CONFORMED
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, DC 20549
FORM 10-K
COMMISSION FILE NUMBER 0-255

(X) ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES
EXCHANGE ACT OF 1934

For the fiscal year ended December 31, 2000.
-----------------

( ) TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES
EXCHANGE ACT OF 1934

For the transition period from to .
-------------- --------------

GRAYBAR ELECTRIC COMPANY, INC.
------------------------------------------------------------------------
(Exact name of Registrant as specified in its charter)

NEW YORK 13-0794380
------------------------------------------------------------------------
(State or other jurisdiction of incorporation (IRS Employer
or organization) Identification No.)

34 North Meramec Avenue, St. Louis, Missouri 63105
------------------------------------------------------------------------
(Address of principal executive offices) (Zip Code)

Post Office Box 7231, St. Louis, Missouri 63177
------------------------------------------------------------------------
(Mailing Address) (Zip Code)

Registrant's telephone number, including area code: (314) 512-9200
----------------

Securities registered pursuant to Section 12(b) of the Act: None
------

Securities registered pursuant to Section 12(g) of the Act:

Preferred Stock - Par Value $20

Common Stock - Par Value $1 Per Share with
a Stated Value of $20

Voting Trust Certificates relating to such Shares of
Common Stock of the Registrant

Common Stock outstanding at March 27, 2001 - 5,921,132 Shares

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, and (2) has been subject to such filing
requirements for the past 90 days.

Yes (X) No ( )

Indicate by check mark if disclosure of delinquent filers pursuant
to Item 405 of Regulation S-K (Paragraph 229.405 of this chapter) is not
contained herein, and will not be contained, to the best of registrant's
knowledge, in definitive proxy or information statements incorporated by
reference in Part III of this Form 10-K or any amendment to this Form 10-K.
(X)

The aggregate stated value of the Common Stock outstanding and, with
respect to rights of disposition, beneficially owned by nonaffiliates (as
defined in Rule 405 under the Securities Act of 1933) of the registrant on
March 27, 2001, was approximately $118,422,640. Pursuant to a Voting
Trust Agreement, dated as of April 1, 1997, approximately 94% of the
outstanding shares of Common Stock are held of record by four Voting Trustees
who are each directors of the registrant and who collectively exercise all
voting rights with respect to such shares. The registrant is 100% owned by
its active and retired employees, and there is no public trading market for
the registrant's Common Stock. The registrant has the option to repurchase,
at the price at which it was issued, each outstanding share of Common Stock
in the event of the owner's death, termination of employment other than by
retirement, or desire to dispose of such shares. Historically all shares of
Common Stock have been issued for $20 per share, and the registrant has
always exercised its repurchase option and expects to continue to do so.

The documents listed below have been incorporated by reference into the
indicated Part of this Annual Report on Form 10-K:

(1) Annual Report to Shareholders for the fiscal year ended December 31,
2000 - Part II, Items 5-8.

(2) Information Statement relating to the 2001 Annual Meeting of
Shareholders - Part III, Items 10-13.

PART I
------

Item 1. Business
- ------- --------
Graybar Electric Company, Inc. (the "Company") is engaged
internationally in the distribution of electrical and communications products
and integrated supply services primarily to contractors, industrial plants,
telephone companies, power utilities, and commercial users. All products
sold by the Company are purchased by the Company from others.
The Company was incorporated under the laws of the State of New York
on December 11, 1925 to take over the wholesale supply department of Western
Electric Company, Incorporated. The location and telephone number of the
principal executive offices of the Company are 34 North Meramec Avenue,
St. Louis, Missouri (314) 512-9200, and the mailing address of the principal
executive offices is P.O. Box 7231, St. Louis, Missouri 63177.

Suppliers
- ---------
The Company acts as a distributor of the products of more than
3,000 manufacturers. The relationship of the Company with a number of its
principal suppliers goes back many years. It is customarily a nonexclusive
national or regional distributorship terminable upon 30 to 90 days notice by
either party.
During 2000, the Company purchased a significant portion of its
products from several major suppliers. The termination by any of these
companies, within a short period of time, of a significant number of their
agreements with the Company might have an immediate material adverse effect
on the business of the Company, but the Company believes that within a
reasonable period of time it could find alternate sources of supply adequate
to alleviate such adverse effect.

