<ARTICLE>                     5
<LEGEND>
THIS SCHEDULE CONTAINS SUMMARY FINANCIAL  INFORMATION  EXTRACTED FROM GRACO INC.
AND SUBSIDIARIES  CONSOLIDATED  STATEMENTS OF EARNINGS AND CONSOLIDATED  BALANCE
SHEETS FOR THE 52 WEEKS ENDED DECEMBER 27, 1996 AND IS QUALIFIED IN ITS
ENTIRETY BY REFERENCE TO SUCH FINANCIAL STATEMENTS.
</LEGEND>
<CIK>                                        0000042888
<NAME>                                       GRACO INC.
<MULTIPLIER>                                      1,000
<CURRENCY>                                 U.S. Dollars
        
                                         
<PERIOD-TYPE>                                    12-MOS
<FISCAL-YEAR-END>                           DEC-27-1996
<PERIOD-START>                              DEC-30-1995
<PERIOD-END>                                DEC-27-1996
<EXCHANGE-RATE>                                       1
<CASH>                                            6,535
<SECURITIES>                                          0
<RECEIVABLES>                                    83,474
<ALLOWANCES>                                      4,700
<INVENTORY>                                      41,531
<CURRENT-ASSETS>                                144,494
<PP&E>                                          183,085
<DEPRECIATION>                                   88,913
<TOTAL-ASSETS>                                  247,814
<CURRENT-LIABILITIES>                            80,610
<BONDS>                                           9,920
<PREFERRED-MANDATORY>                                 0
<PREFERRED>                                           0
<COMMON>                                         17,047
<OTHER-SE>                                      109,003
<TOTAL-LIABILITY-AND-EQUITY>                    247,814
<SALES>                                         391,756
<TOTAL-REVENUES>                                391,756
<CGS>                                           195,775
<TOTAL-COSTS>                                   195,775
<OTHER-EXPENSES>                                143,212
<LOSS-PROVISION>                                    154
<INTEREST-EXPENSE>                                  831
<INCOME-PRETAX>                                  52,769
<INCOME-TAX>                                     16,600
<INCOME-CONTINUING>                              36,169
<DISCONTINUED>                                        0
<EXTRAORDINARY>                                       0
<CHANGES>                                             0
<NET-INCOME>                                     36,169
<EPS-PRIMARY>                                      2.07
<EPS-DILUTED>                                      2.07