Snap-on Announces Fourth Quarter and Full Year 2012 Results

  Snap-on Announces Fourth Quarter and Full Year 2012 Results

        Diluted EPS of $1.43 for the quarter; $5.20 for the full year;
Operating earnings before financial services improves to 14.8% of sales in the
                                   quarter;
      Organic (excluding foreign currency) sales in the quarter up 2.5%;
                     Full year 2012 organic sales up 4.6%

Business Wire

KENOSHA, Wis. -- February 7, 2013

Snap-on Incorporated (NYSE: SNA), a leading global innovator, manufacturer and
marketer of tools, equipment, diagnostics, repair information and systems
solutions for professional users performing critical tasks, today announced
2012 operating results for the fourth quarter and full year.

  *Sales of $753.2 million in the quarter increased $16.6 million, or 2.3%,
    from 2011 levels; excluding $1.9 million of unfavorable foreign currency
    translation, organic sales increased 2.5%.
  *Operating earnings before financial services of $111.4 million in the
    quarter improved to 14.8% of sales as compared to $103.8 million, or 14.1%
    of sales, last year.
  *Financial services operating earnings of $29.3 million in the quarter
    increased $7.2 million from 2011 levels, reflecting the growth of the
    on-book finance portfolio.
  *Consolidated operating earnings of $140.7 million in the quarter improved
    to 17.7% of revenues (net sales plus financial services revenue) as
    compared to $125.9 million, or 16.3% of revenues, last year.
  *Net earnings of $84.6 million, or $1.43 per diluted share, for the quarter
    compares with net earnings of $74.3 million, or $1.27 per diluted share, a
    year ago.
  *Full year 2012 sales of $2.94 billion increased 2.9% from 2011 levels;
    excluding $46.0 million of unfavorable foreign currency translation,
    organic sales increased 4.6%. Full year 2012 net earnings of $306.1
    million, or $5.20 per diluted share, compares with 2011 net earnings of
    $265.2 million, or $4.52 per diluted share, excluding last year’s $18.0
    million pretax ($11.1 million after tax, or $0.19 per diluted share)
    arbitration settlement gain. Net earnings for the full year 2011,
    including the arbitration settlement gain, were $276.3 million or $4.71
    per diluted share.

“We believe ourperformance in the fourth quarter of 2012 further confirms
Snap-on’s strengths in making work easier for serious professionals performing
critical tasks, where the costs and penalties for failure can be high,” said
Nick Pinchuk, Snap-on chairman and chief executive officer. “In the fourth
quarter and throughout 2012, we continued to progress in those strategic areas
of importance that we’ve identified as being decisive to our future, while
achieving higher year-over-year sales and operating income despite ongoing
macroeconomic and political headwinds impacting specific parts of our
business. As we move forward in 2013, we believe we will make continued
advancements along our coherent runways for growth and achieve further
improvements from our Snap-on Value Creation Processes. Finally, our progress
in 2012 would not have been possible without the tremendous contributions and
efforts of our franchisees and associates worldwide; I thank them all for
their significant commitment and extraordinary dedication.”

Segment Results

Commercial & Industrial Group segment sales of $275.6 million in the quarter
decreased $19.8 million, or 6.7%, from 2011 levels. Excluding $1.7 million of
unfavorable foreign currency translation, organic sales in the quarter
decreased 6.2% year over year primarily due to lower sales to the military and
in the segment’s European-based hand tools business as a result of continued
economic weakness in that region.

Operating earnings of $31.9 million in the period decreased $1.1 million, or
3.3%, from 2011 levels, while the operating margin (operating earnings as a
percentage of segment sales) of 11.6% increased from 11.2% a year ago.

Snap-on Tools Group segment sales of $321.6 million in the quarter rose $28.8
million, or 9.8%, from 2011 levels; excluding $1.4 million of favorable
foreign currency translation, organic sales increased 9.3%, reflecting
increases across both the company’s U.S. and international franchise
operations.

Operating earnings of $45.6 million in the period increased $6.0 million, or
15.2%, from 2011 levels and the operating margin of 14.2% improved from 13.5%
a year ago.

Repair Systems & Information Group segment sales of $241.6 million in the
quarter increased $5.1 million, or 2.2%, from 2011 levels; excluding $1.6
million of unfavorable foreign currency translation, organic sales rose 2.9%,
primarily due to gains in sales of diagnostics and repair information products
to repair shop owners and managers, and in sales to Original Equipment
Manufacturer (OEM) dealerships.