Products Distributed
- --------------------
The Company distributes more than 100,000 different products and,
therefore, is able to supply its customers with a wide variety of electrical
and communications products. The products distributed by the Company consist
primarily of wire, cable, conduit, wiring devices, tools, motor controls,
transformers, lamps, lighting fixtures and hardware, power transmission
equipment, telephone station apparatus, key systems, PBXs, data products for
local area networks or wide area networks, fiber optic products, and CATV
products. These products are sold to customers such as contractors (both
industrial and residential), industrial plants, telephone companies, private
and public utilities, and commercial users.
On December 31, 2000 and 1999, the Company had orders on hand which
totaled approximately $488,402,000 and $471,557,000, respectively. The
Company believes that the increase from 1999 to 2000 reflects the
improvements in the market sectors of the economy in which the Company
operates. The Company expects that approximately 85% of the orders on hand
at December 31, 2000 will be filled within the twelve-month period ending
December 31, 2001. Historically, orders on hand for the Company's products
have been firm, but customers from time to time request cancellation and the
Company has historically allowed such cancellations.

Marketing
- ---------
The Company sells its products through a network of distributing
houses located in 14 geographical districts throughout the United States.
In each district the Company maintains a main distributing house and a number
of branch distributing houses, each of which carries an inventory of supply
materials and operates as a wholesale distributor for the territory in which
it is located. The main distributing house in each district carries a
substantially larger inventory than the branch houses so that the branch
houses can call upon the main distributing house for additional items of
inventory. In addition, the Company maintains nine (9) zone warehouses with
both standard and specialized inventory products. The zone warehouses
replenish the distributing house inventories and also make shipments directly
to customers. The Company also operates two special districts in order to
serve the needs of specific customers. In addition, the Company has subsidiary
operations with distribution facilities located in Puerto Rico, Mexico,
Singapore and Canada.

The distribution facilities operated by the Company at December 31,
2000 are shown in the following table:

Location of Main Number of Distributing
Distributing House Houses in District
- ------------------ ------------------

Boston, MA 11
Cincinnati, OH 10
Dallas, TX 17
Glendale Heights, IL 21
Houston, TX 9
Minneapolis, MN 21
New York, NY 14
Norcross, GA 20
Phoenix, AZ 26
Pittsburgh, PA 14
Richmond, VA 18
Seattle, WA 24
St. Louis, MO 17
Tampa, FL 22
Greensboro, NC 5
Aurora, CO 2

Zone Distributing
- -----------------
Houses
- ------
Austell, GA 1
Cranbury, NJ 1
Dallas, TX 1
Fresno, CA 1
Joliet, IL 1
Rogers, MN 1
Stafford, TX 1
Taunton, MA 1
Youngstown, OH 1

Number of
Distributing Houses
-------------------

Graybar International, Inc.
- ---------------------------
Puerto Rico 1

Graybar Electric Canada, Ltd.
- -----------------------------
Canada 24

Graybar de Mexico, S.DE R.L. DE C.V.
- ------------------------------------
Mexico City, Mexico 1

Graybar International PTE, Ltd.
- -------------------------------
Singapore 1

Where the specialized nature or size of a particular shipment
warrants, the Company has products shipped directly from its suppliers to
the place of use, while in other cases orders are filled from the Company's
inventory. On a dollar volume basis, approximately seventy percent of the
orders are filled from the Company's inventory and the remainder are shipped
directly from the supplier to the place of use. The Company generally
finances its inventory from internally generated funds and from long and
short-term borrowings.

