8-K

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C. 20549

FORM 8-K

CURRENT REPORT

PURSUANT TO SECTION 13 OR 15(d) OF THE

SECURITIES EXCHANGE ACT OF 1934

Date of report (Date of earliest event reported): April 19, 2004

PARKER-HANNIFIN CORPORATION

(Exact Name of Registrant as Specified in Charter)

Ohio	1-4982	34-0451060
(State or Other Jurisdiction	(Commission	(IRS Employer
of Incorporation)	File Number)	Identification No.)

6035 Parkland Blvd.
Cleveland, Ohio	44124-4141
(Address of Principal Executive Offices)	(Zip Code)

Registrant’s telephone number, including area code: (216) 896-3000

Item 9. Regulation FD Disclosure

Item 12. Disclosure of Results of Operations and Financial Condition

The following information is furnished pursuant to Item 9, “Regulation FD Disclosure” and Item 12, “Disclosure of Results of Operations and Financial Condition”.

On April 19, 2004, Parker-Hannifin Corporation issued a press release and presented a Webcast announcing earnings for the quarter ended March 31, 2004. A copy of the press release is filed as Exhibit 99.1 to this report. A copy of the Webcast presentation is filed as Exhibit 99.2 to this report.

EXHIBIT INDEX

99.1	Press release issued by Parker-Hannifin Corporation, dated April 19, 2004.
99.2	Webcast presentation by Parker-Hannifin Corporation, dated April 19, 2004.

SIGNATURE

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, hereunto duly authorized.

PARKER-HANNIFIN CORPORATION
By:	/s/ Timothy K. Pistell
	Timothy K. Pistell Vice President Finance and Administration and Chief Financial Officer

Date: April 19, 2004

EX-99.1

Exhibit 99.1

For Release:	Immediately
Contact:	Media –
	Lorrie Paul Crum, VP - Corp. Communications	216/896-2750	Mobile: 216/408-6545
	lcrum@parker.com
	Financial Analysts –
	Pamela Huggins, VP & Treasurer	216/896-2240
	phuggins@parker.com
Stock Symbol:	PH - NYSE

Parker Income Up 122 Percent on 16-Percent Increase in Sales; EPS 90 Cents

Cleveland, Ohio: April 19, 2004 – Parker Hannifin Corporation today reported a 122-percent increase in net income for the fiscal third quarter ended March 31, 2004. The company earned $107.8 million, or 90 cents per diluted share, on sales of $1.91 billion, compared with net income of $48.7 million, or 42 cents per diluted share, earned on sales of $1.65 billion last year. As previously announced, the current-quarter results include a one-time, discrete tax benefit of 10 cents per diluted share.

Parker said the earnings improvement was driven by an upsurge in volume throughout the industrial segment, with considerably lower fixed costs from realignment activities and execution of the company’s Win Strategy. Organic growth contributed nine percentage points to the 16-percent increase in revenues during the quarter, while currency translation added five points and two points came from acquisitions completed since last year.

“The credit belongs to all of Parker’s employees worldwide who endured an unrelenting recession for three years. During that time, they have been implementing our Win Strategy to achieve sustainable margin improvements,” said Parker President and CEO Don Washkewicz. “It appears that we may be in the early stages of a broad recovery, and we expect continued growth and increased profitability from strong order momentum.” Washkewicz added that the addition of recently acquired Denison is contributing to the company’s industrial margins.

Operating income in the North American Industrial businesses was 121-percent higher on a sales increase of 15 percent. The top-line growth was mostly organic, with acquisitions and currency exchange rates adding 2.6 percentage points combined. With the higher volume and lower cost structure, the North American Industrial operating margin improved to 11.1 percent from 5.8 percent last year.

1

The North American Industrial segment’s motion-oriented businesses benefited from strong demand in the mobile original-equipment market (especially agricultural, construction and forestry machinery), as well as in heavy-duty trucks and industrial equipment. In the flow- and process-control businesses, the improved volume was comprised of continued strength in the oil and gas market, as well as a recovery in semiconductors and rebounding demand for process and analytical equipment. The company also noted that its margin mix improved with organic growth in life sciences and microelectronics.

