estimates that its 2009 full-year loss will be in a range of $(.05) to $(.25) per common share, reflecting the slightly improved sales forecast. The guidance also includes approximately $15 million pre-tax ($.03 per common share, after tax) of additional costs and charges for plans undertaken to further rationalize the Company’s business (resulting in a full-year total of approximately $85 million pre-tax, $.15 per common share after tax), but does not include any additional costs and charges that may result from the continued evaluation of the Company’s businesses or any other charges. The Company’s previous guidance was a loss in a range of $(.15) to $(.35) per common share for the full-year 2009.

While the Company expects a full-year loss, the guidance includes an estimate of income tax expense, principally related to income tax liabilities in certain jurisdictions where losses provide no tax benefit. As a result, quarterly and full-year results for 2009 will reflect unusual relationships between income taxes and income (loss) before income taxes. In the second quarter of 2009 the Company reported pre-tax income of $63 million and $1 million of tax expense. A normalized tax rate of 36 percent would have reduced second quarter 2009 earnings by $.06 per common share.

The Company estimates that 2009 free cash flow (cash from operations, after capital expenditures and before dividends) will be relatively strong and approximate $360 million. This compares with the Company’s previous guidance of free cash flow of approximately $300 million.

Although the Company is confident that the long-term fundamentals for the new home construction and home improvement markets are positive, the Company expects that market conditions will be extremely challenging over the next several quarters, given the continued uncertainty in the global economic and financial markets. The Company believes that its strong financial position (including cash of over $900 million at June 30, 2009, its ability to generate positive cash flow during 2009 and unused bank lines) together with its current strategy of re-aligning its cost structure, investing in leadership brands, driving innovation and re-engineering its supply chains, will allow it to drive long-term growth and create value for our shareholders.

Headquartered in Taylor, Michigan, Masco Corporation is one of the world’s leading manufacturers of home improvement and building products, as well as a leading provider of services that include the installation of insulation and other building products.

2

The 2009 second quarter results and supplemental material, including a presentation in PDF format, will be distributed after the market closes on July 27, 2009 and will be available on the Company’s Web site at www.masco.com.

A conference call regarding items contained in this release is scheduled for Tuesday, July 28, 2009 at 8:00 a.m. ET. Participants in the call are asked to register five to ten minutes prior to the scheduled start time by dialing (913) 312-0413 (confirmation #8841487). The conference call will be webcast simultaneously on the Company’s Web site at www.masco.com and supplemental material, including the financial data referred to on the call and a reconciliation of non-GAAP information provided on the call, will also be available on the Web site. A replay of the call will be available on Masco’s Web site or by phone by dialing (719) 457-0820 (replay access code #8841487) approximately two hours after the end of the call and will continue through August 3, 2009.

Masco Corporation’s press releases and other information are available through the Company’s toll free number, 1-888-MAS-NEWS, or under the Investor Relations section of Masco’s Web site at www.masco.com.

# # #

Statements contained herein, or otherwise made available, that reflect the Company’s views about its future performance may constitute “forward-looking statements” under the Private Securities Litigation Reform Act of 1995. These views involve risks and uncertainties that are difficult to predict and the Company’s results may differ materially from the results discussed in such forward-looking statements. For further information, refer to our most recent Annual Report on Form 10-K (particularly the “Risk Factors” and “Management’s Discussion and Analysis of Financial Condition and Results of Operations” sections) and to any subsequent Quarterly Reports on Form 10-Q, all of which are on file with the Securities and Exchange Commission. The Company undertakes no obligation to update any forward-looking statements, whether as a result of new information, future events or otherwise. Certain of the financial and statistical data made available are non-GAAP financial measures as defined by the SEC’s Regulation G. The Company believes that such non-GAAP performance measures and ratios used in managing the business may provide users with meaningful comparisons between current results and results in prior periods. Non-GAAP performance measures and ratios should be viewed in addition to, and not as an alternative for, the Company’s reported results under accounting principles generally accepted in the United States. Additional information about the Company is contained in the Company’s filings with the SEC and is available on Masco’s Web site.

3

MASCO CORPORATION
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS — UNAUDITED
For the Three Months and Six Months Ended June 30, 2009 and 2008
(In Millions, Except Per Common Share Data)

	Three Months Ended						Six Months Ended
	June 30,						June 30,
	2009			2008			2009			2008
Net sales	$	2,036		$	2,643		$	3,855		$	5,093
Cost of sales		1,490			1,943			2,893			3,763
Gross profit		546			700			962			1,330
Selling, general and administrative expenses		434			485			849			961
Charge for defined-benefit plan curtailment		—			—			8			—
Operating profit		112			215			105			369
Other income (expense), net		(49	)		(56	)		(108	)		(140	)
Income (loss) from continuing operations before income taxes		63			159			(3	)		229
Income taxes		1			75			9			115
Income (loss) from continuing operations		62			84			(12	)		114
Income (loss) from discontinued operations, net		1			10			1			(6	)
Net income (loss)		63			94			(11	)		108
Less: Net income attributable to non-controlling interest		8			12			15			24
Net income (loss) attributable to Masco Corporation	$	55		$	82		$	(26	)	$	84
Earnings per common share attributable to Masco Corporation (diluted):
Income (loss) from continuing operations	$	0.15		$	0.20		$	(0.08	)	$	0.24
Income (loss) from discontinued operations, net		—			0.03			—			(0.02	)
Net income (loss) attributable to Masco Corporation	$	0.15		$	0.23		$	(0.08	)	$	0.23
Average diluted common shares outstanding		350			354			351			355
Amounts attributable to Masco Corporation:
Income (loss) from continuing operations	$	54		$	72		$	(27	)	$	90
Income (loss) from discontinued operations, net		1			10			1			(6	)
Net income (loss) attributable to Masco Corporation	$	55		$	82		$	(26	)	$	84