The Company distributes its products to more than 200,000 customers,
which fall into six general classes. The following list shows the estimated
percentage of the Company's total sales for each of the three years ended
December 31, attributable to each of these classes:

CLASS OF CUSTOMERS PERCENTAGE OF SALES
------------------ -------------------

2000 1999 1998
-------- -------- --------

Electrical Contractors 35.7% 36.7% 38.2%
Industrial Plants 20.9 22.2 25.5
Communication Companies 33.6 30.6 28.7
Private and Public Power Utilities 3.2 3.6 3.9
Integrated Supply 6.0 6.0 2.4
Miscellaneous .6 .9 1.3
-------- -------- --------
100.0% 100.0% 100.0%
======== ======== ========

At December 31, 2000, the Company employed approximately 3,600
persons in sales capacities. Approximately 1,700 of these sales personnel
were sales representatives who work in the field making sales to customers at
the work site. The remainder of the sales personnel were sales and marketing
managers, and telemarketing, advertising, quotation, counter and clerical
personnel.

Competition
- -----------
The Company believes that it is one of the three largest distributors
of electrical and comm/data products in the United States. The field is
highly competitive, and the Company estimates that the three largest
distributors account for only a small portion of the total market, with the
balance of the market being accounted for by independent distributors and
manufacturers operating on a local, state-wide or regional basis.
The Company believes that its competitive position is primarily
a result of its ability to supply its customers through a network of
conveniently located distribution facilities with a broad range of electrical
and communications products within a short period of time. Price is also
important, particularly where the Company is asked to submit bids to
contractors in connection with large construction jobs.

Employees
- ---------
At December 31, 2000, the Company employed approximately 10,500
persons on a full-time basis. Approximately 200 of these persons were
covered by union contracts. The Company has not had a material work stoppage
and considers its relations with its employees to be good.

Item 2. Properties
- ------- ----------
As of December 31, 2000, the Company operated offices and
distribution facilities in 291 locations. Of these, 148 were owned by the
Company, and the balance were leased. The leases are for varying terms, the
majority having a duration of less than five years.
The Company's distribution facilities consist primarily of warehouse
space. A small portion of the space in each facility is used for offices.
Distribution facilities vary in size from approximately 5,000 square feet
to 300,000 square feet, the average being approximately 37,000 square feet.
As of December 31, 2000, approximately $20.7 million in debt of the
Company was secured by mortgages on 17 buildings. Seven of these facilities
are subject to a first mortgage securing a 9.23% note, of which $13.6 million
in principal amount remains outstanding. Eight of these facilities are
subject to first mortgages securing variable rate notes, of which $1.4
million in principal remains outstanding. A facility in Houston, Texas is
subject to a first mortgage securing a 7.75% note, of which $1.7 million in
principal remains outstanding, and a facility in St. Louis, Missouri is
subject to a first mortgage securing a 7.74% note, of which $4.0 million
in principal remains outstanding.

Item 3. Legal Proceedings
- ------- -----------------
There are presently no material pending legal proceedings which are
expected to have a material impact on the Company or its subsidiaries.

Item 4. Submission of Matters to a Vote of Security Holders
- ------- ---------------------------------------------------
No matter was submitted to a vote of shareholders during the fourth
quarter of the fiscal year covered by this Annual Report on Form 10-K.

PART II
-------

Item 5. Market for the Registrant's Common Stock and Related Shareholder
- ------- ----------------------------------------------------------------
Matters
-------
The Company is wholly owned by its active and retired employees,
and there is no public trading market for its Common Stock, par value $1
per share with a stated value of $20 per share. Approximately 94% of this
Common Stock is held in a Voting Trust. No shareholder may sell, transfer or
otherwise dispose of shares of Common Stock (or the Voting Trust Certificates
issued with respect thereto) without first offering the Company the option to
purchase such shares (or Voting Trust Certificates) at the price at which
they were issued. The Company also has the option to purchase the Common
Stock (or Voting Trust Certificates) of any holder who dies or ceases to
be an employee of the Company for any cause other than retirement on a
Company pension. In the past all shares issued by the Company have been
issued at $20 per share, and the Company has always exercised its repurchase
option, and expects to continue to do so.
The information as to number of holders of Common Stock and
frequency and amount of dividends, required to be included pursuant to this
Item 5, is included under the captions "Capital Stock Data" and "Dividend
Data" on page 1 of the Company's Annual Report to Shareholders for the year
ended December 31, 2000, (the "2000 Annual Report") furnished to the
Securities and Exchange Commission (the "Commission") pursuant to Rule 14c-3
under the Securities Exchange Act of 1934, as amended (the "Exchange Act"),
and such information is incorporated herein by reference.