In the International Industrial units, operating income was up 80 percent on a 30-percent sales increase. Favorable currency translation added 16 percent, and volume increased 14 percent, which includes an eight-percent increase in organic revenue, and a six-percent contribution from acquisitions. The international operating margin was 7.9 percent, compared with 5.7 percent last year, reflecting continued strength in the Asia-Pacific region and Latin America, where the company is rapidly gaining market share, and improving performance in Europe from reductions in operating and logistics costs.

Operating income in the company’s Climate & Industrial Controls business was 10-percent higher on a 3.4-percent sales increase, with 2.2 percentage points from currency translation. Despite the moderate increase in volume, which came primarily from sales in automotive air conditioning and growth in refrigeration systems, the unit’s operating margin improved to 11.8 percent from 11.1 percent. The profitability improvement reflects realignment of facilities and execution of the strategic initiatives in the company’s Win Strategy.

Parker Aerospace reported a 4.9-percent sales increase, with a 2.8-percent decline in operating income and an operating margin of 12.6 percent, compared with 13.6 percent last year. With continued softness in the commercial aerospace aftermarket, the margin reflects a revenue mix with a higher proportion of defense business, as well as additional costs associated with pensions and product liability insurance.

In the “Other” segment, operating income increased more than three times, while revenue increased 10.7 percent. The operating margin improved to 5.1 percent from 1.3 percent.

Cash Flow and Inventories

The company continued to post strong cash flow. For the first nine months, cash from operations was $504.5 million, or 9.9 percent of sales. For the same period last year, cash from operations was $326.2 million, which was 6.9 percent of sales.

2

Ongoing efforts to tighten inventories contributed to the company’s strong cash flow results. The company noted that its businesses have continued to reduce inventories throughout the fiscal year, following its trend of more than two years, with the current-year reduction running at almost twice the rate of the prior year.

Year-to-Date Results

Sales in the first nine months of fiscal 2004 were $5.11 billion, compared with $4.75 billion last year. Year-to-date net income was $220.3 million, or $1.85 per diluted share, compared with $147.2 million, or $1.26 per diluted share in fiscal 2003. The current year’s results included seven cents per diluted share in realignment costs, while last year’s nine-month results included 10 cents per share in realignment costs and an adjustment in equity investment. The increase in the current year-to-date results reflects the strong operating performance by the North American Industrial operations and recently rebounding markets.

Outlook

The company raised its sales and earnings forecasts for the fiscal year ending June 30, indicating it now expects year-over-year sales growth of about 10 percent. The company estimates full-year earnings between $2.55 and $2.65 per diluted share. Factors influencing the forecast include uncertainties regarding raw-material prices; commercial aerospace volume and mix; and sustainability of current order rates.

“We are encouraged by the strength we’re seeing in our industrial markets,” said Washkewicz. “We are solidly positioned to achieve our growth and profit objectives as embedded in our Win Strategy.”

In addition to the information provided herein, Parker advises shareholders to note order trends, for which the company makes a disclosure several business days after the conclusion of each month. This information is available on the company’s investor information web site, at www.phstock.com.

With annual sales approaching $7 billion, Parker Hannifin is the world’s leading diversified manufacturer of motion and control technologies and systems, providing precision-engineered solutions for a wide variety of commercial, mobile, industrial and aerospace markets. The company employs more than 46,000 people in 44 countries around the world. Parker has increased annual dividends paid to shareholders for 47 consecutive years, which is among the top five longest-running dividend-increase records in the S&P 500. For more information, visit the company’s web site at www.parker.com.

3

NOTICE OF CONFERENCE CALL: Parker Hannifin’s conference call and slide presentation to discuss its fiscal third-quarter results is available to all interested parties via live webcast at 10 a.m. ET, on the company’s investor information web site, www.phstock.com. To access the call, click on the “Live Webcast” link. From this link, users may also complete a pre-call system test and register for e-mail notification of future events and information available from Parker.

