ITW Reports 15 Percent Growth in Operating Revenue

Illinois Tool Works Inc. (ITW) has reported an operating revenue increase of 15 percent for the three months ended Feb. 28. Operating revenues for the three month period consisted of 2 percent growth from base revenues, an 11 percent increase from acquisitions and a 2 percent contribution from translation and other items. While base revenue growth benefited from strong demand from a broad array of international end markets, a number of North American end markets continued to show signs of moderating growth or actual declines in the three month period.

GLENVIEW, IL — Illinois Tool Works Inc. (ITW) has reported an operating revenue increase of 15 percent for the three months ended Feb. 28. Operating revenues for the three month period consisted of 2 percent growth from base revenues, an 11 percent increase from acquisitions and a 2 percent contribution from translation and other items. While base revenue growth benefited from strong demand from a broad array of international end markets, a number of North American end markets continued to show signs of moderating growth or actual declines in the three month period.

On a manufacturing segment basis, the company’s three month moving average percentage change for operating revenues, comprised of base revenues and acquisitions, is provided below. (percent change for 3 months ended Feb. 28, 2007 versus prior year period)

*Engineered Products/North America: + 5 percent

*Engineered Products/International: + 20 percent

*Specialty Systems/North America: + 8 percent

*Specialty Systems/International: + 22 percent

The company’s forecasted earnings range is 69 cents to 73 cents in the 2007 first quarter and $3.27 to $3.39 for the full-year. The midpoints of these 2007 forecasted ranges would represent earnings growth of 9 percent in the first quarter and 11 percent for the full-year.