Item 6. Selected Financial Data
- ------- -----------------------
The selected financial data for the Company as of December 31, 2000
and for the five years then ended, which is required to be included pursuant
to this Item 6, is included under the caption "Selected Consolidated
Financial Data" on page 18 of the 2000 Annual Report and is incorporated
herein by reference.

Item 7. Management's Discussion and Analysis of Financial Condition and
- ------- ---------------------------------------------------------------
Results of Operations
---------------------
Management's discussion and analysis required to be included
pursuant to this Item 7 is included under the caption "Management's Discussion
and Analysis of Financial Condition and Results of Operations" on pages 19
and 20 of the 2000 Annual Report and is incorporated herein by reference.

Item 7A. Quantitative and Qualitative Disclosures About Market Risk
- -------- ----------------------------------------------------------
The Company's interest expense is sensitive to changes in the
general level of interest rates. In this regard, changes in interest rates
affect the interest paid on its debt. To mitigate the cash flow impact of
interest rate fluctuations, the Company generally maintains a significant
portion of its debt as fixed rate in nature by borrowing on a long-term
basis.
The following table provides information about financial instruments
that are sensitive to changes in interest rates. The table presents
principal cash flows and related weighted-average interest rates by expected
maturity dates.

Fair Market
Value
2001 2002 2003 2004 2005 Thereafter Total 12/31/00
---- ---- ---- ---- ---- ---------- ----- --------

Long-term debt principal
payments by expected
maturity dates, including
current portion -
Fixed rate debt(A) 24,521 24,834 33,899 33,898 25,463 120,255 262,870 269,361
Average interest rate 7.04% 7.02% 6.90% 6.95% 7.29% 6.83%

Short-term borrowings(A) 406,199 --- --- --- --- --- 406,199 406,199
Average interest rate 7.14%

<FN>
(A) Dollars stated in thousands
</FN>

The fair value of long-term debt is estimated by discounting cash
flows using current borrowing rates available for debt of similar maturities.
Fair value of the short-term borrowings approximates the carrying value due
to the short-term maturity of the instruments.
In September 2000 the Company entered into a swap agreement to
manage interest rates on amounts due under certain operating leases. The
agreement, which expires in July 2013, is based on a notional amount of
$28.7 million. The agreement calls for an exchange of interest payments with
the Company receiving payments based on a London Interbank Offered Rate
(LIBOR) floating rate, and making payments based on a fixed rate of 6.92%.
There is no exchange of the notional amount upon which the payments are based.
The fair value of the agreement at December 31, 2000 was approximately
$(2,218,000).

Foreign Exchange Rate Risk
--------------------------
The Company conducts business in several foreign countries including
Canada, Mexico, Puerto Rico and Singapore. Exposure from foreign currency
exchange rate fluctuations is not material.

Item 8. Financial Statements and Supplementary Data
- ------- -------------------------------------------
The financial statements and Report of Independent Auditors required
by this Item 8 are listed in Item 14(a)(1) of this Annual Report on Form 10-K
under the caption "Index to Financial Statements." Such financial statements
specifically referenced from the 2000 Annual Report in such list are
incorporated herein by reference.
Selected quarterly financial data for the years ended December 31,
2000 and 1999 required by Item 302(a) is included in the following table:

In thousands, For the Quarters Ended,
except for per share amounts 3/31/00 6/30/00 9/30/00 12/31/00
- --------------------------------------------------------------------------------------------------------------

Net sales $1,245,309 $1,292,394 $1,340,654 $1,335,546
Gross margin 220,317 233,183 246,145 245,494
Income before extraordinary items 20,585 17,270 19,371 8,931
Net income 20,585 17,270 19,371 8,931
Net income per share of common stock(A) $ 3.33 $ 2.82 $ 3.19 $ 1.48

