<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 26, 1997 AND IS QUALIFIED IN ITS ENTIRETY BY REFERENCE TO SUCH FINANCIAL STATEMENTS. </LEGEND> <CIK> 0000042888 <NAME> GRACO INC. <MULTIPLIER> 1000 <CURRENCY> U.S. Dollars <PERIOD-TYPE> 12-MOS <FISCAL-YEAR-END> DEC-26-1997 <PERIOD-START> DEC-28-1996 <PERIOD-END> DEC-26-1997 <EXCHANGE-RATE> 1 <CASH> 13,523 <SECURITIES> 0 <RECEIVABLES> 86,148 <ALLOWANCES> 4,089 <INVENTORY> 43,942 <CURRENT-ASSETS> 156,292 <PP&E> 196,940 <DEPRECIATION> 96,760 <TOTAL-ASSETS> 264,532 <CURRENT-LIABILITIES> 68,980 <BONDS> 7,959 <PREFERRED-MANDATORY> 0 <PREFERRED> 0 <COMMON> 25,553 <OTHER-SE> 131,956 <TOTAL-LIABILITY-AND-EQUITY> 264,532 <SALES> 413,897 <TOTAL-REVENUES> 413,897 <CGS> 210,909 <TOTAL-COSTS> 210,909 <OTHER-EXPENSES> 139,472 <LOSS-PROVISION> 154 <INTEREST-EXPENSE> 866 <INCOME-PRETAX> 63,516 <INCOME-TAX> 18,800 <INCOME-CONTINUING> 44,716 <DISCONTINUED> 0 <EXTRAORDINARY> 0 <CHANGES> 0 <NET-INCOME> 44,716 <EPS-PRIMARY> 1.75 <EPS-DILUTED> 1.71