Profile: The Sherwin-Williams Company (SHW)

The Sherwin-Williams Company (Sherwin-Williams), incorporated in 1884, is engaged in the development, manufacture, distribution and sale of paint, coatings and related products to professional, industrial, commercial and retail customers primarily in North and South America with additional operations in the Caribbean region, Europe and Asia. The Company’s operating segments comprise Paint Stores Group, Consumer Group and Global Finishes Group. In February 2009, the Company acquired Altax Sp. zo.o. In July 2008, the Company acquired the Liquid Coatings subsidiaries of Inchem Holdings of Inchem Holdings International Limited. In February 2008, the Company acquired Becker Powder Coatings Inc., a subsidiary of AB Wilh. Becker. Simultaneously, AB Wilh. Becker acquired the North American coil coatings business of Sherwin-Williams and related assets.

Paint Stores Group

The Paint Stores Group consisted of 3,346 Company-operated specialty paint stores in the United States, Canada, Jamaica, Virgin Islands, Trinidad and Tobago, and Puerto Rico as of December 31, 2008. Each store in this segment is engaged in the related business activity of selling paint, coatings and related products to end-use customers. The Paint Stores Group markets and sells Sherwin-Williams branded architectural paint and coatings, industrial and marine products, original equipment manufacturer (OEM) product finishes and related items. These products are produced by manufacturing facilities in the Consumer and Global Finishes Groups. In addition, each store sells selected purchased associated products. During the year ended December 31, 2008, this segment opened 21 net new stores, consisting of 100 new stores opened (92 in the United States, seven in Canada and one in Trinidad and Tobago) and 79 stores closed (78 in the United States and one in Puerto Rico).

Consumer Group

The Consumer Group develops, manufactures and distributes a variety of paint, coatings and related products to third party customers primarily in the United States and Canada, and the Paint Stores Group. Approximately 56% of the total sales of the Consumer Group in 2008, including inter-segment transfers, represented products sold through the Paint Stores Group.

Global Finishes Group

The Global Finishes Group develops, licenses, manufactures, distributes and sells a variety of architectural paint and coatings, industrial and marine products, automotive finishes and refinish products, OEM coatings and related products in North and South America, Europe and Asia. The acquisitions of Inchem Holdings International Limited (Asia), Becker Powder Coatings, Inc. (United States) and Euronavy-Tintas Maritimas e Industriais, S.A. (Portugal) are included in this segment.

This segment licenses certain technology and trade names worldwide. Sherwin-Williams and other controlled brand products are distributed through the Paint Stores Group and this segment’s network of 541 Company-operated branches and by a direct sales staff, and outside sales representatives to retailers, dealers, jobbers, licensees and other third-party distributors. During 2008, this segment added 22 net new branches consisting of 17 net new branches in South America, three branches in the United States and two in India. As of December 31, 2008, the Global Group consisted of operations in the United States, subsidiaries in 11 foreign countries, four foreign joint ventures and income from licensing agreements in 14 foreign countries.