Document e7gREDE3JE80pZ3Jp9aK1GOEe

Eaton Corporation Statements of Consolidated Shareholders' Equity (Millions) Balance at January 1,1995 Net income Cash dividends paid, net of Employee Stock Ownership Plan (ESOP) tax benefit Issuance of shares under employee benefit plans, including tax benefit Net unrealized loss on available-for-saie securities Purchase of shares Shares allocated to employees Net translation adjustments Common Sham Sham Amount Capital in IC9M Of par valua currency Retained translation amine* odfrwtmonU 78.0 $39 $806 $ 988 $ (71) 399 Sham in trust Oofarrad Total compensation shartttoMwv' ESOP plan* quity $(82) $1,680 399 (116) (116) .4 14 (1) 13 (6) (6) (8) (8) (32) (40) 29 29 16 16 Balance at December 31,1995 Net income Cash dividends paid, net of ESOP tax benefit Issuance of shares under employee benefit plans, including tax benefit Net unrealized loss on available-for-sale securities trchase of shares snares allocated to employees Issuance of shares to bust Net translation adjustments 77.6 39 812 1,232 (55) (53) 349 1,975 349 (123) (123) J5 23 (D 22 (4) (4) (1.1) (12) (51) (63) 17 17 .1 7 $ (7) (13) (13) Balance at December 31,1996 Net income Cash dividends paid, net of ESOP tax benefit Issuance of shares under employee benefit plans, including tax benefit Put option obligation, net Net unrealized loss on available-for-sale securities Purchase of shares Shares allocated to employees Issuance of shares to trust Net translation adjustments Other 77.1 39 830 1,402 (68) (36) (7) 2,160 410 410 (132) (132) .9 47 (2) (18) 45 (18) (10) (10) (3.7) (2) (40) (292) (334) 16 16 2 20 (20) (71) 25 (71) 5 Balance at December 31,1997 74.7 $37 $844 $1,376 $(139) $(20) $(27) $2,071 The Financial Review on pages 24 to 32 is an integral part of the consolidated financial statements.