Masco Corporation
Key Financial Data As Reported — Unaudited
Q2 — 2009 and 2008 (In Millions, Except Earnings Per Share and Working Capital Days)

Sales & Earnings	6/30/2009			6/30/2008			Change
Net Sales	$	2,036		$	2,643			-23	%
Operating Profit	$	112		$	215			N/A
Operating Profit % to Net Sales		5.5	%		8.1	%		(260	)bps
Other Income (Expense), Net	$	(49	)	$	(56	)		-13	%
Income Tax	$	1		$	75			N/A
Income from Discontinued Operations, Net	$	1		$	10			N/A
Net (Income) Attributable to Non-controlling Interest	$	(8	)	$	(12	)		-33	%
Net Income Attributable to Masco Corporation	$	55		$	82			N/A
Diluted EPS from Continuing Operations	$	0.15		$	0.20			N/A

Operating Expenses	6/30/2009			6/30/2008			Change
Cost of Sales	$	1,490		$	1,943			-23	%
Gross Margin		26.8	%		26.5	%		30	bps
SG&A Expenses (Including GCE)	$	434		$	485			-11	%
SG&A as a % of net sales		21.3	%		18.4	%		(290	)bps
General Corporate Expense (GCE)	$	27		$	35			-23	%
General Corp Expense as a % of net sales		1.3	%		1.3	%		—	bps

Business Segments	6/30/2009			6/30/2008			Change
Cabinets and Related Products:
Net Sales	$	419		$	608			-31	%
Operating (Loss) Profit	$	(12	)	$	37			N/A
Operating (Loss) Profit % to Net Sales		-2.9	%		6.1	%		(900	)bps
Plumbing Products:
Net Sales	$	654		$	857			-24	%
Operating Profit	$	70		$	107			N/A
Operating Profit % to Net Sales		10.7	%		12.5	%		(180	)bps
Installation and Other Services:
Net Sales	$	312		$	508			-39	%
Operating (Loss) Profit	$	(34	)	$	4			N/A
Operating (Loss) Profit % to Net Sales		-10.9	%		0.8	%		(1,170	)bps
Decorative Architectural Products:
Net Sales	$	505		$	476			6	%
Operating Profit	$	116		$	89			N/A
Operating Profit % to Net Sales		23.0	%		18.7	%		430	bps
Other Specialty Products:
Net Sales	$	146		$	194			-25	%
Operating Profit	$	7		$	13			N/A
Operating Profit % to Net Sales		4.8	%		6.7	%		(190	)bps
Total Segment Reported:
Net Sales	$	2,036		$	2,643			-23	%
Operating Profit	$	147		$	250			N/A
Operating Profit % to Net Sales		7.2	%		9.5	%		(230	)bps
Change in Key Retailer Sales		-7	%		-13	%

Masco Corporation
Key Financial Data As Reported — Unaudited
Q2 — 2009 and 2008 (In Millions, Except Earnings Per Share and Working Capital Days

Business Regions	6/30/2009			6/30/2008			Change
North America
Net Sales	$	1,630		$	2,067			-21	%
Operating Profit	$	119		$	200			N/A
Operating Profit % to Net Sales		7.3	%		9.7	%		(240	)bps
International, principally Europe
Net Sales	$	406		$	576			-30	%
Operating Profit	$	28		$	50			N/A
Operating Profit % to Net Sales		6.9	%		8.7	%		(180	)bps
Other	6/30/2009			6/30/2008
Dividend Payments	$	27		$	84
Cash Paid for Share Repurchases	$	—		$	47
Common Shares Repurchased		—			3
CAPEX	$	23		$	49
Depreciation and Amortization	$	66		$	59
Average diluted common shares outstanding		350			354

Masco Corporation
Key Financial Data As Reported — Unaudited
Q2 YTD — 2009 and 2008 (In Millions, Except Earnings Per Share and Working Capital Days)

Sales & Earnings	6/30/2009			6/30/2008			Change
Net Sales	$	3,855		$	5,093			-24	%
Operating Profit	$	105		$	369			N/A
Operating Profit % to Net Sales		2.7	%		7.2	%		(450	)bps
Other Income (Expense), Net	$	(108	)	$	(140	)		-23	%
Income Tax	$	9		$	115			N/A
Income (Loss) from Discontinued Operations, Net	$	1		$	(6	)		N/A
Net (Income) Attributable to Non-controlling Interest	$	(15	)	$	(24	)		-38	%
Net (Loss) Income Attributable to Masco Corporation	$	(26	)	$	84			N/A
Diluted EPS from Continuing Operations	$	(0.08	)	$	0.24			N/A

Operating Expenses	6/30/2009			6/30/2008			Change
Cost of Sales	$	2,893		$	3,763			-23	%
Gross Margin		25.0	%		26.1	%		(110	)bps
SG&A Expenses (Including GCE)	$	849		$	961			-12	%
SG&A as a % of net sales		22.0	%		18.9	%		(310	)bps
General Corporate Expense (GCE)	$	60		$	78			-23	%
General Corp Expense as a % of net sales		1.6	%		1.5	%		(10	)bps

