Sherwin-Williams Sees Profit Slump 30 Percent

Cleveland, OH, April 23, 2008-- Sherwin-Williams Co. reported a 30 percent drop in first-quarter net income, hurt by lower demand for its paint products in the face of the persistent U.S. housing slump as well as acquisition costs.

The company posted earnings of $77.9 million, or $.64 a share, down from $111.8 million, or $.83 a share, a year earlier. The earnings beat analysts expectations.

Revenue rose to $1.78 billion from $1.76 billion.

"Paint demand in the domestic new residential, residential repaint, and commercial markets was weaker during the first quarter than we had anticipated at the start of the year," CEO Christopher Connor said in a press release.

"Price increases and cost reductions announced across all business segments during the first quarter will continue to be more fully implemented in the coming months as our management teams strive to improve their profitability during this tough economic environment," Connor said.