Eaton Corporation Contributes Nearly $4.9 Million in 2001, Including $92,000 in Puerto Rico.

Business Editors

CLEVELAND--(BUSINESS WIRE)--Feb. 4, 2002

Diversified industrial manufacturer Eaton Corporation (NYSE:ETN) reported today that it granted nearly $4.9 million in philanthropic contributions in 2001, primarily in the United States and North America.

In Puerto Rico, Eaton contributed more than $92,000 to various non-profits including educational institutions, arts and cultural organizations, and health and human services organizations, including:

-- Asociacion Gericola, $5,000, Las Piedras

-- Hogar Crea para Damas de Coamo, $2,500, Coamo

-- Josefa Pastrana High School, $5,000, Augas Buenas

-- Scalibur Technology, $10,000, Las Piedras

-- United Way, $70,000, matching employee contributions in excess of $140,000

Eaton also contributed generously on a national and North American basis. Other beneficiaries included:

-- United Way, to whom Eaton and its employees contributed nearly

$5 million nationally in 86 communities where Eaton operations

are located. The company matches employee contributions

through a corporate gift to United Way of at least 50 cents on

every dollar donated.

-- Habitat for Humanity, donation of arc fault circuit

interrupters, load centers and circuit breakers. Over a

seven-year period, the company has contributed products used

in nearly 700 homes in the United States and Canada.

-- Grants to educational institutions, to develop the technical

skills and leadership talent of the next generation of

employees. Case Western Reserve University, Iowa State

University, Northwestern, Ohio State University, Pennsylvania

State University, Purdue University, University of Michigan,

University of Minnesota and the University of North Carolina

are among those funded.

Also at the university level, the company supports the Eaton

Minority Engineering Scholarship Program, established to

prepare minority students for career opportunities in the

field of engineering. The program, which currently includes

participants from 10 universities throughout the United

States, provides annual scholarships, summer internships at

Eaton, a mentoring program, and training in business practices

through an annual conference.

-- Gift Matching Awards to 685 organizations, in matching

contributions for employee donations on a one-to-one basis.

-- Beyond the borders of the United States and Canada, to various

organizations in Puerto Rico, the Dominican Republic and

Brazil, including elementary schools, hospitals, and

orphanages.

"It has been a challenging year in so many ways - and yet we at Eaton have embraced our community responsibilities and continued our efforts to remain a constructive force wherever we have locations," said Alexander M. Cutler, Eaton chairman and chief executive officer. "While the current economy may adversely impact the resources that we are able to dedicate to philanthropy in the short-term, we remain committed to supporting charitable programs in the communities where we have operations."

Eaton distributes funds to non-profit organizations and educational institutions for support of programs that address the company's philanthropic priorities of supporting employee involvement and investment, promoting self-sufficiency, sustaining arts and cultural institutions, and enhancing education.

Eaton Corporation is a global $7.3 billion diversified industrial manufacturer that is a leader in fluid power systems; electrical power quality, distribution and control; automotive engine air management and fuel economy; and intelligent truck systems for fuel economy and safety. Eaton has 49,000 employees and sells products in more than 50 countries. For more information, visit www.eaton.com.