Forward-looking statements contained in this and other written and oral reports are made based on known events and circumstances at the time of release, and as such, are subject in the future to unforeseen uncertainties and risks. All statements regarding future performance, earnings projections, events or developments are forward-looking statements. It is possible that the future performance and earnings projections of the company and individual segments may differ materially from current expectations, depending on economic conditions within both its industrial and aerospace markets, and the company’s ability to achieve anticipated benefits associated with announced realignment activities, strategic initiatives to improve operating margins, and growth initiatives. A change in economic conditions in individual markets may have a particularly volatile effect on segment results. Among the other factors which may affect future performance are: changes in business relationships with and purchases by or from major customers or suppliers, including delays or cancellations in shipments; uncertainties surrounding timing, successful completion or integration of acquisitions; threats associated with and efforts to combat terrorism; competitive market conditions and resulting effects on sales and pricing; increases in raw-material costs that cannot be recovered in product pricing; and global economic factors, including currency exchange rates, difficulties entering new markets and general economic conditions such as interest rates. The company makes these statements as of the date of this disclosure, and undertakes no obligation to update them.

# # #

4

PARKER HANNIFIN CORPORATION — MARCH 31, 2004

CONSOLIDATED STATEMENT OF INCOME

(Unaudited)	Three Months Ended March 31,						Nine Months Ended March 31,
(Dollars in thousands except per share amounts)	2004			2003			2004			2003
Net sales	$	1,906,041		$	1,646,844		$	5,113,980		$	4,749,949
Cost of sales		1,544,150			1,368,430			4,174,570			3,927,147
Gross profit		361,891			278,414			939,410			822,802
Selling, general and administrative expenses		201,464			182,378			571,758			535,775
Other income (deductions):
Interest expense		(17,262	)		(20,349	)		(56,384	)		(59,399	)
Interest and other (expense), net		(690	)		(1,731	)		(2,809	)		(3,935	)
		(17,952	)		(22,080	)		(59,193	)		(63,334	)
Income before income taxes		142,475			73,956			308,459			223,693
Income taxes		34,627			25,293			88,149			76,503
Net income	$	107,848		$	48,663		$	220,310		$	147,190
Earnings per share:
Basic earnings per share	$	.91		$	.42		$	1.87		$	1.27
Diluted earnings per share	$	.90		$	.42		$	1.85		$	1.26
Average shares outstanding during period—Basic		118,242,311			116,506,352			117,545,386			116,339,433
Average shares outstanding during period—Diluted		119,637,727			116,890,480			118,803,626			116,872,253
Cash dividends per common share	$	.19		$	.19		$	.57		$	.55
BUSINESS SEGMENT INFORMATION BY INDUSTRY
(Unaudited)	Three Months Ended March 31,						Nine Months Ended March 31,
(Dollars in thousands)	2004			2003			2004			2003
Net sales
Industrial:
North America	$	836,136		$	727,060		$	2,224,548		$	2,124,542
International		541,670			416,434			1,405,333			1,156,014
Aerospace		293,718			280,020			832,524			832,741
Climate & Industrial Controls		181,173			175,132			481,820			484,273
Other		53,344			48,198			169,755			152,379
Total	$	1,906,041		$	1,646,844		$	5,113,980		$	4,749,949
Segment operating income
Industrial:
North America	$	93,154		$	42,166		$	192,630		$	120,634
International		42,869			23,852			103,770			72,819
Aerospace		37,077			38,140			101,855			123,324
Climate & Industrial Controls		21,432			19,409			49,405			44,386
Other		2,708			630			12,604			6,942
Total segment operating income	$	197,240		$	124,197		$	460,264		$	368,105
Corporate general and administrative expenses		25,489			22,662			73,615			62,155
Income from operations before interest expense and other		171,751			101,535			386,649			305,950
Interest expense		17,262			20,349			56,384			59,399
Other expense		12,014			7,230			21,806			22,858
Income before income taxes	$	142,475		$	73,956		$	308,459		$	223,693

Note: Certain prior period amounts have been reclassified to conform to the current year presentation.