Business Segments	6/30/2009			6/30/2008			Change
Cabinets and Related Products:
Net Sales	$	814		$	1,204			-32	%
Operating (Loss) Profit	$	(40	)	$	65			N/A
Operating (Loss) Profit % to Net Sales		-4.9	%		5.4	%		(1,030	)bps
Plumbing Products:
Net Sales	$	1,260		$	1,678			-25	%
Operating Profit	$	100		$	206			N/A
Operating Profit % to Net Sales		7.9	%		12.3	%		(440	)bps
Installation and Other Services:
Net Sales	$	629		$	994			-37	%
Operating (Loss) Profit	$	(70	)	$	(2	)		N/A
Operating (Loss) Profit % to Net Sales		-11.1	%		-0.2	%		(1,090	)bps
Decorative Architectural Products:
Net Sales	$	891		$	855			4	%
Operating Profit	$	191		$	163			N/A
Operating Profit % to Net Sales		21.4	%		19.1	%		230	bps
Other Specialty Products:
Net Sales	$	261		$	362			-28	%
Operating Profit	$	—		$	21			N/A
Operating Profit % to Net Sales		0.0	%		5.8	%		(580	)bps
Total Segment Reported:
Net Sales	$	3,855		$	5,093			-24	%
Operating Profit	$	181		$	453			N/A
Operating Profit % to Net Sales		4.7	%		8.9	%		(420	)bps
Change in Key Retailer Sales		-9	%		-11	%

Masco Corporation
Key Financial Data As Reported — Unaudited
Q2 YTD — 2009 and 2008 (In Millions, Except Earnings Per Share and Working Capital Days)

Business Regions	6/30/2009			6/30/2008			Change
North America
Net Sales	$	3,064		$	3,960			-23	%
Operating Profit	$	138		$	349			N/A
Operating Profit % to Net Sales		4.5	%		8.8	%		(430	)bps
International, principally Europe
Net Sales	$	791		$	1,133			-30	%
Operating Profit	$	43		$	104			N/A
Operating Profit % to Net Sales		5.4	%		9.2	%		(380	)bps

Working Capital	6/30/2009			6/30/2008			Change
Receivable Days		52			52			—
Inventory Days		52			54			(2	)
Payable Days		46			44			2
Working Capital (Receivables+Inventory-Payables)	$	1,485		$	1,938			-23	%
Working Capital as a % of Sales (As Reported TTM1)		17.8	%		18.1	%		30	bps
Other	6/30/2009			6/30/2008
Dividend Payments	$	112		$	168
Cash Paid for Share Repurchases2	$	11		$	147
Common Shares Repurchased2		2			8
CAPEX	$	50		$	92
Depreciation and Amortization	$	128		$	119
Return on Invested Capital (As Reported TTM)		-1.9	%		7.2	%
Return on Invested Capital (As Reconciled TTM)		2.8	%		8.0	%
Average diluted common shares outstanding		351			355
Average diluted common shares outstanding (July 1)		350			352
Debt Ratio	6/30/2009			12/31/2008
Long-Term Debt	$	3,610		$	3,915
Notes Payable	$	370		$	71
Total Debt	$	3,980		$	3,986
Shareholders’ Equity3	$	3,005		$	2,981
Debt to Capital		57	%		57	%

1-	Trailing Twelve Months.
2-	Common shares were repurchased to offset the effect of stock award grants in the first quarter of 2009.
3-	Shareholders’ Equity at 12/31/08 includes $135 million related to the noncontrolling interest reclassification.

Masco Corporation — 2nd Quarter 2009

Page
	1	Condensed Consolidated Statements of Operations — 2009 & 2008 by Quarter — Unaudited
	2	Notes to Condensed Consolidated Statements of Operations — 2009 & 2008 by Quarter — Unaudited
	3	2009 Quarterly Segment Data Excluding Costs and Charges for Business Rationalizations and Other Initiatives — Unaudited
	4	2009 Quarterly Segment Data Including Costs and Charges for Business Rationalizations and Other Initiatives — Unaudited
	5	2008 Quarterly Segment Data Excluding Costs and Charges for Business Rationalizations and Other Initiatives and Impairment Charges for Goodwill and Other Intangible Assets — Unaudited
	6	2008 Quarterly Segment Data Including Costs and Charges for Business Rationalizations and Other Initiatives and Impairment Charges for Goodwill and Other Intangible Assets — Unaudited
	7	Other Income (Expense), Net — 2009 & 2008 by Quarter — Unaudited
	8	Condensed Consolidated Balance Sheets — Unaudited
		GAAP Reconciliations:
	9	Sales Growth Excluding the Effect of Acquisitions and Currency Translation — Unaudited
	10	Operating Profit and Margins — Unaudited
	11	Operating (Loss) Profit and Shareholders’ Equity — Unaudited

MASCO CORPORATION
Condensed Consolidated Statements of Operations
2009 & 2008 — by Quarter — Unaudited
(dollars in millions, except per share data)