In thousands, For the Quarters Ended,
except for per share amounts 3/31/99 6/30/99 9/30/99 12/31/99
- --------------------------------------------------------------------------------------------------------------

Net sales $ 985,950 $1,039,307 $1,146,700 $1,127,983
Gross margin 173,819 191,250 214,661 205,982
Income before extraordinary items 13,528 17,824 24,067 9,240
Net income 13,528 17,824 24,067 9,240
Net income per share of common stock(A) $ 2.17 $ 2.80 $ 3.81 $ 1.48

<FN>
(A) Restated for the declaration of 5% stock dividends in 1999 and 2000
</FN>

There is no other supplementary financial information required by
this item which is applicable to the Company.

Item 9. Changes in and Disagreements with Accountants on Accounting and
- ------- ---------------------------------------------------------------
Financial Disclosure
--------------------
None.

PART III
--------

Item 10. Directors and Executive Officers of the Registrant
- -------- --------------------------------------------------
The information with respect to the directors and executive officers
of the Company required to be included pursuant to this Item 10 will be
included under the caption "Directors and Executive Officers -- Nominees for
Election as Directors" in the Company's Information Statement relating to the
2001 Annual Meeting (the "Information Statement"), to be filed with the
Commission pursuant to Rule 14c-5 under the Exchange Act, and is incorporated
herein by reference.

Item 11. Executive Compensation
- -------- ----------------------
The information with respect to executive compensation required
to be included pursuant to this Item 11 will be included under the captions
"Executive Compensation" and "Pension Plan" in the Information Statement and
is incorporated herein by reference.

Item 12. Security Ownership of Certain Beneficial Owners and Management
- -------- --------------------------------------------------------------
The information with respect to the security ownership of beneficial
owners of more than 5% of the Common Stock, the directors of the Company and
all directors and officers of the Company, which is required to be included
pursuant to this Item 12, will be included in the introductory language and
under the caption "Directors and Executive Officers -- Nominees for Election
as Directors" in the Information Statement and is incorporated herein by
reference.

Item 13. Certain Relationships and Related Transactions
- -------- ----------------------------------------------
The information with respect to any reportable transactions,
business relationships and indebtedness between the Company and the beneficial
owners of more than 5% of the Common Stock, the directors or nominees for
director of the Company, the executive officers of the Company or the members
of the immediate families of such individuals, required to be included
pursuant to this Item 13, will be included under the caption "Directors and
Executive Officers" in the Information Statement and is incorporated herein
by reference.

11
PART IV
-------

Item 14. Exhibits, Financial Statement Schedules, and Reports on Form 8-K
- -------- ----------------------------------------------------------------
(a) Documents filed as part of this report:
--------------------------------------
The following financial statements and Report of Independent
Auditors are included on the indicated pages in the 2000 Annual
Report and are incorporated by reference in this Annual Report
on Form 10-K:

1. Index to Financial Statements
-----------------------------

(i) Consolidated Statements of Income and Retained Earnings
for each of the three years ended December 31, 2000
(page 21).

(ii) Consolidated Balance Sheets, as of December 31, 2000
and December 31, 1999 (page 22).

(iii) Consolidated Statements of Cash Flows for each of the
three years ended December 31, 2000 (page 23).

(iv) Consolidated Statements of Changes in Shareholders'
Equity for each of the three years ended December 31,
2000 (page 24)

(v) Notes to Consolidated Financial Statements (pages 25
to 28).

(vi) Report of Independent Auditors (page 29).

2. Index to Financial Schedule
---------------------------

The following schedule for each of the three years ended
December 31, 2000, to the financial statements is included on the indicated
page in this Annual Report on Form 10-K:

(i) Schedule II. Valuation and Qualifying Accounts
(page 15).

All schedules other than those indicated above are omitted
because of the absence of the conditions under which they are required or
because the required information is set forth in the financial statements
and the accompanying notes thereto.