5

PARKER HANNIFIN CORPORATION — MARCH 31, 2004

CONSOLIDATED BALANCE SHEET

(Unaudited)	March 31,
(Dollars in thousands)	2004			2003
Assets
Current assets:
Cash and cash equivalents	$	169,956		$	52,696
Accounts receivable, net		1,190,598			991,131
Inventories		984,900			1,027,939
Prepaid expenses		39,192			43,265
Deferred income taxes		108,409			85,329
Total current assets		2,493,055			2,200,360
Plant and equipment, net		1,628,708			1,661,714
Goodwill		1,240,269			1,091,795
Intangible assets, net		58,474			56,223
Other assets		810,295			745,995
Total assets	$	6,230,801		$	5,756,087
Liabilities and shareholders' equity
Current liabilities:
Notes payable	$	165,448		$	410,278
Accounts payable		501,899			395,658
Accrued liabilities		525,060			468,744
Accrued domestic and foreign taxes		139,009			34,700
Total current liabilities		1,331,416			1,309,380
Long-term debt		968,326			948,164
Pensions and other postretirement benefits		955,201			515,378
Deferred income taxes		21,643			133,242
Other liabilities		163,551			126,032
Shareholders' equity		2,790,664			2,723,891
Total liabilities and shareholders' equity	$	6,230,801		$	5,756,087
CONSOLIDATED STATEMENT OF CASH FLOWS
(Unaudited)	Nine Months Ended March 31,
(Dollars in thousands)	2004			2003
Cash flows from operating activities:
Net income	$	220,310		$	147,190
Depreciation and amortization		189,659			191,018
Net change in receivables, inventories, and trade payables		24,570			32,197
Net change in other assets and liabilities		100,061			(98,475	)
Other, net		(30,114	)		54,238
Net cash provided by operating activities		504,486			326,168
Cash flows from investing activities:
Acquisitions (less cash acquired of $63,054 in 2004 and $7 in 2003)		(201,101	)		(1,999	)
Capital expenditures		(102,735	)		(112,863	)
Other, net		27,100			13,722
Net cash (used in) investing activities		(276,736	)		(101,140	)
Cash flows from financing activities:
Net proceeds from common share activity		42,443			3,091
Net (payments of) debt		(277,865	)		(160,048	)
Dividends		(66,845	)		(63,739	)
Net cash (used in) financing activities		(302,267	)		(220,696	)
Effect of exchange rate changes on cash		(1,377	)		1,980
Net (decrease) increase in cash and cash equivalents		(75,894	)		6,312
Cash and cash equivalents at beginning of period		245,850			46,384
Cash and cash equivalents at end of period	$	169,956		$	52,696

6

EX-99.2

Exhibit 99.2

Parker Hannifin Corporation Quarterly Earnings Release 3rd Quarter FY 2004 April 19, 2004

Forward Looking Statements

The company makes these statements as of the date of this disclosure, and Forward-Looking Statements: Forward-looking statements contained in this and other written and oral reports are made based on known events and circumstances at the time of release, and as such, are subject in the future to unforeseen uncertainties and risks. All statements regarding future performance, earnings projections, events or developments are forward-looking statements. It is possible that the future performance and earnings projections of the company and individual segments may differ materially from current expectations, depending on economic conditions within both its industrial and aerospace markets, and the company’s ability to achieve anticipated benefits associated with announced realignment activities, strategic initiatives to improve operating margins, and growth initiatives. A change in economic conditions in individual markets may have a particularly volatile effect on segment results. Among the other factors which may affect future performance are: changes in business relationships with and purchases by or from major customers or suppliers, including delays or cancellations in shipments; uncertainties surrounding timing, successful completion or integration of acquisitions; threats associated with and efforts to combat terrorism; competitive market conditions and resulting effects on sales and pricing; increases in raw-material costs that cannot be recovered in product pricing; and global economic factors, including currency exchange rates, difficulties entering new markets and general economic conditions such as interest rates. undertakes no obligation to update them.

