SECURITIES AND EXCHANGE COMMISSION
Washington, D.C.  20549


FORM 10-Q


QUARTERLY REPORT UNDER SECTION 13 or 15(d)
OF THE SECURITIES EXCHANGE ACT OF 1934



[x] Quarterly Report Pursuant to Section 13 or 15(d) of the Securities 
Exchange Act of 1934

For the quarterly period ended JuneMarch 30, 20012002 

[] Transition Report Pursuant to Section 13 or 15(d) of the Securities 
Exchange Act of 1934

For the transition period from_____to______

Commission File Number  2-63880



ACE HARDWARE CORPORATION

(Exact         (Exact name of registrant as specified in its charter)


DELAWARE                                 36-0700810

(State   (State or other jurisdiction of                (I.R.S. Employer
    incorporation or organization)                Identification No.)


2200 Kensington Court, Oak Brook, IL                 60523
(Address      (Address of principal executive offices)            (Zip code)


(630) 990-6600
(Registrant's          (Registrant's telephone number, including area code)


Not Applicable

(Former name, former address and former fiscal year, if changed since last 
report.)



Indicate by check mark whether the registrant (1) has filed all reports 
required to be filed by Section 13 or 15(d) of the Securities Exchange Act 
of 1934 during the preceding 12 months (or for such shorter period that 
the registrant was required to file such reports), and (2) has been 
subject to such filing requirements for the past 90 days.  YES [x] NO [] 

Indicate the number of shares outstanding of each of the issuer's classes 
of common stock, as of the close of the latest practicable date.


                 Class                   Outstanding at JuneMarch 30, 20012002 
Class A Voting Stock - $1,000 par value             3,7183,695  shares
Class B Stock        - $1,000 par value             2,1522,064  shares
Class C Stock        - $  100 par value         2,638,8872,802,047  shares






ACE HARDWARE CORPORATION


INDEX



Part I. - Financial Information:                                Page No.


Item 1. Condensed Consolidated Financial Statements



     Condensed Consolidated Balance Sheets -  
         JuneMarch 30, 20012002 and December 30, 200029, 2001                      1

     Condensed Consolidated Statements of Earnings and
         Condensed Consolidated Statements of Comprehensive
         Income - Twenty-six Weeks and Thirteen Weeks Ended March 30, 2002
         June 30,and March 31, 2001 and July 1, 2000                                        2

     Condensed Consolidated Statements of Cash Flows -  
         Twenty-sixThirteen Weeks Ended JuneMarch 30, 20012002 
         and July 1, 2000March 31, 2001                                        3

     Notes to Condensed Consolidated Financial Statements        4 - 5


 Item 2. Management's Discussion and Analysis of Financial
     Condition and Results of Operations                         6 - 8
7

 Item 3. Quantitative and Qualitative Disclosures About
     Market Risk                                                   9 
8 
 
Part II. - Other Information                                          


 Item 1. Legal Proceedings                                         109

 Item 2. Changes in Securities and Use of Proceeds                 109

 Item 3. Defaults Upon Senior Securities                           109

 Item 4. Submission of Matters to a Vote of Security Holders       109

 Item 5. Other Information                                         119

 Item 6. Exhibits and Reports on Form 8-K                          119



PART I.I FINANCIAL INFORMATION
ACE HARDWARE CORPORATION
                            CONDENSED CONSOLIDATED BALANCE SHEETS     SHEET
(000 Omitted)
                                      (000's omitted)

                                                           JuneMarch 30,       December 30,29,
    2002       2001      2000    
                                                         (Unaudited)

ASSETS

Current Assets:assets:
   Cash and Cash Equivalentscash equivalents                             $   22,40620,587        $   24,64425,213
   Short-term Investments                                       11,512           12,772    Accounts Receivable, Net                                    404,110          372,971investments                                    18,046            17,158
   Receivables, net                                         379,633           369,035
   Merchandise Inventory                                       395,081          395,565inventory                                    435,287           412,568
   Prepaid Expensesexpense and Other Current Assetsother current assets                  16,31317,806            15,10516,295 

     Total Current Assets                                     849,422          821,057current assets                                   871,359           840,269

Property and Equipment, Net                                    286,848          261,890equipment, net                                 282,509           287,507
Other Assetsassets                                                 39,95943,722            40,86341,015 

Total Assets                                             $   1,176,229    $   1,123,810                                                         $1,197,590        $1,168,791 
                                                         ==============   =========================       ===========

