News Releases - 2006

Date: 2 October 2006

EATON CORPORATION CAPTURES FROST & SULLIVAN 2006 POWER QUALITY AWARDS

PITTSBURGH … Diversified industrial manufacturer Eaton Corporation today announced it has been named the 2006 Power Quality Company of the Year by global growth consulting firm Frost & Sullivan. The firm also awarded its 2006 Power Quality Executive of the Year award to Randy W. Carson, president of Eaton’s electrical business.

For the third consecutive year, Frost & Sullivan has named Eaton Corp. its Power Quality Company of the Year based upon its ability to increase market share, demonstrate exceptional customer service, develop innovative and high-quality products and services, and enhance the value of product ownership for its existing customers.

Led by a unique, solutions-based strategy called PowerChain Management™, Eaton’s electrical business generated more than $4 billion in sales in 2005 and grew market share by approximately 8 to 10 percent. Eaton’s Power Quality Solutions Organization account for roughly 40 to 45 percent of the Electrical Business’s revenue and were a key growth driver for the company in 2005.

According to Frost & Sullivan, Randy W. Carson was awarded Power Quality Executive of the year due to his proven ability to increase market share, make decisions that result in improved earnings, influence company growth, successfully take risks, and present a clearly defined vision, among other criteria.

Since his appointment as president in 2000, the Electrical business of Eaton has more than doubled. Under his leadership, the electrical business has grown from an organization focusing largely on North American customers into a global, $4 billion enterprise. By focusing heavily on targeting new channels, developing new products and services, enlisting new clients and strategic acquisitions, Eaton has successfully positioned itself as the number one or number two supplier in virtually all major markets.

“Over the next few years, we will expand our electrical business through strategic acquisitions and continued global expansion,” said Carson. And we will continue to strengthen our reputation by developing power quality solutions that increase safety, reduce downtime and increase customers’ profitability.”

Before joining Eaton in 1999 as vice president, growth, Carson served as senior vice president of Rockwell Automation, where he was responsible for all operations of the systems, assembly and value-added services. Prior to this position, Carson led the Automation Group of Allen-Bradley and served as executive vice president of the Reliance Electrical Group.

Carson graduated from Valparaiso University in 1972 with a bachelor of science in electrical engineering. After graduation, Carson started in the sales organization of Allen-Bradley and was promoted to executive-level positions in sales, marketing and distribution.

About Frost & Sullivan
Frost & Sullivan, a global growth consulting company, has partnered with clients to support the development of innovative strategies for more than 40 years. The company’s industry expertise integrates growth consulting, growth partnership services and corporate management training to identify and develop opportunities. Frost & Sullivan serves an extensive clientele that includes Global 1000 companies, emerging companies, and the investment community. The organization’s comprehensive industry coverage reflects a unique global perspective earned through ongoing analysis of global markets, technologies, econometrics, and demographics. For more information, visit www.frost.com

About Eaton Corporation
Eaton’s electrical business is a global leader in electrical control, power distribution, uninterruptible power supply and industrial automation products and services. Eaton’s global electrical brands, including Powerwareâ and Cutler-Hammerâ, provide customer-driven PowerChain Managementä solutions to serve the power system needs of the industrial, institutional, government, utility, commercial, residential, IT, mission critical and OEM markets worldwide. For more information, visit www.EatonElectrical.com.

Eaton Corporation is a diversified industrial manufacturer with 2005 sales of $11.1 billion. Eaton is a global leader in electrical systems and components for power quality, distribution and control; fluid power systems and services for industrial, mobile and aircraft equipment; intelligent truck drivetrain systems for safety and fuel economy; and automotive engine air management systems, powertrain solutions and specialty controls for performance, fuel economy and safety. Eaton has 60,000 employees and sells products to customers in more than 125 countries. For more information, visit www.eaton.com.