Operating earnings of $55.4 million in the period increased $6.2 million, or
12.6%, from 2011 levels and the operating margin of 22.9% increased from 20.8%
a year ago.

Financial Services operating earnings of $29.3 million on revenue of $42.9
million in the quarter compared with operating earnings of $22.1 million on
revenue of $35.5 million a year ago.

Corporate expenses of $21.5 million in the fourth quarter compared with $18.0
million last year.

Outlook

In 2013, Snap-on expects to continue with the advancement of its strategic
framework designed to enhance its mobile tool distribution network, expand in
the vehicle repair garage, extend to critical industries and build in emerging
markets. In pursuit of these initiatives, Snap-on anticipates that capital
expenditures in 2013 will be in a range of $70 million to $80 million. Snap-on
expects that its full year 2013 effective income tax rate will be comparable
to its 2012 rate.

Conference Call and Webcast February 7, 2013, at 9:00 a.m. Central Time

A discussion of this release will be webcast on Thursday, February 7, 2013, at
9:00 a.m. Central Time, and a replay will be available for at least 10 days
following the call. To access the webcast and supporting materials, visit
www.snapon.com/sna and click on the link toward the bottom of the page.
Additional detail about Snap-on is also available on the Snap-on web site.

About Snap-on

Snap-on Incorporated is a leading global innovator, manufacturer and marketer
of tools, equipment, diagnostics, repair information and systems solutions for
professional users performing critical tasks. Products and services include
hand and power tools, tool storage, diagnostics software, information and
management systems, shop equipment and other solutions for vehicle dealerships
and repair centers, as well as for customers in industries, including aviation
and aerospace, agriculture, construction, government and military, mining,
natural resources, power generation and technical education. Snap-on also
derives income from various financing programs to facilitate the sales of its
products. Products and services are sold through the company’s franchisee,
company-direct, distributor and internet channels. Founded in 1920, Snap-on is
a $2.9 billion, S&P 500 company headquartered in Kenosha, Wisconsin.

Forward-looking Statements

Statements in this news release that are not historical facts, including
statements that (i) are in the future tense; (ii) include the words “expects,”
“anticipates,” “intends,” “approximates,” or similar words that reference
Snap-on or its management; (iii) are specifically identified as
forward-looking; or (iv) describe Snap-on’s or management’s future outlook,
plans, estimates, objectives or goals, are forward-looking statements within
the meaning of the Private Securities Litigation Reform Act of 1995. Snap-on
cautions the reader that this news release contains statements, including
earnings projections, that are forward-looking in nature and were developed by
management in good faith and, accordingly, are subject to risks and
uncertainties regarding Snap-on’s expected results that could cause (and in
some cases have caused) actual results to differ materially from those
described or contemplated in any forward-looking statement. Factors that may
cause the company’s actual results to differ materially from those contained
in the forward-looking statements include those found in the company’s reports
filed with the Securities and Exchange Commission, including the information
under the “Safe Harbor” and “Risk Factors” headings in its Annual Report on
Form 10-K for the fiscal year ended December 31, 2011, which are incorporated
herein by reference. Snap-on disclaims any responsibility to update any
forward-looking statement provided in this news release, except as required by
law.

For additional information, please visit www.snapon.com.

SNAP-ON INCORPORATED
Condensed Consolidated Statements of Earnings
(Amounts in millions, except per share data)
(unaudited)
                                                             
                                                                  
                                                                  
                                                                  
                         Fourth Quarter            Full Year
                         2012         2011         2012           2011
                                                                  
Net sales                $ 753.2      $ 736.6      $ 2,937.9      $ 2,854.2
Cost of goods sold        (401.2 )    (400.8 )    (1,547.9 )    (1,516.3 )
Gross profit               352.0        335.8        1,390.0        1,337.9
Operating expenses        (240.6 )    (232.0 )    (980.3   )    (953.7   )
Operating earnings
before financial           111.4        103.8        409.7          384.2
services
                                                                  
Financial services         42.9         35.5         161.3          124.3
revenue
Financial services        (13.6  )    (13.4  )    (54.6    )    (51.4    )
expenses
Operating earnings
from financial
services
before arbitration         29.3         22.1         106.7          72.9
settlement
Arbitration settlement    -          -          -            18.0     
Operating earnings
from financial            29.3       22.1       106.7        90.9     
services
                                                                  