LIABILITIES AND MEMBER DEALERS' EQUITY

Current Liabilities:
   Current Installmentinstallments of Long-Term Debtlong-term debt                $    7,0187,175        $    6,9047,179
   Short-Term Borrowings                                        42,000           81,500Short-term borrowings                                    104,400            72,600
   Accounts Payable                                            498,993          448,766payable                                         429,225           409,789
   Patronage Dividends Payabledividends payable in Cash                          13,445           34,764cash                       39,571            34,229
   Patronage Refund Certificates Payable                         9,114            4,795refund certificates payable                     13,276             9,084
   Accrued Expensesexpenses                                          63,87064,050            63,22481,062 

     Total Current Liabilities                                634,440          639,953current liabilities                              657,697           613,943

Long-Term Debt                                                 173,158          105,891Long-term debt                                              170,160           170,387
Patronage Refund Certificates Payable                           65,502           68,385refund certificates payable                        66,900            77,401
Other Long-Term Liabilitieslong-term liabilities                                  26,98427,811            24,92327,184 

     Total Liabilities                                        900,084          839,152liabilities                                      922,568           888,915

Member Dealers' Equity:dealers' equity:
   Class A Stock of $1,000 Par Value                            3,872            3,783par value                          3,761             3,693
   Class B Stock of $1,000 Par Valuepar value                          6,499             6,499
   Class C Stock of $100 Par Value                            274,087          250,480par value                          260,511           260,224
   Class C Stock of $100 Par Value, Issuable                    8,718           24,267par value, issuable to
      dealers for patronage dividends                        26,917            23,284
   Additional Stock Subscribed, Net of Unpaid Portion              327              351stock subscribed, net                             303               303
   Retained Deficit                                            (11,199)          (5,551)deficit                                         (22,571)          (17,591)
   Contributed Capitalcapital                                       13,485            13,485
   Accumulated Other Comprehensive Incomeother comprehensive loss                      (598)(1,356)           (162)(1,239)

                                                               295,191          293,152                                                            287,549           288,658
Less: Treasury Stock, at Costcost                               (19,046)(12,527)           (8,494)(8,782)

     Total Member Dealers' Equity                             276,145          284,658member dealers' equity                           275,022           279,876

                                                         $1,197,590        $1,168,791
                                                         ===========       ===========


See accompanying notes to condensed consolidated financial statements.



ACE HARDWARE CORPORATION
                     CONDENSED CONSOLIDATED STATEMENTS OF INCOME
                                   (000'S OMITTED)
                                     (Unaudited)

    Thirteen Weeks Ended    

                                                          March 30,          March 31,
  2002     2001

Net sales                                                 $707,167           $672,826
Cost of sales                                              646,959  612,978 

     Gross profit                                           60,208             59,848

Operating expenses:
     Warehouse and distribution                              9,242             10,768
     Selling, general, and administrative                   21,342             23,304
     Retail success and development                         18,110   18,575 

Total Liabilitiesoperating expenses                               48,694   52,647 


     Operating Income                                       11,514              7,201

     Interest expense                                       (5,714)            (5,603)
     Other income, net                                       2,334              3,210
     Income taxes                                              126      228 

Net earnings                                              $  8,260           $  5,036
                                                          =========          =========
Distribution of Net Earnings:
     Patronage dividends                                  $ 13,240           $  8,210
     Retained deficit                                       (4,980)  (3,174)

Net Earnings                                              $  8,260           $  5,036
                                                          =========          =========

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME
                                   (000'S Omitted)
                                     (Unaudited)

    Thirteen Weeks Ended    

                                                          March 30,          March 31,
  2002     2001

Net earnings                                              $  8,260           $  5,036
Unrealized gains on securities                                 (62)               339
Foreign currency translation, net                              (55)            (1,180)                                                          

Comprehensive income                                      $  8,143           $  4,195 
                                                          =========          =========

See accompanying notes to condensed consolidated financial statements.



