Graybar Reports 2009 First Quarter Results

Employee-owned company eyes increased market share
Strategic planning helps financially strong company weather the downturn

ST. LOUIS, May 8, 2009 - Graybar, a leading distributor of electrical and communications products and related supply chain management and logistics services, reported net sales of $1.057 billion during the first quarter of 2009, a decrease of 17.6 percent compared to the first quarter of 2008. The company also reported $2.48 million in net income for the first three months of 2009, an 86.9 percent decrease from the same period last year. The results for the quarter were in line with the company's expectations.

The significant declines were predicted by economists specializing in the wholesale distribution industry and come as no surprise to employee-owned Graybar. "We anticipated a challenging business climate in 2009 and worked throughout last year to prepare the company for it," said Robert A. Reynolds Jr., Graybar's chairman, president and chief executive officer. "We expect the rest of 2009 to be very difficult for our industry. Fortunately, Graybar's financial condition is strong with very low debt and healthy cash flow, which allows us to work to our customers' advantage and positions us to emerge from this downturn even stronger."

Graybar celebrates its 140th anniversary this year as well as 80 years of employee ownership. Reynolds adds, "As an employee-owned company, we take a long-term view of our business and are confident that our investments in technology, people and process improvement will lead to increased market share for the future."