Non-GAAP Financial Measure

This presentation reconciles sales amounts reported in to remove the effects of acquisitions and divestitures made within the prior four quarters as well as the The accordance with U.S. GAAP to sales amounts adjusted effects of currency exchange rates on sales. effects of acquisitions and divestitures and currency exchange rates are removed to allow investors and the company to meaningfully evaluate changes in sales on a comparable basis from period to period.

Discussion Agenda

Financial Highlights Influences on Sales & Earnings WIN Strategy Balance Sheet & Cash Flow Trends Outlook Questions & Answers

Financial HighlightsEPS -3rd Quarter and YTD as of March 31, 2004

$1.26 YTD FY 03 $1.85 YTD FY 04 $0.42 3Q FY 03

$0.90 3Q FY 04 $2.00 $1.80 $1.60 $1.40 $1.20 $1.00 $0.80 $0.60 $0.40 $0.20 $0.00

charges. FY03 3Q EPS was FY04 YTD EPS was reduced by $0.07 for for business realignment FY04 3Q EPS was reduced by $0.01 for business realignment FY03 YTD EPS was reduced by $0.08 Note: reduced by $0.04 for business realignment charges business realignment charges. charges and $0.02 for an equity investment adjustment.

3rd Quarter and YTD through March 31

Financial HighlightsSales –

FY03 $4,749.9 $19.1 $4,730.8 $4,730.8 YTD

FY 04 $5,114.0 7.7% $52.2 $5,061.8 7.0% $217.8 $4,844.0 2.4% FY03 $1,646.8 $8.5 $1,638.3 $1,638.3 3rd Quarter FY 04 $1,906.6 15.8% $38.7 $1,867.9 14.0% $81.3 $1,786.6 9.1% Sales        % change Sales from acquisitions & divestitures Sales without acquisitions & divestitures        % change Currency effects Sales without acquisitions, divestitures & currency        % change

Significant Influences on Sales

Commercial Military

Industrial end market strength/weakness Aerospace Globalization Trends

Parker New Order Rates

Industrial North America

24

J

O J

A

J 0 3

O J

A

J 0 2

O J

A

J 0 1

O J

A

J 0 0

O J

A

J 9 9

O J

A

J 9 8

O J

A

J 9 7

O J

A

J 9 6

O J

30 20 10 0 -10 -20 -30 -40

Current month vs. prior year

Parker New Order Rates

Industrial R.O.W.

J

O

16 J

A J 0 3 O J A J 0 2 O J A J 0 1 O J A J 0 0 O J A J 9 9 O J A J 9 8

O J A J 9 7 O J A J 9 6 O J

30 25 20 15 10 5 0 -5 -10 -15

Current month vs. prior year

Parker New Order Rates

Climate & Industrials

Current month vs. prior year

Parker New Order Rates

Aerospace

J

11 O

J A J 0 3 O J A J 0 2 O J A J 0 1 O J A J 0 0 O J A J 9 9 O J A J 9 8 O J A J 9 7 O J A J 9 6 O J

30 20 10 0 -10 -20 -30

Average last 12 months orders to previous 12 months orders

Influences on Earnings

Win Strategy Impact Aerospace/CIC Increased Volume Restructuring Sales Mix –

Segment ReportingIndustrial North America

$0.0 $0.0 $120.6 5.7% $5.2 $125.8 5.9% YTD $2,124.5 $2,124.5 $2,124.5 FY 2003 $0.0 $0.0 $42.2 5.8% $2.2 $44.4 6.1% 3rd Qtr $727.1 $727.1 $727.1 4.7% $24.3 3.6% $12.0 3.0% $192.6 8.7% $7.3 $199.9 9.0% YTD $2,224.5 $2,200.2 $2,188.2 FY 2004 15.0% $14.5 13.0% $4.2 12.4% $93.2 11.1% $0.9 $94.1 11.3% 3rd Qtr $836.1 $821.6 $817.4