ACE HARDWARE CORPORATION
                    CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
                                   (000'S omitted)
                                     (Unaudited)

    Thirteen Weeks Ended    

                                                          March 30,          March 31,
  2002     2001

Operating Activities:
     Net earnings                                         $  8,260           $  5,036

     Adjustments to reconcile net earnings
     to net cash provided by operating activities
           Depriciation and Member Dealers' Equityamortization                     7,984              6,788
           Increase in accounts receivable, net            (10,598)            (7,980)
           Increase in inventories                         (22,719)            (9,542)
           Decrease (increase) in prepaid expenses and
            other current assets                            (1,548)               234
           Increase (decrease) in accounts payable and
            accrued expenses                                 2,424            (10,834)
           Increase in other long-term liabilities             627    1,011 

     Net Cash Used in Operating Activities                 (15,570)           (15,287)

Investing Activities:
           Purchase of short-term investments                 (888)                -  
           Purchase of property and equipment               (2,949)            (9,126)
           Increase in other assets                         (2,824)  (2,364)

     Net Cash Used in Investing Activities                  (6,661)           (11,490)

Financing Activities:
           Proceeds of short-term borrowings                31,800             38,000
           Payments of long-term debt                         (231)              (341)
           Payments of patronage refund certificates
            and patronage financing deductions             (10,574)            (6,599)
           Proceeds from sale of common stock                  355                308
           Repurchase of common stock                       (3,745)  (5,765)

     Net Cash Provided by Financing Activities              17,605   29,095 

Decrease in Cash and Cash Equivalents                       (4,626)            (1,174)

Cash and Cash Equivalents at beginning of period            25,213   24,644 

Cash and Cash Equivalents at end of period                $ 1,176,22920,587           $ 1,123,81023,470
                                                          ==============   =======================          =========


See accompanying notes to condensed consolidated financial statements.






-3-

ACE HARDWARE CORPORATION
         CONDENSED CONSOLIDATED STATEMENTS OF EARNINGS
                                 (000's omitted)
                                   (Unaudited)

Thirteen Weeks EndedTwenty-six Weeks Ended

                                       June 30,      July 1,       June 30,      July 1,
 2001       2000      2001      2000   

Net Sales                              $ 792,233    $  807,116    $1,451,828    $1,508,125
Cost of Sales                            719,250    732,983  1,320,167  1,371,233 
    Gross Profit                          72,983        74,133       131,661       136,892

Operating Expenses:
    Warehouse and Distribution             6,314         6,124        15,912        14,098
    Selling, General and Administration   21,729        22,391        45,033        45,776
    Retail Success and Development        19,489     18,145     38,064     34,793 
    Total Operating Expenses              47,532     46,660     99,009     94,667 

    Operating Income                      25,451        27,473        32,652        42,225

    Interest Expense                      (5,993)       (5,264)      (11,596)       (9,966)
    Other Income, net                      4,323         3,187         7,533         6,973
    Income Taxes                          (1,606)       148     (1,378)       658 
Net Earnings                           $  22,175    $   25,544    $   27,211    $   39,890
                                       ==========   ===========   ===========   ===========
Distribution of Net Earnings:
    Patronage Dividends                $  24,649    $   26,184    $   32,859    $   41,665
    Retained Earnings                     (2,474)      (640)    (5,648)    (1,775)
Net Earnings                           $  22,175    $   25,544    $   27,211    $   39,890
                                       ==========   ===========   ===========   ===========



                 CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME
                                      (000's omitted)
                                        (Unaudited)

Thirteen Weeks EndedTwenty-six Weeks Ended

                                       June 30,      July 1,       June 30,      July 1,
 2001       2000        2001       2000    

Net Earnings                           $  22,175    $   25,544    $   27,211    $   39,890
Unrealized gains on securities ��            (419)          -             (80)          -
Foreign currency translation, net            824       (501)      (356)      (557)
Comprehensive Income                   $  22,580    $   25,043    $   26,775    $   39,333
                                       ==========   ===========   ===========   ===========

See accompanying notes to condensed consolidated financial statements.




                                ACE HARDWARE CORPORATION
                     CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
                                     (000's omitted)
                                       (Unaudited)

Twenty-six Weeks Ended 

                                                                    June 30,       July 1,
  2001      2000  

Operating Activities:
            Net Earnings                                           $   27,211     $ 39,890

    Adjustments to reconcile net earnings
    to net cash used in operating activities:
            Depreciation and amortization                              13,855       12,462
            Gain on sale of property and equipment, net of
             deferred taxes of $1,522                                  (2,953)         -
            Increase in accounts receivable, net                      (36,536)     (94,321)
            Decrease (increase) in inventories                            484      (40,430)
            Increase in other current assets                           (1,208)      (1,731)
            Increase in accounts payable and
                   accrued expenses                                    49,351      127,219
            Increase in other long-term liabilities                     2,061    1,254 
    Net Cash Provided by Operating Activities                          52,265       44,343