Operating earnings         140.7        125.9        516.4          475.1
Interest expense           (14.4  )     (13.5  )     (55.8    )     (61.2    )
Other income (expense)    0.1        (1.0   )    (0.4     )    (1.0     )
– net
Earnings before income
taxes and equity           126.4        111.4        460.2          412.9
earnings
Income tax expense        (39.8  )    (36.2  )    (148.2   )    (133.7   )
Earnings before equity     86.6         75.2         312.0          279.2
earnings
Equity earnings, net      0.1        0.9        2.6          4.6      
of tax
Net earnings               86.7         76.1         314.6          283.8
Net earnings
attributable to           (2.1   )    (1.8   )    (8.5     )    (7.5     )
noncontrolling
interests
Net earnings
attributable to          $ 84.6      $ 74.3      $ 306.1       $ 276.3    
Snap-on Inc.
                                                                  
                                                                  
Net earnings per share
attributable to
Snap-on Inc.:
Basic                    $ 1.45       $ 1.28       $ 5.26         $ 4.75
Diluted                    1.43         1.27         5.20           4.71
                                                                  
Weighted-average
shares outstanding:
Basic                      58.2         58.2         58.2           58.2
Effect of dilutive        0.8        0.5        0.7          0.5      
options
Diluted                   59.0       58.7       58.9         58.7     

                                                             
  SNAP-ON INCORPORATED
  Supplemental Segment Information
  (Amounts in millions)
  (unaudited)
                                                                   
                                                                   
                                                                   
                   Fourth Quarter                    Full Year
                   2012            2011              2012          2011
                                                                   
  Net sales:
  Commercial &
  Industrial       $  275.6        $  295.4          $ 1,125.9     $ 1,125.8
  Group
  Snap-on Tools       321.6           292.8            1,272.0       1,153.4
  Group
  Repair
  Systems &          241.6         236.5          917.1       920.6   
  Information
  Group
  Segment net         838.8          824.7            3,315.0       3,199.8
  sales
  Intersegment       (85.6  )       (88.1  )        (377.1  )    (345.6  )
  eliminations
  Total net        $  753.2        $  736.6          $ 2,937.9     $ 2,854.2
  sales
  Financial
  Services           42.9          35.5           161.3       124.3   
  revenue
  Total            $  796.1       $  772.1         $ 3,099.2    $ 2,978.5 
  revenues
                                                                   
  Operating
  earnings:
  Commercial &
  Industrial       $  31.9         $  33.0           $ 127.3       $ 123.4
  Group
  Snap-on Tools       45.6            39.6             176.4         158.5
  Group
  Repair
  Systems &           55.4            49.2             205.7         184.7
  Information
  Group
  Financial          29.3          22.1           106.7       90.9    
  Services*
  Segment
  operating           162.2          143.9            616.1         557.5
  earnings
  Corporate          (21.5  )       (18.0  )        (99.7   )    (82.4   )
  Operating        $  140.7        $  125.9          $ 516.4       $ 475.1
  earnings
  Interest            (14.4  )        (13.5  )         (55.8   )     (61.2   )
  expense
  Other income
  (expense) –        0.1           (1.0   )        (0.4    )    (1.0    )
  net
  Earnings
  before income
  taxes
  and equity       $  126.4       $  111.4         $ 460.2      $ 412.9   
  earnings
                                                                   
                                                                   
* Financial Services' operating earnings for the full year 2011 includes an
  $18.0 million pretax arbitration settlement gain from a second quarter 2011
  arbitration settlement.


SNAP-ON INCORPORATED
Reconciliation of Non-GAAP Financial Measures
(Amounts in millions, except per share data)
(unaudited)
                                                             
                                                                   
                                                                   
                                                                   
                       Fourth Quarter                Full Year
                       2012            2011          2012          2011
  AS REPORTED
  Net sales            $  753.2        $  736.6      $ 2,937.9     $ 2,854.2
  Financial              42.9          35.5       161.3       124.3   
  services revenue
  Total revenues       $  796.1       $  772.1     $ 3,099.2    $ 2,978.5 
                                                                   
  PRO FORMA
  INFORMATION
                                                                   
  1) Operating
  earnings
  As reported          $  140.7        $  125.9      $ 516.4       $ 475.1
  Less: Arbitration      -             -          -           (18.0   )
  settlement gain
  Excluding
  arbitration          $  140.7       $  125.9     $ 516.4      $ 457.1   
  settlement gain
                                                                   
