Parent and Subsidiary Debt Guarantees

The following debt obligations were issued by Stanley Black & Decker, Inc. (“Stanley”) and are fully and unconditionally guaranteed by The Black & Decker Corporation (“Black & Decker”), a 100% owned direct subsidiary of Stanley: 3.40% Notes due 2021; 2.90% Notes due 2022; and the 2040 Term Bonds (collectively, the “Stanley Notes”).

The following note was issued by Black & Decker and is fully and unconditionally guaranteed by Stanley: 5.75% Notes due 2016; (the “Black & Decker Note”).

The Stanley Notes and the Black & Decker Note were issued under indentures attached as Exhibits to the Company’s Annual Report on Form 10-K for the year ended December 29, 2012. The Black & Decker Note and Black & Decker’s guarantee of the Stanley Notes rank equally with all of Black & Decker’s other unsecured and unsubordinated indebtedness. The Stanley guarantee of the Black & Decker Note is an unsecured obligation of the Company, ranking equal in right of payment with all the Company’s existing and future unsecured and unsubordinated indebtedness.

The following tables, in accordance with Rule 3-10(e) of Regulation S-X for the Stanley Notes, and Rule 3-10(c) of Regulation S-X for the Black & Decker Note, present the condensed consolidating statements of operations and comprehensive income for the three months ended March 30, 2013, and March 31, 2012; and the condensed consolidating balance sheets as of March 30, 2013 and December 29, 2012; and the condensed consolidating statements of cash flows for the three months ended March 30, 2013, and March 31, 2012.

Stanley Black & Decker, Inc.

Condensed Consolidating Statements of Operations and Comprehensive Income

(Unaudited, Millions of Dollars)

Three Months Ended March 30, 2013



	Parent Stanley Black & Decker, Inc.			The Black & Decker Corporation			Non-Guarantor Subsidiaries			Eliminations			Consolidated
NET SALES	$	311.8		$	—		$	2,261.9		$	(86.5	)	$	2,487.2
COSTS AND EXPENSES
Cost of sales	231.4			—			1,416.2			(71.3		)	1,576.3
Selling, general and administrative	170.8			0.7			513.6			(15.2		)	669.9
Other - net	(20.2		)	(15.5		)	106.7			—			71.0
Restructuring charges and asset impairments	16.5			—			26.4			—			42.9
Interest expense, net	30.3			6.6			(0.2		)	—			36.7
	428.8			(8.2		)	2,062.7			(86.5		)	2,396.8
(Loss) earnings from continuing operations before income taxes (benefit) and equity in earnings of subsidiaries	(117.0		)	8.2			199.2			—			90.4
Income taxes (benefit) on continuing operations before equity in earnings of subsidiaries	(43.3		)	3.0			49.1			—			8.8
Equity in earnings of subsidiaries	155.7			114.9			—			(270.6		)	—
Earnings from continuing operations	82.0			120.1			150.1			(270.6		)	81.6
Less: net loss attributable to non-controlling interests	—			—			(0.4		)	—			(0.4		)
Net earnings from continuing operations attributable to common shareholders	$	82.0		$	120.1		$	150.5		$	(270.6	)	$	82.0
Net loss from discontinued operations	$	(0.9	)	$	—		$	(0.9	)	$	0.9		$	(0.9	)
NET EARNINGS ATTRIBUTABLE TO COMMON SHAREOWNERS	$	81.1		$	120.1		$	149.6		$	(269.7	)	$	81.1
Total Comprehensive (Loss) Income Attributable to Common Shareowners	$	(61.1	)	$	26.4		$	(53.1	)	$	26.7		$	(61.1	)

Stanley Black & Decker, Inc.

Condensed Consolidating Statements of Operations and Comprehensive Income

(Unaudited, Millions of Dollars)

Three Months Ended March 31, 2012



	Parent Stanley Black & Decker, Inc.			The Black & Decker Corporation			Non-Guarantor Subsidiaries			Eliminations			Consolidated
NET SALES	$	338.4		$	—		$	2,177.7		$	(90.0	)	$	2,426.1
COSTS AND EXPENSES
Cost of sales	220.3			—			1,365.3			(71.5		)	1,514.1
Selling, general and administrative	168.4			6.1			481.3			(18.5		)	637.3
Other - net	(12.9		)	(17.8		)	98.6			—			67.9
Restructuring charges and asset impairments	—			—			40.0			—			40.0
Interest expense, net	20.4			11.7			(0.7		)	—			31.4
	396.2			—			1,984.5			(90.0		)	2,290.7
(Loss) earnings from continuing operations before income taxes and equity in earnings of subsidiaries	(57.8		)	—			193.2			—			135.4
Income taxes (benefit) on continuing operations before equity in earnings of subsidiaries	(17.9		)	—			47.7			—			29.8
Equity in earnings of subsidiaries	146.2			109.0			—			(255.2		)	—
Earnings from continuing operations	106.3			109.0			145.5			(255.2		)	105.6
Less: net loss attributable to non-controlling interests	—			—			(0.7		)	—			(0.7		)
Net earnings from continuing operations attributable to common shareholders	$	106.3		$	109.0		$	146.2		$	(255.2	)	$	106.3
Net earnings from discontinued operations	$	15.5		$	14.5		$	15.5		$	(30.0	)	$	15.5
NET EARNINGS ATTRIBUTABLE TO COMMON SHAREOWNERS	$	121.8		$	123.5		$	161.7		$	(285.2	)	$	121.8
Total Comprehensive Income Attributable to Common Shareowners	$	198.7		$	54.0		$	270.0		$	(324.0	)	$	198.7

Stanley Black & Decker, Inc.