Investing Activities:
            Purchase of property and equipment                        (34,338)     (26,518)
            Decrease (increase) in other assets                         1,728  (11,728)
    Net Cash Used in Investing Activities                             (32,610)     (38,246)

Financing Activities:
            Proceeds (payments) of short-term borrowings              (39,500)      41,919
            Proceeds from issuance of long-term debt                   70,000          -
            Principal payments on long-term debt                       (2,619)      (2,184)
            Payments of patronage refund certificates                  (5,260)        (277)
            Proceeds from sale of common stock                            802        1,145
            Repurchase of common stock                                (10,552)      (7,319)
            Payments of cash portion of patronage dividend            (34,764) (38,173)
    Net Cash Used in Financing Activities                             (21,893)  (4,889)

Increase (decrease) in Cash and Cash Equivalents                       (2,238)       1,208

Cash and Cash Equivalents at Beginning of Period                       24,644   35,422 

Cash and Cash Equivalents at End of Period                         $   22,406     $ 36,630
                                                                   ===========    =========

See accompanying notes to condensed consolidated financial statements.







ACE HARDWARE CORPORATION


NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

1) General

The condensed consolidated interim period financial statements 
presented herein do not include all of the information and 
disclosures required in annual financial statements and have not 
been audited, as permitted by the rules and regulations of the 
Securities and Exchange Commission. The condensed consolidated 
interim period financial statements should be read in conjunction 
with the annual financial statements included in the Ace Hardware 
Corporation Annual Report on Form 10-K as filed with the 
Securities and Exchange Commission on March 22, 2001.2002. In the opinion 
of management, these financial statements have been prepared in 
conformity with accounting principles generally accepted in the 
United States of America and reflect all adjustments necessary for 
a fair statement of the results of operations and cash flows for 
the interim periods ended JuneMarch 30, 2002 and March 31, 2001 and July 1, 2000 and of 
the Company's financial position as of JuneMarch 30, 2001.2002. All such 
adjustments are of a normal recurring nature. The results of 
operations for the thirteen week and twenty-six week periods ended JuneMarch 30, 200 12002 and July 1, 2000
March 31, 2001 are not necessarily indicative of the results of 
operations for a full year.


2) Patronage Dividends

The Company operates as a cooperative organization and will pay 
patronage dividends to consenting member dealers based on the earnings 
derived from business done with such dealers.  It has been the practice 
of the Company to distribute substantially all patronage sourced 
earnings in the form of patronage dividends. 

Net earnings and patronage dividends will normally be similar since 
patronage sourced net earnings is paid to consenting member dealers.  
International operations and dealers signed under a Retail Merchant Agreement are not 
eligible for patronage dividends and related earnings or losses are not 
included in patronage sourced earnings.

3) Reclassifications

Certain financial statement reclassifications have been made to prior year and prior quarter amounts to conform to comparable classifications followed in 2001.2002.  During 2002, the Company reclassified as sales and 
cost of sales certain shipping and handling costs that had previously been presented on a net basis within warehouse and distribution expenses.

4) Segments


The Company is principally engaged as a wholesaler of hardware and 
related products and manufactures paint products.  The Company 
identifies segments based on management responsibility and the nature of the business activities of each component of the Company. The Company measures segment earnings as operating earnings including an allocation for administrative expenses, interest expense and income taxes. The net sales from external customers included in the other category are primarily generated from company-owned retail locations.  Information regarding the identified segments and the related reconciliation to consolidated information is as follows:








                                                  Twenty-six Weeks Ended
                     June 30, 2001                       
                                                                   Elimination
                                                 Paint            Intersegment
WholesaleManufacturingOtherActivitiesConsolidated
Net Sales from External Customers $1,415,378      $10,522  $25,928   $   -     $1,451,828
Intersegment Sales                    12,378       56,840      -     (69,181)         -
Segment Earnings (Loss)               22,396        6,839   (1,904)     (120)      27,211


                                                  Twenty-six Weeks Ended
                      July 1, 2000                       
                                                                   Elimination
                                                 Paint            Intersegment
WholesaleManufacturingOtherActivitiesConsolidated
Net Sales from External Customers $1,475,319      $11,708  $21,098   $   -     $1,508,125
Intersegment Sales                    11,966       56,654      -     (68,620)         -
Segment Earnings (Loss)               35,854        5,648   (1,497)     (115)      39,890


Thirteen Weeks Ended
                     June                     March 30, 2001                       2002                      