  Operating
  earnings as a
  percentage of
  total revenues
  As reported             17.7   %        16.3   %     16.7    %     16.0    %
  Excluding
  arbitration             17.7   %        16.3   %     16.7    %     15.3    %
  settlement gain
                                                                   
                                                                   
  2) Arbitration
  settlement gain
  As reported          $  -            $  -          $ -           $ 18.0
  Income tax             -             -          -           (6.9    )
  expense
  Arbitration
  settlement gain,     $  -           $  -         $ -          $ 11.1    
  net of tax
                                                                   
  Weighted-average
  shares                  59.0            58.7         58.9          58.7
  outstanding -
  Diluted
                                                                   
  Diluted EPS -
  Arbitration          $  -           $  -         $ -          $ 0.19    
  settlement gain
                                                                   
                                                                   
  3) Net earnings
  attributable to
  Snap-on
  Incorporated
  As reported          $  84.6         $  74.3       $ 306.1       $ 276.3
  Less: Arbitration
  settlement gain,       -             -          -           (11.1   )
  net of tax
  Excluding
  arbitration          $  84.6        $  74.3      $ 306.1      $ 265.2   
  settlement gain
                                                                   
                                                                   
  4) Diluted EPS
  As reported          $  1.43         $  1.27       $ 5.20        $ 4.71
  Less: Diluted EPS
  - Arbitration          -             -          -           (0.19   )
  settlement gain
  Excluding
  arbitration          $  1.43        $  1.27      $ 5.20       $ 4.52    
  settlement gain
                                                                   
                                                                   
  Snap-on is providing the above reconciliations of non-GAAP financial
  measures (excluding last year's $18.0 million pretax arbitration settlement
  gain recorded in the second quarter of 2011) as management believes that
  these non-GAAP measures provide a more meaningful year-over-year comparison
  of the company's operating performance.

                                                                
SNAP-ON INCORPORATED
Condensed Consolidated Balance Sheets
(Amounts in millions)
(unaudited)
                                                                   
                                                                   
                                                     Fiscal Year End
                                                     2012          2011
                                                                   
Assets
Cash and cash equivalents                            $ 214.5       $ 185.6
Trade and other accounts receivable – net              497.9         463.5
Finance receivables – net                              323.1         277.2
Contract receivables – net                             62.7          49.7
Inventories – net                                      404.2         386.4
Deferred income tax assets                             81.8          92.6
Prepaid expenses and other assets                     84.8        75.7    
Total current assets                                   1,669.0       1,530.7
                                                                   
Property and equipment – net                           375.2         352.9
Deferred income tax assets                             110.4         125.2
Long-term finance receivables – net                    494.6         431.8
Long-term contract receivables – net                   194.4         165.1
Goodwill                                               807.4         795.8
Other intangibles – net                                187.2         188.3
Other assets                                          64.1        83.1    
Total assets                                         $ 3,902.3    $ 3,672.9 
                                                                   
Liabilities and Equity
Notes payable                                        $ 5.2         $ 16.2
Accounts payable                                       142.5         124.6
Accrued benefits                                       50.6          48.8
Accrued compensation                                   88.3          91.0
Franchisee deposits                                    54.7          47.3
Other accrued liabilities                             247.9       255.9   
Total current liabilities                              589.2         583.8
                                                                   
Long-term debt                                         970.4         967.9
Deferred income tax liabilities                        127.1         108.1
Retiree health care benefits                           48.4          52.8
Pension liabilities                                    260.7         317.7
Other long-term liabilities                           87.5        95.3    
Total liabilities                                     2,083.3     2,125.6 
                                                                   
Equity
Shareholders' equity attributable to Snap-on Inc.
Common stock                                           67.4          67.3
Additional paid-in capital                             204.6         181.4
Retained earnings                                      2,067.0       1,843.7
Accumulated other comprehensive loss                   (124.2  )     (174.6  )
Treasury stock at cost                                (412.7  )    (386.9  )
Total shareholders' equity attributable to Snap-on     1,802.1       1,530.9
Inc.
Noncontrolling interests                              16.9        16.4    
Total equity                                          1,819.0     1,547.3 
Total liabilities and equity                         $ 3,902.3    $ 3,672.9 

