EXHIBIT 99.1



FOR IMMEDIATE RELEASE
October 16, 2001

Contact:  John Breed                      Joele Frank or Andy Brimmer
          Cooper Industries, Inc.         Joele Frank, Wilkinson Brimmer Katcher
          (713) 209-8835                  (212) 355-4449


           COOPER INDUSTRIES EXPECTS THIRD QUARTER EARNINGS TO EXCEED
                       CURRENT CONSENSUS ANALYST ESTIMATES

                EXPLORATION OF STRATEGIC ALTERNATIVES "ON TRACK"

         HOUSTON, TX, October 16, 2001 -- Cooper Industries, Inc. (NYSE:CBE)
today reported that it expects third quarter earnings to be in the range of $.77
to $.78, above current consensus analyst estimates of $.74 per share. The
Company also expects to report another quarter of strong cash flow. Further
details on the Company's third quarter performance will be provided in the
earnings press release and conference call scheduled for Tuesday, October 23,
2001.

         Cooper also said that the process related to its exploration of
strategic alternatives to maximize shareholder value - including the exploration
of mergers, sales, strategic alliances, acquisitions or other similar strategic
alternatives - is on track, with multiple parties expressing interest for the
entire Company.

         Cooper also commented on asbestos issues related to Federal-Mogul
Corporation. In October 1998, Cooper Industries, Inc. sold its Automotive
Products businesses to Federal-Mogul Corporation. These businesses were operated
through subsidiary companies, not by Cooper Industries, Inc. directly, and the
stock of those subsidiaries was sold to Federal-Mogul.

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COOPER INDUSTRIES                                                         PAGE 2

         Federal-Mogul Corporation indemnified Cooper Industries for the
liabilities of the subsidiary companies. Federal-Mogul has indicated to Cooper
that it may not honor its indemnity for claims specifically related to just Abex
products, which were included as part of the overall Automotive Products
transaction.

         Cooper does not believe the potential exposure for the Abex-related
liabilities is material to Cooper. Furthermore, Cooper is preserving its rights
as a creditor for breach of Federal-Mogul's indemnification to Cooper and its
rights against the subsidiary, Federal-Mogul Products, Inc. In addition, Cooper
believes that significant insurance is available for the Abex claims.

         Cooper Industries, with 2000 revenues of $4.5 billion, is a worldwide
manufacturer of electrical products, tools and hardware. Additional information
about Cooper is available on the Company's Internet site:
www.cooperindustries.com.

        Statements in this news release are forward-looking under the Private
Securities Litigation Reform Act of 1995. These statements are subject to
various risks and uncertainties, many of which are outside the control of the
Company, including but not limited to: 1) the pace of recovery of the domestic
economy; 2) the level of market demand for the Company's products and
improvement in electronic and telecommunications sectors; 3) the rate at which
benefits are realized from cost-reduction programs recently completed, currently
under way or to be initiated in the near future; 4) competitive pressures and
future global economic conditions; and 5) the ability to realize the benefits of
the reorganization, if implemented.

        Further information regarding these and other risk factors is set forth
in Cooper's filings with the Securities and Exchange Commission, including
Cooper's Annual Report on Form 10-K.

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