Sales Operating Margin

As reported        % change Acquisitions without Acquisitions        % change Currency effects without Acquisitions & Currency        % change As reported        % of sales Business realignment Without business realignment        % of sales

Segment ReportingIndustrial Rest of World

$0.0 $0.0 $72.8 6.3% $6.1 $78.9 6.8% YTD $1,156.0 $1,156.0 $1,156.0 FY 2003 $0.0 $0.0 $23.8 5.7% $3.2 $27.0 6.5% 3rd Qtr $416.4 $416.4 $416.4 21.6% $27.8 19.2% $171.4 4.3% $103.8 7.4% $3.6 $107.4 7.6% YTD $1,405.3 $1,377.5 $1,206.1 FY 2004 30.1% $24.2 24.3% $66.2 8.4% $42.9 7.9% $0.4 $43.3 8.0% 3rd Qtr $541.7 $517.5 $451.3

Sales Operating Margin

As reported        % change Acquisitions without Acquisitions        % change Currency effects without Acquisitions & Currency        % change As reported        % of sales Business realignment Without business realignment        % of sales

Segment ReportingAerospace

$832.7 $15.3 $817.4 $0.0 $817.4 $123.3 14.8% $1.0 $124.3 14.9% YTD

FY 2003 $4.7 $0.0 $38.1 13.6% $0.1 $38.2 13.9% 3rd Qtr $280.0 $275.3 $275.3 $832.5 0.0% $0.0 $832.5 1.8% $4.8 $827.7 1.3% $101.8 12.2% $0.1 $101.9 12.2% YTD

FY 2004 4.9% $0.0 6.7% $1.5 6.1% $37.1 12.6% $0.0 $37.1 12.6% 3rd Qtr $293.7 $293.7 $292.2

Sales Operating Margin

As reported        % change Acquisitions/Divestitures without Acquisitions/Divestitures        % change Currency effects without Acquisitions & Currency        % change As reported        % of sales Business realignment Without business realignment        % of sales

Segment ReportingClimate & Industrial Controls

$484.3 $0.0 $484.3 $0.0 $484.3 $44.4 9.2% $0.9 $45.3 9.4% YTD

FY 2003 $0.0 $0.0 $19.4 11.1% $0.6 $20.0 11.4% 3rd Qtr $175.1 $175.1 $175.1 $481.8 -0.5% $0.0 $481.8 -0.5% $10.4 $471.4 -2.7% $49.4 10.3% $0.4 $49.8 10.3% YTD

FY 2004 3.8% $0.0 3.8% $3.8 1.6% $21.4 11.8% $0.0 $21.4 11.8% 3rd Qtr $181.7 $181.7 $177.9

Sales Operating Margin

As reported        % change Acquisitions without Acquisitions        % change Currency effects without Acquisitions & Currency        % change As reported        % of sales Business realignment Without business realignment        % of sales

Segment ReportingOther

$152.4 $3.8 $148.6 $0.0 $148.6 $6.9 4.6% $1.3 $8.3 5.4% YTD

FY 2003 $48.2 $3.8 $44.4 $0.0 $44.4 $0.6 1.2% $1.3 $1.9 4.4% 3rd Qtr $169.7 11.4% $0.0 $169.7 14.2% $19.2 $150.5 1.3% $12.6 7.4% $0.6 $13.2 7.8% YTD

FY 2004 $53.3 10.6% $0.0 $53.3 20.0% $5.5 $47.8 7.7% $2.7 5.1% $0.2 $2.9 5.4% 3rd Qtr

Sales Operating Margin

As reported        % change Acquisitions/Divestitures without Acquisitions/Divestitures        % change Currency effects without Acquisitions & Currency        % change As reported        % of sales Business realignment Without business realignment        % of sales