                                                                    EliminationEliminated
                                                  Paint            Intersegment
WholesaleManufacturingOtherActivitiesConsolidated
Net Sales from External Customers  $ 771,348690,920  $      6,368   $14,5175,613  $10,634 $      -    $   792,233707,167
Intersegment Sales                     8,120       32,9214,225        30,760       -    (41,041)(34,985)           -
Segment Earnings (Loss)                18,397        4,477      (579)     (120)      22,1758,012         3,957   (3,709)        -         8,260


                                                     Thirteen Weeks Ended
                     July 1, 2000                                             March 30, 2002                      

                                                                    EliminationEliminated
                                                  Paint            Intersegment
WholesaleManufacturingOtherActivitiesConsolidated
Net Sales from External Customers  $ 788,538657,261  $      6,707   $11,8714,152  $11,411 $      -    $   807,116672,826
Intersegment Sales                     7,613       33,2824,221        23,919       -    (40,895)(28,140)           -
Segment Earnings (Loss)                22,731        3,477      (604)      (60)      25,5443,999         2,362   (1,325)        -         5,036





ACE HARDWARE CORPORATION
PART I. ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF
FINANCIAL CONDITION AND RESULTS OF OPERATIONS


Thirteen Weeks Ended JuneMarch 30, 20012002 compared to Thirteen Weeks Ended July 1, 2000.March 31, 2001.


Results of Operations

Consolidated sales decreased 1.8%increased 5.1%. Domestic sales increased 1.3%5.8% despite
a decline in sales to a non-patronage affiliate.  The increase in
domestic sales is primarily due to conversions of new stores to the Ace program. Saleshigher sales to our existing retailer 
base, were flat duelower retailer cancellations and sales to the softening economy. The decline in internationalnewly affiliated 
retailers.  International sales waswere affected by a sale of Ace stores and reduced sales in Canada.

Gross profit was flat with 2001 but decreased $1.2slightly as a percent of 
total sales from 8.90% in 2001 to 8.51% in 2002. The decrease is due to 
lower vendor rebates as a percent of sales and a physical inventory 
adjustment to retail store inventories.

Warehouse and distribution expenses decreased $1.5 million and increased slightly
decreased as a percent of total sales from 9.18%1.60% in 20002001 to 9.21%1.31% in 2001. The increase,
2002 primarily due to improved productivity and lower fixed costs as a percent of sales, results primarily from higher margin from company-owned retail locations. Lower cash discounts due to lower sales and merchandise purchases partially offset the gross profit percentage increase.

Warehouse and distribution expenses increased $190,000 over 2000 and increased as a percent of total handled sales from 1.08% in 2000 to 1.12% in 2001. Increased utilities and distribution expenses associated with the new Loxley, Alabama distribution facility and the start-upresult of the Prince George, Virginia facility drove the higher expenses.east coast distribution center reconfiguration.

Selling, general and administrative expenses decreased $662,000 over 2000$2.0 million and 
decreased slightly as a percent of total sales from 2.77%3.53% in 20002001 to 2.74%3.07% in 2001
2002 due to continued cost control measures put in place.place in 2001 and 
savings realized by the closure of the Baltimore, Maryland and 
Charlotte, North Carolina facilities offset with the opening of the 
Prince George, Virginia facility.

Retail success and development expenses increased $1.3 million primarilydecreased $465,000 due to costs associated with operating additional company-owned retail locations, timing of advertising income and investments made at retail to support our Vision 21 strategy. Increases
continued cost control measures.  Expenses in this category are 
directly related to retail support of the Ace retailer as the Company retailer.  Ace 
continues to make investments in our dealer base.retail initiatives under its Vision 21 
strategy to support Ace retailers.

Interest expense increased $729,000$111,000 due to higher average borrowing 
levels partially offset byprimarily as a decline in interest rates. The increased borrowing levels result from completion of the construction2001 investments in our 
distribution network.  Lower interest rates under the revolving credit 
facility largely offset the impact of the Loxley, Alabama distribution center, the expansion of our LaCrosse, Wisconsin facility and increased retailer dating programs.higher borrowing levels.

Other income increased $1.1 milliondecreased $876,000 primarily due to a gain recognized on the sale of two retail support centers offset by lower decreased interest 
income realized on non-controlling investments in affiliates and a partial write-down of an affiliate investment.

Income taxes increased $1.8 million primarily due to the tax incurred on the sale of two retail support centers.




ACE HARDWARE CORPORATION

PART I. ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF

FINANCIAL CONDITION AND RESULTS OF OPERATIONS


Twenty-six Weeks Ended June 30, 2001 compared to Twenty-six Weeks Ended July 1, 2000.

