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3M REPORTS HIGHER FIRST-QUARTER SALES AND EARNINGS

 ST. PAUL, Minn., May 3 /PRNewswire/ -- 3M (NYSE: MMM) today reported first-quarter net income of $330 million, or $1.51 a share, an increase of 9.0 percent from $303 million,(a) or $1.38 a share, in the first quarter last year. Sales totaled $3.517 billion, up 2.3 percent from $3.438 billion in the year-earlier quarter.
 L.D. DeSimone, chairman and chief executive officer, said that "earnings benefited from a strong U.S. performance by our largest business sector, Industrial and Consumer." This sector, a leader in tapes, coated abrasives, home-cleaning sponges and other product lines, posted a U.S. volume gain of nearly 10 percent.
 "Our other two business sectors -- Life Sciences, and Information, Imaging and Electronic -- also showed relatively good U.S. volume gains," DeSimone said. "Overall, our U.S. volume rose about 7 percent, well above the growth of the U.S. economy."
 DeSimone noted that 3M also achieved good volume growth -- about 6 percent -- outside the United States. "Strong gains in Latin America and along the Pacific Rim more than made up for continued economic weakness in Europe and Japan," he said.
 A stronger U.S. dollar had a negative effect on 3M's first-quarter sales and earnings. Currency effects reduced sales for the quarter by about 2 percent and net income by an estimated $11 million, or 5 cents a share.
 Looking ahead, DeSimone said that -- assuming the current economic environment remains pretty much the same -- 3M expects a good increase in 1993 earnings.
 "We got off to a good start in the first quarter," he said. "We expect our 1993 results to benefit from a strong emphasis on new products, increased penetration of international markets, customer satisfaction and productivity improvement."
 (a) Includes a reduction to net income of $3 million, or 2 cents a share, stemming from the adoption of two new accounting standards and a change in the financial-reporting period for 3M's International operations from a fiscal year ending Oct. 31 to a calendar year ending Dec. 31. The two accounting standards are SFAS No. 106, "Employers' Accounting for Postretirement Benefits Other than Pensions," and SFAS No. 109, "Accounting for Income Taxes." As a result of these changes, 3M previously restatated financial results for the first, second and third quarters of 1992.
 3M Financial Highlights
 First Quarter Ended March 31
 1993 1992
 Net Sales $3.517 billion $3.438 billion
 Income Before Income Taxes
 and Minority Interest $528 million $489 million
 Provision for Income Taxes $188 million $175 million
 Minority Interest $10 million $8 million
 Tax Rate 35.5 pct. 36.0 pct.
 Net Income $330 million $303 million
 Average Common Shares 218,836,226 219,163,262
 Earnings Per Share $1.51 $1.38
 Sales Change Analysis
 U.S. International Worldwide
 Volume 7 pct. 6 pct. 6 pct.
 Price (2) (1) (2)
 Translation -- (5) (2)
 Total 5 0 2
 CONSOLIDATED STATEMENT OF INCOME
 Unaudited
 MINNESOTA MINING AND MANUFACTURING COMPANY AND SUBSIDIARIES
 (Amounts in millions, except per-share data)
 3 Months Ended March 31
 1993 1992
 Net Sales $3,517 $3,438
 Operating Expenses
 Cost of goods sold 2,112 2,058
 Selling, general and
 administrative expenses 875 871
 Total 2,987 2,929
 Operating Income 530 509
 Other Income and Expense
 Interest expense 11 22
 Investment and
 other income -- net (9) (2)
 Total 2 20
 Income Before Income Taxes &
 Minority Interest 528 489
 Provision For Income Taxes 188 175
 Minority Interest 10 8
 Cumulative Effect of
 Accounting Changes 0 3
 Net Income $330 $303
 Average Number of Shares
 Outstanding 218.8 219.2
 Per Share:
 Income before acct. changes $1.51 $1.40
 Cum. effect of acct. chgs. $ -- ($0.02)
 Earnings per share $1.51 $1.38
 CONSOLIDATED BALANCE SHEET Unaudited
 (Dollars in millions)
 As of March 31
 1993 1992
 ASSETS
 Current Assets
 Cash and cash equivalents $309 $278
 Other securities
 -- 313 271
 Accounts receivable - net 2,639 2,563
 Inventories 2,295 2,257
 Other current assets 712 660
 Total current assets 6,268 6,029
 Property, Plant and
 Equipment - net 4,814 4,756
 Investments and Other Assets 955 944
 Total $12,037 $11,729
 LIABILITIES AND STOCKHOLDERS' EQUITY
 Current Liabilities
 Short-term debt $657 $796
 Other current liabilities 2,562 2,367
 Total current liabilities 3,219 3,163
 Other Liabilities 1,473 1,340
 Long-Term Debt 635 853
 Stockholders' Equity
 Shares outstanding - March 31,
 1993 218,752,627 shares;
 March 31, 1992
 219,076,322 shares; 6,896 6,426
 Cumulative Translation - net (186) (53)
 Stockholders' Equity - net 6,710 6,373
 Total $12,037 $11,729
 -0- 5/3/93
 /CONTACT: Mike Dougherty of 3M Investor Relations, 612-737-2666/
 (MMM)


CO: 3M; Minnesota Mining and Manufacturing Company ST: Minnesota IN: CPR SU: ERN

DS -- MN004 -- 3608 05/03/93 09:12 EDT
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Date:May 3, 1993
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