ATLANTA -- Genuine Parts Company (GPC) completed its 79th year of operations and reports record sales and earnings for the year ended Dec. 31, 2006.

Tom Gallagher, chairman, president and chief executive officer, announced that sales in 2006 were $10.5 billion, up 7 percent compared to 2005. Net income for the year was $475.4 million, an increase of 9 percent compared to $437.4 million in 2005. Earnings per share on a diluted basis were $2.76, up 10 percent compared to $2.50 in 2005.

“We are pleased to report that Genuine Parts Company achieved another record level of sales and earnings in 2006,” said Gallagher. “The combination of healthy economic conditions, strong end markets and effective internal initiatives helped to drive our growth during the year and all four of our business segments contributed to our overall progress.

“Our progress in 2006 follows 8 percent increases in revenues in both 2004 and 2005 and we remain encouraged by the positive trend in total sales growth for the company,” Gallagher added. “In addition, 2006 represents our third consecutive year of double-digit growth in earnings per share.”

Sales increased 6 percent to $2.54 billion in the fourth quarter ended Dec. 31, 2006, compared to $2.41 billion for the same period in 2005. Diluted earnings per share in the fourth quarter were 70 cents, up 11 percent compared to 63 cents per share for the fourth quarter of 2005.

“In the fourth quarter of 2006, our Automotive Group sales were up 2 percent, Motion Industries, our Industrial Group, increased sales by 11 percent, and EIS, our Electrical/Electronics Group, was up 17 percent. S.P. Richards, our Office Products Group, increased sales by 4 percent,” said Gallagher.

“With another record year behind us, we have now increased sales in 56 of the last 57 years and increased profits in 44 of the last 46 years. We are proud of this record and we feel that it reflects our unending commitment to steady and consistent growth at Genuine Parts Company. As we look ahead, we are well positioned to show additional progress in 2007.”