                                                                 
SNAP-ON INCORPORATED
Condensed Consolidated Statements of Cash Flow
(Amounts in millions)
(unaudited)
                                                                    
                                                       Fourth Quarter
                                                       2012         2011
                                                                    
Operating activities:
Net earnings                                           $ 86.7       $ 76.1
Adjustments to reconcile net earnings to net cash
provided (used) by
operating activities:
Depreciation                                             12.6         12.5
Amortization of other intangibles                        6.9          6.7
Provision for losses on finance receivables              4.9          4.6
Provision for losses on non-finance receivables          5.0          0.3
Stock-based compensation expense                         7.1          7.9
Excess tax benefits from stock-based compensation        (3.2   )     (0.6   )
Deferred income tax provision                            25.7         14.3
Gain on sale of assets                                   -            (0.1   )
Changes in operating assets and liabilities:
Increase in trade and other accounts receivable          (24.5  )     (21.5  )
Increase in contract receivables                         (3.2   )     (8.2   )
Decrease in inventories                                  14.0         8.3
Decrease (increase) in prepaid and other assets          7.2          (1.7   )
Decrease in accounts payable                             (7.2   )     (7.5   )
Decrease in accruals and other liabilities              (29.1  )    (18.8  )
Net cash provided by operating activities                102.9        72.3
                                                                    
Investing activities:
Additions to finance receivables                         (143.5 )     (132.6 )
Collections of finance receivables                       116.6        97.2
Capital expenditures                                     (19.9  )     (14.6  )
Disposal of property and equipment                       0.2          0.7
Proceeds from sale of equity investment                  27.0         -
Other                                                   0.1        (0.1   )
Net cash used by investing activities                    (19.5  )     (49.4  )
                                                                    
Financing activities:
Proceeds from short-term borrowings                      4.8          4.5
Repayments of short-term borrowings                      (16.2  )     (1.6   )
Net decrease in other short-term borrowings              (2.3   )     (0.8   )
Cash dividends paid                                      (22.1  )     (20.2  )
Purchase of treasury stock                               (16.3  )     -
Proceeds from stock purchase and option plans            6.5          0.6
Excess tax benefits from stock-based compensation        3.2          0.6
Other                                                   (2.5   )    (5.2   )
Net cash used by financing activities                    (44.9  )     (22.1  )
                                                                    
Effect of exchange rate changes on cash and cash        (0.1   )    (0.9   )
equivalents
Increase (decrease) in cash and cash equivalents         38.4         (0.1   )
                                                                    
Cash and cash equivalents at beginning of period        176.1      185.7  
Cash and cash equivalents at end of year               $ 214.5     $ 185.6  
                                                                    
Supplemental cash flow disclosures:
Cash paid for interest                                 $ (1.8   )   $ (0.4   )
Net cash paid for income taxes                           (33.7  )     (20.0  )


SNAP-ON INCORPORATED
Condensed Consolidated Statements of Cash Flow
(Amounts in millions)
(unaudited)
                                                                 
                                                       Full Year
                                                       2012         2011
                                                                    
Operating activities:
Net earnings                                           $ 314.6      $ 283.8
Adjustments to reconcile net earnings to net cash
provided (used) by
operating activities:
Depreciation                                             50.2         49.3
Amortization of other intangibles                        26.5         25.3
Provision for losses on finance receivables              18.7         13.3
Provision for losses on non-finance receivables          12.6         12.9
Stock-based compensation expense                         32.1         20.3
Excess tax benefits from stock-based compensation        (8.2   )     (2.8   )
Deferred income tax provision                            29.3         5.1
Gain on sale of assets                                   (0.9   )     (0.1   )
Changes in operating assets and liabilities:
Increase in trade and other accounts receivable          (43.4  )     (36.8  )
Increase in contract receivables                         (41.1  )     (51.5  )
Increase in inventories                                  (13.4  )     (60.9  )
Increase in prepaid and other assets                     (24.8  )     (35.7  )
Increase (decrease) in accounts payable                  16.6         (21.5  )
Decrease in accruals and other liabilities              (39.5  )    (72.2  )
Net cash provided by operating activities                329.3        128.5
                                                                    
