NOV-23-2009

VALSPAR REPORTS FOURTH-QUARTER AND FISCAL-YEAR RESULTS

Fourth-Quarter Adjusted Net Income per Share Increases 26.2 Percent from 2008

Fiscal Year 2009 Adjusted Net Income per Share Increases 12.7 Percent

MINNEAPOLIS, Minn., November 23, 2009 - The Valspar Corporation (NYSE-VAL) today reported its results for the fourth-quarter and fiscal-year ended October 30, 2009.

Fourth-quarter sales totaled $776.6 million, a 15.9 percent decline from the fourth quarter of 2008. The fourth quarter of 2009 consisted of 13 weeks compared to 14 weeks in 2008. Sales for the quarter declined 11.8 percent adjusting for the 14th week of 2008. Fourth-quarter adjusted net income per share increased to $0.53 in 2009 from $0.42 in 2008. Fourth-quarter adjusted net income per share in 2009 excludes a $0.04 per share charge related to restructuring actions. Fourth-quarter adjusted net income per share in 2008 excludes a $0.13 per share charge related to restructuring actions, a non-cash charge of $0.03 per share for Huarun minority interest shares and a $0.09 per share after-tax gain from the sale of assets. Net income for the fourth quarter of 2009 was $49.9 million and reported earnings per share were $0.49. Net income for the fourth quarter of 2008 was $38.9 million and reported earnings per share were $0.35.

Fiscal year 2009 sales totaled $2,879.0 million, a decline of 17.3 percent or 16.2 percent when adjusting for the additional week in fiscal 2008. Adjusted earnings per share increased to $1.77 in 2009 from $1.57 in 2008. Adjusted net income per share for 2009 excludes an $0.18 per share charge related to restructuring actions and a non-cash charge of $0.10 per share for Huarun minority interest shares. Adjusted net income per share for 2008 excludes a $0.16 per share charge related to restructuring actions, a non-cash charge of $0.12 per share for the Huarun minority interest shares and a $0.09 per share after-tax gain from the sale of assets. Net income for 2009 totaled $160.2 million and reported earnings per share were $1.49. Net income for 2008 was $150.8 million and reported earnings per share were $1.38.

"Our strong earnings performance for the year, achieved under extremely challenging global economic conditions, reflects the operational discipline of Valspar employees," said William L. Mansfield, Valspar chairman and chief executive officer. "During the year we maintained our investments in branding and development of leading-edge technologies, significantly lowered our cost structure and strengthened our global operations. By remaining focused on execution, we gained share in key markets, improved productivity and delivered strong cash flow."

Mansfield also commented on the outlook for 2010. "Our outlook for fiscal 2010 assumes modest revenue growth and ongoing pressure on raw material costs. We currently expect our 2010 adjusted net income per share to be in the range of $1.85 to $2.05."

William L. Mansfield and Lori A. Walker, senior vice president and chief financial officer, will conduct a conference call for investors at 10:00 a.m. Central Time (11:00 a.m. Eastern Time) today. The call can be heard live over the Internet at Valspar's website at www.valsparglobal.com under Investor Relations. Those unable to participate during the live broadcast can access an archive of the call on the Valspar website. A taped delay of the call will also be available from 12:00 p.m. Central Time November 23 through Midnight on December 7 by dialing 1-800-475-6701 from within the U.S. or 320-365-3844 from outside of the U.S., using access code 123450.

Investor Contact: Tyler Treat, (612) 851-7358
Media Contact: Mike Dougherty, (612) 851-7802