Balance Sheet Summary

Inventory

Cash Working Capital P, P & E Shareholders Equity

Financial Leverage

Debt to Debt Equity

28.9% FY 04 Q3 FY03

FY02

FY01

Target FY00 FY99 38.0% 36.0% 34.0% 32.0% 30.0% 28.0% 26.0% 24.0% 22.0% 20.0%

Strong Cash Flow

Sales        % to

12.0% 10.0% 8.0% 6.0% 4.0%

504 YTD* 04 FY

557 03 FY

631 02 FY

529 01 FY

538 00 FY

459 99 FY FY 04 for the 9 months ending Mar. 31, 2004

*

$700 $600 $500 $400 $300 $200 $100 $0

Flow Cash Operating

Earnings Outlook Assumptions Segment Sales & Operating Margins FY 2004

8.1% 24.1% 1.5% -1.0% 9.9% 88% 57% -13% 5% 38%

7.6% 23.6% 1.0% -1.6% 9.4% 81% 50% -15% 2% 33% FY 2004 Sales change vs. FY 2003 NA Industrial Industrial ROW Aerospace CIC Other FY 2004 Operating Margin change vs. FY 2003 NA Industrial Industrial ROW Aerospace CIC Other

Earnings Outlook Assumptions FY 2004below Operating Margin

vs. FY 2003 vs. FY 2003 vs. FY 2003 32.0% 9% + 27% to 29% 10% to –

- + 30% to 45% quarter) th

Corporate Admin. Interest Expense Other Exp. (Income) Tax Rate (4

Earnings Outlook

$2.65 Fiscal Year 2004 EPS Range $2.55 -

Forecast Risks

Raw material price increases Automotive

Downside:

Aerospace recovery

Upside:

Questions & Answers

Appendix

FY 2004 Income Statements

Quarter 3 rd

Income Statement –

$7.4 (7.4) 0.1 0.0 0.0 0.0 (7.5) (2.5) ($5.0)

Business Realignment & Equity Adj.

FY 2003 % of Sales 100.0% 83.1% 16.9% 11.1% -1.2% -0.1% -1.3% 4.5% 1.5% 3.0% $1,646.8 1,368.4 278.4 182.4 (20.3) (1.7) (22.1) 74.0 25.3 $48.7 Business Realignment $1.5 (1.5) 0.0 0.0 0.0 0.0 (1.5) (0.5) ($1.0) FY 2004 % of Sales 100.0% 81.0% 19.0% 10.6% -0.9% 0.0% -0.9% 7.5% 1.8% 5.7% $1,906.0 1,544.2 361.9 201.5 (17.3) (0.7) (18.0) 142.5 34.6 $107.8 Net sales Cost of sales Gross profit S, G & A Other income (deductions) Interest expense Interest & other income Income before taxes Income taxes Net income

Business realignment primarily includes severance costs and costs related to the consolidation of manufacturing product lines. *

YTD Income Statement –

$13.6 (13.6) 3.6 0.0 0.0 0.0 (17.2) (4.9) ($12.3)

Business Realignment & Equity Adj.

FY 2003 % of Sales 100.0% 82.7% 17.3% 11.3% -1.3% -0.1% -1.3% 4.7% 1.6% 3.1% $4,749.9 3,927.1 822.8 535.8 (59.4) (3.9) (63.3) 223.7 76.5 $147.2 Business Realignment $11.9 (11.9) 0.2 0.0 (0.2) (0.2) (12.3) (4.0) ($8.3) FY 2004 % of Sales 100.0% 81.6% 18.4% 11.2% -1.1% -0.1% -1.2% 6.0% 1.7% 4.3% $5,114.0 4,174.6 939.4 571.8 (56.4) (2.8) (59.2) 308.5 88.1 $220.3 Net sales Cost of sales Gross profit S, G & A Other income (deductions) Interest expense Interest & other income Income before taxes Income taxes Net income

Business realignment primarily includes severance costs and costs related to the consolidation of manufacturing product lines. *