ATLANTA -- Genuine Parts Co. (GPC) has reported sales and earnings for the fourth quarter and year ended Dec. 31, 2009.

Tom Gallagher, chairman, president and chief executive officer, announced today that sales in 2009 were $10.1 billion, down 9 percent compared to 2008. Net income for the year was $399.6 million, a decrease of 16 percent compared to $475.4 million in 2008. Earnings per share on a diluted basis were $2.50, down 14 percent compared to $2.92 in 2008.

Gallagher stated, "The effects of the economic slowdown, which we began to experience in the final quarter of 2008, adversely impacted the results in all four of the business segments throughout 2009. The Automotive Group reported a 2 percent sales decrease for the year and S.P. Richards, our Office Products Group, was down 5 percent for 2009. The difficult economy most significantly impacted our two businesses serving the manufacturing sector of the economy. Motion Industries, our Industrial Group, had an 18 percent sales decrease for the year, and EIS, our Electrical Group, had a 26 percent decrease."

Gallagher added, "2009 turned out to be one of the most challenging years in the history of Genuine Parts Co. Fortunately, we were able to maintain a strong balance sheet and finish the year in excellent financial condition. In fact, the company generated record cash flows in 2009. Additionally, we continue to have confidence in the long-term positive fundamentals for all four of our businesses and we feel that we are positioned to show improved sales and earnings as the economy turns."

Fourth Quarter 2009
Sales decreased 2 percent to $2.47 billion in the fourth quarter ended Dec. 31, 2009, compared to $2.52 billion for the same period in 2008. Diluted earnings per share in the fourth quarter were 62 cents, up 13 percent compared to 55 cents per share for the fourth quarter of 2008.

In reviewing the quarter, Gallagher commented, "We are encouraged by the sequential improvement across all of our business segments during the final quarter. In the fourth quarter of 2009, our Automotive sales were up 6 percent, our Office Products Group was down 4 percent, our Industrial Group sales were down 11 percent and our Electrical Group was down 12 percent."

Gallagher concluded, "We observed some early signs of improving market conditions in the latter part of 2009 and we feel this bodes well for a stronger performance in 2010. We are fortunate to operate in four good industries."