	2009									2008
	Year	Qtr. 4	Qtr. 3	Qtr. 2			Qtr. 1			Year			Qtr. 4			Qtr. 3			Qtr. 2			Qtr. 1
Consolidated Net Sales				$	2,036		$	1,819		$	9,600		$	1,979		$	2,528		$	2,643		$	2,450
Cost of Sales					1,490			1,403			7,224			1,581			1,880			1,943			1,820
Gross Profit					546			416			2,376			398			648			700			630
(Gross Margin as a % of Sales)					26.8	%		22.9	%		24.8	%		20.1	%		25.6	%		26.5	%		25.7	%
SG&A Expense (before lines 1, 2, 3, 4, 5)					407			382			1,682			388			417			450			427
(S,G&A Expense as a % of Sales)					20.0	%		21.0	%		17.5	%		19.6	%		16.5	%		17.0	%		17.4	%
Operating Profit (before lines 1, 2, 3, 4, 5)					139			34			694			10			231			250			203
(Operating Margin as a % of Sales)					6.8	%		1.9	%		7.2	%		0.5	%		9.1	%		9.5	%		8.3	%
1 General Corporate Expense (GCE), Net					27			33			144			34			32			35			43
S,G&A Expense as a % of Sales (including lines 1,2,3,4,5)					21.3	%		23.3	%		19.0	%		21.3	%		17.8	%		18.4	%		19.2	%
2 Charge for Defined-Benefit Plan Curtailment					—			8			—			—			—			—			—
3 (Income) / Charge for Planned Disposition of Business					—			—			—			—			(6	)		—			6
4 Charge for Litigation Settlement					—			—			9			—			9			—			—
5 Impairment Charges for Goodwill and Other Intangible Assets					—			—			467			467			—			—			—
Operating (Loss) Profit per F/S				$	112		$	(7	)	$	74		$	(491	)	$	196		$	215		$	154
Earnings (Loss) Per Common Share Attributable to Masco Corporation (Diluted):
Earnings (Loss) from Continuing Operations				$	0.15		$	(0.23	)	$	(1.11	)	$	(1.45	)	$	0.10		$	0.20		$	0.04
Earnings (Loss) from Discontinued Operations, Net					—			—			(0.02	)		—			(0.01	)		0.03			(0.04	)
Net Income (Loss)				$	0.15		$	(0.23	)	$	(1.13	)	$	(1.45	)	$	0.09		$	0.23		$	—

Please see page 2 for Notes.

Page 1

MASCO CORPORATION
Notes To Condensed Consolidated Statements of Operations
2009 & 2008 — by Quarter — Unaudited

Notes:

- Operating results for the first and second quarters of 2009 include costs and charges related to business rationalizations and other initiatives of $24 million pre-tax ($.04 per common share, after tax) and $22 million pre-tax ($.04 per common share, after tax), respectively.

- Operating results for the second quarter of 2009 include accelerated stock compensation expense of $6 million pre-tax ($.01 per common share, after tax).

- Operating results for the first quarter of 2009 include a non-cash charge of $8 million pre-tax ($.01 per common share, after tax) related to the curtailment and remeasurement of certain of the Company’s defined-benefit pension plans.

- Income from continuing operations for the first and second quarters of 2009 includes non-cash impairment charges for financial investments of $3 million pre-tax ($.01 per common share, after tax) and $7 million pre-tax ($.01 per common share, after tax), respectively.

- Operating results for the fourth quarter of 2008 include non-cash impairment charges for goodwill and other intangible assets of $467 million pre-tax ($1.27 per common share, after tax).

- Operating results for the first, second, third and fourth quarters of 2008 include costs and charges related to business rationalizations and other initiatives of $9 million pre-tax ($.02 per common share, after tax), $15 million pre-tax ($.03 per common share, after tax), $16 million per common share pre-tax ($.03 per common share, after tax) and $43 million pre-tax ($.08 per common share, after tax), respectively.

- Income from continuing operations for the first, second, third and fourth quarters of 2008 includes non-cash impairment charges for financial investments of $26 million pre-tax ($.05 per common share, after tax), $3 million pre-tax, $1 million pre-tax and $28 million pre-tax ($.05 per common share, after tax), respectively.

- Income (loss) from discontinued operations for the first and second quarters of 2008 includes non-cash charges for those business units that are expected to be divested at a loss of $43 million pre-tax ($.06 per common share, after tax) and $2 million pre-tax, respectively.

- Per common share amounts for the four quarters of 2008 do not total to the per common share amounts for the year, primarily due to the timing of common stock transactions.

- Earnings per common share amounts reflect the adoption of EITF 03-6-1 “Determining Whether Instruments Granted in Share-Based Transactions are Participating Securities,” which was effective January 1, 2009 and required retrospective application.

Page 2

MASCO CORPORATION
Quarterly Segment Data — 2009
Excluding Costs and Charges for Business Rationalizations and Other Initiatives — Unaudited
(dollars in millions)

	Year	Qtr. 4	Qtr. 3	Qtr. 2			Qtr. 1
Net Sales:
- Cabinets and Related Products				$	419		$	395
- Plumbing Products					654			606
- Installation and Other Services					312			317
- Decorative Architectural Products					505			386
- Other Specialty Products					146			115
- Total				$	2,036		$	1,819
- North America				$	1,630		$	1,434
- International, principally Europe					406			385
- Total, as above				$	2,036		$	1,819
Operating (Loss) Profit:
- Cabinets and Related Products				$	(2	)	$	(19	)
- Plumbing Products					74			33
- Installation and Other Services					(27	)		(28	)
- Decorative Architectural Products					116			75
- Other Specialty Products					8			(5	)
- Total				$	169		$	56
- North America				$	141		$	39
- International, principally Europe					28			17
- Total, as above				$	169		$	56
General Corporate Expense (GCE), Net					27			31
Accelerated Stock Compensation Expense					6			—
Loss on Corporate Fixed Assets, Net					2			—
Charge for Defined-Benefit Plan Curtailment					—			8
Operating Profit (after GCE and Adjustments)					134			17
Other Income (Expense), Net					(49	)		(59	)
(Loss) Income from Continuing Operations before Income Taxes				$	85		$	(42	)
Margins:
- Cabinets and Related Products					-0.5	%		-4.8	%
- Plumbing Products					11.3	%		5.4	%
- Installation and Other Services					-8.7	%		-8.8	%
- Decorative Architectural Products					23.0	%		19.4	%
- Other Specialty Products					5.5	%		-4.3	%
- Total					8.3	%		3.1	%
- North America					8.7	%		2.7	%
- International, principally Europe					6.9	%		4.4	%
- Total, as above					8.3	%		3.1	%