Results of Operations

Consolidated sales decreased 3.7%. Domestic sales declined 1.2% while International sales were affected by a sale of Ace storesdeclining interest rates and reduced sales in Canada. The decline in domestic sales is primarilylower past due to lower sales to our existing retailer base dueservice 
charges to the softening economy partially offset by conversions of new stores to the Ace program.retailers.

Gross profit decreased $5.2 million and decreased slightly as a percent of total sales from 9.08% in 2000 to 9.07% in 2001. The decrease resulted primarily from lower handling charges and lower cash discounts due to lower sales and merchandise purchases. Higher vendor rebates and margin from company-owned retail locations partially offset the gross profit decline.

Warehouse and distribution expenses increased $1.8 million over 2000 and increased as a percent of total handled sales from 1.33% in 2000 to 1.54% in 2001. Increased utilities and distribution expenses associated with the new Loxley, Alabama distribution facility and the start-up of the Prince George, Virginia facility drove the higher warehouse expenses.

Selling, general and administrative expenses decreased $743,000 due to continued cost control measures put in place.

Retail success and development expenses increased $3.3 million primarily due to costs associated with investments made at retail to support our Vision 21 strategy and operating additional company-owned retail locations. Increases in this category are directly related to retail support of the Ace retailer as the Company continues to make investments in our dealer base.

Interest expense increased $1.6 million due to higher average borrowing levels partially offset by lower interest rates. The increased borrowing levels result from completion of the construction of the Loxley, Alabama distribution center, the expansion of our LaCrosse, Wisconsin facility and increased retailer dating programs.

Other income increased $560,000 primarily due to a gain recognized on the sale of two retail support centers partially offset by lower income realized on non-controlling investments in affiliates and a partial write-down of an affiliate investment.

Income taxes increased primarily due to the gain recognized on the sale of two retail support centers.

Liquidity and Capital Resources

The CompanyAce expects that existing and internally generated funds, along 
with new and established lines of credit and long-term financing, will 
continue to be sufficient in the foreseeable future to finance the 
Company's working capital requirements and patronage dividend and 
capital expenditures programs.





Item 3. Quantitative and Qualitative Disclosures About Market Risk

There have been no material changes in the Company's market risk during 
the twenty-sixthirteen week period ended JuneMarch 30, 2001.2002. For additional information, 
refer to Item 7a in the Company's Annual Report on Form 10-K for the year 
ended December 30, 2000.29, 2001.


PART II. OTHER INFORMATION


Item 1.   Legal Proceedings

          None.

Item 2.   Changes in Securities and Use of Proceeds

          None.

Item 3.   Defaults Upon Senior Securities

          None.

Item 4.   Submission of Matters to a Vote of Security Holders

          The following information is furnished with respect to matters 
     submitted to a vote of the shareholders of the registrant at a
     meeting thereof held during the quarter covered by this report:

     (a)  Date of meeting:  June 4, 2001 - said meeting was
          an annual meeting.

     (b)  1.   The following director was elected at said
                    meeting for a three year term expiring in 2004:

                         David S. Ziegler

          2.   The following director was reelected at said
               meeting for a three year term expiring in 2004:

                         Daniel L. Gust 

          3.   The following director was reelected at said
                    meeting for a two year term expiring in 2003:

                         Howard J. Jung

          4.   The names of the other directors other than the
               above elected directors whose terms of office
               as directors continue after the meeting are:

                         Richard F. Baalmann, Jr.
                         Richard W. Stine
                         J. Thomas Glenn
                         Jennifer C. Anderson
                         Eric R. Bibens II
                         D. William Hagan
                         Richard A. KarpNone.

Item 5.   Other Information

          None.

Item 6.   Exhibits and Reports on Form 8-K

(b) A Form 8-K was filed on May 8, 2001 containing:

  • Notice of Annual Meeting of Stockholders on June 4, 2001 and  Proxy solicited by Board of Directors and related information.    
          None.


SIGNATURE


Pursuant to the requirements of the Securities Exchange Act of 1934, the 
registrant has duly caused this report to be signed on its behalf by the 
undersigned thereunto duly authorized.









    ACE HARDWARE CORPORATION      




       RITA D. KAHLE              DATE        AugustMay 14, 20012002           
       Rita D. Kahle
  Executive Vice President

(Principal Financial and Accounting
   Officer, and duly authorized 
    Officer of the registrant)