Investing activities:
Additions to finance receivables                         (569.6 )     (519.1 )
Collections of finance receivables                       445.5        356.9
Capital expenditures                                     (79.4  )     (61.2  )
Disposal of property and equipment                       2.6          3.7
Proceeds from sale of equity investment                  27.0         -
Other                                                   0.8        0.1    
Net cash used by investing activities                    (173.1 )     (219.6 )
                                                                    
Financing activities:
Repayment of long-term debt                              -            (200.0 )
Proceeds from short-term borrowings                      16.0         19.7
Repayments of short-term borrowings                      (30.3  )     (17.9  )
Net increase (decrease) in other short-term              3.1          (1.2   )
borrowings
Cash dividends paid                                      (81.5  )     (76.7  )
Purchase of treasury stock                               (78.1  )     (37.4  )
Proceeds from stock purchase and option plans            46.8         25.7
Excess tax benefits from stock-based compensation        8.2          2.8
Other                                                   (11.2  )    (8.7   )
Net cash used by financing activities                    (127.0 )     (293.7 )
                                                                    
Effect of exchange rate changes on cash and cash        (0.3   )    (1.8   )
equivalents
Increase (decrease) in cash and cash equivalents         28.9         (386.6 )
                                                                    
Cash and cash equivalents at beginning of year          185.6      572.2  
Cash and cash equivalents at end of year               $ 214.5     $ 185.6  
                                                                    
Supplemental cash flow disclosures:
Cash paid for interest                                 $ (55.6  )   $ (59.3  )
Net cash paid for income taxes                           (93.6  )     (128.8 )


SNAP-ON INCORPORATED
Supplemental Consolidating Data - Condensed Statements of Earnings
(Amounts in millions)
(unaudited)
                                                                
                                                                     
                    Operations*                       Financial Services
                    Fourth Quarter                    Fourth Quarter
                    2012             2011             2012           2011
                                                                     
Net sales           $  753.2         $  736.6         $  -           $ -
Cost of goods         (401.2  )       (400.8  )       -           -     
sold
Gross profit           352.0            335.8            -             -
Operating             (240.6  )       (232.0  )       -           -     
expenses
Operating
earnings before        111.4            103.8            -             -
financial
services
                                                                     
Financial              -                -                42.9          35.5
services revenue
Financial
services              -              -              (13.6  )     (13.4 )
expenses
Operating
earnings from         -              -              29.3        22.1  
financial
services
                                                                     
Operating              111.4            103.8            29.3          22.1
earnings
Interest expense       (13.5   )        (13.3   )        (0.9   )      (0.2  )
Intersegment
interest income        11.1             9.6              (11.1  )      (9.6  )
(expense) – net
Other income          -              (1.0    )       0.1         -     
(expense) – net
Earnings before
income taxes and       109.0            99.1             17.4          12.3
equity earnings
Income tax            (33.5   )       (31.7   )       (6.3   )     (4.5  )
expense
Earnings before        75.5             67.4             11.1          7.8
equity earnings
Financial
services – net
earnings
attributable to        11.1             7.8              -             -
Snap-on Inc.
Equity earnings,      0.1            0.9            -           -     
net of tax
Net earnings           86.7             76.1             11.1          7.8
Net earnings
attributable to       (2.1    )       (1.8    )       -           -     
noncontrolling
interests
Net earnings
attributable to     $  84.6         $  74.3         $  11.1       $ 7.8   
Snap-on Inc.
                                                                     
* Snap-on Inc. with Financial Services on the equity method.
Transactions between Operations and Financial Services were eliminated to
arrive at the consolidated financial statements.


SNAP-ON INCORPORATED
Supplemental Consolidating Data - Condensed Statements of Earnings
(Amounts in millions)
(unaudited)
                                                                
                                                                     
                   Operations*                           Financial Services
                   Full Year                             Full Year
                   2012               2011               2012        2011
                                                                     
Net sales          $  2,937.9         $  2,854.2         $ -         $ -
Cost of goods        (1,547.9  )       (1,516.3  )      -         -     
sold
Gross profit          1,390.0            1,337.9           -           -
Operating            (980.3    )       (953.7    )      -         -     
expenses
Operating
earnings before       409.7              384.2             -           -
financial
services
                                                                     
Financial
services              -                  -                 161.3       124.3
revenue
Financial
services             -                -               (54.6 )    (51.4 )
expenses
Operating
earnings from
financial
services
before
arbitration           -                  -                 106.7       72.9
settlement
Arbitration          -                -               -         18.0  
settlement
Operating
earnings from        -                -               106.7     90.9  
financial
services
                                                                     
