Avery Dennison Reports Encouraging Financial Results

PASADENA, Calif. –Avery Dennison Corp. has reported fourth-quarter 2002 and year-end results. Financial highlights include:

• Earnings were $0.68 per share in the fourth quarter of 2002 (excluding the restructuring and asset-impairment charge), reflecting growth of 15 percent over the prior-year fourth quarter.

• Net income was $67.4 million in the fourth quarter of 2002 (excluding the restructuring and asset impairment charge), reflecting growth of 16 percent over the same quarter a year ago.

• Reported sales grew 21 percent to $1.1 billion, compared with $912.6 million a year ago.

• Unit volumes grew by an estimated 7.5 to 8.5 percent in the quarter, excluding the impact of acquisitions and divestitures.

• Working capital as a percentage of sales improved to 5.1 percent.

The company took a charge of $16.9 million in the fourth quarter of 2002 for severance and asset-impairment costs, related to the integration of the Jackstadt acquisition, the closure of an office-products manufacturing facility and other cost-reduction actions.

For more information, visit http://www.averydennison.com.