Condensed Consolidating Balance Sheet

(Unaudited, Millions of Dollars)

March 30, 2013



	Parent Stanley Black & Decker, Inc.			The Black & Decker Corporation			Non-Guarantor Subsidiaries			Eliminations			Consolidated
ASSETS
Current Assets
Cash and cash equivalents	$	1.0		$	0.3		$	556.2		$	—		$	557.5
Accounts and notes receivable, net	86.0			—			1,696.7			—			1,782.7
Inventories, net	152.6			—			1,387.1			—			1,539.7
Assets held for sale	—			—			83.9						83.9
Other current assets	126.9			—			335.2			—			462.1
Total Current Assets	366.5			0.3			4,059.1			—			4,425.9
Property, plant and equipment, net	200.0			—			1,154.6			—			1,354.6
Goodwill and intangibles, net	148.2			1,412.7			9,118.5			—			10,679.4
Investment in subsidiaries	10,574.1			2,883.8			—			(13,457.9		)	—
Intercompany receivables	—			7,604.9			8,397.4			(16,002.3		)	—
Other assets	55.1			70.1			312.4			—			437.6
Total Assets	$	11,343.9		$	11,971.8		$	23,042.0		$	(29,460.2	)	$	16,897.5
LIABILITIES AND SHAREOWNERS’ EQUITY
Current Liabilities
Short-term borrowings	$	1,330.6		$	—		$	1.3		$	—		$	1,331.9
Current maturities of long-term debt	5.5			2.8			2.3			—			10.6
Accounts payable and accrued expenses	122.9			4.4			2,655.1			—			2,782.4
Liabilities held for sale	—			—			7.7						7.7
Total Current Liabilities	1,459.0			7.2			2,666.4			—			4,132.6
Long-term debt	3,001.2			322.3			170.6			—			3,494.1
Other liabilities	12.7			659.0			1,940.0			—			2,611.7
Intercompany payables	256.3			8,615.2			7,130.8			(16,002.3		)	—
Accumulated other comprehensive loss	(530.2		)	(794.9		)	(336.5		)	1,131.4			(530.2		)
Other shareowners’ equity	7,144.9			3,163.0			11,426.3			(14,589.3		)	7,144.9
Non-controlling interests	—			—			44.4			—			44.4
Total Shareowners’ Equity	6,614.7			2,368.1			11,134.2			(13,457.9		)	6,659.1
Total Liabilities and Shareowners’ Equity	$	11,343.9		$	11,971.8		$	23,042.0		$	(29,460.2	)	$	16,897.5

Stanley Black & Decker, Inc.

Condensed Consolidating Balance Sheet

(Millions of Dollars)

December 29, 2012



	Parent Stanley Black & Decker, Inc.			The Black & Decker Corporation			Non- Guarantor Subsidiaries			Eliminations			Consolidated
ASSETS
Current Assets
Cash and cash equivalents	$	83.5		$	1.5		$	631.0		$	—		$	716.0
Accounts and notes receivable, net	111.5			0.7			1,425.4			—			1,537.6
Inventories, net	139.9			—			1,176.1			—			1,316.0
Assets held for sale	—			—			135.2			—			135.2
Other current assets	46.8			—			347.3			—			394.1
Total Current Assets	381.7			2.2			3,715.0			—			4,098.9
Property, plant and equipment, net	217.4			—			1,116.2			—			1,333.6
Goodwill and intangibles, net	148.2			1,415.1			8,392.2			—			9,955.5
Investment in subsidiaries	10,530.1			2,861.9			—			(13,392.0		)	—
Intercompany receivables	—			7,763.2			8,916.7			(16,679.9		)	—
Other assets	57.8			70.1			328.1			—			456.0
Total Assets	$	11,335.2		$	12,112.5		$	22,468.2		$	(30,071.9	)	$	15,844.0
LIABILITIES AND SHAREOWNERS’ EQUITY
Current Liabilities
Short-term borrowings	$	—		$	—		$	1.1		$	—		$	1.1
Current maturities of long-term debt	5.3			2.8			2.3			—			10.4
Accounts payable and accrued expenses	288.6			37.7			2,704.9			—			3,031.2
Liabilities held for sale	—			—			30.9						30.9
Total Current Liabilities	293.9			40.5			2,739.2			—			3,073.6
Long-term debt	3,028.0			324.0			174.5			—			3,526.5
Other liabilities	(54.5		)	619.8			1,951.5			—			2,516.8
Intercompany payables	1,400.7			9,291.8			5,987.4			(16,679.9		)	—
Accumulated other comprehensive loss	(388.0		)	(701.2		)	(133.8		)	835.0			(388.0		)
Other shareowners’ equity	7,055.1			2,537.6			11,689.4			(14,227.0		)	7,055.1
Non-controlling interests	—			—			60.0			—			60.0
Total Shareowners’ Equity	6,667.1			1,836.4			11,615.6			(13,392.0		)	6,727.1
Total Liabilities and Shareowners’ Equity	$	11,335.2		$	12,112.5		$	22,468.2		$	(30,071.9	)	$	15,844.0

Stanley Black & Decker, Inc.

