W.W. Grainger (GWW) 10-Q 2006 Q3 Quarterly report

Exhibit 11

W.W. Grainger, Inc. and Subsidiaries

COMPUTATIONS OF EARNINGS PER SHARE

	Nine Months Ended September 30,
BASIC:	2006	2005
Weighted average number of shares outstanding	88,746,312	89,649,866
Net earnings	$  284,466,000	$  242,490,000
Earnings per share	$               3.21	$               2.70
DILUTED:
Weighted average number of shares outstanding	88,746,312	89,649,866
Potential Shares:
Shares issuable under outstanding common stock equivalents	9,110,631	10,193,929
Shares which could have been purchased using
the proceeds from common stock equivalents exercised, based on the average market value for the period	(6,472,080)	(8,320,706)
	2,638,551	1,873,223
Dilutive effect of exercised options prior to being exercised	38,856	33,727
	2,677,407	1,906,950
Adjusted weighted average number of shares
outstanding	91,423,719	91,556,816
Net earnings	$  284,466,000	$  242,490,000
Earnings per share	$               3.11	$               2.65