3. Exhibits
--------

The following exhibits required to be filed as part of this
Annual Report on Form 10-K have been included:

(3) Articles of incorporation and by-laws

(i) Restated Certificate of Incorporation, as amended,
filed as Exhibit 4(i) to the Company's Registration
Statement on Form S-1 (Registration No. 333-15761)
and incorporated herein by reference.

(ii) By-laws as amended through July 25, 2000 filed as
Exhibit 3(ii) to the Company's Quarterly Report on
Form 10-Q for the period ended September 30, 2000
(Commission File No. 0-255) and incorporated herein
by reference.

(4)and(9) Voting Trust Agreements

Voting Trust Agreement dated as of April 1, 1997,
attached as Annex A to the Prospectus, dated January 21,
1997, constituting a part of the Company's Registration
Statement on Form S-1 (Registration No. 333-15761) and
incorporated herein by reference.

The Company hereby agrees to furnish to the
Commission upon request a copy of each instrument
omitted pursuant to Item 601(b)(4)(iii)(A) of
Regulation S-K.

(10) Material contracts.

(i) Management Incentive Plan, filed as Exhibit 4(a)(1)
to the Annual Report on Form 10-K for the year ended
December 31, 1972 (Commission File No. 0-255), as
amended by the Amendment effective January 1, 1974,
filed as Exhibit 13-c to the Registration Statement
on Form S-1 (Registration No. 2-51832), the Amendment
effective January 1, 1977, filed as Exhibit 13(d) to
the Registration Statement on Form S-1 (Registration
No. 2-59744), and the Amendment effective January 1,
1980, filed as Exhibit 5(f) to the Registration
Statement on Form S-7 (Registration No. 2-68938) and
incorporated herein by reference.

(13) Annual Report to Shareholders for 2000 (except for
those portions which are expressly incorporated by
reference in this Annual Report on Form 10-K, this
exhibit is furnished for the information of the
Commission and is not deemed to be filed as part of
this Annual Report on Form 10-K).

(21) List of subsidiaries of the Company.

(23) Independent Auditors' Consent of Ernst and Young LLP.

(b) Reports on Form 8-K:
-------------------

No reports on Form 8-K were filed during the last quarter of the
Company's fiscal year ended December 31, 2000.

SIGNATURES
----------

Pursuant to the requirements of Section 13 of the Securities Exchange Act
of 1934, the Company has duly caused this Annual Report on Form 10-K to be
signed on its behalf by the undersigned, thereunto duly authorized, as of the
27th day of March, 2001.

GRAYBAR ELECTRIC COMPANY, INC.

By /S/ R. A. REYNOLDS, JR.
------------------------------------
(R. A. Reynolds, Jr., President)

Pursuant to the requirements of the Securities Exchange Act of 1934, this
Annual Report on Form 10-K has been signed below by the following persons on
behalf of the Company, in the capacities indicated, on March 27, 2001.

/S/ C. L. HALL Director and Chairman
- ------------------------------------------ of the Board
(C. L. Hall)

/S/ R. A. REYNOLDS, JR. Director and President
- ------------------------------------------ (Principal Executive Officer)
(R. A. Reynolds, Jr.)

/S/ J. H. HINSHAW Director
- ------------------------------------------ (Principal Financial Officer)
(J. H. Hinshaw)

/S/ R. A. COLE Director
- ------------------------------------------
(R. A. Cole)

/S/ D. E. DeSOUSA Director
- ------------------------------------------
(D. E. DeSousa)

/S/ T. F. DOWD Director
- ------------------------------------------
(T. F. Dowd)

/S/ T. S. GURGANOUS Director
- ------------------------------------------
(T. S. Gurganous)

/S/ G. W. HARPER Director
- ------------------------------------------
(G. W. Harper)

/S/ G. D. HODGES Director
- ------------------------------------------
(G. D. Hodges)

/S/ J. C. LOFF Director
- ------------------------------------------
(J. C. Loff)

/S/ G. J. McCREA Director
- ------------------------------------------
(G. J. McCrea)

/S/ R. D. OFFENBACHER Director
- ------------------------------------------
(R. D. Offenbacher)

/S/ C. R. UDELL Director
- ------------------------------------------
(C. R. Udell)