Operating             409.7              384.2             106.7       90.9
earnings
Interest              (54.0     )        (60.0     )       (1.8  )     (1.2  )
expense
Intersegment
interest income       42.4               35.8              (42.4 )     (35.8 )
(expense) – net
Other income         (0.4      )       (1.0      )      -         -     
(expense) – net
Earnings before
income taxes          397.7              359.0             62.5        53.9
and equity
earnings
Income tax           (125.3    )       (113.9    )      (22.9 )    (19.8 )
expense
Earnings before       272.4              245.1             39.6        34.1
equity earnings
Financial
services – net
earnings
attributable to       39.6               34.1              -           -
Snap-on Inc.
Equity
earnings, net        2.6              4.6             -         -     
of tax
Net earnings          314.6              283.8             39.6        34.1
Net earnings
attributable to      (8.5      )       (7.5      )      -         -     
noncontrolling
interests
Net earnings
attributable to    $  306.1          $  276.3          $ 39.6     $ 34.1  
Snap-on Inc.
                                                                     
* Snap-on Inc. with Financial Services on the equity method.
Transactions between Operations and Financial Services were eliminated to
arrive at the consolidated financial statements.

                                                               
SNAP-ON INCORPORATED
Supplemental Consolidating Data - Condensed Balance Sheets
(Amounts in millions)
(unaudited)
                                                                     
                                                                     
                        Operations*                   Financial Services
                        Fiscal Year End               Fiscal Year End
                        2012           2011           2012           2011
                                                                     
Assets
Cash and cash           $  211.2       $  181.1       $  3.3         $  4.5
equivalents
Intersegment               14.1           10.8           -              -
receivables
Trade and other
accounts receivable        497.5          463.3          0.4            0.2
– net
Finance receivables        -              -              323.1          277.2
– net
Contract receivables       7.4            6.5            55.3           43.2
– net
Inventories – net          404.2          386.4          -              -
Deferred income tax        68.8           90.0           13.0           2.6
assets
Prepaid expenses and      88.3          78.1          1.0           0.9
other assets
Total current assets       1,291.5        1,216.2        396.1          328.6
                                                                     
Property and               373.2          351.9          2.0            1.0
equipment – net
Investment in              165.3          142.0          -              -
Financial Services
Deferred income tax        110.2          119.8          0.2            5.4
assets
Long-term finance          -              -              494.6          431.8
receivables – net
Long-term contract         12.1           9.1            182.3          156.0
receivables – net
Goodwill                   807.4          795.8          -              -
Other intangibles –        187.2          188.3          -              -
net
Other assets              65.3          83.7          1.1           1.0
Total assets            $  3,012.2     $  2,906.8     $  1,076.3     $  923.8
                                                                     
Liabilities and
Equity
Notes payable           $  5.2         $  16.2        $  -           $  -
Accounts payable           142.1          124.0          0.4            0.6
Intersegment               -              -              14.1           10.8
payables
Accrued benefits           50.6           48.8           -              -
Accrued compensation       84.9           87.1           3.4            3.9
Franchisee deposits        54.7           47.3           -              -
Other accrued             207.8         229.7         46.9          31.1
liabilities
Total current              545.3          553.1          64.8           46.4
liabilities
                                                                     
Long-term debt and
intersegment               143.2          257.6          827.2          710.3
long-term debt
Deferred income tax        125.7          108.0          1.4            0.1
liabilities
Retiree health care        48.4           52.8           -              -
benefits
Pension liabilities        260.7          317.7          -              -
Other long-term           69.9          70.3          17.6          25.0
liabilities
Total liabilities         1,193.2       1,359.5       911.0         781.8
                                                                     
Total shareholders'
equity attributable        1,802.1        1,530.9        165.3          142.0
to Snap-on Inc.
Noncontrolling            16.9          16.4          -             -
interests
Total equity              1,819.0       1,547.3       165.3         142.0
Total liabilities       $  3,012.2     $  2,906.8     $  1,076.3     $  923.8
and equity
                                                                     
* Snap-on Inc. with Financial Services on the equity method.
Transactions between Operations and Financial Services were eliminated to
arrive at the consolidated financial statements.

Contact:

Snap-on Incorporated
Investors:
Leslie Kratcoski, 262/656-6121
or
Media:
Richard Secor, 262/656-5561
 
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