Condensed Consolidating Statements of Cash Flow

(Unaudited, Millions of Dollars)

Three Months Ended March 30, 2013



	Parent Stanley Black & Decker, Inc.			The Black & Decker Corporation			Non-Guarantor Subsidiaries			Eliminations			Consolidated
Cash (used in) provided by operating activities	$	(498.5	)	$	(1.7	)	$	352.7		$	—		$	(147.5	)
Investing Activities
Capital expenditures	(9.4		)	—			(70.1		)	—			(79.5		)
Business acquisitions, net of cash acquired	—			—			(853.9		)	—			(853.9		)
Proceeds from sale of assets	—			—			1.0			—			1.0
Intercompany payables and receivables	(877.7		)	(27.8		)	—			905.5			—
Payments on net investment hedge settlements	(9.2		)	—			—			—			(9.2		)
Cash (used in) provided by investing activities	(896.3		)	(27.8		)	(923.0		)	905.5			(941.6		)
Financing Activities
Payments on long-term debt	(0.3		)	—			(0.3		)	—			(0.6		)
Stock purchase contract fees	(0.8		)	—			—			—			(0.8		)
Net short-term borrowings	1,330.4			—			0.1			—			1,330.5
Cash dividends on common stock	(79.1		)	—			—			—			(79.1		)
Payment on forward stock purchase contract	—			—			(350.0		)	—			(350.0		)
Proceeds from the issuance of common stock	83.2			—			—			—			83.2
Purchases of common stock for treasury	(21.1		)	—			—			—			(21.1		)
Intercompany payables and receivables	—			28.3			877.2			(905.5		)	—
Cash provided (used in) by financing activities	1,312.3			28.3			527.0			(905.5		)	962.1
Effect of exchange rate changes on cash and cash equivalents	—			—			(31.5		)	—			(31.5		)
Change in cash and cash equivalents	(82.5		)	(1.2		)	(74.8		)	—			(158.5		)
Cash and cash equivalents, beginning of period	83.5			1.5			631.0			—			716.0
Cash and cash equivalents, end of period	$	1.0		$	0.3		$	556.2		$	—		$	557.5

Stanley Black & Decker, Inc.

Condensed Consolidating Statements of Cash Flow

(Unaudited, Millions of Dollars)

Three Months Ended March 31, 2012



	Parent Stanley Black & Decker, Inc.			The Black & Decker Corporation			Non-Guarantor Subsidiaries			Eliminations			Consolidated
Cash (used in) provided by operating activities	$	(267.9	)	$	(27.9	)	$	263.5		$	—		$	(32.3	)
Investing Activities
Capital expenditures	(10.3		)	—			(51.2		)	—			(61.5		)
Business acquisitions, net of cash acquired	(93.8		)	—			(20.9		)	—			(114.7		)
Proceeds from sale of assets	0.9			—			1.0			—			1.9
Intercompany payables and receivables	175.4			185.0			—			(360.4		)	—
Proceeds on net investment hedge settlements	—			2.0			—			—			2.0
Cash provided (used in) by investing activities	72.2			187.0			(71.1		)	(360.4		)	(172.3		)
Financing Activities
Payments on long-term debt	(0.3		)	—			—			—			(0.3		)
Stock purchase contract fees	(0.8		)	—			—			—			(0.8		)
Net short-term borrowings (repayments)	196.9			—			(0.1		)	—			196.8
Cash dividends on common stock	(69.9		)	—			—			—			(69.9		)
Termination of interest rate swaps	15.2			20.6			—			—			35.8
Termination of forward starting interest rate swap	(56.4		)	—			—			—			(56.4		)
Proceeds from the issuance of common stock	64.6			—			—			—			64.6
Purchases of common stock for treasury	(10.9		)	—			—			—			(10.9		)
Intercompany payables and receivables	—			(161.4		)	(199.0		)	360.4			—
Cash provided by (used in) financing activities	138.4			(140.8		)	(199.1		)	360.4			158.9
Effect of exchange rate changes on cash and cash equivalents	—			—			22.4			—			22.4
Change in cash and cash equivalents	(57.3		)	18.3			15.7			—			(23.3		)
Cash and cash equivalents, beginning of period	56.2			1.4			849.3			—			906.9
Cash and cash equivalents, end of period	$	(1.1	)	$	19.7		$	865.0		$	—		$	883.6