/S/ J. F. VAN PELT Director
- ------------------------------------------
(J. F. Van Pelt)

GRAYBAR ELECTRIC COMPANY, INC. AND SUBSIDIARIES
-----------------------------------------------

SCHEDULE II-VALUATION AND QUALIFYING ACCOUNTS
---------------------------------------------

Column A Column B Column C Column D Column E
- -------- -------- -------- -------- --------
Balance at Additions Balance
Beginning Charged to at End
of Period Income Deductions of Period
Description --------- ---------- ---------- ---------
-----------

FOR THE YEAR ENDED DECEMBER 31, 2000:
Reserve deducted from assets to
which it applies-
Allowance for doubtful accounts $ 5,021,000 $ 8,888,000 $ 5,275,000 (1) $ 8,634,000
Allowance for cash discounts 708,000 13,633,000 13,564,000 (2) 777,000
----------- ------------ ------------ -----------

Total $ 5,729,000 $ 22,521,000 $ 18,839,000 $ 9,411,000
=========== ============ ============ ===========

FOR THE YEAR ENDED DECEMBER 31, 1999:
Reserve deducted from assets to
which it applies-
Allowance for doubtful accounts $ 4,135,000 $ 4,090,000 $ 3,204,000 (1) $ 5,021,000
Allowance for cash discounts 648,000 11,525,000 11,465,000 (2) 708,000
----------- ------------ ------------ -----------

Total $ 4,783,000 $ 15,615,000 $ 14,669,000 $ 5,729,000
=========== ============ ============ ===========

FOR THE YEAR ENDED DECEMBER 31, 1998:
Reserve deducted from assets to
which it applies-
Allowance for doubtful accounts $ 3,962,000 $ 2,331,000 $ 2,158,000 (1) $ 4,135,000
Allowance for cash discounts 665,000 11,855,000 11,872,000 (2) 648,000
----------- ------------ ------------ -----------

Total $ 4,627,000 $ 14,186,000 $ 14,030,000 $ 4,783,000
=========== ============ ============ ===========

<FN>
(1) Amount of trade receivables written off against the reserve provided.
(2) Discounts allowed to customers.
</FN>

INDEX TO EXHIBITS
-----------------

Exhibits
--------

(3) Articles of incorporation and by-laws.

(i) Restated Certificate of Incorporation, as amended, filed
as Exhibit 4(i) to the Company's Registration Statement on
Form S-1 (Registration No. 333-15761) *

(ii) By-laws as amended through July 25, 2000 filed as
Exhibit 3(ii) to the Company's Quarterly Report on Form 10-Q
for the period ended September 30, 2000 (Commission File
No. 0-255) *

(4)and(9) Voting Trust Agreements

Voting Trust Agreement dated as of April 1, 1997,
attached as Annex A to the Prospectus, dated January 21, 1997,
constituting a part of the Company's Registration Statement
on Form S-1 (Registration No. 333-15761) *

(10) Material contracts.

(i) Management Incentive Plan, filed as Exhibit 4(a)(1) to
the Annual Report on Form 10-K for the year ended December 31,
1972 (Commission File No. 0-255), as amended by the Amendment
effective January 1, 1974, filed as Exhibit 13-c to the
Registration Statement on Form S-1 (Registration No. 2-51832),
the Amendment effective January 1, 1977, filed as Exhibit 13(d)
to the Registration Statement on Form S-1 (Registration No.
2-59744), and the Amendment effective January 1, 1980, filed
as Exhibit 5(f) to the Registration Statement on Form S-7
(Registration No. 2-68938) *

(13) Annual Report to Shareholders for 2000 (except for those
portions which are expressly incorporated by reference in this
Annual Report on Form 10-K, this exhibit is furnished for the
information of the Commission and is not deemed to be filed as
part of this Annual Report on Form 10-K)

(21) List of subsidiaries of the Company.

(23) Independent Auditors' Consent of Ernst and Young LLP.

[FN]
------------

*Incorporated by reference in this Annual Report on Form 10-K.
</FN>