	Notes:
-	Operating (loss) profit and margins by segment and geographic area are before general corporate expense, charge for defined benefit plan curtailment, accelerated stock compensation expense and the loss on corporate fixed assets, net.
-	Operating (loss) profit margins for the second quarter of 2009 exclude costs and charges of $22 million pre-tax for business rationalizations and other initiatives as follows: Cabinets and Related Products ($10 million), Plumbing Products ($4 million), Installation and Other Services ($7 million) and Other Specialty Products ($1 million).
-	Operating (loss) profit margins for the first quarter of 2009 exclude costs and charges of $24 million pre-tax for business rationalizations and other initiatives as follows: Cabinets and Related Products ($9 million), Plumbing Products ($3 million), Installation and Other Services ($8 million), Other Specialty Products ($2 million) and GCE ($2 million).

Page 3

MASCO CORPORATION
Quarterly Segment Data — 2009
Including Costs and Charges for Business Rationalizations and Other Initiatives — Unaudited
(dollars in millions)

	Year	Qtr. 4	Qtr. 3	Qtr. 2			Qtr. 1
Net Sales:
- Cabinets and Related Products				$	419		$	395
- Plumbing Products					654			606
- Installation and Other Services					312			317
- Decorative Architectural Products					505			386
- Other Specialty Products					146			115
- Total				$	2,036		$	1,819
- North America				$	1,630		$	1,434
- International, principally Europe					406			385
- Total, as above				$	2,036		$	1,819
Operating (Loss) Profit:
- Cabinets and Related Products				$	(12	)	$	(28	)
- Plumbing Products					70			30
- Installation and Other Services					(34	)		(36	)
- Decorative Architectural Products					116			75
- Other Specialty Products					7			(7	)
- Total				$	147		$	34
- North America				$	119		$	19
- International, principally Europe					28			15
- Total, as above				$	147		$	34
General Corporate Expense (GCE), Net					27			33
Accelerated Stock Compensation Expense					6			—
Loss on Corporate Fixed Assets, Net					2			—
Charge for Defined-Benefit Plan Curtailment					—			8
Operating (Loss) Profit (after GCE and Adjustments)					112			(7	)
Other Income (Expense), Net					(49	)		(59	)
Income (Loss) from Continuing Operations before Income Taxes				$	63		$	(66	)
Margins:
- Cabinets and Related Products					-2.9	%		-7.1	%
- Plumbing Products					10.7	%		5.0	%
- Installation and Other Services					-10.9	%		-11.4	%
- Decorative Architectural Products					23.0	%		19.4	%
- Other Specialty Products					4.8	%		-6.1	%
- Total					7.2	%		1.9	%
- North America					7.3	%		1.3	%
- International, principally Europe					6.9	%		3.9	%
- Total, as above					7.2	%		1.9	%

	Notes:
-	Operating (loss) profit and margins by segment and geographic area are before general corporate expense and charge for defined benefit plan curtailment, accelerated stock compensation expense and the loss on corporate fixed assets, net.
-	Operating (loss) profit margins for the second quarter of 2009 include costs and charges of $22 million pre-tax for business rationalizations and other initiatives as follows: Cabinets and Related Products ($10 million), Plumbing Products ($4 million), Installation and Other Services ($7 million) and Other Specialty Products ($1 million).
-	Operating (loss) profit margins for the first quarter of 2009 include costs and charges of $24 million pre-tax for business rationalizations and other initiatives as follows: Cabinets and Related Products ($9 million), Plumbing Products ($3 million), Installation and Other Services ($8 million), Other Specialty Products ($2 million) and GCE ($2 million).

Page 4

MASCO CORPORATION
Quarterly Segment Data — 2008
Excluding Costs and Charges for Business Rationalizations and Other Initiatives
and Impairment Charges for Goodwill and Other Intangible Assets — Unaudited
(dollars in millions)

