Sherwin-Williams 3Q Earnings Up 12%

Cleveland, OH, October 23, 2007--Sherwin-Williams reported third-quarter earnings that rose 12%, as strong sales at paint stores helped offset softness in the new residential construction market.

Earnings were $200.3 million, or $1.55 a share, for the quarter ended Sept. 30, up from $179.1 million, or $1.30 a share, a year ago. Sales rose nearly 4% to $2.2 billion from $2.1 billion in the year-ago quarter.

Acquisition costs cut earnings by $0.02 per share in the latest period.

Analysts were expecting $1.51 per share for the quarter.

Sherwin-Williams is focusing on improving sales to commercial contractors and continuing to increase sales of industrial maintenance products, said Christopher Connor, the company's chairman and chief executive.

Sales from paint stores increased about 4% to $1.4 billion, helped by improved sales to do-it-yourself customers and commercial and residential repaint contractors.

Same-store sales, or sales at stores open for more than a year, fell 0.6%.

The company as a result now anticipates earnings of $4.70 to $4.75 per share for the year, up from its previous forecast of $4.60 and $4.70.

Wall Street, on average, expects a profit of $4.70 per share, based on a Thomson Financial poll of analysts.