	Year			Qtr. 4			Qtr. 3			Qtr. 2			Qtr. 1
Net Sales:
- Cabinets and Related Products	$	2,276		$	488		$	584		$	608		$	596
- Plumbing Products		3,118			635			805			857			821
- Installation and Other Services		1,861			375			492			508			486
- Decorative Architectural Products		1,629			328			446			476			379
- Other Specialty Products		716			153			201			194			168
- Total	$	9,600		$	1,979		$	2,528		$	2,643		$	2,450
- North America	$	7,482		$	1,547		$	1,975		$	2,067		$	1,893
- International, principally Europe		2,118			432			553			576			557
- Total, as above	$	9,600		$	1,979		$	2,528		$	2,643		$	2,450
Operating Profit:
- Cabinets and Related Products	$	86		$	(12	)	$	29		$	40		$	29
- Plumbing Products		325			19			95			109			102
- Installation and Other Services		21			3			11			8			(1	)
- Decorative Architectural Products		301			42			95			90			74
- Other Specialty Products		37			(1	)		17			13			8
- Total	$	770		$	51		$	247		$	260		$	212
- North America	$	602		$	38		$	200		$	207		$	157
- International, principally Europe		168			13			47			53			55
- Total, as above	$	770		$	51		$	247		$	260		$	212
General Corporate Expense (GCE), Net		137			32			32			30			43
(Gain) on Sales of Corporate Fixed Assets, Net		—			—			—			—			—
Charge for Litigation Settlement		(9	)		—			(9	)		—			—
Income / (Charge) for Planned Disposition of Business		—			—			6			—			(6	)
Operating Profit (after GCE and Adjustments)		624			19			212			230			163
Other Income (Expense), Net		(285	)		(88	)		(57	)		(56	)		(84	)
Income from Continuing Operations before Income Taxes and Minority Interest	$	339		$	(69	)	$	155		$	174		$	79
Margins:
- Cabinets and Related Products		3.8	%		-2.5	%		5.0	%		6.6	%		4.9	%
- Plumbing Products		10.4	%		3.0	%		11.8	%		12.7	%		12.4	%
- Installation and Other Services		1.1	%		0.8	%		2.2	%		1.6	%		-0.2	%
- Decorative Architectural Products		18.5	%		12.8	%		21.3	%		18.9	%		19.5	%
- Other Specialty Products		5.2	%		-0.7	%		8.5	%		6.7	%		4.8	%
- Total		8.0	%		2.6	%		9.8	%		9.8	%		8.7	%
- North America		8.0	%		2.5	%		10.1	%		10.0	%		8.3	%
- International, principally Europe		7.9	%		3.0	%		8.5	%		9.2	%		9.9	%
- Total, as above		8.0	%		2.6	%		9.8	%		9.8	%		8.7	%

	Notes:
-	Data exclude discontinued operations.
-	Operating profit and margins by segment and geographic area are before general corporate expense, (gain) on sale of corporate fixed assets, charge for litigation settlement and (income) / charge for planned disposition of a business.
-	Operating profit margins for the fourth quarter of 2008 exclude $467 million of impairment charges for goodwill and other intangible assets as follows: Cabinets and Related Products ($59 million), Plumbing Products ($203 million), Installation and Other Services ($52 million), and Other Specialty Products ($153 million).
-	Operating profit margins for the fourth quarter of 2008 exclude costs and charges of $43 million pre-tax for business rationalizations and other initiatives as follows: Cabinets and Related Products ($13 million), Plumbing Products ($16 million), Installation and Other Services ($5 million), and Other Specialty Products ($7 million), and GCE ($2 million).
-	Operating profit margins for the third quarter of 2008 exclude costs and charges of $16 million pre-tax for business rationalizations and other initiatives as follows: Cabinets and Related Products ($6 million), Plumbing Products ($7 million), Installation and Other Services ($1 million), Decorative Architectural Products ($1 million), Other Specialty Products ($1 million).
-	Operating profit margins for the second quarter of 2008 exclude costs and charges of $15 million pre-tax for business rationalizations and other initiatives as follows: Cabinets and Related Products ($3 million), Plumbing Products ($2 million), Installation and Other Services ($4 million), Decorative Architectural Products ($1 million), and GCE ($5 million).
-	Operating profit margins for the first quarter of 2008 exclude costs and charges of $9 million pre-tax for business rationalizations and other initiatives as follows: Cabinets and Related Products ($1 million), Plumbing Products ($3 million), and Installation and Other Services ($5 million).

Page 5

MASCO CORPORATION
Quarterly Segment Data — 2008
Including Costs and Charges for Business Rationalizations and Other Initiatives
and Impairment Charges for Goodwill and Other Intangible Assets — Unaudited
(dollars in millions)

	Year			Qtr. 4			Qtr. 3			Qtr. 2			Qtr. 1
Net Sales:
- Cabinets and Related Products	$	2,276		$	488		$	584		$	608		$	596
- Plumbing Products		3,118			635			805			857			821
- Installation and Other Services		1,861			375			492			508			486
- Decorative Architectural Products		1,629			328			446			476			379
- Other Specialty Products		716			153			201			194			168
- Total	$	9,600		$	1,979		$	2,528		$	2,643		$	2,450
- North America	$	7,482		$	1,547		$	1,975		$	2,067		$	1,893
- International, principally Europe		2,118			432			553			576			557
- Total, as above	$	9,600		$	1,979		$	2,528		$	2,643		$	2,450
Operating Profit:
- Cabinets and Related Products	$	4		$	(84	)	$	23		$	37		$	28
- Plumbing Products		94			(200	)		88			107			99
- Installation and Other Services		(46	)		(54	)		10			4			(6	)
- Decorative Architectural Products		299			42			94			89			74
- Other Specialty Products		(124	)		(161	)		16			13			8
- Total	$	227		$	(457	)	$	231		$	250		$	203
- North America	$	493		$	(49	)	$	193		$	200		$	149
- International, principally Europe		(266	)		(408	)		38			50			54
- Total, as above	$	227		$	(457	)	$	231		$	250		$	203
General Corporate Expense (GCE), Net		144			34			32			35			43
(Gain) on Sales of Corporate Fixed Assets, Net		—			—			—			—			—
Charge for Litigation Settlement		(9	)		—			(9	)		—			—
Income / (Charge) for Planned Disposition of Business		—			—			6			—			(6	)
Operating Profit (after GCE and Adjustments)		74			(491	)		196			215			154
Other Income (Expense), Net		(285	)		(88	)		(57	)		(56	)		(84	)
Income from Continuing Operations before Income Taxes and Minority Interest	$	(211	)	$	(579	)	$	139		$	159		$	70
Margins:
- Cabinets and Related Products		0.2	%		-17.2	%		3.9	%		6.1	%		4.7	%
- Plumbing Products		3.0	%		-31.5	%		10.9	%		12.5	%		12.1	%
- Installation and Other Services		-2.5	%		-14.4	%		2.0	%		0.8	%		-1.2	%
- Decorative Architectural Products		18.4	%		12.8	%		21.1	%		18.7	%		19.5	%
- Other Specialty Products		-17.3	%		-105.2	%		8.0	%		6.7	%		4.8	%
- Total		2.4	%		-23.1	%		9.1	%		9.5	%		8.3	%
- North America		6.6	%		-3.2	%		9.8	%		9.7	%		7.9	%
- International, principally Europe		-12.6	%		-94.4	%		6.9	%		8.7	%		9.7	%
- Total, as above		2.4	%		-23.1	%		9.1	%		9.5	%		8.3	%

	Notes:
-	Data exclude discontinued operations.
-	Operating profit and margins by segment and geographic area are before general corporate expense, (gain) on sale of corporate fixed assets, charge for litigation settlement and (income) / charge for planned disposition of a business.
-	Operating profit margins for the fourth quarter of 2008 include $467 million of impairment charges for goodwill and other intangible assets as follows: Cabinets and Related Products ($59 million), Plumbing Products ($203 million), Installation and Other Services ($52 million), and Other Specialty Products ($153 million).
-	Operating profit margins for the fourth quarter of 2008 include costs and charges of $43 million pre-tax for business rationalizations and other initiatives as follows: Cabinets and Related Products ($13 million), Plumbing Products ($16 million), Installation and Other Services ($5 million), and Other Specialty Products ($7 million), and GCE ($2 million).
-	Operating profit margins for the third quarter of 2008 include costs and charges of $16 million pre-tax for business rationalizations and other initiatives as follows: Cabinets and Related Products ($6 million), Plumbing Products ($7 million), Installation and Other Services ($1 million), Decorative Architectural Products ($1 million), Other Specialty Products ($1 million).
-	Operating profit margins for the second quarter of 2008 include costs and charges of $15 million pre-tax for business rationalizations and other initiatives as follows: Cabinets and Related Products ($3 million), Plumbing Products ($2 million), Installation and Other Services ($4 million), Decorative Architectural Products ($1 million), and GCE ($5 million).
-	Operating profit margins for the first quarter of 2008 include costs and charges of $9 million pre-tax for business rationalizations and other initiatives as follows: Cabinets and Related Products ($1 million), Plumbing Products ($3 million), and Installation and Other Services ($5 million).

Page 6

MASCO CORPORATION
Other Income (Expense), Net
2009 & 2008 — by Quarter — Unaudited
(in millions)

	2009									2008
	Year	Qtr. 4	Qtr. 3	Qtr. 2			Qtr. 1			Year			Qtr. 4			Qtr. 3			Qtr. 2			Qtr. 1
Interest Expense				$	(57	)	$	(56	)	$	(228	)	$	(56	)	$	(59	)	$	(57	)	$	(56	)
Income from Cash and Cash Investments					1			3			22			5			6			5			6
Other Interest Income					—			—			2			1			1			—			—
Realized Gains (Losses) from Financial Investments, Net					—			—			1			1			—			3			(3	)
Impairment Charges for Financial Investments					(7	)		(3	)		(58	)		(28	)		(1	)		(3	)		(26	)
Other, Net					14			(3	)		(24	)		(11	)		(4	)		(4	)		(5	)
Total Other Income (Expense), Net				$	(49	)	$	(59	)	$	(285	)	$	(88	)	$	(57	)	$	(56	)	$	(84	)

	Notes:
-	Data excluded discontinued operations.
-	Other, Net, includes currency (losses) gains of ($2) million and $11 million for the first and second quarters of 2009, respectively.
-	Other, Net, includes currency (losses) of ($11) million, ($4) million, ($4) million, and ($12) million for the first, second, third and fourth quarters of 2008, respectively.

Page 7

MASCO CORPORATION
Condensed Consolidated Balance Sheets — Unaudited
(in Millions)

	June 30,		December 31,
Assets	2009		2008
Current Assets:
Cash and Cash Investments	$	926	$	1,028
Receivables		1,236		999
Prepaid Expenses and Other		346		332
Inventories		886		941
Total Current Assets		3,394		3,300
Property and Equipment, Net		2,066		2,136
Goodwill		3,378		3,371
Other Intangible Assets, Net		295		299
Other Assets		354		377
Total Assets	$	9,487	$	9,483
Liabilities
Current Liabilities:
Notes Payable	$	370	$	71
Accounts Payable		637		531
Accrued Liabilities		862		945
Total Current Liabilities		1,869		1,547
Long-Term Debt		3,610		3,915
Deferred Income Taxes and Other		1,003		1,040
Total Liabilities		6,482		6,502
Shareholders’ Equity		3,005		2,981
Total Liabilities and Shareholders’ Equity	$	9,487	$	9,483

Page 8

MASCO CORPORATION
GAAP Reconciliation of Sales Growth
Excluding the Effect of Acquisitions and Currency Translation — Unaudited
(in millions)

	Three Months Ended
	June 30,
	2009			2008		% ∆
Consolidated Net Sales, As Reported	$	2,036		$	2,643		-23.0	%
- Acquisitions		(4	)		—
- Currency Translation		80			—
Consolidated Net Sales, Excluding Acquisitions and Currency Translation	$	2,112		$	2,643		-20.1	%
North America Net Sales, As Reported	$	1,630		$	2,067		-21.1	%
- Acquisitions		(4	)		—
- Currency Translation		8			—
North America Net Sales, Excluding Acquisitions and Currency Translation	$	1,634		$	2,067		-20.9	%
International Net Sales, As Reported	$	406		$	576		-29.5	%
- Acquisitions		—			—
- Currency Translation		72			—
International Net Sales, Excluding Acquisitions and Currency Translation	$	478		$	576		-17.0	%

	Six Months Ended
	June 30,
	2009			2008		% ∆
Consolidated Net Sales, As Reported	$	3,855		$	5,093		-24.3	%
- Acquisitions		(11	)		—
- Currency Translation		165			—
Consolidated Net Sales, Excluding Acquisitions and Currency Translation	$	4,009		$	5,093		-21.3	%
North America Net Sales, As Reported	$	3,064		$	3,960		-22.6	%
- Acquisitions		(11	)		—
- Currency Translation		19			—
North America Net Sales, Excluding Acquisitions and Currency Translation	$	3,072		$	3,960		-22.4	%
International Net Sales, As Reported	$	791		$	1,133		-30.2	%
- Acquisitions		—			—
- Currency Translation		146			—
International Net Sales, Excluding Acquisitions and Currency Translation	$	937		$	1,133		-17.3	%

Notes:
-	Data exclude discontinued operations.
-	The Company presents information comparing results from one period to another excluding the results of businesses acquired in order to assess the performance of the underlying businesses and to assess to what extent acquisitions are driving growth.
-	The Company also presents information comparing results of International operations from one period to another using constant exchange rates. To present this information, current period results for foreign entities are converted into U.S. dollars using the prior period’s exchange rates, rather than exchange rates for the current period. The Company presents this information in order to assess how the underlying businesses performed local currencies before taking into account currency fluctuations.
-	The currency translation effect on North American net sales includes currency translation related to Canadian business units.

Page 9

MASCO CORPORATION
GAAP Reconciliation of Operating Profit and Margins — Unaudited
(dollars in millions)

	Three Months Ended June 30,
	2009					2008
	$		Margin			$		Margin
Operating Profit, As Reported	$	112		5.5	%	$	215		8.1	%
Impairment Charges for Goodwill and Other Intangible Assets		—					—
Business Rationalizations and Other Initiatives		22					15
Charge for Planned Disposition of a Business		—					—
Charge for Defined-Benefit Plan Curtailment		—					—
Operating Profit, As Reconciled	$	134		6.6	%	$	230		8.7	%

	Six Months Ended June 30,
	2009					2008
	$		Margin			$		Margin
Operating Profit, As Reported	$	105		2.7	%	$	369		7.2	%
Impairment Charges for Goodwill and Other Intangible Assets		—					—
Business Rationalizations and Other Initiatives		46					24
Charge for Planned Disposition of a Business		—					6
Charge for Defined-Benefit Plan Curtailment		8					—
Operating Profit, As Reconciled	$	159		4.1	%	$	399		7.8	%

Notes:
-	Data exclude discontinued operations.
-	The Company believes that certain non-GAAP performance measures and ratios, used in managing the business, may provide users of this financial information with additional meaningful comparisons between current results and results in prior periods. Non-GAAP performance measures and ratios should be viewed in addition to, and not as an alternative for, the Company’s reported results under accounting principles generally accepted in the United States.

Page 10

MASCO CORORATION
GAAP Reconciliation of Operating (Loss) Profit and Shareholders’ Equity — Unaudited
(in millions)

	Twelve
	Months Ended
	June 30,
	2009
Operating (Loss) Profit, As Reported	$	(190	)
Impairment Charges for Goodwill and Other Intangible Assets, Continuing Operations		467
Charge for Litigation Settlement		9
Charge for Defined Benefit Plan Curtailment		8
Operating Profit, As Reconciled	$	294

	Twelve Months Ended
	June 30,
	2009		2008
Shareholders’ Equity, As Reported	$	3,005	$	3,954
Impairment Charges for Goodwill and Other Intangible Assets (after tax)		445		208
Charge for Litigation Settlement (after tax)		6		—
Charge for Defined Benefit Plan Curtailment (after tax)		5		—
Shareholders’ Equity, As Reconciled	$	3,461	$	4,162

Notes:
-	Data exclude discontinued operations.
-	The Company believes that certain non-GAAP performance measures and ratios, used in managing the business, may provide users of this financial information with additional meaningful comparisons between current results and results in prior periods. Non-GAAP performance measures and ratios should be viewed in addition to, and not as an alternative for, the Company’s reported results under accounting principles generally accepted in the United States.
-	This information is provided as detail for the calculation of return on invested capital (“ROIC”) which is calculated as after-tax operating profit (last twelve months, as reconciled) divided by the total of average debt (net of average cash) and average shareholders’ equity.

Page 11